crm and bpm suites of the future

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CRM and BPM Suites of the Future

Ben Kiker

Chief Marketing Officer, Onyx Software

Welcome

Why is business process management today’s hot topic?

What are you going to learn today?

Why are Onyx and IBM sponsoring this event?

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CRM and BPM Suites of the Future

Jim Sinur

VP and Distinguished Analyst, Gartner Group

What is BPM ?

Business Defintion

BPM is the management of all the processes supporting a businesstransaction/event from the beginning to the end while applying the policies/rules needed to support an organizations stated business model at a specific point in time

• BPM runs within the cultural constraints offered by an enterprise • BPM runs to meet the conflicting goals set by management and optimizes to find the sweet spot between them• BPM considers the contexts that it runs in while meeting stated outcomes• BPM ideally suggests better operational behavior• BPM ideally points to better tactics• BPM runs within tolerated and expected scenarios• BPM is flexible in a near real time fashion• BPM is not a technology, but is enabled by instances of BPM technology

How Can BPM Serve CRM Initiatives ?

• Campaign automation and optimization • Customer enrollment/onboarding

• Intelligent Cross Selling • Real Time Analytics

• Integrated Self Service

• Partner Management

• Mass Customization of Processes

BPM TaxonomyBPM Category Supporting Markets

Administrative (Visual BPM) Traditional Workflow

Task Oriented Portals

Team Process (Collaborative BPM) Knowledge Management

Team Support

Application Specific (Configured BPM) Packages

Content Management

Integration Centric (System to System) System to System focused

Composite Application

Application Independent (Pure Play BPM) Human to Human focused

Business Templates

Drivers for BPM Are Numerous

• New process creation/maintenance

• Current process understanding

• Mergers and acquisitions

• Business process outsourcing

• Package implementations

• Core process/systems consolidations

• Automation of manual processes

• Value/supply chain creation/maintenance and process fusion

• Optimized processes

• Compliance

• Scenario building for agility and policy management

BPM Is Thriving in Many Industries

• Insurance

• Banking

• Credit

• Financial markets

• Discrete manufacturing

• Healthcare

• Government

• Pharmaceuticals

• Telecommunications

• Retail

Healthcare Payer Organization Case StudySteps In Records Update Process

Physician Activities Insurer Activities Activity Eliminated in Automated BPM Environment

BPM Routing Capabilities Enable Direct Submittal (20%+ ROI)

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Process Efficiency is Being Delivered; Get on board or get out of the way

Reduction in elapsed timeHigher productivity per personImproved quality/reduced errors

Reduced number of stepsHigher employee satisfaction

Fewer people neededImproved coordination across depts./geo.

Automation of admin. tasksReduced cost per transaction

Enabling external users Improved regulatory compliance

Flex. in processes/bus. agility

Data/process integ. across apps.

Reduced riskReduced waste/scrap

85%70%55%In a 2003 study, percent of respondents that achieved

key process benefits

BPM flows enable optimized business events that coordinate

Hardware, Software, Facilities, Process, People

Above the water line: Long-Running Human-to-Human (H2H) Business Flows Enabled by Work Lists and Work Throughput Formulas

Below the water line: Short-Running System-to-System (S2S) Technical Flows in Support of Business Flows

BPM is Business Integration at Multiple Levels and Is Ubiquitous

Comments from a 2004 BPM Survey

50% of the respondents were business professionals

25% of the companies responding had asset bases in the millions

75% had asset bases in the billions

95% of the companies experienced a greater than 90% success rate amongst BPM projects

65% said that 90-100% of their implemented processes were H2H

15% said the were S2S dominated; only 2% said they had no H2H

75% did have projects underway now

BPM projects in the planning stage;

25% had 1; 25% had 2; 25% had 3-5; 15% had 6-10;

5% had over 10

Experience from 154 recent BPM projects

Growth Predictions for BPM

67% of the projects were completed in less than 6 months;

50% in 4 months or less

ROI none of the successful projects had less than 10% ROI; 78% had greater than 15% ROI; Wild numbers included 100% and 360%

77% had returns greater than $100,000.00 per project 55% has returns in the $100,000.00 to $500,000.00 range

Gartner predicts rapid growth

Ingredients for BPM Success

Visible and Successful Implementations

Real Cost Savings/Avoidance

Understanding the Real Process

Business Process Ownership

Leadership Buy-in

Quality Implementations

Analyze and Model Processes

Execute Processes

Integrate Humans and Applications

Monitoring ResultsMonitoring Results

Fast Path ChangesFast Path Changes

Dynamic RulesDynamic Rules

Dynamic BindingDynamic Binding

BPM Suite Taxonomy

CRM

B2B .NET

J2EE

ERP

?

?

