P RO C E S S C L A S S I F I C AT I O N F R A M E WO R K S M

THE FRAMEWORK FOR PROCESS IMPROVEMENT

Experience shows that the potential of benchmarking to drive dramatic OPERATING PROCESSES
improvement lies squarely in making out-of-the-box comparisons
1.0 >>> 2.0 >>> 3.0 >>> 4.0 >>> 5.0
and searching for insights not typically found within intra-industry Develop Develop Market Deliver Manage
paradigms. To enable this beneficial benchmarking, the APQC Process Vision and Manage and Sell Products Customer
and Products and Products and and Service
Classification FrameworkSM (PCF) serves as a high-level, industry-neutral Strategy Services Services Services
enterprise process model that allows organizations to see their business
processes from a cross-industry viewpoint.
MANAGEMENT AND SUPPORT SERVICES
This cross-industry framework has experienced more than 15 years
of creative use by thousands of organizations worldwide. The PCF 6.0 Develop and Manage Human Capital

provides the foundation for APQC’s Open Standards BenchmarkingSM

7.0 Manage Information Technology
database of performance metrics, the largest of its kind in the world,
and for the work of its advisory council of global industry leaders. The 8.0 Manage Financial Resources
PCF will continue to be enhanced as the database further develops
definitions, processes, and measures. The PCF, associated measures, 9.0 Acquire, Construct, and Manage Property

and definitions are available for download at no charge at

www.apqc.org/osb. An online benchmarking portal for individual 10.0 Manage Environmental Health and Safety (EHS)

assessments is also available.

11.0 Manage External Relationships

To capture the value inherent in intra-industry benchmarking, industry-

12.0 Manage Knowledge, Improvement, and Change
specific frameworks are also available on the APQC Web site.
Organizations can therefore choose the framework most relevant to
specific process improvement needs, whether benchmarking, business
process management/re-engineering, or content management.

HISTORY
The Process Classification Framework was originally envisioned as a APQC would like to acknowledge the contributions of the various
taxonomy of business processes and a common language through which member organizations and individual members that have contributed
APQC member organizations could benchmark their processes. The time, content, and expertise in the development of this version of the
initial design involved APQC and more than 80 organizations with strong PCF as well as each of the previous versions. These contributions and
interest in advancing the use of benchmarking in the United States and suggestions are vital to keeping the framework current and relevant to
worldwide. Since its inception in 1992, the PCF has seen updates to businesses throughout the world.
most of its content. These updates keep the framework current with the
ways that organizations do business around the world. In 2008, APQC
and IBM worked together to enhance the cross-industry PCF and to
develop a number of industry-specific process frameworks.

Version 5.2.0-en-XI • December 2010 1

 PROCESS CLASSIFICATION FRAMEWORK TABLE OF CONTENTS

Interpreting the PCF ______________________________________________________________________________ 3

Overview _______________________________________________________________________________________ 4
1.0 Develop Vision and Strategy ___________________________________________________________________ 4
2.0 Design and Manage Products and Services _______________________________________________________ 5
3.0 Market and Sell Products and Services __________________________________________________________ 5
4.0 Deliver Products and Services _________________________________________________________________ 7
5.0 Manage Customer Service ____________________________________________________________________ 9
6.0 Develop and Manage Human Capital ____________________________________________________________ 9
7.0 Manage Information Technology _______________________________________________________________11
8.0 Manage Financial Resources __________________________________________________________________ 14
9.0 Acquire, Construct, and Manage Property ______________________________________________________ 17
10.0 Manage Environmental Health and Safety _______________________________________________________ 17
11.0 Manage External Relationships ________________________________________________________________ 18
12.0 Manage Knowledge, Improvement, and Change __________________________________________________ 18

LOOKING FORWARD RIGHTS AND PERMISSIONS

The APQC Process Classification Framework is an evolving model, ©2010 APQC. ALL RIGHTS RESERVED.. ALL RIGHTS RESERVED. APQC
which APQC will continue to enhance and improve regularly. Thus, encourages the wide distribution, discussion, and use of the PCF for
APQC encourages comments, suggestions, and more importantly, classifying and defining processes. APQC grants permission for use
the sharing of insights from having applied the PCF within your and adaptation of the PCF for internal use. For external use, APQC
organization. Share your suggestions and experiences with the grants permission for publication, distribution, and use, provided that
PCF by e-mailing pcf_feedback@apqc.org. proper copyright acknowledgment is made to APQC. No modifications
to the look or content should be made in external venues. Please use
ABOUT APQC the following text when reusing the PCF in external print or electronic
An internationally recognized resource for process and performance content.
improvement, APQC helps organizations adapt to rapidly changing
environments, build new and better ways to work, and succeed in THE APQC PROCESS CLASSIFICATION
a competitive marketplace. With a focus on productivity, knowledge FRAMEWORKSM
management, benchmarking, and quality improvement initiatives, The PCF was developed by APQC and its member companies as an
APQC works with its member organizations to identify best practices; open standard to facilitate improvement through process management
discover effective methods of improvement; broadly disseminate and benchmarking, regardless of industry, size, or geography. The PCF
findings; and connect individuals with one another and the knowledge, organizes operating and management processes into 12 enterprise-level
training, and tools they need to succeed. Founded in 1977, APQC is categories, including process groups and over 1,000 processes and
a member-based nonprofit serving organizations around the world associated activities. The PCF, associated measures, and definitions are
in all sectors of business, education, and government. APQC is available for download at no charge at www.apqc.org/osb.
also a proud winner of the 2003 and 2004 North American Most
Admired Knowledge Enterprises (MAKE) awards. This award is UNDERSTANDING THE NUMBERING SCHEME
based on a study by Teleos, a European based research firm, Beginning with Version 5.0.0, the PCF uses a numbering scheme that
and the KNOW network. differs from previous versions. The cross-industry framework and the
industry-specific frameworks collectively form a library of process

The PCF is written in United States English language format.

2 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 OPERATING PROCESSES

1.0 >>> 2.0 >>> 3.0 >>> 4.0 >>> 5.0

Develop Develop Market Deliver Manage
Vision and Manage and Sell Products Customer
and Products and Products and and Service
Strategy Services Services Services

MANAGEMENT AND SUPPORT SERVICES

6.0 Develop and Manage Human Capital

7.0 Manage Information Technology

8.0 Manage Financial Resources

9.0 Acquire, Construct, and Manage Property

10.0 Manage Environmental Health and Safety (EHS)

11.0 Manage External Relationships

12.0 Manage Knowledge, Improvement, and Change

elements used in APQC’s Open Standards Benchmarking database. INTERPRETING THE PCF
Each process element is referred to by two numbers: a number used Category: The highest level within the PCF is indicated by whole
to locate the content within that particular framework (in the format numbers (e.g., 8.0 and 9.0)
1.2.3.4) and a serial number used to uniquely identify the process
Process Group: Items with one decimal numbering (e.g., 8.1 and 9.1)
element across all of the various Open Standards Benchmarking
are considered a process group.
frameworks (beginning with 10000).
Process: Items with two decimal numberings (e.g., 8.1.1 and 9.1.2)
For example, the process element “1.2 Develop business strategy
are considered processes.
(10015)” is uniquely identified by the serial number “10015” and the
hierarchical reference number “1.2.” In industry-specific frameworks, Activity: Items with three decimal numbering (e.g. 8.3.1.1 and 9.1.1.1)
any process element identified as “10015” will have the same scope are considered activities within a process.
and definition, but may be labeled differently.

Version 5.2.0-en-XI • December 2010 3

 1.0 Develop Vision and Strategy (10002)

1.1 Define the business concept and long-term vision (10014) 1.2.3 Select long-term business strategy (10039)
1.1.1 Assess the external environment (10017) 1.2.4 Coordinate and align functional and process
1.1.1.1 Analyze and evaluate competition (10021) strategies (10040)
1.1.1.2 Identify economic trends (10022) 1.2.5 Create organizational design (structure,
1.1.1.3 Identify political and regulatory issues (10023) governance, reporting, etc.) (10041)
1.1.1.4 Assess new technology innovations (10024) 1.2.5.1 Evaluate breadth and depth of organizational
1.1.1.5 Analyze demographics (10025) structure (10049)
1.1.1.6 Identify social and cultural changes (10026) 1.2.5.2 Perform job-specific roles mapping and value-
1.1.1.7 Identify ecological concerns (10027) added analyses (10050)
1.1.2 Survey market and determine customer needs and 1.2.5.3 Develop role activity diagrams to assess hand-
wants (10018) off activity (10051)
1.1.2.1 Conduct qualitative/quantitative assessments 1.2.5.4 Perform organization redesign workshops
(10028) (10052)
1.1.2.2 Capture and assess customer needs (10029) 1.2.5.5 Design the relationships between
1.1.3 Perform internal analysis (10019) organizational units (10053)
1.1.3.1 Analyze organizational characteristics (10030) 1.2.5.6 Develop role analysis and activity diagrams for
1.1.3.2 Create baselines for current processes (10031) key processes (10054)
1.1.3.3 Analyze systems and technology (10032) 1.2.5.7 Assess organizational implication of feasible
1.1.3.4 Analyze financial positions (10033) alternatives (10055)
1.1.3.5 Identify enterprise core competencies (10034) 1.2.5.8 Migrate to new organization (10056)
1.1.4 Establish strategic vision (10020) 1.2.6 Develop and set organizational goals (10042)
1.1.4.1 Align stakeholders around strategic vision 1.2.7 Formulate business unit strategies (10043)
(10035)
1.1.4.2 Communicate strategic vision to stakeholders 1.3 Manage strategic initiatives (10016)
(10036) 1.3.1 Develop strategic initiatives (10057)
1.3.2 Evaluate strategic initiatives (10058)
1.2 Develop business strategy (10015)
1.3.3 Select strategic initiatives (10059)
1.2.1 Develop overall mission statement (10037)
1.3.4 Establish high-level measures (10060)
1.2.1.1 Define current business (10044)
1.2.1.2 Formulate mission (10045)
1.2.1.3 Communicate mission (10046)
1.2.2 Evaluate strategic options to achieve the objectives
(10038)
1.2.2.1 Define strategic options (10047)
1.2.2.2 Assess and analyze impact of each option
(10048)
1.2.2.3 Develop sustainability strategy (14189)
1.2.2.4 Develop global support and shared services
strategy (14190)
1.2.2.5 Develop risk mitigation and management
strategy (14191)
1.2.2.6 Develop lean/continuous improvement
strategy (14197)

