Sunday, March 15

Business Process Management (BPM) in a company

Table of Contents 

Part: 1. Think of a BPM project that could be done in your organization. Describe the current process and the main issues.
BPM is a method for taking a gander at and afterward controlling the processes that are available in an organization. It is a compelling technique to use in times of emergency to make sure that the processes are proficient and viable, as this will bring about a superior and more cost productive organization. (Jeston & Nelis, 2014). The term business process administration covers how we study, recognize, change, and screen business processes to guarantee they run easily and can be enhanced over the long haul. Regularly encircled as far as the everyday stream of work – and yes, "work process" for the most part does fit under the process change umbrella – it is a vital bit of the right to gain entrance and use riddle since no or poor process truly corrupts your capacity to get at and influence data. BPM is best considered a business work on, incorporating procedures and organized techniques. (Sadiq, Governatori, & Namiri, 2007) It is not an innovation, however there are advances available that convey the descriptor in light of what they empower: in particular, distinguishing and adjusting existing processes so they adjust to a wanted, probably enhanced, future condition of issues. It is about formalizing and systematizing better courses for work to accomplish. (Wohed, Aalst, Dumas, Hofstede, & Russell, 2006).
In other words business process management (BPM) is a field in operations management that concentrates on enhancing corporate execution by overseeing and upgrading an organization's business processes. It can thusly be portrayed as a "process enhancement process." (Bhattacharya, Gerede, Hull, Liu, & Su, 2007). It is contended that BPM empowers associations to be more effective, more compelling and more equipped for change than a practically centered, customary progressive management approach. These processes can affect the expense and income era of an association.
As a managerial methodology, BPM sees processes as vital resources of an association that must be comprehended, overseen, and enhanced to convey quality added items and administrations to customers. This methodology nearly looks like other Total Quality Management or Continuous Improvement Process approachs and BPM defenders additionally guarantee that this methodology can be upheld, or empowered, through engineering. All things considered, numerous BPM articles and savants habitually examine BPM from one of two perspectives: individuals and/or engineering. (Hepp, Leymann, Domingue, Wahler, & Fensel, 2005,).
The idea of business process may be as conventional as ideas of errands, office, creation, and yields, emerging from occupation shop booking issues in the early twentieth Century. The management and change approach starting 2010, with formal definitions and specialized demonstrating, has been around since the early 1990s. Note that the expression "business process" is once in a while utilized by IT professionals as synonymous with the management of middleware processes or with coordinating application programming errands. (Trkman, 2010).
Despite the fact that BPM at first centered on the robotization of business processes with the utilization of data innovation, it has subsequent to been stretched out to coordinate human-driven processes in which human collaboration happens in arrangement or parallel with the utilization of engineering. Case in point, work process management frameworks can dole out individual steps obliging conveying human instinct or judgment to important people and different errands in a work process to a pertinent computerized framework. (Ko, Lee, & Lee, 2009).
Later varieties, for example, "human cooperation management" are concerned with the communication between human laborers performing an assignment.
Starting 2010 innovation has permitted the coupling of BPM with different approachs, for example, Six Sigma. Some BPM apparatuses, for example, Sipocs, Process Flows, Racis, Ctqs and Histograms permit clients to:
·         visualize - capacities and processes
·         measure - focus the suitable measure to focus achievement
·         analyze - contrast the different reenactments with focus an ideal change
·         improve - select and execute the change
·         control - convey this usage and by utilization of client characterized dashboards screen the change continuously and bolster the execution data go into the recreation display in planning for the following change cycle
·         re-engineer - redo the processes starting with no outside help for better comes about
This brings with it the profit of having the capacity to mimic changes to business processes focused around true information (not simply on accepted learning). Likewise, the coupling of BPM to industry philosophies permits clients to consistently streamline and advance the process to guarantee that it is tuned to its market need. (Rohloff, 2009).
Starting 2012 examination on BPM has given careful consideration to the consistence of business processes. Despite the fact that a key part of business processes is adaptability, as business processes constantly need to adjust to changes in the nature's turf, consistence with business method, arrangements and government regulations ought to likewise be guaranteed. The agreeability perspective in BPM is very critical for administrative associations. Starting 2010 BPM approaches in an administrative setting to a great extent concentrate on operational processes and information representation. Despite the fact that there have been numerous specialized studies on operational business processes in both the general population and private parts, specialists have once in a while considered lawful agreeability exercises, for example the legitimate usage processes in broad daylight organizing. (Pesic & Aalst, 2006)

