Business process management (BPM) is a systematic approach to making an organization’s workflow more effective, more efficient and more capable of adapting to an ever-changing environment.
BPM brings together a variety of disciplines to remove bottlenecks, reduce waste, automate tasks, standardize procedures and identify areas for improvement.
Learn more about how Tallyfy helps organizations reap the benefits of BPM here.
Who is this article for?
- Organizations looking to improve efficiency, reduce costs and boost productivity
- Companies undergoing digital transformation initiatives
- Businesses struggling with bottlenecks, waste and inefficient processes
- CEOs and C-level executives
- Operations managers
- Process improvement specialists
- Business analysts
- IT managers
The roles listed above are key stakeholders in identifying, analyzing and optimizing business processes to drive organizational improvement. BPM requires cross-functional collaboration to be successful.
What are the key benefits of business process management?
Business process management, when done right, can deliver significant benefits to organizations of all sizes. Here are some of the top advantages:
1. Improved efficiency
At its core, BPM is about making processes more efficient. It involves analyzing current workflows to identify areas of waste, duplication and bottlenecks. By streamlining processes, organizations can reduce cycle times, eliminate unnecessary steps and automate manual tasks.
For example, consider a company’s employee onboarding process. Without BPM, it might involve printing and signing multiple paper forms, manually entering data into disparate systems, and a series of time-consuming approvals. Applying BPM principles could result in digitizing forms, integrating systems, and automating workflows to significantly speed up the process.
Fact
Organizations that implement BPM practices see an average 20-50% improvement in process efficiency, according to BPM Institute.
2. Cost savings
Inefficient processes waste time and resources, leading to higher operating costs. BPM helps organizations reduce these costs in several ways:
- Automating manual tasks reduces labor costs
- Standardizing procedures minimizes errors and rework
- Optimizing resource utilization improves productivity
- Identifying and eliminating waste cuts unnecessary spending
Even small improvements can add up to significant savings over time. For instance, digitizing a paper-based process could save thousands of dollars per year in printing and storage costs alone.
Quote
Continuous improvement is better than delayed perfection.
– Mark Twain
3. Enhanced customer experience
Today’s customers expect fast, seamless experiences. Clunky, inefficient processes lead to delays, errors and frustration. BPM helps organizations design processes with the end customer in mind.
For example, many companies are using BPM to streamline customer onboarding. By digitizing applications, integrating credit checks, and automating approvals, they can get customers up and running in a fraction of the time. This leads to happier customers and a competitive advantage.
BPM also enables greater consistency and quality control. By standardizing processes and minimizing variation, organizations can ensure customers receive the same high-quality experience every time.
4. Agility and flexibility
In today’s fast-paced business environment, the ability to rapidly adapt is critical. BPM makes organizations more agile by providing a framework for continuously improving processes.
With BPM, processes are modeled and documented, making it easier to identify opportunities for improvement. As market conditions or customer needs change, processes can be quickly modified and rolled out to the organization.
BPM also enables greater flexibility by breaking down silos between departments. By taking a holistic, cross-functional view of processes, organizations can more easily pivot and reallocate resources as needed.
Tip
Start small with BPM. Focus on a single, high-impact process to prove the concept before expanding to other areas of the organization.
5. Compliance and risk management
Many industries have strict regulations and compliance requirements. Violations can result in hefty fines, reputational damage, or even criminal charges. BPM helps mitigate these risks by providing greater control and visibility over processes.
With BPM, every step of a process is documented and tracked. This audit trail is invaluable for demonstrating compliance to regulators. It also makes it easier to identify and correct any deviations from standard procedures.
Some BPM software includes built-in compliance features, such as enforcing segregation of duties, securing sensitive data, and generating compliance reports. This can significantly reduce the burden and cost of compliance.
