Develop BPMN Diagram For The Following Process In Signavio

Develop BPMN Diagram for the following process in Signavio

Problem 1: Develop BPMN Diagram for the pay raise application process at ABC Corporation, starting with the employee submitting a form, going through manager approval, HR evaluation, budget assessment, employee response, and final offer or rejection.

Problem 2: Develop BPMN Diagram for the purchase process where a department requests a purchase, requests quotes, selects vendor, issues order, reviews invoice, and finalizes delivery and payment.

Identify the value chain for a local coffee shop, including sub-processes, and evaluate process priorities using a PICK chart. Then, develop the value chain and a level-2 BPMN diagram for the coffee shop operations.

Paper For Above instruction

Introduction

Business Process Model and Notation (BPMN) is an essential tool for mapping and analyzing business processes. Its graphical notation allows organizations to visualize workflows, identify inefficiencies, and enhance operational efficiency. This paper addresses the development of BPMN diagrams for two complex processes at ABC Corporation—the pay raise application process and the purchase process—and explores the value chain of a small local coffee shop, including process prioritization and process modeling. Through this comprehensive analysis, the significance of BPMN in business process improvement and the strategic management of value chains are elucidated.

Part 1: BPMN Diagram for Pay Raise Application Process

The pay raise application process at ABC Corporation involves multiple decision points and stakeholder interactions. Using Signavio, a BPMN diagram would start with the employee submitting the 'Pay Raise Form' to their manager. The manager reviews the application, verifying the information provided. If additional information is needed, the form is sent back to the employee, initiating a re-submission loop. Once the manager is satisfied, the form proceeds to HR for evaluation of employee ratings. If an employee has a low rating, the request is rejected, terminating the process. Otherwise, HR requests finance to assess the available budget before estimating the potential raise.

The finance department responds with the budget information. The HR then calculates the raise and notifies the employee via email. The employee has the choice to accept or reject the offer. If accepted, HR files the paperwork and seeks managerial approval to finalize the offer, which concludes with the issuance of an offer letter. Rejection terminates the process without further steps. This process encompasses various tasks such as verification, evaluation, communication, and approval, which are best represented through BPMN symbols such as events, activities, gateways, and message flows.

Part 2: BPMN Diagram for Purchase Process

The purchase process begins with a department requesting approval from the IT department. The IT manager reviews the request; if approved, the manager solicits quotes from several vendors (Apple, Dell, HP, ASUS, Lenovo). If the request is rejected, it returns to the department for review. Once the best price is selected, the request is approved, and the IT manager finalizes vendor selection and prepares the purchase order.

The procurement supervisor issues the purchase order to the vendor and receives the invoice and processing time details. The process tracks whether a tracking number is received; if not, the order is canceled after the processing time. If the tracking number is available, the supervisor collects the product upon delivery and processes payment concurrently. The process ends when the purchase is finalized by receipt of goods and payment completion.

Using Signavio, this process is modeled with activities for review, quote solicitation, vendor selection, ordering, receiving, and payment, with decision gateways for approval and tracking status. This detailed BPMN diagram facilitates understanding the steps involved in procurement and identifies points where delays or errors could occur, enabling process optimization.

Part 3: Value Chain Analysis of a Local Coffee Shop

The value chain of a local coffee shop generally consists of inbound logistics, operations, marketing and sales, and customer service. Unlike large enterprises, small coffee shops often outsource the initial coffee sourcing, purchasing beans from wholesalers. During the processing phase, they roast beans, package, and label products. The core operations involve brewing coffee to serve customers, which includes subprocesses such as taking orders, preparing beverages, and managing payments.

The marketing strategy primarily relies on word-of-mouth and local advertising, while customer service emphasizes ambiance, quality, and prompt service. The value chain also includes supporting processes such as procurement, staff hiring, and training, which are crucial for maintaining quality standards.

Sub-Processes Identification

  • Inbound logistics: sourcing and storage of beans
  • Operations: roasting, brewing, and serving
  • Marketing and Sales: advertising, customer engagement
  • Support: staff recruitment, training, and maintenance

Process Prioritization Using a PICK Chart

The evaluated sub-processes vary in complexity and impact. For new and untrained staff, the priority is given to training activities, which are essential for quality service. The 'Challenge' zone includes inbound logistics and waste disposal, which are complex but critical. 'Possible' improvements include setting up ordering systems. 'Implement' activities involve training and technology deployment, vital for smooth operations. Tasks such as farming own coffee are classified as 'Kill' due to high difficulty and strategic uncertainty.

Development of Value Chain and Level-2 BPMN Diagram

The value chain diagram illustrates phases like inbound logistics, operations, marketing, and customer service, with subprocesses nested underneath. For example, the 'Operations' phase comprises setting up ordering systems, barista activities, and waste management. The level-2 BPMN diagram details the flow of these subprocesses, depicting events, tasks, gateways, and message flows to represent sequence and decision points precisely. Modeling these processes enhances understanding and offers avenues for optimization.

Conclusion

Effective modeling of business processes and understanding value chains are fundamental for operational excellence. BPMN provides a standardized language for visualizing, analyzing, and improving workflows, as demonstrated through the pay raise and purchase processes. Simultaneously, analyzing a small coffee shop's value chain highlights how subprocesses contribute to overall value delivery. Prioritization tools like the PICK chart aid in managing process improvements strategically. Together, these methodologies foster continuous improvement, competitiveness, and customer satisfaction in diverse business contexts.

References

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  • Silver, B., & Scheinkman, B. (2009). Business Process Mapping: Improving Customer Satisfaction. CRC Press.
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  • Arnold, A., & Serva, P. (2019). Business process modeling and analysis with BPMN. Journal of Business & Industrial Marketing, 34(3), 635-653.
  • Schmidt, R., et al. (2016). Process Optimization in Small Businesses: The Role of BPMN. International Journal of Business Process Integration and Management, 10(2), 147-158.
  • Basu, S., & Mishra, N. (2018). Value Chain Analysis and Competitive Advantage. Journal of Business Strategies, 12(4), 45-62.
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  • Hughes, J., & Dale, P. (2017). Visual Business Process Modeling. Journal of Process Management, 3(1), 22-35.
  • ISO 19510:2013, Business Process Model and Notation (BPMN) Version 2.0.

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