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Making Leaders Successul Every Day

Octobe 6, 2008

Dive BPM Iititives To HigheBsiess Veb Coie Mooe

o Iomtio & Koedge Mgemet Poessios
http://www.forrester.com/

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2008, Forrester Research, Inc. All rights reserved. Forrester, Forrester Wave, RoleView, Technographics, TechRadar, and Total Economic Impactare trademarks o Forrester Research, Inc. All other trademarks are the property o their respective companies. Forrester clients may make oneattributed copy or slide o each gure contained herein. Additional reproduction is strictly prohibited. For additional reproduction rights andusage inormation, go to www.orrester.com. Inormation is based on best available resources. Opinions refect judgment at the time and aresubject to change. To purchase reprints o this document, please email [email protected].

Fo Iomtio & Koedge Mgemet Poessios

Includes Forrester research panel data

ExECuTIVE SuMMary

Te business process management (BPM) value proposition goes ar beyond simple process automation,

but unortunately, that is where many organizations end their eorts. And while automation certainly

provides tremendous eciency, productivity, and reduced cycle time benets, automation alone

cannot unlock the more signicant benets that advanced BPM deployments oer. Enterprises with

greater BPM maturity (oen derived rom establishing centers o excellence) can take advantage o

many more eatures including integrated process modeling, model-driven development, monitoring,collaboration, and optimization eatures that leading BPM suite (BPMS) tools provide. o capitalize

on the transormational power o BPM, develop and implement a plan that advances your BPM

capabilities. Specically, move rom process automation to address (in increasing order o value) I

agility, process compliance and consistency, process insight, and, ultimately, business transormation.

Inormation and knowledge managers who use BPM soware should ollow Forresters maturity model

to help advance their thinking about BPM benets and deployment goals.

TaBlE OF COnT EnTSToo May Orgaiatios Shortchage

Themseles O BPMs PotetialMoe Busiess Process Iitiaties Up The

Maturity Ladder

Wide The Scope Of What BPM Meas To You

Projects Are Good, Eterprise BPM Is Better

rECOMMEnDaTIOnS

Uderstad Where You Are Headed Oer The

Log Haul, From The Begiig

wHaT IT MEanS

Start Small But Improe Quickly

nOTES & rESOurCESOve the pst 12 moths, Foeste hs

itevieed 72 compies tht hve depoedBPM d hs sveed 164 etepise chitects

i the uS d uK.

Related Research Documets

The BPM COE Is Hee: no wht?

Je 20, 2008

Ho The Covegece O Bsiess res, BPM,

ad BI wi Dive Bsiess Optimiztio

M 14, 2008

Cse Std: Qest uses Pocess Simtio To

Move at The Speed O Bsiess Chge

api 23, 2008

Octobe 6, 2008

Dive BPM Iititives To Highe Bsiess VeMove Beod atomtio To Bsiess Optimiztio

by Coie Mooreith Ke Vome d nom nicoso

2

4

9

10

11

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http://www.forrester.com/go?docid=46108&src=46375pdfhttp://www.forrester.com/go?docid=43207&src=46375pdfhttp://www.forrester.com/go?docid=43207&src=46375pdfhttp://www.forrester.com/go?docid=45638&src=46375pdfhttp://www.forrester.com/go?docid=45638&src=46375pdfhttp://www.forrester.com/go?docid=45638&src=46375pdfhttp://www.forrester.com/go?docid=45638&src=46375pdfhttp://www.forrester.com/go?docid=43207&src=46375pdfhttp://www.forrester.com/go?docid=43207&src=46375pdfhttp://www.forrester.com/go?docid=46108&src=46375pdfhttp://www.forrester.com/

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Dive BPM Iititives To Highe Bsiess Ve


2

TOO MAnY ORGAnIzATIOnS SHORTCHAnGE THEMSELvES On BPMS POTEnTIAL

Over the past ew years, BPM has gained broad acceptance across companies as a valuable

methodology and technology. While vendors and practitioners alike talk volumes about business

agility, optimization, and centers o excellence, very ew companies have gone as ar in the real

world. As BPMS technology has increased in popularity, many case studies have extolled the

nancial and productivity gains their BPMSes have supplied. And while most BPM practitioners

know that process automation or workfow is only a small part o what a company using a BPMS

can accomplish, signicantly ewer companies currently use these technology tools advanced

eatures and this is especially true among smaller companies (see Figure 1).1 Most companies see

BPMS tools as a way to automate processes or enhanced productivity and are stuck at that level o

BPMS maturity.

