april 2012 agenda

April 2012 Agenda 9:00 Arrive 9:15 Officer Announcements

Chicago chapter updates 9:30 Guest Speaker: Bryan Rogers

Performance Management 10:30 Networking Break 11:00 Group Round Table Discussion 12:00 Adjourn

International ABPMP Updates New Registries Available:

Independent Consultant Training Providers

CBOK Update International Needs Volunteers:

Development around Training Provider program CBPP study sessions CBPP exams through the Chapters Improve process for tracking certification / continuing

education Renew Certification

Chicago Chapter Updates Chicago chapter meeting changes: update your calendars

NOW MEETING SECOND FRIDAY OF EVERY OTHER MONTH 8:30-12:30 AM

Webinar links will be provided Interested in happy hour events?

TEK systems – IT trends in industry BrainStorm Chicago May 7-8:

http://www.bpminstitute.org/events/brainstorm-chicago Achieve Success With BPM Applying BPM to Transform Your Business Managing Processes and Decisions for Better Business Outcomes Using Business Decision Management to Revolutionize Business Requirements and

Processes Next Meeting: June 8, 2012

Welcome to new members Name Title, Company What do you want to learn about Performance

Management and/or Process Management

Presented to

6

Agenda

What is Business Process Management?

What is Business Performance Management?

• What are common themes or issues in Business Performance Management?

SEG & Bryan Rogers introduction

• What aspects are common between both BPM's and how can they be leveraged together?

Summary & Closing remarks

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Business process management (BPM) is a holistic management approach focused on aligning all aspects of an organization with the wants and needs of clients.

Business process management (BPM) is a systematic approach to making an organization's workflow more effective, more efficient and more capable of adapting to an ever-changing environment.

A business process is an activity or set of activities that will accomplish a specific organizational goal.

The goal of BPM is to reduce human error and miscommunication and focus stakeholders on the requirements of their roles.

Business Process Management

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Business Performance Management

Business performance management is a set of management and analytic processes that enable the management of an organization's performance to achieve one or more pre-selected goals.

Business performance management is contained within approaches to business process management.

Business performance management has three main activities:1. Selection of goals,2. Consolidation of measurement information relevant to an

organization’s progress against these goals, and3. Interventions made by managers in light of this information with a

view to improving future performance against these goals.

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Commonalities between Business Process Management and Business Performance

Management

Alignment of processes with needs of clients and goals of organizations

Measurement & Monitoring of processes and results

Consolidation of Information

Best Practices

Solution Decision

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Financial Executive with over 20 years experience FP&A positions with multi-billion dollar companies Former VP of Finance for $300 million business SME for Planning & Reporting

Bryan Rogers, MBA, CPAPrincipal, BPM Practice

Implementation & Design of Budgeting Solutions

BPM Process Redesign Monthly, Quarterly Executive

Management Reporting Business Intelligence Solutions

Pre & Post Merger & Acquisition Planning Incentive Compensation Reporting &

Design Capital Project ROI Analysis

Career Highlights

BPM Expertise

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BPM – Selection of GoalsStakeholders /

InvestorsBoard of

Directors / Senior

Management

Line of Business

Management

Non-Management Employees

Key Performance Indicators (KPIs)

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BPM – Consolidation of Information

HRIS

CRM

ERP

CPM

Business

Intelligence

Dashboards

Metrics

Reports

Distributed via

• Handhelds

• iPads

• Web-access

• e-mail

• PDF

Best Practices: Business Performance Management Process

Involve all department managers Create complete organizational

integrity Enhance accountability Improve execution Leverage individual skills

Effective integration of people, processes & systems

Business Performance Management

Planning Process Before Best Practice Implementation

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Best Practices: Business Performance Management Process

People are your most important resource . . .

Do they spend their time . . .

re-keying in data or providing business insight? making requests to IT or developing their own reports? tying out financial results or developing scenarios? performing manual tasks or reviewing exceptions?

What is the cost of underutilized human resources?