Company overview and its current processes


I am working in Norad. Norad have been trading since 1981. The company employs 29 members of staff. The organisation has a turnover of £22m a year. Norad Travel is travel experts, supporting its customers from the boardroom to the beach and everything in between. Its experienced team delivers a world-class service that has positioned Norad as one of the fastest growing travel management organisations in the UK. Through people, technology and experience, Norad Travel continue to expand in this growing marketplace.
Norad Travel is widely recognised as one of the UK’s fastest growing independent travel management organisations. It has maintained its commitment to growth with the opening of new offices in Hampshire, Kent etc and also with international offices and business partnerships overseas. Underpinning its continual success is the commitment of its staff to clients' requirements and the attention to detail that only a truly personal service can provide. The Norad Travel Group ensure peace of mind for all those who organize corporate travel.
They were required following goals to be achieved through a project: -
·         Remove a labour intensive, high volume task of sending out customer invoices
·         Speed up the distribution of statements
·         Automation of customer invoices
·         Automation of unique customer statements
·         Automation of credit status notifications
·         100% on time and accurate invoicing leading to improved credit control


Part: 2. for your BPM project, execute any three of the following phases of the BPM methodology seen throughout the course:
·         Organization strategy phase (ch. 13)
·         Process architecture phase (ch. 14)
·         Launch pad phase (ch. 15)
·         Understand phase (ch. 16)
·         Innovate phase (ch.17)
·         People phase (ch. 18)
·         Develop phase (ch. 19)
In ensuing paragraphs, first each selected phase is defined and then situation related to my organization is elaborated.
Organization strategy phase includes both the distinguishing proof of existing processes and the outline of "to-be" processes. Zones of center incorporate representation of the process stream, the elements inside it, alarms and notices, accelerations, standard working strategies, administration level understandings, and undertaking hand-over systems. Whether existing processes are viewed as, the point of this step is to guarantee that a right and productive hypothetical outline is readied. The proposed change could be in human-to-human, human-to-framework or framework to-framework work processes, and may target administrative, business, or aggressive difficulties confronted by the organizations. The current process and the configuration of new process for different applications will need to synchronies and not result in real blackout or process intrusion. (Snabe, , Rosenberg, Mller, & Scavillo, 2008)
In my company for the project, a strategy was formulated which consisted on the following objectives achievement:
Reducing the cost and time associated with invoicing. Invoicing is a universal business process and one that is critical to the success of any organisation. Mistakes made within this activity can have a serious effect on the organisation and great effort is made to standardize associated internal procedures and best practices.
In the company, it had a well drilled invoicing procedure but not content with standing still it wanted to reduce the time and resource consumed by this repetitive employee process. Furthermore, it wanted to iron out the errors that all human driven processes can create.
Ensuring customers receive statements in the format they require Meeting customer needs is the foundation of a successful business but even this very basic business process can create challenges for organisations. For example, sending prompt and personalized customer statements can be open to errors, slow and difficult to consistently deliver on time. The company had a very particular challenge when it came to customer statements and that was that each customer often requested a unique format and this was difficult to achieve consistently. It wanted a system that could consistently follow unique business rules and meet customer expectations each and every time. Their objectives included: -
·         Reduce operational costs
·         Streamline statement production
·          Reduce employee administration
·         Reduce bad credit exposure
Identifying clients approaching their credit limit Improvements to credit control procedures always have a positive impact on performance and the company was keen to improve on its already efficient credit control procedures. In particular, it wanted to remove the onus and responsibility placed on employees to manually identify which clients were approaching their agreed credit limits. The pains of unsuccessfully identifying clients approaching agreed limits were painful to absorb and would consume a disproportionate amount of employee time. Reducing the company’s exposure to debt was an objective that was identified as a priority challenge.

