Business Analysis - Business Process Management Perspectives
Business Process Management is a management discipline and a set of technologies that focuses on how the organization performs work, view of value delivery of the organization and views of the organization through a process-centric lens.
The BPM Lifecycle generally includes the following activities:
- Designing involves the identification of processes of the current state or as-is and the future state or to-be state modeling is a graphical representation of as-is and to-be processes, performs what-if analysis and compares the various simulations or process options to determine the optimal improvements and the potential value.
- Executing and monitoring involves the data collected as a result of the actual business process. Flow and recommending alternatives for design improvements. Periodically monitor the process against established metrics such as SLS or defect rates.
- Optimizing includes iterating previous phases for continuous improvement.
BPM Drivers
- Cost reduction initiatives
- Increase in quality
- Increase in productivity
- Emerging competition
- Risk management
- Compliance initiatives
- Process automation
- Core system implementation
- Post merger and acquisition rationalization
- Standardization of initiatives
- Major transformations
- Establishment of BPM Center of Excellence
- Increase agility
- Faster processes
Delivery Approach
- Business Process Re-engineering
- Major process re-design across the enterprises
- Evolutionary Change
- Overall objectives of the process
- Individual changes at sub-process level in line with process goals
- Substantial Discovery
- Methods used when processes are undefined
- When the documented version is different from actual process in use
- Process Benchmarking
- Comparison of the organization's processes and performance metrics to the industry best practices
- Specialized BPMS Applications
- Designed to support BPM initiatives and execute the process models directly
Process Improvement Approaches
- Top down
- Orchestrated by Senior Management
- Spanning end-to-end processes
- Bottom-up
- Tactical approaches to improve the individual processes or sub-processes
- People-centric: Change is related to the activities and workflows in an organization
- IT-centric: Initiatives are focused on process automation
Business Analysis Work
- Major assumptions
- Processes are generally supported by IT systems. Development of IT systems are not covered under BPM.
- BPM initiatives have senior management support.
- BPM system requires a tight integration with organizational strategy.
- BPM initiatives are cross functional.
- BPM initiatives are end-to-end processes in the organization.
- Change Sponsors
- Executive
- Focus on value and outcomes
- BA practices applied to BPM initiatives
- Process Manager
- Initiate and manage process improvements
- Executive
- Change Targets
- Customer
- Regulator
- Process Owner
- Process Participants
- Process Manager
- Implementation Team
- Position of a Business Analyst
- Process Architect
- Modeling, analyzing, deploying, monitoring, and continuously improving business processes
- Developing and maintaining standards and repository of reference models for products, services, business processes, Key Performance Indicators (KPIs) and Critical Success Factors (CSF)
- Process Analyst or Designer
- Documenting process design along with performance trends
- Performing analysis and assessment of As-is process, evaluating process design options, and making recommendations for change
- Process Modeler
- Capturing As-Is and To-Be processes
- Documenting a process for implementation
- Process Architect
- BPM Techniques
- Define Measure Analyze Improve Control (DMAIC)
- Drum-Buffer-Rope (DBR)
- Failure Mode and Effect Analysis (FMEA)
- House of Quality / Voice of Consumers (VOC)
- Underlying Competencies
- Needs to challenge the status quo, understand the root cause of a problem and encourage SMEs to consider new ideas and approaches
- Understand and articulates internal and external views of the processes under analysis
- A neutral and independent facilitator of the change and frequently involved in negotiation, conflict resolution between individuals with different opinions
- Needs to communicate across organizational boundaries as well as outside the organization