Gartner Predicts Lack of BPM will topple many Global 2000 Companies

In a recent article from Gartner, they predict that:

Between now and year-end 2014 an intensifying focus on process-related skills, competencies and competitive differentiators will increasingly separate process excellence leaders from the laggards among the Global 2000, according to Gartner, Inc. Gartner has identified some of its key predictions for business process management (BPM) in 2011 and beyond.

“A key theme in our BPM predictions for 2011 is the rising focus on making business process improvement (BPI) a core competency of the organization — and on the capabilities and tools required to gain that competency,” said John Dixon, research director at Gartner. “Increasing process skills in the Global 2000 will further separate the companies with enlightened process experts from those that are simply competent in the basics — and will intensify the negative repercussions and devastating consequences from public exposure of process weakness.”

It goes on to state that:

  • Between now and year-end 2014, overlooked but easily detectable business process defects will topple 10 Global 2000 companies.
  • By 2015, context-aware computing will be used to rejuvenate at least 25 percent of “commodity” enterprise processes that are currently perceived as “low value.”
  • By 2014, process templates from “nontraditional application vendors” will be included in the shortlisted options for 70 percent of application purchases.
  • General BPM certification will grow in value but will not be materially relevant to BPM hiring decisions before 2015.

Would love to hear your thoughts on how well prepared your organisation is.

Further reading:

Ovum Publish BPM Vendor Decision Matrix

According to a press release from Metastorm, Ovum have released a new report about the BPM Vendor market.

The report evaluates BPM vendors based on a quantitative assessment of their market impact, end-user sentiment, and technology offering, and places them in one of three categories — explore, consider, or shortlist.

The analysis has considered various Vendors including: – Cordys, Oracle, Lombardi, Intalio, Pegasystems, SAP, Tibco, Metastorm and IBM. The press release states that Ovum have concluded the following:

Metastorm is placed in the elite “shortlist” category, which not only distinguishes its integrated software suite as “best of breed,” but also designates Metastorm as a vendor that should always be on the shortlist for any enterprise evaluating BPM solutions. According to the report, Metastorm is at “the very summit of the BPM competitive landscape.”

By contrast, Oracle and Savvion were the other vendors who made it into the ‘Shortlist’ category, while Lombardi, Appian, Active Endpoints, Ultimus, IBM and Pegasystems were in the ‘Consider’ category followed by AuraPortal, Cordys, Intalio, SAP and Tibco in the ‘Explore’ category.

I would be interested to hear your thoughts and experiences on Metastorm and if they should be on every evalutaion shortlist. The report can be found here for anybody who is interested.

BPM Conference – Vendors Showcase BPM and EA Capabilities

The recent event from BPM CON II – Intelligent BPM for the Productive Enterprise highlighted something that I have posted about before – the importance of EA & BPM convergence.

Admittedly, everyone has a different view on what BPM and EA is and how value can be derived from each but as with most things, real benefits come from combining individual concepts, methods and tools rather than just working with them individually on a case by case basis.

This  general principle of holism was concisely summarized by Aristotle in the Metaphysics:  “The whole is more than the sum of its parts”.

Reductionism in contrast, is sometimes seen as the opposite of holism. Reductionism in science says that a complex system can be explained by reduction to its fundamental parts. This sounds very much like the abstraction capabilities that Business Process Mangement and Enterprise Architecture provide.

No matter how you choose to define it, ultimately the focus should be on  how both can be used to solve tactical business problems while executing a longer term strategic roadmap. But I digress…..

The BPM II conference had four vendors presenting their capabilities and approaces to how BPM & EA could be used.

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AIIM BPM Industry Watch 2009 Report – Released

AIIM have released their annual report on the state of the BPM industry which is based on the experiences of over 450 BPM users within the AIIM community, this report details how long the payback period might be and the likely return on investment (ROI) across a number of potential process types.

The study also covers the biggest project issues and critical factors for success. Users told us where they prefer to buy their BPM tools and what features and functions they have found to be most useful.

It also goes on to reiterrate the point that most practitioners of BPM and Enterprise Architecture have known for many years and I have seen with most customers I have worked with over the years.

Business Process Management (BPM) is not widely recognized as a single software product or even as a suite of related software tools. It is, more accurately, a business management practice which might utilize a number of dedicated software mechanisms.

…BPM takes on both broader and deeper aspects. Broader in the sense of integrating with other enterprise applications, taking in electronic forms and edocuments, populating transactional databases and providing a single point of interface for users. Deeper features include process modelling and simulation, reusable process modules, and process monitoring and optimization.

By its nature, BPM is an intrusive technology. It has an excellent track record of investment return largely achieved by changing and re-shaping business processes for higher performance. As an agent of such change, the implementation of BPM presents many challenges, particularly when a process crosses departmental boundaries, or when the proponents of the BPM project are not from within the Line of Business affected.

Key findings from this BPM report include:  Continue reading

Gartner Release Enterprise Architecture MQ 2009 – Findings

Earlier in the year I posted about how EA and BPM are merging in both the practioner and tools space. This was also highlighted by evidence  from reports by Gartner and Forrester.

Gartner has released their latest analysis of the Enterprise Architecture vendor market.

Their overall assessment is favourable and in summary states the following:

  • EA tools adoption has increased despite economic challenges
  • Tools vendors have increased the richness of the features and functionality of their tools sets
  • Merger and aquisition activity (Software AG buying IDS Scheer) has provided momentum for 2009/2010.
  • Most tools seem to be more well rounded and now include, modelling, business intelligence and analysis capabilities that use a single data repository.
  • Open source and entry level tools have emerged and are seen to be gaining acceptance and interest but it is too early to tell what type of adoption there will be by a wider audience.
  • There is recognition in the market that entry level and no cost offerings can pose a longer term threat to vendors. This is as a result of vendors not listening to customers and not not aligning themselves with customer needs and their associated adoption of a fit for purpose EA tool.

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BPM, SOA and the Cloud – Market Forecast 2015

In the recent Worldwide Business Process Management (BPM) Market Opportunities Strategies, and Forecasts, 2009 to 2015, WinterGreen predict that: facade

Business process management (BPM) and services oriented architecture engine markets at $1.8 billion for licenses, maintenance, and services in 2008 are expected to reach $6.2 billion by 2015. Products have a dashboard that supports ease of use for business analysts. The automation of process is what drives profitability for the enterprise.

The authors state that BPM is going to be at the heart of most organisational transformation initiatives and that:

Business process management promises to drive enterprise markets going forward by implementing automated process more efficiently. Automation of business process must be balanced with human exception management, which is managed by workflow. Business processes are enhanced by the ability to interconnect a range of different applications systems including general ledger, order entry, inventory, process control, and human resources.

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SOA Adoption – So Far, So Good….

Towards the end of 2008, Dave Linthicum issued his predictions for the year ahead in service oriented architecture. They are summarised below:bpm-questions-you-should-ask-your-bpms-vendor1

  • The interest in cloud computing (or WOA, Web 2.0, or insert current Webby buzzword here) will drive many enterprises toward SOA
  • The explosion in PaaS (platform as a service) will leave many enterprise architects and CIOs scratching their heads
  • The economy will recover, but most enterprises out there will focus on cost reduction
  • There will be a larger focus on inter-domain SOA technology
  • Jig will be up for poor SOA governance solutions out there
  • Most failed SOA projects will be traced to unqualified SOA architects
  • SOA the buzzword will become a bit less relevant and will begin to morph with concepts, such as enterprise architecture and cloud computing

So where are we?

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