BPM is touted as being able to solve a number of business and technology challenges ranging from simple process modeling to complex application integration. Given this broad range of capabilities how does an organization get started? What tools can be leveraged in a pragmatic, cost-effective way to initiate a BPM project? What are some of the organizational challenges – both business and IT – that need to be addressed? Leveraging recent work at a Fortune 500 company, this presentation will focus on how one CSC client approached adding BPM to their corporate capabilities portfolio. The speakers will cover the challenges, the successes and the failures.
2. Speaker Introductions
• Robert Reti
Principal Consultant, Strategic Services, Consulting Group
Senior Business Architect. 9+ years with CSC, CSC Index and The Kalchas Group.
BPM advocate since 2000. Initial collaborator with Howard Smith on BPM.
Member of BPMI.org and BPMABA. Co-creator of CSC BPR:CI (Continuous
Improvement) methodology. Extensive Business Strategy experience.
• Jamie Raut
Senior Consultant, San Francisco Delivery Services, Consulting Group
Technical Designer. 4+ years with CSC Consulting and CSC Australia. BPMABA
participant. Application Architect and Developer specializing in J2EE and e4
technologies. Member of the original e3 group in CSC Australia.
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3. Presentation Overview
• BPM/BPR Definitions
– Technology and Business
– CSC Approach
• BPM/BPR Methodology in Action
– Case study
• Questions
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4. An enterprise is only… “a bundle of Business Processes
being influenced by and utilizing a range of Assets”
Internal External
• Employees • Customers
• The Board • Partners
CRM CIM
SCM
EIS Business
Processes
MRP
Tangible
Planning
• People
• Corporate
• Equipment
• Growth
• Facilities
• Sales
Intangible
• Segments
• Int. Property
• Costs
• Brand
KM ERP
The Business Process is the Business
The Business Process is the Business
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5. BPM technologies offer a platform for business-led process
improvement with unprecedented flexibility and agility
1. Business Led
• Designed by process owners
BPM • Processes designed in business terms
Process
Design • IT support to realize
B P M Conceptual Overview
Tools
Process Owner(s)/
User(s) 2. Flexible
• Long-lived, complex processes
Business Process Layer • Covers automated, human and hybrid
Business Process High Level Logic/Rules activities
A • Multiple processes on one BPMS
BPMS • Open process description languages
Process
B Orchestration • IT Architecture is process-driven
3. Agile
Connectors
• Near real-time process editing
Middleware Data • Technology abstracted from business
processes
Applications • Process as executable code
& Tools
IT Infrastructure
Business Process Management (BPM) is key to the next generation process transformation
Business Process Management (BPM) is key to the next generation process transformation
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6. Process redesign should be driven by strategy, embedded in
the operating model and enabled through BPM technology
CSC BPR:CI Methodology
1 2 3
Business Objectives Operating Model Enablement Design
‘Customer-centric’ experience view
Information
Non- and IT
Origination
Commercial
Experience
Experience
• How well is Comm Credit info and • How straightforward/simple is the
knowledge shared with other origination process?
groups (e.g. retail/private)
e4
• How many return requests for
regarding other products? information are required? Org and Core Culture
• How intrusive is the cross-sell, up- Customer • What is expended and elapsed
sell activity and is it focused on
valuable, relevant products?
cycle times to key decision Skills Processes and Norms
points?
“Adjustment” “Monitoring”
Experience Experience
• How well can customer make • How well can customers see their
changes to their products? products with what degree of Mgmt
• How much self service is possible customization?
with what safeguards to privacy • How real-time is the monitoring Systems
and error-avoidance? info and can it be self serviced?
• What interfaces exist for making • How well does monitoring lead to
what kind of adjustments? adjustment if required?
