Breakthroughs in Business Performance Management

BPM initiatives come up against a variety of hurdles. Companies that reap the big benefits are those that clear the way for success -- and recognize milestones when they see them.

Companies that have launched successful business performance management (BPM) software implementations often experience a defining moment that leads to an important breakthrough. Such moments may occur, for example, when the software automates a tedious procedure and frees employees for more creative tasks or when an early win convinces skeptics of the system's potential. These positive developments almost always have the same impact -- they legitimize the initiative and make it an integral part of people's everyday work lives.

Breakthroughs sometimes occur spontaneously as users discover the power of the new software. Craig Schiff, president and CEO of BPM evaluation and implementation services provider BPM Partners Inc. in Stamford, Conn., recalls how one company's BPM initiative provided a disconcerting insight. "There were hundreds of reports being generated that no one ever read," he says. "It was only when the reports were automated with a new BPM system that people started looking over the reports online, realized about 90 percent of what was contained was meaningless and ended up producing reports that focused on areas more pivotal to the bottom line.

"Other breakthroughs can come from a clearer understanding of customer profitability," Schiff adds. "In one instance, a company discovered it was spending the same amount to land a smaller client as it did to land a larger one, enabling senior management to shift strategic focus toward more large clients and fewer smaller ones."

While positive defining moments are often unpredictable, companies implementing BPM systems can pave the way for decisive breakthroughs by carefully laying the groundwork.