Issue 2-2009 ( pdf , 8.1 mb ) - IDS Scheer AG

Issue 2-2009 ( pdf , 8.1 mb ) - IDS Scheer AG Issue 2-2009 ( pdf , 8.1 mb ) - IDS Scheer AG

02.11.2012 Views

scheer The IDS Scheer Management Magazine for Business Process Excellence SaleS put to teSt Sales strategists have to rethink aRIS foR eveRyone How to manage your processes on your own leaRnIng fRom the beSt The BPE Award winners share their experiences Magazine International Issue 2.2009 EUR 6.00 www.ids-scheer.com/scheermagazine

scheer<br />

The <strong>IDS</strong> <strong>Scheer</strong> Management Magazine<br />

for Business Process Excellence<br />

SaleS put to teSt<br />

Sales strategists have to rethink<br />

aRIS foR eveRyone<br />

How to manage your processes on your own<br />

leaRnIng fRom the beSt<br />

The BPE Award winners share their experiences<br />

Magazine<br />

International <strong>Issue</strong> 2.<strong>2009</strong> EUR 6.00 www.ids-scheer.com/scheermagazine


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Dear readers,<br />

We have all come to accept that the Internet, with its<br />

bottomless depths of information and powerful<br />

search engines, has completely transformed our professional<br />

and personal lives with its fast pace.<br />

Rather less evident is the effect this ubiquitous, unending<br />

river of information is having on individual<br />

processes in traditional areas of our normal working<br />

day, where continuous change is taking place quietly.<br />

Corporate sales departments, for example, must take<br />

on an entirely new strategic role in the face of growing<br />

pressure from competitors and the new global<br />

economic conditions. They are being forced to realign<br />

themselves in order to satisfy new sets of customer<br />

demands. This realignment is a must to ensure<br />

the future growth of the company.<br />

Currently, it is necessary to find ways to optimize<br />

sales channels, structures and processes and, just as<br />

importantly, to ultimately measure sales success. The<br />

Internet has clearly become a dominant sales channel<br />

in its own right which no sales professional can afford<br />

to ignore.<br />

“Sales – strategies and processes” is therefore the<br />

main theme of this issue of <strong>Scheer</strong> Magazine. In preparing<br />

the articles for this topic, the editorial staff deliberately<br />

adopted a wider perspective by interviewing<br />

such world-renowned sales experts as Mike<br />

Grandinetti, who lectures at the MIT Sloan School of<br />

Management. He answered questions about the nature<br />

of the sales process in the future, in which the<br />

role of social networks will become even more significant<br />

than it is today.<br />

I hope you enjoy reading this issue!<br />

Peter Gérard<br />

contest!<br />

in focus<br />

SaleS put to teSt<br />

Sales strategists have to rethink<br />

Give them the riGht type of bread<br />

How to find the right selling style for each customer<br />

handS-on SaleS<br />

Sales expert Mike Grandinetti on Web 2.0 sales<br />

peerinG inSide the proceSSeS<br />

Process analysis as selling point at Equens<br />

around tHe World<br />

international newS<br />

Great success of ARIS ProcessWorld on tour <strong>2009</strong><br />

mail from…<br />

India<br />

conteSt<br />

Who built it?<br />

provoke!<br />

Architect Serge Schoemaker on the process of innovation<br />

editorial | content<br />

30 minuteS to analyze the road Show<br />

ARIS for everyone: How to manage your processes on your own<br />

erp with GooGle mapS<br />

Market analyst Melanie Mack on software trends<br />

ariS-linked campuS<br />

New online platform for students and lecturers<br />

the riSk manaGerS’ influence iS riSinG<br />

Banking law expert Dr. Joachim Kaetzler on GRC in banking<br />

fit for the future<br />

How to save money and uncover potentials with BPM<br />

there’S ariS inSide<br />

Global presence through the <strong>IDS</strong> <strong>Scheer</strong> partner network<br />

learninG from the beSt<br />

The BPE Award winners share their experiences<br />

faSter out of the StartinG block<br />

Industry.PerformanceREADY modernizes IT landscapes<br />

debuGGinG proceSSeS<br />

Tieto improves process efficiency in problem management<br />

looKinG aHead<br />

auGuSt-wilhelm <strong>Scheer</strong><br />

25 years of BPM: The success story continues!<br />

karl-heinz Streibich<br />

Software <strong>AG</strong> and <strong>IDS</strong> <strong>Scheer</strong>: The power of two<br />

KnoW-HoW<br />

ariS Solution for proceSS-driven Sap manaGement<br />

Getting business processes on track<br />

WeBcast scHedule | iMPrint<br />

scheer Magazine 2|09 3<br />

04<br />

08<br />

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centeR<br />

42


in focus<br />

Sales put to test<br />

Sales departments are under pressure, but changing economic conditions can provide<br />

opportunities to modernize. A partner with expertise is required – not sales divas.<br />

Charles Darwin was born 200 years ago, and 150 years ago he published<br />

the gist of his research in the book The Origin of Species. This double anniversary<br />

is an excellent occasion to revisit his revolutionary work.<br />

Darwin’s theories have become topical again during the <strong>2009</strong> economic<br />

crisis – not the commonly cited and misapplied principle of “survival of<br />

the fittest,” but rather the realization that survival depends on rapid and<br />

flexible adaptation to environmental changes. Those who cannot adapt,<br />

die out – just like the dinosaurs.<br />

Nowhere in the economy is the struggle for survival more competitive<br />

than in sales. Sales provides the “nourishment” that ensures a company’s<br />

continued existence. And nowhere else have environmental conditions<br />

changed as rapidly as in marketing and sales. Instead of singing<br />

the praises of a product, today other abilities are called for: flexibility,<br />

listening skills, and relationship building.<br />

Generalist sales personnel are out<br />

The job description of the salesperson is undergoing a transformation,<br />

and the crisis has accelerated this process. Most sales people are still extroverted<br />

and prepared to take risks, says Christopher Funk, CEO of the<br />

“Successful companies have a higher esteem for sales,” says Dirk Zupancic,<br />

lecturer for B2B marketing and sales in St. Gallen, Switzerland. But what’s<br />

the key to successful sales?<br />

human resources consultancy Xenagos, which specializes in placing<br />

sales personnel, but the time of the generalist salesman who could peddle<br />

any product, from newspaper subscriptions to machine tools, is<br />

past.<br />

Today customers increasingly expect professional solution expertise.<br />

Only salespeople who are truly able to respond to specific customer requests<br />

can maintain a successful course. Top sellers are self-confident<br />

and often enjoy playing the diva, but “sales is 80 percent hard work and<br />

20 percent talent,” according to Funk. As a result, the star me<strong>mb</strong>ers of<br />

the sales team achieve nearly 70 percent more than what their colleagues<br />

average – in no other company position are the performance disparities<br />

greater.<br />

Consequently, good salespeople are critical to the success of any company.<br />

At the same time, it has been repeatedly shown that the sales team<br />

must be supported by an efficient sales organization with a good strategy.<br />

The study “Excellence in Sales” from the University of St. Gallen,<br />

Switzerland, confirms this. The authors, Dirk Zupancic, professor for<br />

B2B marketing and sales at St. Gallen, and Holger Dannenberg from the<br />

corporate consultancy Mercuri International (see article “Give them the<br />

right type of bread,” p. 8-9), investigated which factors are critical for<br />

successful selling. The greatest difference between the best and the<br />

worst companies in the study was the image of selling within the company.<br />

Successful companies have a higher esteem for sales. Other important<br />

success factors include the precise definition and implementation<br />

of process steps in sales activities. Active use of a customer relationship<br />

management (CRM) tool also results in significant differences between<br />

the best and worst companies.<br />

Those who have not yet done their homework in this area should do so<br />

as quickly as possible. It is the basis for greater sales efficiency, so that<br />

despite limited resources, sales do not plummet into the abyss. What are<br />

4 scheer Magazine 2|09


“excellent consulting begins with the individual.”<br />

crm-coordinator ingo Schröder, kwS Saat


in focus<br />

“in sales, 80 percent is<br />

hard work and 20 percent talent.”<br />

christopher funk, ceo of the human resources consultancy Xenagos<br />

the most effective immediate measures during a recession? It would be<br />

very dangerous to downsize the sales force in a frenzy of blind savings.<br />

Instead, experts assert that acquisition activities must be intensified<br />

with the goal of increasing market shares. Indeed, experience shows that<br />

market shares shift more dramatically during crises than during growth<br />

periods.<br />

examine your sales processes<br />

Because the day has only 24 hours even for expert sales personnel, many<br />

sales activities must be reexamined. Instead of a visit, sometimes a<br />

phone call is enough; special promotions with no direct results should<br />

be temporarily halted. “Processes must be established that assess the<br />

value of individual customers,” recommends Thomas Joachim, who is<br />

responsible for customer support and customer relationship management<br />

at <strong>IDS</strong> <strong>Scheer</strong>. Then segments can be serviced according to their<br />

value proposition. In order to improve the ratio, company personnel<br />

from other departments can become active in sales, for instance from<br />

Sales Administration or Shipping. This has two advantages: non-sales<br />

staff learn what is important to customers, and a pipeline filled with<br />

new contacts will result in new customers after the crisis. This also allows<br />

buying centers to be set up, in which several sales representatives<br />

are responsible for a customer company. This is necessary because there<br />

are usually several people in the purchasing departments of larger companies<br />

as well who must be serviced individually. Moreover, corporate<br />

governance regulations mandate the double verification principle –<br />

everyone along the decision-making chain must be serviced by the sales<br />

team in a coordinated manner. “Sales processes have become more complex,”<br />

explains Dirk Beenken, director of the Media business unit at <strong>IDS</strong><br />

<strong>Scheer</strong>. There are increasing nu<strong>mb</strong>ers of stakeholders to be coordinated.<br />

