Organizations pursue Business Process Management (BPM) typically to (1) save money through cost saving or productivity improvement, (2) improve the customer’s experience and satisfaction, and (3) new product and service innovation to remain competitive.
Business Process Management (BPM) is a systemic, holistic and cross-functional view of a process, managed iteratively over its entire lifecycle. It includes designing, documenting, improving, optimizing, communicating, implementing, evaluating, updating, and retiring processes.
BPM strives to align internal and external business process performance and results with the core competencies, strategic objectives, and business goals of the organization through:
The main components of Business Process Management (BPM) include:
The BPM infrastructure may includes technologies that assists with, amongst many others:
Business Process Management (BPM) requires an appropriate structure that sets process requirements and measures.
Process requirements includes a description of how the process should strive to operate with the optimal based on known best practices. Measures are the performance standards that are to be achieved typically tracked with a set of key performance Indikators (KPIs)
In the BPM structure, two positions play a critical role. These are:
Initiating Process Owner (IPO) - sometime also refered to as Group/Global Process Owner (GPO). Their role is to define the process standards which may include maturity stages and maturity targets to be achieved. In addition, another key role is to set process performance measures and targets. Typically, the core core processes in a business will each have an Initiating Process Owner.
Reinforcing Process Owner (RPO) - sometimes refered to as Regional / Country Process Owners. Their role is to implement the defined standards on location in plants and offices. They typically own the Process Management Office that is responsible for guiding and delivery of process breakthough improvement projects.
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