Value-driven Business Process Management – The Value-Switch for Competitive Advantage.
... It proposes an approach that helps to focus on the right sub-processes to automate through RPA, improve those business processes considering the end-to-end process context and sustain the results through appropriate governance and hybrid workforce management (Kirchmer, Franz, 2017b). Value-driven RPA is a part of a discipline of process-led digital transformation management, leveraging the capabilities of Business Process Management (BPM) to realize the full value of digital initiatives, fast and at minimal risk (Franz, Kirchmer, 2012). ...
... A company only competes through 15 -20% of its business processes (Franz, Kirchmer, 2012). ...
... Value-drivers describe what an organisation has to get right to deliver on its strategy. Experience (Brinker, 2013) in has shown that 8-10 value-drivers can describe what it takes to make a strategy happen (Franz, Kirchmer, 2012). Figure 5 shows an example of such a value-driver tree, captured in an appropriate tool, here the BPM-D Application (Kirchmer, Franz, Gusain, 2018). ...
Digitalization has transformed the way organizations operate. New digital tools are available with increasing regularity-and many of them have the potential for a major impact. They enable the transformation of business processes to become more efficient, agile, meet compliance requirements, enhance customer experience or improve the general quality of deliverables. They may help achieve a level of process performance not previously envisaged. Robotic Process Automation (RPA) is one of those digital enablers which has been applied, or at least discussed in many organizations as practice reports and conference presentations show. This process technology is becoming a mainstream trend, relevant for many businesses. However, many organizations struggle to realize the full potential of RPA. According to newer statistics even 30-50% of RPA initiatives fail completely. This is partly attributable to the fact that vendors and journalists are constantly hyping its capabilities to the point where it becomes like the proverbial hammer, to which every problem looks like a nail. The paper discusses opportunities and challenges of applying RPA as process improvement approach. The approach of Value-driven Robotic Process Automation addresses the challenges and realized the identified opportunities. It proposes an approach that helps to focus on the right sub-processes to automate, improve those business processes considering the end-to-end process context and sustain the results through appropriate governance and hybrid workforce management. Agile principles are combined with the required focus and direction. Value-driven RPA is a part of a discipline of process-led digital transformation management, leveraging the capabilities of Business Process Management (BPM) to realize the full value of digital initiatives, fast and at minimal risk.
... It helps to transform those processes in an intelligent way leveraging the opportunities of digitalization where appropriate, and sustain transformation results by governing related business processes accordingly. BPM 4.0 is a management discipline that enables a truly value-driven digital transformation, delivering fast results at minimal risk [3]. ...
... Companies only compete through 15-20% of their business processes [3]. The other 80%+ are commodity processes that are necessary, but their performance can be at industry average. ...
... These gaps can then be systematically closed in the context of transformation initiatives. Hence, an organization builds a capability and applies it right away to create best value [3]. ...
Global research shows: over 75% of organizations have started their digital transformation [1]. They plan to use digital solutions to meet their goals and enable values like agility, innovation, compliance and with all that profitable growth. However, the study also shows that most organizations are struggling meeting the high expectations through their digitalization projects and programs. According to another study only 1% of organizations have their business processes sufficiently under control to realize the full business potential of their digital transformation activities [2]. That's where business process management (BPM) becomes the enabler of real business value through digitalization.
... The BPM discipline continues to improve its value due to digital transformation [36]. However, most organizations have started or at least planned digital transformation initiatives [36]. ...
... The BPM discipline continues to improve its value due to digital transformation [36]. However, most organizations have started or at least planned digital transformation initiatives [36]. The process of digital transformation is significantly influenced by internal embeddedness [37]. ...
The increasing role of emerging technologies, such as big data, the Internet of Things, artificial intelligence (AI), cognitive technologies, cloud computing, and mobile technologies, is essential to the business process manager profession’s sustainable development. Nevertheless, these technologies could involve new challenges in labor markets. The era of intelligent business process management (BPM) has begun, but how does it look in real labor markets? This paper examines the hypothesis that the transformation of the business process manager profession has been caused by certain determinants that involve the need for an improvement in BPM skills. The main contribution is a model of the dimensions of the impact of digital technologies on business process management supplemented with skills that influence the business process manager profession. The paper fills the gap in research on perspectives of the impact of digital technologies on business process management, considering both a literature analysis and labor market research. The purpose of the literature review was to identify the core dimensions that drive the use of emerging technologies in business process management. The labor market study was conducted in order to analyze the current demand for core skills of business process managers in the Polish labor market with a particular emphasis on the intelligent BPM concept. Additionally, to study the determinants that slow down the iBPM concept’s development, the digital intensity level of the enterprises and public administration units in Poland was studied. Finally, a fuzzy cognitive map presenting the core determinants of the business process manager profession’s transformation is described.
