What Is Business Process Management and Why You Need It in BPO?

Business process management is about getting the work done. Love it or hate it, processes are the core of a business. They exist in every department and team and are critical to the outcome of operations. Business processes are like a blueprint that defines the pathways and flow of activities that run within and between different businesses functions, like an employee onboarding process or an invoice approval process.

But moving from point “A” to point “B” along these pathways, and doing it as efficiently as possible, doesn’t come without effort. It takes time, resources, and a bit of good planning to make sure your blueprint is sound and work is running smoothly. That’s where BPM comes into play.

What Is BPM?
Business process management (BPM) operates in a continuous cycle. It’s the practice of designing, executing, monitoring, and optimizing business processes. It is neither a product, instead a methodology that can turn your business into a well-oiled machine. Furthermore to be clear, BPM is a practice, not a market. But some vendors offer tools to support the application development of technology solutions to carry out business processes.

Done correctly, it is also carried out with the intention of continual improvement.

Many people confuse BPM as simply workflow automation. However, true BPM should be centered around driving outcomes (like process improvement or efficiency gains) and must take into account the complete, end-to-end process at hand. Processes can be structured and have a predictable path from start to end or unstructured with a less predictable path to a goal. Naturally, the processes or workflows that are structured and repeatable are the ones that make good candidates for automation.

Another term that you should not confuse with process management is project management. I know they sound alike, but they’re not the same thing. Project management is about planning, initiating, and executing a unique, single-off project with a defined goal and established due date. Unlike processes, the projects are not repeatable. And because you don’t come across the same challenges daily, projects are also more flexible as they need to adapt along the way.

Process management focuses on repeatable and predictable processes, i.e., ongoing recurring tasks that are part of business day-to-day life. For example, a travel request: it’s always done the same way, following certain business rules. It may take one route over another—the process being approved versus not being approved—and it may even be open to change in the name of efficiency, but the outcome is always predictable.

Process management is usually associated with BPM tools, while project management with work management tools like Asana, Trello, or Jira.

Why Is Business Process Management Important in BPO?

Business process management is about conducting business in the most efficient way possible and with better outcomes—being them improved quality, service, responsive time, customer experience, or customer satisfaction. That can mean optimizing resource allocation, eliminating bottlenecks, reducing process duplication, speeding up transactions, etc. Employing this outcome-oriented methodology helps organizations deliberately improve operations, as well as their bottom line. In doing so, they can become stronger and more prepared to weather any storms influenced by the market.

What are the benefits of BPM for a BPO company

If done properly, BPM can bring many benefits to your business. Here are a few:

  • Cost efficiency: By streamlining operations and collaboration and reducing duplicative efforts, companies can decrease costs while improving productivity.
  • Optimize HR: modeling optimal workflows improving the productivity and efficiency of the HR
  • Increased productivity: The practice of BPM often leads to automation of repetitive tasks, removing bottlenecks, and reducing unnecessary steps.
  • Better employee and customer satisfaction: Instead of spending time doing boring and repetitive tasks, employees can spend more time in activities that bring more value to the business and the customer.
  • Stronger corporate strategy: By aligning BPM with business outcomes, organizations can improve their overall performance and resource optimization.

Business Process Management Examples and Use Cases

The scope of use cases for business process management is incredibly broad. This methodology could be applied to almost any BPO workflow or function for the purpose of greater efficiency and process improvement. Some use case examples include: Data entry processes, customer support services, call center, inventory management, order fulfillment, employee onboarding, among others.

Business Process Management Market

There are several process automation tools to choose from, for different levels of complexity of business processes.
For simpler to medium processes, there are simple workflow management tools, robotic process automation (RPA), and no-code and low-code tools. For medium to complex processes, there are traditional BPM tools, some more advanced low-code tools, and modern application development platforms. The last two, are not strictly focused on BPM but provide sets of tools to address a wider spectrum of use cases that include process management while removing the complexity of BPM software.
There are also modern app development platforms like OutSystems that remove the complexity of development through configurable tools, resources, and reusable components. This way, your team can quickly create or change simple or complex BPM solutions with minimal effort through a built-in workflow engine without worrying about the different steps for modeling and implementing business processes.
Business Process Management boosts the operation performance of the BPO companies, improving the efficiency and productivity of them.

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