5 Business Process Management Examples
Although business process management is not a new concept, there are many evolving advances occurring in BPM software and BPM tools technology.
As a result, many businesses have found ways to integrate technology into their existing business process management system ranging from workflow automation to social media chatbox services.
There are several current BPM trends that business professionals should be aware of. 4 notable business process management trends include-
- Adaptive case management
- Robotic process automation
- Low code solutions
- Social media chatbox services
Increasingly, companies are turning to BPM software to address their business process management needs, desires, and objectives. BPM tools and key features that are commonly included in business process management software include-
- Process modeling
- Project management tools
- Task management tools
- Digital transformation
- Process design
- Process mapping
- Workflow management tools
Best practices for companies include researching business process management examples and analyzing their successes. 5 business process management examples include-
1. Invoice Processing
Human error and fraudulent activities are enemies of efficient invoice processing. Fraud, similar to maverick spending, can be performed during invoice processing by both employees and suppliers.
For example, an employee could order products to resell and gain individual profit at the expense of the company. Or, a vendor could fraudulently bill for products that were never ordered or delivered to a business. Without a solid invoice processing business management process in place, pinpointing and punishing fraudulent activity is incredibly difficult, if not impossible, for businesses to accomplish.
Alternatively, a trustworthy and well meaning employee could accidentally make a data mistake that could come with a large price tag. Data entry mishaps ranging from an incorrect routing number entry to invoice errors put businesses at risk of incurring late fees due to missed payments as well as damaging the relationship between companies and their suppliers.
Business process management offers a solution to fraudulent activities and costly human errors through automation software tools that monitor inventory levels and restocks products accordingly. BPM software can additionally set business rules and an approval process for unique or unusual purchasing requirements.
BPM software serves as both a task management and risk management tool for invoice processing. Instead of incurring late fees or theft, utilizing a BPM solution can help businesses secure early payment discounts, improve relationships with vendors, and avoid fraudulent activity.
2. Purchase Approvals
The process automation capabilities that business process management software supplies invoice processing are also incredibly helpful for purchase approvals. Common issues that occur during the purchase approvals business process include human error, maverick spending, and lack of transparency.
Maverick spending occurs when there are no business rules nor an approval process in place to stop employees from purchasing products from unideal vendors using company money. When these transactions are not recorded, financial business processes ranging from forecasts to budgets are distorted.
Unintentional human errors can be devastating for a business, ranging from incorrect invoice information to missing paperwork. Process automation not only populates forms to avoid human errors and fraudulent transactions, but also makes sure that transparency is at the forefront of the purchase approval process with easy software accessibility.
3. Contract Management
Manual contract creation is expensive, time consuming, and susceptible to human errors. Automated workflows for creating contracts are a BPM solution to contract management issues.
Automated workflows for contract creation are a massive process improvement that helps businesses make sure they are getting the best deals available from suppliers. Human error is avoided while best practices are maintained with prepopulated contract terms, pricing, and conditions.
4. Vendor Management
Effective supplier management is essential for any proper business process management system. Supplier management is the backbone of business operations, and BPM solutions can create a leaner and more efficient supply chain process.
Integrating vendor risk management into existing business process management systems further protects businesses from unpredictable supplier issues. Some BPM software provides a vendor portal where businesses can compare existing suppliers with alternative vendor options in order to best satisfy specific operational, budgeting, and sustainability needs.
5. Business Strategy
Business strategies are optimized when utilizing a business process management system and software programs. BPM software helps identify issues in existing business processes while consistently looking for opportunities to improve business processes further in the future.
Businesses are better able to make important decisions using the extensive data supplied by BPM software. From establishing set activities for accomplishing organizational goals to social media BPM solutions to increase customer satisfaction online, a business process management system should influence business strategy creation and revisions heavily.
A business strategy supplemented with BPM solutions and a great business process management system is likely to result in substantial profitability and long term success.
- In order to improve processes and create a new process business process management is essential.
- BPM software and BPM tools are useful for a wide range of activities, business process management examples include invoice processing and contract management.