Process architecture phase takes the hypothetical plan and presents blends of variables (e.g., changes in rent or materials costs, which decide how the process may work under distinctive circumstances). (Ferguson, & Stockton, 2006)
In the above project automating invoicing through simple drag and drop steps the company saw TaskCentre as the perfect solution to resolve its challenges surrounding invoicing. By utilising the products intuitive Graphical User Interface and drag and drop tools the company was able to automate the creation and distribution of invoices. The automated process itself was achieved by using TaskCentre to query its industry specific TRAMS database application on a scheduled basis, format the data as HTML and PDF through TaskCentre’s Crystal Reports tool, save the PDF to a specific location and send the file via SMTP to the client. Automating personalized statement creation and distribution.
Automating our invoicing processes through TaskCentre involved nothing more than the orchestration of a few icons on a Graphical User Interface. Proactively monitoring and notifying on client credit limits. As an organisation, the company had established a very robust set of credit control procedures but it was keen to bolster processes further and reduce its exposure to debt. It was identified that early notification of a potential credit limit breach was key to reducing debt exposure and as result it added rules-based alerting capabilities to its TRAMS system via TaskCentre.
To achieve this solution Norad Travel used TaskCentre’s Schedule Event, ODBC Query, Format as HTML and Send Message (SMTP) Tools to deliver email alerts to key staff about clients that were approaching their agreed credit terms. The flexibility and rule-driven intelligence of TaskCentre also meant that each alert was unique to the credit terms of a particular client.
The next challenge facing the company was how to automate the creation and delivery of personalized client statements. The solution was a simplistic process for the company to create as the automated process shares many similar characteristics to that of the automated invoicing process. Once again TaskCentre’s drag and drop tools were used to query the TRAMS database on a scheduled basis, format the data as HTML and then PDF using the Crystal Report tool, save the PDF to a location and distribute via SMTP.
Using TaskCentre’s rules engine the company also applied business logic to each statement so that clients received a personalized version:
·         Automate invoices
·         Automate personalized statements
·         Monitor and alert of credit limit statuses
·         Remove employees from repetitive admin

One of the approaches to robotize processes is to create or buy an application that executes the obliged steps of the process; then again, in practice, these applications once in a while execute all the steps of the process precisely or totally. An alternate methodology is to utilize a blend of programming and human mediation; however this methodology is more unpredictable, making the documentation process troublesome. As a reaction to these issues, programming has been produced that empowers the full business process (as created in the process plan action) to be characterized in a code which can be straightforwardly executed by the machine. The framework will either utilize benefits as a part of joined applications to perform business operations (e.g. figuring a reimbursement plan for a credit) or, when a step is so mind boggling there is no option mechanize, will request human information. Contrasted with both of the past methodologies, straightforwardly executing a process definition can be more clear and in this manner less demanding to move forward. Notwithstanding, mechanizing a process definition obliges adaptable and complete framework, which regularly precludes executing these frameworks in a legacy IT environment. Business standards have been utilized by frameworks to give definitions to representing conduct, and a business tenet motor can be utilized to drive process execution and determination. (Fleischmann,  Schmidt, Stary, Obermeier, & Brger, 2012).
In the launch pad phase the TaskCentre solutions were implemented. The commercial gains of automating invoicing procedures are well documented and the company was no different in terms of the benefits it’s achieved. Primarily, by automating its invoicing procedures the company now benefits from 100% accurate and on time billing and therefore collections also occur on time. This automated process has also completely removed the problem of ‘missed’ invoices.
In addition to the benefits of accurate and timely invoicing, TaskCentre has removed the need for employees to manually create and send invoices. This has delivered a significant saving in employee time and improved productivity.
Personalized statements without the administrative overhead Creating and sending customer statements, was a time consuming and error prone process for the company. More importantly, it consumed a great deal of time from skilled employees that should be focusing on delivering a personalized service to clients. TaskCentre completely removed employees from this laborious and non-value adding task by automating the process. In fact, this single automated process saved the company in excess of 896 hours a year in repetitive employee administration and ensures every client receives a personalized statement that is error free.
The company now dynamically receives personalized statements without any employee processing. It’s a win-win situation:  
·         100% accurate and timely invoices
·         Eradication of costly employee processing
·         Improved visibility of credit control statuses
·         Personalized statements
·         Reducing debt exposure and keeping clients within credit terms