Processes have become more protracted and often span months – excellent<br />

planning is imperative. “ARIS is perfect for planning such processes<br />

Individual consulting:<br />

The sales force of<br />

KWS Saat <strong>AG</strong> connects<br />

to the company’s<br />

CRM system<br />

via smartphone.<br />

and dovetailing them with customer relationship management or enterprise<br />

resource planning,” says Stephan Prinzkosky, director of ARIS<br />

Sales at <strong>IDS</strong> <strong>Scheer</strong>.<br />

entry products as incentive<br />

To ensure that new customers have access to such tools in every situation,<br />

it is recommended to custom-make entry products. These are compact<br />

products and services that require minimal investment volume and<br />

facilitate access to new customers. When a customer has a need and<br />

makes a purchase, the door is open for acquisitions of greater volume after<br />

the recession. The free software ARIS Express, which includes the<br />

most important basic functions of process management for students,<br />

schools, and small businesses, is an excellent tool for <strong>IDS</strong> <strong>Scheer</strong> to initiate<br />

contact with new clientele, particularly in economically difficult<br />

times.<br />

Experts warn that no one should be drawn into destructive pricing wars.<br />

Especially for market leaders, it is strategically important to defend<br />

their prices. Experience shows that lowering prices during a demand<br />

crisis forces competitors to respond – as a result, prices fall on a broad<br />

front. The better response to price pressures is to differentiate the product<br />

portfolio and supplement it with entry products or new product<br />

co<strong>mb</strong>inations.<br />

implement crm immediately<br />

The best insurance during a crisis is to have internal processes under<br />

control. Many company segments demonstrate good progress, but sales<br />

departments often lag behind. This is due to the mentality of a few sales<br />

representatives: some view themselves as ingenious artists and repudiate<br />

the limitations of process guidelines and tools such as customer relationship<br />

management – even though real experts know better. People<br />

still complain that CRM is too complicated and prevents contact with<br />

customers. The challenge for management is therefore not to impose<br />

CRM as a punitive measure, but instead to emphasize the opportunities<br />

that it provides. A good CRM system can help identify time-wasters,<br />

while optimizing routine tasks such as data collection and reporting.<br />

Prof. Peter Winkelmann, an expert in CRM and sales at Landshut<br />

6 scheer Magazine 2|09


University agrees: “Businesses with CRM collect data 30 percent faster.”<br />

Nevertheless, in his experience fewer than 10 percent of small businesses<br />

have an efficient CRM system.<br />

Peter Winkelmann advises small businesses to rapidly build a good customer<br />

management system, especially during a crisis. It is more than<br />

just a database with addresses and phone nu<strong>mb</strong>ers. Equally important<br />

are visit reports, customer complaint and suggestion management as<br />

well as opportunity management for compiling and evaluating sales opportunities.<br />

All of this must be e<strong>mb</strong>edded in an ERP system, according<br />

to Winkelmann, “so that the beating heart of business is visible when<br />

sales decisions are reached.”<br />

scheer Magazine 2|09<br />

advise – don’t just sell<br />

CRM also supports customer service. Sales representatives at KWS Saat<br />

<strong>AG</strong> must coordinate no less than 370,000 customer contacts. That is the<br />

nu<strong>mb</strong>er of agricultural businesses in Germany. This medium-sized<br />

company in Einbeck, Germany, produces and distributes corn, grain,<br />

and sugar beet seeds for farmers in more than 70 countries. Nine information<br />

center directors are responsible for the nearly 40,000 farmers in<br />

Germany alone who grow sugar beets. Efficiency is critical. In 2003, the<br />

CRM from SAP was implemented with the support of <strong>IDS</strong> <strong>Scheer</strong>. This<br />

year, the next phase of innovation is to be introduced, also with the<br />

support of <strong>IDS</strong> <strong>Scheer</strong>. KWS consultants, who log tens of thousands of<br />

kilometers each year traveling to farmer customers, will soon be receiving<br />

an accessory application for their Blackberry devices that allows direct<br />

access to the CRM system when they are on the road. All important<br />

data about individual agricultural operations is stored there, including<br />

information about contact persons, plant diseases, soil quality, and<br />

cropland characteristics. “Excellent consulting that is tailored to the<br />

precise requirements of the individual farmer is important to us,” says<br />

Ingo Schröder, CRM coordinator at KWS. This support is critical for<br />

an agricultural operation’s successful harvest as well as for a long-term<br />

and sustainable customer relationship, which is in turn a crucial factor<br />

in the decision to buy new seed. Farmers do not order directly from<br />

sales representatives; instead they place their orders with wholesalers<br />

once a year. Testing with Blackberry devices yielded extremely positive<br />

results. Sales representatives report that the technology is easy to use,<br />

in focus<br />

enables assessments to be made for individual customers, and supports<br />

the processes.<br />

The example of KWS demonstrates that those who invest in advising ultimately<br />

sell more than those who are only interested in making sales.<br />

The crisis is an opportunity – in Chinese there is actually only one word<br />

for both meanings. The history of evolution also illustrates that when<br />

one species dies out, habitat becomes available for new forms of life. All<br />

sales personnel should internalize this principle – and do everything<br />

possible to be among the mammals instead of the dinosaurs.<br />

lessons learned<br />

• during an economic crisis, sales should receive the highest<br />

priority. sales teams should tend to grow rather than shrink.<br />

• customers also suffer from a difficult economic situ ation.<br />

Products should therefore be targeted more effectively at<br />

solving problems. More than ever, this requires professional<br />

expertise.<br />

• during difficult times, market shares shift significantly.<br />

companies that strengthen sales have an advantage when<br />

the upswing returns.<br />

• Prices should not be lowered. When pressure from customers<br />

becomes too great, insist on reciprocal services.<br />

• sales efficiency is necessary during good times and bad.<br />

those who have not yet done so should immediately examine<br />

their processes and implement a crM that provides optimum<br />

support for the sales organization.<br />

7


in focus<br />

Give them the right type of bread<br />

Good salespeople cater to their customers’ different needs. The consulting firm<br />

Mercuri International has identified four distinct selling styles.<br />

Imagine the following situation: Four customers<br />

show up at a bakery and each has a different<br />

request.<br />

First customer: “I would like my usual loaf<br />

of rye bread.”<br />

Second customer: “Do you have any new<br />

kinds of bread? I would like to try something<br />

different.”<br />

Third customer: “I have guests today and I need<br />

a type of bread that goes with the cheese tray.<br />

What do you recommend?”<br />

Fourth customer: “I have guests today and I need<br />

a kind of bread that goes with the cheese tray.<br />

Just pack up whatever you think would<br />

be good, and I’ll pick it up later.”<br />

Four sales situations – four sets of customer expectations,<br />

which can be described in terms of<br />

transaction, information, advice, and decision.<br />

But the customer’s needs are only one dimension<br />

of the interaction, says Holger Dannenberg,<br />

CEO of Mercuri International, a consulting<br />

firm for sales strategies. The other takes place<br />

at the relationship level and ranges from refusal<br />

(“I don’t need anything” – the classic response<br />

at the door) to loyal, trusting sales relationships<br />

that endure for years. From these two dimensions,<br />

sales expert Dannenberg has distilled<br />

four sales styles.<br />

projective sellinG<br />

The customer declines consulting by the<br />

salesperson and expects – if anything – mere<br />

order processing. This style depends on the<br />

seller’s personal presence. The seller must<br />

identify a need that the customer appears not<br />

to have.<br />

consultative sellinG<br />

Here, the customer has a significant need<br />

for advice but still declines because he is<br />

satisfied with his existing service provider.<br />

This situation is also demanding for the<br />

salesperson, because he must communicate<br />

how he can help the customer enjoy greater<br />

success.<br />

individuality is key<br />

projective sellinG<br />

sales driven by<br />

personal charisma<br />

transaction information<br />

relationship sellinG<br />

Here, a good relationship already exists between<br />

the seller and a customer, who needs a<br />

product but no advice. The customer al ways<br />

makes the same purchase. The goal is to consolidate<br />

the relationship.<br />

expertise sellinG<br />

This is the most common sales style, in which<br />

the relationship is also based on trust. The<br />

salesperson has already established himself as<br />

an expert, and the customer asks for advice<br />

when an issue arises.<br />

During a financial downturn, the first two<br />

styles are extremely important, because they<br />

Mercuri international has interviewed 747 participants from 14 countries.<br />

in a crisis, the focus is on projective selling and consultative selling.<br />

particularly important in<br />

difficult times<br />

low expectations<br />

for the seller<br />

➔<br />

➔<br />

19,8%<br />

relationship sellinG<br />

sales at the<br />

relationship level<br />

26,3%<br />

“doinG business”<br />

8 scheer Magazine 2|09<br />

➔<br />

loyal open hesitant refusing<br />

consultative sellinG<br />

advice-driven<br />

sales<br />

20,8%<br />

advice decision<br />

expertise sellinG<br />

sales at the<br />

expert level<br />

33,1%<br />

“develop customer relationships”<br />

➔<br />

particularly important<br />

in difficult times<br />

➔<br />

➔<br />

hiGh expectations<br />

for the seller<br />

copyright: Mercuri international


esult in new customers and therefore<br />

increased market share. Dannenberg estimates<br />

that sales departments must practically<br />

double their activities during such<br />

times just to maintain the same results.<br />

Those who resign themselves to fate will lose<br />

market share. To be sure, both of these sales<br />

styles are especially challenging for the seller<br />

because the customer does not actually wish<br />

to make a purchase.<br />

In order for sales personnel to maintain success,<br />

processes must be streamlined. This<br />

can be done with a CRM system that generates<br />

capacity instead of creating new ways<br />

to lose time – if it is consistently linked to ef-<br />

“Sales activities<br />

have to be doubled<br />

in times of crisis.”<br />

Holger Dannenberg,<br />

Mercuri International<br />

ficient processes. Training sessions should<br />

now be arranged for those who have previously<br />

missed them. A seller requires special<br />

methods for each of the four sales styles – no<br />

one masters each approach equally well.<br />

The best incentive for improved sales performance<br />

– as in most things – is compensation.<br />

APW09_Anzeige_210x148_EN_Copenhagen 09.07.<strong>2009</strong> 11:13 Seite 1<br />