4 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 2.0 Develop and Manage Products and Services (10003)

2.1 Manage product and service portfolio (10061) 2.2.1.1 Assign resources to product/service project
2.1.1 Evaluate performance of existing products/services (10083)
against market opportunities (10063) 2.2.1.2 Prepare high-level business case and technical
2.1.2 Define product/service development requirements assessment (10084)
(10064) 2.2.1.3 Develop product/service design specifications
2.1.2.1 Identify potential improvements to existing (10085)
products and services (10068) 2.2.1.4 Document design specifications (10086)
2.1.2.2 Identify potential new products and services 2.2.1.5 Conduct mandatory and elective external
(10069) reviews (legal, regulatory, standards, internal)
(10087)
2.1.3 Perform discovery research (10065)
2.2.1.6 Build prototypes (10088)
2.1.3.1 Identify new technologies (10070)
2.2.1.7 Eliminate quality and reliability problems (10089)
2.1.3.2 Develop new technologies (10071)
2.2.1.8 Conduct in-house product/service testing and
2.1.3.3 Assess feasibility of integrating new leading
evaluate feasibility (10090)
technologies into product/service concepts
2.2.1.9 Identify design/development performance
(10072)
indicators (10091)
2.1.4 Confirm alignment of product/service concepts with 2.2.1.10 Collaborate on design with suppliers and
business strategy (10066) contract manufacturers (10092)
2.1.4.1 Plan and develop cost and quality targets
2.2.2 Test market for new or revised products and
(10073)
services (10081)
2.1.4.2 Prioritize and select new product/service
2.2.2.1 Prepare detailed market study (10093)
concepts (10074)
2.2.2.2 Conduct customer tests and interviews (10094)
2.1.4.3 Specify development timing targets (10075)
2.2.2.3 Finalize product/service characteristics and
2.1.4.4 Plan for product/service offering modifications
business cases (10095)
(10076)
2.2.2.4 Finalize technical requirements (10096)
2.1.5 Manage product and service life cycle (10067) 2.2.2.5 Identify requirements for changes to
2.1.5.1 Introduce new products/services (10077) manufacturing/delivery processes (10097)
2.1.5.2 Retire outdated products/services (10078)
2.2.3 Prepare for production (10082)
2.1.5.3 Identify and refine performance indicators
2.2.3.1 Develop and test prototype production and/or
(10079)
service delivery process (10098)
2.1.6 Manage product and service master data (14192) 2.2.3.2 Design and obtain necessary materials and
2.2 Develop products and services (10062) equipment (10099)
2.2.3.3 Install and validate production process or
2.2.1 Design, build, and evaluate products and services
methodology (10100)
(10080)

3.0 Market and Sell Products and Services (10004)

3.1 Understand markets, customers, and capabilities (10101) 3.1.2.2 Determine target segments (10117)
3.1.1 Perform customer and market intelligence analysis 3.1.2.3 Prioritize opportunities consistent with cap-
(10106) abilities and overall business strategy (10118)
3.1.1.1 Conduct customer and market research 3.1.2.4 Validate opportunities (10119)
(10108)
3.2 Develop marketing strategy (10102)
3.1.1.2 Identify market segments (10109)
3.1.1.3 Analyze market and industry trends (10110) 3.2.1 Define offering and customer value proposition
3.1.1.4 Analyze competing organizations, competitive/ (11168)
substitute products (10111) 3.2.1.1 Define offering and positioning (11169)
3.1.1.5 Evaluate existing products/brands (10112) 3.2.1.2 Develop value proposition including brand
3.1.1.6 Assess internal and external business positioning for target segments (11170)
environment (10113) 3.2.1.3 Validate value proposition with target
segments (11171)
3.1.2 Evaluate and prioritize market opportunities (10107)
3.2.1.4 Develop new branding (11172)
3.1.2.1 Quantify market opportunities (10116)

Version 5.2.0-en-XI • December 2010 5

 3.2.2 Define pricing strategy to align to value proposition 3.4.4 Develop and manage pricing (10151)
(10123) 3.4.4.1 Determine pricing based on volume/unit
3.2.2.1 Establish guidelines for applying pricing of forecast (10163)
products/services (10124) 3.4.4.2 Execute pricing plan (10164)
3.2.2.2 Approve pricing strategies/policies (10125) 3.4.4.3 Evaluate pricing performance (10165)
3.2.3 Define and manage channel strategy (10122) 3.4.4.4 Refine pricing as needed (10166)
3.2.3.1 Evaluate channel attributes and partners 3.4.5 Develop and manage promotional activities (10152)
(10126) 3.4.5.1 Define promotional concepts (10167)
3.2.3.2 Determine channel fit with target segments 3.4.5.2 Plan and test promotional activities (10168)
(10127) 3.4.5.3 Execute promotional activities (10169)
3.2.3.3 Select channels for target segments (10128) 3.4.5.4 Evaluate promotional performance metrics
(10170)
3.3 Develop sales strategy (10103) 3.4.5.5 Refine promotional performance metrics
3.3.1 Develop sales forecast (10129) (10171)
3.3.1.1 Gather current and historic order information 3.4.5.6 Incorporate learning into future/planned
(10134) consumer promotions (10172)
3.3.1.2 Analyze sales trends and patterns (10135) 3.4.6 Track customer management measures (10153)
3.3.1.3 Generate sales forecast (10136) 3.4.6.1 Determine customer loyalty/lifetime value
3.3.1.4 Analyze historical and planned promotions and (10173)
events (10137) 3.4.6.2 Analyze customer revenue trend (10174)
3.3.2 Develop sales partner/alliance relationships (10130) 3.4.6.3 Analyze customer attrition and retention rates
3.3.2.1 Identify alliance opportunities (10138) (10175)
3.3.2.2 Design alliance programs and methods for 3.4.6.4 Analyze customer metrics (10176)
selecting and managing relationships (10139) 3.4.6.5 Revise customer strategies, objectives, and
3.3.2.3 Select alliances (10140) plans based on metrics (10177)
3.3.2.4 Develop partner and alliance management 3.4.7 Develop and manage packaging strategy (10154)
strategies (10141) 3.4.7.1 Plan packaging strategy (10178)
3.3.2.5 Establish partner and alliance management 3.4.7.2 Test packaging options (10179)
goals (10142) 3.4.7.3 Execute packaging strategy (10180)
3.3.3 Establish overall sales budgets (10131) 3.4.7.4 Refine packaging (10181)
3.3.3.1 Calculate product revenue (10143)
3.3.3.2 Determine variable costs (10144) 3.5 Develop and manage sales plans (10105)
3.3.3.3 Determine overhead and fixed costs (10145) 3.5.1 Generate leads (10182)
3.3.3.4 Calculate net profit (10146) 3.5.1.1 Identify potential customers (10188)
3.3.3.5 Create budget (10147) 3.5.1.2 Identify leads (10189)
3.3.4 Establish sales goals and measures (10132) 3.5.2 Manage customers and accounts (10183)
3.3.5 Establish customer management measures (10133) 3.5.2.1 Develop sales/key account plan (11173)
3.5.2.2 Manage customer relationships (11174)
3.4 Develop and manage marketing plans (10104) 3.5.2.3 Manage customer master data (14208)
3.4.1 Establish goals, objectives, and metrics for 3.5.3 Manage customer sales (10184)
products by channels/segments (10148) 3.5.3.1 Perform sales calls (10190)
3.4.2 Establish marketing budgets (10149) 3.5.3.2 Perform pre-sales activities (10191)
3.4.2.1 Confirm marketing alignment to business 3.5.3.3 Close the sale (10192)
strategy (10155) 3.5.3.4 Record outcome of sales process (10193)
3.4.2.2 Determine costs of marketing (10156) 3.5.4 Manage sales orders (10185)
3.4.2.3 Create marketing budget (10157) 3.5.4.1 Accept and validate sales orders (10194)
3.4.3 Develop and manage media (10150) 3.5.4.2 Collect and maintain customer account
3.4.3.1 Define media objectives (10158) information (10195)
3.4.3.2 Develop marketing messages (10159) 3.5.4.3 Determine availability (10196)
3.4.3.3 Define target audience (10160) 3.5.4.4 Determine fulfillment process (10197)
3.4.3.4 Engage media provider (10161) 3.5.4.5 Enter orders into system and identify/perform
3.4.3.5 Develop and execute advertising (10162) cross-sell/up-sell activity (10198)
3.4.3.6 Develop and execute other marketing 3.5.4.6 Process back orders and updates (10199)
campaigns/programs (11253) 3.5.4.7 Handle order inquiries including post-order
3.4.3.7 Assess brand/product marketing plan fulfillment transactions (10200)
performance (11254)

