Author: Felipe Bahiense

  • TCO (Total Cost of Ownership): What It Is and How to Calculate It

    TCO (Total Cost of Ownership): What It Is and How to Calculate It

    TCO stands for Total Cost of Ownership, which is a formula designed to calculate the total cost of an asset, product, or service. This tool optimizes financial investments by considering not only the acquisition price we paid for something, but also all other associated costs throughout its lifecycle, including maintenance, upgrades, training, and more.

    For instance, think about the costs related to a process management platform. You’ll need to factor in implementation, operation, and maintenance costs throughout the software’s entire lifespan. The sum of all these costs represents the TCO, reflecting the total value invested from purchase to disposal.

    Understanding the total cost of ownership and learning how to calculate it efficiently is a great way for your business save money and increase overall efficiency.

    What Is TCO?

    TCO is a calculation performed to estimate the total expenses associated with a particular asset. It measures all money spent on acquisition, implementation, use, and disposal or discontinuation of a product or equipment. Its purpose is to provide a comprehensive view of any given asset and its value over time, serving as a basis for comparing costs and return on investment (ROI).

    TCO can be calculated by summing the initial purchase price and the operating costs over the asset’s entire lifespan. For businesses, TCO does not just focus on short-term costs but emphasizes long-term value. The lower the total cost of ownership, the better the asset’s value over time.

    This calculation is crucial for all business strategies, such as choosing suppliers and allocating resources to optimize processes. It also provides evidence to compare alternatives and facilitate negotiations, like discounts or additional benefits.

    What Should Be Included in TCO Calculation?

    Several factors should be included in the total cost of ownership calculation, encompassing both direct and indirect expenses. Even intangible assets can be assigned a value to be included in the calculation. In summary, all costs and expenses incurred from purchase to disposal need to be considered.

    When discussing a process management platform, for example, numerous benefits are gained throughout its lifespan, particularly in productivity, performance, and value engineering. The acquisition of such resources should include costs for implementation, training, customization, maintenance, operation, integrations, licenses, and more.

    To calculate TCO accurately, consider the costs of necessary machinery for the software to function, along with internet, electricity, downtime, and other related expenses. Only after gathering all this data and performing the calculations will you be able to determine if the investment will provide sufficient benefits to justify the purchase.

    Calculating Total Cost of Ownership

    The calculation involves summing all related costs over a specified period. The formula would be:

    TCO = acquisition cost + (sum of all related costs and expenses x years of useful life).

    If the item can be resold later, the potential resale value should be subtracted from the final TCO.

    For illustration, let’s consider a process management platform with the following average values:

    • Initial implementation cost: $10,000
    • Training: $350
    • Customization: $3,500
    • Cloud storage: $2,500

    So if this platform version’s lifespan is 5 years, the total cost of ownership would be:

    TCO = $10,000 + ($6,350 x 5 years) 

    TCO = $49,250, or an annual cost of $8,350.

    There are some challenges in calculating TCO, such as difficulties in defining standards and the scope of operational costs, especially when it comes to elements that may be overlooked, like training or depreciation.

    Another consideration is the volatility of supplies or parts that may be needed. It’s nearly impossible to predict what may be required or the future prices of these supplies. Additionally, the cost of updates, particularly regarding technology and software, should not be overlooked, as a vendor may discontinue a service or cancel a feature, potentially raising the TCO significantly beyond initial estimates.

    Acquiring a Process Management Platform

    Adopting a process management platform is a strategic decision that involves investments, operational efforts, and value generation. There are various solutions available with different functions and configurations. TCO is an excellent method to measure which option will provide the best cost-benefit ratio.

    Neomind’s Fusion Platform is a comprehensive solution for managing processes, documents, indicators, risks. Additionally, it offers native electronic signing capabilities and a host of other business-empowering features. Being a low-code and fully customizable solution, it is very cost-effective, since employees can create process flows or forms that meet their demands without needing IT assistance.

    Remember that choosing a platform for your business should consider long-term evolution. The goal is for your business to continue growing. Therefore, the solution must not only meet immediate needs but should also provide features that keep pace with your company’s development for years to come.

    Imagine how costly the TCO would be if you had to switch solutions before the end of its useful life simply because the functionalities no longer meet your needs. That’s why Neomind continuously seeks feedback from clients and develops new features tailored to each business’s specific needs.

    Take the opportunity to try Fusion Platform while calculating itstotal cost of ownership, and see for yourself why this is the best option for your business.

  • Data Governance and the Role of Process Automation

    Data Governance and the Role of Process Automation

    Data governance is essential in the digital age we live in. It ensures data quality, security, and usability within any modern organization. 

