Handbook on Business Process Management 2: Strategic Alignment, Governance, People and Culture

636 Pages·2010·10.3 MB·English

by  Roger Burlton (auth.)

International Handbooks on Information Systems
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Jan vom Brocke Michael Rosemann
l
Editors
Handbook on
Business Process
Management 2
Strategic Alignment,
Governance, People and Culture
Editors
Prof.Dr.JanvomBrocke Prof.Dr.MichaelRosemann
UniversityofLiechtenstein QueenslandUniversityofTechnology
InstituteofInformationSystems FacultyofScienceandTechnology
Fu¨rst-Franz-Josef-Strasse21 126MargaretStreet
9420Vaduz BrisbaneQld4000
PrincipalityofLiechtenstein Australia
[email protected] [email protected]
ISBN:978-3-642-01981-4 e-ISBN:978-3-642-01982-1
DOI10.1007/978-3-642-01982-1
SpringerHeidelbergDordrechtLondonNewYork
LibraryofCongressControlNumber:2010923243
#Springer-VerlagBerlinHeidelberg2010
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to my wonderful wife Christina
from Jan
to Louise, Noah and Sophie – with love
from Michael
.
Foreword
BusinessProcessManagement(BPM)hasemergedasacomprehensiveconsolida-
tion of disciplines sharing the belief that a process-centered approach leads to
substantialimprovementsinbothperformanceandcomplianceofasystem.Apart
from productivity-gains, BPM has the power to innovate and continuously trans-
form businesses and entire cross-organizational value chains. The paradigm of
“process thinking” is by no means an invention of the last two decades but has
already been postulated by early economists like Adam Smith or engineers like
FrederickTaylor.
A wide uptake of the process paradigm began at an early stage in the
manufacturing sector, either as a central principle in planning approaches such as
MRP II or as a factory layout principle. Yet, it took an amazingly long period of
timebeforetheserviceindustriesactuallyrecognizedthesignificanceofprocesses
asanimportantorganizationalvariable.Theever-increasingpressureintheultimate
journey forcorporate excellenceand innovationwentalong with the conceptionof
a“process”asaunitofanalysisandincreasinglyappearedinvariousdisciplines.
As part of quality management, the critical role of process quality led to a
plethora of process analysis techniques that culminated in the rigorous set of Six
Sigma methods. In the information technology discipline, the process became an
integral part of Enterprise Architectures and conceptual modeling frameworks.
Processes became a “first class citizen” in process-aware software solutions, and
inparticular,indedicatedBPM-systemsformerlyknownasworkflowmanagement
systems. Reference models, such as ITIL or SCOR, postulated the idea of best
(process)practices,andtheaccountingdisciplinestartedtoconsiderprocessesasa
controllingobject(Activity-basedCosting).Universitiesarenowslowlystartingto
build Business Process Management courses into their curricula while positions
suchasbusinessprocessanalystsorchiefprocessofficersareincreasinglyappear-
inginorganizationalcharts.
However,whiletheroleofprocesseshasbeenwidelyrecognized,anallencom-
passing discipline promoting the importance of process and providing integrated
BPMmethodologieshasbeenlackingforalongtime.Thismaybeamajorreason
vii
viii Foreword
whyprocessthinkingisstillnotascommonascostawareness,employeefocus,or
ethicalconsiderations.
BPM is now proposed as the spanning discipline that largely integrates and
completeswhatpreviousdisciplineshaveachieved.Assuch,itconsolidateshowto
bestmanagethe(re-)designofindividualbusinessprocessesandhowtodevelopa
foundationalBusinessProcessManagementcapabilityinorganizationscateringfor
avarietyofpurposesandcontexts.
ThehighdemandforBPMhasencouragedanumberofauthorstocontributeand
capture different facets in the form of textbooks. Despite a substantial list of
references, the BPM community is still short of a publication that provides a
consolidated understanding of the true scope and contents of a comprehensively
definedBusinessProcessManagement.
Ithasbeenourmotivationtofillthegapforapointofreferencethatreflectsthe
holistic natureofBPM withoutcompromisingthe detail. Inordertostructure this
Handbook, we define BPM as consisting of six core factors, i.e., Strategic Align-
