Business process management

Business process management (BPM) is a discipline in operations management in which people use various methods to discover, model, analyze, measure, improve, optimize, and automate business processes.[1] BPM focuses on improving corporate performance by managing business processes.[2] Any combination of methods used to manage a company's business processes is BPM.[3] Processes can be structured and repeatable or unstructured and variable. Though not required, enabling technologies are often used with BPM.[1]

It can be differentiated from program management in that program management is concerned with managing a group of inter-dependent projects. From another viewpoint, process management includes program management. In project management, process management is the use of a repeatable process to improve the outcome of the project.[4]

Key distinctions between the process management and project management are repeatability and predictability. If the structure and sequence of work is unique, then it is a project. In business process management, sequence of work can vary from instance to instance: there are gateways, conditions; business rules etc. The key is predictability: no matter how many forks in the road, we know all of them in advance, and we understand the conditions for the process to take one route or another. If this condition is met, we are dealing with a process.[citation needed]

As an approach, BPM sees processes as important assets of an organization that must be understood, managed, and developed to announce and deliver value-added products and services to clients or customers. This approach closely resembles other total quality management or continual improvement process methodologies. ISO 9000 promotes the process approach to managing an organization.

...promotes the adoption of a process approach when developing, implementing andimproving the effectiveness of a quality management system, to enhance customer satisfaction by meeting customer requirements.[5]

BPM proponents also claim that this approach can be supported, or enabled, through technology.[6] As such, many BPM articles and scholars frequently discuss BPM from one of two viewpoints: people and/or technology.

Definitions

BPMInstitute defined Business process management as:

...the definition, improvement and management of a firm's end-to-end enterprise business processes in order to achieve three outcomes crucial to a performance-based, customer-driven firm: 1) clarity on strategic direction, 2) alignment of the firm's resources, and 3) increased discipline in daily operations.[7]

The Workflow Management Coalition,[8] BPM.com[9] and several other sources[10] use the following definition:

Business process management (BPM) is a discipline involving any combination of modeling, automation, execution, control, measurement and optimization of business activity flows, in support of enterprise goals, spanning systems, employees, customers and partners within and beyond the enterprise boundaries.

The Association of Business Process Management Professionals[11] defines BPM as:

Business process management (BPM) is a disciplined approach to identify, design, execute, document, measure, monitor, and control both automated and non-automated business processes to achieve consistent, targeted results aligned with an organization’s strategic goals. BPM involves the deliberate, collaborative and increasingly technology-aided definition, improvement, innovation, and management of end-to-end business processes that drive business results, create value, and enable an organization to meet its business objectives with more agility. BPM enables an enterprise to align its business processes to its business strategy, leading to effective overall company performance through improvements of specific work activities either within a specific department, across the enterprise, or between organizations.

Gartner defines business process management as:

"the discipline of managing processes (rather than tasks) as the means for improving business performance outcomes and operational agility. Processes span organizational boundaries, linking together people, information flows, systems and other assets to create and deliver value to customers and constituents."[12]

It is common to confuse BPM with a BPM suite (BPMS). BPM is a professional discipline done by people, whereas a BPMS is a technological suite of tools designed to help the BPM professionals accomplish their goals. BPM should also not be confused with an application or solution developed to support a particular process. Suites and solutions represent ways of automating business processes, but automation is only one aspect of BPM.

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