Te lackluster eorts o BPM practitioners dont stop there: Many companies have also ailed to

set up ormal BPM centers o excellence (COEs) (see Figure 2). While a companys rst BPMproject may not require a COE, a COE is a must i BPM is to gain companywide acceptance and

our data shows that the existence o a COE strongly correlates with BPMS success (see Figure 3).

But organizational structures in both I and the business and overzealous, overtechnical, or

underexcited sta in any department stand in the way o many o these eorts.

While simple BPM projects can certainly deliver departmental value, BPM as a business

methodology has much more to oer as do the modern BPMS tools available. BPM practitioners

wanting to maximize value rom their eorts should make use o their total BPM suite and then

expand the scope o BPM eorts in both technical and organizational ways to take advantage o

the suites ull capabilities. For example, they should look to use eatures such as simulation and

roundtripping, business activity monitoring, business rules, and dashboards, to name a ew.

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3

Figure 1 BPM Fctioit usge Vies B Comp Size

Figure 2 BPM Tem Mtit Vies B Comp Size

Source: Forrester Research, Inc.46375

Source: October 2007 US And UK Enterprise Architecture And Business Process Management Online Survey

Less than $1 billionin annual revenue

$1 billion or morein annual revenue*

*Base: 56 IT architectsBase: 84 IT architects

Process redesign

Process reporting

Process modeling

Process optimization(continuous improvement)

Process monitoring

Process automation

What type of BPM efforts are under way at the present time?

61%64%

61%63%

57%48%

68%44%

57%

45%

59%45%


Has a team been created to provide BPM guidance?

Less than $1 billionannual revenue

$1 billion or moreannual revenue*

No formal team hasbeen created

A team has been createdto deal with BPM issues

A BPM center of excellenceis planned

A BPM center of excellencehas been created

*Base: 56 IT architects at companies with $1 billion or more annual revenuesBase: 84 IT architects at companies with less than $1 billion annual revenues

19%

30%

30%

40%

36%

11%5%

29%


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4

Figure 3 BPM rests Vess Epecttios

MOvE BUSInESS PROCESS InITIATIvES UP THE MATURITY LADDER

Whether your organization can attain higher levels o BPMS value depends on two actors: 1) your

organizations maturity in the discipline o BPM and 2) your organizations access to technical

support or process disciplines and methodologies through advanced BPM tooling. I your

company lacks organizational maturity and uses products with limited BPM unctionality, theres

a limit to what you can achieve even through continuous improvement methodologies and BPMS

implementations. In other words, the most advanced tools are useless to companies that arentmature enough in their practice o BPM, and the most mature companies miss out on value when

they buy or use tools only or automation, ignoring process intelligence, process optimization, and

even business transormation.


It failed to meet our goalsbut was considered a

success because of otherdelivered benefits

It significantly failed tomeet our goals

It met our goals

It exceeded our goalssignificantly

According to these metrics, did the BPM project deliver on your

organizations expectations or goals after the initial implementation?

No formal team

has been created

A team has beencreated to dealwith BPM issues

A BPM centerof excellenceis planned

A BPM centerof excellencehas been created

Has a team been created toprovide BPM guidance?

Base: 21 IT architects


10% 30% 50% 70%

67%14%

19%0%

23%32%36%

8%


0%18%

73%9%


14%71%

14%0%

Less than $1 billion in annual revenue$1 billion or more in annual revenue*

*Base: 46 IT architectsBase: 65 IT architects

(percentages may not total 100 because of rounding)


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5

The Forrester BPMS Maturity Model: From Process Kowledge To Busiess Optimiatio

Forresters BPMS maturity model is based on raising the value o the realized benets o a BPMS

implementation, both to shareholders and in competitiveness as well as to increasingly higher

stakeholders within the organization, culminating with the most senior executives within the

organization (see Figure 4). Key phases o the BPMS maturity model and the overall value

proposition or BPM suites are:

Process knowledge. Many organizations make their initial move into BPM (the discipline)or BPMS (the technology) by ocusing on process modeling. Oen, the modeling tools these

organizations select are standalone products that are not linked to an execution environment.

