Skip to Content

Strategy and Business Process Management

Techniques for Improving Execution, Adaptability, and Consistency

By Carl F. Lehmann

Auerbach Publications – 2012 – 295 pages

Purchasing Options:

  • Add to CartHardback: $69.95
    978-1-43-989023-3
    March 13th 2012

Description

This book prepares readers to master an IT and managerial discipline quickly gaining momentum in organizations of all sizes – Business Process Management (BPM). It describes how BPM treats processes as a portfolio of strategic assets that create and deliver customer and shareholder value and adapt, when necessary, enabling competitive advantage through consistent performance.

Strategy and Business Process Management: Techniques for Improving Execution, Adaptability, and Consistency defines the planning framework and managerial mindset necessary to craft and drive highly effective business process improvement projects and continuous improvement programs. Readers will learn specific techniques used by industry leaders to formulate and execute business strategy that adapts organizational behavior, business processes, and information technology as a dynamic system designed to assure consistent performance and achievement, even when challenged with unexpected changes or opportunities.

Reviews

In our latest BPTrends survey, readers indicated that one of their major concerns was with how to tie corporate strategy together with BPM. Carl's book provides a detailed look at the ways one can do just that. It also provides managers with a great overview of how to solve the problems involved in creating and fielding new processes in this time of unprecedented change. Pack this book in your backpack as you set out on your process journey.

—Paul Harmon, Executive Editor, www.bptrends.com

Strategy and innovation meets real-world execution. Carl lays out a concise blueprint of techniques from the best practices in business process management and presents them in a way that is immediately relevant and useful to help solve the global challenges facing every business.

—Jim Hendrickson, General Manager, Global B2B Cloud Services Product Line (IBM)

Gartner defines BPM as a management discipline that treats processes as assets that directly contribute to enterprise performance by driving operational excellence and agility. Yet most practitioners struggle to advance their BPM efforts from narrowly defined projects into an enterprise program. Although incremental process performance improvements are delivered at a functional unit level, in fact, enterprise performance is actually sub-optimized. To achieve enterprise success, BPM leaders should pursue BPM as a discipline of disciplines, as Mr. Lehmann describes in this book. An over arching framework that integrates various management disciplines (i.e. Balanced Scorecard, change management), process improvement methods, BPM-enabling technologies, and governance over the rate of change is key to advancing BPM maturity and delivering enterprise performance gains. Mr. Lehmann’s book, Strategy and Business Process Management provides pragmatic guidance for creating such a framework.

—Janelle Hill, Vice President & Distinguished Analyst, Business Process Management Research, Gartner

This book helps the reader by simplifying an otherwise complex BPM learning curve. It accomplishes this by dissecting a logical sequence of proven techniques and best practices across different disciplines and industries, and applying them to rapidly evolving business strategies and performance metrics. There are numerous examples and checklists that drive home salient messages. The book further synthesizes its findings into a decision framework and tools that can help practitioners to plan better and consistently execute business strategy. It should thus be valuable not only in proselytizing the BPM concept, but as a reference guide for those embarking on the BPM journey.

—Dale Kutnick, Senior Vice President, Gartner Executive Programs

The best path toward sustainable competitive advantage can be elusive. Organizations must seek a direction that structures their resources to embrace customer centricity, fuel growth amidst change and turbulent markets, and instill discipline in managing the bottom line. Carl’s book offers key insights for assembling an organization’s people, business processes and information technology into an adaptive system. His common sense line-of-reasoning offers sharp contrast to typical ivory tower process methodologies and frameworks. This book reveals the path for all management teams tasked with creating and sustaining the foundation and practices for strategic business transformation.

—Binu Thomas, Director, Strategic Process Transformation, MetLife

Carl has captured the essence of what it takes to achieve game-changing performance improvements and sustainable business acceleration in today's increasingly competitive business environment. Continuous process innovation is imperative for corporate survival and Carl's approach to Business Process Management is unparalleled. From strategic business analysis to consistent on-target execution, this book is a must read for the entire management team of any organization.

—Scott Thorogood, Chairman, Aegean Group

Business Process Management – its principles, disciplines and enabling technologies – will be one of the defining agility and efficiency levers of future business success. Carl has delivered a solid and pragmatic prescription for connecting strategy with the reality of BPM mechanics and execution.

—Herb VanHook, VP of Strategy, Office of the CTO, BMC Software

This is a very useful resource for people interested in continuous process improvement and ensuring that your processes support your business strategy. It is probably most applicable to medium and large organizations. … a very useful book that summarizes and links together a number of different areas and approaches to strategy and process management.

