Business process management is a framework to organize business processes in systematic order to get an optimal result. Its help to create solutions, those are more efficient, more optimize and more capable of adapting the business changes. It allows the organization to manage their wide range of critical business processes and makes an impact in company’s growth and revenue.
In BPM, each and every process has importance and every optimize process can make a positive impact in organization’s growth. So, Process should be understood in depth, managed effectively and contribute to client/customer’s growth.
- To optimize process and get faster turnaround time
- Transform the business to get maximum output
- Helps in growth of revenue
Definitions by Experts –
The Workflow Management Coalition, BPM.com and several other sources have come to an agreement on the following definition:
"Business Process Management (BPM) is a discipline involving any combination of modeling, automation, execution, control, measurement and optimization of business activity flows, in support of enterprise goals, spanning systems, employees, customers and partners within and beyond the enterprise boundaries."
Gartner defines Business process management (BPM) as:
“The discipline of managing processes (rather than tasks) as the means for improving business performance outcomes and operational agility. Processes span organizational boundaries, linking together people, information flows, systems and other assets to create and deliver value to customers and constituents."
Nathaniel Palmer defines Business process management as:
“Business Process Management (BPM) is a discipline involving any combination of modeling, automation, execution, control, measurement and optimization of business activity flows, in support of enterprise goals, spanning systems, employees, customers and partners within and beyond the enterprise boundaries.”
BPMInstitute.org defines Business Process Management as:
"The definition, improvement and management of a firm's end-to-end enterprise business processes in order to achieve three outcomes crucial to a performance-based, customer-driven firm, 1) clarity on strategic direction, 2) alignment of the firm's resources, and 3) increased discipline in daily operations."
BPM Life Cycle: Business process Management life cycle consists 5 phases.
1. Process Discovery
2. Process Designing/Modelling
3. Process Execution
4. Process Monitor
5. Process Re-Engineering
Process Discovery: Any designing or modeling has been started with the discovery of "AS IS" process, how existing business process is. Area of focus should be while discovering “AS IS”.
Process Flow
- Actors/Users
- Business Operations
- Alerts
- Escalation Path
- Service Level Agreement
Process Designing/Modeling: A good understanding of “AS IS” process can help to reduce the number of flaws in “To Be” Process. Otherwise, there will be chances to carry same existing flaws in new processes. Main improvement areas could be in process flows and business operations takes the theoretical design and introduces combinations of variables. It because of competitive challenges faced by business in the market. Modeling expected situations. determines after the change in variables, how the process will operate in expected situation.
- Capture the business processes
- Gather in-depth detail to understand conceptually how the process works.
- Historically carried out by business analysts, but simple-to-use technologies such as Sequence are allowing the business manager to undertake this task, as this is typically where the in-depth knowledge required to model the process lies.
Process Execution: An application will be required to execute business process end to end. The system will use both services in connected applications to perform business operations (e.g. calculating a repayment plan for a loan) and human inputs, when a step requires input from the human for further calculation.Extend the model to capture more detail required to execute the process, e.g.
- Form controls and layout
- Alert message content
- Business Rules integration
- SLA implementation
Process Monitor: The Monitor Phase is where process performance has been measured. Monitoring covers the tracking of individual processes so that information on their state can be easily seen, and statistics on the performance of one or more processes can be provided. This information can be used to work with customers and suppliers to improve their connected processes. The extensiveness of monitoring depends on what information the business wants to evaluate and analyze and how the business wants it to be monitored, in real-time, near real-time or ad-hoc.
Process Optimization/Re-Engineering: Process optimization includes retrieving process performance information from modeling or monitoring phase; identifying the potential or actual bottlenecks and the potential opportunities for cost savings or other improvements; and then, applying those enhancements in the design of the process.
If process became beyond optimization, too complex and incorrigible. It will be suggestable to redefine the complete process
In BPM, each and every process has importance and every optimize process can make a positive impact in organization’s growth. So, Process should be understood in depth, managed effectively and contribute to client/customer’s growth.
- To optimize process and get faster turnaround time
- Transform the business to get maximum output
- Helps in growth of revenue
"Business Process Management (BPM) is a discipline involving any combination of modeling, automation, execution, control, measurement and optimization of business activity flows, in support of enterprise goals, spanning systems, employees, customers and partners within and beyond the enterprise boundaries."
Gartner defines Business process management (BPM) as:
“The discipline of managing processes (rather than tasks) as the means for improving business performance outcomes and operational agility. Processes span organizational boundaries, linking together people, information flows, systems and other assets to create and deliver value to customers and constituents."
Nathaniel Palmer defines Business process management as:
“Business Process Management (BPM) is a discipline involving any combination of modeling, automation, execution, control, measurement and optimization of business activity flows, in support of enterprise goals, spanning systems, employees, customers and partners within and beyond the enterprise boundaries.”
BPMInstitute.org defines Business Process Management as:
"The definition, improvement and management of a firm's end-to-end enterprise business processes in order to achieve three outcomes crucial to a performance-based, customer-driven firm, 1) clarity on strategic direction, 2) alignment of the firm's resources, and 3) increased discipline in daily operations."
BPM Life Cycle: Business process Management life cycle consists 5 phases.
1. Process Discovery
2. Process Designing/Modelling
3. Process Execution
4. Process Monitor
5. Process Re-Engineering
Process Discovery: Any designing or modeling has been started with the discovery of "AS IS" process, how existing business process is. Area of focus should be while discovering “AS IS”.
Process Flow
Process Flow
- Actors/Users
- Business Operations
- Alerts
- Escalation Path
- Service Level Agreement
Process Designing/Modeling: A good understanding of “AS IS” process can help to reduce the number of flaws in “To Be” Process. Otherwise, there will be chances to carry same existing flaws in new processes. Main improvement areas could be in process flows and business operations takes the theoretical design and introduces combinations of variables. It because of competitive challenges faced by business in the market. Modeling expected situations. determines after the change in variables, how the process will operate in expected situation.
- Capture the business processes
- Gather in-depth detail to understand conceptually how the process works.
- Historically carried out by business analysts, but simple-to-use technologies such as Sequence are allowing the business manager to undertake this task, as this is typically where the in-depth knowledge required to model the process lies.
Process Execution: An application will be required to execute business process end to end. The system will use both services in connected applications to perform business operations (e.g. calculating a repayment plan for a loan) and human inputs, when a step requires input from the human for further calculation.Extend the model to capture more detail required to execute the process, e.g.
- Form controls and layout
- Alert message content
- Business Rules integration
- SLA implementation
Process Monitor: The Monitor Phase is where process performance has been measured. Monitoring covers the tracking of individual processes so that information on their state can be easily seen, and statistics on the performance of one or more processes can be provided. This information can be used to work with customers and suppliers to improve their connected processes. The extensiveness of monitoring depends on what information the business wants to evaluate and analyze and how the business wants it to be monitored, in real-time, near real-time or ad-hoc.
Process Optimization/Re-Engineering: Process optimization includes retrieving process performance information from modeling or monitoring phase; identifying the potential or actual bottlenecks and the potential opportunities for cost savings or other improvements; and then, applying those enhancements in the design of the process.
If process became beyond optimization, too complex and incorrigible. It will be suggestable to redefine the complete process
