If not to use special terminology, management of business processes is expressed in the description, regulation, change for the better of processes on which actions of collective depend. Activity of the enterprise represents a heterogeneous environment, besides, business processes can be carried out as the person, and the mechanism or the program.
Approaches to business process management
Methods of process management are very diverse, but they have one thing in common: they are always attuned to the client, focused on meeting his needs by improving the quality of the valuable end product, whether it’s cosmetic milk or legal support.
Let us consider the most popular management approaches.
A standard is a documented, simple and intuitive description of a reference, a sample.
The implementation of standard operating procedures ensures:
- reliability of reproducible operations;
- acceleration of adaptation of new employees;
- reduction of production risks.
Improvement of business processes
Improvement of the business process management system sets itself the task of reducing costs, reducing the production cycle and minimizing errors.
There are two main ways to optimize business processes:
- reengineering is a breakthrough way, to put it simply, a fundamental change in the existing system;
- kaizen – continuous improvement of management mechanisms; the principle of continuity distinguishes improvement from optimization or reengineering: the purpose of changes is known, but it is not final and expressed in figures.
Management of the company in modern conditions should provide for active implementation of information technologies in the production process. Information business technologies ensure the collection, processing, storage and protection of information. Information management technologies, in addition to the above, have built-in systems for developing management solutions.
Systematics of business processes
All directions of activity of the enterprise can be united into groups of specialized business processes, therefore, operative management of the company is management of current processes. The process is any sequence of actions aimed at obtaining certain results, invariable from repetition to repetition.
Let’s consider the basic groups of business processes.
Management. To administrative processes refer the activity which is directly connected with management and the processes directed on maintenance of survival of the organisation: competitiveness, development, achievement of the set purposes.
Production. Production processes are also called basic as they provide income of the company by means of production: goods or services. It is believed that the production package should contain from five to nine basic processes, because it is difficult for anyone.
Provision. Supporting processes act as auxiliary to production activities.
Process Management Cycle
The life cycle of a standard business process consists of several steps or solutions.
- Simulation and analysis.
- Description of processes.
- Development of strategy of business continuity management:
- Implementation of business processes. Implementation is a chain of
Business process management information systems
The process approach is the most productive way to manage business efficiency because it avoids unnecessary actions, introduces unnecessary functions or positions, minimizes the risk of downtime.
In modern realities the process of enterprise management is based on information exchange between objects and subjects of management. Therefore, disregard for information support tools can significantly reduce the competitiveness of an enterprise.
The concept of BPM
BPM (Business Process Management) is a category of software products that simplifies the management of different types of enterprise activities. This software segment was developed in such a way as to quickly identify weak areas of processes or organizational structure that reduce the productivity of the organization.
Thus, VRM create a special methodology, a system of principles of construction of notations of the organizational scheme and management. It is accepted to name a notation a set of symbols and rules by means of which graphic description or modelling is carried out.
Process and functional approaches
A functional approach describes an enterprise as a set of functions inherent to a particular organizational unit. In a functional approach, objects for entering and exiting a process are of great importance. Functional modeling solves the question “what to do”.
The process approach considers the company as system of the interconnected technological procedures, improves management of business processes in the organisation and answers a question “what it is necessary to do”.
Work with BPM
In practice, a company does not always need a complete set of software, each organization forms the necessary package, choosing from a variety of modules:
- graphic modeling;
- modelling of business process in dynamics;
- development of applications for interface creation;
- the module of monitoring of processes which displays necessary indicators, allows them to analyse and make reports in the standardised form;
- systems that control the implementation of business regulations.
Advantages and disadvantages of BPM
Among the advantages of using BPM can be called:
- the possibility of detailing any process to the lowest level (sequence of actions of an individual employee);
- Visibility of graphic notations, which can be used as figurative, clear instructions for performers;
- standardization of products of each process;
- minimisation of the risk of errors in rule development;
- system schemes take into account numerous “ifs”, which makes process algorithms flexible enough.
The term “Enterprise Content Management” refers to complex technologies designed for managing corporate content that collect, organize, index, store and send information to users.
Considering a wide spectrum of the tasks assigned to complexes ECM, at the enterprises the specialised systems performing a part of operations necessary for the concrete organisation are used.
Features of business process management systems implementation
For all its attractiveness, the implementation of business processes is not relevant for every organization. A small company, which has an undefined target audience and non-regulated production tools, may even suffer as a result of being equipped with business process management tools. At the initial stage, the success of the company largely depends on the initiative, productivity and other personal qualities of the manager, which provide the organization with flexibility, efficiency, survival.
Experts call the best decision concerning introduction of business processes partial use of technologies. As at carrying out of optimization of activity it is extremely undesirable to break technology, it is recommended to carry out qualitative changes under the direction of the skilled adviser. Similar services are rendered by various consulting firms.
The final goal of the professional adviser is pursued not by start of processes of automation, and support of the head: analysis of errors, an instruction of a correct vector of actions, training to necessary receptions. If realization of business processes is led not by the adviser, but directly by the owner, it means that in the future, when market conditions will change again and will demand optimization, he will be prepared to do this work independently.