The Input Output Analysis is a way of showing the connections between the inputs and outputs of a process to the process itself.
A simple diagram, it can be seen as an overview method that lists the inputs and the outputs. From this basic method, many others are derived. See Process Management
The purposes of an this analysis will include
Here is the basic concept:
When starting out the analysis, clarify the following,
Try out the analysis as a means of getting started.
In fact, I am sure that you will be amazed at the results you will achieve.
The Input Output Analysis is a basis upon which you can indeed add on two very important extensions.
Consider what measurements can be made on the outputs. Then define what is acceptable and what is not acceptable in these outputs.
Now create a connection back to a particular input, by asking yourself: "Which Input influences this output?"
Now, decide on actions you will take if your output is not acceptable. Should the input that lead to this output be modified, replaced or improved in some way?
The above input-output analysis diagram can be compared to an overview picture, a real process model will entail a lot more details and aspects of a process.
From the above basic model you can zone in on particular aspects of a process by adding - or emphasizing - elements of the process.
Consider the following:
Are inputs accepted in any way?
Are there final approvals that are critical after the transformation process that need to be noted?
What are the key tools of managing a process that need to be considered? What is the strategy (or plan of action) with this process? What will the effectiveness or the efficiency of the processes be managed?
Are there so-called (and seldom mentioned) "Side-effects" of the outputs. In the first instance, we think here about the idea of environmental control, but this will also include such topics as reputation, loss of customer good will, influence on stock market sentiment, etc.
The input-output diagram is a handy analysis tool that looks at the inputs and outputs to any transforming process.
It can be used in this simple overview form or can be extended to include more details and these are typically called control diagrams or Process models.