Software Group
BPM 11 Habits, IBM BPM Overview and Demonstration
Bill.Hahn@us.ibm.com
Sr. Consulting BPM Solution Architect
Open Group Master Certified SW IT Specialist
http://IBMBPMDemos.com for more information and resources
11 Habits for Highly Successful BPM Programs
© 2010 IBM Corporation
BPM allows us to
focus on our most critical
business priorities first.
— Eric Keller, CIO, Sirva
Keynote Presentation, Driven Online 2009.
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© 2010 IBM Corporation
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© 2010 IBM Corporation
Levels of BPM Success
What Habits will help an organization move up these levels?
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© 2010 IBM Corporation
Successful Projects/
Delivery
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© 2010 IBM Corporation
Habit #1
Prove business value first
• Don’t forget the focus should be on business value
• Be willing to make trade-offs for the first release
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© 2010 IBM Corporation
Iterative Implementation Methodology
Week 1
Definition
Infrastructure
Configuration
Weeks 2-3
Mapping
Weeks 4 to 10
Development
Training/ Mentoring
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Weeks
11 to 12
Week
13
Test
Go
Live
Infrastructure
Deployment
© 2010 IBM Corporation
Habit #2
Make BPM about Productivity AND Visibility
• Metrics, KPI’s and SLA’s should be part of the DEFINE Phase
• Don’t scope OUT metrics
• Remember visibility is critical to IMPROVEMENT
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© 2010 IBM Corporation
How are our customers using BPM?
Tracking
Metrics
Alerts
VISIBILITY
Cross-functional
Event-based
Intra-organization
Referred to as BAM
AUTOMATION/ORCHESTRATION
Functionally-centric
Workflow/People-intensive
Inter-organization
Workflow/Routing
Coaches/UI
Escalations/Notifications
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© 2010 IBM Corporation
Habit #3
Never “One and Done”
• Iterative Approach….. Continuous Process Improvement
• Phases 2,3 or Versions 2,3 will always happen
• Trade-offs (but don’t trade-off the metrics!)
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© 2010 IBM Corporation
BPM Accelerates Better Business Outcomes
Traditional build programs
Complex tooling
IT-centric development
Big-bang deployment
Range of
traditional
outcomes
Program
initiation
Month 0
6
12
24
36
48
Month 60
BPM Accelerates Better Business Outcomes
BPM build programs
Model-driven tooling
Integrated development
Iterative deployment
Targeted
outcome
$
$
$
$
Program
initiation
Month 0
$
6
Plus: Faster cash returns
12
24
36
48
Month 60
Habit #4
Don’t Skip Process Analysis
• Requirements documents are not process analysis
• Don’t over-do the initial requirements (Define) phase
• Include Process Analysis skills on your team early
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© 2010 IBM Corporation
Habit #5
Take the Time to Deliver Value
• A project longer than 90 days is not a failure
• Self-sufficiency can extend project time-lines
• Timelines can be dependent upon the sophistication of the process
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© 2010 IBM Corporation
Growing BPM Team
Competency
Successful Projects/
Delivery
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© 2010 IBM Corporation
Habit #6
Build a complete team
• Java (.NET) developers aren’t all you need
• Have the right mix of resources on the team
• Identify good pools of talent for developers (BPMC’s)
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© 2010 IBM Corporation
IBM BPM Roles – Project Scale
Process Improvement Expert
BPM Expert
IT/Technical Expert
Supporting Roles:
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© 2010 IBM Corporation
Habit #7
Make self-sufficiency a priority
• Don’t allocate partial human beings
• Make sure all of the right skills are represented
• Don’t mix self-sufficiency with tight deadlines
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© 2010 IBM Corporation
Education is a Key to Self Sufficiency
Missing or insufficient skills can lead to slow adoption,
lost value … or complete failure
Technical
Architects
BPM Program
Manager(s)
Level 3
BPM Analysts
Recommendations:
‣ Role-oriented training
vs. “one size fits all”
Level 2
‣ Ongoing training &
testing at multiple
maturity levels
Level 1
‣ Mentoring to learn
application of skills
BPM Developers
BPM
Administrator(s)
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© 2010 IBM Corporation
Leveraging BPM
Across the
Enterprise
Growing BPM Team
Competency
Successful Projects/
Delivery
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© 2010 IBM Corporation
Habit #8
Fund to value … not first release
• BPM is about Continuous Process Improvement
• BPM should be programmatic (programs spanning projects/LOBs)
• Funding model should contemplate Projects and the Program
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© 2010 IBM Corporation
Tying BPM to Corporate Strategy
BPM Pipeline (Executive Review)
• Increasing level of process definition at each stage
• Steering Committee approval promotes projects from stage to stage
ABC
Master
Sched.