Effective integration of people, processes & systems

BPM Best Practices: Planning & Forecasting

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1) Drive Collaboration2) Align Strategic and Operating Plans3) Create Driver-Based Plans4) Provide Real-Time Visibility into Financial Performance5) Evaluate Cause and Effect Relationships6) Deliver Timely and Accurate Reports7) Perform Continuous Rolling Forecasts8) Perform What-if Analysis

Planning Process After Best Practice Implementation

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BPM – SaaS solutions

Business Process Management (BPM) Software-as-a-service (SaaS), or “software on-demand”, is business management software that is typically deployed offsite by the vendor, and is accessed via the internet.

The software may also be installed on a company’s own internal servers and accessed via an intranet or internet. SaaS uses cloud technology whereby multiple end-users, management, and IT access shared resources, software and information.

Vendors offering SaaS often provide both shared and dedicated resources (hardware and software), and support a multi-tenant architecture. Licenses are administered on a pay-as-you-go, or per user, basis.

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Spreadsheets

Manual

Inefficient

Error-Prone

Non-collaborative

Enterprise Apps

Difficult to Deploy

Low User-Adoption

Expensive, Poor ROI

IT-Intensive

Cloud-Based CPM

Fast to deploy

Easy to use

Affordable

No IT required

Cloud-Based CPM Solution

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On-Premise vs. Cloud-Based Solutions

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Decision Criteria for Solution

Participants FrequencyDataMaturityExpert

Beginner

ProcessReportingIntegration

Type Number Source How Often Types Features

Complexity & Maturity of Planning and Reporting

ParticipantsAll Mgrs with KPI

Impact

Functional Mgrs

Divisional Mgr

Senior Execs

Finance

FrequencyRolling

Forecasts

Scenario Analysis

Monthly Forecasts

Quarterly Forecast

Semi-Annual Revision

Annual Budget

DataMetrics / KPIsOperational

DataBS / Cash FlowInc. Statement

SalesCapital

PersonnelExpense

MaturityExpert

Beginner

ProcessCollaborative

Online Dialogue

Alerting

Workflow

Annotations

Email

ReportingXBRL

SEC Reporting

Dashboards

Board Packs

Mgmt Reporting

Variance Reports

Budget Summary

IntegrationConnector-

Other Ops DataImport Other

Ops DataConnector GL

DataImport GL DataExport AP to GLNo integration

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Foundation for Successful Business Process or Performance Management Implementation

1)  Get Executive sponsorship early

2) Establish quick wins . . . Relieve the pain

3) Maintain project momentum

4) Create a baseline and define desired improvement in key metric

5) Build culture of continuous improvement

6) Transfer knowledge throughout organization

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Roundtable Discussions

1)  What strategies have you found to work well when implementing a new BPM process? What has not worked well?

2)  Have you established Key Performance Indicators or Metrics for your process?

3)  How are these KPIs and Metrics communicated to the organization?

4)  Does your process include established Best Practices and what are they?

5)  What are your future plans for your BPM process and desired objectives?

Questions & Answers

Please reach out for further information:Bryan Rogers, Principal brogers@solomonedwards.com

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Overall Trends in BPerfM More enterprises move to cloud Vendors wake up to virtualization Performance benchmarks shift to competition Introduction of new choices

Round Table Discussion Points Best Practices in BPerfM and BProcM

Create inventory: Identify 6-10 high level “core” processes (order to cash, idea to launch, etc) Identify executives involved in managing these today Ask what are they measuring today and how are they using it? What decisions do they want to make but don’t have metrics today for it? Try to show whether the metrics are aligned to a single process goal or

compete against each other? External organizations on KPI:

KPI Library APQC HIMMS (Healthcare Info Mgmt)

Group consensus building – what is goal of process, then find KPI that support it – use template to rank everyone’s first, second, third priority to show team consensus

Round Table Discussion Points Creating a Process Framework:

Facilitated discussion Use of industry frameworks:

APQC Process Framework Value-Chain.org BPM incubator

Need to continual draft, present, communicate concept of framework – everyone has different perspective of process start/end, level of detail, etc. Only map a process if you want to improve it.. Which ones are a priority? Process has to be end-to-end and not functional or task level