Business Process Management Fundamentals

This assignment delves into the fundamentals of Business Process Management (BPM). It requires a comprehensive understanding of BPM's history, evolution, key principles, and various techniques used for process analysis, design, and optimization. Students need to demonstrate their knowledge by explaining core BPM concepts, discussing different methodologies like Six Sigma and Lean, and analyzing real-world examples of successful BPM implementations.

Running head: BUSINESS PROCESS MANAGEMENT
Business Process Management
(Jumbo Airlines Pty Ltd)
Name of the student:
Name of the university:
Author Note

1BUSINESS PROCESS MANAGEMENT
Executive summary
The following report deals with the case of Jumbo Airlines, Australia who present organizational
approach is investigated. The study has focused on Business Process Management using process to
automate, optimize and find various business processes. It has also demonstrated the current
business process and proposing redesign solution. Different necessities required to deliver a
suggested solution is even considered along with an appropriate recommendation.

2BUSINESS PROCESS MANAGEMENT
Table of Contents
1. Introduction:......................................................................................................................................3
2. BPM and strategy:.............................................................................................................................3
3. Problem Analysis:..............................................................................................................................4
3. Proposed solution:...........................................................................................................................10
4. Solution considerations:...................................................................................................................13
5. Recommendations:..........................................................................................................................14
6. Conclusion:......................................................................................................................................15
7. References:......................................................................................................................................16

3BUSINESS PROCESS MANAGEMENT
1. Introduction:
Jumbo Airlines is an Australian airline that supplies passenger and freight services to various
important towns. Their current organizational approach is needed to be understood.
It also includes some basic advice regarding present downloading trends such that
performance can be improved. For this, the discipline BPM or Business Process Management is
researched that uses a process to automate, optimize and discover business processes.
The report has explained present business process along with proposing redesign solution. It
also considered necessities taken to deliver suggested solution effectively along with a proper
recommendation.
2. BPM and strategy:
A business process is helpful for every aspect of a business. Using business process
management method, Jumbo Airlines develops scopes to succeed in a competitive advantage by
higher efficiencies, innovation, quality and customer roles.
It is the best business practice, structured method and encompassing technique. BPM can be
successfully employed in Jumbo Airline for various reasons. It is helpful to organize outcomes
assuring that proper focus is done. It helps in correcting and developing process before automating
them (Jeston and Nelis 2014). It establishes procedures and assigns ownership such the works and
developments never drift away. It standardizes process around enterprise such that they could be
more readily managed and understood. It enables consistent changes such that events could be
widened and spread in due time. Further, current process can also be improved instead of creating
new or perfect ones.

4BUSINESS PROCESS MANAGEMENT
However, it must be reminded that BPM must never be any one-time implementation.
Continuous evaluation is needed and includes undertaking actions for improving entire flow of a
process. It leads to consistent cycle to analyze and develop Jumbo Airlines.
Business process management is useful in both external and internal business processes. It
creates possibilities to develop an internal business process through developing knowledge exchange
and quickening decisions and so on. Furthermore, Jumbo Airlines integrate external business process
within their working environment and a couple of various external business processes. Here human
aspects of process relate to individuals creating a process model. This is to communicate with people
while the executing the process and to the social process of the collaborative modeling.
In positioning Business Process Management growth can be done by increased market share
via enhanced sales process and different delivery system. Structuring across work, the airlines can do
better and match activities to workflow directly (Rosemann and vom Brocke 2015). They hold
individuals accountable for various meaningful outcomes that ate work-based. Typical benefits are
mentioned for the value proposition of BPM. This has been revolving around value creation for
customers, enhanced efficiency and higher agility.
Jumbo Airlines must recognize every business process as defined through Porter’s value
chain was prior implementing BPM for gaining competitive advantage. This helps in developing a
more important scenario for every activity involved to create finished products and how the
processes have been interconnected.
3. Problem Analysis:
Senior sponsor for BPM or Business Process Management left the airlines partway via
implementation. Further, a team has been responsible for improvement or quality has been unclear