... Companies only compete through 15-20% of their processes [4]. Those processes are their high impact processes. ...
... To sustain transformation results and keep the related business processes on track, a process governance approach is required. This defines how the performance of a process, and the success of a digital transformation is measured and managed after improvement projects have concluded [4] [7]. It ensures the value-realization. ...
Most organizations have started, or have at least planned, their digital transformation journey [0] [1]. These organizations expect to increase their performance drastically by leveraging digital technologies. However, many of those businesses struggle to meet the high expectations through their digitalization initiatives, and don’t deliver the expected value.
A successful digital transformation is value-driven, process-led, and data-based. It targets business value and works towards a well-defined business case. This value of the transformation is delivered through new or enhanced business processes [2]. Digitalization only delivers its business benefits if you improve what you do or if it helps to do something new that provides additional value – without creating issues in other areas. Hence, processes guide the transformation initiatives towards value-realization. A process delivers, by definition, a result of value – which needs to be moved to the next level. To optimize the time-to-value, fast and well-informed decisions are required. This is achieved through a data-based approach, delivering the required information about current and future process performance at pace in the required quality.
... Recognition and reward systems must be aligned with the defined ownership roles and accountabilities to provide the right motivation. A company only competes through 15-20% of its business processes (Franz, Kirchmer, 2012). These high impact processes must be in the focus of process management and improvement initiatives. ...
... High impact low maturity processes are the best targets for optimization and innovation initiativesindependent of the degree of digitalizing (Franz, Kirchmer, 2012). Process governance priorities need to reflect this and evaluate initiatives based on their effect on those high impact processes. ...
This article explains the key components of busienss process governance and how they can be improved through digitalization. It was published in BPMInstitute.org: ttps://www.bpminstitute.org/resources/articles/business-process-governance-more-effective-through-digitalization
... Companies only compete through 15-20% of their processes [5]. The other 80%+ are commodity processes that are necessary, but their performance can be at industry average. ...
... To sustain transformation results and keep the related business processes on track, a process governance approach is required. This defines how the performance of a process and the success of a digital transformation is measured and managed after projects have concluded [5] [11]. It ensures the value-realization. ...
Value-driven Digital Transformation (VDT) enables significant performance improvements by leveraging the power of process management. VDT identifies the processes that matter most for an organization. Then it transforms them holistically applying the right digitalization approach in an end-to-end process context. Finally, VDT sustains achieved results by governing processes appropriately.
... An overview of BCT that enables business improvement has been presented via Value-driven Business Process Management framework (VBPM) [1]. The framework in Fig. 2 classifies the BPM value into 7 categories where the ultimate goal is to achieve transparency. ...
... Specification languages define these conditions in a formal and unified way, which are the basic ingredients for the development of automatic compliance checking. Unless the compliance is met by the [1] conditions, the smart contract will enforce the subsequent activities as defined in the Blockchain. For instance, Fig. 3 illustrates a part of welfare payment workflow. ...
In addition to functionalities, business process management (BPM) involves several key indicators such as openness, security, flexibility, and scalability. Optimizing system performance is becoming a great challenge for an ever-increasing large-scale distributed application system in the digital economy on the Internet of Things (IoT) era. In a centralized BPM, many indicators, such as security and openness, or cost and flexibility, are conflicting with each other. For example, inviting new partners across enterprises, domains, and regions to form a service workflow exposes new risks and needs additional security mechanisms for scrutiny; enhancing the flexibility of business workflow compositions increases the cost of security assurance. Blockchain technology (BCT) has thrown the light on the development of vital solutions to various BPM problems. BCT has to be integrated with other BPM system components that often involve IoT devices to implement specified functionalities related to the application. Currently, the potentials of using BCT have been explored although still at an early stage. In this paper, the states of the art are presented to identify emerging research topics, challenges, and promising applications in integrating BCT into the development of BPM.