    Process automation, in turn, plays several important roles in data governance, such as ensuring the standardization of the application of governance policies and procedures, and eliminating deviations that can occur with manual intervention.

    It can also significantly reduce the time and effort required to manage large volumes of data. This allows teams to focus on strategic activities instead of repetitive tasks. 

    Undoubtedly, companies of all sizes and sectors need both data governance and process automation to collect, store, and analyze their information. 

    For this reason, it is crucial to understand why governance is so important and how the integration of automated technologies brings agility, error reduction, and compliance. 

    What is data governance? 

    Data governance is a methodology that manages the entire information lifecycle, from creation or collection to disposal. 

    This includes creating internal policies and procedures to ensure that data is properly processed when entered, accessed, stored, handled, and deleted. 

    Governance is responsible for establishing infrastructure and technology; configuring and maintaining processes and policies; identifying and appointing professionals with the authority and responsibility to handle and protect certain data. 

    In other words, data governance’s mission is to ensure that data is usable, available, accurate, secure, and private. 

    These elements are essential to ensure compliance with regulations and external standards, such as laws, decrees, and government requirements. One of the biggest examples of data regulation is the LGPD. 

    While governance establishes how data accuracy, reliability, integrity, and security will be preserved, its management involves implementing these procedures, including process automation. 

    The large volume of data that must be processed daily justifies the inclusion of this type of governance. This concern is an important step to a company’s digital transformation and its overall success. 

    What are the benefits of data governance? 

    As data is a source of information, one of its main advantages is supporting and substantiating decision-making. 

    Among the various benefits that can be achieved, the following stand out: 

    • Better and more reliable data; 
    • Centralization of information contributes to easier access; 
    • Facilitated coordination and communication; 
    • Increased agility and productivity
    • Version control of data; 
    • Regulatory, legal, and industry compliance; 
    • Cost reduction and control; 
    • Avoid working with incorrect or obsolete information; 
    • Improved customer service; 
    • Identify opportunities; 
    • Standardization of governance policy and procedure application; 
    • Elimination of variation due to manual intervention; 
    • Reduces the time and effort needed to manage large volumes of data; 
    • Lower incidence of risks associated with non-compliance; 
    • Risk management; 
    • Rapid adaptation to new data-related laws and regulations. 

    The structure of data governance 

    In practice, the structure that will enable data governance to meet the internal policies and procedures that have been established consists of the following components: 

    • Data governance committee: representatives from different departments and areas responsible for defining strategies and policies for governance; 
    • Data policy: a document that describes the principles, guidelines, and standards for data management; 
    • Goals and objectives: must be clear and aligned with the organization’s needs; 
    • Roles and responsibilities: defining which professionals or teams will be involved in data governance; 
    • Processes and procedures: documentation outlining how data collection, storage, handling, analysis, and availability will be conducted; 
    • Employed technology: resources that provide process automation and data security; 
    • Metrics and indicators: used to measure data governance performance and progress toward set objectives and goals. 

    In parallel with creating or maintaining these components, it is necessary to promote a data culture, encouraging the responsible and ethical use of information. 

    The structure varies according to the complexity or size of the company. However, for this structure to function effectively, support from top management, training, and appropriate technological tools are essential. 

    Process automation in data governance 

    Process automation is an essential tool for data governance. 

    With its help, there is validation and standardization in the application of policies and procedures. In this way, the time and effort spent managing the large volume of data produced is considerably reduced. 

    By automating repetitive tasks with high error rates, the company can focus on strategic activities that add value to the business. 

    Specifically in data governance, this tool works in data identification and correction, providing consistency and quality in the obtained information. 

    Fusion Platform as a data governance tool 

    By using Neomind’s Fusion Platform, data from different sources can be easily integrated. Being a complete platform, Neomind’s solution centralizes and facilitates the search and quick retrieval of information. 

    Regarding data security, Fusion Platform uses encryption and other features to ensure that data is handled precisely and consistently. 

    Since the platform includes authentication and access traceability, the risks of leaks and unauthorized access are reduced. Automation ensures data origin and usage tracking, storing useful information for audits and compliance verification. 

    In addition, all activities are logged in the system, allowing suspicious activities to be flagged. With the Risk Management module, incidents are identified and handled quickly and efficiently. 

    In its Analytics Central, it is possible to monitor data governance performance. Reports with relevant real-time information and predictive analysis can be generated to identify trends and patterns. 

    BPM helps optimize processes through mapping, optimizing, and managing the activity flow. The solution is fully customizable and supports scalable and secure data storage and processing. 

