Business Process Management for Tulloch Air

MPM701 – Business Process Management
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Executive summary
Tulloch Air is one of the leading Victorian regional airlines which provides freight and
passenger services to citizens in various regional areas such as Bendigo, Portland, Mildura,
Echuca, Albury, Sale and Lakes Entrance. Presently, the airline has planned to grow its
business operations in other regions of Australia such as Mount Gambier, Orange and
Toowoomba in order to attain competitive advantages and to increase its brand value. The
main purpose of this report is to review the existing business operations of the airline and to
propose a solution to the most urgent problem confronting the firm. This report covers how
Business Process Management can assist ‘Tulloch Air' organization to improve its financial
position. In this report, As-Is and To-Be processes have been discussed in detail with the help
of suitable diagrams. Along with this, this report outlines significant considerations which
could affect airline organization during the development and implementation of the proposed
solution.
BPM and Strategy
Business Process Management and how it can help ‘Tulloch Air’
Business Process Management can be defined as a discipline in operations management in
which professionals use new and innovative methods to identify, discover, measure, analyze,
automate, optimize and improve business processes (Brocke and Rosemann, 2015). BPM
provides an effective way to perform business operations, which will help ‘Tulloch Air’
organization to continuously drive performance improvements. It will enable Airline
organization to effectively align its business processes with its business strategy. Design,
modelling, monitoring, execution and optimization are the main stages of Business Process
Management Life Cycle which should be followed by the airline organization to overcome
existing business problems, increase customer satisfaction and stay competitive in the market.
However, ‘Tulloch Airline’ organization should adopt BPM to eradicate problems associated
with different airline departments like reservation, freight forwarding, catering, accounting,
scheduling, training, maintenance and finance and return the airline to profitability within 12
months.

Benefits of BPM
• Improved business agility – Tulloch Air organization can meet the demands of their
consumers by adopting BPM as its flexible design enables end users to bring desirable
organizational changes (BĂLĂNESCU, 2013).
• Increased efficiency – Currently, valuable time and money of the airline organization
has been wasted due to ineffective business operations. With the adoption of BPM,
the organization can perform its business operations like freight forwarding,
reservation, catering, scheduling, accounting etc. efficiently and smoothly.
• Increased visibility – Refined software programs have been used in BPM to
automate business processes. Tulloch Air organization can track and manage the
performance of each business process successfully by using these programs.
BPM and Business strategy
BPM should be properly linked with business strategy from internal and external perspectives
otherwise; it might be difficult for an airline organization to achieve organizational missions.
It focuses on organizational objectives and strategy, so it must be integrated with business
strategy. By implementing BPM, it would be easy for an organization to influence most of
the components of business strategy (BĂLĂNESCU, 2013).
Figure-1 Components of business strategy

BPM and Positioning
Through BPM, airline organization can achieve a reputable position in the business market by
providing better airline and freight services to their consumers.
BPM and structure
As per the given case study details, the organizational structure of ‘Tulloch Air’ is
inappropriate that might restrict it to achieve business goals. BPM will help the airline
organization to properly structure and organize its business tasks and human resources.
Hence, BPM and organizational structure are strongly linked with each other.
BPM and value propositions
BPM value proposition facilitates continuous improvements in business operations. By
following the value proposition of BPM, airline organization can process a number of
business operations with less effort and higher quality. To increase efficiency, effectiveness
and agility of business operations, business organizations should follow the value proposition
of business process management (Alzoubi, 2015).
How ‘Tulloch Air’ can improve its financial position by using BPM in
conjunction with value chains
‘Tulloch Air' organization has been performed various activities to design, market and deliver
its services to its valuable customers. The airline organization can improve its financial
position by performing its business operations efficiently and cheaply than its competitors.
The conjunction of the value chain and business process management could facilitate the
creation of an environment that will help the organization to attain competitive advantages
(Lincoln IV, 2018). In the following section, Porter's value chain analysis has been performed
to assess where improvements need to be made in the business operations of the airline
organization.