... For instance, the principle of purpose focuses on how BPM can create value for organizations. We can refer to studies like Franz and Kirchmer (2012), which dealt with value-driven BPM. Considering the Ten Principles of Good BPM and their evaluation based on the proposed instrument, we recommend research on the influences of the other principles, such as the role of continuity and technology appropriation, in value creation and value-oriented BPM. ...
Purpose
The ten principles of good business process management (BPM) support organizations in planning and scoping the organizations' BPM approach. Derived from literature and expert panels, the principles received much attention both in research and practice. This article develops a measurement instrument to operationalize the principles and to support organizations in measuring the degree to which they incorporate the principles in their BPM approach, that way advancing their BPM capabilities.
Design/methodology/approach
The authors applied the scale-development methodology, because this methodology is an established approach consisting of various techniques to develop measurement instruments. First, the authors used established techniques to develop such an instrument. Then, the authors assessed the validity and reliability of the developed instrument through a field survey with 345 participants.
Findings
The authors developed a valid and reliable measurement instrument for the ten principles of good BPM. The field survey's results reveal that the measurement instrument meets all required methodological standards. The instrument, thus, can be applied to help process owners and managers to evaluate their BPM approach and plan future actions based on potential shortcomings. Future research can both use and further develop the instrument, which serves as a conceptualization of the principles.
Originality/value
This study is the first to provide a measurement instrument for assessing an organizations' BPM practice against the ten principles of good BPM, which have become established as a much-considered and widely-used source of reference both in academia and practice. The authors also discuss how the instrument compares to and distinguishes from existing approaches to qualify BPM approaches, thus communicating the significance of the instrument.
... It consists of two parts: a categorization of the main process mining use cases (RQ1) and the elicitation of the business-oriented questions that these use cases can answer (RQ2). Our categorization draws on the valuedriven business process management (VBPM) proposed in [32]. According to VBPM, organizations need BPM techniques to realize at least one of the six values: efficiency, quality, compliance, agility, integration, and networking. ...
In the last years, process mining has significantly matured and has increasingly been applied by companies in industrial contexts. However, with the growing number of process mining methods, practitioners might find it difficult to identify which ones to apply in specific contexts and to understand the specific business value of each process mining technique. This paper’s main objective is to develop a business-oriented framework capturing the main process mining use cases and the business-oriented questions they can answer. We conducted a Systematic Literature Review (SLR) and we used the review and the extracted data to develop a framework that (1) classifies existing process mining use cases connecting them to specific methods implementing them, and (2) identifies business-oriented questions that process mining use cases can answer. Practitioners can use the framework to navigate through the available process mining use cases and to identify the process mining methods suitable for their needs.
... Another important consequence is an increase in the efficiency of company management: you get a guaranteed result of your employees' actions and move from solving each specific problem to deviation management and improvement implemented in the business process model. There is a recognized process gap in CRM systems -a lack of insight into most customer-related business processes because they are beyond the automation domain of the CRM framework and the system loses sight and control of the transaction process as soon as it starts running through the enterprise (Franz P. & Kirchmer M., 2013). In order to address the process gap, it is recommended to integrate the incorporation of BPM applications by encouraging businesses to integrate workflow process automation with CRM, ERP, and legacy systems. ...
In the modern business world, it is crucial for the players on the market to stay up to date with the recent trends and to employ them accordingly. The main aim of this essay is to explain the term Business Process Management (BPM) and customer relationship management (CRM), also to describe how and why these terms are related. Many companies are already using BPM and CRM integration strategies to easily manage the company data and increase efficiency of the existing processes. This paper will describe the benefits of combining these two terms and will point out important aspects that should be considered by the companies before execution.
... Overall, the technology enhances the autonomy of the information system since it functions more independently with no or fewer intermediaries and thereby computation power of this distribution system is enriched through the participation of peer members (Viriyasitavat et al., 2018). Franz and Kirchmer (2012) deliberated on value-driven process management by integrating the Blockchain technology for improving the workflow. This is achieved through the integration of cross-organizational business processes and by eliminating manual operations, ascertaining and extending the role of Blockchain technology in product LCA. ...
