Businesses are consisting of different processes. Most of the business processes always have scope of improvement due to changing business environment. BPM uses a systematic approach in an attempt to continuously improve business effectiveness and efficiency. Business process management (BPM) is an approach to making an organization’s workflow more effective, more efficient and more capable of adapting to an ever-changing environment. A business process is an activity or set of activities that will accomplish a specific organizational goal. It can therefore be described as a “process optimization process.”
The process improvements identified by BPM may or may not require information technology involvement, although that is a common driver for the need to model a business process, by creating a process master.
BPM Life Cycle
Business process management activities can be grouped into six categories:
Functions are designed around the strategic vision and goals of an organization. Each function is attached with a list of processes. Each functional head in an organization is responsible for certain sets of processes made up of tasks which are to be executed and reported as planned. Multiple processes are aggregated to function accomplishments and multiple functions are aggregated to achieve organizational goals.
There are different kinds of BPM frameworks available in the market today.
– Horizontal frameworks deal with design and development of business processes and are generally focused on technology and reuse.
– Vertical BPM frameworks focus on a specific set of coordinated tasks and have pre-built templates that can be readily configured and deployed.
Full-service BPM suites have five basic components:
– Process discovery and project scoping
– Process modeling and design
– Business rules engine
– Workflow engine
– Simulation and testing
BPM also addresses many of the critical IT issues underpinning these business drivers, including:
– Managing end-to-end, customer-facing processes
– Consolidating data and increasing visibility into and access to associated data and information
– Increasing the flexibility and functionality of current infrastructure and data
– Integrating with existing systems and leveraging emerging service oriented architecture (SOAs)
– Establishing a common language for business-IT alignment
Scenario 1: Company A is big telecom Giant of South Africa. They have process defined for taking online orders from the customers .It take 2 days in a complete cycle of getting the request and delivering the end results to user. This process has scope of improvement. Organization wants to reduce cycle to time to 6 hours. They planned to use BPM tools to manage the process that will help them achieve this business goal.