Business Processes and Software Quiz

Business Process Dependence on Business Software

• Business processes today are highly dependent on their corresponding business software, to the extent that the execution of the former is impossible without the latter.
• The name of the business software is now synonymous with the name of the business process it supports.
• A business software can implement a set of information systems, and if a collection of business processes is executed with a single business software, the name of the software is linked to the collection of business processes.
• The level of complexity in understanding all the business processes of a company depends on the company and its position within its supply chain.
• To see all the business processes of a company, one can view all the modules of its "bigger" business software or all the modules of an Extended ERP System.
• The Extended ERP System is a particular collection of tactical, strategic, and operational business processes.
• The reasons for the widespread adoption of ERP systems include their adoption of the Value Chain model, the PDCA model, and the Best Practice method.
• The Extended ERP extends the ERP to include other tactical, strategic, and operational business processes.
• An Extended ERP System can be obtained through two approaches: the EAI approach, which joins existing different business software with some EDI, and the ERP approach, which is a new single business software that is process-centered and cross-functional.
• The EAI approach is currently the most used approach to obtain an Extended ERP System, as it allows the ERP System to be connected to the Best-of-breed Software.
• An Extended ERP System must include areas such as finance, sales and marketing, procurement, human resources, and operations to be considered an ERP System.
• Understanding the modules of an Extended ERP System is essential for executing the business processes of the entire company.

Business Process Management and Improvement

• BPM (Business Process Management) integrates an organization's strategy and goals with customer needs by focusing on end-to-end processes.
• BPM involves analyzing, designing, implementing, controlling, and continuously improving processes, as well as establishing process governance.
• The benefits of BPM include eliminating sub-optimization and non-value adding activities, enhancing customer satisfaction, and leading to continuous improvement.
• BPM aims to eliminate sub-optimization, which occurs when departments work only for their own success, and non-value adding activities, also known as waste.
• Using BPM can result in higher customer satisfaction by meeting expectations, increasing product quality, and potentially reducing prices through cost reduction.
• Process improvement through BPM means that a process better achieves its objectives based on its measures.
• Company changes cannot be solely achieved through BPM, as they require the involvement of people and may necessitate Change Management.
• The course will cover topics such as analyzing an ERP system, BPM implementation, governance, extending IS beyond BPM, and process improvement.
• BPR (Business Process Reengineering) is an approach that involves a single fast jump to rethink the process from the ground up, aiming for one big improvement.
• CPI (Continuous Process Improvement) is an approach that involves many small, slow steps to adjust and improve the existing process incrementally.
• Both BPR and CPI are approaches used to improve business processes, with BPR being fundamental, innovative, and decisive, and CPI being incremental, conservative, and persistent.
• There are two possible ways to improve a business process: through a single fast jump (BPR) or through many small slow steps (CPI).