The acronym BPM has been used in many sectors of the business industry, the most popular meanings of which are Business Process Management and Business Performance Management. As you may have noticed, the difference lies on the meaning of letter P Process and Performance. Given this distinction, you may have a slight idea what makes Business Process Management different from Business Performance Management.
Business Process Management is the proper alignment of the several sets of activities and tasks that need to be carried out to efficiently deliver the needs and wants of clients or customers. This management approach promotes business efficiency and effectiveness to make way for certain changes within the system to realize company goals and objectives.
The interrelated activities and tasks should lean towards flexibility, innovation and integration with technology to successfully perform dynamic processes for business growth and development.
On the other hand, Business Performance Management focuses on the determination of various processes that are proven effective in helping organizations optimize business performance. By doing so, this other version of BPM assist businesses in maximizing the use of resources, in terms of financial, material, or human to drive performance through the automation and organization of business methodologies, systems and metrics.
Through the years, people have struggled to think of certain business strategies and transform them into measurable metrics that will eventually result to the analysis of cause-effect relationships to deliver projected and profitable insights to business owners. Because of this, process automation took place and the release of various BPM software packages just goes to show the need to link and integrate business approaches together to produce satisfactory outcomes.