What is Business Process Management?

The importance and benefits of BPM for organisations

BPM—Business Process Management is a business process management methodology based on which we can model, optimise, and manage processes for organisations in such a way that they are efficient, consistent, and create the greatest value for the customer. BPM helps us have a very clear understanding of how activities connect to processes and thus helps organisations avoid duplication of functions.

BPM (Business Process Management) is a holistic approach that involves people, processes, tools, and continuous improvement. Based on this methodology, we view the organisation as a whole.

Why is Business Process Management important?

In today’s competitive market, companies need to be able to adapt quickly to change. The BPM allows:

  • To understand the processes clearly means knowing what, when and how it happens.
  • Eliminate waste – shorten unnecessary actions.
  • Increase productivity – optimise task turnaround time and costs.
  • Our goal is to enhance the customer experience by guaranteeing a high-quality, swift, and dependable service or product.
  • Responding quickly to change makes it easier to implement innovations and technological solutions.

Process Life Cycle

Business Process Management (BPM) typically involves five main stages of the cycle: 

  1. Identification and analysis of processes—All organisational processes are identified, and their goals and results are evaluated. 
  2. Process modelling – Creating visual models (such as As-Is and To-Be) to clearly see how processes work. 
  3. Implementation – Implemented improved processes, sometimes using IT solutions.
  4. Monitoring – Measured indicators (KPIs) to measure effectiveness.
  5. Continuous improvement – processes are adapted according to business and market changes.

BPM and digitalisation

Today, business process management is closely associated with process automation and digital transformation. First, process maps are modelled, and based on them, we determine which places in the process need to be automated. Rapidly developing artificial intelligence is very good at automating repetitive processes. Based on the SSM principles, organisations can:

  • Automate repetitive tasks.
  • Integrate different applications and data streams.
  • Monitor process performance in real time.
  • Quickly detect and resolve obstacles.

Example from Practice

Let’s discuss an e-shop retail company that is facing delays in the delivery of goods. Through the BPM methodology, we will:

  • We analyse the existing process for delivering orders to customers.
  • We find that the biggest problem is the delay in the transmission of information between departments.
  • We implement an automated order administration system.
  • We reduce the delay time for the delivery of goods by 30%, thus increasing customer satisfaction.

Conclusion

BPM is not only a methodology but also a way of thinking that enables businesses to operate purposefully, efficiently, and sustainably. Companies to which we have applied the business process management method gain a competitive advantage because they can adapt quickly, optimise resources, and ensure the highest quality for their customers.

We have many examples of companies we have consulted that have achieved record sales, profitability, and performance.


Want to learn the principles of BPM? Find out about the course: BPM background

Learn more about the lecturer, business process management expert Dr. Diana Satkutė.


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