Life cycle assessment (LCA) is widely used for assessing the environmental impacts of a product or service. Collecting reliable data is a major challenge in LCA due to the complexities involved in the tracking and quantifying inputs and outputs at multiple supply chain stages. Blockchain technology offers an ideal solution to overcome the challenge in sustainable supply chain management. Its use in combination with internet-of-things (IoT) and big data analytics and visualization can help organizations achieve operational excellence in conducting LCA for improving supply chain sustainability. This research develops a framework to guide the implementation of Blockchain-based LCA. It proposes a system architecture that integrates the use of Blockchain, IoT, and big data analytics and visualization. The proposed implementation framework and system architecture were validated by practitioners who are experienced with Blockchain applications. The research also analyzes system implementation costs and discusses potential issues and solutions, as well as managerial and policy implications.
... La gestión (dimensión de capitación): En esta se puede encontrar a las personas y los sistemas en trabajo conjunto para que los procesos logren los fines y objetivo del negocio. BPM acopia los sistemas, métodos y técnicas con que se desarrollan los procesos en sistemas estructurados completo, con las herramientas necesarias para dirigirlo y afinarlo [5]. ...
... This section focuses how Blockchain will is utilized in business process. The aspects of Blockchain for business process improvement opportunities are demonstrated via "Value-driven Business Process Management" framework (VBPM) (Franz & Kirchmer 2012) in the following benefits. ...
Unfortunately, the corresponding author name is misspelled as Wattana Viryasitavat in the original article. The correct name is Wattana Viriyasitavat. © 2018, Springer Science+Business Media, LLC, part of Springer Nature.
... This section focuses how BCT will be utilized in business processes. The aspects of BCT for business process improvement opportunities are demonstrated via "Value-driven business process management" framework (VBPM) (Franz and Kirchmer 2012) in the following benefits. ...
Business process management (BPM) aims to optimize business processes to achieve better system performance such as higher profit, quicker response, and better services. BPM systems in Industry 4.0 are required to digitize and automate business process workflows and support the transparent interoperations of service vendors. The critical bottleneck to advance BPM systems is the evaluation, verification, and transformation of trustworthiness and digitized assets. Most of BPM systems rely heavily on domain experts or third parties to deal with trustworthiness. In this paper, an automated BPM solution is investigated to select and compose services in open business environment, Blockchain technology (BCT) is explored and proposed to transfer and verify the trustiness of businesses and partners, and a BPM framework is developed to illustrate how BCT can be integrated to support prompt, reliable, and cost-effective evaluation and transferring of Quality of Services in the workflow composition and management.
... It sets the right focus for initiatives based on the strategic imperatives of an organization and converts business processes into real assets that provide competitive advantage. Value-driven BPM makes a business process more adaptable, enabling more agility in adjusting strategy in response to the dynamic business environment (Franz and Kirchmer, 2013). ...
... Companies need to create an environment that encourages and enables process innovation. Business Process Management (BPM) has to become the facilitator of innovation initiatives - implemented through the discipline of value-driven BPM [28]. ...
... The model-based transparency ensures that you do not just fix symptoms where a different solution would deliver better and sustainable results. A simple process management discipline supports the value-driven implementation and ongoing agile use of RPA [8] [9]. It needs to become part of a pragmatic "process of process management" that transfers strategy into execution, fast and at low risk. ...
Robotic Process Automation (RPA) has become an important trend in process management and automation. The article examines briefly the value it delivers and associated risks. On this basis it recommends a company specific approach to maximize RPA value and minimize risk.
... Companies need to create an environment that encourages and enables process innovation. Business process management (BPM) has to become the facilitator of innovation initiatives -implemented through the discipline of value-driven BPM [28]. ...
... BPM helps to identify where it is really worth thinking of process innovation or sophisticated optimization and where you can conserve existing good practices. Since an organization only competes with 15-20% of its processes, it is key to identify where innovation and optimization pay off [3] [4]. This is again possible though the transparency BPM delivers. ...
Process standardization has a significant impact on the performance of companies. It has become especially important as a foundation to deliver the best value from digital transformation initiatives. The importance of process standardization requires the development of a systematic approach as presented in this paper. This approach addresses required context-driven variants and considers all components of a business process, hence, organization, data, functions, deliverables and control flow. Levels of detail and abstraction of the standardization are defined based on the specific goals. The realization of process standards leverages process reference models as a core enabler as well as appropriately defined process governance to sustain the standardized processes.KeywordsBusiness Process ManagementDigital TransformationProcess DesignProcess GovernanceReference ModelsStandardization
Due to the increasingly volatile environment of companies, agile business process management (BPM) is becoming more relevant. The requirement for self-organized teams, as an essential part of the agile approach, causes major challenges for many companies. The main reasons for this are that (a) it is often not known how self-organized the process teams are so far and (b) which initiatives can further extend the agile principles. This paper presents the findings of a research-in-progress project that aims to develop a maturity model for self-organized teams. Based on a comprehensive literature review, 80 practical indicators were identified for 31 enabling factors (including self assignment, knowledge sharing, shared vision) supporting the pathway to more self-organization in BPM. Process consultants and process departments can use this list to successively prepare teams for the requirements of self-organization in the context of agile BPM. In further research, the presented content will be further developed (e.g. with maturity levels).
