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    What is BPM

    As I work to prepare the agendas for the fall schedule of the Denver chapter of the Association of BPM Professionals (ABPMP), I thought it would be timely to step back and define BPM.

    First, let’s get the acronym expanded correctly. I still hear some say BPM is Business Process Modeling or Business Performance Management. No, to me at least, BPM is Business Process Management. Perhaps this is the simplest definition we will all agree to. As I went searching for more definition, I found that there is less agreement than I expected and perhaps even a rift in those trying to define BPM from a technology vs. a more pure process perspective.

    First stop (as usual for me) was Wikipedia.  They start with:

    Business process management (BPM) is a management approach focused on aligning all aspects of an organization with the wants and needs of clients. It is a holistic management approach that promotes business effectiveness and efficiency while striving for innovation, flexibility, and integration with technology. Business process management attempts to improve processes continuously. It could therefore be described as a “process optimization process.” It is argued that BPM enables organizations to be more efficient, more effective and more capable of change than a functionally focused, traditional hierarchical management approach.

    I found this good in that it starts with the idea that BPM is a management approach focused on clients (I prefer customers, but good so far.) I like that the stated goals are both effectiveness (doing the right things) and efficiency (doing those things better) and that it works to create innovation, flexibility (agility) and continuous improvement. The rest was less bpmcycle[8]than totally satisfying. It fails to explore the enterprise nature of BPM. In its overview, it acknowledges that BPM involves people and technology, but seems to focus on technology. It mentions  that “in the IT community, the term ‘business process’ is often used as synonymous of management of middleware processes; or integrating application software task,” and thankfully, stops short of equating BPM to SOA (Service Oriented Architecture.) The remainder of the article discusses the Design, Modeling, Execution, Monitoring and Optimization cycle and the technology supporting that cycle.

    I next found more Eccentric Definitions of BPM from BPM.com. Wow, I had no idea there was so much confusion. In this article, Keith Swenson concludes that:

    Overall, about half of the definitions I encountered were ones that talked about BPM being a management practice.  Most vendors carefully state that BPM is an initiative to improve the business, but often they tie this to IT with the reasonable idea that if you are going to improve your IT system, you should start with ideas that come from a BPM initiative.   These statements don’t actually equate BPM with system architecture, but I feel that many people reading this see the association so many times that they come to think of them as the same thing. There is an “IT community” which talks about BPM as being equal to/converged with/part of system architecture/SOA/EA.  There is another “business community” that represents the non-IT management side and sees no connection to system architecture at all.

    More on this line of thinking from Ashish Bhagwat of the Redux blog:

    It’s time SOA-wrapped-BPM gave way. We are already talking about moving on to social, collaborative and adaptive favors of BPM.

    BPM is not about integrating your systems and making them work together. Workflow, as promoted by platform vendors and integration centric vendors may look like that, but integrating with systems is an approach, not objective. Process visibility/monitoring are not a post-implementation by-product. Those are one of the drivers for BPM.

    The question should be – what are my operational issues, what are the tools available to me to get a solution for them?

    Yes, it is time SOA-or-other-IT-wrapped-BPM gave way! BPM starts with Business for a reason. It presumes that business processes are key assets and should be managed with as much rigor as other assets (I’d argue more.) The enterprise processes of a business start with the customer and a process Design that understands what customers value and ensures that value is delivered. Modeling helps verify that the process design is innovative, effective, efficient and flexible and identifies where improvements can be made. Applying six sigma, lean, business process improvement, UCD, STPagile applications, organizational design and other improvement techniques all may help generate improvement. Until the new designs and their associated improvements are Executed so that the business uses them, no improvement will result. Execution will likely require good project management, change management and IT development. Until processes are Monitored, no continuous improvement and ongoing Optimization can result. This monitoring must allow both tactical adjustments to processes as well as strategic guidance of the business based on environment and customer changes.

    Yes, I support the Design, Model, Execute, Monitor, Optimize cycle. But, it is not just tactically focused. Does it require a BPMS, SOA or other IT?  Maybe, eventually. But possibly not to reap benefits from many of the BPM improvements that can be made. Technology is an important tool that helps to deliver benefits. It is not necessarily the starting point for BPM.