During economically challenging times, de-<br />

ARIS<br />

Coming to a city near you<br />

ProcessWorld<br />

ON TOUR<br />

in focus<br />

creased sales are particularly painful be -<br />

cause earnings consist of 20 to 30 percent<br />

co mmission. Dannenberg recommends that<br />

this model be relaxed in order to retain good<br />

sales personnel. Instead of punishing good<br />

sellers for decreased sales volume, activities<br />

that will deliver profits after a crisis should<br />

be compensated now.<br />

www.processworld.com<br />

Copenhagen<br />

Nove<strong>mb</strong>er 11 - 12, <strong>2009</strong><br />

Radisson SAS<br />

Scandinavia Hotel<br />

Discover the Value<br />

of Business Process Management


Hands-on sales<br />

The Internet is turning sales of virtually every product inside out.<br />

An interview with Mike Grandinetti, a leading sales expert, on how Web 2.0 is affecting<br />

customer contacts, peer groups and the traditional sales process.<br />

What is the biggest change that you are<br />

observing in sales today?<br />

The most fundamental shift is being driven by<br />

a very different dynamic between buyer and<br />

seller. As a result, business models must be,<br />

and are, changing. The economics of sales and<br />

marketing in a digital world where the marginal<br />

cost of distribution is zero, is also creating<br />

significant changes in product architecture<br />

and design.<br />

What does this mean specifically?<br />

In the past, account executives, whether<br />

through traditional direct or indirect distribution<br />

channels, were almost entirely responsible<br />

for qualifying leads and filling the top of<br />

their own funnel with prospects. Cold calling<br />

was a difficult but necessary requirement. Today,<br />

traditional sales channels no longer control<br />

the end-to-end “selling” process. Cus tomers<br />

are being deeply influenced by other fac-<br />

mike Grandinetti<br />

Mike Grandinetti is Managing director<br />

at southboro capital, a global consulting<br />

agency based in Boston, Massachusetts,<br />

usa. He is considered a world-wide sales<br />

expert, specialized amongst other things<br />

on go-to-market and strategic alliances.<br />

furthermore, Grandinetti works as senior<br />

lecturer at the Mit sloan school of Management<br />

and the technical university<br />

in denmark.<br />

Web forums are new “off payroll sales force”: Mike Grandinetti, sales expert.<br />

tors, such as third party opinion in internet forums<br />

for instance. I call these factors the “off<br />

payroll” sales force. If its influence is positive,<br />

customers are pre-qualifying themselves and<br />

are proactively entering the top of the funnel<br />

under their own power. Think of this off payroll<br />

sales group as an entirely new sales channel,<br />

one that does not require commissions<br />

and spiffs and other traditional financial incentives<br />

to motivate them, but instead a very<br />

thoughtful and open dialogue about issues<br />

that matter most to them.<br />

Why is this?<br />

As the web has become a more integral part of<br />

our business lives, customers are far more<br />

comfortable in proactively looking for solutions<br />

to their most critical problems online.<br />

There has been a rapid evolution of high valueadded,<br />

objective information available – from<br />

free industry analyst reports and in-depth<br />

market research to up-to-the-minute industry-specific<br />

blogs to postings in well-defined<br />

online communities and professional networks<br />

such as LinkedIn. By the time customers<br />

get to a company’s website, they have en-<br />

countered a wide range of peer-based opinions<br />

as well as product or service rankings and have<br />

already developed a well-formed judgment<br />

about the company, its reputation, and its<br />

products.<br />

What role does a company’s<br />

website play in this?<br />

Users arrive at a company’s website willing to<br />

register for a webcast or podcast, to view a narrated<br />

online demo or presentation, to download<br />

a free trial of the software, or to participate<br />

in a discussion group. Potential customers<br />

are no longer “being sold to;” instead they<br />

are deeply engaged in the “buying process.” A<br />

company’s website is therefore decisive. If it’s<br />

done well, customers register for more information.<br />

With their contact details the company<br />

can then launch traditional “outbound<br />

marketing” methods such as email campaigns.<br />

How does this new customer behavior in-<br />

fluence the relations between sales and<br />

marketing?<br />

The traditional lines between sales and marketing<br />

are blurring. While marketing owns the<br />

10 scheer Magazine 2|09


“nu<strong>mb</strong>ers” and pricing, sales is responsible for<br />

closing the transaction with the most qualified<br />

buyers. Sales is less about “hunting” and more<br />

about delivering appropriate, credible information<br />

at key points in the “buying process.” This<br />

means that a higher portion of the sales force is<br />

headquarter-based and spends most of their<br />

time in phone-based dialogue with prospects,<br />

moving them through the funnel.<br />

How does that change marketing?<br />

Marketing allocates fewer resources to big<br />

trade shows and physical events. Far more are<br />

devoted to constantly updating the company’s<br />

website. This is now the focal point for all selling<br />

activity in today’s self-service world.<br />

Search engine optimization, Google keywords,<br />

vibrant communities, online video, archived<br />

webinars, free downloads, you name it. If you<br />

can digitize it, it’s likely to be posted in a logical<br />

place on the site.<br />

That sounds like a cost-efficient model.<br />

Today, brands are no longer about messages,<br />

they are about conversation. More and more of<br />

this is happening through social media sites.<br />

By understanding where their users congregate<br />

online and meeting them there on their<br />

own terms, companies can very rapidly build<br />

high levels of awareness and credibility with<br />

very targeted audiences. It requires a lot less<br />

brick and mortar sales offices, a lot less hotel<br />

and bar bills, and a whole lot less jet fuel.<br />

Can you name some examples of the use of<br />

social media in companies?<br />

Dell is generating millions of dollars of incremental<br />

revenue by posting a daily special on<br />

scheer Magazine 2|09<br />

Twitter. They have formed a significant “Reputation<br />

Management” team to monitor online<br />

postings about their company and their<br />

products, as has Southwest Airlines and many<br />

others.<br />

Another example is BMW: With its relatively<br />

new 1 Series coupé the company is targeting a<br />

younger demographic. Not surprisingly, it has<br />

e<strong>mb</strong>raced Facebook, allowing people to send<br />

personally designed virtual cars to their<br />

friends so that they can take the car on a virtual<br />

road trip.<br />

5 tips for sales<br />

1. search engine optimization (seo)<br />

Harley-Davidson also has corporate profiles<br />

on Facebook (175,000 fans) and MySpace to<br />

solicit customer feedback. Furthermore the<br />

company uses YouTube to show videos of its<br />

motorcycles.<br />

MyStarbucks.com uses a Salesforce.com service<br />

that lets customers pitch new ideas as well<br />

as vote on others, helping the company to prioritize<br />

new product development. They have<br />

generated 70,000 ideas, resulting in twenty<br />

five new product initiatives.<br />

only sites that are listed on a search engine’s first pages are noticed. seo is an<br />

obligation, not a choice.<br />

2. search engine marketing<br />

Measures to attract visitors to a company’s website. the costs depend on the clicks<br />

generated, which makes this approach extremely efficient if done in sophisticated way.<br />

3. email marketing<br />

Works best for cross-selling and up-selling, not for acquiring new customers.<br />

4. Google analytics<br />

the de facto standard for website measurement should be considered when optimizing<br />

a company’s website.<br />

5. cost-of-customer acquisition<br />

all costs in the sales process have to be compared to the lifetime value of the customer in<br />

order to measure success in marketing and sales.<br />

11


in focus<br />

Peering inside the processes<br />

Quality is what counts. Especially when it can be measured and verified. With the support<br />

of ARIS Process Performance Manager, Equens, one of the largest European payment transaction<br />

service providers, analyzes whether its service level agreements are being maintained.<br />

That is a compelling selling point for its sales force.<br />

People who regularly receive salary or pension<br />

payments on time may do so thanks to Equens<br />

– even if they are not aware of it. Under contract<br />

from commercial banks, the company –<br />

one of the largest pan-European payment<br />

transaction service providers – handles over<br />

60 million payment and credit card transactions<br />

every day. Furthermore, as a clearinghouse<br />

and me<strong>mb</strong>er of clearing associations,<br />

Equens also administers payment transaction<br />

streams.<br />

More than 99 percent of the payment transactions<br />

are processed automatically and errorfree<br />

through the central booking system. Only<br />

a small fraction of cases requires follow-up<br />

work – whether it’s a mistyped account nu<strong>mb</strong>er,<br />

or a transfer that cannot be completed on<br />

equens<br />

time. This high rate of success is quite impressive.<br />

Therefore, sales and marketing staff place<br />

great value on making this high level of quality<br />

transparent to clients. “Reliability is key<br />

in our business. Consequently, we precisely<br />

do cument and monitor adherence to contractually<br />

agreed services and service level agreements<br />

(SLAs),” explains Anke Ro<strong>mb</strong>ach, consultant<br />

in the Marketing & Sales department<br />

at Equens in Germany.<br />

Ever since the founding of TAI <strong>AG</strong>, a predecessor<br />

company of Equens, in 2004, monthly<br />

reports had to be generated. Until 2007, the<br />

company compiled industry standard manual<br />

reports. These only provided a rough overview<br />

of the work and the adherence to SLAs.<br />

For example, general system availability and<br />

equens is the first pan-european full-service payment transaction service provider.<br />

as one of the largest and most innovative companies in this industry in europe, equens<br />

is leading in sustainable solutions for processing payment transactions and card pay-<br />

ments. thanks to a comprehensive and competitive array of services co<strong>mb</strong>ined with a<br />

flexible, customer-oriented focus, the company meets the demands of the european pay-<br />

ment transaction market. With annual processing of 7.9 billion transactions as well as<br />

2.2 billion Pos and atM payments, equens has established a market share of more than<br />

15 percent in the euro zone. equens has locations in four countries – the netherlands,<br />