    Data governance can be applied to all types of processes. After all, all departments need data and information to make strategic and coherent decisions. 

    For example, marketing uses data to understand customers, while the supply team uses it to manage inventory, and so on. 

    Although it is recommended that data governance be implemented gradually, with high volumes of data being produced daily, there is no time to waste. 

    Try Fusion Platform and benefit from a complete solution for process management, documents, indicators, risk management, and digital signatures. 

  • AI: The Dilemma of Trust, Risk, and Security Management

    AI: The Dilemma of Trust, Risk, and Security Management

    Would you trust your life to an AI (Artificial Intelligence) algorithm? AI, a field of computer science that seeks to replicate human cognitive abilities in machines, is rapidly becoming a transformative force in our lives, from virtual assistants on our smartphones to complex automation systems in various industries.

    AI today is about developing systems capable of performing tasks that typically require human intelligence, such as learning from data, solving problems, and understanding natural language.

    However, as Artificial Intelligence continues to evolve and expand, the need to manage the trust, risk, and security associated with this technology becomes increasingly crucial.

    Trust: A Determining Factor

    Trust is a fundamental element to enable AI acceptance and widespread adoption. Research led by KPMG and the University of Queensland shows that most respondents, both in Brazil and globally, consider Artificial Intelligence trustworthy and express optimism about the benefits it can bring.

    However, this trust is intrinsically linked to the perception of security and the assurance that AI systems are acting ethically and impartially. Without trust, this technology may face resistance from users and stakeholders, hindering its effectiveness and general acceptance.

    Risk Management in Implementation: Challenges and Opportunities

    The implementation of Artificial Intelligence systems brings a series of potential risks that need to be managed effectively. From concerns about data privacy and security to algorithmic biases and technical failures, organizations face a complex environment when integrating AI into their processes and operations.

    In light of these challenges, an intriguing question arises: how can we ensure that Artificial Intelligence is a trustworthy ally in our lives and businesses? The answer lies in a comprehensive and proactive approach to managing trust, mitigating risks, and ensuring security in the AI era. This includes promoting transparency and accountability, conducting regular risk assessments, fostering collaboration between organizations, and developing security capabilities.

    Artificial Intelligence (AI) Security: A Growing Challenge

    AI security is a growing concern as systems become more integrated and interconnected. Cyberattacks and data manipulation represent significant threats that can compromise the integrity and reliability of systems. Ensuring security requires the implementation of robust security measures at all stages of the lifecycle, from development to continuous operation. Moreover, organizations must invest in training and awareness programs to ensure that their employees understand the risks and benefits of Artificial Intelligence and know how to use the technology safely and ethically.

    Strategies to Manage Trust, Risk, and Security in AI

    To effectively manage trust, risk, and security in the implementation of AI systems, organizations should adopt a holistic approach, which includes:

    • Transparency and Accountability: Provide clear information about how systems work, how they are trained, and what data is used. Additionally, ensure that organizations are held accountable for any adverse consequences.
    • Continuous Risk Assessment: Conduct regular risk assessments to identify new threats and vulnerabilities, adjusting security measures as necessary to mitigate these risks.
    • Collaboration and Information Sharing: Promote collaboration and share information about security threats and vulnerabilities to strengthen collective defenses against cyberattacks and other threats.
    • Development of Security Capabilities: Invest in training and personnel development to raise awareness about AI security issues and develop the skills and knowledge needed to protect systems against threats.
    • Regulatory Compliance: Stay updated with government regulations and guidelines related to AI security and ensure compliance with these standards to avoid sanctions and ensure the protection of users’ and stakeholders’ rights.

    As we approach a future driven by AI, it is crucial to tackle the challenges of trust and security with determination and resilience. With the right approach, organizations can maximize the benefits of Artificial Intelligence while minimizing risks and ensuring user trust. In a scenario where trust, risk, and security are essential pillars, integrating Artificial Intelligence (AI) into our lives and businesses requires a careful and proactive approach.

    Neomind’s integrated management tool, Fusion Platform, emerges as a solution to address the challenges presented by the dilemma of trust, risk, and security in the AI era. By offering transparency and accountability through clear disclosure of how systems work and are trained, as well as promoting continuous risk assessment and collaboration among organizations, Fusion Platform helps ensure the reliability and security of automated processes and document management.Try Fusion Platform and enhance your business’s success and growth.

  • 5 Benefits of Process Standardization

    5 Benefits of Process Standardization

    Process standardization refers to creating, implementing, and maintaining a set of procedures, practices, and guidelines for task execution.

    Its main objective is to set best practices to enhance operational efficiency, resource utilization, consistency, and productivity.

