What is Business Process Management?

BPM Explained

Business Process Management (BPM for short) is a methodology for improving business processes. In this post, we aim to explain BPM through the stages of the continuous life cycle.

What is Business Process Management?

Processes exist within any business, and involves people, systems, and tools. As businesses grow and more processes are involved in the day-to-day operations, the processes can become large and inefficient. This results in departments duplicating activities, emerging errors and mistakes, increasing costs, lack of compliance and risk-mitigation. and other unintended side-effects.

There are various proven methods that can be used in BPM, such as Lean and Six-Sigma. The practice of BPM focusses on continuous improvement. There are various models in existence that aim to illustrate the cycle of BPM. However, all contain a series of stages that aim to achieve the following:

Process design

Within this stage, the organization will reflect on its current processes and design a new or improved process. First, mapping current processes will provide insight into current performance and creates a starting point from which new decisions can be made. Second, the organization will have to reflect on the mapped process and determine where improvements can be made, such as further streamlining or preventing waste. Here, the process is (re)designed, depending on whether the BPM cycle has already been completed previously.

Process implementation

Once a new process has been designed, it is time to implement it in day-to-day operations. This activity requires proper change management in order to replace the old process with a new one. It must be clear to all stakeholders in the process, why a new process is implemented and what is expected.

Process performance and monitoring

Now the new process has been implemented, the organization must focus on performing the process in accordance with the pre-determined process descriptions. Digital monitoring and analytical tools and technologies help to understand how the process is performing.

Process analysis and improvement

Now it can be determined if the new process has been an improvement of the old process by checking if higher KPI’s are reached. Through the analysis of individual stages of the process and its performance, improvement points can be found to raise efficiency and effectiveness and decrease risks and wastes.

After the final phase, it may be possible that the process can be further optimized. The goal of BPM is therefore to continue to optimize continuously by repeating the stages described above.

Up next

In the next blog, we will dive into Dynamic Business Process Management (DBPM) and the technologies required to achieve processes that are flexible and customizable.

Sources:
Szelągowski, Marek. (2018). Evolution of the BPM Lifecycle.

Like this article?

Share on linkedin
Share on LinkedIn
Share on twitter
Share on Twitter
Share on facebook
Share on Facebook
Share on whatsapp
Share on WhatsApp

What's happening on our blog

The Future of Freight: a Case Study

The world of logistics is subject to significant development. Unpredictable environments as well as rising customer demands drive digital change and innovation along the supply chain. The future of movement-of-goods is shaped by both new innovations and today’s maturing technologies. According to Deloitte , there are three pillars that characterize the logistics of tomorrow: a connected community, the ability for holistic decision making, and the use of intelligent automation. These three pillars will develop further in the coming years and will reinforce each other. Based on a case study of company Cargonaut, we look at what that exactly looks like in this blog.

What is System Integration?

System integration is a cornerstone of digital transformation within organizations. In this blog we explain what system integration is, why systems should be integrated, what the benefits are and what types of system integration exist.

Human-centered design
Human-Centered Design in Digital Transformation

Smart technologies can only lead to smart outcomes if humans are involved in the design process: from defining the problem to the implementation of the final solution. In this blog, we discuss human-centered design thinking as an approach to developing automated processes and implementing smart technologies such as machine learning and artificial intelligence.

Receive updates on our latest blogs

Let's connect!

Subscribe to stay updated

Receive one update, once a week, when we upload a new blog post. Never miss out on the newest content!