Process management system: an overview and implementation best practices

A process management system (BPM) is a key tool for improving and optimizing business processes. This article covers the main principles of BPM, its advantages, and the steps for successful implementation in a company.

Any business is a complex set of internal and external processes that are interconnected.

It is simply impossible to manage them effectively without modern tools and innovation.

This applies to large corporations as well as small firms, family businesses, and startups.

To keep a company running steadily, ensure all tasks are completed on time, and make it easy for departments to work together, a process management system is needed.

There are many IT solutions for these tasks today, and BPM is one of the best.

BPM is an acronym for business process management.

This system helps automate them and is then used for control and optimization.

In practice, it is a digital platform used to perform a range of actions: process classification and tracking; model building; introducing new actions and eliminating ineffective ones; monitoring activities and evaluating intermediate and final results; and modernizing the system.

Like other information systems, BPM is used for automation, but it also has several differences. In particular, the focus shifts from tasks to the processes themselves.

If other information systems handle local actions, a BPM system looks at the entire chain, which includes several linked steps. For example, this could be a response to a customer complaint.

One local action is sending an email with a discount offer.

The full process includes the following steps: analyzing the situation, identifying the substance of the complaint and the reason it arose; preparing a response that will help preserve customer loyalty and draw their attention; sending the message; and receiving feedback.

In addition, BPM systems are more adaptable, cover all management levels, and are better suited for in-depth analysis. The latter, in turn, is needed for strategic business planning.

This is the creation of a business process prototype that helps you understand exactly how it will be structured, which stages it will include, and who will take part in it.

Building the model shows how, for example, sourcing and hiring employees or placing an order through an app will work.

Modeling tools in BPM process management systems help management: spot weak points in the company's operations and find ways to mitigate risks; design specific actions that optimize the business; and understand how the firm's operations will change if a new process is introduced or, conversely, an existing one is dropped.

Diagrams are built with BPMN — a visualization method that clearly represents any business process.

Modeling also uses diagrams, ARIS models, and other methods.

The development itself includes the following stages:

It may include interviewing employees,

current processes and identifying the points that need optimization.

Choosing the modeling method and tools.

It depends on the complexity of the process being developed, the visualization options, and other factors.

Building a pilot model of the process.

It can be refined, modified, and adapted to the specifics of a particular business.

The fine-tuned model is rolled out into the company and put into operation.

First, data is automatically loaded into the database, then it is analyzed.

They are used to define KPIs and decide on the minimum targets to aim for so a business process is deemed successful and valuable.

Results are shown in reports and can also be visualized using dashboards, interactive spaces, and other tools.

If monitoring uncovers any problems, the relevant department starts handling them.

In parallel, the remaining business processes are optimized.

The most commonly used tools are: Business Intelligence.

This includes systems that collect and visualize the data needed to evaluate business processes. Log analytics.

Software log contents are analyzed using AI and bots.

This speeds up the work many times over and makes it highly accurate and objective.

Monitoring dashboards. They show in real time which processes achieve high KPI results and which lag behind. AI technologies.

They are used not only for collection and initial processing, but also for analysis and forecasting.

This system component is responsible for adapting to market changes. The conditions companies have to operate in are constantly shifting.

Competition is growing, customer demands are getting tougher, and new legal requirements keep emerging.

Without optimizing business processes, a company can fall far behind and lose its niche position, even if it once led the market.

The main goal is to extract maximum return from existing resources without lowering the quality of goods or services.

Today, the IT solutions market offers several dozen process management systems, including BPM.

How do you make the right choice?

Pay attention to several criteria: Purpose.

First decide exactly why you need a BPM system. For some companies, it is needed for automation from scratch; for others, for integration with already installed software. The solution's functionality changes depending on its purpose.

Ease of use. Decide which employees will use the system, then assess their level of technical knowledge and skills.

If it is low, the structure should be simpler and the interface more visually clear.

For example, the system can generate KPI-based reports without involving an operator, which saves significant time.

Software flexibility. It is important that it can be easily adapted to your business specifics and later scaled.

To do this, the system may support low-code and no-code technologies, for example, and integrate with other IT solutions such as CRM, ERP, and more. Security. Check which tools are used to keep data confidential, restrict access, and protect against potential threats.

Some solutions require a dedicated server, while others are deployed in the cloud.

The first option is suitable for a large enterprise with a highly developed IT infrastructure and spare hardware capacity built in.

A cloud service is the ideal solution in all other cases. Support. Check what services the vendor provides after purchase and what guarantees it offers. Cost.

Pay attention not only to the price of the ready-made solution or its development, but also to support costs. Calculate how quickly the implementation of a process management system will pay for itself.

By installing this software, you get: high-level automation of all business processes; fewer errors and unnecessary actions that slow down the company; transparent operations and maximum control over internal tasks; the ability to adapt to market changes faster and more easily; an expanded set of tools for analytics and forecasting; and improved employee efficiency.

However, do not forget that, like any other software, process management systems may have drawbacks.

Successful integration requires significant investment, employees must be trained to work in the new environment, and without multilayer data protection, the risks of cyberthreats, breaches, and data leaks increase.

To avoid problems, choose both the system and the vendor that develops and supports it very carefully.