    Process standardization ensures that all steps are carried out uniformly, enabling information retrieval when needed.

    Furthermore, having a checklist for a procedure sequence generates numerous competitive advantages for the company. Get to know the 5 mains benefits of process standardization.

    What is Process Standardization?

    Process standardization organizes and formalizes processes by developing a standard to be followed. Thus, every time a certain workflow takes place, it will follow the same guidelines.

    Since business processes are carried out by different people, including new employees, everyone involved needs to understand what is expected from each task.

    Another important aspect is the broad perception of the process impact on the company and understanding the responsibility of each part.

    In addition to structuring processes, standardization requires documenting a sequence in which actions should be performed for later reference.

    This formalization seeks to understand:

    • what the process is;
    • what the objective is;
    • how it starts and ends;
    • who is involved;
    • what the sequence of activities is;
    • which departments are involved;
    • what the contribution to the organization is;
    • and what is expected from this process.

    The answers to these questions involve understanding whether the company aims only to organize what happens within a department or if it seeks a sequence of optimized activities that add value.

    The second option is much more advantageous and will ensure potential results, especially if they seek end-to-end management.

    Businesses aiming to optimize processes can either fully automate them or their parts with an Integrated Management Platform.

    This solution ensures control of processes, documents, and indicators throughout the company. Thus, everything necessary for management is accessible to related parties.

    Reasons to Standardize Processes

    Creating a standard for processes means finding the best way to achieve the expected result.

    Process standardization ensures repeatability of results, as procedures are performed equally, generating high-quality products and services with appropriate resource utilization.

    Indirectly, creating a procedure model is motivating because related parties understand the process from start to finish.

    In addition to these, reasons for standardization include: avoiding variation, complying with regulations and legislation, knowing the responsible parties, monitoring progress and results, and, obviously, understanding the processes.

    5 benefits of process standardization

    Proper resource utilization

    When we take a closer look at the best way to perform activities, the goal is to make proper use of all resources and inputs. After all, resources are limited. From this perspective, there is also concern about the time spent on execution.

    The mission is to simplify the steps so that professionals can focus on strategies that add value to the business.

    Process standardization aids in decision-making about investments and innovations because it aims for continuous improvement of activity flow.

    This resource optimization also leads to cost reduction, and resources are allocated to priority areas.

    Consistency and transparency

    When processes are standardized, all deliveries will be consistent, with no significant variations. Thus, it is possible to check if the results obtained correspond to what is expected. And if not, take corrective and improvement action.

    Another issue is that by knowing the steps, those involved, and the responsible parties, there is clarity about the boundaries and requirements of the activity flow.

    In general, process standardization contributes to more efficient and clear communication. And that each participant effectively contributes to completing the activities.

    Increased productivity

    If the best way to perform a sequence of activities is found, then there is increased productivity. Work optimization involves maintaining the same quality with proper resource usage and delivery speed.

    Process mapping allows identifying major issues, weaknesses, and bottlenecks. Another issue is that redundant activities are eliminated, avoiding duplicated effort.

    By eliminating these two factors, processes become leaner, which also contributes to productivity.

    Another point of mapping is to enable the proper implementation of solutions, such as an Integrated Management Platform, to automate processes.

    Reducing errors, failures, and rework

    By creating an improved execution sequence, variations in activities are reduced. Since each collaborator knows what needs to be done, there is less risk, errors, failures, or rework.

    In process standardization, all compliance issues must be considered. That is, adapting the activity flow to standards and regulations.

    Because they have access to detailed documents, the steps to be followed are clear, significantly reducing misinterpretations.

    Another consideration, especially for companies using Integrated Management Platforms, is to have greater control over operations.

    Reports and data updates make processes measurable and predictable. When any anomaly is found, action is immediate, and errors, failures, and rework have less impact.

    Facilitated training

    If the company has documented processes, it has procedures and all instructions about the processes. Thus, training new employees or refreshing the training of existing professionals is much easier.

    This consolidation of information generates reliable documents that can be consulted whenever needed. The company can create interactive manuals, such as video lessons, and make them available for remote access.

    In addition to training, standardization allows the professional to understand why the process is essential for the company. By understanding this significance, they are more committed to delivering a result that meets expectations.

    What about technology?

    Technology is always a welcome resource to modernize and optimize processes. However, the organization must be prepared to receive it.

    By enhancing results, companies that do not have a standard in their processes tend to increase inefficiency when implementing technologies incorrectly.

    Thus, process standardization and automation must go hand in hand. Sequential organization of activities allows recognizing where technology can enhance results.

    If you want to start automating your standardized processes, try Fusion Platform. Fusion is a complete Integrated Management Platform that manages and controls processes, documents, and indicators.