6 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 3.5.5 Manage sales force (10186) 3.5.6.2 Develop sales forecast by partner/alliance
3.5.5.1 Determine sales resource allocation (10209) (10212)
3.5.5.2 Establish sales force incentive plan (10210) 3.5.6.3 Agree on partner and alliance commissions
3.5.6 Manage sales partners and alliances (10187) (10213)
3.5.6.1 Provide sales and product training to sales 3.5.6.4 Evaluate partner/alliance results (10214)
partners/alliances (10211) 3.5.6.5 Manage channel partner master data (14209)

4.0 Deliver Products and Services

4.1 Plan for and acquire necessary resources 4.1.5.6 Manage collaborative replenishment planning
(Supply Chain Planning) (10215) (10256)
4.1.1 Develop production and materials strategies (10221) 4.1.5.7 Manage requirements for partners (10257)
4.1.1.1 Define manufacturing goals (10229) 4.1.5.8 Calculate destination dispatch plan (10258)
4.1.1.2 Define labor and materials policies (10230) 4.1.5.9 Manage dispatch plan attainment (10259)
4.1.1.3 Define outsourcing policies (10231) 4.1.5.10 Calculate destination load plans (10260)
4.1.1.4 Define manufacturing capital expense policies 4.1.5.11 Manage partner load plan (10261)
(10232) 4.1.5.12 Manage cost of supply (10262)
4.1.1.5 Define capacities (10233) 4.1.5.13 Manage capacity utilization (10263)
4.1.1.6 Define production network and supply 4.1.6 Establish distribution planning constraints (10226)
constraints (10234) 4.1.6.1 Establish distribution center layout constraints
4.1.1.7 Define production process (14193) (10267)
4.1.1.8 Define production workplace layout and 4.1.6.2 Establish inventory management constraints
infrastructure (14194) (10268)
4.1.2 Manage demand for products and services (10222) 4.1.6.3 Establish transportation management
4.1.2.1 Develop baseline forecasts (10235) constraints (10269)
4.1.2.2 Collaborate with customers (10236) 4.1.7 Review distribution planning policies (10227)
4.1.2.3 Develop consensus forecast (10237) 4.1.7.1 Review distribution network (10264)
4.1.2.4 Allocate available to promise (10238) 4.1.7.2 Establish sourcing relationships (10265)
4.1.2.5 Monitor activity against forecast and revise 4.1.7.3 Establish dynamic deployment policies (10266)
forecast (10239) 4.1.8 Assess distribution planning performance (10228)
4.1.2.6 Evaluate and revise forecasting approach 4.1.8.1 Establish appropriate performance indicators
(10240) (metrics) (10270)
4.1.2.7 Measure forecast accuracy (10241) 4.1.8.2 Establish monitoring frequency (10271)
4.1.3 Create materials plan (10223) 4.1.8.3 Calculate performance measures (10272)
4.1.3.1 Create unconstrained plan (10242) 4.1.8.4 Identify performance trends (10273)
4.1.3.2 Collaborate with supplier and contract 4.1.8.5 Analyze performance benchmark gaps (10274)
manufacturers (10243) 4.1.8.6 Prepare appropriate reports (10275)
4.1.3.3 Identify critical materials and supplier capacity 4.1.8.7 Develop performance improvement plan
(10244) (10276)
4.1.3.4 Monitor material specifications (10245) 4.1.9 Develop quality standards and procedures (10368)
4.1.3.5 Generate constrained plan (10246) 4.1.9.1 Establish quality targets (10371)
4.1.3.6 Define production balance and control (14196) 4.1.9.2 Develop standard testing procedures (10372)
4.1.4 Create and manage master production schedule 4.1.9.3 Communicate quality specifications (10373)
(10224)
4.2 Procure materials and services (10216)
4.1.4.1 Generate site-level plan (10247)
4.1.4.2 Manage work-in-progress inventory (10248) 4.2.1 Develop sourcing strategies (10277)
4.1.4.3 Collaborate with suppliers (10249) 4.2.1.1 Develop procurement plan (10281)
4.1.4.4 Generate and execute site schedule (10250) 4.2.1.2 Clarify purchasing requirements (10282)
4.2.1.3 Develop inventory strategy (10283)
4.1.5 Plan distribution requirements (10225)
4.2.1.4 Match needs to supply capabilities (10284)
4.1.5.1 Allocate available to promise (10251)
4.2.1.5 Analyze company’s spend profile (10285)
4.1.5.2 Maintain master data (10252)
4.2.1.6 Seek opportunities to improve efficiency and
4.1.5.3 Determine finished goods inventory
value (10286)
requirements at destination (10253)
4.2.1.7 Collaborate with suppliers to identify sourcing
4.1.5.4 Calculate requirements at destination (10254)
opportunities (10287)
4.1.5.5 Calculate consolidation at source (10255)

Version 5.2.0-en-XI • December 2010 7

 4.2.2 Select suppliers and develop/maintain contracts 4.4.1.3 Generate service order (10326)
(10278) 4.4.2 Identify and schedule resources to meet service
4.2.2.1 Select suppliers (10288) requirements (10321)
4.2.2.2 Certify and validate suppliers (10289) 4.4.2.1 Create resourcing plan and schedule (10327)
4.2.2.3 Negotiate contracts (10290) 4.4.2.2 Create service order fulfillment schedule
4.2.2.4 Manage contracts (10291) (10328)
4.2.3 Order materials and services (10279) 4.4.2.3 Develop service order (10329)
4.2.3.1 Process/Review requisitions (10292) 4.4.3 Provide service to specific customers (10322)
4.2.3.2 Approve requisitions (10293) 4.4.3.1 Organize daily service order fulfillment
4.2.3.3 Solicit/Track vendor quotes (10294) schedule (10330)
4.2.3.4 Create/Distribute purchase orders (10295) 4.4.3.2 Dispatch resources (10331)
4.2.3.5 Expedite orders and satisfy inquiries (10296) 4.4.3.3 Manage order fulfillment progress (10332)
4.2.3.6 Record receipt of goods (10297) 4.4.3.4 Validate order fulfillment block completion
4.2.3.7 Research/Resolve exceptions (10298) (10333)
4.2.4 Appraise and develop suppliers (10280) 4.4.4 Ensure quality of service (10323)
4.2.4.1 Monitor/Manage supplier information (10299) 4.4.4.1 Identify completed orders for feedback (10334)
4.2.4.2 Prepare/Analyze procurement and vendor 4.4.4.2 Identify incomplete orders and service failures
performance (10300) (10335)
4.2.4.3 Support inventory and production processes 4.4.4.3 Solicit customer feedback on services
(10301) delivered (10336)
4.2.4.4 Monitor quality of product delivered (10302) 4.4.4.4 Process customer feedback on services
delivered (10337)
4.3 Produce/Manufacture/Deliver product (10217)
4.3.1 Schedule production (10303) 4.5 Manage logistics and warehousing (10219)
4.3.1.1 Generate line level plan (10306) 4.5.1 Define logistics strategy (10338)
4.3.1.2 Generate detailed schedule (10307) 4.5.1.1 Translate customer service requirements into
4.3.1.3 Schedule production orders and create lots logistics requirements (10343)
(10308) 4.5.1.2 Design logistics network (10344)
4.3.1.4 Release production orders and create lots 4.5.1.3 Communicate outsourcing needs (10345)
(10309) 4.5.1.4 Develop and maintain delivery service policy
4.3.2 Produce product (10304) (10346)
4.3.2.1 Manage raw material inventory (10310) 4.5.1.5 Optimize transportation schedules and costs
4.3.2.2 Execute detailed line schedule (10311) (10347)
4.3.2.3 Rerun defective items (10313) 4.5.1.6 Define key performance measures (10348)
4.3.2.4 Assess production performance (10314) 4.5.2 Plan and manage inbound material flow (10339)
4.3.3 Schedule and perform maintenance (10305) 4.5.2.1 Plan inbound material receipts (10349)
4.3.3.1 Determine process for preventive (planned) 4.5.2.2 Manage inbound material flow (10350)
maintenance (Preventive Maintenance Orders) 4.5.2.3 Monitor inbound delivery performance (10351)
(10315) 4.5.2.4 Manage flow of returned products (10352)
4.3.3.2 Determine process for requested (unplanned) 4.5.3 Operate warehousing (10340)
maintenance (Work Order Cycle) (10316) 4.5.3.1 Track inventory deployment (10353)
4.3.3.3 Execute maintenance (10317) 4.5.3.2 Receive, inspect, and store inbound deliveries
4.3.3.4 Calibrate test equipment (10318) (10354)
4.3.3.5 Report maintenance issues (10319) 4.5.3.3 Track product availability (10355)
4.3.4 Perform quality testing (10369) 4.5.3.4 Pick, pack, and ship product for delivery (10356)
4.3.4.1 Perform testing using the standard testing 4.5.3.5 Track inventory accuracy (10357)
procedure (10374) 4.5.3.6 Track third-party logistics storage and shipping
4.3.4.2 Record test results (10375) performance (10358)
4.3.5 Maintain production records and manage lot 4.5.3.7 Manage physical finished goods inventory
traceability (10370) (10359)
4.3.5.1 Determine lot numbering system (10376) 4.5.4 Operate outbound transportation (10341)
4.3.5.2 Determine lot usage (10377) 4.5.4.1 Plan, transport, and deliver outbound product
(10360)
4.4 Deliver service to customer (10218) 4.5.4.2 Track carrier delivery performance (10361)
4.4.1 Confirm specific service requirements for individual 4.5.4.3 Manage transportation fleet (10362)
customer (10320) 4.5.4.4 Process and audit carrier invoices and
4.4.1.1 Process customer request (10324) documents (10363)
4.4.1.2 Create customer profile (10325)