Germany, italy, and finland – along with client services in eight european countries to<br />

ensure pan-european market coverage.<br />

www.equens.com<br />

individual sales volume overview were depicted,<br />

but the data had to be collected from different<br />

data sources. “We could not and did<br />

not want to retain this tedious process. In order<br />

to provide our customers with a fast and<br />

comprehensive SLA assessment, we sought a<br />

solution that would visually represent procedural<br />

measurement points and allow for automatic<br />

operation of the SLA control system,”<br />

reports Ulrich Loof, sales manager at Equens,<br />

who as project manager introduced the new<br />

software. “Out of ten offers, we selected ARIS<br />

PPM from <strong>IDS</strong> <strong>Scheer</strong>. We were convinced because<br />

the software is quickly deployable, expandable,<br />

and flexible. The option to conduct<br />

service level measurements from either the<br />

process view or product view was particularly<br />

appealing to us.”<br />

hiGh-quality customized reports<br />

Now, with their individually generated reports,<br />

clients can see not only the global availability<br />

of the systems, which is the same for all<br />

commercial banks, but also receive customtailored<br />

indicators with their orders – for example,<br />

the nu<strong>mb</strong>er of correctly processed orders,<br />

same-day processing, or timely generation<br />

of booking data. Reports are automatically<br />

generated by the process management<br />

software from data stored in the main systems.<br />

“The only thing we now enter manually<br />

is the date,” says Ro<strong>mb</strong>ach, who as process<br />

owner is promoting deployment of ARIS PPM<br />

in additional company divisions. Automation<br />

has resulted in employees now generating significantly<br />

higher quality reports for twice the<br />

nu<strong>mb</strong>er of clients – in the same amount of<br />

time as before ARIS PPM was introduced.<br />

With the new reports, customers also receive<br />

more detailed insight into service quality –<br />

from payment order and order processing to<br />

12 scheer Magazine 2|09


“reliability is key in our business.”<br />

anke ro<strong>mb</strong>ach, consultant in the Marketing & sales department at equens<br />

Control center at headquarters in Utrecht, the Netherlands: Here, employees monitor incoming credit card transactions around the clock.<br />

booking and accounting. With a high processing<br />

volume (during peaks up to 60 million<br />

transactions per day), individual cases of<br />

course cannot be analyzed. Here, it is necessary<br />

to consolidate the information. This is<br />

why reporting takes place at the order level.<br />

An order can contain a single transaction or<br />

up to several hundred thousand transactions.<br />

ARIS PPM makes it possible to aggregate processes<br />

according to any co<strong>mb</strong>ination of filter<br />

scheer Magazine 2|09<br />

criteria – for example, based on the measurement<br />

rubric “same-day processing”: the software<br />

summarizes all orders of a client for one<br />

month that were delivered within a defined<br />

time and subsequently processed within a certain<br />

time on the same day. The customerfriendly<br />

design – a tachometer with green,<br />

yellow, and red areas for the monthly view or<br />

a bar graph featuring each day – makes results<br />

visible at a glance. “With the reports we document<br />

achieved objectives, identify possible<br />

in focus<br />

weak points, and integrate suggested improvements<br />

as well as display system reserves – all<br />

important elements of transparent and clientoriented<br />

communications,” says Ronny Bertels,<br />

sales director at Equens. This quality<br />

veri fication is simultaneously his best selling<br />

point: “With these SLA measurements, we can<br />

accurately document the quality we are offering<br />

to new customers. This clearly is added<br />

value that differentiates us.”<br />

13


around tHe World<br />

worldwide<br />

<strong>IDS</strong> <strong>Scheer</strong> receives <strong>2009</strong><br />

SAP Pinnacle Award<br />

On the occasion of the SAP customer conference<br />

SAPPHIRE® <strong>2009</strong> in May, <strong>IDS</strong> <strong>Scheer</strong><br />

received the Pinnacle Award for customer<br />

satisfaction for the second year in a row. The<br />

SAP Pinnacle Awards are presented to leading<br />

SAP partners that have distinguished<br />

themselves through exceptional performance<br />

in terms of customer satisfaction.<br />

With over 300 nominations submitted by<br />

SAP partners and employees – twice as many<br />

as in the previous year – competition was intense.<br />

The award was presented to <strong>IDS</strong><br />

<strong>Scheer</strong> during an exclusive event on the eve<br />

of SAPPHIRE® <strong>2009</strong>. The commendation<br />

again underscores the importance of the<br />

process-oriented, ARIS method-based approach<br />

in providing SAP solutions to <strong>IDS</strong><br />

<strong>Scheer</strong> customers.<br />

switzerland<br />

Swiss company SIKA Informationsysteme <strong>AG</strong><br />

relies on Governance, Risk & Compliance<br />

Management from <strong>IDS</strong> <strong>Scheer</strong><br />

<strong>IDS</strong> <strong>Scheer</strong> is supporting globally active SIKA<br />

Informationssysteme <strong>AG</strong> with the successful<br />

implementation of an internal control system<br />

(ICS), which allows rapid identification and<br />

management of critical data. This indepen -<br />

dent subsidiary of SIKA <strong>AG</strong> now uses the process-oriented<br />

ARIS Solution for Governance,<br />

Risk & Compliance (GRC) Management in order<br />

to establish a connection between business<br />

processes and existing risks as well as to implement<br />

test cases within the scope of the ICS.<br />

canada<br />

City of Kitchener receives ESRI<br />

Canada’s Award of Excellence<br />

For the implementation of a leading information<br />

system that integrates the Aztecas Cityworks,<br />

Riva Modeling, and SAP systems, the<br />

city of Kitchener, Ontario, Canada, was presented<br />

with an Award of Excellence by ESRI<br />

Canada, one of the largest producers of geoinformation<br />

systems software in the world. <strong>IDS</strong><br />

<strong>Scheer</strong> provided support to the city during<br />

implementation of the geographical information<br />

system (GIS).<br />

worldwide<br />

Great success of ARIS ProcessWorld<br />

on tour <strong>2009</strong> – 700 guests from 30 countries<br />

in Munich and Prague<br />

Under the slogan “Discover the Value of<br />

Business Process Management,” the first two<br />

tour stops of ARIS ProcessWorld on tour <strong>2009</strong><br />

took place in Munich and Prague. Around<br />

700 BPM users came to learn about new concepts<br />

in process management from the <strong>IDS</strong><br />

<strong>Scheer</strong> experts. A highlight of the event was a<br />

preview of ARIS innovations. ARIS PPM 5,<br />

ARIS Express, ARIS Rocket Search, ARIS<br />

Process Governance, and ARIS MashZone are<br />

designed to integrate BPM into the daily work<br />

routines of all employees. Potential users who<br />

would like to speak with a business process<br />

specialist in person can register for the next<br />

tour stop in Copenhagen on Nove<strong>mb</strong>er 11-12.<br />

www.processworld.com<br />

14 scheer Magazine 2|09


International news<br />

china<br />

the netherlands<br />

Apeldoorn chooses ARIS Platform<br />

to implement enterprise architecture<br />

The Dutch city of Apeldoorn is planning to integrate<br />

(change) processes and internal IT systems<br />

in one enterprise architecture. ARIS<br />

Platform will serve as a basis to ensure flexible<br />

information processing and optimized services<br />

for both citizens and public authorities.<br />

<strong>IDS</strong> <strong>Scheer</strong> China among IT consultants<br />

with the strongest practical know-how<br />

At the China Management Trade Press<br />

Conference in April <strong>2009</strong>, <strong>IDS</strong> <strong>Scheer</strong> China<br />

was recognized as one of the IT consultancies<br />

in China with the strongest practical experience.<br />

Based on a survey of 271 companies and<br />

39 decision-makers, a jury announced the<br />

most practice-oriented companies. Besides<br />

<strong>IDS</strong> <strong>Scheer</strong>, six other companies were also<br />

recognized, including BCG and McKinsey.<br />

Representing the seven award-winners, <strong>IDS</strong><br />

<strong>Scheer</strong> China gave a presentation and was invited<br />

to participate in a roundtable discussion<br />

on “Surviving the crisis and understanding<br />

the future” with leading business representatives.<br />

scheer Magazine 2|09<br />

russia<br />

Process-oriented<br />

SAP implementation at Nizhpharm<br />

Nizhpharm, a leading Russian pharmaceutical<br />

company owned by STADA <strong>AG</strong>, has engaged<br />

<strong>IDS</strong> <strong>Scheer</strong> for an 18-month project to implement<br />

established production and logistics<br />

methods. Consultants impressed the client<br />

with their broad knowledge of the pharmaceutical<br />

industry. Implementing SAP enabled<br />

pharmaceutical and company-specific business<br />

processes to be optimized.<br />

worldwide<br />

ARIS Community: new BPM online<br />

platform from <strong>IDS</strong> <strong>Scheer</strong><br />

Nearly 1,000 me<strong>mb</strong>ers and 50,000 visits in just<br />

21 days – that is the positive response to the new<br />

online platform launched by <strong>IDS</strong> <strong>Scheer</strong> for everyone<br />

who wants to know more about business<br />

process management and seeks to share experiences.<br />

ARIS Community was launched on May<br />

28 at ARIS ProcessWorld. It allows BPM experts<br />

and project team me<strong>mb</strong>ers to gain insights and<br />

expand their process knowledge. With the support<br />

of BPM project groups and available training<br />

materials, even employees new to the BPM<br />

environment can acquire expertise through<br />

Web 2.0 functionalities that facilitate exchanges<br />

and discussions among users.<br />

Try it out yourself:<br />

www.ariscommunity.com<br />

around tHe World<br />

15


around tHe World<br />

Mail from India<br />

from:<br />

subject:<br />

date:<br />

dear colleague, i’d be happy to respond to your questions.<br />

how do you say business process management in india/ hindi?<br />

your questions regarding bpm business in India<br />

that’s a tough question. language-wise india is a very complex country. While Hindi is the national language,<br />

we have many more local languages. fortunately, most corporate business in india gets done in english. there is no local<br />

translation needed for such terms.<br />

what is the latest news from the bpm market in india?<br />

india is still a relatively new market when it comes to business process management. BPM is far from mature here.<br />

However, the tough economic times have made many people start thinking seriously about process improvements. there’s a<br />

lot of interest right now to learn more about BPM, and leading-edge companies are starting to e<strong>mb</strong>ark on such initiatives.<br />

what kind of challenges do bpm consultants face in india?<br />

it departments are very strong in india. any initiative that relates to the technology platform gets handled by it. as a result,<br />

BPM initiatives tend to take the form of process automation and execution instead of true end-to-end process improvement.<br />

the biggest challenge is to explain the difference between the two perspectives to customers.<br />

could you give some advice to foreign it consultants when dealing with their indian colleagues?<br />

i would suggest two things:<br />

1. in indian culture, co-workers tend to be very friendly and informal with each other. foreign it consultants should not get<br />

offended if an indian colleague asks them personal questions (e.g., about their marital status) or offers to share food.<br />