  • Process management or Process-based management?

    Process management or Process-based management?

    Although they may seem very similar at first glance, there are key differences between the Process Management and Process-based Management concepts — they are definitely not the same thing. These two approaches still spark a lot of debate. After all, they are two management models that complement each other, each bringing concepts and guidelines that make all the difference in the way they’re put in practice.

    When it comes to management models, literature typically leans towards the Process Management model. However, many of our contemporary organizations are already employing Process-based Management, sometimes without a clear definition, which often leaves us with even more questions.

    To clarify the matter once and for all, let’s understand the difference between Process Management and Process-based Management, along with each of their characteristics and how they can fit into your company. Let’s dive in!

    First, what is Process Management?

    Processes have always been present in organizations and all types of businesses, whether for purchasing materials, recruiting new employees, paying bills and issuing receipts, you name it.

    But what exactly are processes? According to the Business Dictionary, a process is a sequence of interdependent and linked procedures. At each stage, they consume one or more resources (employee time, energy, machinery, money) to convert inputs (data, materials, parts, etc.) into outputs. These outputs then serve as inputs for the next stage until a known goal or final desired outcome is achieved.

    In practice, think about your own’s company workflow. When you finish a product, isn’t it necessary to start a new process for purchasing inputs for new units or batches? In short, sets of activities like these can be considered a process or at least part of it.

    Until a few decades ago, activities occurred without the aid any specific methodology. This is where Process Management, better known as Business Process Management (BPM) in the corporate world, emerged.

    And what about Process-based Management?

    While Process Management represents the methodology and specific actions known in the field, Process-based Management aims to integrate all departments and its processes. It structures and integrates functional processes within organizations towards common goals.

    Traditional organizations developed based on a culture of managing each department’s processes and activities.Process-oriented companies on the other hand, use a Process-based Management approach, leveraging management systems to handle everything involving the company and its departments.

    This broadens and systematizes management, with less interference from departmental managers. The main objective here is to optimize the organization’s performance.

    Ultimately, Process-based Management aims to integrate all company processes, resulting in clearer common objectives. This lets processes to be conducted in a better organized manner, benefiting the entire company, not just a specific department or sector.

    In this sense, process management provides a holistic view of the company, making decision-making more effective. Additionally, it’s easier to identify bottlenecks, and teams and departments are more integrated and collaborative.

    In summary: what are the differences?

    Essentially, a company that practices process management has its tasks and activities mapped and monitored with complete control. They know that all processes will occur as planned and described.

    When Process-based Management is adopted, there’s connectivity between processes, which favors a trully comprehensive view of the organization. Activities are integrated, and the result stems from the effort of a correlated whole.

    Indeed, companies that operate with Process-based Management are more focused on developing their activities to ensure customer satisfaction.

    With a process-oriented company culture, decision-making, employee management, document sending and viewing, and team interaction become integrated activities, improving overall productivity.

    Additionally, there’s alignment of strategy for product or service development for the customer. At this point, having available indicators for better decision-making becomes essential.

    Undoubtedly, Management through Processes is very advantageous for companies. However, its application requires management to focus on analyzing the entire value chain, ensuring that activities and processes are geared towards creating value for the customer.

    BPM systems in context

    Digital Transformation is a great ally to companies looking to manage their processes. They provide tools capable of automating and optimizing routine activities, facilitating execution and internal communication.

    In this sense, software is essential for both process management and process-based management.

    Although each term has a specific objective, both generally represent concepts such as continuous improvement, clear and simple processes, sector organization, and more assertive decision-making in any type of organization.

    In this regard, Neomind has developed the BPM module, which integrates and manages structured processes. This provides effectiveness and agility in responses, enhancing company results, with greater transparency and collaboration among stakeholders.

    Fusion Platform enables companies to reduce processes errors and automate repetitive and manual activities. Additionally, it improves corporate performance, enabling greater competitiveness and assertiveness for your business.

    The purpose of adopting BPM software is the convenience in carrying out activities as well. Because of that, Neomind’s Fusion Platform is a low-code tool, fully user-friendly and adaptable to your needs.

    Curious about how process management happens in practice? Try Fusion Platform for free, or talk to our consultants.

    Whether you’re considering investing into process management or process-based management, Neomind is your business partner!

    Does your company practice process-based managament? Tell us about your experience. Or if you have any questions, write it to us in the comments. We’ll be happy to assist you.

