project management
samira121
M2DriversofBPMProjectsandOpportunitiesT2.192.pptx
Master Global Project Management
Torrens University Australia
BUSINESS PROCESS
MANAGEMENT & SYSTEM
PROJ6009
Subject Structure
Module 1 – Foundation of Business Process Management (BPM)
Module 2 – Drivers of BPM Projects and Opportunities
Module 3 – Phase of Business Process Management
Module 4 – Business Process Analytics and Improvement
Module 5 – Lean and Six Sigma in BPM
Module 6 – Enterprise Systems and Applications in BPM
Roughly Two sessions (weeks) per Module
Recap
What is BP, BPM, BPMS?
BPM Development…
BPM life cycle
Design & Analyse
Configuration
Enactment
Evaluation
Administration & Stakeholders
Module 2:
Drivers of BPM Projects and Opportunities
Why so much interests in BPM?
Be agile and fast to respond to market change;
Understand business processes better, and change them quickly;
Core business process contains BAU and Core business (product & service);
Key BPM Capabilities
Leverage for Efficiency
BPM enables by service oriented architecture (SOA)
BPM solutions maximise assets re-use
Respond Faster
BPM allow flexible processes design, quick responses to customer, partners and competitions
Manage Change
Streamline processed to keep employees productive and customers satisfied
Basic Components of BPM
Modeling and Simulation
Business Activity Monitoring (BAM)
Rules and Pre-built Frameworks
Content-centric Processing
Collaboration Between People
Process automation
Modeling and Simulation
Understand your business from operational level
Gain better business insights
Identify how to maximise business performance
Creative design business, more collaborative and innovative
IBM WebSphere Business Modeler
Design and simulate end-to-end business processes
Business Activity Monitoring (BAM)
Real time performance check, against planning metrics
Incorporate with BPM with KPIs
More insights of business improvement, and possible re-configuration
Rules and Pre-built Frameworks
Business level of policies determines business behaviours
Operational procedures specifies task completion and standards
Functional processes integrates needs of business context, customers, partners, and IT infrastructures.
Content-centric Processing
Content Intensive businesses focused on creation, innovation, product/service development
BPM enables test, review and approval throughout
ECM (Enterprise Content Management) integrates process, contents and compliance
Collaboration Between People
Standardised workflow means the movement of the people
Clearer roles and responsibilities within the system
Mutual understanding on work functions and changes
Not just work together, but work more effectively together
Process Automation
Powerful IT equipment and system supports process automation
Automation bridges BP expectation and BP reality
Accelerate process efficiency, eg quality management, resources allocation, cost behaviour
https://www.youtube.com/watch?v= HS8uEQ58yek
https://www.youtube.com/watch?v=mdWLEHTNjXY
Example of PA usage
Banking and Insurance: Transaction, Account management, loan and mortgage; Quote, Underwriting, Claim, etc…
Government: Tax processing
Transportation and logistics: Shipping goods, Track shipping, Railway operations management
Manufacturing: E-commerce and Supply chain
IT: Hardware and Software ordering
HR Torrens: Automatic on-boarding services
Opportunity areas for PA
1. Business process management
2. Human task management
3. Regulatory compliance
4. Systems choreography
5. Composite business applications
6. Web-based front office
7. Partner integration
Building PA team
BP thought leader: strategise and transform organisation into process-centric
BP owner: in charge of identify, change and evaluate BP, align KPIs, functional and organisational goals
BP analyst: actively work process documentation, implement process change, identify the best alternatives
BP engineer and IT: enrich BP info, and provide technical capability
Ten Principles of Good BPM
According to three focused group, researchers eg Brocke (et al) identified Ten Principles of good BPM.
Academics
Practitioners
Academic and Practitioners
Brocke, J. v., Schmiedel, T., Recker, J., Trkman, P., Mertens, W., & Viaene, S. (2014). Ten principles of good business process management. Business Process Management Journal, 20(4), 530-548.
