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Business Process Management OZ Assignments
This assignment is aiming to develop a critical essay on “Business Process management and its implementation approaches”. In this essay different aspects of BPM would be assessed and it would be evaluated how an organization can gain long term sustainable advantage by developing a process perspective rather than developing a result perspective in its strategic approach.Business process is a set of processes and techniques which are used to improvise the business process management and efficiency of business which will ultimately lead towards higher profitability. Right strategic selection is a very important part of developing business process technology.
Body Of Essay
The compilation of structured activities which leads to successful delivery of the product or a service of the customer in the organisation is the business processes. These Business processes can be of any types namely Management, operational or supporting processes which challenge the functional silos. Ulric, et al (2008) are providing an entire text book on understanding of business process technology and role played by different information systems and database management systems in it. Book starts with a unqiue example of websites and online bookstores crashing before release of harry potter books because of heavy data load on organizational systems. He indicates how sudden surge in demand can crash the entire system until and unless a business process technological innovation are placed as a safe guard which can distribute the load and channelized it in a systematic manner. . According to a report published by Deloitte there are three dimensions of a business operations namely people, process and technology. And it is often observed that when it comes to improving business operations organizations focuses majorly on technological improvement without making required changes in people and processes. According to Deloitte a smart leader would always begin with improvisation of people and processes in the organization rather than beginning with technology (Ponzi and Koenig, 2002). Technological changes should be developed in follow up approach where it will be upgraded to meet the skill sets and newly developed abilities of work forces. Cloud computing is the latest trend in business process technology which can revolutionize the way entire business process management approach works and cost of the BPR. Vassil Stoitsev, Paul Grefen argues in their research paper published in 2012 that business process technology and cloud computing can collectively redefine the entire concept if sufficient researches are done on its integration. Currently their own definition is vague and it is very difficult to align them towards a common strategic goal. Author pointed out that most of the businesses he has visited do not have the right software for their needs and this act as a bottle neck in improving business process of organization. They also predict in their research study that organizations will move towards this integration in near future eventually because of its immense benefits.
The business processes in the organisational design creates the competitive advantage for the organisation.
1.Facilitates Business Strategy: The alignment of organisational design with the business strategy helps in achieving the goals. The organisation design drives for delivering business strategy.
2.Drive Value:The effective organisation design helps in maximizing the value delivered to the customers through aligned business processes (Hammer et al, 1993).
3.Maximizing Core Capabilities: The development of core capabilities is achieved thorough effective organisational design and helps in achieving efficient governance structures.
There are four vital components to the BPM technology which are process engine, business analytics, content management and collaboration tools. Business process modelling is the analytics part which includes the review of business processes being carried out in the organization so that improvement can be made in the organizational processes (vom & Rosemann, 2010). The major objective behind business process modelling is to attain efficiency and quality. Change management programme can be considered as the vital part of the business process modelling as they may lead to change in processes so that higher level of efficiency can be gained. Business process analysis would be the major goal which organizations seek in order to understand the evaluation of the business processes encountered in the organization. These business processes are compared against the benchmark processes so as to attain maximum possible efficiency in the business processes (Frolick and Ariyachandra, 2006).
Below are the four aims and objectives which can be gained by an organization through BPM process based perspective in the long term.
1.Design strategic objectives and assess current capabilities:The development of organisational design project through process scope and timelines and designing strategic objectives helps in realising better opportunities (Daft et al, 2010).
2.Define Core Capabilities and building operating model: The development of design hypothesis along with accessing future core capabilities and thus developing core operating model.
3.Design Organisation: The development of high level organisation along with designing roles and responsibilities, business policies, business processes and system helps in developing organisation structures (Daft et al, 2010).
4.Transition and Evolving Organisation:There should be transition of workforce and the execution of training plans along with state of the art selection process which helps in evolving organisation
There are various examples of organization using BPM and its tools successfully to gain competitive advantage in modern business environment. A YouTube video is available on linkhttps://www.youtube.com/watch?v=gSQZnxlynUY. This video talks about the development and importance of a intelligent business process management systems. They are also known as IBPMS. It was published in year 2013 and it discusses the different components or a small system which contributes towards development of a large scale intelligent business process management system. Business rules management and process component registry or repository is as a very important part of this development. According to the video when Newgen Software Company started developing their IBPM systems they were fully aware of each component’s requirement and they integrated both business rule management and repository considering the fact that there is no scope of developing an IBPMS without including them.
Business Rules And Bpm
According to literature analysis each business has a different set of rules and this set provide them its competitive advantage and uniqueness. Being able to quickly adapt to changes in your business environment and implement new/changed processes and/or new/changed business rules is crucial in order to keep your competitive edge. One of the important strength of developing a business rule repository is that it gives you the control over the access and view rights and you can determine who should have the rights to make changes in business rules of organization. It is a fact that business rules are neither technology oriented or owned by technology. It is vice versa and technological rules are to be defined and developed in such a way that it complements the business process. Rules are required in context of business and according to business professionals rules are required differentially according to the requirement and situation. It is also emphasized in the article that business rules and business process reengineering is that they should be visualized always in the larger eco system of business organization (Lebdeys, et al 2005).