  • The Role of Process Management in the Digital Transformation Age

    The Role of Process Management in the Digital Transformation Age

    The 21st century is marked by non-stop technological innovation. Take Natura, a Brazilian cosmetics company, for example. The organization is a reference in Brazil when it comes to process management and innovation. In 2007, in order to sustain its financial growth, it chose to transform its management model and organizational culture.

    Administration became process-oriented, allowing the responsibility for corporate results to be shared among process owners. This shift enabled Natura to grow by 5.6% in that year’s first nine months. There was also a 49% increase in its market share through consultants, who, in turn, observed a 46.2% reduction in wrong deliveries.

    Similar to this case, we can recall various other transformation stories that revolutionized businesses. In another example, in 2016, the Williams Formula 1 team set the record for the fastest pit stop with pilot Felipe Massa in 1.89 seconds. In 1950, pit stops took approximately 1 minute. Analogously analyzing, how is it possible to transform processes and improve results?

    To answer this question, we first need to understand what types of transformation can be applied to a process. The CBOK book from ABPMP says: process transformation has a range of impacts that include continuous improvement, redesign, reengineering, and paradigm shift.

    Within our organizations and even driven by Lean Manufacturing, SIX Sigma, and TQM (Total Quality Management), we tend to evolve processes through a lens of continuous improvement. This is a strategy that indeed generates results, and the impacts of the change are smaller, making it much easier to apply with great adoption from its involved parties. However, often a given process, as it was originally designed, no longer follows the overall business evolution, and in these cases even continuous improvement will not yield the same significant results.

    Redesigning a process presents itself as a solution for these situations, as we rethink the business end-to-end while maintaining fundamental concepts. This makes it necessary for us to advance and study the need for reengineering.

    Reengineering impacts all levels of the business, radically transforming how functional areas should work. These two forms of transformation, redesign and reengineering, commit to changing the process and cause minor impacts on the product or service offered. In other words, even after the reengineering of an automotive process, we will still have a car as the result of the process. Perhaps in less time, eliminating waste, causing fewer environmental impacts, and improving the financial result of the company, but the final relationship with the customer will still be through the purchase of the car.

    One might think that these three forms of business process transformation would be sufficient for a company’s survival in the competitive market. But often the only way out is a paradigm shift. Still analyzing the example of the automotive industry, we can conclude that a person buys a car with the ultimate goal of traveling from one destination to another. Given this need, the factory offers its customer a solution: the car. What would happen to the automotive market if Fiat stopped selling cars as a product and leased them as a service? In this model, the customer would pay a fixed monthly fee entitling them to a complete car with all safety features and key technological accessories. For the customer, this would change the way they consume the product of that brand, and for the company, it would be necessary to completely rethink its vision, mission, and values.

    This happened with the mobile phone industry with the arrival of smartphones, with the music and film industry after the advent of iTunes and Netflix, and also with the transportation service through Uber. The truth is that a paradigm shift impacts first on customer habits and beliefs, and consequently, on the entire market consumption dynamics.

    In conclusion, it is evident that due to ease of implementation and the impacts caused, the market initially adopts continuous improvement as the primary tool for process transformation. However, in the century we live in, we need to reverse this order, first analyzing the feasibility of a paradigm shift, moving on to reengineering, redesign, and finally, continuous improvement.

    If your company cannot change market behavior, others certainly will, and you will be forced to catch up with the losses. Try Fusion Platform for 15 days and see how optimizing your company’s management can bring more results to your business.

  • Learn more about Hardware Sizing

    Learn more about Hardware Sizing

    The first thing companies ask themselves when they need to implement a new piece of software or feature, is about hardware requirements: “What are the specifications?” or even “Will our servers support it?”. Another common scenario where the same doubts arise is when an IT manager starts receiving complaints regarding poor system performance from its users. At this point, the following question arises: “Is our environment (server) still suitable for the current demand?”

    These are very common questions, but due to several involved factors, finding answers is not always as simple as it may seem. To address this, it’s essential to understand Hardware Sizing, or Sizing in short.

    But first, let’s grasp the concept of Software Sizing.

    To discuss Hardware Sizing, we need to have a brief understanding of Software Sizing, which involves quantifying the size of software (or a part of it). In this case, we’re talking about determining the size of the software, not the effort invested in developing it. Some ways to measure software size include analyzing Function Points (FPs) or Lines Of Code (LOC). The size and complexity of a software piece are crucial factors for hardware sizing.

    And what is Hardware Sizing?

    A simple definition of Hardware Sizing is: “An approximation of the hardware resources needed to support a software implementation”.

    Like any theoretical model, it’s important to note that this is an approximation of reality but often yields much more reliable results than a mere “guess.” More importantly, supporting the software implementation means it should not only run but run with adequate performance and meet user needs.

