BPM Phase 2: Simulation

Phase 2:  Simulate or Measure Potential Impact on Your Business

The Business Analysts or Project Managers are responsible for figuring out just how this process can be improved.   An experienced BA or PM may have some sound methodologies and techniques that they use to make these decisions.   However, simulation software may help the BA or PM make these decisions more rapidly and accurately, depending on the situation.

Using Simulation software is a great way to determine how your business process may potentially impact your business by emulating the performance of that process before it goes into production.  This technique can be used to vet out the details of new business processes, as well as to optimize existing business processes.

The Value of Simulation:

If your organization produces “Widgets”, how can you quickly determine how much it costs your organization to produce a single widget?  How do you determine which activity within “Widget production” is the most time consuming or costly?

Better yet, if you’re interested in producing a new widget that you’ve not produced before, how do you determine whether or not producing that widget will be cost-effective and profitable for your business?

The answer – Simulation.

Think of simulation as a “crash test dummy” for your business process.  You can simulate the process, given the current users, costs, activities, and task durations that you know about today.  Then, you can run the process for a “perceived” period of time, such as a week, or a month.  Once the simulation has completed, you can view the performance results and process metrics which enable you to make better decisions about how to execute this business process before you go through the time and expense of putting it into production.

With these results, you can determine if you’re on track to reaching your process (or process improvement) goals, or if you need to go back to the drawing board.

Advantages of using business process simulation software:

  • Identify bottlenecks within your business process and determine why they occur
  • Determine which activities require an increase or decrease in headcount
  • Identify areas within the process where you can reduce production costs
  • Automate business decisions by building them into the process
  • Improve overall process performance and increase productivity

Once your business process model and simulation results are agreeable to your project team, you’re ready to hand off the “blueprint” to IT for Phase 3.

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