The aim behind the business process management (BPM) methodology is to help business organizations develop, analyze, and improve their processes to keep their business running at an optimal rate. By analyzing their current practices using data from various sources, business organizations are able to discover opportunities for improvement, pinpoint bottlenecks and stumbling blocks, and develop better and more optimized processes.
With the introduction of the business process management software, the development of more enhanced and optimized processes became a breeze. Business process discovery and analysis are automated. Process maps are instantly generated and executed.
1. Create a Realistic BPM Model
It doesn’t matter if your using the most sophisticated business process modeling software in the market. If you are building or revising a business process from an idealistic perspective, it’s likely going to fail.
In contrast, designing and executing business processes that are in tune with the realities of your workplace and industry as well as the top enterprise challenges you have, the goals you set are more attainable. With realistic parameters, every individual in your organization will find it easy to follow your process, accomplish more tasks, and achieve goals faster.
2. Break Your Processes Down
Creating a workable model for your business processes is a start. How you achieve those goals is a different story altogether.
When you start on your BPM journey, it’s not unusual to be all excited with your big end goals and the overall picture. That said, you should bear in mind that to achieve your targets, you need to break down your goals into subgoals.
Many business owners and process managers forget to deconstruct their goals into more achievable objectives. Those who forget often find themselves confused and wondering what went wrong.
3. Determine the Right KPIs
It is crucial for any business to constantly monitor and measure the effectiveness of their business processes and see the impact they have on the organization’s productivity, efficiency, and profitability.
Thus, you need to establish the right KPIs, or key performance indicators, right off the bat to truly gauge what you’re doing right and what you need to do to further enhance and optimize your business processes.
But how do you choose the perfect KPIs? Experts agree that your KPIs should be directly related to your business goals. Also, it is more advantageous if you concentrate on a few key metrics instead of focusing on a lot of data points. Any modern BPM solution can measure any KPIs and generate custom reports. But you want to nail your attention on data that matters and eliminate all other figures that add to the noise.
BPM is an Ongoing Process
Business process management is not a one-time solution designed to make your processes and workflows better and that’s it. No business process is fully optimized or managed. Simply put, industry standards, business requirements, consumer demands, rising operational costs, and more can change. All of these can affect the way your business operates. Your business processes should be able to adapt if you want to remain competitive, compliant, and profitable. To do so, you can check out the FinancesOnline.com business process management guide in utilizing the tool.
Market research firm IDC revealed in a 2016 study that business process inefficiency costs companies 20 to 30% in revenue losses each year. Small inefficiencies such as extra paperwork, unrouted client calls, and lengthy meetings may not seem much. But their adverse impact is staggering when compounded.