    Depending on the project or software to be implemented, various approaches can be taken when it comes to Hardware Sizing, always involving the analysis of factors such as:

    ● Routine complexity: Predicting which complex routines will require more processing power (software sizing is highly applicable here).

    ● User count: The more users (especially concurrent users), the greater the processing and storage volume required.

    ● Transaction volume: Knowing the complexity of function “X,” how many times will it be used?

    ● Storage: How much space will each initiated transaction occupy (referring to database and hard disk storage)?

    ● Growth: What is the expected software usage growth for the next few years? What is a safe margin to have hardware reserves to extend the investment’s lifespan?

    These factors can be estimated from scratch or based on historical data from an existing environment. Combining these factors allows establishing a calculation basis that determines the appropriate hardware, justifying and safeguarding any hardware investment.

    As mentioned, each software project may require a different approach to sizing. Hardware and software providers have various articles on the correct sizing of their products (Dell servers,

    SQL Server and Oracle databases, for example). Market methodologies for this type of measurement also exist, such as TPC-C (Transaction Processing Performance Council – Benchmark C), which we commonly use in our clients’ sizing projects.

    Methodologies for Hardware Sizing

    The TPC-C methodology is a benchmark for online transaction processing (OLTP). In this benchmark, combinations of servers and databases from various manufacturers are measured, determining the transaction index they support. In essence, with the methodology and the factors mentioned above, it’s possible to calculate an approximate necessary index. This calculation can then be compared with already measured equipment to determine the required hardware or assess the suitability of current hardware.

    Another method of Hardware Sizing is to conduct synthetic tests with the application through load testing. Automated testing tools (such as JMeter) can be used to determine how many simultaneous transactions a simple processor can support. If the simple station supports 100 simultaneous transactions but it’s determined that there will be 1000 concurrent users, it’s known that to handle 1000 simultaneous transactions, equipment with 10 times the computing power of the simple processor is needed. This type of study (pre-implementation when the application has not yet been deployed) can greatly assist in accurate hardware sizing.

    In conclusion

    As we can see, determining the necessary processing capacity for software can be a complex task, and merely adhering to minimum requirements provided by a supplier may not yield the desired results. It’s also essential to emphasize that there is no magic formula, but fortunately, we have a range of tools that can help. Regardless of the method used, proper Hardware Sizing must be conducted so that software solutions can achieve the necessary performance and ensure greater productivity for the company. For our clients, our consulting team offers Sizing services for Fusion environments. If needed, we will be glad to address all your queries.

  • Data Science x Big Data x Data Analytics

    Data Science x Big Data x Data Analytics

    Using data is constantly rising. Organizations are more and more dependent on how they acquire and analyze data to extract accurate information for their business areas. This is where three interconnected terms come into play: Data Science, Big Data, and Data Analytics.

    What is Data Science?

    Widely spread in the market, Data Science refers to an entire process of data collection, transformation, and analysis. Information is creatively extracted through a set of methods and tools by a dedicated professional who aims to:

    1. Understand their company’s business and;

    2. Identify patterns that are beneficial for the company’s decision-making processes.

    However, Data Science is not possible without Big Data.

    So, what is Big Data?

    Big Data, something that has been steadily growing since 2012, can be defined as a set of techniques capable of analyzing large quantities of data to generate results that would be difficult to achieve with smaller volumes (we talk more about it in this article).

    For a better understanding of Big Data, we can define the three pillars that comprise it:

    • Volume: Big Data is a massive amount of data, not just Terabytes but Petabytes and Exabytes, which are millions of Gigabytes. In 2020, the forecast was that 40 Exabytes of data would be generated annually;
    • Velocity: Depending on a company’s business, one minute can be too long, whether it’s for detecting fraud, analyzing medical data, or dealing with time-sensitive information;
    • Variety: Big Data encompasses all kinds of data, whether it comes from text, sensors, web navigation, social media, online stores, your smartphone, and many other data sources.

    And what about Data Analytics?

    To conclude the concepts discussed in this article, we have Data Analytics. It refers to the systematic use and analysis of data for efficient decision-making. It is widely applied in areas such as Marketing, Retail, Finances, and so on.

    All this analysis is done using methods such as:

    • Statistical Modeling;
    • Forecasting;
    • Text Mining;
    • Experiment Design, among others.

    Use cases

    Digital Advertising – From banners displayed on websites to digital screens at airports, all content is determined by Data Science algorithms. This is how digital ads leverage the necessary data to target ads to specific users based on their behavior. For example, an ad that is shown to you on a website may be different from the one that appears for another user on the same site.

