Last week I was being interviewed by a research company. They asked me why companies haven’t taken on BPM. The question lead to an interesting conversation. Here is an overview…
I have been talking BPM with a financial services company over the last few years. The CIO would like to implement BPM software. He is looking for more control and visibility into their processes. In their case, the process that he wants to manage is their main business process. He says that the CEO believes the cost to be high and that the return on investment will be low. During the current economic climate, the CEO is unwilling to take that risk. This story may ring true to many of you.
The key business process for all companies is their ‘quote to cash’ process. Over-simplified, a company quotes a price for a product or service; a product is manufactured or a service is rendered; and, the company collects the cash for the goods or services. All other processes exist to make sure the ‘quote to cash’ process functions properly.
Still using the financial services company as an example, the process they want to manage is their ‘quote to cash’ process – their key business process. Instead, they should begin by managing one of the supporting processes. If they create a visible success there, management will be happy to have them tackle another. Over time, you will be managing more and more processes until you finally encompass your ‘quote to cash’ process. The return on investment is real and there for the taking.
What’s in it for you?
More efficient business processes lead to increased revenues, lower costs and improved customer relationships. It can differentiate you from your competitors. It can be the key that allows your company to break out as the market leader.
What steps has your company taken to be a market leader?
Keeping it Real!