1. Principles of Context Awareness
BPM should fit in organisational contexts
Understand business visions, strategy, cultures;
Incorporate insights of market and industry the business compete within
NO one size fits all
Not a cookbook approach but customisation
Could be automation and repetition;
Be careful of duplication or transformation
2. Principle of Continuity
BPM should be a permanent practice, not an one-off activity
Facilitates continuous gain of efficiency, effectiveness and process improvement
Should go beyond Quick-Wins
Keep growth mindset and ready for “Re-design”
Align with strategic “Should Be” and visional “To Be”
Becomes part of daily work and internalisation
3. Principle of Enablement
BPM should develop capabilities, enable orgnisational and performance enhancement
Not limited to repairing or fire-fighting
Eg. Considering competencies in staffing at Key BPM position (Put the right people at the right position)
4. Principle of Holism
BPM should be inclusive in scope, entire business integration
Not one isolated focus
Not project only or function only
Go beyond value chain, rather than supply chain
5. Principle of Institutionalisation
BPM should be embedded in organisational structure, reduced red-tape and unnecessary layers among decision making points
Not daily tasks or responsibiiltes
BPM facilitate business governance, impersonal (Rules and Regulations) and personal governance (work ethics and accountabilities)
6. Principle of Involvement
BPM should integrate all stakeholder groups
Whole business ecosystem Integration
Should not neglect employees participation in review, data collection, re-design and implementation
The design / redesign process is more important than final result
7. Principle of Joint Understanding
BPM creates shared meaning and mutual understanding
Should not be only for experts
BPM is the language spoken within the organisation by everyone
Storyboard over numerical report
Cartoon simulation over factual presentation (Links… )
8. Principle of Purpose
BPM should contribute to strategic value creation
It should not be done for the sake of doing it
Some BPM activities are over doing process modeling
Begin with the end in the mind, though don’t forget why / where you started
9. Principle of Simplicity
BPM should be economical, not costly
It should not be over-engineered
Balancing the inputs against the outputs of more efficient and effective organisational processes
Choose carefully with the level of strategic, technical and staffing requirements
10. Principle Of Technology Appropriation
BPM should make opportunity to use technology
It should consider technology management as a pre-requisite rather than an after-thought
IT resources is driving the progression of BPM value creation
The selection, adoption and exploitation of IT should be inherent in BPM
Drivers & Triggers BPM - Organisation
High growth
Merge and Acquisition
Organisational change
Compliance and regulation
Business agility and resilience
Need more control over information flow
Create a high performance culture
Positive relationship
Control expenses and staffing
Drivers & Triggers BPM - Management
High turn over and/or low satisfaction
Training and performance issues
Empowerment vs following change
Drivers & Triggers BPM - Employees
Low satisfaction
Increase customer number
Change customer strategy
Customer requires unique processes
Drivers & Triggers BPM – Customers
Long lead in time to market
Long reaction time to competitors
New product & services design
Unique product & services apart from BAU
Drivers & Triggers BPM – Product & Services
Need more visibility
Need clearer roles and responsibilities
Process changes too often or never changed
Lack of standardisation
Lack of communication from end to end perspective
Drivers & Triggers BPM – Process
Introduction of new system: ERP, CRM etc
Introduction of new IT architecture
Replace old systems
A view of IT does not deliver business expectation
Drivers & Triggers BPM - IT
Activities
Does your business have standardised processes in place?
Do they work well or badly?
Is it necessary to manage your business processes?
What drive or trigger your business process management?
Assessment 1
Build a business case
What triggered BPM
Mapping = Mix and Match, Compose and Decompose
Root causes analysis
Cost benefit analysis
As Is – Should Be – To Be
Value add,
Business none value add
Not value add / wastage
Module 3 Phases of BPM, Audit and Governance
Reference
Brocke, J. v., Schmiedel, T., Recker, J., Trkman, P., Mertens, W., & Viaene, S. (2014). Ten principles of good business process management. Business Process Management Journal, 20(4), 530-548.
Jeston, J., & Nelis, J. (2006). Why should you do BPM - what are the main drivers and triggers? Business Process Management (pp. 16-19). Jordan Hill, GB: Routledge.
