What Every Enterprise Architect Needs to
Know about Workflow and BPM
Michael zur Muehlen, Ph.D.
Center of Excellence in Business Process Innovation
Howe School of Technology Management
Stevens Institute of Technology
Hoboken NJ
BPM is NOT about
Technology
BPM is NOT about
Creating Diagrams
BPM is NOT about
Architecture
BPM is about
BPM: The Business Value Question
BPM,
BAM, BI, ESB, SOA, BLI, BLA,
All IT is Initially an Expense
Information
creates enables
Process
Change
All IT is Initially an Expense
Information
What is BPM?
Let’s start with the process definition:
A Business Process is the temporal and logical sequence
of those activities that are necessary to manipulate an
economically relevant object toward an overarching goal,
creating value for a customer
What is BPM?
Business Process Management is the collection of
methods and tools that allow us to answer questions
such as:
What are our processes?
How do we ensure their
performance
?
How do we maintain their
compliance
?
Boil Water Thirsty
Put Coffee in Cup Put Boiling Water in Cup
Coffee is Ready
Cof
fee Lover
Boil Water
Thirsty
Put Coffee in Cup
Put Boiling Water in Cup
Coffee is Ready Fill Kettle yes no Clean Cup Yes No Kettle empty? Cup dirty?
Water is cold
Cof
fee Lover
Dishwasher
The Starbucks Process
Order cancelled
> 5 min wait
Barrista Cof fee Shop Cashier Household Thirsty Collect Payment
Go To Coffee
Shop Order Coffee Pay for Coffee Take Coffee Make Coffee Hand Coffee
To Customer Payment Order cancelled Insufficient Payment Coffee Order
> 5 min wait
+
Done Done Leave Discard Coffee Done Store Open Take OrderBPM Questions
BPM Questions
How do we
design
and
communicate
this process?
BPM Questions
How do we
design
and
communicate
this process?
How do we
perform
this process
well
?
How do we
manage
this process
well
?
BPM Questions
How do we
design
and
communicate
this process?
How do we
perform
this process
well
?
How do we
manage
this process
well
?
BPM Questions
How do we
design
and
communicate
this process?
How do we
perform
this process
well
?
How do we
manage
this process
well
?
How do we maintain
compliance
to rules and regulations?
How should
technology
support this process?
Scheduled Project Time during
First BPM Project
Business Case
Project Team Selection Process Discovery
Documentation
Functional and Technical Specification Tools Evaluation and Selection
Implementation
Testing and Debugging Deployment and Training
Business Process Management
Business Process Automation
Business Process Innovation
Business Process Management
Business Process Innovation
Manage Change
Business Process Management
Business Process Automation
Business Process Innovation
Business Process Management
Business Process Innovation
Notation
Standard
Business Process Management
Business Process Automation
Business Process Innovation
Business Process Monitoring
Notation
Standard
Integration
Standards
Business Process Management
Business Process Innovation
Notation
Standard
Integration
Standards
Business Process Management
Business Process Automation
Business Process Innovation
Business Process Monitoring
Notation
Standard
Integration
Standards
Interaction
Standards
Standard
Business Process Management
Business Process Innovation
Notation
Standard
Integration
Standards
Interaction
Standard
Audit
Standards
BT Process Hierarchy
Process Groupings Business Activities
Core Processes
Business Process Flows
Level A
Level B
Level C
Level D
Level E
Objectives Business ActivitiesDelivery Units Products
Processes Systems Scorecard