8 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 4.5.5 Manage returns; manage reverse logistics (10342) 4.5.5.4 Manage and process warranty claims (10367)
4.5.5.1 Authorize and process returns (10364) 4.5.5.5 Manage repair/refurbishment and return to
4.5.5.2 Perform reverse logistics (10365) customer/stock (14195)
4.5.5.3 Perform salvage activities (10366)

5.0 Manage Customer Service (10006)

5.1 Develop customer care/customer service strategy (10378) 5.3 Measure and evaluate customer service operations
5.1.1 Develop customer service segmentation/ (10380)
prioritization (e.g., tiers) (10381) 5.3.1 Measure customer satisfaction with customer
5.1.1.1 Analyze existing customers (10384) requests/inquiries handling (10401)
5.1.1.2 Analyze feedback of customer needs (10385) 5.3.1.1 Gather and solicit post-sale customer feedback
5.1.2 Define customer service policies and procedures on products and services (10404)
(10382) 5.3.1.2 Solicit post-sale customer feedback on ad
5.1.3 Establish service levels for customers (10383) effectiveness (10405)
5.3.1.3 Analyze product and service satisfaction
5.2 Plan and manage customer service operations (10379) data and identify improvement opportunities
5.2.1 Plan and manage customer service work force (10406)
(10387) 5.3.1.4 Provide customer feedback to product
5.2.1.1 Forecast volume of customer service contacts management on products and services (10407)
(10390) 5.3.2 Measure customer satisfaction with customer-
5.2.1.2 Schedule customer service work force (10391) complaint handling and resolution (10402)
5.2.1.3 Track work force utilization (10392) 5.3.2.1 Solicit customer feedback on complaint
5.2.1.4 Monitor and evaluate quality of customer handling and resolution (11236)
interactions with customer service 5.3.2.2 Analyze customer complaint data and identify
representatives (10393) improvement opportunities (11237)
5.2.2 Manage customer service requests/inquiries (10388) 5.3.3 Measure customer satisfaction with products and
5.2.2.1 Receive customer requests/inquiries (10394) services (10403)
5.2.2.2 Route customer requests/inquiries (10395) 5.3.3.1 Gather and solicit post-sale customer feedback
5.2.2.3 Respond to customer requests/inquiries on products and services (11238)
(10396) 5.3.3.2 Solicit post-sale customer feedback on ad
5.2.3 Manage customer complaints (10389) effectiveness (11239)
5.2.3.1 Receive customer complaints (10397) 5.3.3.3 Analyze product and service satisfaction data
5.2.3.2 Route customer complaints (10398) and identify improvement opportunities (11240)
5.2.3.3 Resolve customer complaints (10399) 5.3.3.4 Provide customer feedback to product
5.2.3.4 Respond to customer complaints (10400) management on products and services (11241)

6.0 Develop and Manage Human Capital (10007)

6.1 Develop and manage human resources (HR) planning, 6.1.2.2 Plan employee resourcing requirements per
policies, and strategies (10409) unit/organization (10424)
6.1.1 Develop human resources strategy (10415) 6.1.2.3 Develop compensation plan (10425)
6.1.1.1 Identify strategic HR needs (10418) 6.1.2.4 Develop succession plan (10426)
6.1.1.2 Define HR and business function roles and 6.1.2.5 Develop employee diversity plan (10427)
accountability (10419) 6.1.2.6 Develop other HR programs (10428)
6.1.1.3 Determine HR costs (10420) 6.1.2.7 Develop HR policies (10429)
6.1.1.4 Establish HR measures (10421) 6.1.2.8 Administer HR policies (10430)
6.1.1.5 Communicate HR strategies (10422) 6.1.2.9 Plan employee benefits (10431)
6.1.2 Develop and implement human resources plans 6.1.2.10 Develop strategy for HR systems/technologies/
(10416) tools (10432)
6.1.2.1 Gather skill requirements according to 6.1.2.11 Develop work force strategy models (10433)
corporate strategy and market environment 6.1.3 Monitor and update plans (10417)
(10423) 6.1.3.1 Measure realization of objectives (10434)

Version 5.2.0-en-XI • December 2010 9

 6.1.3.2 Measure contribution to business strategy 6.3.2.3 Evaluate and review performance program
(10435) (10481)
6.1.3.3 Communicate plans and provide updates to 6.3.3 Manage employee relations (10471)
stakeholders (10436) 6.3.3.1 Manage health and safety (10482)
6.1.3.4 Determine value added from HR function 6.3.3.2 Manage labor relations (10483)
(10437) 6.3.3.3 Manage collective bargaining process (10484)
6.1.3.5 Review and revise HR plans (10438) 6.3.3.4 Manage labor management partnerships
(10485)
6.2 Recruit, source, and select employees (10410)
6.3.4 Manage employee development (10472)
6.2.1 Create and develop employee requisitions (10439)
6.3.4.1 Develop competency management plans (10486)
6.2.1.1 Align staffing plan to work force plan and
6.3.4.2 Define employee development guidelines
business unit strategies/resource needs
(10487)
(10445)
6.3.4.3 Develop employee career plans (10488)
6.2.1.2 Develop and open job requisition (10446)
6.3.4.4 Manage employee skills development (10489)
6.2.1.3 Develop job description (10447)
6.2.1.4 Post requisition (10448) 6.3.5 Develop and train employees (10473)
6.2.1.5 Manage internal/external job posting Web 6.3.5.1 Align employee and organization development
sites (10449) needs (10490)
6.2.1.6 Change//Update requisition (10450) 6.3.5.2 Align learning programs with competencies
6.2.1.7 Notify hiring manager (10451) (10491)
6.2.1.8 Manage requisition date (10452) 6.3.5.3 Establish training needs by analysis of
required and available skills (10492)
6.2.2 Recruit/Source candidates (10440)
6.3.5.4 Develop, conduct, and manage employee and/
6.2.2.1 Determine recruitment methods (10453)
or management training programs (10493)
6.2.2.2 Perform recruiting activities/events (10454)
6.2.2.3 Manage recruitment vendors (10455) 6.4 Reward and retain employees (10412)
6.2.3 Screen and select candidates (10441) 6.4.1 Develop and manage reward, recognition, and
6.2.3.1 Identify and deploy candidate selection tools motivation programs (10494)
(10456) 6.4.1.1 Develop salary/compensation structure and
6.2.3.2 Interview candidates (10457) plan (10498)
6.2.3.3 Test candidates (10458) 6.4.1.2 Develop benefits and reward plan (10499)
6.2.3.4 Select and reject candidates (10459) 6.4.1.3 Perform competitive analysis of benefit and
6.2.4 Manage pre-placement verification (10442) rewards (10500)
6.2.4.1 Complete candidate background information 6.4.1.4 Identify compensation requirements based on
(10460) financial, benefits, and HR policies (10501)
6.2.4.2 Conduct pre-employment screening (10461) 6.4.1.5 Administer compensation and rewards to
6.2.4.3 Recommend/not recommend candidate (10462) employees (10502)
6.2.5 Manage new hire/re-hire (10443) 6.4.1.6 Reward and motivate employees (10503)
6.2.5.1 Draw up and make offer (10463) 6.4.2 Manage and administer benefits (10495)
6.2.5.2 Negotiate offer (10464) 6.4.2.1 Deliver employee benefits program (10504)
6.2.5.3 Hire candidate (10465) 6.4.2.2 Administer benefit enrollment (10505)
6.2.6 Track candidates (10444) 6.4.2.3 Process claims (10506)
6.2.6.1 Create applicant record (10466) 6.4.2.4 Perform benefit reconciliation (10507)
6.2.6.2 Manage/track applicant data (10467) 6.4.3 Manage employee assistance and retention (10496)
6.2.6.3 Archive and retain records of non-hires (10468) 6.4.3.1 Deliver programs to support work/life balance
for employees (10508)
6.3 Develop and counsel employees (10411) 6.4.3.2 Develop family support systems (10509)
6.3.1 Manage employee orientation and deployment 6.4.3.3 Review retention and motivation indicators
(10469) (10510)
6.3.1.1 Create/maintain employee on-boarding 6.4.3.4 Review compensation plan (10511)
program (10474) 6.4.4 Administer Payroll (10497)
6.3.1.2 Introduce new employees to managers (10475)
6.3.1.3 Introduce workplace (10476) 6.5 Redeploy and retire employees (10413)
6.3.1.4 Evaluate the effectiveness of the employee 6.5.1 Manage promotion and demotion process (10512)
on-boarding program (11243) 6.5.2 Manage separation (10513)
6.3.2 Manage employee performance (10470) 6.5.3 Manage retirement (10514)
6.3.2.1 Define performance objectives (10479)
6.5.4 Manage leave of absence (10515)
6.3.2.2 Review, appraise, and manage employee
performance (10480)

