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Success Factors And New Perspectives Of BPM To Enable Scale
 

Success Factors And New Perspectives Of BPM To Enable Scale

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What are the classical factors of successful BPM? How should we include loose coupling, social media and agile methods (like Scrum and Kanban) in our BPM-approach?

What are the classical factors of successful BPM? How should we include loose coupling, social media and agile methods (like Scrum and Kanban) in our BPM-approach?

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    Success Factors And New Perspectives Of BPM To Enable Scale Success Factors And New Perspectives Of BPM To Enable Scale Presentation Transcript

    • Prof. Dr. Ayelt Komus Struktur  Technologie  Mensch Success Factors And New Perspectives Of BPM To Enable Scale Process Summit Q4, 2012Leading Processes to Enable Scale October, 23rd, Wiesloch - Germany Prof. Dr. Ayelt Komus BPM–LaboratoryUniversity of Applied Sciences Koblenz www.komus.de komus@hs-koblenz.de www.twitter.com/AyeltKomus www.komus.de
    • Telegraphy http://commons.wikimedia.org/wiki/File:Nokia_evolucion_tama%C3%B1o.jpg© Ayelt Komus www.komus.de @AyeltKomus 2
    • Telex http://commons.wikimedia.org/wiki/File:Fornebu_telex_central.jpg© Ayelt Komus www.komus.de @AyeltKomus 3
    • Fax Machine http://commons.wikimedia.org/wiki/File:Fax-amarys.jpg© Ayelt Komus www.komus.de @AyeltKomus 4
    • Mobile Phones (Nokia) http://commons.wikimedia.org/wiki/File:Nokia_evolucion_tama%C3%B1o.jpg© Ayelt Komus www.komus.de @AyeltKomus 5
    • Long-Term Technology© Ayelt Komus www.komus.de @AyeltKomus 6 © pio3 - Fotolia.com
    • Long-Term Asset: Business Process Management Top Management Department Department Department Department A B C D Product 1 Product 2 Product 3© Ayelt Komus www.komus.de @AyeltKomus 7
    • Long-Term Asset: Business Process Management Top Management You Department can not not manage processes! Department Department Department A B C D Product 1 Good BPM is a sustainable business advantage! Product 2 Product 3© Ayelt Komus www.komus.de @AyeltKomus 8
    • BPM And Business-Success Go Hand-In-Hand 82% ‘know’ or ‘believe’ their EBIT-margin is above industry average How successful was your company compared to other companies in the industry? 45% 41% 40% 35% 35% 30% 24% 25% 20% 15% 10% 5% 0% 0% 0% 0% Source: BPM Best Practice-Study – Prof. Komus – FH Koblenz© Ayelt Komus www.komus.de @AyeltKomus 9
    • BPM-Survey: Managed BPM And Profit Margin Higher profit margin with managed BPM (Median 6-8% vs. 4-6%) 25,00% 20,00% Percentage of Companies 15,00% Managed BPM "Gezieltes BPM" "Keinmanaged BPM-Activities No gezieltes BPM" 10,00% Median 5,00% 0,00% bis 2% 2-4% 4-6% 6-8% 8-10% 10- 20- 30- 40- über 20% 30% 40% 50% 50% Profit Margin Source: BPM-Survey, Prof. Komus – FH Koblenz© Ayelt Komus www.komus.de @AyeltKomus 10
    • BPM + 6 Sigma: BPM And Profit Margin Higher Profit Margins For BPM-Companies Source BPM + Six Sigma study, FH Koblenz© Ayelt Komus www.komus.de @AyeltKomus 11
    • Company’s Success How successful do you consider your company to be looking back at the last 3 years? deutlich erfolgreicher als andere Unternehmen much more successful 7% der Branche erfolgreicher als andere Unternehmer der more successful 38% Branche ähnlich erfolgreich wieas successful as other about andere Unternehmen 44% der Branche companies in industry weniger erfolgreich als andere Unternehmen 6% der Branche less successful deutlich weniger erfolgreich als andere Unternehmen derless successful significantly Branche 1% uncertain – no opinion unbekannt - keine Meinung 2% n=81 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 89% of BPM-study-participants are at least as successful as other companies in same industry Quelle: Studie Qualität im BPM – www.q-in-bpm.info© Ayelt Komus www.komus.de @AyeltKomus 12