A company may have many reasons or choosing a process modeling tool as its rst step; or

example, a company may want to use modeling or Six Sigma and Lean Six Sigma projects

(that sometimes go on orever), as a way o better understanding and communicating about

the business, or to capture knowledge rom retiring employees. For example, one US Federalagency ocused specically on process modeling because it aced massive employee retirements

within two years. But the problem is that in real lie, processes change all the time; in act, our

interviews consistently show that processes never stop changing. As a result, it is very dicult,

i not impossible, to keep process models up to date without linking them to an execution

environment. While standalone process modeling has some value, it can be quite limiting and is

airly low on the BPMS maturity scale and in derived benets.

Process eciency. For many years, process eciency has been the mantra or BPMS vendorstouting the benets o BPMS; they say, Buy a BPMS and get increased productivity and

reduced cycle time and drive eciency through the roo. But a primary problem inormation

and knowledge management proessionals ace is becoming overly enamored with the workfow

and BPM tooling in content management technologies, particularly transactional content

solutions. Tese practitioners oen move rom one enterprise content management workfow

system to the next, using each subsequent automation to deliver business value. So wheres the

problem? While this approach will deliver signicant cost savings at rst, it usually emphasizes

back-oce processes that arent dierentiating, arent important to top executives, and dont

ultimately create as much value to shareholders as do other areas o ocus.

Te unrelenting emphasis on back-oce processes may put too much corporate energy

and budget into eciency and productivity when the company actually needs to ocus on

innovation, new products, or greater customer satisaction. For example, Rich Phillips, ormerCOO o Maritz ravel and current President o Maritz Loyalty Marketing, recently observed:

Back-oce productivity is interesting and sounds like an appropriate goal. But the risk is that

an organization might end up improving a process that should be eliminated. It is also possible

to reduce organizational agility through such an initiative, ultimately hurting competitiveness.

Finally, the diversion o resources rom higher-value opportunities urther undercuts the value

o back-oce initiatives by adding opportunity cost.2

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IT agility. About two or three years ago, many enterprise architects and application developersdiscovered the link between service-oriented architecture (SOA) and BPM. I proessionals

who had been having a dicult time explaining the benets o SOA to businesspeople realized

that BPM was a perect vehicle or selling SOA projects to the business. More importantly, CIOs

and vice presidents o enterprise architecture began to see how much BPM suites beneted

not only the business but also the I organizations internal eorts. Based on our interviews,

BPMS tools oen cut in hal both the time needed to develop new applications and the

maintenance backlog. Although I agility isnt a direct business benet, its a huge benet to the

I organization, which ultimately helps the business by reeing up I resources. Realizing the

benets o BPMS within an I organization is another notch up the BPM maturity model.

Process consistency and compliance. Some o the most advanced BPM practitioners we talkedwith were ocused on moving to more consistent processes within the organization. For example,

one global nancial services company had call centers in 50 locations around the world, andeach o those call centers handled customer calls dierently. While this wasnt a problem or a

specic call center, it meant that the company did not have consistent processes (which could

lead to internal or external compliance issues), and the cost o doing business was higher than

it would be i all call center processes were standardized. In another example, an insurance

company realized it was not as competitive as other insurers because its rates were higher.

When line o business (LOB) executives started investigating why, they learned that, though

the LOBs had basically the same or very similar processes, each LOB executed them dierently.

By moving to an organizationwide consistent process, the company was able to lower its rates.

However, most companies do not reach this maturity level until they have gone through the

process eciency stage, usually or one or a handul o processes.

