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.
I have worked with various organisations to implement BPM solutions at both Enterprise and Departmental levels. A common challenge that I often come across is that both Business and IT don’t always understand how to apply itterative development approaches to support a BPM implementation.
As practitioners, I find we tend to take these types of approaches for granted but customers often need some education, especially if they have not used anything but Waterfall. The most common issue I find with Waterfall is that it instills a mind set of “Big Bang” project/solution delivery i.e. ‘know it all the build it and finally test it all’.
With greater pressure on both Buisness and IT to show value and returns quicker and more consistently, itterative approaches have demonstrated their value with much better ROI and a lower unsuccessful implementation risk ratio, especially if an organisation is new to BPM.
Various itterative approaches exist and the more commonly known one in my experience is SCRUM, XP, Agile and RUP. To help educate novices what its all about I thought the following resources may be useful.
Ken Schwaber co-developed the Agile process, Scrum. He is a founder of the Agile Alliance and Scrum Alliance, and signatory to the Agile Manifesto. Ken has been a software developer for over thirty years. He is an active advocate and evangelist for Agile processes.
As someone who works with customers to deliver business value through BPM, I have definitely noticed an increased interest from organisations exploiting existing BPM investments as well as those that are new to BPM trying to determine its potential.
Lombardi Software recently released this 15 min (more like 30 but who’s counting) introduction to BPM. Thought it may be informative for those of you trying to understand the value of BPM.
Quoting Lombardi marketing:
…let us help you share the BPM vision with your co-workers. ‘How To Explain BPM To Your Co-workers In 15 Minutes or Less’ is an informative webinar to help you discover what to present and how to answer the most frequently asked questions.
“Going Green” in the context of IT seems to be very focussed on how businesses can reduce their operational costs WRT their physical infrastructure e.g. datacentres, server consolidation/reduction, virtualisation, cooling and power consumption improvements etc.
An aspect that is recognised as being able to contribute to cutting costs (in support of Going Green) is the optimisation of the business working practices.
This however is not always clearly understood and as readily quantifiable as the more accepted case for physical infrastructure changes.
In a recent article published on eWeek a case study from Tetra (a global Aquarium and fish food manufacturer) is used to explore how after adopting BPM, the streamlined process allowed its engineers, scientists and other knowledge workers across the globe to collaborate about changes to their product line online. This reduced the travel, paper consumption and also allowed them to realize their enviornmental benefits. Continue reading →
Pegasystems recently released survey results for the top 10 issues in the Insurance Industry. A similar Banking Industry survey can be found here.
Pegasystems conducted a survey of insurance industry leaders and asked them to share their views on the “Top Ten Issues in Insurance” for 2009. The goal of the survey is to provide insight into the business challenges these leaders forecast and are working to address in 2009.
Survey participants were asked to rank how important these issues were to their 2009 business objectives. The survey respondents covered a broad range business and technical professionals from all lines of business within the insurance industry.
The following paragraphs are extracts from a recent survey done by Pegasystems into how the banking industry are not meeting the service expectations of their customers.
…more than half of those questioned feel poorly served or informed by their banks. Yet 78% said it was important or essential that their bank knew and understood the customer as an individual with specific needs.