ITPEC FE Morning October 2019 Question 64
Which of the following is an explanation of BPM?
Explanation
A management cycle of analysis, design, execution and improvement built into business processes — BPM improves processes continuously.
BPM (Business Process Management) analyses a business process, designs it, runs it, monitors how it performs, and feeds the findings back into the next redesign: a PDCA cycle applied to workflows. Unlike BPR, which reforms processes once and drastically, BPM never stops, so the processes keep being revised.
Answer (c)
Why not others:
- •(a) — exchanging information in real time along the chain from component supply to product sale, to cut inventory and lead time, is SCM
- •(b) — consolidated management of production, materials, sales, finance and human resources to optimize company-wide resources is ERP
- •(d) — managing every customer-facing process (sales, maintenance, queries, claims) from a customer database is CRM
Key rule: BPM is an ongoing improvement cycle over business processes; BPR is a one-off, drastic process redesign.
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