A Business-Driven Approach to Integration
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Business Process Integration
The need to integrate business processes is currently on demand for e-business solutions. Business process integration is back on the corporate agenda. This time around businesses and IT executives should take a holistic approach to business processes integration.
Holistic business process integration requires evaluating the internal business units and external stakeholders, such as e-marketplaces, supply chains, partners and customers. A business process integration initiative should identify and consolidate automated and manual business processes across business units to better serve customers, shareholders and the community in which the enterprise functions. And this may mean integrating business units as well.
Business process integration is a major component of your e-business integration strategy. The redundant business units, performing redundant processes, have spawned redundant data structures and systems. In other words, business process integration helps you develop new ways to solve old business problems, faster and more cheaply than with traditional solutions . BPI is focused on the business aspects of an integration project.
BPI allows previously segregated business units to work in synthesis, enables business units to integrate processes with external entities and consolidates redundant processes across functional areas. This results in an enterprise that is more efficient and effective, which in turn drives up revenues and drives down costs. A BPI undertaking needs to be expressed at the onset in terms of the business goals to be achieved.
BPI relies on certain critical success factors, the most important of which include:
- Ensuring that BPI is a business-driven approach to integration
- Building a BPI coalition that crosses functional and enterprise boundaries
- Utilizing technology that facilitates BPI collaboration and deployment
BPI: A Business-Driven Approach to Integration
Many organizations focus on technology-driven integration when they could derive exponentially greater value from a business-driven approach. Examples of technology-driven integration are found in situations where IT leads an effort to connect Web-based applications to back-end systems and databases. While a technology-driven effort, such as Web-enabling legacy systems, provides tactical value in the near term, BPI provides long-term exponential value by addressing integration from a business perspective.
Business process integration allows organizations to realize the full potential of the knowledge and data within the company, making it available when and where it can be of most value to the business. It allows an organization to fully deploy the strengths and assets of its existing systems to support the changing needs of the business.
Here are seven points that companies should follow when launching a business process integration project:
- Clearly define the challenge. Try to fix a solution rather than digging into the root cause of the issue. Don’t just create a layer of seemingly integrated processes, front-ends or websites that provide the illusion of integration. Management will catch on.
- Gain senior executive support. If you are changing organizational structures, you need to have the participation and support of top management.
- Establish collaborative teams of business, IT and third party stakeholders for the project. Process integration requires business analysts , executives, IT personnel and, in many cases, third parties.
- Create a holistic strategy that addresses business process integration from an organizational, process, data, systems and marketplace perspective. Consider how enterprise application integration tools can be deployed and then phased out as back-end integration takes hold.
- Look at the organizational structures behind the processes. You may be forced into an organizational redesign effort – including a shift to non-hierarchical management models that facilitate collaboration and adaptability with internal and external business entities.
- Model the processes. A large company will have an overwhelming number of processes that require integration and modeling them will help expose patterns among business units and third parties. Process models can also be used in the systems integration process.
- Create a knowledge base to support your project. A knowledge base of business processes can be used by analysts, IT personnel and e-business teams during the project and on an ongoing basis. Future redundancies will be avoided because analysts will be able to readily determine that a process already exists and should not be replicated.
Taking on a business process integration initiative is not a one-dimensional project. It is also not a trend or a fad, but a critical next step in making e-business integration a reality in your enterprise.
A key goal of modern enterprises is to integrate their business processes end-to-end across the company and with business partners, suppliers, and customers. Enterprise IT organizations pursue this goal by integrating the processes supporting software applications through business process integration (BPI) projects. Such projects can be challenging because different parts of the organization may follow different development processes and use different technologies and tools. Enterprises that find ways to optimize their BPI projects have a great market advantage. They can more quickly and effectively respond to emerging marketplace opportunities and competitive threats.
Business Process Integration (BPI) has become a vehicle for achieving sustainable value for corporations. BPI projects help promote revenue growth, increase customer satisfaction, facilitate e-business deployment and meet cost-reduction targets. BPI enables functional integration across segregated business units, extends vertical process management into supply and distribution chains, and provides companies with e-business integration capabilities.
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