Merger
with X
Global
Initiative
Greenlight one:
Financing
Distressed
Shipments
The 1
Year
Movie
Commonality Hub
Strategy
“xx% Throughput
Improvement by
20YY”
“Decrease Cycle
Time to xx months
by 20YY”
Initiatives
“Optimized
Global Cycle
Plan “
Business Planning
Receivables
Global X – Order
to Delivery
Process
Decomposition
(IBM Blueprint)
•
• Value
Proposition
• Organizational
Stakeholders
• Systems
• KPI’s
• Key Error States
• Process Priority
•
•
•
•
•
•
Demonstratable
BPM Process
(WebSphere
Lombardi)
Hi Level Business
Case
Operations Buy-in
SLA’s
Process Roles
Team Members
Integration Points
Identified
Development
Cost Estimates
Executable BPM
Process
Application
(WebSphere
Lombardi)
•
•
•
•
Deployed and
Measured BPM
Process
(WebSphere
Lombardi)
• Tracked Business
Performance
Detailed Costs
•
In-Process
and Benefits
Application
Process Metrics
•
and Scoreboards Real Time Process
Measurement
Legacy
• Process Simulation
Integration
and Optimization
Fully Costed
Deployment Plan • Ongoing Process
Improvement
BPM Planning & Execution
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© 2010 IBM Corporation
BPM Opportunity Landscape
Operational Processes
External
Customer Facing Processes
• Loan Due Diligence
• Product Sales
• Compliance
• Dispute Resolution
• New Hire On-Boarding
• Under-Writing
• IT Services Catalog
• Product Setup
Processes
Participants
Internal
Back Office
Front Office
Productivity Target
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© 2010 IBM Corporation
Prioritization Matrix
Business Process Management
Project Name
Project 1
Project 2
Project 3
Project Qualification
Project Benefits
30%
3.85
0.00
0.00
Compliance Requirements
35%
2.50
0.00
0.00
Process Management Maturity
20%
4.75
2.75
0.00
Project Size & Complexity
10%
3.00
0.40
0.00
Project Implementation Readiness
5%
4.00
4.05
0.00
Overall Project Score (weighted) 100%
0.00
0.79
0.00
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© 2010 IBM Corporation
Habit #9
Force collaboration
• Consider carefully for the first project
• Co-locate team members from business and IT
• Leverage the Playbacks
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© 2010 IBM Corporation
Playbacks Drive Engagement
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© 2010 IBM Corporation
VP, Pharmacy
Operations
Process Developers
Call Center Managers
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“The Picture Is The Process”
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Habit #10
Establish the owners
• Processes are business-owned
• BPM is the discipline/program
• BPMS is the enabling technology
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© 2010 IBM Corporation
Habit #11
Market your work
• Create regular internal communication about progress
• Use videos, wikis, portals to “show off” new processes
• BPMS is the enabling technology
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© 2010 IBM Corporation
11 Habits That Drive BPM Success
‣ Make Projects/Delivery Successful
•
•
•
•
•
Prove business value first
Make BPM about Productivity AND Visibility
Never “One and Done”
Don’t Skip Process Analysis
Take the Time to Deliver Value
‣ Grow the BPM Team Competency
• Build a complete team
• Make self-sufficiency a priority
‣ Leveraging BPM Across the Enterprise
•
•
•
•
Fund to Value…. not first release
Force collaboration
Establish the owners
Market your work
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© 2010 IBM Corporation
So what’s next?
BPM Roles-based Development – Rapid, Agile and Iterative
Process Portal
Process Portal
Admin Console
UI Screen
Flow Coaches
Manager
Worker
Scoreboards
Process Designer
Administrator
Execute
• Collaborative platform
• Iterative, shortened development cycle
• What you model IS what is executed!
BlueworksLive.com
Process Modeler
Design
Process Designer
BPM
Shared Model
Process
Center
• Lower technical effort (less time, cost, risk)
Optimize
• Simplicity with Sophistication
(Attractive to BOTH Business and IT)
BPM Developer
Process Inspector
Process Optimizer
Integration
Designer
Integration
Developer
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• Single, Shared process model
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Business
Analyst
IBM BPM In Action
Simplicity with Sophistication: “Business friendly while IT Savvy”
Power with Integration Middleware
Visibility for Business Stakeholders: Dashboards, reports and more
Governance throughout Design-time and Runtime
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IBM Business Process Mgr v7.5
http://BlueworksLive.com
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The simplest way to get started
with BPM
The quickest way to deliver
robust process applications
Process Discovery
“Modeling for Documentation”
Process Implementation
“Modeling for Execution”
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Links to Your Next Steps…
IBM BPM Delivery Capabilities
Including Education and Enablement Services
http://BlueworksLive.com
http://IBMBPMDemos.com
BPM Process Discovery & Modeling in the Cloud
• Blueprint Process Modeling for inventory & mapping
• Knowledge sharing & collaboration
• Process analysis & prioritization
BPM Process Modeling & Implementation
• Rapid process application development
• Continuous process improvement
• BPM program management
Education, Enablement and on-demand Services
• Quick Win Pilots
• Role-based education & mentoring
• Expert Services when and where they’re needed
http://www.ibm.com/developerworks/
websphere/services/
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