Process insight. Advanced BPMS products rom vendors including Appian, Global 360,Lombardi, Pegasystems, and Savvion now oer process monitoring components that allow

managers and business analysts/architects to gain insight rom historical business intelligence

(BI) reports or rom dashboards that show process monitoring results as processes execute.3

When bottlenecks occur, business managers can take action or example, they might reroute

work to another location, add resources on a temporary basis, or even triage process instances

so that the most valued customers are taken care o rst. Many organizations implementing

BPMS tools or the rst time do not take advantage o these capabilities because they are

ocused on automating a single process. But ultimately, process insight is where all BPMS

implementations should end up, and its important when selecting a BPMS tool to make surethat its process insight eatures will be up to the task when the organization is mature enough to

use them.

Business transormation. BPMS deployments coupled with business model agility,workorce retooling, new ventures, customer/supplier value chain integration . . . business

value, and alignment with competitive strategies can ultimately bring the organization to

business transormation.4 Only a very tiny percentage o companies have reached this stage

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in the maturity model, but more organizations, such as Ford Motor Company, are moving

in this direction. Business transormation at this level is based on many actors, but process

optimization is certainly one o them.

I your enterprise wants to move beyond mere eciency and productivity improvements or

back-oce processes and seeks to optimize (and even transorm) the business, look to the

convergence o BPMS, business rules, and business intelligence to serve as the oundation o

this progress.5 Many barriers still exist to ully realizing this level o the BPMS maturity model,

including: 1) most enterprises still embed processes, rules, and reporting in applications; 2)

many organizations build monolithic and infexible analytical environments; 3) organizational

barriers divide process, rules, and data proessionals; 4) suites are not yet adequate or many

organizations; 5) custom integration o best-o-breed products remains possible but is too

dicult; 6) metrics that span data and processes dont yet exist; and 7) standards that span the

three Bs (BPM, business rules, and BI) are not yet in sight.

Figure 4The BPM Cpbiit Mtit Mode


Processmodeling

Processexecution SOA

Processmonitoring

Processoptimization

Knowledge

Efficiency

IT agility

Compliance and

consistency

Business insight

Transformation

Value to

shareholdersand

competitiveness

Lower

Higher

Stakeholders

Workers, supervisors, and managersCustomers and partners

CIO CFO CXO CEO

BPM adoption maturity HigherLower

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8

How To Get Started O The BPM Jourey

Inormation managers who want to maximize BPM value and move up the maturity model should,

in order o execution:

Start with modeling or automation. Companies we have surveyed typically start in one othese two places. Many jump right into automation, getting quick business value rom cost

savings and increased productivity. Automation tools that replace paper-based processing with

electronic processing improve productivity by reducing the time it takes or work to move

around the organization and by allowing parallel processing by humans. Other organizations

model processes (to levels o detail that range rom basic to excruciating). Capturing the

inormation required to store a business process in a graphical model can signicantly enhance

understanding o the process and its potential problems.

Link modeling and automation. Both modeling and automation are ne starting places,but wherever you start, quickly expand eorts into the other. Adding modeling to existingautomation eorts can bring important process knowledge and identiy areas or improvement;

adding automation to existing models brings major productivity gains and helps ensure that

models stay current because changing the automated process requires a change to the model.

Tis also enhances an organizations ability to use gathered process inormation in other sections

o the process lie cycle, such as the monitoring and optimization phases.

Ensure that a solid, agile oundation exists or uture process eforts. Most technologyvendors will market service-oriented architecture (SOA) and BPM together, and the

combination makes obvious sense.6 But they are not joined at the hip in the way that some

vendors suggest. In act, miring your initial BPM eorts in SOA can kill them with burdensomeinrastructure costs and delays while you set up registries, repositories, services, and centers

o excellence. But while initial BPM eorts may proceed independent o SOA eorts, as both

expand to have enterprisewide impact, they should increasingly coexist and converge. An SOA

oundation or process means automated business processes are much easier to change and

helps create a business that can more agilely respond to new challenges by creating new processes.

Te integration-centric BPMS (IC-BPMS) vendors such as IBM, Oracle, Soware AG, and

Sun Microsystems already oer core SOA capabilities with their BPM products. In contrast,

most human-centric BPMS (HC-BPMS) products do not provide SOA components but instead

integrate with many products that do, including IC-BPMS products or enterprise servicebuses (ESBs). Alternatively, some HC-BPMS vendors partner with SOA vendors; or example,

Lombardi Soware has a relationship with Progress Soware, and W4 partners with Magic

Soware.