Quote – Rhonda Toston
Tallyfy provided us with a modern, global platform to automate, maintain, and cascade content to a wide array of stakeholders, effectively eliminating the need for our teams to ask, “Where can I find the latest version of a playbook?”. We’re excited to continue our partnership with
Why is Onboarding New Employees So Important?
Onboarding is a critical process for any organization that wants to set new employees up for success. It’s the first impression that a company makes on a new hire, and it can have a significant impact on their engagement, productivity, and retention. According to a study by Becker and Bish (2021), onboarding provides an opportunity to realize a return on investment from hiring processes and ensure that new employees meet their full potential.
Effective onboarding programs go beyond just paperwork and orientation. They are designed to help new employees understand the company culture, values, and expectations. They also provide an opportunity for new hires to build relationships with their colleagues and managers, and to learn the skills and knowledge they need to succeed in their roles.
Fact
A study by Glassdoor found that organizations with a strong onboarding process improve new hire retention by 82% and productivity by over 70%. (Source)
What Are Some Best Practices for Onboarding New Employees?
There are many different approaches to onboarding, but some common best practices include:
- Starting the onboarding process before the new hire’s first day, with pre-boarding activities like sending a welcome package or setting up their workstation
- Assigning a mentor or buddy to help the new hire navigate the company culture and processes
- Providing clear expectations and goals for the new hire’s role and performance
- Offering training and development opportunities to help the new hire build their skills and knowledge
- Regularly checking in with the new hire to provide feedback and support
Some companies take a more creative approach to onboarding. For example, Maksymiuk (2017) studied the onboarding programs of well-known companies and found some unique practices, such as:
- Offering new hires money to quit after their first week if they don’t feel the job is a good fit
- Greeting new employees with a bottle of wine on their first day
- Sending new hires on a scavenger hunt to learn about the company’s history and culture
How Can Technology Enhance the Onboarding Process?
As the workplace continues to evolve, technology is playing an increasingly important role in onboarding. Artificial intelligence (AI) and machine learning can help personalize the onboarding experience for each new hire based on their role, background, and learning style. For example, an AI-powered chatbot could answer common questions and provide resources, freeing up HR staff to focus on more strategic tasks.
Virtual and augmented reality (VR/AR) can also be used to create immersive onboarding experiences. New hires could tour the office, meet their colleagues, and even practice job-related scenarios in a virtual environment before their first day. This could be especially useful for remote workers who may not have the opportunity to visit the office in person.
Blount (2022) found that a robust and well-executed onboarding program can mitigate employee attrition and serve as a catalyst for retention. As the war for talent continues to rage, companies that invest in innovative and effective onboarding will have a competitive advantage in attracting and retaining top performers.
Related Questions
What are the benefits of employee onboarding?
Onboarding new employees effectively can lead to a host of benefits for both the individual and the company. A well-structured onboarding process helps new hires feel welcomed, valued, and prepared to contribute from day one. It accelerates their time to productivity, boosts their confidence, and fosters a sense of belonging within the team. Ultimately, investing in a robust onboarding experience can improve employee retention, job satisfaction, and overall performance.
What is the value of onboarding new employees?
The true value of onboarding lies in setting new employees up for long-term success. By providing a comprehensive introduction to the company’s culture, expectations, and workflows, onboarding equips new hires with the knowledge and tools they need to thrive in their roles. This early investment pays dividends over time, as properly onboarded employees tend to be more engaged, committed, and aligned with the organization’s goals. In essence, effective onboarding lays the foundation for a mutually beneficial relationship between the employee and the company.
Why is it important to properly onboard new employees?
Properly onboarding new employees is crucial because it sets the tone for their entire experience with the company. A well-executed onboarding process not only familiarizes new hires with their job responsibilities but also helps them understand how their work fits into the bigger picture. By addressing common anxieties and providing ample support, proper onboarding can prevent early turnover and boost morale. Moreover, it ensures that new employees are equipped to contribute to their fullest potential, driving productivity and innovation from the start.