5BUSINESS PROCESS MANAGEMENT
that implementing BPM has been a way to gain the primary objective. Thus they require convincing
the leadership team.
The consequence is that in both these cases, it has been tempting for project group to
concentrate on BPM system. Further, an explanation is needed to be given regarding what strategic
aim has been helpful to achieve or solve (Fleischmann et al. 2014).
Regarding capability gap, business process and capabilities have never been agnostic to
various organization charts that are not retrieved from functions within the boundaries. Nothing has
been aligned instead a beneficial traceable business process infrastructure from where necessities to
capabilities are derived. This is because it accurately enables business process delivering value and
nothing more.
Performance gaps in current scenario are the viable set of a minimum quantity of real process
performance regarding stakeholder agreement. Measurement method must be there which must
gather objective and accurate data cost-effectively against any clear target.

6BUSINESS PROCESS MANAGEMENT
Figure 1: “Gap Model for BPM”
Source: (Bpmleader.com, 2018)
The “As Is” business process is determined by Bizagi Modeler software. It has comprised of
every section in common business process model. This includes a description, role lists, step lists
and exceptions. While putting “As Is” process the business stakeholders are accessed performing the

7BUSINESS PROCESS MANAGEMENT
Suggest change
Pack Goods Ship Goods
Check Stock Level
Sufficient Stock
Order
received
Order
Completed
No
Yes
business process. Next, it is helpful to obtain stakeholders who know that business process is useful
though people never daily complete business process.
Figure 2: “‘As Is’ process.”
Source: (Brandenburg, 2018)
In this study, one of the problems is workaround identified and diagnosed. This is the
“known error”. They are documented on KEDB or “known error database”. This is the same
physical database as problem database. KEDB is essential tool regarding incident management to
solve events resulted by various known errors. Different management stress is that employees forget
or ignore processes and lack of multiple assigned responsibilities. Input problems have delivered
information on priority, risk, effect and various users related to every service. External issues have
been originating from details of every aspect of services along with delivery, present and historical

8BUSINESS PROCESS MANAGEMENT
performance, weaknesses and breaches, predicted workloads and customer feedback (Hammer
2015).
Firstly, the controls and enablers include workflow design. These are a sequence of steps,
decisions and handoffs done by process actors between final and initial event. Then there is
information technology. It enables process through supporting or automating step, retrieving and
presenting data and managing workflow. Then there is measurement and motivation. It indicates
implicit and explicit reward systems concerned with how processes, organizations and people are
measured and analyzed. Then it includes rules and policies. These are established through enterprise
guiding or constraining business process with applicable regulations and laws. Then there are
facilities. It is helpful for physical infrastructure, workplace design and so on.

9BUSINESS PROCESS MANAGEMENT
Figure 3: “Project scoping diagram to illustrate the identified problems.”
Source: (Bptrends.com, 2018)
Proper strategic management must be involved that must help to improve or redesign
processes fitting strategic objectives. It also helps to find and easily define KPIs with attainable and
measurable objectives. Effective BPM systems monitored results effectively and quickly and
designed to easily depend on communication systems. This helps in accessing every people who
have been aware of that.

10BUSINESS PROCESS MANAGEMENT
3. Proposed solution:
Business Process Architecture is the basic artifact regarding process improvement and
management. Business processes that are cross-functional are the methods through which
organization delivers services or products to customers and stakeholders external to Jumbo Airlines.
It provides BPA with a primacy. BPA finds, defines and documenting various value pathways
(Chang 2016). More than a model or picture, BPL is the regular aid to operational and strategic
management in the airlines concentrating on consistent development and delivering of different
service excellence.
Creation of BPA has not been a trivial exercise. This is because it has been subjected to
exploration and change of higher detail. It has never been a never-ending task. In the meantime a
useful, BPA could be generated in few months, and immediate value to finding that could be
remarkable. Apart from developing a stable platform for efficient current process management,
applying BPA is helpful for Jumbo Airlines to focus on understanding how that performs their
strategic goals.
As “to be” process gets finished a part of the given project, leading the stakeholder team is
needed around complete business analyst process. This starts with getting oriented by analyzing or
reviewing “As Is” business process documentation (Rahimi, Møller and Hvam 2016). This continues
to define business aims and scope changes and developing business analysis plan. Thus “To Be”
process documentation is created.