Many organizations have started digital transformation initiatives. New digital tools are available with increasing regularity – and many of them have a major impact on business processes. However, only a small number of organizations have their business processes sufficiently under control to realize the full business potential of new digital technologies. Appropriate business process management (BPM) capabilities, have a significant impact on the value achieved through digitalization. This is especially true for establishing appropriate business process governance. Process governance keeps processes on track. It identifies necessary adjustments of the process, defines the required actions, and ensures their execution. This has a significant impact on the realization and sustainment of the targeted digitalization benefits as well as the ongoing performance of the processes. However, digital operational processes have new requirements for process governance. And digital process management tools provide new opportunities for effective governance. Therefore, process governance must go through a digital transformation itself, leveraging appropriate tools such as process mining or dynamic process modelling and simulation tools. Result is digital process governance, an important foundation of successful digital transformation.
In most organizations digital transformation has become a main topic (Kirchmer, Franz, Lotterer, Antonucci, Laengle, 2016). However, only a small number of those compies have their business processes sufficiently under control to realize the full value of new digital technologies (Kirchmer, 2019) (Cantara, 2015). Process reference models help to address that challenge (Kirchmer, Franz, 2020).
Purpose
While organizations have learned to understand the importance of developing business process management (BPM) capabilities, digitalization now transforms business processes, and introduces new challenges. Extending prior research examining the value of BPM capabilities in organizations, this study examines the associations of BPM capabilities across direct and indirect digitalization benefits.
Design/methodology/approach
Drawing from the capabilities perspective of strategic management, the dynamic versus ordinary classification was used to classify eight BPM capabilities. An empirical investigation of associations between the eight BPM capabilities and 20 digitalization benefits is presented based on data collected from 165 BPM professionals across four continents. Factor analyses were performed to verify the framework measures for BPM capabilities and digitalization benefits. The Kendall's tau-b ( τ b ) correlation coefficient was used to measure the strength and direction of associations.
Findings
Overall results confirm positive associations between BPM capabilities and digitalization benefits, but the relationship was less dominant for ordinary BPM capabilities and indirect benefits. Furthermore, relationships between individual BPM capabilities and specific digitalization benefits vary both across and within the categories.
Practical implications
These findings support the moderate capability-based view that puts ordinary and dynamic capabilities on equal footing in dynamic environments, while also providing insight for managers focused on specific outcomes with digitalization efforts.
Originality/value
This study reveals that the strength of associations between BPM capabilities and digitalization benefits varies. This highlights the relevance of ordinary-dynamic and direct-indirect distinctions, and the value of a more fine-grained understanding to better inform practice.
For most organizations digital transformation has become a key topic. Organizations have to deal with new digital tools and its business impact on a daily basis. Hyper-Automation has become a reality. However, only a small number of organizations have their business processes sufficiently under control to realize the full value of digital technologies. Process reference models can be developed as a way to address that challenge. Those digitalization process reference models enable and accelerate a process-led approach to digital transformation and prepare an effective value realization. The models formalize and structure the knowledge about a digital business process and help to re-use it efficiently. Process reference models make the business impact of digital technologies transparent and manageable. This accelerates the design and evaluation of new digital processes as well as the roll-out across the organization. This article defines process reference models and discusses the different types of such models. It describes which special characteristics process reference models need to be applied successfully in digital transformations. Then it explains how to use those reference models in the context of digital transformations. The following case study illustrates the impact of the digitalization reference models and its importance in practice.