    • BPM-Laboratory www. www. Status- BPM-ERP- Quo- Update www. Agile .de Status-Quo- .de Praxis- Chemie- BPM forum Pharma .de Laboratory BPM&ERP** www. BPM- BPM- www. www. BPM6Sigma. IT-Radar Survey de Best Q-in-BPM .info BPM Combination Practice .info Today’s and in SME of BPM Expert future and with other Interviews Quality. topics In large methods with BPM- in BPM BPM and enterprise (esp. 6Sigma) Best Practice ERP Companies BPM-Umfrage (Studie) BPM-Check (Interactive Maturity Model) Empirical Studies Practical Experience BPM-ExpertiseBPM: Business Process Management ** www.bpmerp.de *** Worskhops/Trainings© Ayelt Komus www.komus.de @AyeltKomus 13
    • Books What are the What does the BPM success factors of of BPM-Best- Wikipedia and other Practice-Companies to learn from in the look like? field of BPM? BPM-Success How to use Factors of Deutsche Social Media Bank, Miles & More, in the organization? Bayer, Generali and many other Other Publiactions: www.komus.de/publikation© Ayelt Komus www.komus.de @AyeltKomus 14
    • BPM Best Practice-Study  Participants: Bayer HealthCare AG, Cosmos Direkt, Deutsche Bank AG, DZ Bank AG, E.ON Energie AG, EDEKA Minden-HannoverIT-/ logistic service GmbH, EnBW Energie Baden-Württemberg AG, Finanz Informatik Technologie Service GmbH & Co. KG, Generali Deutschland Holding AG, Lufthansa Miles & More, Nordenia Deutschland Gronau GmbH, Paul Hartmann AG, Siemens AG, Siemens Healthcare, VIS Informatik GmbH (Generali Wien), Volkswagen AG, Watt Deutschland GmbH  Distribution by size* • 63% – very large-scale enterprise (7 DAX-Companies) • 25% – large-scale enterprise (GU), • 13% – midsize companies (MU) * Segmentation based on number of employees and turnover; difference to 100% due to rounding errors© Ayelt Komus www.komus.de @AyeltKomus 15
    • Success Factors And New Perspectives To Enable Scale  Success Factors  New Perspectives  To Enable Scale© Ayelt Komus www.komus.de @AyeltKomus 16
    • 4 Areas Of Successful BPM-Systems People Strategy Structure Technology© Ayelt Komus www.komus.de @AyeltKomus 17
    • Areas Of Successful BPM-Systems People Strategy Structure Technology© Ayelt Komus www.komus.de @AyeltKomus 18
    • BPM-Strategy-Alignment 82% BPM Best Practice-Companies align their BPM to Business Unit- or Company-Strategy Only 18% “systematic documented process” 65% “implicit process” Best Practice BPM–Leaders have a very good understanding of business needs and goals. Source: BPM Best Practice-Study – Prof. Komus – FH Koblenz Quelle Bild: http://commons.wikimedia.org/wiki/File:NonSynchronousGearBoxSF.jpg© Ayelt Komus www.komus.de @AyeltKomus 19
    • Immediate Value- In Short Term! © olly - Fotolia.com © olly - Fotolia.com© Ayelt Komus www.komus.de @AyeltKomus 20
    • Areas Of Successful BPM-Systems People Strategy Structure Technology© Ayelt Komus www.komus.de @AyeltKomus 21
    • Linking IT-Systems And Models  only 41% realized links between business models and IT-models  only 25% realized links between IT-systems in production and business models BUT:  71%: development of IT-applications based on process-oriented methods connection between IT-systems and models is surprisingly poor  “Round-Trip” is not very common yet. Exception: BPMS But more often than not BPMS-round-trips are not connected to “true” business modelling-world Gartner‘s Businness Process Improvement Cycle Source: BPM Best Practice-Study – Prof. Komus – FH Koblenz© Ayelt Komus www.komus.de @AyeltKomus 22
    • From Business To Technical Perspective Of Modelling First workshop Before technical implementation TIME Diagrams: courtesy of Siemens© Ayelt Komus www.komus.de @AyeltKomus 23
    • The Beauty Of Models© Anna Khomulo - Fotolia.com © Ayelt Komus www.komus.de @AyeltKomus 24