11BUSINESS PROCESS MANAGEMENT
Working group
active Checking status of working group
Checking activity of groups Sending
current list
Issue List
Figure 4: “‘To Be’ process with a BPMN process.”
Source: (Visual-paradigm.com, 2018)
Various key aspects of the proposed solution are described hereafter.
Key aspects Discussion
SOA Business architecture establishes context across what Jumbo Airline has
been doing. The airline needs to be able to align business across business
services and comprise of a business model and strategy for aligning business.
Jumbo Airlines must think regarding services and capabilities. They should
adopt, apply and measure SOA and operate in a service-oriented way.
ERP This software comprises of various “enterprise software” modules. These
are purchased individually by what has been meeting particular necessities
and technical abilities of Jumbo Airlines. Every enterprise model has been

12BUSINESS PROCESS MANAGEMENT
concentrating on sectors of a business process like marketing and product
development. Some of them include material purchasing, product planning,
distribution, finance and HR (Harmon 2015). A business of Jumbo Airlines
typically uses assimilation of various modules for managing activities at
back-office and multiple tasks.
MDM The Master Data Management is the comprehensive process to enable
enterprise for linking every critical data in one file. This is master file
providing a general reference point. While done correctly, it streamlines data
sharing among various departments and personnel. Moreover, it can facilitate
computing across multiple system applications, platforms and architectures.
Core management
process
It is helpful for a market-sensing process. This indicates collecting
marketing intelligence and acting on that information (Schmiedel, vom
Brocke and Recker 2015). Further, it helps in offering various realization
processes. This includes covering every activity in launching, developing and
researching new quality offering faster and within budget.
Support and
Management
processes
This includes simulation of sputter deposition and value creation. Further,
there has been application support, co-developing of solutions related to
customized hardware and pre-project upgraded solutions.
Alignment issues Through using resource-based viewpoint, alignment issues have not been
much strategic (Vom Brocke et al. 2014). For being vital, it should be
unique, valuable and hard for various competitors to imitate. Different formal
strategies of business are ambiguous for business managers to understand.
An environment of the industry has been altering constantly. Hence, there
has been no such thing as a state of alignment. The strategic choices created

13BUSINESS PROCESS MANAGEMENT
by Jumbo airlines have frequently been resulting in imitation by various
other companies.
4. Solution considerations:
Solutions to be considered Discussion
Costs of bridging the gap Since workflows are common business operations and labor-
intensive, they have been consuming a measurable percentage of
the cost of businesses. Thus automating them delivers various
benefits. The first one is the reduction of operating costs. Here,
workflow automation has been reducing unit costs for executing
transactions (Dunie et al. 2015). Better control is established,
where automation on costs standardizes working principles.
They have been including audit trails improving managerial
control. It also increases customer services with enhanced
consistency and controlling result in better service for customers.
Lastly, modification if automation on costs leads to permanent
and immediate changes.
Opportunity costs These must be used to calculate analysis of cost-benefit of the
project. This must not be recorded in account books and
identified in decision making (Chong 2014).
Politics Changes in culture and work practices can lead to power
struggles between various functional units or people unwilling to
adopt ways of working. All these policies can eradicate initiative

14BUSINESS PROCESS MANAGEMENT
of BPM as they are not appropriately controlled.
Risks Regarding risks, people of the team are needed to be qualified to
some standard. As they are not enough experts, they are required
to be trained. They also require making an individual training
plan. The roles are needed to be even defined. Groups must put
together to change or create risk management plans. These are
necessary to map out and documented. All those tasks should be
recorded. They are to be versioned and controlled (Pádua and
Jabbour 2015). Planning of risk management requires
considering hazards and safety. Various safety processes should
be written and planned to deal with dangers. Risk management
report must incorporate estimations of risks and analysis of
residual risks.
5. Recommendations:
 Identification of necessity for change:
Audits must be done to recognize present problems or potential risks at Jumbo Airlines. It is
helpful to prioritize sectors of business development. Here reviewing of how every process effect
the airlines and its stakeholders and resources are reviewed.