Digitalization has transformed the way organizations operate. New digital tools are available with increasing regularity – and many of them have the potential for a major impact. They enable the transformation of business processes to become more efficient, agile, meet compliance requirements, enhance customer experience or improve the general quality of deliverables. They may help achieve a level of process performance not previously envisaged. Robotic Process Automation (RPA) is one of those digital enablers which has been applied, or at least discussed in many organizations as practice reports and conference presentations show. This process technology is becoming a mainstream trend, relevant for many businesses. However, many organizations struggle to realize the full potential of RPA. According to newer statistics even 30–50% of RPA initiatives fail completely. The paper discusses opportunities and challenges of applying RPA as process improvement approach. The approach of Value-driven Robotic Process Automation addresses the challenges and realized the identified opportunities. It proposes an approach that helps to focus on the right sub-processes to automate, improve those business processes considering the end-to-end process context and sustain the results through appropriate governance and hybrid workforce management. Agile principles are combined with the required focus and direction. Value-driven RPA is a part of a discipline of process-led digital transformation management, leveraging the capabilities of business process management (BPM) to realize the full value of digital initiatives, fast and at minimal risk.
In our age, businesses are accepted as living organisms. Businesses that are aware of this change have begun to transition from a result-oriented work system to process management, closely following customer expectations in order to exist in the future as well. The largest expense that sports clubs incur involves transfer spending, because the most talented footballer, who would influence team success, is recruited from outside the club. Today, many sports clubs are incorporated and need to create their own economic resources that would not only ensure their survival but also their success and continuity. This resource can be achieved by means of the footballers who participate in the youth development programs conducted by the club’ football academy. The standards of football are on the rise, and so are the expectations of all those involved, with qualified footballers demanding astronomical wages. Sport clubs need to increase their profits by using the resources that are being developed in their respective football academies. If a given footballer attains a high standard by performing well during training and making it to the first string team, the club has to save on the transfer budget. The aim of this study is to determine how club football schools and academies manage in accordance with process management within the system approach. This study incorporated the qualitative research method and case study technique. Data was collected with the help of the interview technique and examined using content analysis. In this research, it was found that youth development programs should be managed by employing three main processes: covering education in sports schools, practicing with competitor teams, and transitioning to professionalism. If these processes are applied across football academies, it would lead to the emergence of economically qualified footballers. Youth Development Programs, as a part of the system of process management within the framework of organizational structures of sports clubs, will prove to be an ideal form of structuring.
There is a growing agreement in academia as well as in practice that business process management (BPM) has become the management discipline for the systematic execution of business strategy. As any other management discipline, it is implemented through a business process itself, the process of process management. Many components of this process of process management are supported through digital technologies. However, there are critical gaps in the digitalization of the BPM process and existing digital components are often not sufficiently integrated. As a result, organizations do not realize the full potential of a BPM-Discipline. This issue is addressed through the BPM-D Application. A key digitalization gap is the transfer of the strategy of an organization into the appropriate portfolio of process improvement initiatives. For top executives this means that they have to be able to take fast well-informed decisions based on strategic priorities. The operational managers need to drive aligned execution activities. This paper discusses an approach towards a process-driven and value-focused portfolio management to create project portfolios that reflect the priorities of the business strategy, combined with a systematic approach to value realization, during a project and especially after project conclusion. As a result, top executive and operational management views are aligned towards the desired outcome. This paper shows how the presented approach is enabled through the BPM-D Application which represents another step towards digital BPM.
More and more organizations recognize that Business Process Management (BPM) has become a key management discipline that translates strategy into people and technology based execution. It helps organizations to realize the full potential of their digitalization initiatives. BPM is implemented through the “process of process management” (PoPM). To assure agility and continuous improvements of the PoPM an appropriate digitalization approach for the PoPM itself is essential. However, many companies are failing to recognize the importance of an integrated digitalization of the PoPM. As a result their management approach is missing the necessary agility required in a digital world. This paper presents a successful approach for the digitalization of the PoPM to enable the discipline of agile BPM. It includes experiences from a first pilot implementation of the developed prototype, the BPM-D Application
Business Process Management (BPM) has become a management discipline that translates strategy into people and technology based execution – fast and at minimal risk. It helps organizations to realize the full potential of their digitalization enterprise transformation initiatives. BPM is implemented through the “process of process management” (PoPM). To assure continuous improvements of the PoPM an appropriate digitalization approach for the PoPM itself is essential. However, little work has been done in this field and companies are failing to recognise the importance of an integrated digitalization of the PoPM. This paper presents a successful approach for the digitalization of the PoPM to enable a powerful BPM-Discipline. It includes experiences from a first pilot implementation of the developed prototype, the BPM-D Application.
