BPM as a Management Paradigm

We often tend to think of BPM as a process improvement methodology, or in terms of the technology to manage process execution. But at its core, BPM is really a Management Paradigm. BPM is a complete view and understanding of the business as a processing system that must be managed in order to efficiently and effectively drive value to its customers and shareholders. This article addresses they various types of management that BPM addresses.

Manage Process Change

In today’s market, one certainty for any company is that it must undergo change and change can be quite disruptive and costly. As mentioned in a previous blog, businesses are a value creation processing systems that work within an ever changing business ecological super-system. Business agility has become a significant differentiator for any business. Just as a an organism must navigate and adapt to its ecosystem, a business system must navigate and adapt within its business ecosystem. The business system must be able to quickly assess and adapt in response to:

  • Changes in Business Strategy
  • Changes in Consumer Market
    • Competitive Capabilities
    • New/shifting markets
    • Commoditization
    • New opportunities – product/service launch
    • How products/services are offered
  • Changes in Regulatory Environment
  • Changes in Technology
  • Changes in Vendor Market

Manage the Process Architecture

The business must maintain alignment of its internal processes to its external capabilities and ensure that changes in capability within the organization or managed. This is managed the Business Process Architecture which ensures internal processes and resources remain aligned across the organization and change initiatives are managed. The Business Process Architecture serves as a:

    • Representation of the business processing system
    • Point of reference for improvement and change management
    • Communication platform to support workforce engagement

Manage Process Improvement

    • Process improvement projects must be well defined, scoped, and managed in order to ensure benefits are additive across the business system.
    • Identification of Opportunities for Improvement to scope and drive process improvement projects
    • Agile, incremental process to analyze, design, and implement improvements
      • Early validation of models
      • Early exposure and testing in BPMS
      • Gradual honing and shaping of requirements as the process is refined
      • Rapid, incremental delivery of process improvements

Management Paradigm - Managed Process Improvement | Princeton Blue

Day to Day Operational Management

Process Analysis and Design

  • Align and Scope into BPA (inputs/outputs)
  • Clear identification of desired business results
  • Clear identification of process risks to be managed
  • Ensure that all work is aligned to drive business results and minimize risks
  • Identify performance metrics for process monitoring and measurement
  • Identify roles and skillsets needed to perform work

Business Process Management Technologies – Execution & Management Platform

  • Process Execution
  • Manage
    • Platform to monitor and manage the work
    • Detection mechanisms to identify and quickly address performance issues
  • Plan
    • Carefully designed performance metrics are used to measure and plan improvements over time supporting a Continuous Process Improvement (CIP) process

Management Paradigm - Operational Management  | Princeton Blue

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