2. indian colleagues respect foreign consultants highly. it’s important for foreign consultants to get clear answers on critical<br />

issues. However, in some indian cultures it is considered disrespectful to disagree with elders in public. foreign consultants<br />

should keep that in mind when dealing with their indian counterparts.<br />

Best regards from Mu<strong>mb</strong>ai,<br />

Mehul rajparia<br />

Mehul rajparia, ids scheer Managing director, Mu<strong>mb</strong>ai, india<br />

re: your questions regarding bpm business in india<br />

tuesday, septe<strong>mb</strong>er 1, <strong>2009</strong>, 5:46 pm<br />

Left:<br />

The Gateway of India<br />

in Mu<strong>mb</strong>ai – this is<br />

where the office of<br />

<strong>IDS</strong> <strong>Scheer</strong> is located.<br />

Right:<br />

India’s most famous<br />

landmark: the<br />

Taj Mahal in Agra.<br />

16 scheer Magazine 2|09


Who built it?<br />

Architects are constantly dealing with different materials, forms and functions. They<br />

work to blend their constructions in with their surroundings and always have the users<br />

in mind – this shouldn’t be unfamiliar to IT specialists. In our contest, we are looking<br />

for five architects whose buildings shape our perceptions.<br />

Among the entrants who answer correctly, we will draw one ticket for<br />

the next ARIS ProcessWorld on tour in Copenhagen, Denmark on<br />

Nove<strong>mb</strong>er 11-12, <strong>2009</strong>. The second and third prizes for correct entries<br />

will be a current reference book on sales. Prizes four and five will be one<br />

BPM surprise package each.<br />

1. the nature lover<br />

His architecture is characterized by simplicity and tranquility co<strong>mb</strong>ined<br />

with functionality in harmony with nature and the area around the<br />

buildings. The colors and materials used in his construction are usually<br />

supplied by the surrounding region, so that they too blend perfectly<br />

with their environs. One of his most famous houses is Fallingwater,<br />

built above a small waterfall in Pennsylvania.<br />

4<br />

2. the innovative all-rounder<br />

She is one of the most well-known architects in the world today, using<br />

new technologies and materials to explore new directions in design. The<br />

native Iraqi not only drafts extravagant, organic, and innovative buildings,<br />

she is also famous for her paintings, furniture design, and artifacts<br />

such as bowls and chandeliers. One of her most recent works is the<br />

Aquatics Centre for the 2012 Olympic Games in London.<br />

8 10<br />

3. the controversial modernist<br />

This Franco-Swiss architect was one of the most important and influential<br />

architects of the 20 th century. The answer to this clue is the pseudonym<br />

he worked under. His calls for a radical change in architecture<br />

are still controversial today. For him this was a logical consequence of<br />

the breakneck speed of technological development and the change in<br />

living conventions at the beginning of the 20 th century. His buildings,<br />

which include the Carpenter Center for the Visual Arts at Harvard<br />

University, consist of well-defined, simple structures such as rectangles<br />

or circles and are mostly built from steel or concrete.<br />

scheer Magazine 2|09<br />

9<br />

3<br />

Prizes are not redeemable for cash. Employees of <strong>IDS</strong> <strong>Scheer</strong> group and me<strong>mb</strong>ers of their<br />

immediate families are not eligible for this contest. Any legal recourse is excluded.<br />

7<br />

win a<br />

ticket<br />

to the next aris<br />

processworld<br />

how it works<br />

The letters in the nu<strong>mb</strong>ered boxes spell out the answer. To enter the<br />

contest, go to www.ids-scheer.com/contest and enter the word or<br />

phrase there as well as your contact information. The entry deadline is<br />

Oc tober 19, <strong>2009</strong>.<br />

4. the creative inteGrator<br />

This artistic and creative architect goes to great lengths to adapt public<br />

buildings, such as cultural centers or museums, to the needs of the community<br />

– examples of which are the Whitechapel Idea Store in London<br />

and the Nobel Peace Centre in Oslo. The son of Ghanaian parents, he<br />

grew up in Egypt and Saudi Arabia and was educated in Britain. Thus,<br />

he has assimilated a wide variety of cultures and mentalities into his<br />

personality.<br />

5. the concrete artist<br />

This native of China took US citizenship in the 1940s. He was strongly<br />

influenced by Gropius and the Bauhaus movement. Most of the structures<br />

created by his architectural office, which was considered to be the<br />

best in the world in the 1970s, are elegant, strong corporate or institutional<br />

buildings – such as the “East Wing” of the National Gallery of Art<br />

in Washington, D.C. His almost anthropomorphic designs in concrete<br />

earned him fame as the leading exponent of the “postbrutalist” era of<br />

architecture.<br />

solution<br />

6 1<br />

2 5<br />

1 2 3 1 4 5 4 6 7 1<br />

8 4 9 10 6 3 1 9 3<br />

www.ids-scheer.com/contest<br />

around tHe World<br />

17


around tHe World<br />

Provoke!<br />

Keep your eyes focused on the final product and don’t be afraid to try something new. This is the credo of<br />

Dutch architect Serge Schoemaker, who was instrumental as a project architect at Kolu<strong>mb</strong>a Art Museum in<br />

Cologne, among other things. Thoughts from a representative of modern architecture, which are also<br />

thoughts about the process of innovation.<br />

serGe schoemaker…<br />

… on architecture, technoloGy, and art<br />

A central component of any building is technology. It fulfills its function.<br />

Period. What makes architecture interesting to me is the field of<br />

tension between technology and art, in which architecture exists.<br />

Architecture can affect people and introduce innovations in the way<br />

they live, work, and go about life in general. I try to make structures that<br />

do more than just fulfill a function. This is easy to say, but of course the<br />

design process is difficult. At what point during development does a<br />

project become more than the fulfillment of specifications? When does<br />

it acquire architectural or cultural value? In my opinion, one can only<br />

achieve this if one keeps asking: How do people use their environment?<br />

After a project has been completed, if people ask in regard to a particular<br />

design solution, “Why haven’t we always done it this way? This is incredibly<br />

beautiful,” then the architect has produced something innovative.<br />

…on innovations<br />

How does one become innovative? I normally begin with the result –<br />

that is, how a building or product should ultimately function and what<br />

it should look like. I always try to first visualize how an ideal design<br />

would look, without considering whether it is actually feasible. I simply<br />

ignore any possible technical limitations at this moment because the<br />

power of innovation is attributable, among other things, to the fact that<br />

one is thinking freely.<br />

Only after I have conceptualized the final product in my mind or on paper<br />

do I meet with engineers to resolve construction and building technology<br />

issues. Working with them, I try to clarify how the final objective<br />

can be attained. You often hear, “That’s not possible; we’ve never<br />

done that before.” Most people like to complete tasks in a certain way.<br />

Sometimes that also makes sense, in order to take advantage of synergies.<br />

But innovation cannot occur under such circumstances. The art of<br />

creating something entirely new is based on the ability to convince other<br />

people and tell them, “There must be a solution somehow!” You have<br />

to be obstinate and unwilling to compromise. This is my experience:<br />

When you have a clear vision and say, “This is the objective; this is where<br />

we need to go; there is no alternative,” then it is easier to get people on<br />

board.<br />

…on empty shells<br />

In the last ten years, it has become increasingly important for a building<br />

such as a company or a museum to have a spectacular appearance. The<br />

18 scheer Magazine 2|09


uilding is supposed to function as a logo. The more spectacular, the<br />

better. In architecture, this phenomenon, which is primarily driven by<br />

the media, is called the Bilbao Effect. In other words, sensational buildings<br />

designed by star architects increase a city’s prestige. I do not find<br />

such assignments appealing because the work devolves into a kind of<br />

populist architecture in which only aesthetics and outward appearance<br />

matter. Such architecture is an empty shell.<br />

Successful architecture, on the other hand, integrates several aspects:<br />

aesthetic demands, technical and functional requirements, the aspirations<br />

of the client, and the conditions of the location. One can tell<br />

whether a building is successful if the architect has managed to incorporate<br />

all of these parameters in a single product.<br />

During the development of a building, I like to work with exact models<br />

in order to refine the design and to explain to the builder and contractors<br />

why things should be done in a certain way – basically, building the<br />

model is a sales strategy as well as a design method. When all requirements<br />

and desired features are precisely represented in the model, two<br />

goals are met at the same time.<br />

…on multidisciplinary work<br />

Architects are not really specialists, but rather generalists. They employ<br />

engineers for climate control technology and framers for construction.<br />

They talk to clients about their wishes and with the city about building<br />

code requirements. From this patchwork, they must somehow deliver a<br />

quality final product while cooperating with all of these people.<br />

I think this is similar to so-called enterprise architects. They too must<br />

possess multidisciplinary skills and keep the final objective in mind –<br />

something specialists do not often do. Only when one is working toward<br />

a clear goal and has eliminated all alternative possibilities is it possible<br />

to create truly good architecture – whether in a literal sense or in terms<br />

scheer Magazine 2|09<br />

“only when you work toward a<br />

clear goal is it possible to create<br />

truly good architecture.”<br />

serge schoemaker, architect<br />

serGe schoemaker<br />

serge schoemaker, born in 1975, studied architecture at delft<br />

university of technology in the netherlands and the swiss federal<br />

institute of technology in Zurich, switzerland. in his thesis project,<br />

“image Buil ding,” which received the archiprix international 2001<br />

award, he and Jarrik ouburg jointly developed a master plan for 38<br />

water re servoirs in the delta Metropolis region of amsterdam,<br />

rotterdam, utrecht, and the Hague.<br />

from 2002 until 2007 he worked for the renowned swiss architect<br />

Peter Zumthor as a project architect on the Kolu<strong>mb</strong>a art Museum<br />

