This presentation gives an executive overview of what is Business Process Management and explains why any successful company in the 21st Century organization will use BPM. The presentation is divided into 3 parts: introduction of the process (BPM), process digitalization and the process platform (BPMS) and we end with the example of the Microsoft BPM platform. Architect. Mr. Pinto is an expert on Business Process Management, Machine-2-Machine communications and Complex Adaptive Systems, which are disciplines he combines in his designs to build cognitive-event-driven information systems. Contact us at www.m2msysonline.com and see how we can help you significantly improve efficiency and effectiveness.

1. BPM Executive Summary
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2. Agenda
BPM Introduction
Today’s Organizations Challenges
Organizations Cannot Count on IT
Organizations Turn to BPM
BPM Early Adopters
BPM Science Disciplines
The Almighty Process and Process Classification
Implementing BPM and Advantages of Using BPM
The IT BPM Platform
Process Digitalization and Process Languages
Business Process Management Systems (BPMS) and BPMS Diagram
Gartner’s 2006 BPMS Analysis
IT’s new Role in the BPM Organization
The Microsoft BPM Platform
Microsoft BPMS and Microsoft BizTalk

3. Today’s Organizations Challenges
 Customer Dictator – the globalization of the 90s gave the
customer the “cheaper, better and faster”. Customers are
now looking for superior service or the “when, where and
how” they want it. Organizations need to be able to offer
mass customization and total solutions.
 Fierce Competition – organizations either deliver what
customers want or the competition will. Being the best today
is no longer enough. Organization need to be efficient and
agile as competitors mushroom literally over night.
 Relentless Pace of Change – organizations need to predict
customer direction and innovate or will have to compete
purely on price. This leads to a perpetual state of change and
adaptation. Nothing can just be built to last. It has to be
built to adapt.

4. Organizations Can’t count on IT
Today’s organizations cannot count on IT to take them out of
these challenges because IT is trapped by their own wrong
doings:
Information Silos – the proliferation of 3 letter systems (ERPs,
CRMs, etc) that washed away millions, have created
information silos that make even small changes turn into
expensive projects that take months.
Legacy technology – the relentless innovation of IT has left
organizations with mission critical systems that are not ready
for the real-time economy. Too critical to change, to expensive
to replace, they continuing dragging the organization.
Loss of credibility –a 50% success rate has left most CEO with
a bitter taste enough not to come back.
Communication gap – software engineers and their 3 letter
acronyms have alienated themselves from understanding the
business and the expectations of those they need to serve.

5. Organizations Turn to BPM
Business Process Management (BPM) is a MANAGEMENT
philosophy built on over 100 years of lessons learned and
solid scientific foundations. IT came of age in the mid 80s
with the work of very reputable work from Harvard
professors and other business scientists. BPM is a
MANAGEMENT philosophy that combines:
Business science
Quality
Technology
Philosophy (holistic thought process)
BPM is NOT a:
Quick fix
The newest fade

6. BPM Early Adopters
Wal-Mart
Amazon
General Electric
Progressive Insurance
JetBlue
Virgin Group

7. BPM Science Disciplines
Modeling
Business
Quality
Process
Management
Redesign
System
Mathematics
Theory
Business
Science BPM SOA

8. The Almighty Process
WHITESPACE is the void
between Departments that
prevents interdepartmental
processes to be executed in
a fast and accurate way.
Organization Product
Or
Production
Service
Customer
Support
Customer
Sales
Order
HR
IT
Process

9. Process Classification
--Complexity
Complex processes High Added VALUE
that are not part of
Complex Business
the organization’s
Processes:
core competency.
*Strategic
Prime candidates
*High Added Value
for Business
*Core Competency
Process
Outsourcing.
-- Competitive advantage ++
Commoditized
Business Processes Simple business
with low processes can be
competitive optimized by
advantage: applying
Complexity++
procedures such as
ERP
Six Sigma.
CRM

10. Implementing BPM
Determine the organization’s strategy.
Establish organization goals for the strategy
Convert those goals into CROSS-
DEPARTMENTAL-FUNCTIONAL processes
Assign managers to process owners that are
responsible to supervise the process and interact
with customers and departmental liaisons
Establish measures to track managerial
performance for every business process

11. BPM Benefits
 Transparency - BPM makes processes absolutely
transparent, greatly improving visibility and efficiency
of every organization process.
 Constant Process Refinement – through experience it is
possible to optimize the initial design so it becomes
more efficient by identifying new and obscure
synergies, more effective and more aligned with
constantly evolving requirements from customers and
business.
 The Path towards Real-time – the process combines
time and activities and overtime, it is possible to
continuously work for processes to ever more efficient,
until they convert to real-time.