10 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 6.5.5 Develop and implement employee outplacement 6.6.3 Manage and maintain employee data (10524)
(10516) 6.6.4 Manage human resource information systems
6.5.6 Manage deployment of personnel (10517) (HRIS) (10525)
6.5.7 Relocate employees and manage assignments 6.6.5 Develop and manage employee metrics (10526)
(10518) 6.6.6 Develop and manage time and attendance (10527)
6.5.8 Manage employment reduction and retirement 6.6.7 Manage employee communication (10528)
(10519) 6.6.7.1 Develop employee communication plan
6.5.9 Manage expatriates (10520) (10529)
6.6.7.2 Manage/collect employee suggestions and
6.6 Manage employee information (10414) perform employee research (10530)
6.6.1 Manage reporting processes (10522) 6.6.7.3 Manage employee grievances (10531)
6.6.2 Manage employee inquiry process (10523) 6.6.7.4 Publish employee communications (10532)

7.0 Manage Information Technology (10008)

7.1 Manage the business of information technology (10563) 7.1.5.2 Establish and maintain accounting process
7.1.1 Develop the enterprise IT strategy (10570) (10623)
7.1.1.1 Build strategic intelligence (10603) 7.1.5.3 Tie project funding to business case decision
7.1.1.2 Identify long-term IT needs of the enterprise in checkpoints (10624)
collaboration with stakeholders (10604) 7.1.6 Evaluate and communicate IT business value and
7.1.1.3 Define strategic standards, guidelines, and performance (10575)
principles (10605) 7.1.6.1 Establish and monitor key performance
7.1.1.4 Define and establish IT architecture and indicators (10625)
development standards (10606) 7.1.6.2 Evaluate IT plan performance (10626)
7.1.1.5 Define strategic vendors for IT components 7.1.6.3 Communicate IT value (10627)
(10607) 7.1.7 Perform IT staff management (10576)
7.1.1.6 Establish IT governance organization and 7.1.7.1 Develop IT leadership and staff (10628)
processes (10608) 7.1.7.2 Manage IT staff performance (10629)
7.1.1.7 Build strategic plan to support business
objectives (10609) 7.2 Develop and manage IT customer relationships (10564)
7.1.2 Define the enterprise architecture (10571) 7.2.1 Develop IT services and solutions strategy (10578)
7.1.2.1 Establish the enterprise architecture definition 7.2.1.1 Research IT services and solutions to address
(10611) business and user requirements (11244)
7.1.2.2 Confirm enterprise architecture maintenance 7.2.1.2 Translate business and user requirements into
approach (10612) IT services and solutions requirements (11245)
7.1.2.3 Maintain the relevance of the enterprise 7.2.1.3 Formulate IT services and solutions strategic
architecture (10613) initiatives (11246)
7.1.2.4 Act as clearinghouse for IT research and 7.2.1.4 Coordinate strategies with internal
innovation (10614) stakeholders to ensure alignment (11247)
7.1.2.5 Govern the enterprise architecture (10615) 7.2.1.5 Evaluate and select IT services and solutions
7.1.3 Manage the IT portfolio (10572) strategic initiatives (11248)
7.1.3.1 Establish the IT portfolio (10616) 7.2.2 Develop and manage IT service levels (10579)
7.1.3.2 Analyze and evaluate the value of the IT 7.2.2.1 Create and maintain the IT services and
portfolio for the enterprise (10617) solutions catalog (10640)
7.1.3.3 Provision resources in accordance with 7.2.2.2 Establish and maintain business and IT service
strategic priorities (10618) level agreements (10641)
7.1.4 Perform IT research and innovation (10573)
7.1.4.1 Research technologies to innovate IT services 7.2.2.3 Evaluate and report service-level attainment
and solutions (10620) results (10642)
7.1.4.2 Transition viable technologies for IT services 7.2.2.4 Communicate business and IT service-level
and solutions development (10621) improvement opportunities (10643)
7.1.5 Perform IT financial management (10574) 7.2.3 Perform demand-side management (DSM) for IT
7.1.5.1 Develop and maintain IT services and solutions services (10580)
cost transparency (10622) 7.2.3.1 Analyze IT services and solutions consumption
and usage (10644)

Version 5.2.0-en-XI • December 2010 11

 7.2.3.2 Develop and implement incentive programs 7.4.1.3 Identify and prioritize information and content
that improve consumption efficiency (10645) management actions (10656)
7.2.3.3 Develop volume/unit forecast for IT services 7.4.2 Define the enterprise information architecture
and solutions (10646) (10584)
7.2.4 Manage IT customer satisfaction (10581) 7.4.2.1 Define information elements, composite
7.2.4.1 Capture and analyze customer satisfaction structure, logical relationships and constraints,
(10647) taxonomy, and derivation rules (10657)
7.2.4.2 Assess and communicate customer 7.4.2.2 Define information access requirements
satisfaction patterns (10648) (10658)
7.2.4.3 Initiate improvements based on customer 7.4.2.3 Establish data custodianship (10659)
satisfaction patterns (10649) 7.4.2.4 Manage changes to content data architecture
7.2.5 Market IT services and solutions (10582) requirements (10660)
7.2.5.1 Develop IT services and solutions marketing 7.4.3 Manage information resources (10585)
strategy (10650) 7.4.3.1 Define the enterprise information/data policies
7.2.5.2 Develop and manage IT customer strategy and standards (10661)
(10651) 7.4.3.2 Develop and implement data and content
7.2.5.3 Manage IT services and solutions advertising administration (10662)
and promotional campaigns (10652) 7.4.4 Perform enterprise data and content management
7.2.5.4 Process and track IT services and solutions (10586)
orders (10653) 7.4.4.1 Define sources and destinations of content
data (10663)
7.3 Manage business resiliency and risk (11216)
7.4.4.2 Manage technical interfaces to users of
7.3.1 Develop and manage business resiliency (11217) content (10664)
7.3.1.1 Develop the business resilience strategy 7.4.4.3 Manage retention, revision, and retirement of
(11221) enterprise information (10665)
7.3.1.2 Perform continuous business operations
planning (11222) 7.5 Develop and maintain information technology solutions
7.3.1.3 Test continuous business operations (11223) (10566)
7.3.1.4 Maintain continuous business operations 7.5.1 Develop the IT development strategy (10587)
(11224) 7.5.1.1 Establish sourcing strategy for IT development
7.3.2 Develop and manage regulatory compliance (11218) (10666)
7.3.2.1 Develop the regulatory compliance strategy 7.5.1.2 Define development processes,
(11225) methodologies, and tools standards (10667)
7.3.2.2 Establish regulatory compliance controls 7.5.1.3 Select development methodologies and tools
(11226) (10668)
7.3.2.3 Manage regulatory compliance remediation 7.5.2 Perform IT services and solutions life cycle
(11227) planning (10588)
7.3.3 Perform integrated risk management (11219) 7.5.2.1 Plan development of new requirements (10669)
7.3.3.1 Develop an integrated risk strategy and 7.5.2.2 Plan development of feature and functionality
approach (11228) enhancement (10670)
7.3.3.2 Manage integrated risks (11229) 7.5.2.3 Develop life cycle plan for IT services and
7.3.4 Develop and implement security, privacy, and data solutions (10671)
protection controls (11220) 7.5.3 Develop and maintain IT services and solutions
7.3.4.1 Establish information security, privacy, and architecture (10589)
data protection strategies and levels (11230) 7.5.3.1 Create IT services and solutions architecture
7.3.4.2 Test, evaluate, and implement information (10672)
security and privacy and data protection 7.5.3.2 Revise IT services and solutions architecture
controls (11231) (10673)

7.4 Manage enterprise information (10565) 7.5.3.3 Retire IT services and solutions architecture
7.4.1 Develop information and content management (10674)
strategies (10583) 7.5.4 Create IT services and solutions (10590)
7.4.1.1 Understand information and content 7.5.4.1 Understand confirmed requirements (10675)
management needs and the role of IT services 7.5.4.2 Design IT services and solutions (10676)
for executing the business strategy (10654) 7.5.4.3 Acquire/Develop IT service/solution
7.4.1.2 Assess the information and content components (10677)
management implications of new technologies 7.5.4.4 Train services and solutions resources (10678)
(10655) 7.5.4.5 Test IT services/solutions (10679)

12 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 7.5.4.6 Confirm customer acceptance (10680) 7.7.4.1 Deliver IT services and solutions (10706)
7.5.5 Maintain IT services and solutions (10591) 7.7.4.2 Perform IT operations support services (10707)
7.5.5.1 Understand upkeep/enhance requirements and 7.7.5 Support IT services and solutions (10599)
defect analysis (10681) 7.7.5.1 Manage availability (10708)
7.5.5.2 Design change to existing IT service/solution 7.7.5.2 Manage facilities (10709)
(10682) 7.7.5.3 Manage backup/recovery (10710)
7.5.5.3 Acquire/develop changed IT service/solution 7.7.5.4 Manage performance and capacity (10711)
component (10683) 7.7.5.5 Manage incidents (10712)
7.5.5.4 Test IT service/solution change (10684) 7.7.5.6 Manage problems (10713)
7.5.5.5 Retire solutions and services (10685) 7.7.5.7 Manage inquiries (10714)

