Fundamentals of Business Process management - A: the BPM Cycle

8 important questions on Fundamentals of Business Process management - A: the BPM Cycle

What is the BPM cycle?

Starts with: Process Identification
Circle: Modelling - Analysis - Redesign - Implementation - Monitoring & Controlling

How does Process Identification work?

Is part of the contextual scope, or lvl 1 of the pyramid: landscape. Different metrics or criteria can be used to identify processes for further examination. It yields a process map, possibly with qualitative indication of factors.

How does Process Modeling work?

Its the design, conceptual/enterprise step or the step from lvl 1: landscape to lvl 2:abstract process models in the pyramid.

Why?
- Business processes are increasingly valued as essential assets of an organisation: this demands dedicated management of processes.
- We need ways to extract processes out of the organisational complexity in order to discuss, analyse, improve and automate them

What?
- Describes processes using a common language
- Integrates processes with other artefacts
- Enables revision, validation and testing
- Can be used as a benchmark for measuring improvements
- Provides a blueprint for process automation
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How does process implementation work?

Its the execution, steps 3, 4, 5 & 6. And lvl 3 in the pyramid.
Transform the business process model to an executable model -> Implement the process using the appropriate technology

What is process discovery?

Its an additional activity instead of modeling

- rather than discovering processes through interviews: observe the real processes
- use event logs recorded by the information systems to discover business processes

What is process monitoring and analysis?

Its the last step before the circle continues. Analysis can be split between qualitative and quantitative.

Examples
Qualitative: Issue register, Root-cause analysis, PICK charts
Quantitative: Process simulation output, date, KPIs

How does process redesign work?

Improving KPIs on: Cost, Time, Quality and Flexibility
Almost impossible to improve on all 4 dimensions at once

What is the Process Architecture Pyramid?

Level 1: Process Landscape
- core processes
- support processes
- management processes

Level 2: Abstract Process Models
- Quote handling
- Product delivery
- Invoice handling

Level 3: Detailed Process Models (e.g. BPMN)
- Detailed quote
- handling process

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