Is BPM a powerful complement to ERP? Focus on these two super-software packages
ERP and BPM are different, but complementary. As a result of digital transformation, a large number of SMEs and large groups are adopting both solutions because of their interdependence.
While IT departments seem to be the most concerned, purchasing management (public and private sectors) and companies aiming to obtain or maintain ISO 9001 certification are increasingly attracted by the benefits of this winning combination.
Concept a little fuzzy for you? Let's broaden your vision of Business Process Management.
ERP and BPM: what's the difference?
Definition of ERP
Enterprise Resource Planning is an integrated management software package: by this we mean that this type of super software connects several programs together.
The aim of ERP is to rationalize and centralize data, processes and information to avoid duplication and work more efficiently. By centralizing information , you avoid having data scattered across several software packages: the same information circulates throughout all departments.
By means of a single database, communication is unified and aimed at organizing and planning the company's operational processes. The information system unifies and contextualizes data from all the company's functions: human resources management, accounting, sales management, etc.
Definition of a BPM
Business Process Management is software that automates business processes and boosts employee productivity.
It is a lever for competitiveness and cost reduction. It brings together human processes and IT applications in a single approach, based on the desire to give employees greater agility.
It involves identifying tasks, human exchanges and interactions with the information system with a view to improving business processes, its management, and, ultimately, productivity and performance.
💡 Why choose between the two types of solution? In fact, there are software solutions that offer a perfect combination of the two.
Such is the case with Axelor, an open-source, ergonomic ERP including over thirty business applications: CRM, HR and financial management, supply chain, etc. Above all, the platform natively integrates low-code BPM functionalities. So you can create your own applications and model all your business processes, thanks to an intuitive, low-code app studio!
ERP VS BPM: comparison chart
The table below compares ERP and BPM, highlighting their respective strengths and differences.
| Criteria | ERP | BPM |
|---|---|---|
| English name |
Enterprise Resource Planning |
Business Process Management |
| Software purpose |
Management of resources, data |
Business process management |
| Benefits |
Wide range of functionalities |
Process automation |
| Weaknesses |
Complex processes to change |
Each process must be developed |
| Implementation time |
Long for each process |
Quick for each process |
| Cost |
High purchase and implementation costs |
Moderate implementation costs |
BPM complements ERP
An ERP-type management software package cannot conceptualize or customize a company's own business processes.
Let's take a look at a few examples of how BPM complements ERP in the table below.
| Problems not solved by ERP | Complementary contributions of BPM | Examples | Benefits |
|---|---|---|---|
| Dematerialization and updating of documents |
Automate
|
Your SME's HR manager can optimize |
Reduced processing times Optimized management Optimized organization Productivity gains |
| Keep track interactions interactions |
Instantly trigger
|
To optimize delivery of customer orders
|
Reduce processing times Articulation interactions Optimized customer satisfaction |
| Carry out validation validation steps |
Workflow automation |
Your company is committed to quality |
Streamline processing steps Quality control Optimize productivity |
| Collaborate between experts from different specialties |
Computerized and
|
Various players in the insurance sector |
Streamlining the process Easier interaction Smooth, meticulous management |
Agility and the power of BPM to the rescue of ERP
Greater in-house agility
BPM is not a tool reserved for seasoned professionals. On the contrary, if it is implemented intelligibly within an intuitive platform, users will adopt it, as the tool accompanies and guides them within a user-friendly, structuring ergonomics.
Do your teams shun rigid systems? BPM is flexible enough to appeal to many: you can improve your processes at any time, which encourages internal communication and learning, as well as employee responsiveness.
Examples of Business Process Management (BPM) software :
-
Agilium is a French BPM software that lets you model, automate and supervise all your business processes (business follow-up, non-conformities, quality, purchasing, suppliers, project management, production progress, etc.). All quickly and easily, thanks to its low-code approach. Plus: training is included in your starter pack, so you can get to grips with the software and develop your own processes in just a few clicks.
Overview of the Agilium workflow interface :
- Bonitasoft, an open source solution, available as a community version under GPL v2 license,
Bonitasoft in pictures:
- Iterop, a solution integrating efficient workflow modeling functionalities.
Iterop's process automation capabilities :
Beneficial consequences for competitiveness
Adopting a BPM approach also means gaining a precise, global view of your activities and their interactions: this cross-functional vision enables you to identify areas for improvement and act quickly.
Business Process Management software accelerates your ability to respond to opportunities:
- task automation is a powerful driver of efficiency and productivity gains;
- step-by-step modeling of a business process makes each stage of the process faster;
- risk detection is precise and doesn't slow down your processes.
ERP + BPM = synergy = performance + cost optimization
For the equation to be perfect, it's crucial to enable your teams to grasp PBM and adapt to change, and to train them.
An adapted solution provides a guided user experience, as it simplifies the BPMN 2.0 process modeling standard to enable users to master and use the tools optimally.
Article translated from French