in cologne, Germany.<br />

around tHe World<br />

Left: The award-winning model for the Dutch Delta Metropolis region.<br />

With the 2007 launch of his architectural firm, schoemaker attempts<br />

to unify dutch and swiss architectural currents: on the one<br />

hand, the conceptual approach of dutch architecture – that is, the<br />

implementation of an idea in a practical, pragmatic, and solutionoriented<br />

process; on the other hand, the swiss style of incorporating<br />

surroundings, respecting nature as well as conceptualizing innovative<br />

construction technologies and aesthetics. in addition to<br />

his work as an architect, schoemaker is a guest instructor at delft<br />

university of technology and the rotterdam academy of architecture.<br />

of enterprise architecture for information technology. One cannot be a<br />

friend to everyone during this process. In order to reach this final objective,<br />

one has to keep provoking and prodding.<br />

19


around tHe World<br />

30 minutes to analyze<br />

the road show<br />

Stop the dance between Excel, PowerPoint, and CRM systems:<br />

ARIS MashZone co<strong>mb</strong>ines selected data in a mashup.<br />

Information! Tom Myers, marketing director<br />

for the Green Car campaign from United<br />

Motors Group (UMG), needs information.<br />

Time is of the essence: the road show to introduce<br />

his company’s new eco-car begins in<br />

three weeks. To fine-tune the events, which<br />

are scheduled throughout Europe, he needs<br />

details: how many people who had been contacted<br />

have registered for the event? Which<br />

countries are visitors coming from? Do they<br />

need a shuttle service from the airport? How<br />

many cars must be sold? Has this target changed<br />

in the last two weeks?<br />

Every marketing manager is familiar with the<br />

problem: tediously clicking back and forth<br />

between the CRM system, marketing software,<br />

Excel lists, and PowerPoint to compile<br />

the necessary information. Not Tom Myers.<br />

Within half an hour, our fictional marketer at<br />

a fictional company easily asse<strong>mb</strong>les information<br />

and has everything he needs for the<br />

road show on his monitor – updated and<br />

presented as graphics.<br />

Myers works with the new ARIS software<br />

MashZone, which belongs to the <strong>IDS</strong> <strong>Scheer</strong><br />

your own info cockpit in three steps<br />

1<br />

first open the feed editor and create a<br />

new data feed. next, select the data you<br />

are using. to do this, select an operator<br />

from the data source panel on the work<br />

surface and enter a path that leads to<br />

your csV, XMl, excel, or aris PPM<br />

files. if you want to use data from the internet, for instance<br />

information from the federal statistics office,<br />

enter the corresponding url in the template. the result<br />

is a feed that accesses data from the original source.<br />

You can now co<strong>mb</strong>ine, attach, or copy the feeds. this is<br />

how to compile data from different sources. an additional<br />

operator allows you to allocate feed data, so that<br />

you can check average values, calculate the degree of<br />

goal achievement, and add or multiply data.<br />

palette of innovations. ARIS MashZone,<br />

which will be available in the fourth quarter<br />

of <strong>2009</strong>, aggregates data from different applications<br />

and depicts them graphically. If he<br />

needs more information, Myers cobbles it<br />

together in a few minutes and can display it in<br />

a variety of views. For example, on an integrated<br />

Google map he can see a detailed view of<br />

sales nu<strong>mb</strong>ers within a 200-kilometer radius<br />

of any road show stop.<br />

20 scheer Magazine 2|09


2<br />

switch to the create new Mashup area<br />

by clicking on it. there you can select a<br />

style template that determines the<br />

general appearance of the dashboard<br />

in which the feeds are displayed. By<br />

clicking on a sy<strong>mb</strong>ol on the left edge of<br />

the screen, you can choose how information is presented.<br />

aris MashZone provides pie, cone, and pyramid<br />

charts as well as maps and tachometers. size, color,<br />

and font can be changed with the small toolbox. repeat<br />

the process until you have created your personal cockpit.<br />

to link displays with the feeds you have created,<br />

click on the display in the work area. now you can assign<br />

the data to the appropriate chart. the presentation<br />

is complete. all you have to do now is click on display to<br />

view the aggregated, co<strong>mb</strong>ined, and correlated data.<br />

3<br />

scheer Magazine 2|09<br />

Make your dashboard available for use<br />

by defined persons and user groups with<br />

the release button. this allows you to<br />

share your results with team col lea-<br />

gues. users require an average of 30<br />

mi nutes to compile a new mashup, for<br />

example to chart marketing campaigns, financial or com-<br />

petitor analyses, customer satisfaction surveys, etc.<br />

aris mashzone – information engine for end-users<br />

DownloaD/acceSS Internet www.aris-mashzone.com<br />

technology Web 2.0 technology, Java-enabled browser, Flex technology,<br />

client/server architecture, Tomcat server, integrated CSV, Excel files, feeds, XML, ARIS PPM<br />

chaRacteRIStIcS Creation of mashups (composite applications) for situational analysis<br />

of various data, exchange of mashups<br />

uSeRS All employees<br />

pReRequISIteS None, no programming knowledge required<br />

around tHe World<br />

21


around tHe World<br />

aris for everyone<br />

With its new products, ids scheer has taken the needs of users as the starting point. the guiding theme of its latest innovations is “easy-to-use,<br />

intuitive, and fast.” from now on, not only it experts but all of a company’s employees will be able to benefit from the advantages of BPM.<br />

in this way Business Process Management can evolve into a truly effective instrument for day-to-day corporate management.<br />

aris express – the first free bpm software from idS <strong>Scheer</strong><br />

DownloaD/acceSS Internet www.ariscommunity.com/aris-express<br />

technology Windows PC, Java<br />

chaRacteRIStIcS Intuitive operation and design of models for organization, processes,<br />

application systems, data, etc.; file-based, compiled models can be opened and edited in ARIS expert tools<br />

uSeRS Beginners, occasional users, interested university and vocational school students and professors<br />

pReRequISIteS None, suitable for self-study, free introductory tool<br />

aris community – the new bpm online community for all ariS users<br />

DownloaD/acceSS Internet www.ariscommunity.com<br />

technology Web 2.0 technology, current browser<br />

chaRacteRIStIcS Articles, forums, blog posts on all topics related to BPM, network setup and maintenance,<br />

free ARIS Express download and access to training materials, discussions and exchange of process models<br />

and process knowledge<br />

uSeRS BPM experts, BPM novices, ARIS users, interested university and vocational school students and professors<br />

pReRequISIteS None<br />

aris rocket search – web-based search engine for all process data<br />

DownloaD/acceSS Add-on for ARIS Platform products www.aris.com/rocketsearch<br />

technology Search of ARIS Repository and associated document management systems,<br />

based on in-memory technology, index-based<br />

chaRacteRIStIcS Web-based search for all process data replaces or supplements navigation on models;<br />

users can jump directly from the search to the corresponding process and continue searching for objects there.<br />

uSeRS Process modelers but also BPM novices and occasional users with no process knowledge<br />

pReRequISIteS None<br />

aris process Governance – definition and automation of governance processes<br />

DownloaD/acceSS ARIS Sales www.aris.com/governance<br />

technology Java-enabled browser, Windows PC, client/server application, ARIS Installation (Repository),<br />

BPMN engine as runtime environment<br />

chaRacteRIStIcS Automated management of change processes, authorization processes and guideline<br />

audits, workflow design and design through modeling of pre-prepared governance processes included in<br />

delivery (no programming!), BPMN governance<br />

uSeRS BPM, governance and IT architecture managers<br />

pReRequISIteS Involvement of IT experts not necessary, modeling of governance processes<br />

by the BPM/ARIS Competence Center<br />

aris process performance manaGer 5 (aris ppm 5)<br />

DownloaD/acceSS ARIS Sales www.aris.com/ppm5<br />

technology Browser-based client/server solution based on Java<br />

chaRacteRIStIcS Monitoring and analysis of the performance and structure of ongoing business<br />

processes down to the individual case level, visual depiction, intuitive live analysis, new in-memory<br />

architecture; all process-relevant data are stored directly on the ARIS PPM server.<br />

uSeRS Specialized department, management<br />

pReRequISIteS IT organization provides analysis structure, integrates operational systems, and maps<br />

the analysis of end-to-end processes<br />

22 scheer Magazine 2|09


ERP with Google Maps<br />

Companies must prepare for a new generation of managers, according to Melanie Mack, market<br />

analyst and consultant at consulting firm Pierre Audoin Consultants (PAC) G<strong>mb</strong>H. In the future,<br />

employees will want to compile information independently and intuitively, just as with Web 2.0.<br />

Ms. Mack, are there new trends in<br />

business software?<br />

Many companies are now delaying investments.<br />

There are, however, two exceptions:<br />

For understandable reasons, BI and CRM software<br />

continue to be in demand. With business<br />

intelligence solutions, companies improve decision-making<br />

processes, and customer relationship<br />

management solutions help them get<br />

closer to customers. In general, we are seeing<br />

significant market demand for new, and especially<br />

integrated, solutions.<br />

What is happening at the<br />

technological level?<br />

We have determined that the Internet is playing<br />

an increasingly greater role for business<br />

software providers. It is the driving force behind<br />

international competition and is setting<br />

standards for communications, interaction,<br />

and transactions. Providers are increasingly<br />

anchoring the Internet in their software architectures.<br />

Additional trends are scalability,<br />

platform independence, and release capability.<br />

Users are no longer willing to implement largescale<br />

release projects. Instead, they prefer to<br />

install small packages on a regular basis.<br />

Keyword Internet: To what degree are Internet<br />

offerings such as Wikis, Facebook, and<br />

Google Maps influencing business software?<br />

It’s very interesting. A generation of managers<br />

scheer Magazine 2|09<br />

“Usability, not technology, counts most.”<br />

Melanie Mack, market analyst at Pierre Audoin Consultants (PAC)<br />

is now emerging that grew up with Xing,<br />

Facebook, and Google. And they don’t want to<br />

give up these applications in the workplace.<br />

This is also impacting the development of<br />

business software. An additional driver is of<br />

course that such services are simply useful. For<br />

example, retail purchasers are integrating<br />

weather services into their applications to<br />

monitor climatic conditions and ensure they<br />

have sufficient water on the shelves. Companies<br />

that use such services intelligently can achieve<br />

advantages over the competition.<br />

Is this the consumerization of<br />

B2B applications?<br />

Indeed, the lines are blurring. Consumer technologies<br />

are increasingly influencing the B2B<br />

sector. The focus is on users who are not necessarily<br />

experts. Usability, not technology, is<br />

around tHe World<br />

what counts. This can be observed in ERP systems,<br />

for example with SAP By Design Feature<br />

Pack 2.0. Consumerization has clear advantages:<br />

it reduces training requirements and increases<br />

user satisfaction.<br />

Is now the time for companies to prepare<br />

for Internet-savvy newcomers?<br />

Companies that are already making targeted<br />

appeals to so-called “digital natives” and offering<br />

them attractive job opportunities will<br />

have an advantage in a few years. The expertise<br />

of digital natives will gain increasing importance<br />

in the knowledge society. In the future,<br />

when competing for the best minds, what<br />

companies offer their employees in terms of<br />

interacting with new technologies will play a<br />

critical role.<br />

23


around tHe World<br />

ARIS-linked Campus<br />

BPM knowledge for students and professors: The <strong>IDS</strong> <strong>Scheer</strong> platform ARIS Campus<br />

offers free licenses, online support and the exchange of information on BPM research.<br />