Marketology organizational behavior (MOB) as a key component of marketology organizational architecture (MOA) and managerial piece of standard marketology canvas (SMC) is covered and explained practically in six sections: (1) Business Analysis, (2) Stakeholder Analysis, (3) Governance, (4) Strategy, (5) Value, and (6) Performance. These sections imagined as pieces of MOB canvas are discussed generally within business organization context and specifically within marketology context. The hyper-function of marketology as an organizational subsystem is related to components of business organizational behavior (BOB) within business organization in three modes: being enabled and covered by them (coverage), assisting businesses through empowering them (support), and forming and developing its own behavior’s components as MOB (manifest). Chapter issues are exercised using “marketology in practice (MIP)” sections.
The future of marketology is explored practically in five sections: (1) Future trends and priorities of business and technology; (2) Future big changes of modern business environment; (3) Future of marketology foundations; (4) Future of marketology functionalities; (5) Future of marketology: Cloud Marketology Canvas (CMC). In each section trends, evolutions and predictions are provided; and issues are explained and exercised within business context and marketology context. The standard marketology canvas (SMC)’ = is reengineered and extended as cloud marketology canvas (CMC) including: cloud marketology strategic management (CMSM), cloud marketology organizational architecture (CMOA), cloud marketology organizational design (CMOD), cloud marketology organizational behavior (CMOB), and cloud marketology organizational contribution (CMOC). For future of marketology the strategists, technologists, business analysts and marketologists should cooperate.
Marketology organizational contribution (MOC) as a key component of marketology organizational architecture (MOA) and a consequential piece of the standard marketology canvas (SMC) is covered and explained practically in five sections: (1) Marketology organizational contribution (MOC), (2) Business-based contributions, (3) Marketology-based contributions, (4) Market data, information, knowledge, intelligence, and insight (DIKII) and identification, generation, dissemination, exploitation, and evaluation (IGDEE) services, and (5) Marketology content analysis (engineering). Business-based contributions, marketology-based contributions, market DIKII and IGDEE services are considered as the pieces of MOB canvas. These components first are discussed generally within the business organization context and specifically within the marketology context; they then are exercised in practical sections of “marketology in practice (MIP)”. Finally the key business stakeholders are analyzed as MOC contents include customer, competitor, channel, supplier, company, condition/context, community, media, non-governmental organizations (NGOs), unions, government, collaborator, and so on.
The hyper-function of marketology accomplishes business organizational design and behavior, business performance management, and business sustainable superior/competitive success. Business executives and analysts are supported by external and internal marketology to make effective market-related decisions and take efficient market-related actions. In this regard market data, information, knowledge, intelligence and insight is contributed, relying on identification, generation, dissemination, exploitation and evaluation services throughout the organization. Marketology organizational architecture as a standard marketology canvas includes marketology organizational design as a contextual piece, marketology organizational behavior as a managerial piece and marketology organizational contribution as a consequential piece in an alignment with business building blocks, performance management and success. The issues raised in the chapter are the focus of exercises using the Marketology in Practice boxes.
Das Management der Daten umfasst verschiedene Ansätze des Datenmanagements, den Umgang mit Referenzmodellen und unternehmensspezifischen Datenmodellen sowie die Auswahl einer geeigneten Datenbankarchitektur und eines geeigneten Datenbanksystems.
The beginning of the previous chapter has already discussed the importance of the process perspective to understand the supply chain, and introduced a process-orientated framework for businesses. A process can be defined, in this context, as a series of sequential activities and actions that are gradually triggered by events and lead to a result. Processes can be broken down into sub-processes. Furthermore, one can differentiate between key processes that include procedures or partial-procedures and contribute directly to the fulfilment of the business's core activities, and support processes, which represent the related actions in support of the key processes.
Digitalization is nowadays a key topic in basically every organization. Most business processes are at least partially supported by digital information technology (IT). They are “digital.” Applications like enterprise resource planning (ERP), customer relationship management (CRM), supply chain management (SCM), or similar systems are present in most enterprises in one or another way. Many executives are already considering new technology environments on the basis of service-oriented architectures (SOA) or are in the midst of such an implementation. Some companies even take these ideas to the next level, such as procuring their software through “the cloud” or using Web 2.0 applications. But what does it all mean? How do these digitalization components fit into the bigger picture of “strategy execution” and the discipline of value-driven process management?
