Business Process Modeling: Definition, Benefits and Techniques

POST by Amit

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Businesses rarely operate at peak efficiency. To make sure that an organization is doing as well as it potentially can be, you’d need to constantly re-evaluate, improve, and sometimes even completely re-work your processes. Business process modeling is a good start for that.

What is Business Process Modeling, Anyway?

Business process modeling is the graphical representation of a company’s business processes or workflows, as a means of identifying potential improvements. This is usually done through different graphing methods, such as the flowchart, data-flow diagram, etc.

BP modeling is used to map 2 different states of the process: As-isthe state of the process as it is right now, without making any changes or improvements, and To-be, the future state, after making the changes or improvements.

Important note

You're probably wondering who we are. Tallyfy is a product that simplifies and automates your business processes. It's the secret to running smooth operations. Instead of creating process diagrams (which nobody looks at), documentation (which you can only read and never action), emails, chats and chaos - you can create and run any process in your company .

Settling for basic and cheap project or task management tools is the biggest mistake you can ever make. You get what you pay for. If you try to save a cent - you will lose a dollar. Wasted time (at $40/hour) is far more expensive than the cost of software. There's a huge difference between process management and project or task management. Processes relieve stress, make things predictable - and help you grow and become efficient. Projects and tasks are just ad-hoc, unpredictable chaos.

It's important to understand that context before you carry on reading. Successful people are smart enough to fundamentally the way they work "right now" and amaze themselves and everyone else with new ideas. You can stop fighting uphill battles every day immediately - and drive more personal success in your career by introducing the of creating, tracking and even enjoying tasks with your coworkers.

Anyway ... sorry for the interruption! Let's resume the rest of the article.

Business process modeling is usually used interchangeably with business process mapping – and they can be pretty much the same, depending on who you ask. They’re both used to graphically represent processes as a means of identifying potential weaknesses or improvements. The popular distinction between the two, however, is…

  Want to learn how to do process improvement with as-is and to-be processes? Read up our guide.

Business Process Mapping – dealings with both high-level and low-level mapping. i.e, it can be a very generic representation of a process, without getting into too much detail, or pretty much the exact opposite.

Business Process Modeling – deals specifically with low-level process maps, with the main purpose being process improvement.

While business process modeling, as a concept, is extremely useful, it’s not usually used as a stand-alone. Having a graphical representation of a process is good, but without the right implementation, you won’t go too far.

The KPIs you picked to benchmark, for example, could be wrong. In that case, you wouldn’t have a realistic way to benchmark the new process to the old.

Are you looking to document and run your processes?

Don't use MS Word or Google Docs, and don't use flowcharts.

Documenting your processes using flowcharts might look pretty and nice – but you can’t run them. Even worse – nobody looks at flowcharts.

Side note

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Anyway ... we'll continue from where we left off above.

SEE WHY HERE

To get the implementation part right, BP modeling is usually used as a part of a larger initiative…

Business Process Management (BPM) – A methodology of constant process re-evaluation and improvement. Just about the same thing as BPI and BPR, with the main difference being that BPM is continuous. That is, it’s not just a single process improvement initiative, it’s something you do constantly.

Business Process Improvement (BPI) – Usually part of  BPM, BPI means the mapping, analysis, and improvement of a single process.

Business Process Reengineering (BPR) – Essentially the same thing as BPI, with the main difference being how you’d change the process. BPR tends to deal with more major changes to the process, such as incorporating technology to completely change the way a process works.

Why Use Business Process Modeling: Top 5 Benefits

At it’s most basic, business process modeling helps with introspection. You get a deeper understanding of how your processes work & the way your business functions. Other than that, however, there are several other benefits…

  1. Improving Efficiency – The main function of BP modeling is to improve the way the processes are done. As a given, you’ll find different ways to improve the way the process works, which leads to higher efficiency, productivity, output, and finally, profits.
  2. Enforce Best-Practices & Standardization – If you’re running a big organization, there’s a good chance that different teams do the same process differently. Creating the best-practice design ensures that everyone knows how to do the process.
  3. Process Agility – If BP analysis is a norm within an organization, they will eventually develop a culture of innovation and change. By being able to constantly tweak business operations, you’ll be able to evolve in the face of technological change.
  4. Transparency – Everyone within your organization will be, more or less, aware of how your processes work: what’s the goal, how it operates, etc. This leads to accountability; who owns what process becomes transparent.
  5. Beat the Competition – As a result of all the other benefits we’ve mentioned, you’ll be able to beat and outlast your competition in the long-run.

Business Process Modeling Techniques

There are a lot of ways to do BP modeling, over 12 different techniques to be even more specific! Here are 3 of the most popular techniques…

Process Flowcharts

business process modeling flowchart for making breakfast

Process flowcharts are the easiest and most widely used BP modeling techniques. The way this works is pretty self-explanatory – you map your processes step by step.

The exact way you’d do this is up to you; the main idea, however, is to make it simple enough to understand at a glance. There are 3 ways to create flowcharts: pen & paper, flowchart software, or workflow management software.

Business Process Model and Notation (BPMN)

bpmn graph

BPMN is an open-industry standard for BP modeling and was developed by the BPMI (Business Process Management Initiative). It’s essentially a standardized method for flowchart mapping; meaning, the objects used are defined by the methodology, not the individual doing the mapping.

BPMN can be carried out exactly the same way as flowcharts, with the only difference being that you’d be using the elements within the graph as defined by BPMN methodology, not your own preference.

Data Flow Diagrams (DFD)

Data flow diagrams are designed to show the flow of data from one source to another. It describes how these processes relate to each other and to the people who use them.

It should be noted, though, that DFD isn’t about the technicalities of data storage. Rather, how the data flows through different processes.

Other helpful business process modeling techniques include Gantt charts, role activity diagrams, simulation models, and several others.

How to do Business Process Modeling

There’s no one-size-fits-all solution for business process modeling. At the end of the day, it really depends on what you’re trying to achieve. Typically, however, if you’re going for process improvement or re-engineering, there are 3 steps you’d take…

  1. Model Existing Process – Use one of the BP modeling techniques to put the process you’re working with down on paper (or software).
  2. Identify Inefficiencies & Potential Improvements – How well is the process performing? Is it reasonable efficient? Is it meeting operational goals? Are there any steps in the process that’s overly wasteful?
  3. Design To-Be Process – Design the new and improved process depending on your findings in step #2, and finally put it into practice.

As we’ve mentioned before, though, the implementation of the new process is as important as the modeling. So, it’s highly recommended to use BP modeling as a part of Business Process Management (BPM).


Have you personally used business process modeling for your organization? Was it successful? Let us know down in the comments!

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2 thoughts on “Business Process Modeling: Definition, Benefits and Techniques


  1. Mike Inyang Reply

    Great article Nick. As business consultant, what i have found with most of my clients is that every business process model must have a “repeater” or implementer-in-chief. This may be one person or a team. Their job is to ensure that the, at whatever stage it may be, is brought on ground and followed through to the least detail. Without this person or team, even the very best Business Process Model, will fail, big time


    1. Hi Mike, I agree.

      However – the tooling (as well as the person) is really important. Tallyfy for example – focuses purely on empowering both the business process owner and all their co-workers to actually follow the process easily, on the ground. Instead of starting with model first – you could start with “it’s already on the ground” first, and involve everyone in the making and executing of the model. At Tallyfy – we’re putting the “doing” before the “mapping” so that you get over this major problem.

      Hope it makes sense? Happy to show you a demo if you like – please schedule one here – https://tallyfy.com/booking

      Thanks,
      Amit

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