ARIS Campus also helps in finding a job.<br />

At <strong>IDS</strong> <strong>Scheer</strong>, close cooperation between universities, science,<br />

and business has always been a cornerstone of the corporate philosophy.<br />

24 scheer Magazine 2|09


Many students can no longer imagine life<br />

without social media platforms such as<br />

Facebook or Orkut. With ARIS Campus, <strong>IDS</strong><br />

<strong>Scheer</strong> contributed yet another option in late<br />

April <strong>2009</strong>. <strong>IDS</strong> <strong>Scheer</strong> is not, however, offering<br />

an online platform for sports schedules,<br />

concert tips, or leisure activities, but rather<br />

con tent on BPM. The objective of ARIS<br />

Campus is to foster an exchange between users<br />

by facilitating cooperation between universities<br />

around the world. Professors can exchange<br />

educational content and build strategic research<br />

alliances, while students can discuss<br />

the results of their courses and projects in forums.<br />

Interdisciplinary research projects are<br />

on the agenda, including Web 2.0 applications<br />

in business process management as well as online<br />

student courses, competitions, and accompanying<br />

pilot programs for universities.<br />

software and hard facts<br />

Users who register on the platform receive access<br />

to BPM knowledge, examples of best practices,<br />

and the latest research findings of <strong>IDS</strong><br />

<strong>Scheer</strong>. Furthermore, several software packages<br />

are available to students free of charge – for<br />

strategy and process definition as well as implementation<br />

and process control. The process<br />

management tool ARIS Process Performance<br />

Manager (PPM) is available as a “VMware image,”<br />

an executable program copy including a<br />

Xubuntu operating system (the desktop version<br />

of Ubuntu Linux). The package features<br />

scenarios for a fictitious company. With these,<br />

users can initiate a business analysis or simulate<br />

a distribution problem. Such concrete examples<br />

make it easier to grasp the complex relationships<br />

between processes and performance<br />

indicators within a company.<br />

Responsible for ARIS Campus: Thomas Feld,<br />

Vice President Research.<br />

scheer Magazine 2|09<br />

ids scheer communities<br />

since end of april <strong>2009</strong>, aris campus has provided a research and educational platform<br />

on the topic of Business Process Management. registered students exchange experiences<br />

in forums and receive aris licenses free of charge while pursuing their bachelor, master,<br />

or doctoral degrees. instructors can use the platform to collaborate with colleagues and<br />

BPM experts around the world. Within the framework of a special partnership (advanced<br />

education Partnership, aeP), they receive exclusive access to teaching materials, online<br />

help, and software for their courses and projects. users can submit applications to the<br />

partnerships – that is, the “aeP for Process design and analysis” or the “aeP for Process<br />

intelligence and Performance Management” – directly on the platform.<br />

www.ariscampus.com<br />

the official launch of the new aris community was on May 28, the first day of the ids<br />

scheer in-house event aris ProcessWorld in Munich. in addition to the rapidly growing<br />

nu<strong>mb</strong>er of me<strong>mb</strong>ers in the community, over 200 people have already registered as beta<br />

testers for aris express, the free entry level BPM software available on the internet.<br />

several independent european aris user groups have decided to migrate to the new platform.<br />

in addition to the latest content for BPM experts and users at the aris community,<br />

a twitter account provides visitors with an up-to-date information channel.<br />

<strong>IDS</strong> <strong>Scheer</strong> also offers instructors and directors<br />

of institutions special partnerships within<br />

the framework of ARIS Campus. As a result,<br />

educational content as well as a type of flatrate<br />

licensing option are available: they receive<br />

as many licenses as necessary, ensuring that<br />

their students have access to the programs<br />

both at the university and on their computers<br />

at home.<br />

job turbo bpm<br />

Under the direction of Thomas Feld, Vice<br />

President Research, <strong>IDS</strong> <strong>Scheer</strong> has formed a<br />

team of local contacts in various countries to<br />

provide support for the higher education program<br />

and ARIS Campus. They use their collective<br />

knowledge to actively contribute to the<br />

discussion forums and respond to direct inquiries<br />

from students and instructors. Thus,<br />

<strong>IDS</strong> <strong>Scheer</strong> is helping universities around the<br />

world prepare young academics for their subsequent<br />

areas of specialization – because students<br />

are soon no longer students. “The topics<br />

business process management and business<br />

intelligence will be co<strong>mb</strong>ined into process intelligence.<br />

This co<strong>mb</strong>ination will become increasingly<br />

important to businesses; practical<br />

knowledge will be a job prerequisite for data<br />

processing specialists,” according to Feld.<br />

around tHe World<br />

www.twitter.com/ariscommunity www.ariscommunity.com<br />

“With a solid theoretical and practical education<br />

at universities, graduates are optimally<br />

prepared and have excellent prospects on the<br />

job market.” And after completion of studies,<br />

the ARIS Community provides them with<br />

access to an exchange platform with articles,<br />

forums and blogs on BPM topics. Discussions<br />

on BPM, the exchange of process knowledge,<br />

and the maintenance of contacts therefore<br />

c o n t i n u e .<br />

At <strong>IDS</strong> <strong>Scheer</strong>, close cooperation between universities,<br />

science, and business has always been<br />

a cornerstone of the corporate philosophy; after<br />

all, founder and executive chairman Prof.<br />

Dr. Dr. h.c. mult. August-Wilhelm <strong>Scheer</strong><br />

himself was an educator at the Institute for<br />

Information Management at Saarland University<br />

(Germany).<br />

Within the framework of the higher edu -<br />

cation program, <strong>IDS</strong> <strong>Scheer</strong> has bundled an<br />

academic package on process analysis and<br />

process intelligence that is specially designed<br />

for educational purposes. Examples of the<br />

more than 200 research and educational institutions<br />

using ARIS include Widener<br />

University in the United States, Tongji<br />

University in China, and Aoyama Gakuin<br />

University in Japan.<br />

25


around tHe World<br />

“The risk managers’ influence is rising”<br />

Neither laws nor supervision were able to prevent the worldwide collapse of the financial markets.<br />

Now policymakers are responding forcefully. Banking law expert Dr. Joachim Kaetzler talks about<br />

new EU regulatory authorities and progress in governance, risk & compliance.<br />

Professor Martin Hellwig, scientific adviser<br />

for the German Ministry of Economics, believes<br />

that regulators were the last to notice<br />

that something was amiss. Do you agree,<br />

Mr. Kaetzler?<br />

The financial supervisory authorities have the<br />

legal responsibility to prevent deficiencies in<br />

the credit and financial services system – especially<br />

when they could result in significant<br />

detriment to the entire economy. Assuming<br />

that deficiencies in the credit system have already<br />

led to significant detriment to the entire<br />

economy, one must admit that regulators have<br />

obviously not prevented this situation. One<br />

can speak of shared responsibility – the question<br />

of culpability must, however, be judged in<br />

a more differentiated manner.<br />

Why did regulatory authorities not fulfill<br />

their responsibilities?<br />

The problems are multifaceted. Both in the EU<br />

and worldwide, there is no financial market<br />

supervision that goes beyond mere coordination.<br />

In the future it will be critical to integrate<br />

financial markets, which do not heed national<br />

borders, into a cross-border regulatory system.<br />

Financial markets and economic policy<br />

are closely linked: It can hardly be expected<br />

that governments will transfer economic policy<br />

sectors as important as, for instance, financial<br />

market oversight to a cross-border committee.<br />

Moreover, according to Basel II, bank<br />

regulators no longer conduct continuous assessment<br />

but instead often only examine work<br />

processes for viability and appropriateness.<br />

The assumption that institutions know best<br />

how to manage their own risks was arguably a<br />

fallacy – at least in part.<br />

Did the EU respond appropriately by<br />

creating the European Systemic Risk<br />

Council (ESRC) and the European System<br />

of Financial Supervisors (ESFS)?<br />

Creating these institutions was appropriate –<br />

if for no other reason than that the systemic<br />

risk, which extended beyond monetary policy,<br />

could not previously be identified. The ESRC<br />

is designed to provide early warning of emerg-<br />

ing systemic risk as well as provide recommendations<br />

for action. In this way the susceptibility<br />

of the financial system in terms of inter-<br />

dr. joachim kaetzler<br />

cMs Hasche sigle is one of the leading<br />

commercial law specialists in Germany<br />

and europe. dr. Joachim Kaetzler is a<br />

partner at the frankfurt office of the firm<br />

and an expert in banking law. after earning<br />

a doctorate at the university of<br />

augsburg, Kaetzler was spokesperson<br />

for the Bavarian federal state’s chapter<br />

of “deutsche schutzvereinigung für Wertpapierbesitz”<br />

(a German association of<br />

shareholders). He joined cMs Hasche<br />

sigle in 2001.<br />

26 scheer Magazine 2|09


“There is no effective financial market supervision.” Dr. Joachim Kaetzler, partner at law firm CMS Hasche Sigle<br />

related, complex industry and cross-industry<br />

systemic risk can be confronted. On top of<br />

that, the ESFS is tasked with overseeing individual<br />

financial institutions. It consists of a<br />

network of national financial supervisors and<br />

the new European Supervisory Authorities,<br />

created by transforming existing committees<br />

for the banking, securities, insurance, and<br />

company pension plan sectors. The creation of<br />

the ESFS eliminates a situation that is hardly<br />

sustainable: three European organizations<br />

(CEBS, CEIOPS, CESR) staking a claim on the<br />

position of European regulation coordinator<br />

for the financial markets. Consolidating these<br />

three entities under one roof is a welcome<br />

change. Hopefully this will not just be a paper<br />

tiger.<br />

Does the same apply to EU-wide<br />

regulation of rating agencies?<br />

Stringent regulation of rating agencies was an<br />

urgent necessity. There had been a virtual monopoly.<br />

The core problem was that the agencies<br />

helped develop financial products, which<br />

they subsequently had to evaluate, creating a<br />

natural conflict of interest. This will no longer<br />

be possible in the EU.<br />

How much authority will these<br />

regulators have?<br />

The EU delegates authority to national financial<br />

supervisors. Agencies that wish to do business<br />

in the EU require a license for the services<br />

they provide from the u<strong>mb</strong>rella organization<br />

of the Committee of European Securities<br />

Regulators (CESR). This gives the CESR a<br />

scheer Magazine 2|09<br />

risk manaGers at the boardroom table<br />

in light of the current crisis, risk management must become part of corporate strategy.<br />

experts recommend that management actively confront risk, holistically evaluate infor-<br />

mation from the company, and introduce an independent risk management system.<br />