    • All Models Are Models The Beauty Of Wrong http://en.wikipedia.org/wiki/File:GeorgeEPBox.jpg, abg. 16.4.2012 “Essentially, all models are wrong, but some are useful.” Long-term-thinking is crucial! Who will maintain the process-model? George E. P. Box:© Anna Khomulo - Fotolia.com © Ayelt Komus www.komus.de @AyeltKomus 25
    • Areas Of Successful BPM-Systems People Strategy Structure Technology© Ayelt Komus www.komus.de @AyeltKomus 26
    • Process Managers 59% 60%  PMs are widespread (82%) 50% 40%  PMs with full line management 30% competencies concerning employees 18% 20% in relevant processes only 12% 12% 12% 10% 0% 0%  Pragmatic approach of combining process approach with existing managerial structures Source: BPM Best Practice-Study – Prof. Komus – FH Koblenz© Ayelt Komus www.komus.de @AyeltKomus 27
    • BPM Center Of Excellence  BPM Center of Excellence in almost all Best Practice-Companies  No line management structure between Center of Excellence and process managers  Typical Tasks  Definition of standards  Centralized services  Quality Management and Quality Assurance  Responsible for Technical BPM-Infrastructure Source: BPM Best Practice-Study – Prof. Komus – HS Koblenz Quelle Bild: ttp://commons.wikimedia.org/wiki/File:Heliocentric_solar_system.png© Ayelt Komus www.komus.de @AyeltKomus 28
    • The Big Divide: Technical And Business BPM© Ayelt Komus www.komus.de @AyeltKomus © eurobanks - Fotolia.com 29
    • Areas Of Successful BPM-Systems People Strategy Structure Technology© Ayelt Komus www.komus.de @AyeltKomus 30
    • It’s The People, Stupid!© Ayelt Komus www.komus.de @AyeltKomus 31
    • Defined Standards And Reality© Ayelt Komus www.komus.de @AyeltKomus 32
    • As-Documented Versus As-Is Documented Real Life Input from Account Team Receive customer Account Team Manager plans informs informed PM reports Manager of of major project Project Status major project from other PM Plans C tomer us Requirements Inform Form s from Os es C ent w try apacity Managment Sales Decide to place SD 23 H order w ith received D ecide no new tactical planner orders required Link PM plans s SD PM H C tomer us Requirement C tomer R us eqs & not required reques (major t Dead end generated Tactical Planning (End) project) as res of ult Tactical capacity Planning Link PM Plans s Route N quote ew C tomer R us equirements not request & SE C apture Order R s for Fs ent investigated from PM Financial SE Capture Link Supervis contract s e R s to Fs ent authorisation Order & Tactical Planning C C SP ontracts N quote ew Out of Scope - not Modelled reques from t customer Supervise R pons es e filed C F completed R and Dead end Ready for Dead end installation Link SE C s apture Order & Is uer s Enter Order Link Supervis C s e ontract Pas Mis ing s s Link SE R olves s es &C OWs upervise Link D s etailed information D proact job L & Is uer Enters Order s External W s ork Planning to Is uer s on queue & Supervis C e ontract Link JC analys s e Route not investigated IN tas AC k SE respond delay & WBP live to C tomer us 601 Task Delay enquiry from customer Is uer s D etailed SE Enter Order Planning R olves es Dead end - route Progres info s Mis ing s not investigated pas ed to W s BP information Validation job reques (Is uer) t s Link JC analys s e generated on delay & SE Progres update s SE Analyse N A clos JR ed Link Is uer Enter s s CMC queue responds to to SE Delay Order & SE Proact job C tomer us N modelled ot Link Is uer Enter s s R olves es complete Link Is uer Enters s s Order & JC Order Order & N Tas TE k Validation Dead end - route Progres info s Link to s not investigated pas ed to N s SD External W sork 601 tas to k carrying out D w s L ork W ideband planner Progres s Link Is uer Enter s s JC Analyse Link SE analys delay s e reques t Order & Search Delay & JC analys delay e to JC for Y Code (SE) Dead end - route Progres info s not investigated pas ed to PM s Requires further Investigation Mis ing s Budget information received (JC ) IM Plan Sites for Capacity Link Is uer chas s s e R s e-Is ue YC ode Dead end - route Progres info s Requires mis ing info & JC s JC order 601 Tas k Search Link W Site Survey s BP not investigated pas ed to C s SM further Order Validation to W BP Slough/ & N Job Selection & C SD lean Investigation London N Q Manager SD Link JC Order s chas mis ing e s Validation & 010/O534 info/clean data Search for Y Code live (Link) Glasgow Solution Planning IM Facilities Mis ing s D ions ecis INJC information in JCs reques (JC t ) Link Search for Y s N job in ew N Tas s TE k queue (Link) Code & Q Mgr Link chas mis ing s e s queue (129/532) Job as igned s selects N Tas TE k Link N Job s s SD election/Clean info & order validation London/Glasgow Link N Tas s (N Y C s TE k o ode) to N (Link SD ) Link JC Order s A29/O532/O530 & JC Analys delay e N A JR & JC Analys D e elay Validation & N TE closed Link N Job Selection/C s SD lean allocation Order in Job Requires Mis ing s N Job in ew &N R SD oute /As ign s Link Search for Y s Controllers further Requires Link Is uer chas mis ing info s s e s information queue Code & N Tas TE k Queue (Link ) Investigation further & W Site s BP urvey &W I not available Investigation (WBP) 154 Tas k Link N Tas s s TE k Link Is uer chas s s e Mis ing s live (Link) & W Site Survey BP Is uer chas s es mis ing info s mis ing info & s info received W Site Survey BP R elevant N SD W BP informed of new Link to internal/ Job delayed Info s to ent Site Survey proj order (Link) external w ork internal/external groups - not Mis ing s w pack ork s Link W Site Survey s BP Link Queue Manager s s elects NTE modelled information & JC Analys D e elay &Route/As ign Glas s gow pas ed to N s SD Link W Site Survey s BP (End) & Is ue R Glas s Fs gow Route not investigated SD 2C form H s to N ent SD (Link) Mis ing s Link W Site s BP Link W Site Survey & s BP information Survey & Is ue s 154 at Is uer chas mis ing Info s e s reques (W t BP) R & JC R pond Fs es COM Link W Site s BP to C EP R Survey & SE Refer Ancillary cost C ting to os info to SE C tomer us Job returned N R SD oute to queue man SE refer (Link) C ting to os C tomer us Link R s oute/As ign s Link refer cos s ting Order & Queue Manager C es mis ing details has s to customer & cancel order Link N s SD Ready to R oute/As ign s Link R s oute/As ign s C EP R & JC R pond es & JC Analys delay e to C EP R INJC Cancel C tomer us in JCs order confirm queue (Link) information to W ideband JC R pond es Link SE refer s to C EP R costings to customer End & W Site Survey BP Tas called to k Link JC res s ponds C EP R is uer s to C EP & Is ue R s complete R Glas Fs gow Is uer choos s es to ignore s not o R prepared F Link Is ue R s s Fs modelled (Link) &R oute & As ign s Is ue R s Fs Glas / gow London Link Is ue R Glas s s F gow 198/O912 & Allocate COW complete Allocate CoW London / Sheffield Ready for installation Link Allocate C s OW& COWs upervis external w s e ork Supervise Input not Modelled Incoming Scheme call from field installed & engineer commis ioned Link Supervis External /C s e ontractor & Integrate Schemes Capacity problem Equipment raised not delivered Link Supervis External W s ontractor s e ork /C & IM facilities decis ions N Modelled at Pres ot ent Scheme - N Fluid Proces on s Link not Integrate referred to Schemes Modelled/investigated NSD Scheme referred to CSP C F ON Live Integrate scheme and Tactical planning eEPCs Link Integrate Schemes s &Configure Circuit/R olve Problems es Route, As ign s R tas &A k Configure Circuit & config 2Mbit comd R olve es Circuits Problems Link to COSMOSS glue and C onfig circuit Other output tbc End of Process W EX N W EX tas is triggered by N k live after COSMOSS, once all other tas s have been completed k JC amend C D D Feed into COSMOSS C D D C D cant D Feed into COSMOSS s tics - D tatis ead end amended s tics - dead end tatisSlide courtesy of British Telecommunications plc © Ayelt Komus www.komus.de @AyeltKomus 33
