COMPETENCY OF

DEMONSTRATION REPORT
(CDR)

PROFESSIONAL ENGINEER
INDUSTRIAL ENGINEER (233511)

JENNY ROCIO FONSECA BARON

D.O.B 01 JULY 1988

Statement
"All statements of fact in this report are true and correct, and I have
made claims of acquired competencies in good faith. The report is my
work and is a true representation of my competence in written English.
I confirm that I understand that members of the engineering team in
Australia must display a commitment to exercising professional and
ethical responsibility in all aspects of their work.”
INTRODUCTION
1.1 In this episode, I will discuss my role in the "Redesign, Optimization, and Automation
of the Periodic Economic Benefits Program (BEPS) Processes" project. Conducted at the
Colombian Pension Administrator (Colpensiones) with the Ministry of Labor of Colombia,
this 31-month governmental initiative spanned from May 2014 to November 2016.
Colpensiones, a leading state entity, covers major risks such as disability, survival, and
old age, benefiting 1.5 million pensioners.

1.2 To lead in its sector, Colpensiones implemented an operational transformation

model focused on automation. I was part of the process engineering team driving this
project to enhance control and improve citizen service management. Today,
Colpensiones is recognised for its capacity to serve Colombians abroad and its strong
financial sustainability.

1.3 The project aimed to improve, optimise and automate the entire BEPS process chain.
As a process engineering leader, I was key in designing solutions to enhance productivity
through detailed process analysis and robust business evaluation methodologies.

BACKGROUND
1.4 Colpensiones, the primary administrator of pensions and economic benefits for
Colombians, managed various processes, including client enrolment, data updating,
pension granting, complaint and claim management, and customer disengagement.
However, the organisation faced significant challenges due to information discrepancies
and lack of accuracy, as many processes were conducted on paper or through
unintegrated systems. This fragmentation led to severe issues in information flow,
negatively impacting service delivery and causing substantial operational errors. These
inefficiencies highlighted the need for a comprehensive overhaul to improve accuracy,
efficiency, and overall service quality.

1.5 After identifying inefficiencies, we redesigned the BEPS processes using the 1LEAN-
BPM methodology. Our responsibility was to meet customer needs and align process
objectives with Colpensiones' expectations. We analysed the value chain to eliminate
waste and find tasks for improvement. As a result, we automated processes with the
Bizagi BPMS system to standardise and integrate operations and all information systems.
We established controls to ensure quality and monitor performance, implementing a
continuous improvement cycle (Kaizen).

1 Ballé, M., Jones, D., Chaize, J., & Fiume, O. (2017). The Lean Strategy: using lean to create competitive advantage, unleash innovation, and
deliver sustainable growth. McGraw Hill Education.
1.6 The chart outlines my position at Colpensiones, where I was responsible for analysing
and redesigning processes with a focus on automation using BPM methodologies. My
tasks included preparing process manuals, regulations, and instructions based on
process mapping with Bizagi software, supporting Process Owners and Executors in
process and procedure development, designing training plans for process leaders,
contributing to the definition of business rules, and conducting organisational studies to
optimise the use of resources to meet Colpensiones' policies, plans, and objectives.

Board of Directors

Fiscal Auditor Financial Consumer Advocate

President

National Office of Process National Office of Internal Control

Engineering

National Office of Disciplinary Control

Head of Process Engineering

Senior Process Engineer

All Vice Presidencies of Operations

Figure 1 Organisational Structure

PERSONAL ENGINEERING ACTIVITY

1.7 The project began with data collection and AS-IS process mapping using the Bizagi
modeler, identifying all activities and interactions between clients and Colpensiones.
First, I researched customer expectations and then applied my knowledge in data
modeling, business rules definition, and assignment of responsibilities. Once the
modeling was completed, I deconstructed the activities to identify those that did not
add value. Based on the baseline defined from the analysis, I identified aspects for
improvement, such as time, resource utilization, and service quality. To strengthen the
redesign proposal, I implemented the Benchmarking tool, which allowed me to make
comparisons with similar organizations and set achievable goals. I considered the Total
Quality Management (TQM) model, the EFQM Model, ISO Standards, and the Six
Sigma Model. Below, I will describe the steps I developed as the leader of this BEPS
process improvement project:
Value Stream Mapping (VSM) and process modelling and data collection:

1.8 During the analysis, several key issues were identified, such as data inaccuracies and
discrepancies due to paper-based processes and non-integrated systems, manual and
fragmented processes causing information flow issues and operational errors, staff
resistance to adopting new technologies, technical challenges in system integration,
insufficient training and technical skills, high implementation costs, and regulatory
compliance complexity. For example, the analysis revealed that 45% of client data
contained errors due to manual entry, resulting in a 30% increase in processing time and
20% more customer complaints due to incorrect information. The following process
diagram illustrates how rework and inefficiencies were identified, leading to increased
costs for Colpensiones.

Figure 2 Example of How I Mapped the AS-IS Customer Enrollment Process for BEPS
1.9 The data collection highlights the impact of inaccuracies and inefficiencies identified
during the analysis using the Total Quality Management (TQM) model. The chart
illustrates the percentages of manual entry errors, increased processing time, and
customer complaints, thereby underscoring the need for process improvements to
reduce costs and enhance service quality for Colpensiones.