12. Process Digitalization
Process Digitization is the mechanism of describing
the inputs, outputs, activities and behavior of a
Business Process using a Business Process Language so
it can be executed by a Business Process Execution
Engine. Process #n
Process #3
Process #2
Process #1
Server (Process Virtual Machine) Process Virtual Machine

13. Business Process Language
A Business Process Language needs to be able to
describe the activities and the associated services of
an end-to-end business process such as:
binding to heterogeneous system
synch & asynch message exchanges with correlation
and dynamic binding
data manipulation
control structures (sequence, all, switch)
exception management
compensating transactions
auditing.

14. Trip Reservation Example
Trip Reservation Process
Reserve
Event Receive Cancel
Itinerary
Customer Reserve
Cancel
Airline Car Hotel
Booking Booking Booking
Reserve
Pay Cancel
Send ACK Credit
Refund

15. <Process>
BPEL Structure
<partners>
 <process> is the outer wrapper
for all
<variables>
 <partners> define entities that
provide and use services
 <variables> define process handlers
context (instance data)
 Fault- and compensation-handlers
handle exceptions <correlationSets>
 <correlationSets> define process
instance identification
Activity A
 Activities define processing steps
for the business process Activity B

16. The BPM Platform – BPMS
A Business Process Management System (BPMS) is a
platform that coordinates the Business Process Users
Community, IT Applications and Data of a Business
Process driven Architecture. The platform allows
well-researched, efficient and informed decisions to
the community by offering the following services:
1. Definition: Documentation, Modeling, Analysis
2. Deployment: Provision, Release management
3. Management: Execution, Application integration
4. Tracking: Business Activity Monitoring (BAM), Portal

17. BPMS Diagram
BPMS Business
Process #n Activity
Process #3
Monitoring
Process Portal
Process #2
Process #1 Operations Manager
Customer
Process
Persistency DB
Process
Process Virtual Modeling
Machine
Technical Business Analyst
Manager
Health & Human Services Bus
Back Office SOA Back Office
Application Application

18. Gartner BPMS Analysis (2006)
March 2006 – BEA
acquires Fuego and
rolls it into the
AquaLogic Suite

19. IT’s new Role in the BPM Organization
Organization CEO
BPM Committee
Head of Committee
BPM Architect
Customer Representative(s) Department Representatives
IT Department Business
BPMS
Process #n Activity
Process Portal
Process #3
Process #2 Monitoring
Process #1
Process
Persistency DB
Process
Process Virtual
Modeling
Machine
Technical BA

20. Microsoft BPM Platform
Tracking
Definition
MOSS InfoPath Word Excel.
Visio
BizTalk
Visual Studio
Management BAM XLANG Messg. HAT BAS
Rules SSO Deploy WS Exp Xform
SCOM
SQL Analysis Report
IIS
.NET Deployment
Windows

21. BizTalk Core Architecture
Message Adapter
Process
Ability to retrieve any type Message Pipeline
of message (XML, ASCII, Ability to apply 4
bin, etc) using any configurable tasks regarding
protocol FTP, HTTP(s), the preparation of the
MAIL, etc. message for consumption by
BizTalk or to export.
Rx
Rx Pipeline
Msg BTS Msg BTS Msg
Adapter
Decode Disassemble Validate Resolve
Party
Tx Pipeline Message Tracking
Msg
Tx
BTS Msg DB DB
Adapter
Pre-Assemble Assemble Encode

22. About M2MSys LLC
We build information platforms for the Evernet.
 Business Process Management (BPM)
 Machine to Machine Communications (M2M)
 Physical and Virtual Sensor Networks (SN)
 Complex Adaptive System (CAS)
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