The following guest perspective was authored by Nitin Singh and Gerry McCool, authors of the SAP Press publication "Introducing Business Process Transformation with SAP Signavio."
In today’s fast-paced business landscape, SAP customers' on-going quests for innovation and efficiency drives their organizations to constantly seek out new ways of working and previously unexplored paths to implementing emerging technology.
The recent unveiling of a process-driven value management methodology by the SAP Value Advisory team promises to unlock hidden value and accelerate growth, reshaping how businesses identify, quantify, verify, and amplify value opportunities.
Recently awarded SAP’s Hasso Plattner Founders’ Award, the company’s most prestigious employee recognition, the team behind this approach implemented the SAP Signavio portfolio of cloud-based business process management solutions within their practice, setting a new standard for value creation by offering organizations a powerful toolkit to navigate the complexities of the modern market with confidence and agility.
The SAP Value Advisory team combined business metrics from SAP Value Lifecycle Manager and process performance data from SAP Signavio solutions to identify improvement opportunities and quantify potential value from those opportunities. The result: a data-driven approach providing a clear connection between business outcomes and the process capabilities that deliver them.
The approach provides a robust, repeatable capability that may be used as a diagnostic to identify opportunities, as well as a measurement system to verify and amplify the value of improvement and transformation initiatives, building trust through transparency. To date, this process-driven value management methodology has impacted more than 190 customers.
Identifying Value Opportunities
Traditional methods of identifying value opportunities often rely on subjective assessments or limited data insights, leading to missed potentials and inefficiencies. However, the methodology combines 20 years of performance benchmark data, along with advanced analytics and data mining, to uncover hidden patterns and correlations within vast datasets in SAP Signavio. By analyzing and combining different sources of data, businesses can gain a comprehensive understanding of their situation, specific opportunities, and value potential.
Quantifying and Verifying Value
Once potential value opportunities are identified, the next challenge lies in quantifying and verifying their feasibility and impact. Here, the methodology offers a systematic approach that combines quantitative analysis with real-world validation.
The SAP Value Advisory team has developed an approach to combine the modeling of external market and benchmark performance data with internal business processes data, to assess the financial implications of different scenarios and prioritize improvement scenarios based on their potential return on investment. The result is a fact-based value hypothesis to inform and prioritize improvement initiatives.
Amplifying Value Creation
The true power of this methodology lies in its ability to amplify value creation across the entire organization. By fostering a culture of innovation and collaboration, businesses can harness the collective intelligence of their workforce to create, experiment, and iterate on new ideas. Importantly, the approach can be used to confirm and track the value of initiatives after implementation, as an ongoing means of process control.
By integrating the methodology into existing business processes and management systems, organizations can streamline decision-making, optimize resource allocation, and drive continuous improvement. Whether it's optimizing supply chain operations, enhancing customer experiences, or launching new products and services, the methodology provides a versatile framework for unlocking value at every touchpoint.
In an era defined by rapid change and uncertainty, the ability to identify, quantify, verify, and amplify value opportunities has become essential for sustainable growth and competitiveness. As businesses embark on their journey to unlock the full potential of this groundbreaking methodology, one thing is clear: the future of value creation has arrived.
For more from Singh and McCool, attend their ASUG Power Peer Group session, "Simplify business process transformation with SAP Signavio solutions" (Wednesday, June 5; 1:00 p.m. - 1:40 p.m., in the ASUG Hub - Breakout #1) at this year's SAP Sapphire and ASUG Annual Conference.