7.6 Deploy information technology solutions (10567) 7.8 Manage IT knowledge (10569)
7.6.1 Develop the IT deployment strategy (10592) 7.8.1 Develop IT knowledge management strategy
7.6.1.1 Establish IT services and solutions change (10600)
policies (10686) 7.8.1.1 Understand IT knowledge needs (10715)
7.6.1.2 Define deployment process, procedures, and 7.8.1.2 Understand current IT knowledge flow (10716)
tools standards (10687) 7.8.1.3 Coordinate strategy and roles with the
7.6.1.3 Select deployment methodologies and tools enterprise KM function (10717)
(10688) 7.8.1.4 Plan IT knowledge management actions and
7.6.2 Plan and implement changes (10593) priorities (10718)
7.6.2.1 Plan change deployment (10689) 7.8.2 Develop and maintain IT knowledge map (10601)
7.6.2.2 Communicate changes to stakeholders (10690) 7.8.2.1 Define knowledge elements, logical
7.6.2.3 Administer change schedule (10691) relationships and constraints, and currency
7.6.2.4 Train impacted users (10692) rules (10719)
7.6.2.5 Distribute and install change (10693) 7.8.2.2 Identify IT knowledge sources and repositories
7.6.2.6 Verify change (10694) (10720)
7.6.3 Plan and manage releases (10594) 7.8.2.3 Identify IT knowledge-sharing opportunities
7.6.3.1 Understand and coordinate release design and (10721)
acceptance (10695) 7.8.2.4 Define IT knowledge processes and
7.6.3.2 Plan release rollout (10696) approaches (10722)
7.6.3.3 Distribute and install release (10697) 7.8.3 Manage IT knowledge life cycle (10602)
7.6.3.4 Verify release (10698) 7.8.3.1 Gather knowledge elements from IT
knowledge sources (10723)
7.7 Deliver and support information technology services 7.8.3.2 Evaluate, create, and codify knowledge
(10568) elements (10724)
7.7.1 Develop IT services and solution delivery strategy 7.8.3.3 Deploy codified IT knowledge (10725)
(10595) 7.8.3.4 Update and retire IT knowledge (10726)
7.7.1.1 Establish sourcing strategy for IT delivery 7.8.3.5 Evaluate and improve IT knowledge strategies
(10699) and processes (10727)
7.7.1.2 Define delivery processes, procedures, and
tools standards (10700)
7.7.1.3 Select delivery methodologies and tools
(10701)
7.7.2 Develop IT support strategy (10596)
7.7.2.1 Establish sourcing strategy for IT support
(10702)
7.7.2.2 Define IT support services (10703)
7.7.3 Manage IT infrastructure resources (10597)
7.7.3.1 Manage IT inventory and assets (10704)
7.7.3.2 Manage IT resource capacity (10705)
7.7.4 Manage IT infrastructure operations (10598)

Version 5.2.0-en-XI • December 2010 13

 8.0 Manage Financial Resources (10009)

8.1 Perform planning and management accounting (10728) 8.2.4.3 Correspond/negotiate with delinquent
8.1.1 Perform planning/budgeting/forecasting (10738) accounts (10806)
8.1.1.1 Develop and maintain budget policies and 8.2.4.4 Discuss account resolution with internal
procedures (10771) parties (10807)
8.1.1.2 Prepare periodic budgets and plans (10772) 8.2.4.5 Process adjustments/write off balances
8.1.1.3 Prepare periodic financial forecasts (10773) (10808)
8.1.2 Perform cost accounting and control (10739) 8.2.5 Manage and process adjustments/deductions (10746)
8.1.2.1 Perform inventory accounting (10774) 8.2.5.1 Establish policies/procedures for adjustments
8.1.2.2 Perform cost of sales analysis (10775) (10809)
8.1.2.3 Perform product costing (10776) 8.2.5.2 Analyze adjustments (10810)
8.1.2.4 Perform variance analysis (10777) 8.2.5.3 Correspond/negotiate with customer (10811)
8.1.2.5 Report on profitability (11175) 8.2.5.4 Discuss resolution with internal parties (10812)
8.1.3 Perform cost management (10740) 8.2.5.5 Prepare chargeback invoices (10813)
8.1.3.1 Determine key cost drivers (10778) 8.2.5.6 Process related entries (10814)
8.1.3.2 Measure cost drivers (10779) 8.3 Perform general accounting and reporting (10730)
8.1.3.3 Determine critical activities (10780)
8.3.1 Manage policies and procedures (10747)
8.1.3.4 Manage asset resource deployment and
8.3.1.1 Negotiate service-level agreements (10815)
utilization (10781)
8.3.1.2 Establish accounting policies (10816)
8.1.4 Evaluate and manage financial performance (10741) 8.3.1.3 Set and enforce approval limits (10817)
8.1.4.1 Assess customer and product profitability 8.3.1.4 Establish common financial systems (10818)
(10782)
8.3.2 Perform general accounting (10748)
8.1.4.2 Evaluate new products (10783)
8.3.2.1 Maintain chart of accounts (10819)
8.1.4.3 Perform life cycle costing (10784)
8.3.2.2 Process journal entries (10820)
8.1.4.4 Optimize customer and product mix (10785)
8.3.2.3 Process allocations (10821)
8.1.4.5 Track performance of new-customer and
8.3.2.4 Process period end adjustments (e.g., accruals,
product strategies (10786)
currency conversions) (10822)
8.1.4.6 Prepare activity-based performance measures
8.3.2.5 Post and reconcile intercompany transactions
(10787)
(10823)
8.1.4.7 Manage continuous cost improvement (10788)
8.3.2.6 Reconcile general ledger accounts (10824)
8.2 Perform revenue accounting (10729) 8.3.2.7 Perform consolidations and process
8.2.1 Process customer credit (10742) eliminations (10825)
8.2.1.1 Establish credit policies (10789) 8.3.2.8 Prepare trial balance (10826)
8.2.1.2 Analyze/approve new account applications 8.3.2.9 Prepare and post management adjustments
(10790) (10827)
8.2.1.3 Review existing accounts (10791) 8.3.3 Perform fixed-asset accounting (10749)
8.2.1.4 Produce credit/collection reports (10792) 8.3.3.1 Establish fixed-asset policies and procedures
8.2.1.5 Reinstate or suspend accounts based on credit (10828)
policies (10793) 8.3.3.2 Maintain fixed-asset master data files (10829)
8.2.2 Invoice customer (10743) 8.3.3.3 Process and record fixed-asset additions and
8.2.2.1 Maintain customer/product master files (10794) retires (10830)
8.2.2.2 Generate customer billing data (10795) 8.3.3.4 Process and record fixed-asset adjustments,
8.2.2.3 Transmit billing data to customers (10796) enhancements, revaluations, and transfers
8.2.2.4 Post receivable entries (10797) (10831)
8.2.2.5 Resolve customer billing inquiries (10798) 8.3.3.5 Calculate and record depreciation expense
(10833)
8.2.3 Process accounts receivable (AR) (10744)
8.3.3.6 Process and record fixed-asset maintenance
8.2.3.1 Establish AR policies (10799)
and repair expenses (10832)
8.2.3.2 Receive/deposit customer payments (10800)
8.3.3.7 Reconcile fixed-asset ledger (10834)
8.2.3.3 Apply cash remittances (10801)
8.3.3.8 Track fixed-assets including physical inventory
8.2.3.4 Prepare AR reports (10802)
(10835)
8.2.3.5 Post AR activity to the general ledger (10803)
8.3.3.9 Provide fixed-asset data to support tax,
8.2.4 Manage and process collections (10745) statutory, and regulatory reporting (10836)
8.2.4.1 Establish policies for delinquent accounts
8.3.4 Perform financial reporting (10750)
(10804)
8.3.4.1 Prepare business unit financial statements
8.2.4.2 Analyze delinquent account balances (10805)
(10837)

