Establishing baselines and assessing success.

DUE: 12.07.14 @ 12:00PM(NO later)

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In this Assignment, through the evaluation of baseline metrics, you will engage in developing the following professional competencies:


● Analyze quantitative data


One of the key elements in realizing benefits is the establishment of a baseline. The completion of metrics is an essential step at the time of modeling the current processes, and it is this baseline from which improvements are measured. In this Assignment, you will apply this concept to your project. You will also carry out a mathematical analysis of a fictional situation and make a determination about success. 


To prepare for this assignment, I suggest studying up on percentages if your a bit rusty. 


In this Assignment, you are going to evaluate the supporting business process based on criteria

detailed below. 


For this Assignment, answer the following questions (use the subheadings/numbered

questions below to organize your paper):


Question 1 – Establishing baselines


To begin with, list three metrics that you think can help you quantify the performance of the current process. List and define the metrics clearly, explain why each metric is important in the assessment of the process and then give an example of the statistic units. For example, if your metric is “speed of processing” it may be defined by how quickly each employee audits a tax form, and the example would be that “on average you would expect

8 tax forms audited per hour.” 


Then, revisit the metrics that you selected for your baseline. For each metric, clearly discuss the following:

1) Describe what the metric is: how is it calculated and used currently?

2) As far as being used as a justifiable project goal, what kind of a change in this metric would constitute success? How did you arrive at this figure? If this target change figure is not possible to estimate now, then describe how you would compute it if you were actually carrying out this project: who would be involved and where would the data come from?

3) Examine the risks outlined in Table 21.2(see attachment below). Which is most likely to occur in this process revision? What actions would you take to address this risk? Be specific to your organization and selected process(supporting) when addressing this; do not talk in generalities.


Question 2 – Case analysis


Read the case study below and answer the questions at the end. Use Excel and create individual tables to insert the information below(Include tables in the MS document): 


In 2009 it was decided that ABC Tire Company would implement a BPM project with the following goals:

● Decrease the labor cost per tire and

● Increase profit from each tire sold by 5%.


To track the success (or failure) of the project they determined the following baseline data for 2009. Create a table for the information below: 

Total # of Tires Sold: 22,594

Materials Cost Per Tire: $22.23

Labor Cost Per Tire: $12.67

Average Retail Price Per Tire: $119.00

Average Profit Per Tire: $85.10


After implementing the BPM project ABC Tire Company reviewed the value of the project after a year and identified the following information. Create another separate table for the information below: 

Total # of Tires Sold: 27,669

Total Materials Cost: $533,450.00

Total Labor Cost: $397,555.00

Average Retail Price Per Tire: $122.13


Using the data provided above calculate, create a additional table filling the answers for each below (show all your work; completing the table without the calculations will result in a dispute): 


Materials Cost Per Tire: ______________

Labor Cost Per Tire: ________________

Average Profit Per Tire: _____________

% Increase or Decrease in Materials cost Per Tire: ____

% Increase or Decrease in Labor cost Per Tire: ____

% Increase or Decrease in Average Profit Per Tire: ____


After you have COMPLETED the table directly above, address the following questions: 

1. Why is it important to ensure that the baseline data is accurate?

2. Was the project successful? Why or why not?


Assignment Requirements:


>Cover page, “Discussion”(3 COMPLETE pp.), and Reference page=5 COMPLETE pages.(Nothing less then 5 pages!) I realize including the tables in the MS document will take up additional pages. 

>Selected and Justified metrics used for establishing a baseline.

>Calculate the correct values for the table in question 2.

>Answer the questions correctly in question 2.

>Responses must demonstrate critical thinking and analysis and exhibit application of information.

>Clear business writing: Spelling and grammar are acceptable. Effective use of APA. Follow the required format and instructions above!

>3 sources in APA citation(Nothing less then 3, and it’s not necessary for more)

>Font size: 12

>Double-spaced(No spaces between paragraphs)

>Lastly, but not least, NO PLAGIARISM


If you can’t adhere to these clear instructions above, please, do me a favor and don’t waste my time sending a handshake. Thank You. 



*Homework Field of Study: Business Process Management(BPM)

If you don’t have expertise in this area of study please don’t waste my time sending a handshake. 


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