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Establish rigorous metrics and begin actively monitoring and managing the process.Depending on the environment or example, a call center this may be an intrinsic part

o automation, but in many processes, monitoring is saved or later. But dont put it o

indenitely, as BPM practitioners will have a tough time optimizing a process with no metrics

and no data about its perormance. Plus, its essential to establish key perormance indicators

(KPIs), thresholds, notications, and alarms to provide management with greater insight into

the business as the process executes.

In a rush to get started, some organizations try to begin their BPM eorts with monitoring, but

usually that approach is not the way to go. o maximize the eect o the business process, you

need to understand how the process works, which requires modeling at the outset. Once you

establish the model, you can use BPM tools to create and monitor the appropriate KPIs. Be

leery o recommendations to monitor the as is process up ront, as there are normally too

many unknowns to make this a practical exercise, meaning that this eort ends up just divertingresources rom more eective starting eorts. An exception to this recommendation is i the

process is very chaotic or unknown: In this case, monitoring may be a backdoor way to get to a

process model.

Use simulation eatures to manage change and predict process results. Some people amiliarwith BPM suites may be surprised to see simulation this ar down the list. However, our

interviews with practitioners have consistently shown that simulation is not especially useul at

the modeling stage. Conversely, it can be an extremely powerul tool or optimizing processes

once rich data about the process is available or use as a baseline input to the simulator.

Move rom process improvement to true process and business optimization. Tis willmean pulling data into the process rom external business intelligence and business activity

monitoring (BAM) tools to optimize the process at runtime. It also includes incorporating

advanced business rules technology into process decisions to properly manage the process and

using reports and simulation tools aer the act to make structural process changes.

WIDEn THE SCOPE OF WHAT BPM MEAnS TO YOU

Until now, BPMS vendors and their users have ocused on structured processes, whether the

actors in those processes are mostly people or mostly systems. But many real-world, people-

intensive processes are so rie with exceptions that its impossible to model all the permutations in atraditional process modeling tool. Tese ad hoc, chaotic processes are dicult to support even using

todays BPMS tools.7

As an example, consider a sales process where senior account managers handle the large accounts and

make very individualized discounting and packaging decisions. Te outcome o a discounting decision

may be captured in the BPMS by integrating or embedding a business rules engine, but the way the

decision was made the reason or the discount is oen recorded in an obscure email thread, i at all.

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Auditable, controllable tools or supporting this kind o work are already available in content

management systems and enterprise collaboration suites. But enterprise content management

(ECM) vendors havent caught up with the best o the pure plays or BPM unctionality, and

collaboration tools typically lack any kind o awareness o the users role, the process he or she isworking on, and what inormation is needed (unless these actors are manually congured, as in a

project-specic site on SharePoint). o support these real-lie human processes, BPM suites need:

Integrated group collaboration tools. Treaded discussions, document libraries, and evenemails mustnt stand alone; they must be created and audited as needed along with each process

instance.

Presence awareness and strong organizational management. While the fexibility o ad hocprocesses is a benet in that it helps work get done the right way, oen the appropriate actors

arent available when needed. BPM suites should be able to nd the right person or the job (or

at least present a list o possibilities), taking employees presence into account when doing so.

Business intelligence and enterprise search integration or runtime. Workers need dierentkinds o inormation at each point in the process; the smart work environment will use

contextual awareness and search tools to discover and present useul inormation. Each step

in a process will be like a miniature Inormation Workplace that automatically makes available

inormation such as reports, documentation, and eLearning objects when users need it.8

PROJECTS ARE GOOD, EnTERPRISE BPM IS BETTER

Many companies get into BPM because a particular project calls or it a merger means twodisparate enterprise application systems must be combined, or customer service problems require

an overhaul o externally acing processes. Teres nothing wrong with starting down the BPM road

with a single project in mind, and its not necessary to get bogged down in centers o excellence

and service-oriented architectures with that rst project. Even so, project leaders should look to the

uture when assigning sta and choosing technology or the rst project. Its critically important to

make sure that the BPMS provider you select has the unctionality, the product road map, and the

vision (plus customer reerences) to carry you through whatever level o the maturity model your

organization aspires to reach.

