Business process management is a function that entails aligning all the elements of an organization with the goal of improving performance of operations (Van Der Aalst, 2013). The BPM strategies are actions used to make good business efficiency. The desired outcome of BPM involves highly creative, flexible and technologically-integrated systems. The BPM activities identify, evaluate and enhance the operations in a business. Today, the presence of advanced technology in companies has made it possible to use software in management (Van Der Aalst, 2013). The software applied is customized in line with the metrics as well as policies of the firm. It is vital to understand that the basic aim of BPM is the reduction of human error and miscommunication so that stakeholders remain focused on their duties and function within the organization. BPM offers the connection between a given line of business and the Information Technology Department of a company.
Business processes require management for many reasons. Firstly, business processes need management so that the desired outcomes are achieved. It is important to note that processes in a company are geared towards some specified desired outcomes. Without proper management of the business processes, it is quite possible to have dismal performance and failure in attaining the planned results. For instance, business operations have to be managed so that company can achieve its output target. The sales and marketing processes have to be managed so that the company can achieve the targeted revenue level. BPM is important because it also helps companies to stick within the budgeted cost. Without proper management of the business processes, expenditure can go beyond the budgeted level. BPM also enables the firm to avoid duplication of processes. It makes the firm to ensure activities are started and finished on time. Overall, BPM is a very significant thing to a company that is result-oriented. Businesses must continuously improve their processes in order to become and remain competitive as well as successful.
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Organizations use BPM in virtually similar ways. Every organization normally has common business processes that are meant to meet pre-determined outcomes. However, there is that chance of missing the set objectives of business processes because of them becoming slow, duplicative, redundant, unreliable and inefficient. Therefore, companies apply BPM to ensure such negative developments do not occur. Organizations use BPM by way of putting all the business processes under keen scrutiny. This scrutiny of business processes is done with the help of specified models, metrics and analysis. During this scrutiny, the organizations normally evaluate the real level of performance of underway processes and identify the specific areas that require improvement. The organizations then implement the improvement integrating the changes into processes smoothly so that they perform properly.
Toyota Company offers an exemplary application of business process management. In fact, it has been widely held that the force behind the high performance of Toyota Company is its use of BPM. Behind the assembly line of Toyota, there are highly sophisticated information systems, which normally support and enable operations that are free of resource wastage (Tregear, 2010). These information systems ensure there is limited inventory build-up and continuous improvement of production at the company. The production system of this company is fitted with technological machines meant to make all processes aligned to overall Toyota Production System (TPS). Use of BPM within the manufacturing process of Toyota has earned massive benefits like satisfied customers and employees. The employees at Toyota are enchanted by the ability to always achieve set output targets, which come as a result of applying BPM. From this example of Toyota Company, it is clear that BPM is an important concept in organizations.
References
Tregear, R. (2010). Business process standardization. In Handbook on Business Process Management 2 (pp. 307-327). Springer Berlin Heidelberg.
Van Der Aalst, W. M. (2013). Business process management: a comprehensive survey. ISRN Software Engineering , 2013 .