14 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 8.3.4.2 Prepare consolidated financial statements 8.5.3.2 Produce and distribute employee annual tax
(10838) statements (10867)
8.3.4.3 Perform business unit reporting/review 8.5.3.3 File regulatory payroll tax forms (10868)
management reports (10839)
8.3.4.4 Perform consolidated reporting/review of cost 8.6 Process accounts payable and expense reimbursements
management reports (10840) (10733)
8.3.4.5 Prepare statements for board review (10841) 8.6.1 Process accounts payable (10756)
8.3.4.6 Produce quarterly/annual filings and 8.6.1.1 Verify AP pay file with PO vendor master file
shareholder reports (10842) (10869)
8.3.4.7 Produce regulatory reports (10843) 8.6.1.2 Maintain/manage electronic commerce (10870)
8.6.1.3 Audit invoices and key data in AP system
8.4 Manage fixed-asset project accounting (10731) (10871)
8.4.1 Perform capital planning and project approval 8.6.1.4 Approve payments (10872)
(10751) 8.6.1.5 Process financial accruals and reversals (10873)
8.4.1.1 Develop capital investment policies and 8.6.1.6 Process taxes (10874)
procedures (10844) 8.6.1.7 Research/resolve exceptions (10875)
8.4.1.2 Develop and approve capital expenditure plans 8.6.1.8 Process payments (10876)
and budgets (10845) 8.6.1.9 Respond to AP inquiries (10877)
8.4.1.3 Review and approve capital projects and fixed- 8.6.1.10 Retain records (10878)
asset acquisitions (10846) 8.6.1.11 Adjust accounting records (10879)
8.4.1.4 Conduct financial justification for project 8.6.2 Process expense reimbursements (10757)
approval (10847) 8.6.2.1 Establish and communicate expense
8.4.2 Perform capital project accounting (10752) reimbursement policies and approval limits
8.4.2.1 Create project account codes (10848) (10880)
8.4.2.2 Record project-related transactions (10849) 8.6.2.2 Capture and report relevant tax data (10881)
8.4.2.3 Monitor and track capital projects and budget 8.6.2.3 Approve reimbursements and advances
spending (10850) (10882)
8.4.2.4 Close/capitalize projects (10851) 8.6.2.4 Process reimbursements and advances (10883)
8.4.2.5 Measure financial returns on completed 8.6.2.5 Manage personal accounts (10884)
capital projects (10852)
8.7 Manage treasury operations (10734)
8.5 Process payroll (10732) 8.7.1 Manage treasury policies and procedures (10758)
8.5.1 Report time (10753) 8.7.1.1 Establish scope and governance of treasury
8.5.1.1 Establish policies and procedures (10853) operations (10885)
8.5.1.2 Collect and record employee time worked 8.7.1.2 Establish and publish treasury policies (10886)
(10854) 8.7.1.3 Develop treasury procedures (10887)
8.5.1.3 Analyze and report paid and unpaid leave 8.7.1.4 Monitor treasury procedures (10888)
(10855) 8.7.1.5 Audit treasury procedures (10889)
8.5.1.4 Monitor regular, overtime, and other hours 8.7.1.6 Revise treasury procedures (10890)
(10856) 8.7.1.7 Develop and confirm internal controls for
8.5.1.5 Analyze and report employee utilization treasury (10891)
(10857) 8.7.1.8 Define system security requirements (10892)
8.5.2 Manage pay (10754) 8.7.2 Manage cash (10759)
8.5.2.1 Enter employee time worked into payroll 8.7.2.1 Manage and reconcile cash positions (10893)
system (10858) 8.7.2.2 Manage cash equivalents (10894)
8.5.2.2 Maintain and administer employee earnings 8.7.2.3 Process and oversee electronic fund transfers
information (10859) (EFTs) (10895)
8.5.2.3 Maintain and administer applicable deductions 8.7.2.4 Develop cash flow forecasts (10896)
(10860) 8.7.2.5 Manage cash flows (10897)
8.5.2.4 Monitor changes in tax status of employees 8.7.2.6 Produce cash management accounting
(10861) transactions and reports (10898)
8.5.2.5 Process and distribute payments (10862) 8.7.2.7 Manage and oversee banking relationships
8.5.2.6 Process and distribute manual checks (10863) (10899)
8.5.2.7 Process period-end adjustments (10864) 8.7.2.8 Analyze, negotiate, resolve, and confirm bank
8.5.2.8 Respond to employee payroll inquiries (10865) fees (10900)
8.5.3 Process payroll taxes (10755) 8.7.3 Manage in-house bank accounts (10760)
8.5.3.1 Calculate and pay applicable payroll taxes 8.7.3.1 Manage in-house bank accounts for
(10866) subsidiaries (10901)

Version 5.2.0-en-XI • December 2010 15

 8.7.3.2 Manage and facilitate inter-company 8.8.1.4 Define business process objectives and risks
borrowing transactions (10902) (11250)
8.7.3.3 Manage centralized outgoing payments on 8.8.1.5 Define entity/unit risk tolerances (11251)
behalf of subsidiaries (10903) 8.8.2 Operate controls and monitor compliance with
8.7.3.4 Manage central incoming payments on behalf internal controls policies and procedures (10763)
of subsidiaries (10904) 8.8.2.1 Design and implement control activities
8.7.3.5 Manage internal payments and netting (10917)
transactions (10905) 8.8.2.2 Monitor control effectiveness (10918)
8.7.3.6 Calculate interest and fees for in-house bank 8.8.2.3 Remediate control deficiencies (10919)
accounts (10906) 8.8.2.4 Create compliance function (10920)
8.7.3.7 Provide account statements for in-house bank 8.8.2.5 Operate compliance function (10921)
accounts (10907) 8.8.2.6 Implement and maintain controls-related
8.7.4 Manage debt and investment (10761) enabling technologies and tools (10922)
8.7.4.1 Manage financial intermediary relationships 8.8.3 Report on internal controls compliance (10764)
(10908) 8.8.3.1 Report to external auditors (10923)
8.7.4.2 Manage liquidity (10909) 8.8.3.2 Report to regulators, share-/debt-holders,
8.7.4.3 Manage issuer exposure (10910) securities exchanges, etc. (10924)
8.7.4.4 Process and oversee debt and investment 8.8.3.3 Report to third parties (e.g., business partners)
transactions (10911) (10925)
8.7.4.5 Process and oversee foreign currency 8.8.3.4 Report to internal management (10926)
transactions (10912)
8.7.4.6 Produce debt and investment accounting 8.9 Manage taxes (10736)
transaction reports (10913) 8.9.1 Develop tax strategy and plan (10765)
8.7.4.7 Process and oversee interest rate transactions 8.9.1.1 Develop foreign, national, state, and local tax
(14210) strategy (10927)
8.7.5 Manage financial risks (11208) 8.9.1.2 Consolidate and optimize total tax plan (10928)
8.7.5.1 Manage interest-rate risk (11209) 8.9.1.3 Maintain tax master data (10929)
8.7.5.2 Manage foreign-exchange risk (11210) 8.9.2 Process taxes (10766)
8.7.5.3 Manage exposure risk (11211) 8.9.2.1 Perform tax planning/strategy (10930)
8.7.5.4 Develop and execute hedging transactions 8.9.2.2 Prepare returns (10931)
(11212) 8.9.2.3 Prepare foreign taxes (10932)
8.7.5.5 Evaluate and refine hedging positions (11213) 8.9.2.4 Calculate deferred taxes (10933)
8.7.5.6 Produce hedge accounting transactions and 8.9.2.5 Account for taxes (10934)
reports (11214) 8.9.2.6 Monitor tax compliance (10935)
8.7.5.7 Monitor credit (11215) 8.9.2.7 Address tax inquiries (10936)

8.8 Manage internal controls (10735) 8.10 Manage international funds/consolidation (10737)
8.8.1 Establish internal controls, policies, and procedures 8.10.1 Monitor international rates (10767)
(10762) 8.10.2 Manage transactions (10768)
8.8.1.1 Establish board of directors and audit 8.10.3 Monitor currency exposure/hedge currency (10769)
committee (10914)
8.10.4 Report results (10770)
8.8.1.2 Define and communicate code of ethics
(10915)
8.8.1.3 Assign roles and responsibility for internal
controls (10916)

16 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 9.0 Acquire, Construct, and Manage Property (10010)

9.1 Design and construct/acquire nonproductive assets 9.2.2 Repair workplace and assets (10946)
(10937) 9.2.3 Provide preventive maintenance for workplace and
9.1.1 Develop property strategy and long-term vision assets (10947)
(10941) 9.2.4 Manage security (10948)
9.1.1.1 Confirm alignment of property requirements 9.2.5 Manage facilities operations (10949)
with business strategy (10955)
9.1.1.2 Assess the external environment (10956) 9.3 Obtain, install, and plan maintenance for productive
9.1.1.3 Make build or buy decision (10957) assets (10939)
9.1.2 Develop, construct, and modify sites (10942) 9.3.1 Develop ongoing maintenance policies for
9.1.3 Plan facility (10943) productive assets (10950)
9.1.3.1 Design facility (10958) 9.3.1.1 Analyze assets and predict maintenance
9.1.3.2 Analyze budget (10959) requirements (10967)
9.1.3.3 Select property (10960) 9.3.1.2 Develop approach to integrate preventive
9.1.3.4 Negotiate terms for facility (10961) maintenance into production schedule (10968)
9.1.3.5 Manage construction or modification to 9.3.2 Obtain and install equipment (10951)
building (10962) 9.3.2.1 Design engineering solution for the
9.1.4 Provide workspace and assets (10944) manufacturing process (10969)
9.1.4.1 Acquire workspace and assets (10963) 9.3.2.2 Install and commission equipment (10971)
9.1.4.2 Change fit/form/function of workspace and
9.4 Dispose of productive and nonproductive assets (10940)
assets (10964)
9.4.1 Develop exit strategy (10952)
9.2 Maintain nonproductive assets (10938) 9.4.2 Perform sale or trade (10953)
9.2.1 Move people and assets (10945) 9.4.3 Perform abandonment (10954)
9.2.1.1 Relocate people (10965)
9.2.1.2 Relocate material and tools (10966) 9.5 Manage physical risk (11207)