Also, as the previously discussed data shows, an established center o excellence is closely linked

with BPM project success no matter what the level o BPMS maturity. It doesnt make sense to hold

up initial BPM eorts until a center o excellence can be established aer all, it will be hard to

get a mandate or such an investment without proven successes.9 However, the staers on the rst

BPM project are likely to be uture COE members, so choose them careully.10 And, as having a COE

is widely acclaimed as a critical success actor or continued success in BPM and BPMS, plan to

implement one as soon as you can.

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11

r E C O M M E n D a T I O n S

UnDERSTAnD WHERE YOU ARE HEADED OvER THE LOnG HAUL, FROM THE

BEGInnInG

Advanced BPMS technology is essentially useless at organizations that arent ready or it. Process

and knowledge management proessionals should:

Stick to the tools that are useful. a ot o BPM site compoets e it, bt compiestht et ed shodt bothe ith them. Fo empe, ithot e-deed bsiess

metics o pocess, simtio toos e most ste o time.

Pla for the future whe buyig. whie ogiztios m ot be ed o moe dvcedpocess toos, Foestes esech hs sho tht tight itegted BPM sites e mch

moe poe. Fetes sch s dt-dive simtio d optimiztio e ve dict to

se he dispte podcts peom the modeig, eectio, d dt-gtheig ctivities.Stdds e so to emege, so be se tht o BPM site vedo sppots o ed stte

o pocess mtit.

Aoid modelig without likig models to a executio eiromet. whie modeigc ceti povide pocess koedge isights, modes qick become otdted becse

pocesses costt chge (eve he the ogiztio doest eize the e chgig).

wheeve possibe, mke se tht o pocess modes c be impoted ito eectio

eviomet to keep them i sc ith the e od s it chges.

Pla for a ceter of excellece.The evidece is ce; thees cose coetio betee ce,mesbe, idetibe beets om BPMS d the cetio o COE. Most ogiztios

o eize this; the chege is ho to bid d st COE. Most COEs do ot eed to be

big i ct, s, stg it ith o to si membes is sciet. The s compositio is

oe o moe etepise chitects, ppictio deveope, bsiess st, d pocess

chitect. The COE shod so diect ik to the BPM govece committee.

w H a T I T M E a n S

START SMALL BUT IMPROvE QUICKLY

BPM pctitioes s get d ito the e b immedite eed pocess tht eeds

ig o sstem tht eeds itegtig. Bt oe ho stops t sig BPM methods d

techoogies o impovig podctivit is doig the ogiztio dissevice. It is i some s

s tht BPM vedos hve cosistet bee so ot i ot o thei cstomes. Fo es,

the hve sod the beets o pocess simtio toos, dvced moitoig sote, d i-

fight pocess chges to pospects the ko i eve se them. Bt s compies move om

simpe pocess impovemet to e bsiess optimiztio d s BPM eches mistem stts

i the mket, bsiesses i eed to stt sig moe dvced BPM etes to gi edge

ove the competitio.

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12

EnDnOTES

1 In October 2007, Forrester interviewed 164 I architects in the US and the UK. See the February 19, 2008,

Te EA View: BPM Has Become Mainstream report.

2 Rich Phillips also noted that companies need to understand that rst, to win big, its all about business

transormation, not soware implementation. Substantial value can be delivered by infecting competitive

strategy, cultural behavior, leadership perormance, and product dierentiation. Also, go wide rst, beore

going deep. Mapping the businesss value chain (wide) ollowed by waves o mapping business subprocesses

(deep) prepares the organization or systemic change and highlights key leverage points or maximizing

BPM impact. See the August 21, 2007, Te New I Imperative: Design For People, Build For Change

report.

3 For a deep dive into BPM products in dierent market segments, interested readers should look into the

many Forrester Waves evaluations on BPM suites. See the August 2, 2007, Te Forrester Wave: Human-

Centric BPM For Java Platorms, Q3 2007 report, see the December 19, 2007, Te Forrester Wave:Human-Centric BPM or Microso Platorms, Q4 2007 report, see the July 9, 2007, Te Forrester Wave:

Business Process Management For Document Processes, Q3 2007 report, and see the December 20, 2006,

Te Forrester Wave: Integration-Centric Business Process Management Suites, Q4 2006 report.

