IBM Software Day 2013. Process innovation

Kamran Shahin
WebSphere Sales – Process Innovation
kamran@ae.ibm.com

Process Innovation for 2013
The IBM Vision for BPM, ODM and SOA

Business Process Effectiveness is the Top Priority for Executives

McKinsey’s Global Technology Survey

found that “Improving business

process effectiveness” ranked as the #1

priority for executives

McKinsey Global Technology Survey, December 2011 , How IT is Managing New Demands
https://www.mckinseyquarterly.com/High_Tech/Strategy_Analysis/A_rising_role_for_IT_McKinsey_Global_Survey_results_2900

Effective and Efficient Processes Deliver Significant Results…

Horizon Healthcare speeds up payments to members and
providers while achieving over 300% return on investment

City of Madrid reduces emergency response time by 25% through
end-to-end co-ordination of emergency and municipal services

Globe Telecom increases promotion related sales by 112%
through an improved customer experience and more effective
campaigns

… but Process Defects can Topple Major Global Companies

“Between now and year-end
2014, overlooked but easily

detectable business process

defects will topple 10 Global 2000

companies”
~ Gartner

http://www.gartner.com/it/page.jsp?id=1530114

What is Process Innovation ?
Process Innovation blends process discovery, modeling, execution, change, governance
actionable analytics and end-to-end visibility to achieve better business outcomes.

Achieve better business outcomes

 Visibility &
Collaboration

 Software  Business User
Engagement
 Expertise
 Efficiency
& Productivity

7
7

Triggers that Signal the Need for Process Innovation

Poor visibility into business processes

Lost productivity due to unstructured tasks or inconsistent prioritization

Inefficient work environment spanning multiple systems

Significant amount of rework due to exceptions

Inability to change processes as frequently as business demands

“Business As Usual” Begs for Operational Improvement

Customer
Service Finance
Account 1.
1 Unstructured Tasks and
Administration and Ops
6 Communication (ex Paper
Executive
1 Management or email)
3
2.
2 Inefficient Working
Environment Spans
Systems
Invoice
Reconciliation 3.
3 Inconsistent Prioritization
Teams
2 4.
4 Incomplete or Inaccurate
Data Flow Between
Systems

4 5.
5 Lack of Control Over
System and Business
5 Events (Exceptions)
6.
6 Poor Visibility Into Process
Performance

9

Process Innovation Provides Visibility & Control

Finance Executive
and Ops Management
Account
Administration
Risk Management What to do?
Customer Teams
Service
How to do it?
When to do it?

Building Blocks to Achieve Process Innovation
Empowering business and IT users to easily manage change
Business rules and analytics provide
flexibility for repeatable decisions that
change frequently

Processes can mix structured and
unstructured activities, according to
business needs

Flexible integration interconnects
applications and services across
the organization

Simplicity for deep business user engagement
Process Designer

 Simple standards-based tool allows every team
member - including nontechnical users - to
collaborate on process design and analysis

 Graphical end-user view of process status to
understand the current position in the process
Process Designer provides a single
model-driven design environment that
simplifies collaboration on process  Explicit event modeling defines workflow
design and analysis and exception handling

12

Validate process requirements and changes faster
Built-in Playback

 Instantly step through and review the current
process design by actually executing it

 Playback executes with a single click

 Nothing to compile or install.

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Playback faster simplifies
 Allows playback of incomplete and process review
completed processes

Get real-time visibility with built-in performance data
Performance Data Warehouse

 Empowers business users to optimize
business processes with process
monitoring and analytics

 Automatically gathers and correlates
performance events and business data

 Real-time scoreboards provide visibility
into work-in-progress and the ability to
take corrective action when necessary

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Optimize processes for greater business value
Process Optimizer

 Real-time scoreboards provide visibility  Detects bottlenecks and performance
into work-in-progress and the ability to thresholds and displays them using visual heat
take corrective action when necessary map overlays

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Start at the Point of Greatest Need…

Product Development Go-to-Market Order to Cash
Reduce time to market of new Dynamic pricing to respond to Account opening process
products & services market conditions automation
Streamline production procurement Leverage customer insights for Automated order processing
sourcing target marketing & fulfillment

Insurance Banking
 Automated claims processing  Reduced loan processing times
 Improved fraud detection  Financial risk & regulatory compliance

Healthcare Government
 Improved patient care  Customs & border control
 Personalized fitness & nutrition  Improved public safety

Energy & Utilities Travel & Transportation
 Power grid management  Online ticketing & reservations
 Energy consumption management  Travel & hotel pricing management
Retail Manufacturing
 Retail distribution supply chain  Manufacturing production quality & control
automation  Reduced manufacturing production time
 Customer loyalty programs

16

Empower Business Users by Extending Access to Mobile
Flexible access promotes broad adoption

Simple task forms and intelligent
“coaches” guide user inputs

17

A Large Asian Bank
Automates the risk assessment of issuing credit cards
Challenges:
• Handle explosive demand for credit cards
• Systematically manage credit risk assessments
Business Process and Decision
• Improve operational efficiency Management Solution

Benefits: • Automated credit assessment and
• Identify potential credit card fraud card issuing system

• 300% improvement in employee productivity • Process large volumes of
transactions in real time
• Approval process with human intervention only for
exception cases

“Using IBM WebSphere ILOG JRules and its BRMS, we’ve decreased the pressure our officers faced at work every day in processing and attempting to
approve a myriad of credit card transactions. We have already realized an improvement of more than 300 percent in our staff productivity, and a savings of
1 million Yuan per year using the BRMS …” Chief Engineer, Major Asian Financial Services Firm
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Lincoln Trust achieves rich teaming between business and IT
By leveraging IBM BPM

Client Pains:
Paper overload
 100,000+ client requests per month each generating a paper-based
process instance
Poor IT-business relationship
 Knew paper problem was a process problem but limited IT/Business
collaboration prevented improvement

Real Results:
 $2.2 million in savings to date
 120% ROI in one year
 25% increase in employee productivity
 50% - 75% reduction in cycle times

Lincoln Trust developed an aligned process focus across the company,
removing physical paper from 145 company processes

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HealthNow creates a streamlined and efficient enrollment and
plan change process

Client Pains:
 Hard-coded legacy systems
 Paper-intensive
 Manual and disjointed processes

Real Results:
 Speed to market gains of over 50%
“…enabled us to automate,  Reduction in enrollment time and
optimize and monitor critical
business decisions within core administrative costs
processes”

IBM is the proven leader in all aspects of BPM

#1 in BPMS market share for 2011

IBM was named the number one vendor in BPMS software with a
27.1 percent share, almost triple that of its closest competitor*

Largest Strongest Unparalleled
Customer Base Ecosystem expertise

Over 5000 BPM Over 1000 certified Over 15 years of
customers worldwide business partners industry leadership
and growing

*Source: IBM Press Release; http://www-03.ibm.com/press/us/en/pressrelease/37376.wss

Next Steps

See it in Action
Ask your sales representative to see the solution live

Learn what’s possible with a On-site workshop with business and IT
Discovery Workshop
stakeholders to evaluate the applicability of
Process Innovation for your project

Implement a real Demonstrate immediate value to your LOB
project in 10 weeks
with a Quick Win Pilot end-users with your first „Quick Win‟ in 10
weeks

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IBM Software Day 2013. Process innovation

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IBM Software Day 2013. Process innovation