—Alex McLachlan MBCS, in Book Reviews, www.bcs.org

Contents

BEST PRACTICES USED IN STRATEGIC PLANNING

Prologue: The Management Team Is Summoned

The CEO Speaks

Running a Business versus Running a Business Well

Using Best Practices to Align Strategy and Resources

Overview of the Best Practices of Industry Leaders

Using Best Practices to Innovate and Compete

How to Compete: Competitive Strategy

Competitive Strategy: The Classic Approach

Five Forces Model of Industry Competition

New Entrants

Intensity of Rivalry

Pressure from Substitute Products

Bargaining Power of Buyers (Customers)

Bargaining Power of Suppliers

Determining a Defensible Position

Competitor Analysis

Building on Porter’s Best Practices

How to Focus Operations: The Discipline of Market Leaders

New Rules of Competition

Operating Models

Operational Excellence Operating Model

Product Leadership Operating Model

Customer Intimacy Operating Model

Defining Value

Building on Treacy and Wiersema’s Best Practices

How to Manage Performance: The Balanced Scorecard

Performance Measures from a Financial Perspective

Performance Measures from a Customer Perspective

Performance Measures from an Internal Business Process Perspective

Performance Measures from a Learning and Growth Perspective

Strategy Maps

Summarizing Kaplan and Norton’s Best Practices

Building on Kaplan and Norton’s Best Practices

How to Adapt: Adaptive Enterprise

Sense-and-Respond Organization

Adaptive Loop

Modular Organization

Commitment Management Protocol

Building on Haeckel’s Best Practices

Section I Conclusion: Strategic Planning—A Process, Not An Event

EXECUTION—BEST PRACTICE USE OF STRATEGIC RESOURCES

How to Structure Organizational Behavior for Strategic Execution

Empower and Motivate

Workforce Collaboration

Collaborative Objectives

Managing Responsibility and Accountability

How to Structure Business Processes for Strategic Execution

Defining Processes

Operating, Support, and Management Processes

Operating Processes

Support Processes

Management Processes

Control Processes and Competitive Advantage

Business Rules and Process Controls

Core and Noncore Processes

Preparing to Organize Processes as Assets

Managing Processes as a Portfolio of Assets

Business Process Portfolio Management

Business Process Portfolio

Business Process Inventory

Introducing Business Process Reference Models

Evaluation Dimensions

Next Steps

Analyzing Inventoried Processes

Managing Process Execution

Performance Measurement

Selecting Key Performance Indicators

General Rules about Selecting and Crafting KPIs

Measuring Variance

Using Trend Analysis

Using Benchmarking

Performance Control via Event Management

Exception Management and Resolution Management

Enabling Event Management

Improving Execution through Process Modeling, Analysis, and Simulation

Selecting Processes for Improvement

Symptomatic versus Strategic Process Improvement

Symptomatic Processes

Strategic Processes

Continuous Process Improvement Program

Dealing with Complexity

Simple versus Complex Processes

Assessing Process Complexity

How to Structure Technology for Strategic Execution

Preparing for Process Improvement

IT Trends That Influence IT Strategy

Applications and APIs

Workflow and EDI

ERP

ETL

EAI

Business Process Modeling and Analysis

Business Rules Management

Internet

Open Source

SOA

SaaS and Cloud

BPMS

BAM and BI

Assessing IT Readiness

IT Capabilities Enabling Process Change

Overall IT Readiness

Crafting a Process-Centric IT Strategy

Petitioning for Process-Centric IT Strategy

Investing in Process-Centric IT Architecture

IT Portfolio Management

Objective Evaluation and Financial Analysis

Objective Evaluation

Financial Analysis

Competing for IT Budget

IT Portfolio Budget Structure

Funding Availability

Funding Sources and Accounting Methods

IT Budget Management: Resource Perspective

IT Budget Management: Domain Perspective

IT Budget Management: Purpose Perspective

IT Budget Management: Asset Class Perspective

IT Investment Practices of Industry Leaders

Making an IT Investment Request

Section II Conclusion: Resources Structured for Execution.

HOW TO ALIGN STRATEGY AND RESOURCES TO IMPROVE EXECUTION, ADAPTABILITY, AND CONSISTENCY

Derivative Analysis Technique for Business Strategy and Resource Alignment

Derivative Analysis Defined

Using Derivative Analysis to Align Strategy and Resources: A Self-Assessment

A Generic Derivative Analysis

Section I: Best Practices Used in Strategic Planning

Progress Report—Section I: Best Practices Used in Strategic Planning

Section II: Execution—Best Practice Use of Strategic Resources

Progress Report: Execution—Best Practice Use of Strategic Resources

Final Report: Derivative Analysis

Section III Conclusion: Strategy and Resources Aligned

Epilogue: The Management Team Reconvenes

The Chairman Speaks

Some Practical Success Factors for Improving Execution, Adaptability, and Consistency

Start Where Common Sense Tells You

Avoid Complexity at First

Assign Ownership

Address Misconceptions

Communicate

Check Reversion

Proceed Diligently

SUMMARY CONCLUSION

Summary of Key Guidance

Prologue: Management Team Is Summoned

Section I: Best Practices Used in Strategic Planning

Section II: Execution—Best Practice Use of Strategic Resources

Section III: How to Align Strategy and Resources to Improve Execution, Adaptability, and Consistency

Epilogue: Management Team Reconvenes

Appendix A: Important Terminology

Appendix B: How to Evaluate Business Process Analysis Software

Works Cited

Index

Author Bio

Carl F. Lehmann is Founder & Principal Analyst at BPMethods, LLC, Duxbury, Massachusetts, USA.

Name: Strategy and Business Process Management: Techniques for Improving Execution, Adaptability, and Consistency (Hardback)Auerbach Publications 
Description: By Carl F. Lehmann. This book prepares readers to master an IT and managerial discipline quickly gaining momentum in organizations of all sizes – Business Process Management (BPM). It describes how BPM treats processes as a portfolio of strategic assets that...
Categories: Business, Management and Accounting, Engineering Project Management, Management of IT