Business are constantly changing, evolving and growing. However, too often we focus on the details of our processes, trying to change individual aspects to improve efficiency. Each aspect of operations is looked at close-up, and we forget that the change needs to be broader than the activity: efficient management should focus on the sum of all of these activities and how they come together into complete business processes.
Business process management (BPM) takes a systematic approach to these changes, optimising an organisation’s workflow and flexibility.
There are many advantages to Business Process Management, and we have identified 3 fundamental reasons why BPM is important in an organisation.
1. Operations and processes are becoming more complicated
Industries are evolving with changing needs and technologies. Maintaining the same models of operations will invariably have a negative effect.
Instead of focusing on each element of the business process and how individual changes can be made, Business Process Management focuses on execution, tying processes into the organisation’s goals and objectives. In other words, it looks at the new complexities of the operations as well as the goals and needs of the business, and creates a practical ‘whole process’ optimisation that cuts across the entire organisation. It allows you to identify and cut out process activities (clutter) that is not required and make it more relevant.
2. Businesses require increasing agility
Adaptability of a business is fundamental – keeping pace with changing marketplaces, customer needs, gaining a competitive advantage and improving customer experience all require a level of dexterity within an organisation.
Business Process Management ensures process ownership, creates this ability to adapt but creating the capability to modify processes immediately. This allows for faster up-take, reduced turnarounds, and better customer service, giving a business a competitive advantage.
3. Increased demands for cost reduction and revenue generation
The bottom line is the driving force behind all business. Business Process Management can have a substantial impact on costs and revenue. A single point of access to your business process and consistently applying the process can save time. Improvements in processes, through automation for example, can significantly reduce the cost of operations and improve processing time resulting in higher revenue generation. Similarly, better communication and customer experience can also increase revenue.
Takeaways:
Business Process Management has advantages and importance beyond simply ‘making things easier’.
Want to know more about Business Process Management?
You can contact CoLAB for more information or check out some of Best Practical’s other useful articles.
