F09_class_22_Ch7_Bus_Process

F09_class_22_Ch7_Bus_Process - Business Process Management...

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Unformatted text preview: Business Process Management Chapter 7 MIS 301 Introduction to IT Management Class Business • MIS 301 Extra Credit Opportunities – Dan Ranta, ConocoPhillips - Monday, 10/26, 5:15-6:15pm in GSB 2.126 – Bob Johansen, Institute for the Future – Thursday, Nov. 5, 5:15-6:15 in • Ch. 7 – Business Process Management • MRV has a problem – Defective business process results in unhappy customer (no tent) – Its business process needs fixing Business Process at REI Tasks for processing an order Why Is BPM Important to Organizations? • Processing orders crosses departmental boundaries • Credit card processing, shipping, scheduling extend to other companies • Business processes and IS must evolve as business changes Why Is BPM Important? BPM - Systematic process of creating, assessing, altering business processes 1. Create model of business process components • Users review and adjust model • “as-is model” documents current process; it is changed to solve process problems 1. Create system components (5-part IS model) – Uses hardware, software, data, procedures & people 2. Implement business process 3. Create policy for ongoing effectiveness assessment – Adjust and repeat cycles MRV never designed its processes, had no assessment program Four Stages of BPM • Functional – Single department – BPM easier at this level – Problem: may lead to “islands of automation,” also called “functional silos” • Cross-functional – Goal: Eliminate/reduce isolated systems and data – Uses committees to resolve conflicts between departments • Interorganizational – Most difficult to do – Ex: SCM, credit card transaction processing – Requires negotiation, contracts, litigation to resolve conflicts between organizations BPM Varies in Scope Functional Company Silos Name from grain silos In company silos, systems are segregated in functional areas • Functional (potential silo problem) • Cross-functional – Goal: Eliminate/reduce isolated systems and data – Uses committees to resolve conflicts between departments • Interorganizational – Most difficult to do...
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This note was uploaded on 12/17/2010 for the course MIS 301 taught by Professor Mccleod during the Spring '08 term at University of Texas.

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F09_class_22_Ch7_Bus_Process - Business Process Management...

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