Real-time, consistent information is the key to managing credit limit statuses of clients. Without Perfect visibility credit breaches can creep up and harm the organisation. The problem the company experienced was not that it could not identify these critical points; it was that they needed employees to do this manually. This inevitably led to some clients approaching their credit limits without identification.
TaskCentre removed this problem by dynamically identifying when clients were approaching their credit limits and informing the appropriate the company’s employee via an HTML email alert. This provides employees with the ability to proactively communicate with the client and extend their credit terms where appropriate.
More significantly, this has resulted in the company reducing its exposure to debt and further strengthened its financial performance.
Moving forwards we can see a number of employee tasks that will be easy to automate through TaskCentre. The company is systematically reviewing all its business processes to see where automation can add value to productivity, financial performance and the level of personal service it delivers to its clients. In the short term the company will be extending its automated credit limit alerts solution to the leisure department. Migrating this automated task to this business function is simplistic and will have an immediate impact on financial performance.
·         Identifying other business processes to automation
·         Rolling out credit control alerts to the leisure department
·         Automating additional management reports
·         Rolling out credit control alerts to the leisure department. Automating additional management reports
TaskCentre has been an excellent addition to our IT infrastructure because it delivered commercial benefits quickly.



References
1.      Jeston, J., & Nelis, J. (2014). Business process management. Routledge.
2.      Sadiq, S., Governatori, G., & Namiri, K. (2007). Modeling control objectives for business process compliance. In Business process management (pp. 149-164). Springer Berlin Heidelberg.
3.      Wohed, P., van der Aalst, W. M., Dumas, M., ter Hofstede, A. H., & Russell, N. (2006). On the suitability of BPMN for business process modelling (pp. 161-176). Springer Berlin Heidelberg.
4.      Bhattacharya, K., Gerede, C., Hull, R., Liu, R., & Su, J. (2007). Towards formal analysis of artifact-centric business process models. In Business Process Management (pp. 288-304). Springer Berlin Heidelberg.
5.      Hepp, M., Leymann, F., Domingue, J., Wahler, A., & Fensel, D. (2005, October). Semantic business process management: A vision towards using semantic web services for business process management. In e-Business Engineering, 2005. ICEBE 2005. IEEE International Conference on (pp. 535-540). IEEE.
6.      Trkman, P. (2010). The critical success factors of business process management. International Journal of Information Management, 30(2), 125-134.
7.      Ko, R. K., Lee, S. S., & Lee, E. W. (2009). Business process management (BPM) standards: a survey. Business Process Management Journal, 15(5), 744-791.
8.      Rohloff, M. (2009). Case study and maturity model for business process management implementation. In Business Process Management (pp. 128-142). Springer Berlin Heidelberg.
9.      Pesic, M., & van der Aalst, W. M. (2006, January). A declarative approach for flexible business processes management. In Business Process Management Workshops (pp. 169-180). Springer Berlin Heidelberg.
10.  Snabe, J. H., Rosenberg, A., Mller, C., & Scavillo, M. (2008). Business process management: The sap roadmap. Sap Press.
11.  Ferguson, D. F., & Stockton, M. (2006). Enterprise business process management–architecture, technology and standards (pp. 1-15). Springer Berlin Heidelberg.
12.  Fleischmann, A., Schmidt, W., Stary, C., Obermeier, S., & Brger, E. (2012). Subject-oriented business process management. Springer Publishing Company, Incorporated.