Bpm And Operational Feasibility
Bpm And Role Played By Different Teams Of Organization
The team comprises users (who avail the system& provide us the key information which is necessary for the development & improvement of the system), development staff, support team (who is responsible for providing technical support) project owner (who holds the project successfully by the optimum utilisation of the resources) & sales team.The technical team not only provides technical assistance but also work as a customer care worker who manages the queries of the customer regarding product. They are the beginners and finishers of a project and after that they move to other project if needed. Similarly the sales team works in the front end and understand the need of the customer. But among all the team members the users plays a very important role as they are one who are going to use that product and helps the company by giving their valuable inputs ,so the company should, involve them in all the phases & consider them as a prime contributor by giving attention to their feedbacks (Van & Wensley, 2001).
Approches For Bpm System Development
There are several approaches used in order to manage the iterations in adaptive approach for BPM system development. Whenever there is a complex problem in BPM system development, a different approach called iterative method is used in which the complex problem is broken down into smaller simple parts. Then these small parts are operated and executed on the basis of every milestone of the project like design, analysis, plan, etc and finally these simple parts are being joined using integration. While solving this complex problem using iterative method planning, analysing, designing and implementation is done individually for each part of the problem and is repeated similarly for all the parts to get the final results. At the initial stage of information system project analysis is followed by designing irrespective of knowing that the system would work at the end or not (Gefen, 2002). In order to obtain quality and optimal results through iterative method, similar processes are done on a continuous basis as a loop. There is one more approach for implementing system using iterative method in which first of all the most important or high priority function is done and later it is followed by functions having less priority. As an alternative method of iteration technique, another approach may be used. In that approach each subsystem would be developed chronologically, first development would be of core subsystem and then subsystems having less dependability would be followed. one approach is to manage or monitor the iteration level technique is to keep a tab on the risk levels (Marklund, 2004).
A predictive approach in the system development is used in a successful manner specially in cases of system development projects. In a system development projects, aims and objectives of the project are very well defined and entire planning of the projects can be done in advance. Scope of the projects and very well defined and process and execution part of the project can also be pre planned. Risk levels in such projects are very minimal because all the risk areas are pre identified and there solutions are already in place. Essentially level of uncertainty which is generally associated with any project is very less in a system development project (Hommes, 2004).
On the other hand adaptive system development approach is exact opposite of predictive approach. Here there is no planning or no method which is predefined and entire scope of the project is developed around as the project expands. In such projects there are numerous changes, improvements and modifications which can be done and each activity can bring out results which were previously not expected. There is a very high level of uncertainty which means risk level would be high and even results can be very grandeur in nature. This is a high risk and high gain game (Umble, 2003).
Business process technology can be correlated as the system which moves information from the enterprise package software and these can be considered as the service oriented architecture. BPM technology can be considered as the real time systems so as to deliver the vital information in the enterprise. The business processes and rules repository can be considered as the modern methodology so as to make improvements in the qualitative and quantitative properties for the current age information systems. Business process and rules repository contains the basics of the approach for business process evaluation and based on the models rules are analyzed for further improvement in the given rules (Mojdeh, 2005).
1.Hussein, B. (2008), PRISM: Process Re-engineering Integrated Spiral Model, VDM Verlag
2.Ponzi, L. and Koenig, M. (2002). "Knowledge management: another management fad?", Information Research, 8(1).
3.Frolick, Mark N.; Thilini R. Ariyachandra (2006). "Business performance management: one truth" (PDF). Information Systems Management (www.ism-journal.com): 41–48.
4.Mojdeh, S. (2005). "Technology-enabled Business Performance Management: Concept, Framework, and Technology". 3rd International Management Conference. p. 2
5.Brocke, J. & Rosemann, M. (2010), Handbook on Business Process Management: Strategic Alignment, Governance, People and Culture (International Handbooks on Information Systems). Berlin: Springer
6.Lebdeys, E. Et al (2005) Business rules repository for business rules represented using UML (online) available onhttp://ecet.ecs.ru.acad.bg/cst05/Docs/cp/SII/II.5.pdflast accessed on 27/03/2017
7.Stijn, V. E., Wensley, A., 2001. Organizational memory and the completeness of process modelling in ERP systems: Some concerns, methods and directions for future research. Business Process Management Journal 7 (3), 181–194.
8.Umble, M.M., 2003. Enterprise resource planning:Implementation procedures and critical success factors. European Journal of Operational Research 146 (2), 241–257.
9.Hommes, L. (2004). The Evaluation of Business Process Modeling Techniques. Doctoral thesis. Technische Universiteit Delft.
10.Marklund, J. (2004). Business Process Modeling, Simulation, and Design. Pearson/Prentice Hall, 2004.