Impact of Data Inaccuracies and Inefficiencies

0.5
45%
0.45
0.4
0.35
30%
0.3
0.25
20%
0.2
0.15
0.1
0.05
0
Manual Entry Errors Increased Processing Time Customer Complaints

Manual Entry Errors Increased Processing Time Customer Complaints

Figure 3 Inefficiencies in the process

Analysis, Waste Elimination, and Workflow Optimization:

1.10 Once the issues in the customer service processes of the BEPS program
improvement project were identified, the next step was to analyse the value stream map
to identify non-value-adding activities. We eliminated or reduced wastes such as manual
data entry, multiple verifications, and unnecessary activities. This ensured a continuous
and efficient workflow ready for Bizagi (BPM) automation.

1.11 At this stage, I conducted meetings with various process stakeholders and, together
with the technology department of Colpensiones, identified the key integrations of the
information systems, with Bizagi as the process front-end. This allowed data to flow
properly through all stages. I modelled the process using the BPMN modelling
specification, defining the process rules and the information needed to initiate the
automation.
Implementation of the Improved Process and monitoring:

1.12 In this phase, we conducted exhaustive technical tests of the improved process in
Bizagi to ensure it met the defined specifications. We used a combination of
methodologies and tools to guarantee a successful implementation. The following table
provides a clear and structured summary of the methodologies used during the
implementation phase of the BEPS project for Colpensiones and the results achieved,
highlighting improvements in process efficiency, customer satisfaction, and resource
optimisation.

Methodology Description Result Achieved

Validation Testing Performed validation tests to
verify proper function of all
process components by
simulating real scenarios and
reviewing each step of the
BEPS process.
Documentation of Developed and documented
Standards and detailed standards and policies
Policies to ensure quality and
consistency in the execution of
BEPS processes.
Total Quality Implemented TQM practices
Management for continuous reviews and
(TQM) adjustments based on test
results to meet the highest
quality standards in the BEPS
process.
Monitoring and Established rigorous financial
Evaluation and operational controls, using
data analysis tools to track key
metrics and evaluate process
efficiency and effectiveness of
the BEPS program.
Table 1 Methodologies Used and Results Achieve
Error Reduction: Significant
reduction of manual errors,
with data flowing more
accurately and efficiently
through all stages.
Regulatory Compliance:
Ensured compliance with all
applicable regulations and
standards through strict
controls and detailed
documentation.
Increase in Customer
Satisfaction: Improved
response times and
decreased errors led to a 25%
reduction in customer
complaints.
Improvement in Processing
Time: Reduced processing
time for requests by 40%,
resulting in faster and more
efficient responses.
Resource Optimization:
Achieved a 20% reduction in
operational costs, enhancing
project profitability.
1.13 After the implementation, the TO-BE process mapping was established. Below is
an example of one of the implemented processes: enrolling clients into the BEPS
economic benefits program. This program was created to benefit individuals who have
not completed the required time for an old-age pension.

Figure 4 Example of one TO-BE process mapping created in the project

Continuous Improvement and Feedback in the BEPS Project:

1.14 In this final phase of improving and maintaining the implemented processes, we
utilized feedback cycles and detailed data analysis to identify areas of opportunity and
potential improvements in the BEPS program processes. We applied the principle of
continuous improvement (Kaizen), making iterative and controlled adjustments to the
processes, thus ensuring constant and sustainable optimization. This kept the processes
aligned with strategic objectives and continuously improved efficiency and service
quality.

1.15 During the process measurement in the initial phase of BEPS, I had the opportunity
to establish the following KPIs to compare the initial phase of the project with the current
situation:
Indicator Name Compliance Performance
Initial Final
User satisfaction 75,80% 85,50%
Top of Mind 81% 92,60%
Average account saved BEPS Model 64% 82%
Culture change progress Organizational 79,2 86,2
Table 2 Project KPI
1.16 I placed the proposed indicators together with the process leaders into a Balanced
Scorecard focused on the main strategic objective, the consolidation of the BEPS
program. I started with the analysis of the strategic objectives and validated the process
indicators. After selecting the indicators that contributed to the measurement of the
project, I defined the technical data sheets for the indicators. Once the integration of the
indicators for enrolment, complaints and claims, and disengagement processes was
completed, 37 indicators were approved. I met with the employees responsible for
providing the data for each indicator, introduced the indicator model, and trained the
measurement team. I defined the monitoring model where each process leader would
perform a monthly review and propose an action plan to reduce the gap in meeting the
goal.

SUMMARY

1.17 Throughout my participation in the improvement processes at Colpensiones, I

played a significant role in the development of the BEPS project, a social program
designed to provide Colombians with the opportunity to contribute to a pension without
having fulfilled the standard requirements. One of the most critical challenges was
designing the processes for this project to ensure efficiency and optimal user service.
Once the processes were defined, I worked on determining the profiles of the work team
and other operational resources, such as the registration software. This comprehensive
approach resulted in a successful implementation and execution of the project.

1.18 The project not only improved the efficiency and accuracy of the BEPS processes
but also significantly enhanced customer satisfaction and reduced operational costs. The
implementation of continuous improvement practices ensured that the processes
remained aligned with strategic objectives and adaptable to future needs. The successful
deployment of automation tools, coupled with rigorous monitoring and evaluation,
paved the way for sustained improvements and long-term benefits for both
Colpensiones and its beneficiaries. The BEPS project stands as a testament to the impact
of well-executed process engineering and the importance of aligning technological
advancements with organizational goals.