10.0 Manage Environmental Health and Safety (EHS) (11179)

10.1 Determine environmental health and safety impacts 10.4.2.1 Implement emergency response program
(11180) (11196)
10.1.1 Evaluate environmental impact of products, 10.4.2.2 Implement pollution prevention program
services, and operations (11186) (11197)
10.1.2 Conduct health and safety and environmental 10.4.3 Provide employees with EHS support (11195)
audits (11187)
10.5 Ensure compliance with regulations (11184)
10.2 Develop and execute environmental health and 10.5.1 Monitor compliance (11198)
safety program (11181) 10.5.2 Perform compliance audit (11199)
10.2.1 Identify regulatory and stakeholder requirements 10.5.3 Comply with regulatory stakeholders’ requirements
(11188) (11200)
10.2.2 Assess future risks and opportunities (11189)
10.6 Manage remediation efforts (11185)
10.2.3 Create EHS policy (11190)
10.6.1 Create remediation plans (11201)
10.2.4 Record and manage EHS events (11191)
10.6.2 Contact and confer with experts (11202)
10.3 Train and educate employees (11182) 10.6.3 Identify/dedicate resources (11203)
10.3.1 Communicate EHS issues to stakeholders and 10.6.4 Investigate legal aspects (11204)
provide support (11192) 10.6.5 Investigate damage cause (11205)
10.4 Monitor and manage environmental health and safety 10.6.6 Amend or create policy (11206)
management program (11183)
10.4.1 Manage EHS costs and benefits (11193)
10.4.2 Measure and report EHS performance (11194)

Version 5.2.0-en-XI • December 2010 17

 11.0 Manage External Relationships (10012)

11.1 Build investor relationships (11010) 11.4.5 Manage outside counsel (11048)
11.1.1 Plan, build, and manage lender relations (11035) 11.4.5.1 Assess problem and determine work
11.1.2 Plan, build, and manage analyst relations (11036) requirements (11056)
11.4.5.2 Engage/retain outside counsel if necessary
11.1.3 Communicate with shareholders (11037)
(11057)
11.2 Manage government and industry relationships (11011) 11.4.5.3 Receive strategy/budget (11058)
11.2.1 Manage government relations (11038) 11.4.5.4 Receive work product and manage/ monitor
case and work performed (11059)
11.2.2 Manage relations with quasi-government bodies
11.4.5.5 Process payment for legal services (11060)
(11039)
11.4.5.6 Track legal activity/performance (11061)
11.2.3 Manage relations with trade or industry groups
11.4.6 Protect intellectual property (11049)
(11040)
11.4.6.1 Manage copyrights and patents (11062)
11.2.4 Manage lobby activities (11041) 11.4.6.2 Maintain intellectual property rights and
11.3 Manage relations with board of directors (11012) restrictions (11063)
11.4.6.3 Administer licensing terms (11064)
11.3.1 Report results (11042)
11.4.6.4 Administer options (11065)
11.3.2 Report audit findings (11043)
11.4.7 Resolve disputes and litigations (11050)
11.4 Manage legal and ethical issues (11013) 11.4.8 Provide legal advice/counseling (11051)
11.4.1 Create ethics policies (11044) 11.4.9 Negotiate and document agreements/contracts
11.4.2 Manage corporate governance policies (11045) (11052)
11.4.3 Develop and perform preventive law programs 11.5 Manage public relations program (11014)
(11046)
11.5.1 Manage community relations (11066)
11.4.4 Ensure compliance (11047)
11.5.2 Manage media relations (11067)
11.4.4.1 Plan and initiate compliance program (11053)
11.4.4.2 Execute compliance program (11054) 11.5.3 Promote political stability (11068)
11.5.4 Create press releases (11069)
11.5.5 Issue press releases (11070)

12.0 Manage Knowledge, Improvement, and Change (10013)

12.1 Create and manage organizational performance strategy 12.2.3.3 Measure performance against benchmarks
(11071) (11091)
12.1.1 Create enterprise measurement systems model 12.2.4 Conduct competitive benchmarking (11086)
(11075) 12.2.4.1 Compile and update list of processes and
12.1.1.1 Establish performance measures (11080) organizations to benchmark (11092)
12.1.1.2 Establish performance monitoring frequency 12.2.4.2 Establish benchmarks (11093)
(11081) 12.2.4.3 Measure performance against benchmarks
12.1.1.3 Set performance targets (11082) (11094)
12.1.2 Measure process productivity (11076) 12.2.5 Conduct gap analysis to understand need for
12.1.3 Measure cost effectiveness (11077) change and degree needed (11087)
12.1.4 Measure staff efficiency (11078) 12.2.6 Establish need for change (11088)
12.1.5 Measure cycle time (11079) 12.3 Develop enterprise-wide knowledge management (KM)
12.2 Benchmark performance (11072) capability (11073)
12.2.1 Conduct performance assessments (11083) 12.3.1 Develop KM strategy (11095)
12.3.1.1 Develop governance model (11100)
12.2.2 Develop benchmarking capabilities (11084)
12.3.1.2 Establish central KM core group (11101)
12.2.3 Conduct process benchmarking (11085) 12.3.1.3 Define roles and accountability of core group
12.2.3.1 Compile and update list of processes and versus operating units (11102)
organizations to benchmark (11089) 12.3.1.4 Develop funding models (11103)
12.2.3.2 Establish benchmarks (11090) 12.3.1.5 Identify links to key initiatives (11104)

18 Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.
 12.3.1.6 Develop core KM methodologies (11105) 12.3.5.3 Promote and sustain activity and involvement
12.3.1.7 Assess IT needs and engage IT function (11132)
(11106) 12.3.5.4 Realign and refresh KM strategy and
12.3.1.8 Develop training and communication plans approaches (11133)
(11107)
12.3.1.9 Develop change management approaches 12.4 Manage change (11074)
(11108) 12.4.1 Plan for change (11134)
12.3.1.10 Develop strategic measures and indicators 12.4.1.1 Select process improvement methodology
(11109) (11138)
12.3.2 Assess knowledge management capabilities 12.4.1.2 Assess readiness for change (11139)
(11096) 12.4.1.3 Determine stakeholders (11140)
12.3.2.1 Assess maturity of existing KM initiatives 12.4.1.4 Engage/identify champion (11141)
(11110) 12.4.1.5 Form design team (11142)
12.3.2.2 Evaluate existing knowledge management 12.4.1.6 Define scope (11143)
approaches (11111) 12.4.1.7 Understand current state (11144)
12.3.2.3 Identify gaps and needs (11112) 12.4.1.8 Define future state (11145)
12.3.2.4 Enhance/modify existing knowledge 12.4.1.9 Conduct risk analysis (11146)
management approaches (11113) 12.4.1.10 Assess cultural issues (11147)
12.3.2.5 Develop new knowledge management 12.4.1.11 Establish accountability for change
approaches (11114) management (11148)
12.3.2.6 Implement new knowledge management 12.4.1.12 Identify barriers to change (11149)
approaches (11115) 12.4.1.13 Determine change enablers (11150)
12.4.1.14 Identify resources and develop measures
12.3.3 Identify and plan KM projects (11097)
(11151)
12.3.3.1 Identify strategic opportunities to apply KM
approach(es) (11116) 12.4.2 Design the change (11135)
12.3.3.2 Identify KM requirements and objectives 12.4.2.1 Assess connection to other initiatives (11152)
(11117) 12.4.2.2 Develop change management plans (11153)
12.3.3.3 Assess culture and readiness for KM approach 12.4.2.3 Develop training plan (11154)
(11118) 12.4.2.4 Develop communication plan (11155)
12.3.3.4 Identify appropriate KM methodologies (e.g., 12.4.2.5 Develop rewards/incentives plan (11156)
self-service, communities, transfer) (11119) 12.4.2.6 Establish metrics (11157)
12.3.3.5 Create business case and obtain funding 12.4.2.7 Establish/clarify new roles (11158)
(11120) 12.4.2.8 Identify budget/roles (11159)
12.3.3.6 Develop project measures and indicators 12.4.3 Implement change (11136)
(11121) 12.4.3.1 Create commitment for improvement/change
12.3.4 Design and launch KM projects (11098) (11160)
12.3.4.1 Design process for knowledge sharing, 12.4.3.2 Reengineer business processes and systems
capture, and use (11122) (11161)
12.3.4.2 Define roles and resources (11123) 12.4.3.3 Support transition to new roles or exit
12.3.4.3 Identify specific IT requirements (11124) strategies for incumbents (11162)
12.3.4.4 Create training and communication plans 12.4.3.4 Monitor change (11163)
(11125) 12.4.4 Sustain improvement (11137)
12.3.4.5 Develop change management plans (11126) 12.4.4.1 Monitor improved process performance
12.3.4.6 Design recognition and reward approaches (11164)
(11127) 12.4.4.2 Capture and reuse lessons learned from
12.3.4.7 Design and plan launch of KM project (11128) change process (11165)
12.3.4.8 Deploy the KM project (11129) 12.4.4.3 Take corrective action as necessary (11166)
12.3.5 Manage the KM project life cycle (11099)
12.3.5.1 Assess alignment with business goals (11130)
12.3.5.2 Evaluate impact of KM (strategy and projects)
on measures and outcomes (11131)

Version 5.2.0-en-XI • December 2010 19

 123 North Post Oak Lane, Third Floor
Houston, Texas 77024-7797, USA
800-776-9676 phone • +1-713-681-4020 • +1-713-681-8578 fax
pcf_feedback@apqc.org • www.apqc.org

Permission granted to photocopy for personal use. ©2010 APQC. ALL RIGHTS RESERVED.