    Recommendation Systems – Amazon’s website provides a clear example of the use of Business Intelligence (BI), Data Analytics, and Data Science. Through data collection and Data Science algorithms, it enhances users’ experiences, helping them to find relevant products.

    In addition to Amazon, companies like Netflix, Twitter, LinkedIn, and so many others have been using Data Science algorithms to improve user experiences with more accurate and relevant content.

  • Identifying Risks Associated with Process Changes

    Identifying Risks Associated with Process Changes

    Change is inherent to any businesses that seek to enhance how their work is performed in pursuit of growth and competitiveness. Risk management is essential to mitigate the impacts generated by these modifications.

    Many companies that aim to improve their operations introduce technological resources like automation. This solution enhances productivity within the company.

    However, effective management is necessary for identifying and addressing the risks inherent to process changes.

    Undoubtedly, as years go by, there have been and will continue to be significant changes in how work is carried out.

    Implementing an integrated management platform positively transforms a company. But it’s common to face challenges that must be managed for automation to succeed.

    Understanding potential risks associated with process changes allows companies to prepare adequately beforehand. This readiness includes preventive measures capable of minimizing potentialy negative outcomes.

    Risk management plays a fundamental role in process changes, especially when we talk about best practices and strategies to mitigate risks and tackle the challenges of process changes.

    What are the risks associated with process changes?

    Identifying process changes risks is a fundamental part of risk management. This detailed analysis enables companies to get ready for any challenges that may arise.

    In this regard, some common risks that should be considered in risk management include:

    • Resistance to change: unquestionably, this is one of the most common risks. Regardless of the benefits gained, it’s entirely normal for employees to have a critical attitude. This risk can lead to lack of cooperation or even more serious issues like sabotage. To mitigate this risk, it’s essential to establish transparent communication, explain the benefits, involve the team in the implementation stages, provide training, and offer support.
    • Lack of skills or knowledge: risk management must also consider that employees’ lack of knowledge about changes can result in operational difficulties. Professionals must be familiar with and comfortable using the newly adopted tools and methods for performing their tasks to achieve the proposed gains.
    • Activities disruption: when changes involve new technologies, temporary interruptions in operations can occur. To reduce this kind of hindrance, planning the implementation of your chosen tools is essential.
    • Impact on products or services: process changes can affect products or services’ quality. Planning and conducting early tests can prevent such occurrences and maintain the business’s reputation.

    Other risks that may be encountered include scope changes, lack of clarity, increased costs, tight deadlines, and more.

    How to classify a risk?

    Risk management focuses on identifying an event, its consequences, and the causes or situations that allowed something to happen. Based on these principles, risks can be assessed as high, medium, or low, depending on their impacts.

    As a graphical representation, these risks can take on colors such as red, yellow, and green. Risk classification varies considerably and should be considered within the company’s environment.

    Companies in the same industry may have unique characteristics. Therefore, what may be a high risk for one may not be so for another.

    To correctly classify risks, it will be necessary to assess their impact on the process, the likelihood of occurrence, severity (financial damage or regulation issues), urgency of solution, and relevance.

    Risk management needs to consider each category separately to provide a classification based on the organization’s context. This analysis should be carried out by both specialists and those involved in the processes.

    Those with knowledge of the execution can more accurately estimate the probability of each risk occurring.

    Risk Management and Automation

    Business Process Management, also known as BPM, helps mitigate these risks associated with process changes.

    Automation tools map and standardize processes to ensure a consistent activity flow, performing them always in the same way. This approach defines logical sequences, rules, and standards for correct execution, reducing the risk of errors and variations.

    Another point is that the use of BPMS solutions provides more concise risk management based on real-time data.

    The control provided by this technology allows for monitoring entire processes, from start to finish, including the implemented changes and their effects. Therefore, preventive measures are based on detailed reports on performance and actions.

    Detailed records and reports that enable traceability make it possible to identify potential risks, detect anomalies, and facilitate the implementation of improvements.

    However, for all of this to be possible, the automation platform must be adaptable to your business, including the changes that will be applied to processes.

    One of the major risks of using technology is being unable to modify internal execution due to a rigid solution.

    Fusion Platform is a fully low-code, user-friendly platform ready to be configured and adjusted to meet your business’s specific needs.

    Additionally, it offers mobility of access, integration with other solutions, and constant updates. Neomind seeks to provide the best technological resources to its clients.

    Try Fusion Platform to ensure greater efficiency and speed in your processes. Reduce processing time and the risks associated with process changes.

    Take advantage of the platform to enhance risk management and increase adaptability to necessary changes, and ensure that your process transitions bring successful outcomes with Fusion Platform!

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