| Business Performance Management (BPM) is gaining | | | | customers. Data relating to turnovers generated by |
| currency all over the world as an important segment | | | | different segments of customers ,the gap between |
| of ecommerce and web business enterprises. | | | | projection and achievment etc could be gathered so |
| Business performance management is what today | | | | that the yawning gap between customer expectations |
| helps companies to gauge their business performance | | | | and products/services quality could be effectively |
| through a a set of processes. Business performance | | | | bridged. |
| management is considered as a quality tool for | | | | Importantly though, the following should be ensured: |
| business intelligence. BPM is focused on business | | | | 1. Key Performance Indicatiors should be consistent |
| processes such as planning and forecasting. It helps | | | | and correct. |
| businesses discover efficient use of their business | | | | 2. Timely availability of KPI-related data. |
| units, financial, human and material resources. | | | | 3. Easy interpretation of data |
| Business Performance Management relies on the | | | | 4. Patterns and trends should be easily observed. |
| following steps:o collecting datao discerning patterns | | | | BPM integrates the company's processes with CRM |
| and meaning in the data (generating information)o | | | | or ERP. Companies become able to gauge customer |
| responding to the resultant information | | | | satisfaction control customer trends and influence |
| These information or intelligence are then analysed and | | | | shareholder value.Technology tools like Online |
| performance parameters arrived at. | | | | Analytical Processing or OLAP, Data Warehouses, |
| Today business volumes have increased several fold. | | | | Data Mining, Executive Information Systems, Decision |
| Collecting and analysing data has become tedious and | | | | Support Systems and Management Information |
| cumbersome. However Data Management | | | | systems are set up and effectively utilised for |
| technologies have today resolved the issue of large | | | | optimised Business Performance Management. |
| volume of data. Improved Enterprise Application | | | | Developers involved in business intelligence have |
| Integration tools have increased the speedy collecting | | | | developed these tools that ease the work, especially |
| of data. Reporting technologies have allowed faster | | | | when the intelligence task involves gathering and |
| generation of new reports which analyze the data. | | | | analyzing large amounts of unstructured data. |
| Business intelligence has now become the art of | | | | The first step in Business Performance Management |
| filtering through large amounts of data, extracting | | | | is determining is the performance segments |
| information and turning that information into action. | | | | identification and determining the goals of the |
| BPM involves consolidation of data from various | | | | organisation. Current data collection technologies have |
| sources, querying, and analysis of the data, and putting | | | | to be upgraded and optimised. The cost implications of |
| the results into practice. | | | | such a large scale business intelligence methodology |
| BPM enhances processes by creating better | | | | must be viewed with scrupulous concentration. The |
| feedbacks. Continuous reviews help to identify and | | | | targeted beneficiary of the BPM should be clearly |
| eliminate problems before they grow. BPM's | | | | identified. These information requirements must be |
| forecasting abilities help organisations to take | | | | operationalized into clearly defined parameters. The |
| corrective action in time to meet earnings projections. | | | | BPM programme should be monitored to ensure that |
| Forecasting is characterized by a high degree of | | | | objectives are being met. The programme should be |
| predictability which is put into good use to answer all | | | | tested for accuracy, reliability and validity. |
| possible scenarios. BPM is especially useful in risk | | | | The success of business performance management in |
| analysis and predicting outcomes of merger and | | | | the correct identification of performance optimisation |
| acquisition cases. | | | | areas, correct collection of important data and the |
| BPM provides key performance indicators (KPI) that | | | | correct devolution of benefits to the targeted segment. |
| help companies monitor efficiency of projects and | | | | With improved data collection and analysis |
| employees against operational targets. BPM often | | | | technologies available, there is no need for any |
| uses Key performance indicators (KPIs) to assess the | | | | organisation to shy away from the Business |
| present condition of business and to set up a course | | | | Performance Management or Business intelligence |
| of corrective action. More and more organizations | | | | initiative. BPM is in reality a friend of the business |
| have started to make data available more promptly. | | | | enterprise rather than being a cumbersome procedure. |
| Business Performance Management simply means | | | | Today it is an essential exercise for any company |
| use of several key performance indicators to assess | | | | worth its' name and would help to trim excess fat and |
| the present state of business and to prescribe course | | | | improve bottom lines.Training and exposure in Business |
| of action. | | | | Performance Management must be imparted to |
| Typically the data collected by a business enterprise | | | | important key persons in the administrative hierarchy. |
| could reveal new customers acquired, status of | | | | This would become a nice long term investment for |
| existing customers and level of satisfaction of | | | | the company concerned. |