Introduction to BPM, Business Process Management, BPM


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A simple introduction to BPM from a practioner\'s point of view. A start point for entry into this exciting field

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  • Introduction to BPM, Business Process Management, BPM

    1. 1. Introduction to BPM Sarbashrestha Panda August 2008
    2. 2. Coverage Detailed <ul><li>What is BPM </li></ul><ul><li>Process Reference Models </li></ul><ul><li>Process Modeling </li></ul><ul><ul><li>Notations </li></ul></ul><ul><ul><li>Modeling Essentials (What to capture) </li></ul></ul><ul><ul><li>KPIs </li></ul></ul><ul><li>Process Analysis </li></ul><ul><ul><li>Non Value Adding Activities (NVAs) </li></ul></ul><ul><ul><li>FMEA/Root Cause </li></ul></ul><ul><ul><li>Simulation (Bottlenecks, Costs, Resources fine-tuning) </li></ul></ul><ul><li>Process Design </li></ul><ul><ul><li>Inputs to Design </li></ul></ul><ul><ul><li>Process Design best practices </li></ul></ul><ul><li>Tools : </li></ul><ul><ul><li>BPA Vs BPMS </li></ul></ul><ul><ul><li>Components and structure of a BPMS </li></ul></ul><ul><ul><li>Overview of a BPA/BPM tool </li></ul></ul>Slide
    3. 3. What is BPM?
    4. 4. What is BPM <ul><li>BPM is a set of processes that help organizations optimize their business performance. It is a framework for organizing, automating and analyzing business methodologies, metrics, processes and systems that drive business performance. Wikipedia </li></ul><ul><li>The ABPMP definition of Business Process Management is: </li></ul><ul><li>“ Business Process Management (BPM) is a disciplined approach to identify, design, execute, document, monitor, control, and measure both automated and non-automated business processes to achieve consistent, targeted results consistent with an organization's strategic goals. BPM involves the deliberate, collaborative and increasingly technology-aided definition, improvement, innovation, and management of end-to-end business processes that drive business results, create value, and enable an organization to meet its business objectives with more agility.” </li></ul><ul><ul><ul><ul><ul><li> </li></ul></ul></ul></ul></ul>Slide
    5. 5. “ What exactly is BPM? Is it a process, technology, or management discipline?” <ul><li>So, what really is Business Process Management (BPM)? </li></ul><ul><ul><ul><li>A process of managing your business processes </li></ul></ul></ul><ul><ul><ul><li>A management discipline. </li></ul></ul></ul><ul><ul><ul><li>A technology or set of technologies </li></ul></ul></ul><ul><ul><ul><li>A rapid application development framework </li></ul></ul></ul>Slide
    6. 6. What is BPM? The evolution Slide Ravesteyn, 2007
    7. 7. Process Reference Models
    8. 8. Process Reference Models Slide
    9. 9. Process Reference Models –SCOR Slide
    10. 10. Process Reference Models - eTOM Slide
    11. 11. Process Modeling
    12. 12. Process Mapping Basics <ul><li>Mapping Techniques/ Notations </li></ul><ul><ul><li>Flowcharting </li></ul></ul><ul><ul><li>Activity Diagrams </li></ul></ul><ul><ul><li>IDEF </li></ul></ul><ul><ul><li>EPC (Event driven process charts) </li></ul></ul><ul><ul><li>BPMN </li></ul></ul><ul><ul><ul><li> </li></ul></ul></ul>Slide
    13. 13. Diagram Construction <ul><li>Boxes represent functions </li></ul><ul><li>Arrows represent real objects or data </li></ul>Slide FUNCTION CONTROL OUTPUT INPUT MECHANISM
    14. 14. Example IDEFØ Diagram Slide Build System A3 Design System A2 Establish Reqmnts. A1 Needs Alternative Technologies Knowledge of Previous Design Customer Expectations Understanding of Customer Requirements Requirements Contract for Tradeoff Decisions Design Product Raw Material Analysis Methods Design Methods Fabrication Methods
    15. 15. What to capture? Slide
    16. 16. What to capture? <ul><li>Org view </li></ul><ul><ul><li>Roles </li></ul></ul><ul><ul><li>Responsibilities </li></ul></ul><ul><ul><li>Locations </li></ul></ul><ul><li>Data View </li></ul><ul><ul><li>Input objects </li></ul></ul><ul><ul><li>Output objects </li></ul></ul><ul><ul><li>Transformations </li></ul></ul><ul><li>System View </li></ul><ul><ul><li>Rules </li></ul></ul><ul><ul><li>Flow dependencies </li></ul></ul><ul><li>Others </li></ul><ul><ul><li>Simulation Parameters </li></ul></ul>Slide
    17. 17. Key Performance Indicators <ul><li>Measures Vs KPIs </li></ul><ul><li>Types </li></ul><ul><ul><li>Financial / Operational / Transactional </li></ul></ul><ul><ul><li>Department Level, Process Level, Organizational Level </li></ul></ul>Slide driven by the strategy > what gets measured gets done
    18. 18. Process Analysis
    19. 19. Process Analysis <ul><li>NVA – Non Value Added Activities </li></ul><ul><li>Lean concepts </li></ul><ul><ul><li>Muda - Waste </li></ul></ul><ul><ul><li>Muri - Overburden </li></ul></ul><ul><ul><li>Mura – Unevenness </li></ul></ul><ul><li>FMEA </li></ul><ul><li>Root Cause Analysis </li></ul><ul><li>Simulation </li></ul>Slide
    20. 20. Process Design
    21. 21. Process Design <ul><li>Inputs from </li></ul><ul><ul><li>SMEs </li></ul></ul><ul><ul><li>FMEAs </li></ul></ul><ul><ul><li>Gap Analysis </li></ul></ul><ul><ul><li>Benchmarking </li></ul></ul><ul><ul><li>Best Practices </li></ul></ul>Slide
    22. 22. Process Analysis / Re-designing Workflows <ul><li>Weed out the NVA </li></ul><ul><li>Check necessity of each activity </li></ul><ul><li>Parallelism </li></ul><ul><li>Optimize communication </li></ul><ul><li>Resource allocation </li></ul><ul><li>Order task according to cost / effects </li></ul>Slide
    23. 23. Tools
    24. 24. BPA Vs BPMS Slide
    25. 25. When to use BPMS Slide low low high high Frequency of change Complexity of coordination BPMS EAI Application server Krafzig et al. 2005
    26. 26. BPMS: Under the hoods Slide
    27. 27. Advanced Topics <ul><li>Process Maturity Models </li></ul><ul><li>BPM Implementation Methodology </li></ul><ul><li>Process Governance </li></ul><ul><li>SOA and BPM </li></ul>Slide
    28. 28. contact: Thank you