Business Silos Barrier to Business Process Management (BPM)

Loraine Lawson
Slide Show

Seven Deadly Sins of Business Process Management (BPM)

Organizations must be aware of the possible downfalls of implementing a BPM campaign with inadequate focus on end-user adoption.

If you want to succeed with business process management (BPM), then the first thing you should look at is how to dissolve the silos in your company. These cultural silos - particularly the unintentional "functional" silos - are one of the top barriers to BPM, according to a recent Global Business Process Management report from Capgemini.

 

Capgemini surveyed 1,000 senior business and technology leaders about their adoption of BPM. Of those who had experience with BPM, many cited these silos as a barrier, with 55 percent either slightly or strongly agreeing.

 

"This method of working (editor's note: meaning, silos) promotes efficiency within a particular silo, but undermines the possibilities for working collaboratively and seamlessly across an organization," the report states. "The attempt to introduce cross-functional BPM can lead to internal politics."

 


Other problem areas for BPM initiatives:

 

  • Fragmented budget
  • A perception that BPM is "an IT item"
  • Conversely, long-time IT staff who resist BPM
  • A lack of change readiness or willingness.


Overall, those who have done BPM are happy with the results. While only 39 percent say they've tried to formally measure the ROI, but when they did, 96 percent found a positive ROI and 55 percent said they'd measured a return of at least twice their initial investment.

 

Those in the know - who have knowledge and practical experience with BPM - also see it very much as a C-level concern, the report found, with 82 percent saying it should be part of the high-level business strategy.

 

So that's good.

 

The problem is, overall, only 20 percent say it's actually treated that way at their organization. It seldom has a senior sponsor, and that is key to success with BPM, Capgemini contends.

 

"To be successful, BPM needs to address organizational silos. In order to allow this to happen, executive sponsorship at enterprise level is essential." the report states. "Strong BPM leadership at a strategic and tactical level is essential for long-term BPM success."

 

The report notes there are several drivers for BPM, including better compliance and risk management, the need to manage both negative and positive social data, as well as the drive to become more efficient and customer-centric.

 

The full report is available online for free reading or downloading.



Add Comment      Leave a comment on this blog post
May 25, 2012 2:45 AM @PaperlessJason @PaperlessJason  says:

I could not agree more.  I have talked to many an IT pro who begrudges the use of silos.  I wonder where all these C-level executives that are looking for BPM solutions are?  The product my firm implements, Laserfiche, is known for helping organizations get their data out of silos and into efficient repositories of data, easily searchable by everyone in need.  It is technology at it's finest, at least in my personal opinion.

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May 25, 2012 11:26 AM Help I Have BPM Help I Have BPM  says:

Loraine good point. Silos feel and are achaic in these day and age. A more customer focused organization structure where there are functional groups seem to be a better model. Maybe a CEMM method. Though silos are definitely important in certain field where there is a lot of repetitive work oon a high scale like manufacturing, we should be exploring new ways to innovate and work.

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