Business Process Management - the SAP Roadmap

... Foreword ... 15

... Preface ... 17

... Part I: Business Process Management: A New Strategic Context? ...

1 ... Introduction ... 21
... 1.1 ... What are the benefits of BPM? ... 22
... 1.2 What Is BPM? ... 25
... 1.3 Business and BPM ... 27
... 1.4 Technology and BPM ... 29
... 1.5 People and BPM ... 30
... 1.6 The BPM Journey and the Structure of this Book ... 31

2 ... The Evolution of Process Management ... 35
... 2.1 Scientific Management ... 35
... 2.2 The Toyota Production System ... 36
... 2.3 Total Quality Management ... 37
... 2.4 Business Process Reengineering ... 43
... 2.5 Business Process Management ... 44
... 2.6 The Future of Process Management ................................ 50

3 ... Enterprise Architecture and Business Strategy ... 53
... 3.1 What Is Enterprise Architecture? ... 54
... 3.2 Enterprise Architecture Maturity ... 56
... 3.3 Enterprise Architecture as a Strategy ... 59
... 3.4 BPM and Business Strategy ... 62

4 ... Enabling Technologies for BPM ... 65
... 4.1 What Is a Business Process Management System? ... 65
... 4.2 The Emergence of Enterprise Systems ... 67
... 4.3 Moving Towards the Second Generation of ERP ... 70
... 4.4 ERP/II Systems ... 73
... 4.5 Moving Towards a Business Process Platform ... 78

5 ... The BPM Transformation ... 83
... 5.1 Grundfos Case Study: BE - THINK - INNOVATE ... 84
... 5.2 A New Value Proposition ... 88
... 5.3 A Comprehensive Framework for BPM ... 91

... Part II: The BPM Roadmap ...

6 ... Introduction to the BPM Roadmap ... 95

7 ... The BPM Strategy ... 101
... 7.1 Link to Strategy ... 102
... 7.2 Define Building Blocks ... 105
... 7.3 Choose Path ... 108
... 7.4 Monitor Fit-Gap ... 110
... 7.5 Summary and Key Points ... 112

8 ... The BPM Set-up ... 113
... 8.1 Define Basics ... 114
... 8.2 Develop Analytics ... 124
... 8.3 Create Methods ... 134
... 8.4 Harmonize Terms: Process Terminology ... 154

9 ... The BPM Transition ... 157
... 9.1 Create Basis ... 158
... 9.2 Perform Analysis ... 181
... 9.3 The Portfolio ... 191
... 9.4 Optimize Processes ... 199

10 ... Continuous Improvement ... 219
... 10.1 Process-Based Rewards ... 220
... 10.2 Expand Corporate Business Reporting ... 221
... 10.3 Process-Based Budget and Cost Allocations ... 222
... 10.4 Process Audits ... 224
... 10.5 Summary and Key Points ... 225

11 ... Supporting Activities ... 227
... 11.1 Build a Process-Centric IT ... 228
... 11.2 Manage Change ... 232
... 11.3 Communicate and Train ... 236

12 ... Summary ... 247

... Part III: Business Process Platform - the Enabler for BPM ...

13 ... The Value of Bringing BPM and BPP Together ... 251
... 13.1 Business Needs to Understand How SOA Can Enable BPM ... 252
... 13.2 The Basic Step to Bring BPM and SOA Together ... 254
... 13.3 Establish the Correct Information Base in Terms of SOA-Relevant Processes ... 259
... 13.4 Specifying Business Service Contracts Including Required Quality Criteria ... 261
... 13.5 Ensuring an Integrated Business and IT View During Process Modeling ... 266
... 13.6 Ensuring the Link Between BPM and SOA Governance ... 268

14 ... Arla Case Study ... 269
... 14.1 The Three Generations ... 270
... 14.2 Summary ... 282

15 ... SAP´s View on Business Process Management ... 285
... 15.1 Innovation Without Disruption ... 285
... 15.2 Business Network Transformation ... 287
... 15.3 SAP´s New BPM Methodology ... 308

16 ... Summary ... 315

... Part IV: Experiences and Conclusion ...

17 ... Wyeth Pharmaceuticals: In Pursuit of Process Excellence ... 319
... 17.1 Company Profile ... 319
... 17.2 Organizational Background ... 320
... 17.3 BPM Philosophy ... 321
... 17.4 The History of BPM Within TO&PS ... 324
... 17.5 Approach to BPM: Setting the BPM Vision ... 327
... 17.6 Executing the BPM Vision ... 329
... 17.7 Summary ... 339

18 ... Conclusion ... 341
... 18.1 BPM - A New Strategic Context ... 341
... 18.2 The BPM Roadmap ... 342
... 18.3 BPP - the BPM Enabler ... 343

... Part V: Appendices ...
... A List of Abbreviations ... 347
... B Typical Questions ... 351
... C Summary of Experiences ... 365
... D Bibliography ... 381
... E Authors ... 389

... Index ... 407