| Business corporations are now facing one of the | | | | changes to be made. Otherwise, there would be no |
| most competitive eras ever. With globalization and | | | | limit towards the extent of business process |
| technology, businesses need to identify various areas | | | | improvements required. |
| for improvement in order to stay relevant. Although | | | | Design |
| increasing revenue and profits year on year are | | | | The design phase is one of the most important |
| essential, rising costs and escalating customer | | | | stages in the context of an entire BPM initiative. This |
| demands have developed a need for corporations to | | | | is where new process flows are conceptualized and |
| improve internal processes, increase productivity, | | | | integrated with the use of software applications and |
| optimize resources and decrease expenditure, or face | | | | systems that will help to enhance productivity. |
| the consequences of being wiped out by the | | | | Results from the planning and analysis stage will be |
| competition. | | | | utilized to develop new business processes. New |
| This is where the concepts of Business Process | | | | process flows will be designed to indicate the end |
| Management (BPM) come in. Through BPM, business | | | | result of the BPM initiative. |
| processes that occur within the entire organization | | | | Next, application customizations are another area of |
| are analyzed and areas of improvement are identified. | | | | concern. Even though the utilization of software can |
| As all operations of all departments are | | | | help improve productivity, they need to be adapted |
| interconnected to one another, company-wide | | | | to an organization's requirements. For instance, a |
| functionalities are criticized so that newer and more | | | | company's organization and reporting structure defers |
| efficient processes can be proposed. At times, even | | | | from that of other companies. Therefore, applications |
| the roles of human workers are considered in this | | | | deployed will need to be adapted to fit variables that |
| exercise, with the purpose of achieving increased | | | | are unique to the organization. |
| productivity. | | | | The designing stage also serves as a detailed |
| Advancements in technology have resulted in the | | | | structure of the various areas that are to be |
| possibility of improving business processes through | | | | changed so that implementers will have a guide on |
| automation, computers and applications. However, | | | | the tasks that should be completed. In other words, |
| merely adopting technology without adapting it to | | | | this constitutes the development of the blueprint of |
| current business processes could spell greater | | | | future processes. |
| inefficiency. Alterations to process flows would need | | | | Implementation |
| to be planned out as a combination of automated | | | | The final phase in BPM is the delivery of business |
| and manual functions are integrated. Therefore, the | | | | processes that have been planned and designed. At |
| BPM methodology provides a structured approach in | | | | this stage, new business processes are created |
| these circumstances. | | | | based on the definitions that have been designed. |
| Although it is common for corporations to want to | | | | Furthermore, application development or |
| improve existing processes for cost savings | | | | customization to coincide with business processes is |
| purposes, some companies may look into Business | | | | also implemented here. Once implementation has |
| Process Management as an approach to serve new | | | | been completed, reviews must be made to ensure |
| organizational needs. A new product in the making | | | | that deliverables match the elements that have been |
| may require a new business process in order to | | | | planned and designed. Any discrepancies should be |
| make it cost-effective to produce. A change in | | | | amended according to design specifications. |
| organizational structure through mergers and | | | | Monitoring BPM excellence |
| acquisitions may require business processes from two | | | | Improved business processes are ineffective if they |
| corporations to merge into one. Seamless integration | | | | are not enforced. The management team functions |
| between functionalities requires mapping or even | | | | to drive these initiatives, which is why they need to |
| elimination of overlapping processes. | | | | be equipped with the needed skills and knowledge as |
| An insight into how BPM initiatives are implemented | | | | well as leadership and management capabilities to |
| The implementation of process changes requires | | | | communicate these changes to the rest of the |
| systematic approaches to be adopted for a smooth | | | | organization. |
| transition between current processes and newer | | | | Apart from that, operations excellence is also another |
| ones. In this sense, the three core phases include | | | | important element. Business performance based on |
| Planning and Analysis, Design, Implementation and | | | | new processes must be reviewed, with any deviance |
| Monitoring. | | | | addressed appropriately. Approaches such as Six |
| Planning and Analysis | | | | Sigma are used to measure and improve quality, |
| The Planning stage involves fact-finding of the | | | | aligned with the core purpose of BPM. |
| existing processes that are utilized within an | | | | Actual business performance measurements are |
| organization, and how these processes are linked to | | | | statistically drafted and compared against pre-defined |
| one another. Elements such as Key Performance | | | | key performance indicators. Differences between |
| Indicators used to measure the effectiveness of | | | | these numbers or percentages will then indicate |
| these processes are analyzed and evaluated. The | | | | performance levels and efficiency of processes |
| human factor involved in these processes is also | | | | implemented. Although much of these are based on |
| taken into consideration. If documented process | | | | performance of internal operations, but in reality |
| designs are available, they are good resources to be | | | | many of them have an effect on customer |
| utilized for the planning stage. | | | | satisfaction levels. For example, turn around time for |
| Getting the right picture of the current processes is a | | | | customer deliveries or order processing are internal |
| crucial factor towards the success of BPM. Once the | | | | processes that affect customer satisfaction levels. |
| fact finding initiative is completed, flowcharts that | | | | At the end of the day, these business processes |
| incorporate the details of existing processes are | | | | must escalate the quality of work of employees and |
| developed. Process inputs and outputs are included in | | | | producing excellent products and services to |
| these diagrams as well as differentiation between | | | | customers. The responsibility for this lies in the |
| automated process flows and manual processes. | | | | competency of corporate management to ensure |
| One crucial area within the planning stage is the | | | | that service quality is consistently sustained. Only |
| determination of the extent of improvements that | | | | then will a BPM initiative be considered a true success |
| need to be implemented. These are the goals of the | | | | with continuous improvement across an organization |
| BPM exercise which defines the boundaries of | | | | attained. |