Business Process Management (BPM) and Global Competitiveness

BPM and Global Competitiveness
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May 22, 2023
Business Process Management (BPM) is crucial in enhancing competitiveness and collaboration in the global economy. This paper analyzes Case 1 from Chapter 28, which focuses on a global automotive component company (GACC) that implemented a BPM project to address issues and improve its global competitiveness. Accordingly, this paper aims to examine the issues faced by GACC, the expected benefits of BPM, potential risks, and the critical phases and steps required for project success.
Issues and Expected Benefits of BPM
GACC encountered several issues that could have improved its competitiveness in the global marketplace, such as varying business process operating models, fragmented processes, limited visibility, and suboptimal performance. In response, GACC undertook a BPM project to address these challenges and realize significant benefits. Numerous studies have highlighted the positive impact of BPM on organizations. For example, one study on the subject matter found that organizations implementing BPM experienced streamlined processes, resulting in improved efficiency, reduced cycle times, and enhanced overall performance (Ghobakhloo et al., 2023). This aligns with GACC's objective of optimizing end-to-end business processes through BPM, ultimately leading to greater operational effectiveness.
Another study by Giannakis et al. (2019) demonstrated that BPM implementation improves visibility into processes, enabling organizations to monitor operations effectively, identify bottlenecks, and make proactive decisions. GACC sought similar benefits by implementing BPM, as it recognized the importance of gaining better visibility into its processes. GACC could identify inefficiencies, track performance metrics, and make data-driven improvements with enhanced visibility. This aligns with the study's findings, which emphasized the significance of effective monitoring and decision-making enabled by BPM.
Furthermore, research by Garcia and Martinez (2020) emphasized the role of BPM in fostering collaboration across departments, leading to seamless coordination and communication. By promoting cross-functional collaboration, BPM facilitates knowledge sharing, breaks down silos, and fosters a culture of teamwork (Dingayo, 2023). GACC aimed to capitalize on these benefits by leveraging BPM to enhance internal and external collaboration. This would allow GACC to tap into the collective expertise of its employees, promote innovation, and improve overall productivity and customer satisfaction, as suggested by the study's findings.
Risks and Potential Issues
While implementing BPM at GACC held promising benefits, it was not without risks and potential issues that could have led to project failure. Research and case studies have shed light on some common challenges associated with BPM implementation.
One such challenge is organizational and cultural resistance. In this case, GACC faced the hurdle of its traditional culture, prioritizing cost and regional considerations over cross-functional collaboration. This cultural barrier could impede the successful adoption of BPM practices, requiring GACC to address cultural resistance...