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What is BPMS? Roles and core functions of Business Process Management Software

admin December 27, 2022

Business processes are like the backbone of an organization. Therefore, how to optimize processes and streamline the operating apparatus is always the top goal that businesses aim for. Currently, with the flourishing development of technology and the explosion of the 4.0 revolution, the term BPMS was born, completely redefining the way organizations manage their business processes. Great progress in business operations. So what is BPMS? What core functions does Business Process Management Software include.

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1. What is BPMS? Understanding BPMS terminology

Before learning what BPMS is, we first need to understand the definition of BPM - Business Process Management. BPM is the process of modeling, automating, executing, controlling, measuring, and optimizing business activity flows to support business goals and key outcomes.

BPMS stands for Business Process Management Software or Business Process Management System. Either way, in essence, BPMS is understood as a tool to implement a management approach to improve an organization's business processes through building, operating, then analyzing, and constantly. improvements to optimize those processes.

2. Why businesses need to invest in implementing BPMS

Business process is the backbone of an organization because it is the hub that connects all work flows towards a common goal and is the engine that transforms resources into meaningful outputs. meaning, bring economic value to the business.

The application of technology to business process management is a breakthrough in business operations, helping to optimize all operating processes and improve internal strength for the organization. Deploying BPMS can bring businesses the following significant benefits:

Performance improvement

One of the most important benefits of a BPMS is its ability to improve organizational performance by standardizing business processes, while reducing errors and waste during operations.

A business process management software can monitor multiple projects and processes running in parallel simultaneously, providing an opportunity to provide near-real-time management of the organization's resources. It also enables organizations to reduce redundancy in data collection and analysis, which wastes valuable time and resources.

Cut operating costs

One of the central goals of businesses in the context of the recent volatile economy is to save operating costs in order to increase the sustainability of the business model.

Therefore, Business Process Management Software plays an important role in optimizing operating costs for businesses. Example: By automating the onboarding process, organizations can reduce the amount of time and resources required to introduce and train a new employee due to legacy data in the process.

In addition, business process management systems can help organizations automate tasks such as invoicing and claims handling, which can help reduce the amount of time and resources required to complete tasks.

What is BPMS? Roles and core functions of Business Process Management Software

Minimize risks and errors in the process

This is one of the top benefits of BPMS for the top management of the organization as it allows them to spot break points in the process, find out why the process is stalled, delay so that there can be an improvement and optimization plan.

In addition, the business process management system also helps standardize all business processes in the enterprise, setting regulations and criteria in the operation stages. As a result, the human resources team always has a standard frame of reference to perform functional activities, minimizing errors in the working process.

Improve the quality of products and services

A business process management system (BPMS) can improve the quality of products and services by ensuring that processes are performed consistently and correctly, so that output quality is always controlled and minimize errors.

At the same time, BPM software also has the ability to track and monitor the performance of the entire process, making it easy to identify factors and stages that can be improved to improve the quality of products and services.

3. Functions and how BPMS works

Process definition and design

A process is a series of activities performed to achieve a particular result. Before automating a workflow, the operator must define the process. The BPMS will assist management in this stage by enabling the identification of the most appropriate and effective actions to accomplish the task.

Then, when the tasks and tasks to be performed are identified, the entire process will be modeled and digitized on the software in the form of a flowchart.

Process implementation

A process goes live when a job is created and assigned to that process. The job threads will run in the sequence of the pre-installed process. The participants in the implementation will be notified when their work step is coming. To each step the executor has the right to update the execution status. The system will base on the status that the employee updates to forward the job. Just like that, the process flow will be continuously forwarded and run smoothly on the system until the last step.

Process automation

The essence of process automation is to offload much of the repetitive work and manual tasks that are performed by human force by transferring them to a pre-programmed system with pre-set rules. available to automatically trigger the task and move on to other steps.

For example, when the director signs a contract document, that document will be automatically forwarded to the archives of the accounting department without the intervention of the staff in charge.

Process analysis and improvement

BPMS tools provide different levels of reporting or integrate with reporting tools to provide analytics on process performance. The reports are tied to KPIs (key performance indicators) and provide data on the performance of each action, process, and team member.

BPMS's analytical functionality can identify process bottlenecks and provide opportunities for continuous process improvement.

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