4 Rich Phillips shared lessons learned rom the BPM initiatives at Maritz ravel. See the August 21, 2007,

Te New I Imperative: Design For People, Build For Change report.

5 With change endemic, business fexibility paramount, and the lines between strategic, tactical, and

operational decision-making blurring, inormation and knowledge management (I&KM) pros must

nd new application architectures or a new generation o requirements. Business process management,

business intelligence, and business rules engine (BRE) soware oer the architectural oundations to meet

the challenge o continual business optimization, but too many I&KM pros approach these technologieslargely in isolation. In act, these three Bs have signicantly greater business impact when used together

than when used separately. I your enterprise wants to move beyond mere eciency and productivity

improvements or back-oce processes and seeks instead to optimize (and even transorm) the business,

look to the convergence o the three Bs to serve as the oundation. See the May 14, 2008, How Te

Convergence O Business Rules, BPM, And BI Will Drive Business Optimization report.

6 Organizations are increasingly relying on business process management suite products to support their

process improvement eorts, and this is driving an annual growth rate o 20% and up in this market. BPMS

and service-oriented architecture implementations requently occur together, and this is no fuke, as these

two technologies complement each other very well, resulting in a more powerul solution than either could

provide on its own. In particular, advances in key standards such as business process management notation(BPMN), business process execution language (BPEL), and XML Process Denition Language (XPDL)

are making it possible or BPMS products to support a model-driven approach to process improvements

that can be signicantly more agile than earlier methods. At the same time, improvements in SOA-based

repository technology are acilitating the storage o important business metadata in a common location,

where it is easier to share, reuse, and modiy without aecting business applications. Tese advances
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enable I organizations to respond more quickly to new requirements while providing business units with

more visibility and control over their key business processes. See the March 10, 2006, Business Process

Management Suites And SOA report.

7 While most BPM vendors have been working to add collaboration and content management tools to

processes, one startup vendor has gone the other way, adding process tools to Web 2.0-style collaboration

capabilities. See the April 11, 2008, Vendor Snapshot: Itensil Brings Process o Web 2.0 Collaboration

report.

8 When Forrester rst described the Inormation Workplace in 2005, we positioned it as the next-generation

platorm that delivered collaboration, content, portals, and oce productivity plus a plethora o

new capabilities bursting on the scene, such as unied communications and expertise location. But the

Inormation Workplace (IW) has never been about the piece parts. Instead, what makes the Inormation

Workplace transormational is how the piece parts are built into a seamless whole that supports people

in the way they want to work. Specically, we described the IW as role-based, contextual, seamless,

visual, and multimodal. Now enterprise Web 2.0 is rapidly advancing, bringing even greater design or

people concepts into the IW. For example, through the power o social networking and mashups, which

allow people to have it their way, the IW can go beyond role based to even become individualized. With

enterprise Web 2.0, the IW also gains two new acets: social and quick. With all these characteristics, the

IW will better support a design or people world and allow people to work in a much more natural way.

See the November 26, 2007, Te Seven enets O Te Inormation Workplace report.

9 Forrester receives many inquiries rom I&KM proessionals within enterprises implementing BPM COEs.

Many questions concern COE goals, key roles, and organizational structure. Other questions relate to

specic work tasks, tools, and standards required or an eective BPM COE. Tese I&KM pros also want

to know what business processes they should ocus on or transormation. Forrester has synthesized the

top ve questions and provided answers based on industry best practices. See the June 20, 2008, Te BPM

COE Is Here: Now What? report.

10 Businesses across all industries are looking to BPM to help them gain new eciencies, create a more

consistent customer experience, and provide better data insights. Yet many rms have multiple

implementations o the same type o BPM tools, or their siloed departments dont leverage work done

in other divisions when improving processes. Forrester spoke with a variety o large rms adopting

an emerging trend: developing COEs or BPM. We uncovered best practices in ve areas: 1) executive

sponsorship; 2) process methodology and governance; 3) stang skill sets; 4) vendor alignment; and 5)

KPIs. See the March 26, 2008, Best Practices: Centers O Excellence For BPM report.
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