Business Process Development Plan (Part A): Metro Cash & Carry Report

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This report provides a detailed analysis of Business Process Management (BPM) systems, focusing on their application and impact on organizational efficiency. The report begins by defining BPM and its role in automating business processes, integrating human and machine functions, and improving operational strategies. It then examines the application of BPM techniques, such as automation and performance measurement, to enhance customer experience and optimize time to market. A significant portion of the report is dedicated to a case study of Metro AG, a wholesale service provider, evaluating its current challenges, particularly the lack of an effective digital order management system. The report explores the role and approaches of BPM, including workflow-oriented and document-oriented approaches, and discusses the implementation of BPM systems, including the As-Is and To-Be mapping methodologies. It identifies associated risks, such as employee acceptance and system integration challenges. The analysis includes an evaluation of Metro AG's current state (As-Is) and proposes a To-Be state, emphasizing the need for an online booking and customer interaction tool. The report concludes by summarizing the benefits of BPM for Metro AG and emphasizing the importance of risk analysis during implementation to achieve long-term success and meet expansion goals.
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Business Process Development
Plan
(PART A)
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
PART A ..........................................................................................................................................1
Business process management system (BPM).............................................................................1
Company overview .....................................................................................................................2
Role and approaches of BPM .....................................................................................................2
Implementation and associated risks of BPM .............................................................................2
As-Is and To-be mapping for Metro cash & carry ......................................................................3
Mapping analysis ........................................................................................................................4
CONCLUSION ...............................................................................................................................4
REFERENCES ...............................................................................................................................5
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INTRODUCTION
Business process management systems (BPM) is defined as the operational management
technique which automate the business processes so that both human focused tasks and machine
operated functions can integrate and work flexibility can be managed (Hammer, 2015). This part
of the report will discuss the role of BPM methods and techniques in improving the
organisational efficiency. It will also evaluate the As-Is and To-be mapping for Metro cash &
carry (Metro AG) so that its performance can be evaluated and future success goals can be
achieved.
PART A
Business process management system (BPM)
BPM system helps managers and staff members to easily understand the response need of
business so that improved operational strategies can be implemented. These systems make it easy
to discover, measure and improve the business processes. Digital transformations has become
key to success for the success of business. Thus, every service provider must put emphasis on
optimising the customer experience so that companies can retain their position in the competitive
market (Conger, 2015). BPM helps to enhance the consumer experience by bringing operational
agility. It also enables organisation to identify the technical and operational advancements so that
time to market can be optimized. For the implementation of BPM system, it is vital for the
companies to have more scalability and integrability.
(Source: Business process management (bpm) systems, services & solutions. 2019)
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Illustration 1: Business process management system
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Some of the most commonly used BPM techniques are automation and performance
measurements. With the expansion of services across globe the automation process is helping
business to manage its functions effectively. Another method which can be used by companies to
employ BPM is to regularly analyse and implement improvement methods which can evaluate
the current strategies and can transform them as per the future needs of organisation.
Company overview
Metro AG is one of the leading wholesale service providers which operates in UK and in
some countries of Asia and Africa. Instead of providing services to end customers the
organisation targets professional customers who makes bulk purchases. The organisation deliver
its products to wide range of customers such as to independent retailers, institutions, catering and
hospitality firms. The key goal of the organisation is to become a leading global entrepreneur and
to achieve success through excellence in its customer services and technology (Gerasimov &
Gerasimov, 2015). The key issue faced by the company is the lack of proper use of digital
technology to effectively manage its order booking and management system. Despite having
global presence there is still lack of an advanced management system which can enhance its
operational efficiency.
Role and approaches of BPM
Ranging from order collection to the supply of products, Metro AG needs to manage each
of its functional activity. BPM system enhances the time to services and allows organisation to
increase its IT assets so that business processes can be monitored and controlled. It has been very
challenging for the Metro AG to retain its customers because organisation is facing competition
from both local and global companies. With the concept of online retailing many global
companies are providing their services internationally. Metro AG can conduct staff training so
that routine business functions and transactions can be automated. Monitoring has been one of
the critical approach of BPM (Chang, 2016). The use of IT for operational as well as market
evaluation can also prepare the organisation for dealing with the future challenges as well.
BPM plays an important role in functioning of Metro AG. This system helps to manage
and update business information as per the needs of business so that quality services can be
provided to customers. The lack of BPM system within Metro AG affect the integration between
human resources and information assets. This interaction improves the operational aspect of
company by minimising the error possibilities.
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Implementation and associated risks of BPM
In order to implement the BPM system organisation must first analyse its current position
by As-Is mapping so that drawbacks and existing culture, capabilities and operations can be
analysed. Along with this, Metro AG must also have To-be map so that it can compare and
evaluate that which areas needs improvements and which business variables can be changed.
