Business Process Management for Enterprises
Ing. Antonio Caforio
Centro Cultura Innovativa d’Impresa
Università del Salento
What is Process
Procure Items
Process
What is Process
Procure Items Input Output
What is Process
Procure Items
Request Items
Produce Something
Information Object
Physical Object
Supplier Process Customer Process
What is Process
Procure Items
Event
External Participant
What is Process
Procure Items
Guides
Enablers
Checklist
Develop Procedures
What is Process
Procure Items
Support Processes
Management Processes
Train Human
Resources
Provide Equipments
What is Process
Procure Items
Goals
KPIs
“Have the right Items available when needed”
• Wrong Items • Delivery on-time • …
What is Process
Procure Items
Send Request Receive Items Select Supplier
Flow of Activities
Process Management
Plan
Work
Execute
Work
Monitor & Control
Work
Set Goals
Establish Process
Define Plans, Resources
Determine Budget
Gather Information
Monitor Processes
Develop Forecasts
Take Preventive/Corrective Actions
Use
Inputs
to
Produce
Outputs
Process Management Applied
Procure Items
Monitor Procurements
Execute Procurements
Plan Procurements
Process Management Applied
Plan
Work
Execute
Work
Monitor & Control
Work
Set Goals
Establish Process
Define Plans, Resources
Determine Budget
Gather Information
Monitor Processes
Develop Forecasts
Take Preventive/Corrective Actions
Use
Inputs
to
Produce
Outputs
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Functional
Organization Specialisation
Standardisation and Best Practices
Clear Positions and Career Paths
Preserve Corporate Knowledge
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
Processes
• Accounts
Payable
• Accounts
Receivable
• Hire
Personnel
• Manage
Training • Select
Targeted
Customers
• Acquire
Customers
• Sell
Products
• Manage
Inventory
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Functional
Organization &
The
Order Management
Process
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Functional
Organization &
The
Order Management
Process
1. Receive Order
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Functional
Organization &
The
Order Management
Process
1. Receive Order
2. Fill Order from Stock
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Functional
Organization &
The
Order Management
Process
1. Receive Order
2. Fill Order from Stock
3. Ship Item
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Functional
Organization &
The
Order Management
Process
1. Receive Order
2. Fill Order from Stock
3. Ship Item
4. Invoicing
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Functional
Organization f-KPI: No. Orders
f-KPI: Low Inventory, KG per Employee
Traditional Management
MyCompany
Purchasing Sales
Marketing Operations
Sales / Orders
Warehouse
Shipment
Sales Agents
Engineering Finance HR IT
Strategic Committee
The Order Management Process
- What the customer wants?
- What are KPIs?
- Who’s responsible for the
Process?
- Who’s responsible for solving
issues in the process?
Process Example
The Order Process
References
G. Bracchi, C. Francalanci, G. Motta; “Sistemi informativi e aziende in rete”; McGraw Hill Italia, 2001
P. Harmon; “Business Process Change: A Guide for Business Managers and BPM and Six Sigma Professionals”; MK Press, 2007
OMG Specification; “Business Process Model and Notation”; 2011