• Enterprise/BU strategy sets the • End-to-end, process-centric view • BPM provides IT backbone for new
process objectives • Op model aligned to strategic goals and existing functionality
• Strategic goals evaluated based • Evolving capabilities can impact • New functionality can inform
on market demands strategic objectives processes
BPR:CI’s bi-directional approach enables enterprise-level continuous improvement
BPR:CI’s bi-directional approach enables enterprise-level continuous improvement
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7. A BPM based approach to BPR enables a very rapid parallel
and iterative discover, design, develop and deploy cycle
Process Activities
PROCESS
Vision 1. Discovery 2. (Re)Design
(Re)Design 8. Analyze
• Fast accurate visualization
• Process elements captured
as data – stored a process
repository
• Design can analyzed,
costed and quantified
3. Simulate 4. Deploy 5. Execute
Technology
T E C H N O L O G Y
Activities Design
• Processes can be
simulated, automated
and deployed on
BPMS
• Iterative, parallel Mo e
nito nag
development r Ma
approach 6. Operate
• Manage and control
BUSINESS
• Faster deployment executing processes
than traditional
waterfall 7. Optimize
• Activity Monitoring for
ongoing analysis and
improvement
Parallel/iterative BPM development achieves superior results in less time than traditional approaches
Parallel/iterative BPM development achieves superior results in less time than traditional approaches
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8. Presentation Overview
• BPM/BPR Definitions
– Technology and Business
– CSC Approach
• BPM/BPR Methodology in Action
– Case study
• Questions
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9. Case Study Background
Client
• Segment-leading Financial Services company
• Strongest, largest, most strategic Line of Business
• Industry leading performance by key business metrics
• Predominant use of custom, in-house developed technology solutions
Account
• RFP issued to 8 major IT, Strategy and niche players
• CSC deployed a cross-practice team - IT, Process & Domain expertise
• Project Teams had equal client and CSC staffing, led by clients & users
• Technology and Business Teams tightly integrated
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10. CSC’s BPM/BPR approach is customized to achieve
client objectives
• Key Client Objectives:
– Constraints on growth due to process inefficiencies
– Post-merger process inconsistency
– Mismatch of customer/market expectations with capabilities
• CSC Delivered:
– Current State Assessment
• 100 interviews, BPM process maps incl. enablement, root-cause analysis
– Future State Vision and Design (Process & IT)
• Focused on cycle-time and effort reduction, flexible infrastructure
– Gap Analysis & Implementation Roadmap
• Process, Technology and Organization simultaneously
– Business Requirements & Technology Architecture
– Rapid Process-Centric Prototyping
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11. A Process-driven Transformation demands an evolution from a
Functional to a Process-centric view
Traditional Functional “Silo”
Deal Analysis Deal Production Deal Support Deal Servicing Deal Security
Financials Analysis Search UCC’s
Pre Aprvl
Initial Analysis
Projections
BPM-enabled “Process Centric” View
Create Materials
Document
Outside Review
Setup Monitor Compl Booking Pre-work Perfect Collateral Book Deal Setup Monitoring
Record
Scan Documents Maintenance Setup
Receive Collateral
Maintain
Comp Monitoring Deal Maintenance Sec Verification
Audit Confirmations Wire Payments Monitor Security
Process Demand Final Payments
Close
Release Collateral
Initiation
QA
Sales Consultation Review Document Collateral Review Data Validation
Other
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12. For many processes, the ideal model is Straight-Through
Processing (STP), built from modular process components
Cyclical Reviews
Example: Deal Origination Lifecycle
e st
eq u
ge R
• STP minimizes cycle time and effort C h an
ewa
l
Re n Maintain Monitoring
• STP avoids iteration between
process components 7. Record
• STP reuses process components 6. Document
Au
5. Execute dit
4. Evaluate l Au
dit
3. Define a
2. Qualify e Au
dit
1. Acquire D
BPM Technology
• Universal IT platform for all process
Au
w dit components
Ne l
a
De • IT architecture follows process not
data structures
• A BPMS manages the state, flow and
monitoring of the deal
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13. The basic systems design uses a Service Oriented Architecture
approach, driven by the business process
Overall Credit Lifecycle Customer Chan
ge Request
Cyclical Review
Compliance
Check
Renewal
1. Acquire 2. Qualify 3. Define 4. Evaluate 5. Execute 6. Document 7. Record Maintain
New
Deal D e a l
R Ri
AU AU AU AU
DIT DIT DIT DIT
Qualification Content Risk Content Doc Alert
Prospecting
Analyzer guidance Guidance guidance Generator Generator
Pipeline Pricing/ Approval Pricing/ Collateral
Tracker Profitability Grid Profitability Monitoring
Business Process Management
Process Optimizer Event Tickler/Alerts
Integrated System
Universal Data Access
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14. Business Process Modeling/Analysis Tool: ProActivity
• Flagship product from
ProActivity Inc. chosen as
BPA tool
• Primarily a modeling tool
• Add-ons available for BAM
• Process exportable to BEA WLI
8.1 and Fuego
• Accelerates development in
BEA WLI by creating a Java
Process Definition (JPD) file as
a shell for further development
• Captured “as is” and “to be” state using the tool
• Existing roles and systems assigned to process steps in “as is” model
• Designed roles, systems and services assigned to process steps in “to
be” model
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15. The BPMS manages workflow, data and the integration of
functionality, within and between process components
• BPMS combined with SOA results in highly flexible and
extensible solution
• BPMS handles the orchestration of business services
• Complete abstraction from underlying technologies and systems
P
TT
/H C/
AP RP
SO AX- X-M
J JA
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16. Delivery Team Composition
Officer in
Officer in
Charge
Charge
Rosie
Rosie
Hartman
Hartman
Technical
Technical Project
Project
Program
Program
Lead
Lead Manager
Manager
Manager
Manager
Keith
Keith Mike
Mike
Ken Long
Ken Long
Mattioli
Mattioli Jones
Jones
Technical
Technical Technical
Technical Business
Business Business
Business
Business
Business
Architect
Architect Architect
Architect Architect
Architect Architect
Architect
Architect
Architect
Ajay
Ajay Jamie
Jamie Elaine
Elaine George
George
Rob Reti
Rob Reti
Chaudhari
Chaudhari Raut
Raut Anderson
Anderson Clark
Clark
Technical
Technical Process
Process Process
Process Process
Process Process
Process
Process
Process
Analyst
Analyst Analyst
Analyst Analyst
Analyst Analyst
Analyst Analyst
Analyst
Analyst
Analyst
Viraz
Viraz Philip
Philip Jennifer
Jennifer Kylie
Kylie Johan
Johan
Robert Pu
Robert Pu
Fouzdar
Fouzdar Kang
Kang Tian
Tian McKirdy
McKirdy Schutz
Schutz
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