Business Process Management Rahan Kalc The Need for

Business Process Management Rahşan Kalcı

The Need for BPM

Complexity exists internally within organizations…… Insurance Carrier Auto LOB Internal Employees Finance Commercial LOB Home LOB 3 Sales Marketing

…. and externally within the broader business network Companies need end-to-end process management To orchestrate human tasks… … to increase visibility… Partners & Re-insurers Agents & Producers Insurance Carrier Internal Employees Consumers Auto LOB Commercial LOB Con-sumers Home LOB Financial Institutions Outsourced Service Providers … to manage exceptions and cases… 4 DMV 3 rd Party Services … and for scalable transactions… … everything you need to manage end-to-end business networks

Transformation is Not Optional Excellence is a Moving Target 5

Can Your Processes Handle Change, Uncertainty and Complexity? Transformation Today Means: § Simpler Business Led Change § Full Process Visibility and Governance § Optimized Processes and Decisions Agile Processes and Decisions with Business Process Management 6

Business leaders must drive growth amidst complexity Capitalize on complexity and Outmaneuver competitors Innovation § 81% believe innovation is key to getting closer to their customers New Channels § 70% are focusing on new channels to deliver services to their customers Collaboration § 69% are collaborating with customers to deliver better products and services 7 Source: IBM CEO Study, 2010

Defining BPM

What is Business Process Management ? Through robust and flexible software capabilities and industry expertise, BPM enables customers to discover, model, execute, rapidly change, govern, and gain end-to-end visibility on their business processes Documentation & Compliance Software Expertise Deployment & Execution Continuous Process Improvement Analysis & Optimization 9 Visibility & Collaboration Business User Engagement Efficiency & Productivity

Typical process problems Customer Service Account Administration Finance and Ops Executive 6 Management 1 3 Invoice Reconciliation Teams 2 1 1. Unstructured Tasks and Communication (ex Paper or email) 2 2. Inefficient Working Environment Spans Systems 3 3. Inconsistent Prioritization 4 4. Incomplete or Inaccurate Data Flow Between Systems 5 5. Lack of Control Over System and Business Events (Exceptions) 6 6. Poor Visibility Into Process Performance 4 5 10

BPM brings order to the chaos Finance and Ops Executive Management Account Administration Risk Management Teams Customer Service 1. 1 Automate workflow & decision making 2. 2 Reduce errors and improve consistency 3. 3 Standardize resolution across geographies 4. 4 Leverage existing systems and data 5 5. Monitor for business events and initiate actions 6. 6 Real-time visibility and process control Customer Benefits: 11 • Huge Reduction in Manual Work, Errors • Faster, More Consistent Issue Resolution • Easier to Manage the Business • Consistent Case Handling

BPM streamlines human tasks Business Process Receive Order Start Process 1 st Review Task Assign Work Complete 1 st Review 2 nd Review Task Final Rev. Results Assign Work Complete Create ad-hoc Task / Results Create Review Summary Reply 12 Human Task Implementations Info Request Task Assign Work Complete

IBM BPM Differentiators

Deliver on your business promises Reduce complexity, automate processes and boost productivity Simplicity Simplifies operations and improves entire experience Powerful, dependable for mission critical processes Easy enough to engage all process participants Scales smoothly and easily from initial project to enterprise-wide program Visibility Centralizes visibility and control Empowers knowledge workers with built-in real time analytics to optimize business processes 14 Power Governance Achieve consistency and repeatability to ensure processes execute as designed Simplify life-cycle management of process applications across 1000 s of projects

Simplify your business Boost productivity with efficient and effective tools for doing business Transform your organization through simpler business-led change Simple tools enable full business participation & IT collaboration Boost productivity through integrated and efficient applications Accelerate time-to-value with rapid playback and deployment Simplicity 15 Simple tooling for deep business user engagement

Match transactional quantity with process quality Deploy robust processes quickly across your enterprise Easily scale from first projects to enterprise-wide solutions Execute processes consistently, reliably, securely, and with transactional integrity Harness the power of reusable SOA services, orchestrate services, and access backend systems Power 16 Built in SOA components for integrating applications and services

