9 Reasons to Use Business Process Management
Most business leaders agree that in today’s global economy, companies face very strong competition. In order for businesses to stay ahead of their competition, one extremely useful approach is to improve their processes by using Business Process Management (BPM).
Business processes are defined as any well-defined series of steps that a company has to take to achieve specific desired goals. The processes and the goals can vary – they could be anything that is of significance to the business.
A lot of times, business processes aren’t well optimised. Many companies don’t do much to improve the efficiency of their processes. Instead, they focus on marketing and sales to grow their profits. But with Business Process Management, a company can optimise its existing processes, and thereby decrease costs while at the same time increasing profits, without having to generate additional sales.
BPM merges various practices focused on boosting the value of an organisation, by improving the processes. It starts by defining the processes, looking for areas where processes can be improved, and then making the needed changes. Sometimes, there may be a need for a complete overhaul of the business processes of an organisation.
But no matter what method is used, BPM allows a company to improve their processes, and thereby to become more successful, competitive and flexible in the modern economy.
Here we discuss the key benefits that can be achieved with BPM:
1. Improved measurability
With BPM, processes can be measured precisely, results can be compared, and organisations can accurately determine the rate of progress.
BPM can now be implemented with advanced software tools to provide analytical insights for better decision-making.
Because BPM can quantify all the steps in a process, it enables organisations to streamline their processes, and to identify the steps that need to be improved.
2. Increased flexibility
Due to new technology and a rapidly changing world, organisations must adapt constantly, or see themselves fall behind their competition.
Changes are made necessary as a result of various factors. These include changes in market demands, changes in official regulations and policies, or the introduction of new ways that work is done in your industry.
BPM enables the creation of flexible processes because it generates a precise understanding of all parts of each process, and how they interconnect. By utilising BPM, organisations can make changes to processes while spending as little resources as possible.
3. Reduced risks and improved efficiency
With the use of BPM, organisations can focus on improving efficiency, and thereby reduce risks, while at the same time-saving resources. In addition, BPM generates a very detailed understanding of each process, with makes it harder to tamper with them.
4. Increased customer satisfaction
As productivity is improved and processes are made leaner, employees need to spend less time on monitoring and managing processes. That frees them up to respond faster to customer queries and complaints and to work on creative solutions that will be of benefit to customers.
With BPM, employees can utilise technology to come up with creative solutions and boost customer satisfaction.
BPM allows tasks to be carried out the exact way they were designed and planned. Problems can be addressed the same way, and time and energy won’t be wasted on designing new procedures for every task that comes up.
BPM can be used to define responses to emergency situations to ensure that they are well-handled.
6. Compliance with regulations
To avoid legal issues and fines, a company must keep in line with regulations and policies. With BPM, organisations can implement regulatory requirements very fast.
BPM makes company processes more transparent, both to the leadership and the employees, which can help to ensure that all departments are compliant with government policies and regulations.
BPM can allow organisations to adapt better to changing conditions, so results can still be delivered no matter what comes up. BPM allows organisations stay in control and keep their values and policies irrespective of changes in organisational conditions.
8. Integration of technology
Thanks to BPM, the communication gap between IT and staff members can be closed with the use of standardised KPIs. BPM allows organisations to focus on processes that integrate technology with the human workforce.
9. Increased effectiveness
With BPM, organisations can eliminate administrative bottlenecks, remove redundant steps and introduce parallel processing.
All these improvements will increase the speed of reaching business goals, while at the same time reducing the associated costs.
The improvements generated by BPM will also allow employees to spend more time on other important activities, since less time needs to be spent on dealing with bottlenecks, etc. Needless to say, this leads to an overall increase in productivity.
Effective business processes are essential for any company to achieve its desired goals. By optimising these processes, the resources and structures of an organisation can be optimally deployed to help achieve the desired goals. With BPM, processes can be improved and aligned, thereby helping your businesses to remain competitive in a global economy.