ment, Governance, Methods, Information System, People and Culture. These six
factors had been derived as part of a multi-year global research study on the
essentialfactorsofBPMmaturity.
We now present a Handbook that covers these six factors in two volumes
comprising more than 1,500 pages from over 100 authors, including the world-
leading experts ofthe field. DifferentapproachesofBPM are presentedreflecting
thediversityofthefield.Atthesametime,wetriedtoprovidesomeguidance,i.e.,
bymeansofthesixcoreelements,tomakeiteasytoopenupthevariousfacetsof
BPMaccordingtoindividualpreferences.Weprovidefurthercommentsdetailsin
the“howtoreadthisbook”section.
Both volumes together reflect the scope of BPM. Each volume has been
organized to have its own focus. The first volume includes the introduction to
BPMandconcentratesonitsMethodsandProcess-awareInformationSystems.The
second volume captures in three sections Strategic Alignment, Governance, and
People, and Culture. Both volumes include contributions, combine the latest out-
comes of high-standing BPM research with the practical experiences gained in
globalBPMprojects.
Thissecondvolumeisclusteredinthreesections.
1. The first section is dedicated to the important field of Strategic Alignment in
BPM.Inasetofninechapters,bothperspectivesof(a)linkingBPMinitiatives
to the organizational strategy and (b) utilizing BPM as an opportunity for
competitivedifferentiationarecovered.
2. ThesecondsectioncoversthevariousissuesofGovernancerelevanttosuccess-
fully implementing and executing BPM. In a total of nine chapters, guiding
principles that clearly define roles and responsibilities and decision-making
processes for BPM, are discussed on both a program and project management
level.Specificorganizationalconceptsarepresented,suchastheBPMCenterof
Excellence. Related practical cases are given, including Texas Instruments,
ProcterandGamble,andThyssenKruppPresta.
Foreword ix
3. Thethirdsectionisassignedtothestillwidelyunrecognizedbutyetvitalfieldof
PeopleandCulture.Ineightchapters,thefundamentalcontributionstotherole
of the human factor within BPM are considered. First, educational issues are
covered like expertise management and BPM training. Then, specific issues,
such as knowledge and creativity in BPM, are added to the agenda. Again,
practical cases round up this section, such as the Hilti case on the cultural
leverageinBPM.
Weareverygratefultotheoutstanding,carefullycraftedandresponsiblyrevised
contributionsoftheauthorsofthisHandbook.Allcontributionshaveundergonea
rigorous review process involvingtwoindependentexpertsintwotothreerounds
ofthereview.TheunconditionalcommitmenttoahighqualityHandbookrequired,
unfortunately, in some cases rejections or substantial revisions. In any case, all
authorshavebeenveryresponsiveinthewaytheyaddressedtherequestedchanges.
Weareverymuchawareofthesumoftheworkthatwentintothisbookandcannot
appropriatelyexpressourgratitudeinthebrevityofsuchaforeword.
While producing this Handbook, the authors’ enthusiasm was truly interrupted
as the BPM community was confronted with and saddened by the tragic loss of
two of the most inspirational BPM thought leaders the world has seen. Michael
Hammer,founderoftheBusinessProcessReengineeringdisciplineandmaybethe
mostsuccessfulpromoteroftheprocessparadigmpassedawayinSeptember2008.
Shortlyafter,GearyA.Rummler,apioneerintermsoftheroleofbusinessprocess
aspartofthecorporatesearchfororganizationalperformancediedinOctober2008.
We are honoredthat thisHandbookfeaturessome ofthe last inspirations ofthese
two admirable individuals; we also recognize that the BPM community will be a
poorerplacewithoutthem.
A special expression of our gratefulness goes to Karin-Theresia Federl and
Christian Sonnenberg, Institute of Information Systems, University Liechtenstein,
who brought order and discipline to the myriad of activities that were required as
partofthecompilationofthisHandbook.WehopethatthisHandbookonBusiness
ProcessManagementwillprovideamuchappreciated,sustainablesummaryofthe
state-of-the-artofthistrulyexcitingdisciplineandthatitwillhavethemuchdesired
positiveimpactforitsfuturedevelopmentanduptake.
JanvomBrocke&MichaelRosemann,June2010
Vaduz,Liechtenstein,andBrisbane,Australia