1BM05 – Business process management summary
Week 1 – Process identification (High level overview of
processes)
BPM is relevant in a number of sectors, think of:
Financial services and insurance
Business services and construction
Manufacturing
Public sector and healthcare
Retail and wholesale
Utilities and telecommunications
Definitions of BPM
A systematic, structured approach to analyze, improve, control and manage
processes with the aim of improving the quality of products and services
A customer-focused approach to the systematic management and improvement of
all company processes through cross functional teamwork and employee
empowerment.
Supporting business processes using methods, techniques, and software to design,
enact, control, and analyze operational processes involving humans, organizations,
applications, documents and other sources of information.
Key observations
BPM is about processes and for customers
There is a lot that can be done with those processes: design, analysis, …
It’s at the intersection of management and information technology
History of BPM
It started during the second industrial revolution (1865-1900) > think about Ford
company
Taylor’s scientific management:
- Rationalization > thinking about the word you’re doing.
- Division of labor
- Specialist
- Manager
- Functional units
1
,2
,Organizations would look like this during the second industrial revolution (1865-1900)
We still work this way… but..
Contemporary effects of scientific management
- Departmental suboptimization
- Client dissatisfaction is abundant (overvloedig)
- Lack of workforce commitment
- Inflexible organizations
The process wave of the 90’s
Improving customer service by improving cross-functional processes using IT, and
redesigning/ reengineering/ innovation process structures.
So now there is BPM
Improving business processes, while focusing on the customer, by performing actions on
these processes.
BPM is the rebranding of process thinking of the 90s, with two important developments
BPM is the rise of process-aware technology
BPM takes a much broader scope than previous process approaches
BPM Lifecycle (also course structure)
3
, Process identification
Designation phase
Identifying organization processes and their relationships
Evaluation phase
Prioritizing the identified processes for process management activities
Process architecture
A representation of the processes in an organization and their relation
E.g. hierarchal, ordering
Process architecture tells:
Which processes exist
Where each process starts/ ends
How the processes are related
At which level of detail, they should be described
…
How do we create a process architecture? > By building a case/ function matrix
Case/ function matrix
We focus on the approach proposed by Dijkman et al
Two main dimensions
Case
Functions
Approach
1. Identify case types
2. Identify functions
3. Construct case/ functions matrix
4. Identify processes
Case type:
4
Week 1 – Process identification (High level overview of
processes)
BPM is relevant in a number of sectors, think of:
Financial services and insurance
Business services and construction
Manufacturing
Public sector and healthcare
Retail and wholesale
Utilities and telecommunications
Definitions of BPM
A systematic, structured approach to analyze, improve, control and manage
processes with the aim of improving the quality of products and services
A customer-focused approach to the systematic management and improvement of
all company processes through cross functional teamwork and employee
empowerment.
Supporting business processes using methods, techniques, and software to design,
enact, control, and analyze operational processes involving humans, organizations,
applications, documents and other sources of information.
Key observations
BPM is about processes and for customers
There is a lot that can be done with those processes: design, analysis, …
It’s at the intersection of management and information technology
History of BPM
It started during the second industrial revolution (1865-1900) > think about Ford
company
Taylor’s scientific management:
- Rationalization > thinking about the word you’re doing.
- Division of labor
- Specialist
- Manager
- Functional units
1
,2
,Organizations would look like this during the second industrial revolution (1865-1900)
We still work this way… but..
Contemporary effects of scientific management
- Departmental suboptimization
- Client dissatisfaction is abundant (overvloedig)
- Lack of workforce commitment
- Inflexible organizations
The process wave of the 90’s
Improving customer service by improving cross-functional processes using IT, and
redesigning/ reengineering/ innovation process structures.
So now there is BPM
Improving business processes, while focusing on the customer, by performing actions on
these processes.
BPM is the rebranding of process thinking of the 90s, with two important developments
BPM is the rise of process-aware technology
BPM takes a much broader scope than previous process approaches
BPM Lifecycle (also course structure)
3
, Process identification
Designation phase
Identifying organization processes and their relationships
Evaluation phase
Prioritizing the identified processes for process management activities
Process architecture
A representation of the processes in an organization and their relation
E.g. hierarchal, ordering
Process architecture tells:
Which processes exist
Where each process starts/ ends
How the processes are related
At which level of detail, they should be described
…
How do we create a process architecture? > By building a case/ function matrix
Case/ function matrix
We focus on the approach proposed by Dijkman et al
Two main dimensions
Case
Functions
Approach
1. Identify case types
2. Identify functions
3. Construct case/ functions matrix
4. Identify processes
Case type:
4
