In today’s demanding business environment that rewards flexibility, speed, quality, efficiency, effectiveness and innovation, a strategically competitive middle- and back-office strategy and its operational execution can be a roadmap to achieve sustainable competitive advantage. Business Process Management (BPM) helps an asset management company achieve these characteristics in the components of its value chain.  Applying the BPM discipline achieves measurable process improvements that lead to organizational performance improvements in the middle- and back-office.

Middle- and BACK-OFFICE challenges

A SIPOC diagram represents a high-level view of a process. It shows the Suppliers, Inputs, Process, Outputs and Customers. The SIPOC Diagram plays an important role in Process Definition/Improvement and should ideally be done first before embarking on extensive process mapping. An analyst – in collaboration with other stakeholders – may use it to arrive at a consensus on the process before moving to a greater level of detail. To emphasize putting the needs of the customer foremost, the tool is sometimes called COPIS and the process information is filled in starting with the customer and working upstream to the supplier. It is very helpful to give people who are unfamiliar with a process a high-level overview.

Under what scenarios might you use a SIPOC diagram?

Is your company ready to apply the BPM discipline?  A BPM Readiness Assessment offers a company an objective and efficient means to assess its ability to change and adapt to a process performance orientation. Understanding a company’s “process maturity profile” enables it to design a BPM adoption program that addresses six critical success factors that accelerate the adoption of BPM and specifies a program for realizing its sustainable value:

• Linkage of process performance to business strategy
• Employee understanding of process (skills and roles)
• Utilizing BPM technology• Practicing process improvement methods
• Process-related attitudes and behaviors
• Implementing Process Governance (decision-making and oversight)

VALUE OF ASSESSMENT

In 2006 the Babson Process Management Research Center defined Strategic Alignment as the continual tight linkage of organizational priorities and enterprise processes, enabling achievement of business goals. Phrased differently this means linking strategy goals to operational goals and linking operational goals to process goals. This equates to defining a method for improving alignment among the organization’s performance measures, strategic plans, improvement projects, and budgets. It assumes that the organization employs a method for defining its business strategy such as a Balanced Scorecard (BSC). Using the BSC as an example one must first examine it to determine how BPM can be integrated into the BSC approach. BPM specifically focuses on improving the Internal Quadrant of the BSC. The Balanced Scorecard approach does the following:

In today’s demanding business environment that prioritizes flexibility, speed, quality, efficiency, effectiveness and innovation, a competitive supply chain strategy and its operational execution is critical. Business Process Management (BPM) helps an enterprise achieve these characteristics in its supply chain strategy – and in its execution of that strategy. Applying the BPM discipline achieves process improvements that lead to organizational performance improvements – such as a Supply Chain.

Supply Chain & Logistics Challenges

BPMInstitute.org defines Business Process Management (BPM) as the definition, improvement and management of a firm’s end-to-end enterprise business processes in order to achieve three outcomes crucial to a performance-based, customer-driven firm: 1) clarity on strategic direction, 2) alignment of the firm’s resources, and 3) increased discipline in daily operations.

Traditional methods of performance management focus on department & functional unit performance.  BPM focuses on the management and continuous improvement of cross functional processes.  This involves continuous monitoring, evaluation, measurement and process innovation.  These cross-functional processes must be clearly defined and documented.  Process performance objectives in terms of time, quality, cost and productivity must be defined.  Process teams and process owners must be established.

In December 2011, the BPMInstitute participated in a Forrester research report entitled “The Forrester Wave: BPM Training And Certification Programs, Q2 2012” (May 2012) of the training and certification programs offered in business process management.  BPMInstitute.org has made the report available to our readers, for a limited time.  This article provides additional comments on the topics presented in the Forrester report.  The report’s research findings agree with our own research into our student’s objectives for taking BPM training.