There is much confusion around Business Process Management (BPM).
Here, it is NOT business Performance management, and it certainly is not a software tool or application, more commonly referred to as Business Process Management Suite/Software (BPMS).

My definition for Business Process Management (BPM) is simply a structured, systematic, and controlled way to manage processes in, and across, an organization to make sure that the various business processes are achieving the desired results.  It also can extend out to the enterprise, which would include customers and vendors.  Although the term is becoming more popular and many people are referring to it as an all-encompassing solution, it is not some mystical or difficult methodology.  The basics, or essence, have been around for a long time.  It has its roots in a very simple concept – improve and manage the business processes – business process improvement (BPI) – quickly, consistently, and continuously.  BPI is the fundamental objective of all the popular programs, such as Total Quality, Six Sigma, Balanced Scorecard, ISO 9000, Lean Manufacturing, etc.

Today, organizations are fortunate to be able to use BPMS to help improve and manage processes.  However, unless the basic concepts of BPM are applied, first, this can be a wasted investment of time and money.

Basic, but worth mentioning.  Most, if not all, BPM initiatives that fail or fail to generate the desired results have skipped some of the basics!

As with any improvement program, foundational elements are critical to maximizing success.  The foremost one is a clear, meaningful business strategy.  Unbelievable, but in my years of experience, a strategy is frequently ignored or taken for granted.  It is the “why” the organization exists in the first place – to satisfy customer demand and usually to make a profit.  The goals and objectives of the organization, followed by the processes, must support the overall strategy.

A Process is defined as a method, practice, or procedures to take action and do something; usually involves an input, action (by someone or something), and resulting in an output.  It is simply how you get things done.

My objectives in doing BPM are to analyze, improve, and manage the processes to maximize the results to the organization.  Specifically,

• Achieve the strategy, goals and objectives of the organization
• Reduce costs
• Improve customer satisfaction
• Make the best use of investments and application of resources
• Provide a way to pro actively manage, control and monitor processes -- before problems occur -- and
• Continuously improve.

It should be obvious that it will provide competitive advantage, increase profits, reduce redundancy, improve visibility and communications, agility, etc.; but you can see that if done properly all these other benefits WILL result.

My Approach

BPM can be simple, or extremely complex, with much more detail.  There are, however, certain elements that must be considered for even the simplest approach to be successful.  My recommended approach for doing BPM has the following key elements.

The approach focus is on the Business Strategy!  That said, it is important to point out the a business strategy is based on selling a product or service to real, live customers -- not "opinions."  This reminds me of the 1980s when I worked with some executives of a major U.S. automobile manufacturer and they assumed that they knew best -- they knew what the customers wanted -- even though it was based on their opinion.  If you don't have the real voice of the customer (VOC), you are basing your entire strategy and success or failure on "opinion."
There are other considerations that must be factored into the strategy.  Only when there is a clear, unambiguous business strategy (one that is communicated to, and understood by, the entire organization) can you effectively define and start an engagement or project -- that will lead to optimized results.

Project approach

The organization can then prioritize specific process improvements that are need to achieve the strategy, goals, and objectives.  The next step would be to develop a process improvement, or BPM, project that can be completed in a short time frame.  There are many books, articles, and courses on how to do project planning and management.  Here again, I believe in the "keep it simple" approach to project planning and management.  You do not need to be certified by the Project Management Institute (PMI) to apply sound basics.  Too many organizations and projects become overwhelmed by rigid methodologies, standards, or disciplines.  The above diagram highlights some of the elements that are needed for scoping, planning, and executing a project, quickly.

A BPM project needs to include two basic process maps.  The first is usually called the As-Is, or Current State, process map or model.  Keep it simple.  You only want to identify how things are done today, and not in too much detail -- because you want to improve the process.  The second is typically called the To-Be, or Future State model.  The objective is to graphically and consistently describe the current process, and then to show the impact of improvements to the process in the recommended future process.  Comparing the current to the future will typically allow an organization to quantify the results expected from the improvements.  A basic, easy to use (intuitive) business process modeling tool, with simulation, can help to show savings from proposed process changes.

The following is an example of a "Value Process Map" from an actual client engagement which showed executives the value of making process improvements.

Sample Process Map 

This process map was developed using Visio.  I have done process maps with PowerPoint and even on paper.  You do not need a full-blown BPMS tool to start doing BPM.  In fact, I highly advise against it.  As stated, you need to keep it simple to start.  Get people to understand the basic concepts and purpose for doing BPM, and easily participate.  If they know and use Visio or even PowerPoint, let them develop their process models.  The main objective is to keep the models consistent across the organization.  And, no, you don't "need" Business Process Modeling Notation (BPMN) to start either -- contrary to many articles and "consultants."  However, standards ARE important, and for that reason, I use some of the basic elements of BPMN.

I have seen major, billion-dollar corporations sit around trying to select a BPMS tool for months.  Employees and customers get frustrated; money is wasted or lost; market share slips away; and other problems seem to pop up.

BPM can, and should, be implemented from the simplest, basic steps -- throughout the organization or enterprise (which would include customers and vendors).  Only then can an organization be in a position to begin to define the functional requirements for selecting a BPMS tool.  Beware the IT department that talks BPMS, or worse -- Service Oriented Architecture (SOA), before the organization has understood and implemented the basics of BPM.

What next?

Obviously, there is, and could be, much more to doing BPM.  A lot depends on your knowledge and experience in doing process improvement, and especially the "readiness" of your organization.  However, it is not mystical and should not be grandiose or costly.

If you jump into BPM (or any other popular program) without the basics, you will either fail or fail to achieve the desired results.  I have mentioned some of the basics, such as a business strategy and project planning/management.  I could get into much more detail, but you will have to either wait for the book, struggle through the myriad of books and articles (some of which are very confusing or misleading), or contact me if you have any specific questions.  You can also read and use the Project Management white paper on the Contact and Info page.