What is Business Process Management?

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BPM, workflows, automation & co. – what are they actually?

Smooth process thanks to digital workflows

A smooth flow of business processes creates the conditions for a company to be successful in the long term and to keep its resolutions.

In this context, business process management takes on the task of digitizing processes, continuously optimizing them and increasing efficiency through automation. Digital workflows and their management using BPM software are therefore a must-have for companies that want to remain competitive.

What is BPM (Business Process Management)?

Digital business process management (BPM ) refers to the management of business processes using digital technologies and tools. Essentially, this type of process management is about how companies can digitize, automate and optimize their workflows. Overall, this can increase efficiency, productivity and customer satisfaction. This goes hand in hand with

 

  • Efficient working

  • Cost reductions

  • Reduction of errors

  • Competitive advantages

What is BPM software?

BPM software offers appropriate tools for planning, designing, managing and monitoring workflows. With some software, only minimal programming knowledge is required for workflow design, as modeling is done via a graphical user interface – this is known as the “low-code” approach. The BPM solution is linked to the document management system (DMS) so that process-relevant documents can be worked with and required data can be integrated directly.

What is a workflow?

A workflow is a series of predefined steps or activities that are executed in a set order to achieve a specific goal. These steps can include both manual and automated tasks and are used to organize and optimize business processes, projects or other complex tasks.

A workflow defined

  • the trigger for an upcoming task,
  • the sequence of tasks for an efficient workflow,
  • the persons and departments involved and
  • the relationships to other work processes.

What functions does BPM software offer?

Mapping and modeling workflows
Every company has a number of recurring business processes that occur on a daily basis. Typical examples are vacation requests, travel expense reports, purchase requisitions or budget approvals. All of these processes, including process-related documents, can be easily digitally mapped and optimized with integrated workflow management software. The same naturally also applies to unusual business processes, which can be individually modeled with a workflow solution.
Data integration and analysis
Digital BPM enables the seamless integration of data from different systems and sources. This data can then be analyzed to gain insights into processes and identify opportunities for improvement.
Process automation
By using digital tools and technologies such as workflow management systems, companies can automate manual and repetitive tasks. This reduces human error and increases the speed of processes. Process automation is particularly effective for recurring routine tasks, which exist en masse in every company. This reduces the workload of people in specialist departments who are directly involved in the relevant business processes.
Ensuring agility and scalability
Digital business process management makes it easier for companies to quickly adapt their business processes to changing market conditions. Thanks to the flexibility of digital technologies, processes can be easily scaled or modified to meet changing requirements.
illustration - business process management

BPM phases

Business process management (BPM) usually comprises several phases that cover the entire life cycle of business processes. These phases are usually iterative, as BPM is a continuous improvement process that adapts to changing business requirements and market situations.

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Phases at a glance

Identification and analysis of processes

In this phase, the existing business processes are identified and analyzed in order to identify weaknesses, potential for improvement and bottlenecks.

Modeling and design

Once the processes have been analyzed, they are modeled and designed. The end result is a workflow that digitally maps the previously analog business process.

Automation and implementation

The modeled processes are automated and integrated into the IT systems. Automation can significantly speed up and simplify manual processes, as employees no longer need to intervene to carry them out.

Monitoring and controlling

As soon as the processes are automated, they are monitored and controlled. Key performance indicators (KPIs) are defined and measured to ensure that the processes run efficiently and the defined targets are achieved.

Optimization and improvement

Based on the results of the monitoring, continuous improvements are made to the processes. This may include changes to process flows, automation or the underlying systems in order to increase efficiency or improve quality.

Advantages of BPM

Increased efficiency

BPM makes it possible to identify bottlenecks, redundancies and inefficient process steps, which leads to an optimization of workflows. By simplifying workflows and automating manual tasks, companies increase their productivity and reduce their costs at the same time.

Flexibility and adaptability

By modeling processes, companies can better understand their workflows and react more flexibly to changes in the environment. BPM makes it possible to quickly design, adapt and implement new business processes in order to meet the changing requirements of the market.

Transparency through consistently documented processes

The digitized processes are documented centrally and therefore provide an overview of the process flows and which person is involved in which task at all times. This ensures transparency, allowing automation and optimization potential to be identified and implemented at an early stage.

Better customer orientation

By optimizing business processes, companies can better serve their customers by responding faster to requests, improving customer satisfaction and implementing customer-centric processes.

Risk minimization and compliance

Business Process Management helps companies to identify and minimize risks by supporting the implementation of clear process rules and guidelines. In addition, BPM enables compliance with legal regulations by integrating compliance requirements into business processes.

Better decision-making

BPM provides visibility into business processes and enables managers to make informed decisions based on real-time data and key performance indicators. By analyzing process data, companies can recognize trends, identify weaknesses and make informed decisions for process optimization.

Which work processes can be mapped with workflows?

The digitalization and automation of work processes is particularly suitable if the processes occur regularly or even daily and are associated with manual, repetitive process steps. Workers who are entrusted with these tasks perform the same tasks over and over again. Automation can significantly reduce such repetitive process steps. The following is a selection of typical processes that can be mapped using workflows.

 

1) Document release

Document approval is an important process in companies. Digital workflows are used to automate the approval process as well as checking and archiving. The necessary transparency is ensured at all times: applicants can be informed immediately as soon as the document has been released.

 

2) Vacation requests

Applying for leave is a typical process that can be automated easily and efficiently. This significantly speeds up and simplifies the application process and confirmation or rejection by superiors for everyone involved.

 

3) Incoming invoices

The incoming invoice workflow includes all steps that ensure that invoices are properly checked, approved and paid. When an invoice is received, all relevant data is also recorded as indexes (e.g. invoice number, invoicing party, etc.) so that the archived documents can be found immediately afterwards using a corresponding search term.

 

4) Demand requirements

With a workflow for purchase requisitions, all process steps are completed digitally and for the most part automatically: from the creation of a requisition number and a document for the purpose of documenting the requisition, to the sending of e-mails to inform those involved about successful or unsuccessful requisitions.

 

5) Travel expenses

A digital travel expense workflow contains all the forms and functions required for travel expense accounting. This includes adding receipts, specifying the meals received as the basis for calculating the meal allowances and automatically calculating the travel expenses. Finally, the applicant receives a travel expense report document for filing and indexing in the document management system.

 

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