  • Gartner’s Top End User Predictions

    I love this stuff. Gartner just released their Top End User Predictions for 2010. All kinds of food for thought in this. Among other things, I’m going to have to add another category of costs to my ROI analysis for Carbon. Over all, they predict technology is becoming intrinsic to every aspect of society, not just to business. Other specific predictions are:

    • By 2012, 20% of businesses will own no IT assets.
    • By 2012, India-centric IT service companies will represent 20% of the leading cloud aggregators in the market.
    • By 2012, Facebook will become the hub for social networks integration and Web socialization.
    • By 2014, most IT business cases will include carbon remediation costs.
    • In 2012, 60% of a new PC’s total life greenhouse gas emissions will have occurred before the user first turns the machine on.
    • Internet marketing will be regulated by 2015, controlling more than $250 billion in Internet marketing spending worldwide.
    • By 2014, more than three billion of the world’s adult population will be able to transact electronically via mobile and Internet technology.
    • By 2015, context will be as influential to mobile consumer services and relationships as search engines are to the Web.
    • By 2013, mobile phones will overtake PCs as the most common Web access device worldwide.

    • Forrester: SharePoint, On Its Own, Isn’t Cut Out for BPM

      This interesting article from CMSwire summarizes a new Forrester report titled SharePoint and BPM — Finding The Sweet Spot. They reach a similar conclusion as in my What is SharePoint post regarding using it for BPM or an application framework: that while SharePoint does a lot of things well, it becomes brittle when you try to use it for managing more than simple business processes.

      According to CMSwire, Forrester offers several reasons why SharePoint 2010 offers limited support for BPM, including:

      • Out of the box, SharePoint processes are simple, so seamless business processes require custom coding.
      • To build a real business process application, there’s a lot of custom coding you will have to do and that takes time, costs money and introduces a number of problems related to the flexibility of the SharePoint application.
      • Because SharePoint can only offer procedural-based processes without complex coding, it can’t easily offer the ability to adapt processes to handle exceptions in typical BPM implementations.
      • Processes are constrained by Windows Workflow Foundation (WF). When developers build process-oriented applications that leverage WF, they often find themselves hard-coding static, brittle interfaces that add to the total cost of ownership (TCO)
      • Site collections, while great for helping organize content and information, can be a major problem when developing business processes that cross organizational boundaries and complicate multi-departmental processes.

      To this list, I’ll add a couple more observations:

      • SharePoint largely ignores BPMS functionality around:
        1. business activity monitoring (BAM) and business event support,
        2. simulation and optimization, and
        3. business rule management
      • Because process configuration is done inside SharePoint Designer, it isolates the business from design that can help feed and tune execution

      And this why even Microsoft encourages finding an integrated partner application to fill an Enterprise BPM requirement. Some of the vendors that offer solutions that work in varying degrees with SharePoint include AgilePoint, Global 360, K2, MetaStorm, and Nintex.  So, before launching a BPM initiative on top of SharePoint, investigate BPM vendors and how well they enhance BPM for SharePoint. You will likely end up spending less time and money and having a more rich and agile solution when all is  done.


    • Who are the Cool BPM Vendors?

      gartner_logo_2010.jpgSince they knew you wanted to know, Gartner is just out with their list of Cool BPM vendors. These are vendors that are innovative, interesting, and have or will have a business impact on the future of IT. Interestingly, none of the established players make the list. Who did? This from CMS wire:

      BizAgi, based in Bogota, Colombia, focuses on handing more responsibility to business users to improve processes. Its principal products include a free BPMN 1.2-based modeler, an Express Edition and its “model once, execute anywhere” edition which have all contributed to building a wide customer base that includes 150 academic institutions.

      ICCM Solutions provides an IT service management (ITSM) and service desk solution built on Metastorm BPM. Its principal product, e-Service Desk , which comes on-premises and as a hosted service, supports Information Technology Infrastructure Library (ITIL) processes across all phases of the business process life cycle using a BPMS that gives scope for continuous improvement in processes.

      PNMSoft has developed processes that help business process outsourcing companies respond more efficiently and quickly to the changing process needs of their clients. It also focuses on improving end-to-end demand management processes between the business process outsourcing provider and its client organizations.

      Questetra provides a cloud-based solution to manage human workflow and improve worker productivity. It offers business people, who have no programming or systems knowledge, a simple to use workable platform for process improvement running on a shared Amazon EC2 infrastructure. It charges a US$ 10 per end user per month fee for this cloud service.

      WhitesteinTechnologies applies processes that have the ability to self-adapt to changing business conditions. Focusing on an agile and dynamic world, the architecture, using a multiagent approach, ensures self-adaptive behavior in processes whether those behaviors are proactive or reactive.

      To me, ICCM sounds a little nerdy. The two that sound coolest (if they live up to the promise) are Questetra, which promises cloud based BPM for the masses and WhitesteinTechnologies, that claims to adapt to changing processes. Kewl.


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      Business Value of BPM

      Many thanks to the students of the University of Colorado, Denver Business School’s class on Business Process Management for an engaging discussion yesterday. I am glad to see that there are now college classes focused on BPM. I hope that I was able to share some experiences about how to build business cases that justify investment in process improvement and BPM technologies. The slides from my presentation are posted on this link: The Business Value of BPM.


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