Change has met its match Governance provides consistency, repeatability, reliability and security Adapt your business and manage change confidently Easily and securely manage versions & dependencies in complex, ever-changing process applications Reliably develop robust, repeatable processes quickly Governance BPM asset repository and control center for easy sharing and versioning of processes and service assets 17

Take back your business with complete visibility and management of your business processes Rapidly meet market demands through centralized visibility and control of your business processes Optimize process outcomes with real-time understanding & control Improve process outcomes while in-flight Federated visibility across all process participants Visibility Real-time scoreboards provide visibility into work-in-progress 18

BPM Capabilities

The essential BPM capabilities Customer Service Finance and Ops Risk Management Teams Account Administration Executive Management • Modeling • Monitoring • Automation • Governance • Optimization • Rules • Information • Cases • Events • Integration • Collaboration • Analytics 20

Eliminate steps. Eliminate mistakes Modeling increases collaboration between business and IT Aligned IT and Business result in DOUBLE the productivity gains of isolated efforts* Increase collaboration with a common language for Business and IT to work together Identify high priority projects through process discovery Optimize processes to maximize value through simulation and analysis Consistently execute processes with a single, complete and authoritative view Business IT 21 *Source: London School of Economics – Mc. Kinsey survey and analysis of 100 companies in France, Germany, UK and US

Erase inefficiency from your enterprise Streamline processes with automation for increased business value Reduce cycle time: Automatically route tasks to the right person Gain efficiencies: Empower users with comprehensive task management tools Lower costs and greater consistency: Streamline workflow and automate escalations & exception handling 22

Make productivity everybody’s business Optimize processes for better business outcomes Documentation & Compliance Model and Simulate § Align business strategy and IT execution § Assess, capture, and analyze core value processes Deployment & Execution Deploy, Execute, and Change § Automate business processes to improve efficiency and profitability § Adapt and collaboratively respond to change Analysis & Optimization Monitor, Analyze, Predict and Act 23 § Business users monitor business performance and define new alerts based on KPIs

Understand your business End-to-end visibility provides insights across your organization Processes that span organizational boundaries with independent project lifecycles Operations HR Sales Finance Processes implemented with combination of a BPM system and existing applications Processes that are not yet implemented in a BPM system Finance and Ops 1 Risk Management Teams Executive Management 6 3 Customer Service Account Administration 2 Easily prioritize where to focus improvement efforts 24 12/4/2020 5 4

Make changes at the speed of business Quickly react to changing conditions with rules BRMS ü ü ü Streamline processes Facilitate change Re-use decision assets Maximize automation Improve governance User Tools Rule Repository Transparent Decision Service Orchestrated Processes 25 Execution Server Automated Business Decisions

Unlock the value of information Rapid, informed and confident actions optimized across the organization Extend process execution and insight to users Enhance business activity monitoring with analytics Leverage analytics for process design and improvement Improve decision points with info & analytics in-process Business Analytics Business Rules Business Processes Business Events SOA Infrastructure Enterprise Data & Content 26

IBM Advanced Case Management Brings people, process and information together … in context of a case § Deliver trusted information to the case – both content and structured data in the context of a case people process § Shorten time-to-value with simple tools and out-of-the box solutions § Easily create and reuse case templates Case Management § Leverage unique dynamic work management concepts and capabilities information 27

Process in the context of Social Business Process is a key part of Social Business! Collaboration fosters optimization Events to enroll in Processes to engage in Relevant web content Forms to fill out Experts who can help Communities in my situation Video Resources 28 Visibility into my processes Items that need my attention

Accelerate BPM success Start quickly, deploy faster, and reduce costs and risk Speed deployment with pre-built industry assets, and new Industry Solution Scenarios Supply chain Healthcare Retail Industrial PLM Government Telecom Banking 29 Insurance Reduce risk, increase consistency and reuse across departments with industry-standards based assets