    • BPM Training Relevance of training is well understood among BPM Best Practice Companies 45% 41% 40% 35% 29% 30% 25% 18% 20% 12% 15% 10% 5% 0% Source: BPM Best Practice-Study – Prof. Komus – FH Koblenz© Ayelt Komus www.komus.de @AyeltKomus 34
    • Culture Of Change 2 / 3 of Best Practice Companies understand change as an accepted part of their corporate culture 65% 70% 60% 50% 40% 30% 18% 18% 20% 10% 0% Source: BPM Best Practice-Study – Prof. Komus – FH Koblenz© Ayelt Komus www.komus.de @AyeltKomus 35
    • BPM-Success Factors  Know-why  Training  Culture People  Process Ownership  Value-driven  Center of Excellence  Loose Coupling Strategy Structure Technology  Alignment with Business Value  Success-Stories© Ayelt Komus www.komus.de @AyeltKomus 36
    • Very Often Simple Things Make The Difference Life Expectancy 1900: ~ 45 years – today: almost 80 years Hygiene and Healing Medicine Public Health 5 years 30 yearsProf. Dr. med. Martin Exner, Institut für Hygiene und Öffentliche Gesundheithttp://www.ihph.de/publikationen/Hygiene_oeffentlGesundhei.pdf, abg. 11.6.2012http://commons.wikimedia.org/wiki/File:Operation_Medizin.jpghttp://upload.wikimedia.org/wikipedia/commons/1/1b/OCD_handwash.jpg© Ayelt Komus www.komus.de @AyeltKomus 37
    • Success Factors And New Perspectives To Enable Scale  Success Factors  New Perspectives  To Enable Scale© Ayelt Komus www.komus.de @AyeltKomus 38
    • Success Factors And New Perspectives To Enable Scale  New Perspectives  Loose Coupling  Social Media  Agile© Ayelt Komus www.komus.de @AyeltKomus 39
    • Loose Coupling – Learn From Construction Industry Roller Bearing Expansion Joints http://de.wikipedia.org/wiki/Datei:Dehnungsfuge.jpg http://upload.wikimedia.org/wikipedia/commons/2/2e/Lager_01_KMJ.jpg© Ayelt Komus www.komus.de @AyeltKomus 40
    • Layers Of Models – Technology BPM Computation Independent Model (CIM) Technology Platform Independent Model (PIM) BPM Platform Specific Model (PSM)Based on Allweyer in Komus (Editor): BPM Best Practice, Springer-Verlag 2011© Ayelt Komus www.komus.de @AyeltKomus 41
    • Layers Of Models In BPM (Technology And Business) Business Process Landscape Business High Level Process Models BPM Computation Independent Model (CIM) Technology Platform Independent Model (PIM) BPM Platform Specific Model (PSM)© Ayelt Komus www.komus.de @AyeltKomus 42
    • Loose Coupling Of Models Business Process Landscape High Level Process Models Computation Independent Model (CIM) Platform Independent Model (PIM) Platform Specific Model (PSM)http://upload.wikimedia.org/wikipedia/commons/2/2e/Lager_01_KMJ.jpg © Ayelt Komus www.komus.de @AyeltKomus 43
    • How To Put Loose Coupling Into Practice  Flexible Pointers (i.e. Wikis)  Social Links  Culture  Organisational Structure http://upload.wikimedia.org/wikipedia/commons/2/2e/Lager_01_KMJ.jpg  Shared Process Oriented Goals (IT and PM)  Avoid Overengineering and Rigid Structures * Process Manager© Ayelt Komus www.komus.de @AyeltKomus 44
    • Success Factors And New Perspectives To Enable Scale  New Perspectives  Loose Coupling  Social Media  Agile© Ayelt Komus www.komus.de @AyeltKomus 45
    • Availabilty Of Models And Grass-Root-Modeling  84%: Models are available for all employees and easy to read BUT:  Development of models only together with specialists  Process Models are not commonly used to support day-to-day- work Bottom-Up-Models stay in the desk drawer and have almost no connection to the ‘official’ process world© Ayelt Komus www.komus.de @AyeltKomus 46
