Tuesday, November 11, 2014

Describing the Process Team BPM Adoption Model for BPM Processes deployment



As commented in one of ours recent posts by "BPM Adoption" we understand the way that some organizations have undertaken to relieve, optimize, automate and outsource part of their business processes with the ultimate aim of achieving and maintaining the Operational Excellence that ensure them a sustainable competitive advantage.
To simplify our analysis, we have grouped the various strategies of BPM Adoption usually followed by organizations in four archetypal models, which we have called "Process Team", "Cloud", "Consulting" and "BPaaS".
Each model is characterized by the decision organizations have made in terms of the Mode of Development of the automation solutions, differentiating whether they do or plan to do by internal or external means; and the Mode of Exploitation of such automation solutions, differentiating if they do or plan to do either on internal systems (on-premises) or external (on Cloud or on an external Data Centre).
The “Process Team” model we analyze in this post could be considered the most "canonical" because the survey, optimization, analysis, development and integration of automation solutions (Development Mode), and its subsequent implementation and operation (Exploitation Mode) is performed with internal resources, both in terms of technical personnel and systems that must support new applications as is described in the next figure:



Under this model, organizations tend to create a team, section or internal department specialized in the functions listed above, regarding the deployment of BPM Processes in the organization.
This team is usually named as CoE "Centre of Excellence" or "Process Team" and traditionally, in a first phase, devotes much effort (from one to three years, depending on the size of the organization) to discover, map and describe the business processes that the organizations are following, often using a BPA (Business Process Analysis) type tool.
This process team uses to depend functionally on the Organization, Quality or Organization and Process Departments, this latter one often is new created department. Rarely the dependency is under the Information Technology Department or equivalent.
This model is often applied to large organizations and corporations whose resources allow them to cope with and to amortize the large cost that represents maintaining said operating unit.
Once the organization has completed their business process mapping then decides the development and implementation of a first automated business process. The main external actor in this project uses to be the BPMS Vendor, and its vector is the BPMS Platform that the organization has chosen for the configuration, development, integration, operation and maintenance of their BPM Processes.
The choice of the BPMS Vendor and its technology is strategic to the customer as it will be captive of them for many years, even decades, and for being so huge the eventual migration costs and time required for a technology change.
That is why organizations that adopt this model tend to opt, among the two or three pure first class BPMS Vendors or, alternatively, generalist market leaders Software Vendors who incorporate BPMS Platforms (usually acquired from third parties) in their value proposition; always taking into account in making their decisions the analysis and recommendations that provide technology analyst like Gartner, Forrester, ...
Automation solutions are developed in a project under the direction of the customer itself, even entirely with internal personal or, most of times, with a mix of internal and external personnel; following in this way the traditional procurement model of IT professionals that is being known as "body shopping" provided by companies called "Consultancy Companies".
In this model, the secondary external actor is the external consultancy company providing the external consultants and technicians, adding value in terms of availability, opportunity and flexibility like, for instance, the easiness of hiring and firing technical staff outside the rigid internal people recruitment patterns that these big organizations and corporations have established.
Traditionally, organizations adopting this model, applications are exploited in Customer's servers, option called "in-house" or "on-premises", this creating an increasing need for investment in equipment and high internal workload, often not quantified or even hidden. From the basic software required side (operating systems, database, BPMS Platform and other complementary applications), it is customary to follow the license purchase and annual maintenance modality.
For all the above reasons, the “Process Team” model is characterized by a high CAPEX (CAPital EXpenses) and OPEX (OPerating EXpenses) and only applicable and sustainable by big organizations and corporations when we talk about massive BPM deployment projects.
 

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