Operational Process Flows
Delivery Teams Ownership Services Process Groupings Core processes
Strategic
Process
Description
Tactical
Process
Description
Operational
BT Process Hierarchy
Process Groupings Business Activities
Core Processes
Business Process Flows
Detailed Process Flows
Level A
Level B
Level C
Level D
Level E
Level F
Objectives Business ActivitiesDelivery Units Products
Processes Systems Scorecard
Sub Processes Roles System Functions Operational Process Flows
Delivery Teams Ownership Services Process Groupings Core processes
Strategic
Process
Description
Tactical
Process
Description
Operational
Process
Description
WHAT
WHAT
BT Process Hierarchy
Process Groupings Business Activities
Core Processes
Business Process Flows
Level A
Level B
Level C
Level D
Level E
Objectives Business ActivitiesDelivery Units Products
Processes Systems Scorecard
Operational Process Flows
Delivery Teams Ownership Services Process Groupings Core processes
Strategic
Process
Description
Tactical
Process
Description
Operational
WHAT
WHAT
HOW
HOW
Objectives Business Activities
Delivery Units Products
Processes Systems Scorecard
Sub Processes Roles System Functions Delivery Teams Ownership Services Process Groupings Core processes
Top-Down Strategy
Process Groupings Business Activities Core Processes Business Process Flows Detailed ProcessLevel A
Level B
Level C
Level D
Level E
Level F
Operational Process FlowsStrategic
Processes/
Rule
Description
Tactical
Processes/
Rule
Description
Operational
Processes/
Rule
Description
Strategy
BPM Application
Top-Do
wn Pr
oject
Process Architecture: Benefits
Allow to short-circuit
process identification
phase
Provide neutral map for
navigation
along processes
Standardize
terminology
across the enterprise
Enable
benchmarking
across organizations
Designed based on industry
best practices
Roles & Responsi-bilities Process Owners Process Managers
Process Architecture: Fortune 100
Enterprise Process Architecture
Methods
Organization
Level concept Convention handbook Modeling handbook Corporate Modeling ServiceArchitecture Contents
Glossary and Data Structures
Common terminology that Business & Systems Analysts can refer to
Business Capabilities and Process Definitions
What capabilities do you have, and what processes do you support
Senior managers and business users have a common vocabulary of
processes
Software purchases or outsourcing agreements are simplified
Consistency across business partners
Example: ACORD
Insurance Business is assemblage of standard process building
blocks
Use for
Internal integration
Integration across distribution channels
Integration with third-party providers
Process Framework Benefits
Frameworks
save time
Coloring a picture vs. drawing a picture
Frameworks
reduce risk
Incorporate best practices
Frameworks
enable business agility
Provide business context
Frameworks
reduce costs
Enterprise overview helps identify areas in need of improvement
The Role of BPM Technology
“The first rule of any technology used in a business is
that
automation applied to an efficient operation
will magnify the efficiency.
The second is that
automation applied to an
No BPM =
Monolithic Enterprise Application
Enterprise Application
“Account Management”
list Accts new Acct update Acct delete AcctUser Interface
Program and Logic
Internal Protocols
are Proprietary
C, C++, Visual Basic, Etc.Built as a unit, Internals not visible
User Interface built in for all functions
In order to “extend” to a new function, need to call in a
programmer...