Today’s business environment is constantly changing—new opportunities and challenges arise every day—often driven through increased digitalization. Achieving and sustaining high performance has become more and more difficult. New competitors emerge from all around the world empowered through the “Internet of things,” while others disappear. A company becomes a member of many enterprise networks, resulting in more changes and additional competitive situations. Fingar, a well-known BPM expert, introduces “extreme competition” as a result of different market forces, like knowledge as business capital, the Internet, “jumbo transportation,” billions of new “capitalists,” as well as the new dimension of information technology and digitalization [1].
The amount of data produced from the beginning of history until 2002 is now produced in about 10 min. By 2020 this amount of data will be produced in less than a second—through over 40 billion interconnected devices in a digital world [1]. But this data is only worth something when it is translated into action. That’s where the knowledge worker is active. Routine work is already highly automated. Only the real difficult nonroutine work needs the intervention of a knowledge worker. Knowledge and the people who work with knowledge have become increasingly important for achieving high performance in today’s digital world. Knowledge workers are the “emerging heroes” [2]. They know how to take decisions and set actions in an unstructured “chaotic” environment [3].
Many organizations still struggle with the management of their internal business processes to overcome functional barriers. However, an increasing number of companies are targeting the integration between organizations or so-called inter-enterprise processes. Successful companies operate in a network with other organizations to leverage their strengths and compensate for their weaknesses. Mutual interdependencies are created and managed to drive additional value and to ensure high performance for the “inter-enterprise organization” as a whole. Companies become “platforms” that integrate customers with various suppliers, as enterprises like Amazon, eBay, or Uber show. Uber, for example, does not own many physical assets like a traditional taxi or limousine company. But they have processes in place linking clients to the owners of cars who are the suppliers of Uber.
Several readers of the past editions of this book have asked for an integrated case study. That is why I have added this chapter describing the case of a consumer goods company that needs to address, on one hand, urgent business issues using process-led approaches and wants, on the other hand, to establish BPM as a management discipline that supports the ongoing systematic execution of the business strategy.
Change is the only constant in today’s business environment. Mastering this change successfully is a main driver for establishing business process-oriented management approaches in enterprises striving for high performance. New, flexible digital information technology (IT) architectures provide the necessary agility and innovation from a technology point of view, as we have discussed in the previous chapter. But how can you prepare people and help them cope with impending adjustments? How can people benefit from the opportunities of change and avoid the threats? People enablement through appropriate change management provides the answer to those questions. People change management has become one of the greatest challenges for organizations on their journey to high performance in our digital world. Companies have to manage their talent with caution and enable continuous learning, as well as help adjust to different business and work environments.
Today, many enterprises still use concepts of business process management (BPM) for one-time transformation and improvement projects or short-term initiatives. An increasing number of organizations, however, recognize its power as a fundamental management discipline which is instrumental in achieving strategic goals for competitive advantage and long-term success. BPM becomes the discipline of strategy execution. This demands ongoing attention to deliver high performance in our digital world. The “process of process management” has to be managed as part of the day-to-day business. Organizations must orchestrate and adapt their overall management approach to realize the full potential of the BPM-Discipline. These organizational aspects about granting power, making decisions, acting on them, and controlling the results are referred to as business process governance (BPG). BPG enables the effective management of the process life cycle and with that the achievement of high performance.
Today, businesses need to master the volatile business environment with its opportunities and threats to ensure short-term success and long-term survival. The agile transformation, improvement, and adjustment of business processes are no longer an option but mandatory for sustainable business success. Therefore, business process management (BPM) has become an important topic for most organizations—even if they sometimes call it something different.
Globalization is a megatrend that influences the business environment tremendously. Although the world was once dominated by the economies of Europe, North America, and Japan, there are now new and important players emerging like China and India. There is no doubt that globalization is changing the world in which we do business. Most successful enterprises work with customers, suppliers, and other market partners in multiple countries around the world. They often have subsidiaries with operations in various countries on different continents. As Friedman says, “the world has become flat” [1]. For example, a midsized manufacturer of highly sophisticated machinery tools focused on the Canadian and US markets. Step by step, the company began to follow its customers and prospects to Europe and opened a plant in Germany, then on to Brazil, and China. Thus, the company became a player in the global market. The markets are linked through the Internet of things and an all-present digitalization so that most transactions can be executed all over the world, essentially in real time.
ResearchGate has not been able to resolve any references for this publication.