Once the variables and processes are identified, organisation must monitor the process and
business outcomes so that necessary improvements can be made (Tregear, 2015). These stages
will help to implement BPM as per the needs and goals of organisation.
(Source: Process management, 2014 )
Metro AG can use various BPM approaches such as workflow oriented BPM or document
oriented approach. The workflow orient approach aims to improve the interaction between
individuals as well as with systems so that human oriented activities such as governance and
monitoring can be enhanced and documents can be processed on time. Contrary to this approach
document oriented BPM ensures that information asset of business is in complete alignment with
the workflow so that tracking and information management can be performed with excellence.
The key benefit of using this type of approach is that it improves the operational efficiency by
allowing multiple access to resources.
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Illustration 2: Implementation of BPM
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However, these approaches also includes specific risks. For instance with document
oriented BPM since documents can be modified and shared easily, a minor loophole in the
management system can put the overall security of the organisation at risk. The security threats
related to information are very obvious and harmful. Similarly, workflow orient approach can be
considered as effective in terms of time and operation management but it needs very complex
system to ensure that each and every aspect is monitored. The lack of effective monitoring can
cause the system failure.
Along with the above discussed risks it is also important for Metro AG to analyse the
common risks related to BPM. The foremost challenge and risk is the acceptance by employees.
The lack of trained employees may question the effectiveness of BPM (Implementing Business
Process Management Effectively, 2013). The business process management system must be
integrated with the ERP system and other sales management system so that data can be easily
exchanged and managed for achieving business goals. To minimise the failure risks it is also
recommended that implemented system must not be too rigid so that it can be modified as per the
changing future needs of business.
As-Is and To-be mapping for Metro cash & carry
Currently Metro AG is not having any effective online portal for managing and booking
its orders. This can be considered as the biggest drawback of the company because its
competitive companies are using online mobile applications for attracting more customers.
Instead of this Metro AG must have an online booking and customer interaction tool so that its
users can easily manage their orders. The lack of effective IT system and digital marketing is
limiting the scope of company (Nanda, 2016). This can be resolved by improving the digital
marketing and integration of supply chain management system with order booking system. The
new BPM system will help customers and company to track their operational progress and thus
quality of services will also be improved.
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(Source: How to Develop As-Is and To-Be Business Process?, 2016)
Mapping analysis
The As-Is and To-Be approach used by Metro AG can be considered as good approach as
it will help organisation to analyse its own performance and input. Though in terms of feasibility
it can be quite complex to review each and every operation. However, it will provide long term
benefits to company in terms of improved efficiency, regular monitoring and quality of services.
The use of As-Is and To-Be approach can be beneficial for enhancing the quality of services as it
analyses the areas which require improvement and more focus. However one of the disadvantage
associated with these management systems is that their improper implementation can make
operational processes error prone and operational cost can also increase. In terms of cost this
mapping approach is effective as the timely analysis of the business risks and operations helps to
minimise the failure risks.
CONCLUSION
From the above discussion, it can be concluded that for meeting the expansion and
profitability goals it is necessary for the organisation to improve its BPM system. It will help
organisation to address the current drawbacks in the operational activities of company. It has
been also analysed from the report that As-Is and To-be mapping technique can be an effective
way to evaluate the existing performance of an organisation and to develop strategies which can
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Illustration 3: As-In and To-be approach
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meet the long term success goals of the organisation. It can also be concluded that along with the
implementation companies must also analyse the risks of BPM systems so that effectiveness of
these operational improvement solutions can be improved.
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REFERENCES
Books and Journals
Chang, J.F., (2016). Business process management systems: strategy and implementation.
Auerbach Publications.
Conger, S., (2015). Six sigma and business process management. In Handbook on Business
Process Management 1 (pp. 127-146). Springer, Berlin, Heidelberg.
Gerasimov, B.N. & Gerasimov, K.B., (2015). Modeling the development of organization
management system. Asian Social Science. 11(20). p.82.
Hammer, M., (2015). What is business process management?. In Handbook on business process
management 1 (pp. 3-16). Springer, Berlin, Heidelberg.
Nanda, V., (2016). Quality management system handbook for product development companies.
CRC press.
Tregear, R. (2015). Business process standardization. In Handbook on Business Process
Management 2 (pp. 421-441). Springer, Berlin, Heidelberg.
Online
Business process management (bpm) systems, services & solutions. 2019. [Online]. Accessed
through <https://www.casnet.com/services/process-reengineering>
How to Develop As-Is and To-Be Business Process?. 2016. [Online]. Accessed through
<https://www.visual-paradigm.com/tutorials/as-is-to-be-business-process.jsp>
Implementing Business Process Management Effectively. 2013. [Online]. Accessed through
<https://www.villanovau.com/resources/bpm/implement-bpm-across-organization/>
Process management. 2014. [Online]. Accessed through
<https://www.berkeleyquandt.com/bpm.php>
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