15BUSINESS PROCESS MANAGEMENT
 Analyzing present processes:
This is meant to make sense of the complete process and then set realistic objectives for
development.
 Obtaining support and commitment:
Here the needs for change are to be to be presented. Here process improvement is a resource
and time intensive. Hence support of upper management is a must.
 Creating development strategies:
It is vital to recommend that in what steps the processes are broken. Apart from this, how and
why they must be improved is also considered. It is also recommended that measurable and
realistic objectives are set aligning to complete strategic goals.
6. Conclusion:
The above study has included Business Process Management regarding how it could be
adopted by Jumbo Airlines. The strategies pursued by the organization and then ho BPM connected
to this is evaluated. The report helps in understanding present “As Is” and means to establish
business process architectures. Then the haps ate identifies through “To Be” process. The various
primary aspects of the proposed solution are examined through alignment issues, support and
management process, core, master data, ERP and SOA. Then the report identifies and demonstrated
considerations affecting the airlines. It considers about cost of the bridging gap, risks, opportunity
costs, and politics and so on.

16BUSINESS PROCESS MANAGEMENT
7. References:
Bpmleader.com. (2018). Filling process gaps with BPM - BPM Leader. [online] Available at:
http://www.bpmleader.com/2015/05/26/filling-process-gaps-bpm/ [Accessed 8 Jan. 2018].
Bptrends.com. (2018). BPTrends | Scope Diagram (or Input-Guides-Outputs-Enablers – IGOE
Diagram). [online] Available at: https://www.bptrends.com/resources/glossary/scope-diagram-or-
input-guides-outputs-enablers-igoe-diagram/ [Accessed 8 Jan. 2018].
Brandenburg, L. (2018). How to Analyze an "As Is" Business Process. [online] Bridging-the-
gap.com. Available at: http://www.bridging-the-gap.com/as-is-business-process/ [Accessed 8 Jan.
2018].
Chang, J.F., 2016. Business process management systems: strategy and implementation. CRC Press.
Chong, S., 2014. Business process management for SMEs: an exploratory study of implementation
factors for the Australian wine industry. Journal of Information Systems and Small Business, 1(1-2),
pp.41-58.
Dunie, R., Schulte, W.R., Cantara, M. and Kerremans, M., 2015. Magic Quadrant for Intelligent
Business Process Management Suites. Gartner RAS Core Research Note G, 258612.
Fleischmann, A., Schmidt, W., Stary, C., Obermeier, S. and Brger, E., 2014. Subject-oriented
business process management. Springer Publishing Company, Incorporated.
Hammer, M., 2015. What is business process management?. In Handbook on Business Process
Management 1 (pp. 3-16). Springer, Berlin, Heidelberg.

17BUSINESS PROCESS MANAGEMENT
Harmon, P., 2015. The scope and evolution of business process management. In Handbook on
business process management 1 (pp. 37-80). Springer, Berlin, Heidelberg.
Jeston, J. and Nelis, J., 2014. Business process management. Routledge.
Pádua, S.I.D. and Jabbour, C.J.C., 2015. Promotion and evolution of sustainability performance
measurement systems from a perspective of business process management: From a literature review
to a pentagonal proposal. Business Process Management Journal, 21(2), pp.403-418.
Rahimi, F., Møller, C. and Hvam, L., 2016. Business process management and IT management: The
missing integration. International Journal of Information Management, 36(1), pp.142-154.
Rosemann, M. and vom Brocke, J., 2015. The six core elements of business process management.
In Handbook on business process management 1 (pp. 105-122). Springer Berlin Heidelberg.
Schmiedel, T., vom Brocke, J. and Recker, J., 2015. Culture in business process management: how
cultural values determine BPM success. In Handbook on Business Process Management 2 (pp. 649-
663). Springer Berlin Heidelberg.
Visual-paradigm.com. (2018). How to Develop As-Is and To-Be Business Process?. [online]
Available at: https://www.visual-paradigm.com/tutorials/as-is-to-be-business-process.jsp [Accessed
8 Jan. 2018].
Vom Brocke, J., Schmiedel, T., Recker, J., Trkman, P., Mertens, W. and Viaene, S., 2014. Ten
principles of good business process management. Business process management journal, 20(4),
pp.530-548.