Survey reveals business process management is an important driver for companies' business strategies
Sunnyvale, CA — July 10 — 80 percent of information technology (IT) decision makers from global companies ranked business process management (BPM) as one of the most important drivers for their company's business strategy, spurred by the continuing decrease of IT budgets against a backdrop of increasing expectations to deliver more, through better utilization of existing assets.
This is according to a BPM survey conducted by business process integration solutions provider Vitria.
The sampling of companies surveyed use BPM for managing both internal and external processes, across multiple applications and even different businesses. A majority of survey respondents reported that BPM reduced process time and costs by more than 50 percent, with return on investment (ROI) delivered within months of implementation.
The quantifiable business value of BPM, according to the survey was realized primarily in business process efficiencies, decreased costs and reduced delays associated with human involvement in processes.
Vitria said the results of the survey validate what such research firms as Wintergreen Research have been saying about BPM's benefits. The analyst firm predicted that BPM would be a $1.5 billion market by 2007 and would comprise about 30 percent of the total integration market by 2007, versus 10 percent in 2001.
"You can expect BPM revenue growth to continue to exceed enterprise application integration (EAI) growth," said Sue Eustis, president and co-founder, Wintergreen Research. "Orchestrating systems using a process-centric approach maximizes customer IT investments, while EAI creates sustainable middleware 'plumbing.' Successful companies are focused on BPM, which delivers solid ROI, to reduce costs, improve efficiency and positively affect the bottom line."
In addition, Jim Sinur, vice president and research area director for Gartner stated in his report, "BPM delivers on the promise of short-term savings and is attractive in the current economy, in which raising revenue is more difficult than creating cost efficiencies." (from the "Agile Process Integration Is Emerging In BPM" report from December 5, 2002.)
"True BPM allows an organization to be more agile in modifying its business processes to compensate for today's dynamic business conditions," said John Philpin, vice president, marketing, Vitria. "The survey results demonstrate the role that BPM plays in both creating a business infrastructure and enabling companies to reach their revenue and growth targets, while reducing costs and creating operational efficiencies through leveraging existing assets."