1 2 3 4

Reactive Reactive Management Management

Proactive Proactive Management Management SimulationSimulation

ScenariosScenarios

System DynamicsSystem DynamicsA

dju

st Po

licies and

Ru

les

Operating System

Applications

EmergingCurrent

BPM Suites Require Explicit Flows & Rules

Classic

Operating System

Database

Applications

RulesRules

Services

FlowsFlows

Services

Flows

Data

Rules

Operating System

Database

Applications

RulesRules

FlowsFlows

Operating System

Database

Applications

RulesRules

Operating System

Database

Applications

IDS Scheer

BPM Suites Will Require Convergence Or Best of Breed

BPMSuites

Integration Server

Software Platforms

“EAI”

Business Rule

Engines

Pure- PlayBPM

Analysis, Simulation

Modeling, Design, & Construction

Tools

Business Activity

Monitoring

IBM

BEA Microsoft

SeeBeyond

Oracle

WebMethods Fair Isaac Pega

Ilog

Corticon

Mindbox ESI

PegaMetastorm

Staffware FileNet

Ultimus

Orbus

Microsoft

Proforma

Synthean

Systar

Applix

CA

Casewise

Proactivity

Lanner

Onyx Software

VineyardSoftHewlett-Packard

eiStream

Savvion

Fujitsu Clear

vendors with outboard rules

vendors with Inference

Tibco

Suggested Architecture for Round Trip Engineering

Provide continual feedbackProvide continual feedbackBuild contextual orientationBuild contextual orientationCommunicateCommunicateEncourage reassessmentEncourage reassessment

DefineDefine Your best practices rapid representation of the

knowledge of your experts

ValidateValidate to confirm that the best practices will meet evolving requirements and active scenarios’

dynamically simulate under the most realistic conditions

DeployDeploy best practices within selected scenarios into the operational environment

monitor best practices to achieve continuous improvement

Improve continuouslyImprove continuously to keep the process operating at peak efficiency

ImproveImprove

Architecture for Real Time Reactive Change

DetectDiagnoseExplainModelRespondwith scenario driven rule sets

DetectDiagnoseExplainModelRespondwith scenario driven rule sets

What is the significance of the events/data?

Detect

data

Outputs

System boundary

ProcessProcess

production, business, supply chain, network, financial, transportation,

aerospace…

Process and Knowledge based models enable

reasoning

events

Inputs

How do I get the process to the condition I want?

Respond

Selecting scenarios &taking corrective actions

In what conditionis the process?

Diagnose &

Explainconditionor state

EventsRules

Optimize Model

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CRM and BPM Suites of the Future

Ben Kiker

Chief Marketing Officer, Onyx Software

Onyx and IBM – Partnering for SuccessClear Market Leadership – Technology you can trust

Best of Breed Solutions

Unparalleled Value

CRM that can grow with your business

Core competencies let you focus on business, not technology

On Demand CRM from IBM and Onyx

Partnership with IBM Professional Services

Onyx-in-a-Box Offering Through IBM and Sirius Computer

Business process management is a core component of CRM─today

• It just isn’t easy

• It doesn’t go deep enough

• It’s not as broad as it should be

World-class CRM deployments don’t just support business processes, they drive them.

The BPM in Onyx CRM today: July 2004

Ability to define business rules

• Built-in workflow capabilities

• System triggers for cross-functional activities

• Onyx Enterprise CRM 5.0 Process Scripting for streamlining

customer-centric workflows

• Graphical design environment for rules authoring

• Real-time and scheduled rules execution

• Compatible with Onyx Enterprise CRM 5.0

Fully integrated rules engine

Business analysts and administrators—non-technical people—

build and modify business rules in Onyx applications

without writing code

The BPM in Onyx CRM: December 2004

How it works

• Intuitively presents workflows and links to users graphically

• Determines the order of execution

Adds:

• Graphical forms designer

• Onyx Forms, a form rendering environment

Non-technical people build custom extensions to the Onyx CRM

without coding

Supports complex multi-user, multi-threaded processes that span

departments and systems

A sophisticated process design environment for building forms and data flows

Another wave of CRM innovation:

Coming Next Year

Our acquired technology is unique because it includes all aspects of BPM and BRA

Business process management

WorkflowWorkflow assignment, escalation, and administration

Business Rules EngineWizard guides the user through the steps of creating rules

Business rules automation

User Interface DesignerEnables complex UI design elements, such tab controls

IntegrationWeb services, COM, Java, ODBC

XML Mapping technology

Sync and Async support

Onyx Enterprise CRMCustomer relationship

management

Get on board or get out of the way*

• Business agility

• Regulation compliance

• Enterprise process alignment

• Organizational collaboration

• Adherence to methodologies

Faster and more cost effectively

* Jim Sinur, vice president, Gartner Research

* Jim Sinunu

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Q & A

Ben Kiker

Chief Marketing Officer, Onyx Software

BenK@onyx.com

Jim Sinur

VP and Distinguished Analyst, Gartner Group

Jim.Sinur@gartner.com