Business Process Management
Introduction
For every business there is a process in place. For some businesses, there are a number of laid down processes. These processes actually form the building units of the business which is pre-requisite to end results of the business. Zairi (1997) defined a process as an approach for converting inputs into outputs. Davenport (1993) defined process as a structured, measured set of activities designed to produce a specified outcome for a particular customer or market.W e need to realize that these processes might be performed routinely by members of staff of the organisation who are also the operators, without bearing the ultimate end results in mind. The operators carry out their duties normally as expected of them. This oftentimes leads to business processes being carried out but desired end results not fully achieved and therefore little value added.
Objectives
When we say processes here, it is not as per systems or technology but it involves people and the methods of performing these operations, as Smith and Fingar (2003) pointed out, process management is not another form of automation. However, we can view it as increasing the use of information technology to coordinate activities of people and resources. Paim et al (2008). There is therefore a need for the department that will be instrumental in an organisation to drive processes to ensure that these processes are well carried out. Paim et al (2008) state that managing business processes is a "day to day" activity where there are necessary tasks to be performed in order to drive processes in an organization. This department would be the Business Process Management department. Business process management enables organizations to increase productivity significantly and at the same time reduce time cycles in creating and adapting processes, but requires significant changes in
organizations' managerial, and particularly cultural, practices. (Harmon, 2003; Piam, 2002; McCormack, 2001; Schein, 1997; Davenport, 1993). Business Process Management should not however, be used to replace Business Process Re-engineering but rather to co-ordinate activities of re-engineering.
This question is about to examine the issue of what a full comprehension of operations and process administration implies in any business. During this exchange it is valuable to bring up the contrast between the specialized learning that is implanted in any operation or procedure on one hand, and the undertakings that are important to run the operation or procedure on the other. Marco Van Hopen is obviously educated and positively excited in view of his insight into the assignment.
In today's competitive marketplace, all firms are seeking ways to improve their overall performance. One such method of improvement, recently adopted by many firms, is benchmarking. Benchmarking is a technique used to evaluate internal business processes. "In this analysis, managers determine the firm's critical processes and outputs, baseline those processes, then compare the performance of each process against a standard outside the industry" (Bounds, Yorks, Adams, & Ranney 1994). To effectively improve a business process to world-class quality, managers must find a firm that is recognized as a global leader, not just the industry standard. Successful benchmarking requires tailor-made solutions, not just blind copying of another organization. Measurement and interpretation of data collected is the key to creating business process solutions.
There are several process and challenges found during examining process. In process there is a model called “process model” which is a step to prepare, collect, examine, analysis and report the evidences.
The term leadership and change management are interrelated between each other. Leadership direct the company to reach in the destination. Eventually, it is concentrate to formulating the business strategies require to transfer in new state to achieve the corporate goal (Hayes, 2010, p.159). Kotter (2011) explains that leadership is act as an engine on entire change process, that drives, controls and manages to move quickly in efficient way. According to Northouse (2013), “Leadership is a process whereby an individual influences a group of individuals to achieve a common goal.”
Bjerke, Juel M. "Week 2 Lecture Notes - Achieving Business Process Excellence and Process Re-engineering." MFGO 601 - The Globally Integrated Manufacturing Company. 2 Nov. 2011.
“Organizational development is the planned, organization-wide improvement of business processes to increase a company’s effectiveness and overall health” (Weiss, 2015 pg. 1.2). Change management “helps leaders to move entire organizations, or units, from a present to a desired state” (Weiss, 2015 pg. 1.2) Organizational development focuses on the processes while change management focuses on the behavior. Organizational development and change management are managed by executive leadership with the express intent of improving processes, behavior and implement improvement in organizational change. “Effective leadership is a foundational cornerstone within an organizational structure, especially while fostering an organizational change initiative” (Vanderwood, 2013 pg. 1). Ineffective leaders will see change as a threat and employees will resist any effort to make the necessary organizational
...eral Electric and Others Turned Process into Profits. John Wiley. 2001. Ellis j & Williams D (1993) Corporate strategy and financial analysis. Pitman Grundy T (1998) Exploring strategic financial management. Prentice Hall. Johansson, Henry J., Patrick McHugh, A. John Pendlebury and William A. Wheeler III. Business Process Reengineering: Breakpoint Strategies for Market Dominance. Wiley, 1993. Johnson j & scholes k (2002) Exploring corporate strategy 6th ed. Financial times-Prentice hall. Kubeck, Lynn C. Techniques for Business Process Redesign: Tying It All Together. Wiley-QED Publication, 1995. Price Waterhouse Change Integration Team. Better Change: Best Practices for Transforming Your Organization. Irwin, 1995. Rummler, Geary and Alan Brache. Improving Performance: How to Manage the White Space on the Organization Chart. (2nd Ed.) Jossey-Bass, 1990.
With the increasing development of the world’s economy, more and more people are becoming richer than before, and some of them choose to set up firms to make profits, earn money and even achieve their dreams. However, not all of the business can be some successful companies like Apple Inc., IBM and Google, because of that some small enterprises do need some professional ways to develop themselves, for instance, business process management, BPM is a concept that helps business to do well in the management fields. As the majority of the companies cannot meet their full potential because of the inefficient business process within the company, throughout different departments and the companies. Business process management is a practice in the operation management focusing on improving a company’s performance by managing and optimizing
Slack, N., Chambers, S., Johnston, R., Betts, A.,(2009). Operations and process management: Second edition. Harlow: Pearson Education Limited
Project managers may decide that major changes to business processes may be required. Change management is important for project managers and business leaders, starting at the project phase and continuing throughout the entire life cycle. Employees need training to understand how the system will change business processes.
In past few years, companies and industries of various sizes have become aware that they need to improve business processes such as product development, order fulfilment, planning, distribution, and customer service. So everybody is now focusing on doing process improvement or redesigning.
Note the phrasing: "The process", "functions involved", "process or technique", "an aggregate", "the business ...
As we all know over the past few years there has been a rapid change in technology due to technological advancements and so a variety of different processes have since been introduced in organizations to help quality improvement, speed, efficiency and better service to customers. Much emphasis today is placed heavily on quality but still, a lot of businesses are not quite able to properly achieve and keep up with these quality systems. The systems which include process management tend to die or be neglected due to the fact that most of these managers do not have the necessary resources, knowledge and time to help work on improving these systems. In the situation where managers may go on to misapply process management, it will obviously start hindering the company and dull their innovation to some extent but not entirely discourage it. So I would say that it is always necessary to have proper applications for these processes. Companies need to create an environment that both enables and encourages the process of innovation. I believe that process management has to be considered as the primary source of innovation. In many businesses, innovation has become an important aspect for high performing organizations and in order for these companies to ensure that innovation sticks around, in the long run; they have to make innovation a part of their day to day business. Process management is a key driving source of innovation. Companies need to go beyond and continue to create new ways of working and thinking. Overall, the whole idea of process management is to improve effectiveness and efficiency. It helps do the right thing, at a faster and cheaper
Business Process Management (BPM) is considered as the umbrella of our research. This chapter introduces an overview of BPM which offers a set of diversity values for organizations. Figure 2.1 represents the different areas that we covered in this chapter.
Business process reengineering (BPR) is a management approach aiming at improvements by means of elevating efficiency and effectiveness of the processes that exist within and across organizations. The key to BPR is for organizations to look at their business processes from a "clean slate" perspective and determine how they can best construct these processes to improve how they conduct business.