BPM 1990: Workflow in the Brain
Bac
kgr
ound Chec
Conf
or
mance Guidelines
Application
Logic in
Monolithic
UI
“Screens”
Enterprise Application
“Account Management”
list Accts new Acct update Acct delete AcctBPM 1993: Task Management
background
check accountcreate check
guidelines
Launches UI
User accesses original UI directly Human BPM/Workflow:
Bac
kgr
ound Chec
k
Conf
or
mance Guidelines
Application
Logic in
Monolithic
Program
UI
“Screens”
Enterprise Application
“Account Management”
list Accts new Acct update Acct delete AcctBPM 1996: Workflow Routing
background check
Launches
UI original UI directlyUser accesses
Human BPM/Workflow:
Bac
kgr
ound Chec
Conf
or
mance Guidelines
Application
Logic in
Monolithic
UI
“Screens”
Enterprise Application
“Account Management”
list Accts new Acct update Acct delete Acct create account check guidelinesBPM 2002: Services Integration
Enter InformationBac
kgr
ound Chec
k
Conf
or
mance R
ules
Application
Logic and
SOA
Services
Interfaces
Enterprise Application
“Account Management”
list Accts new Acct update Acct delete Acct Review rules check backgr.check accountcreate
UI connects user
to BPMS, not the back-end applications
BPM 2007: Composite Services
Enter InformationBac
kgr
Chec
Rules
Application
“Account Management”
Enterprise Application
list Accts new Acct update Acct delete Acct Review Check Create account
ESB/BPEL
Composite
Service
BPM 2007: Composite Services
Enter InformationBac
kgr
ound
Chec
k
Rules
Application
Logic and
SOA
Enterprise Application
list Accts new Acct update Acct delete Acct Review Check Create account
ESB/BPEL
Composite
Services
BPM 2007: Composite Services
Enter Information
Bac
kgr
Chec
N
ew R
Application
list Accts new Acct update Acct delete Acct Review Check Create accountESB/BPEL
Composite
Services
BPM 2007: Composite Services
Enter InformationBac
kgr
ound
Chec
k
N
ew R
ules
Application
Logic and
SOA
Enterprise Application
list Accts new Acct update Acct delete Acct Review Check Create account
ESB/BPEL
Composite
Services
BPM 2007: Composite Services
Enter Information
Bac
kgr
Chec
N
ew R
Application
list Accts new Acct update Acct delete Acct Review Check Create accountESB/BPEL
Composite
Services
Extra AuditSeparation of Responsibility
Business Retains Control of
Assignment of Responsibility
Groups, Roles, Skills
Deadlines
Alerts, Reminders, Escalations
Order of Tasks
Addition of Manual Tasks
User Interface
IT Retains Control of
Computational Logic
Data Representations
Scalability / Performance
Interoperability
Master Data Management
Enter Information Bac kgr ound Chec k N ew R ules Enterprise Application “Account Management” list Accts new Acct update Acct delete Acct Review Check Create account ESB/BPEL
Leveraging Vertical and
Horizontal Expertise
Process
Group 2
Process
Group 4
Process
Group 3
Process
Group 1
Process
Group 5
Product
Line 1
Product
Line 2
Product
Line 3
Product
Line 4
Product
Line 5
Process Manager Process Manager Process Manager Process Manager Process ManagerProcess Ownership
Focus Role Objective
BPM Roles - Example
Process Sponsor Process Framework Executive Process Executive Process Owner Process Manager (recommended)Process DB Manager Process Modeler Strategic
Operational
Shared Service
Responsible for ARIS Modeling Processes
Implement & Optimize Process Performance
Management
Standardize & Optimize Facilitate & Drive Method & Compatibility
Level
The BPM Maturity Model
Governance Method IT People Culture Strategic
Alignment
Process Roles and Responsibilities
Process Design & Modeling
Process Skills & Expertise
Process Values & Beliefs Process Improvement Plan Decision Making Processes Process Implementation & Executions Process Education & Learning
Process Attitudes & Behaviors Strategy & Process
Capability Linkage
Process Process Process Leadership Process Output
Process Metrics & Performance
Linkage
Process Control & Measurement Process Collaboration & Communication Responsiveness to Process Change Process Architecture
Business Process Management Maturity
Process Design & Modeling
Process Implementation &
Executions Process Process Control &
Agile BPM Maturity
Satisfying all 30 facets of the BPM Maturity Model takes a long time
A subset of the BPM Maturity model is needed to guide an
organization toward a rapid deployment of BPM technology
Example: Staged Deployment of Maturity Initiatives
Choosing the Right Strategy
There is no single right pathway for all organizations
If
command-and-control
infrastructure: Methods come first,
culture comes later
If
participatory
organization: Culture and people need to be
nurtured earlier in the process
If
centralized
organization: Building a central repository can
be undertaken early in the process
Business People Acquiring
IT Skills
Thank You – Questions?
Michael zur Muehlen, Ph.D.
Howe School of Technology Management Stevens Institute of Technology
Castle Point on the Hudson Hoboken, NJ 07030