What are the benefits of new employee orientation?
New employee orientation is a key component of the onboarding process, offering a wealth of benefits for both the new hire and the organization. By providing a comprehensive overview of the company’s history, mission, and values, orientation helps new employees develop a strong sense of purpose and alignment. It also facilitates social integration, allowing new hires to connect with colleagues and build a support network from day one. Additionally, orientation can streamline the administrative aspects of onboarding, ensuring that new employees have access to all the resources and information they need to hit the ground running.
References and Editorial Perspectives
Maksymiuk H. Onboarding New Employees: Review of Current Practicies. Periodyk Naukowy Akademii Polonijnej. 2017;20:123-128. https://doi.org/10.23856/2014
Summary of this study
This study reviews the onboarding practices of well-known companies, highlighting unique approaches such as offering new hires money for not working at the company or welcoming them with a bottle of wine. The author identifies common features of successful onboarding programs, providing valuable insights for organizations looking to improve their own onboarding processes and enhance the employee experience.
Editor perspectives
At Tallyfy, we believe that a well-designed onboarding process is crucial for setting new employees up for success. By incorporating creative and thoughtful elements, companies can make a lasting positive impression on their new hires, fostering engagement and loyalty from day one.
Becker K, Bish A. A Framework for Understanding the Role of Unlearning in Onboarding. Human Resource Management Review. 2021;31:100730. https://doi.org/10.1016/j.hrmr.2019.100730
Summary of this study
This paper introduces a new framework for onboarding based on learning theory, emphasizing the importance of unlearning and recognizing the unique learning needs of different talent segments. By applying this framework, organizations can design more effective onboarding programs that optimize outcomes for both new employees and the company as a whole.
Editor perspectives
As a workflow management platform, Tallyfy recognizes the significance of tailoring onboarding processes to the specific needs of different employee groups. By leveraging the insights from this study, we can help our clients create onboarding workflows that facilitate unlearning and support the unique learning requirements of their diverse talent pool.
Blount JB. Betting on Talent: Examining the Relationship Between Employee Retention and Onboarding Programs. Engaged Management Review. 2022;5. https://doi.org/10.28953/2375-8643.1083
Summary of this study
This article explores the relationship between employee retention and onboarding programs, considering the evolving expectations of employees in the United States. The study suggests that a robust and well-executed onboarding program can mitigate employee attrition and serve as a catalyst for employee retention, making it a valuable investment for organizations seeking to retain their top talent.
Editor perspectives
At Tallyfy, we understand that employee retention is a critical factor in maintaining a competitive advantage. By offering our clients the tools to create and manage effective onboarding workflows, we empower them to welcome new hires, introduce them to the company culture, and ultimately foster long-term employee engagement and loyalty.
Glossary of terms
Onboarding
Onboarding is the process of integrating new employees into an organization, familiarizing them with the company culture, policies, and their specific roles and responsibilities. A well-designed onboarding program helps new hires feel welcomed, supported, and prepared to contribute to the organization’s success.
Employee retention
Employee retention refers to an organization’s ability to keep its employees over an extended period. High employee retention rates indicate that employees are satisfied with their jobs, feel valued by the company, and are less likely to seek employment elsewhere.
Organizational commitment
Organizational commitment is the degree to which an employee identifies with and feels a sense of attachment to their employing organization. Employees with high organizational commitment are more likely to remain with the company, even in the face of challenges or attractive offers from other employers.
Socialization
Socialization, in the context of onboarding, refers to the process by which new employees learn and adapt to the social and cultural norms of the organization. Effective socialization helps new hires feel a sense of belonging and enables them to navigate the company’s informal networks and relationships.
Unlearning
Unlearning is the process of discarding outdated or irrelevant knowledge, skills, or behaviors to make room for new, more valuable ones. In the context of onboarding, unlearning may be necessary for new employees to adapt to the unique processes, tools, or approaches used by their new organization.