    • Example: Open Processes – Deutsche TelekomQuelle: Apeldorn, Andreas: Open Processes - Defizite des klassischen Prozessmanagements unddie Wikimanagement-Erfolgsfaktoren. Prozess Management 2012, 25.5.2012 Wien BPM is NOT just producing lots of process-models! Social Media – Tools and Methods – is key to involve staff involved in processes© Ayelt Komus www.komus.de @AyeltKomus 47
    • Success Factors And New Perspectives To Enable Scale  New Perspectives  Loose Coupling  Social Media  Agile© Ayelt Komus www.komus.de @AyeltKomus 48
    • 3 Things…. 3 things we wish were true…  The customer knows what he wants  The team knows how to build it  Nothing will change along the way http://commons.wikimedia.org/wiki/File:Change.jpg?uselang=de 3 things we have to live with…  The customer discovers what he wants  The team discovers how to build it  Many things change along the wayBased on Henrik Kniberg© Ayelt Komus www.komus.de @AyeltKomus 49
    • Source: Erretkamps, Heinz; Yon, Gregory: Agile Product Development at Johnson Controls Automotive Experience – A Success Story, Scrum Gathering, Barcelona Oct. 2012. http://www.scrumalliance.org/system/slides/119/original/ ClosingKeynote_HeinzErretkamps&GregoryYon_AgileMechanicalProductDevelopment.pdf?1349825029© Ayelt Komuswww.komus.de@AyeltKomus Sucessful Scrum – Not Limited To IT-Development!50
    • Quelle: Heinz Erretkamps und Roland Frey: Agile Produktentwicklung bei Johnson Controls Automotive Experience – Eine Erfolgsgeschichte - SCRUM DAY 2012, 5. JULI 2012, ST. LEON-ROT© Ayelt Komuswww.komus.de@AyeltKomus Key Performance Indicator – Self Assessment of Team-Performance 56% Overall Improvement In Designing Mechanism Parts51
    • Success Factors And New Perspectives To Enable Scale  Success Factors  New Perspectives  To Enable Scale© Ayelt Komus www.komus.de @AyeltKomus 52
    • BPM-Success Factors  Know-why  Training  Culture People  Process Ownership  Value-driven  Center of Excellence  Loose Coupling Strategy Structure Technology  Alignment with Business Value  Success-Stories© Ayelt Komus www.komus.de @AyeltKomus 53
    • New Perspectives  Loose Coupling  Social Media  Agile© Ayelt Komus www.komus.de @AyeltKomus 54
    • BPMS The Linking Pin To The Long TailNumber of processesin certain period ‘classical’ Business IS BPM Suites Groupware/ CSCW*© Prof. Dr. Ayelt Komus – FH Koblenz Processes in order of frequency * CSCW – Computer Supported Collaborative Work (highest left – lowest right) Idea: Scherer, Siemens AG© Ayelt Komus www.komus.de @AyeltKomus 55
    • New Possibilities With More Powerful BPMS-Technology Number of processes in certain period ‚classical‘ Business IS BPM Systems Groupware/ CSCW*© Prof. Dr. Ayelt Komus – FH Koblenz Processes in order of frequency * CSCW – Computer Supported Collaborative Work (highest left – lowest right)© Ayelt Komus www.komus.de @AyeltKomus 56
    • Automated Processes “I am not in the office at the moment. Send any work to be translated”source: http://news.bbc.co.uk/2/hi/uk_news/wales/7702913.stm© Ayelt Komus www.komus.de @AyeltKomus 57
    • Questions? Thank You For Your Attention www.komus.de www.bpmerp.de www.it-radar.info www.bpm-erp-update.de You‘ll Find Many Of My Presentations on www.komus.de/vortrag© Ayelt Komus www.komus.de @AyeltKomus 58
    • Save The Date  Praxisforum BPM und ERP (27.11.2012, HS Koblenz) Thema: Agile Methoden in IT- und Prozessmanagement www.bpmerp.de (Nur für Anwender – leider Warteliste)  Praxisworkshop: Scrum und Kanban im SAP- und Prozessmanagement 21. und 30.11.2012 - www.bpm-erp-update.de  Praxisworkshop: BPM-ERP-Udpate 2013: Chancen und Herausforderungen für Prozess- und SAP-Management in 2013 11.12.12 und 15.1.13 - www.bpm-erp-update.de © alswart- fotolia© Ayelt Komus www.komus.de @AyeltKomus 59