“a chief risk officer should be at the table with executive management,” says edward Hida,<br />

risk management expert at deloitte. 1 in addition, the complexity of business processes<br />

should be reduced in order to increase transparency and improve controls. this makes<br />

risk ma nagement easier and the company overall less vulnerable to crisis.<br />

1 study “risk Management lessons emerging from credit crisis,” october 14, 2008.<br />

stronger role in financial supervision and<br />

should be welcomed as a foundation for direct<br />

European financial market supervision, which<br />

is necessary in the medium term.<br />

The structures of the ESFS and the ESRC have<br />

already been labeled as lacking in competency.<br />

I can only agree. For example, it was stipulated<br />

in the final EU declaration that decisions of<br />

authorities may “in no way impact the budgetary<br />

responsibilities of the states.” Systemic risk<br />

must, however, have precedence over the national<br />

interests of states in order to achieve effective<br />

management.<br />

Do financial institutions now have to recalibrate<br />

their internal risk management and<br />

compliance instruments?<br />

The ESRC and ESFS have very little direct effect<br />

on the internal organization of banks.<br />

Rating agencies in the EU, on the other hand,<br />

must increase transparency and comply with<br />

around tHe World<br />

stric ter reporting requirements. Other changes,<br />

such as guidelines on liable equity for<br />

banks, will result in a greater workload for the<br />

financial institutions.<br />

Will governance, risk & compliance<br />

generally gain greater significance?<br />

Yes, and we are already observing that the influence<br />

of risk management is clearly growing<br />

under the pressure of the crisis. More than a<br />

few risk managers have reported to me that<br />

their influence in decision-making has fortunately<br />

increased.<br />

What advantages do financial institutions<br />

generally achieve when they optimize risk<br />

management?<br />

Banking is by nature a risk business. Therefore,<br />

it makes sense that institutions that can best<br />

manage risk will already achieve more success<br />

in the medium term than an institution with<br />

risk management deficits.<br />

27


around tHe World<br />

Fit for the future<br />

Many companies have cut business travel, bonus payments, and even cellular phones during the crisis<br />

of late. If these measures are not sufficient, more radical measures follow. But the ‘lawnmower’ method<br />

can quickly threaten core or future business. With Business Process Management, companies can save<br />

money more adeptly – and simultaneously uncover potential for improving competitiveness.<br />

Difficult times have arrived for many companies.<br />

When sales nosedive in double-digit percentages<br />

over several months, it is not enough<br />

to reduce employees’ existing comfort zone.<br />

Whether in sales, marketing, production, purchasing,<br />

or administration, the first reflex of<br />

executives is to introduce drastic cost cuts<br />

across the board.<br />

pullinG weeds before<br />

mowinG he lawn<br />

During a crisis, companies often make the<br />

mistake of cutting costs blindly, without<br />

thinking about what will happen afterwards.<br />

From a mathematical perspective, it makes<br />

sense to distribute percentages equally across<br />

the board. But this is neither an intelligent nor<br />

strategic approach. The business challenge for<br />

management is to improve processes while simultaneously<br />

reducing costs. Because the<br />

workload generally does not shrink, it is just<br />

shared among fewer people. There should be<br />

no gaps in customer support just because customer<br />

service employees are working less. On<br />

is your company prepared for the future?<br />

www.fitforcrisis.com<br />

the contrary, good service even when customers<br />

are ordering less is the foundation for future<br />

business. Savings must be smart.<br />

The challenge is to identify cost drivers and<br />

hidden expenses. The idea is to pull the weeds<br />

– not fire up the lawnmower that clear-cuts everything.<br />

Establishing a crisis committee in<br />

which all company departments are represented<br />

is recommended. Together, department directors<br />

determine which business processes<br />

are critical to future success and should be<br />

protected from radical measures. Companies<br />

that have introduced business process management<br />

(BPM) in previous years can now<br />

capitalize on their process efforts. Their experiences<br />

provide a reference for quickly and<br />

sensibly lowering costs, so that they are ideally<br />

positioned for the period after the crisis.<br />

evonik implements best practices<br />

More intensive utilization of existing or even<br />

reduced resources is a common crisis management<br />

method. Better resource allocation is al-<br />

With this online form, companies can find out<br />

free of charge how healthy their processes<br />

are. By answering 20 questions, participants<br />

can trace their cost drivers and earnings potential.<br />

it takes about ten minutes to enter the<br />

data for this brief checkup, which encompasses<br />

executive management and governance,<br />

processes, organization and resources, market-<br />

and customer-orientation, innovation,<br />

and sustainability. all participants receive a<br />

fact-based, individual assessment immediately<br />

following completion of the questionnaire.<br />

so an advantage of process management that<br />

was implemented by the international chemical<br />

and energy corporation Evonik Industries<br />

with 41,000 employees and activities in more<br />

than 100 different countries. To introduce a<br />

global SAP platform in Greater China, processes<br />

from Europe and the United States that<br />

had been identified as best practices were introduced<br />

in China and adapted to local conditions.<br />

Since training requirements were continuous,<br />

there was an imperative need for<br />

comprehensive documentation of the processes<br />

in China. In order to increase workshop efficiency,<br />

the project team developed a BPM<br />

framework that included a uniform role model<br />

and process traceability. The result: the new<br />

platform reduces process documentation<br />

times and increases the reusability of processes;<br />

this has enabled the company to achieve<br />

overall cost reductions for all SAP projects.<br />

ocÉ relies on standards<br />

For years, IT managers have relied on standardization<br />

to limit high maintenance costs<br />

and interface management. Heterogeneous<br />

systems can provide advantages in individual<br />

cases, but they have also been identified as the<br />

greatest cost drivers. They increase complexity<br />

and require a great deal of expert knowledge.<br />

Particular advantages of standardization are<br />

comparability and reusability. Modern and especially<br />

globally operating companies transfer<br />

these experiences to their process landscape.<br />

This is for example the case at Océ. Over the<br />

course of many years, this provider of products<br />

and services for professional document<br />

management with headquarters in Venlo, the<br />

Netherlands, had constructed a heterogeneous<br />

and complex IT infrastructure. This also happened<br />

because Océ acquired several large companies<br />

in order to expand its product portfolio<br />

and augment its selling power. Prompted by<br />

requirements for integration, globalization,<br />

28 scheer Magazine 2|09


and superior operational performance, Océ<br />

implemented a company-wide program (you<br />

can read more about this on p. 33). This primarily<br />

consisted of harmonizing business processes<br />

and organizational roles as well as standardizing<br />

applications and infrastructure. At<br />

the same time, a company-wide repository ref<br />

lecting the “one and only version of the truth”<br />

was created for artifacts of the company architecture.<br />

The nu<strong>mb</strong>er of process variations was<br />

reduced by 30 percent, which resulted in significant<br />

savings in the utilization and implementation<br />

costs associated with IT systems.<br />

rwe with a new business model<br />

At many companies, there is no standardized<br />

recording and planning of business processes.<br />

RWE Kundenservice G<strong>mb</strong>H grappled with this<br />

matter in a unique situation. With 1,100 employees<br />

and 250 million euros in turnover, the<br />

company provides services for energy suppliers<br />

and network operators on the electricity and<br />

natural gas markets and for heating and water<br />

utility clients. The German Federal Network<br />

Agency requires companies in the energy sector<br />

to separate the market roles of energy suppliers<br />

and network operators. Companies must there-<br />

scheer Magazine 2|09<br />

fore separate processes and IT systems from one<br />

another and make them inaccessible to the<br />

other side of the market.<br />

Consequently, within the framework of the<br />

market role separation project, RWE Kundenservice<br />

G<strong>mb</strong>H redefined its business model,<br />

derived all business processes as a whole<br />

from this, and adapted its organization and IT<br />

on that basis. The new business processes also<br />

serve as a foundation for new IT functionality<br />

testing and employee training. E-learning<br />

tools that demonstrate the technical IT implementation<br />

of processes are effectively used to<br />

train employees.<br />

Through this consistent process-oriented<br />

alignment, project expenses and anticipated<br />

extra costs after production rollout were reduced<br />

significantly. The objective is to maintain<br />

consistent resource deployment despite<br />

the increasing complexity and volume of processes.<br />

Furthermore, expenses were reduced<br />

by nearly 40 percent compared to the previous<br />

situation by converting to new process documentation<br />

software and centralized process<br />

modeling for process recording. (On page 35<br />

you can read which success factor is critical for<br />

around tHe World<br />

Preserving clarity in heavy weather: companies often make the mistake of cutting costs blindly without thinking about the time after the crisis.<br />

Frank Bertenhoff, RWE Kundenservice G<strong>mb</strong>H,<br />

with BPM projects.)<br />

swisscom reduces processinG time<br />

Process management is particularly effective<br />

in reducing throughput times. With 5 mi l lion<br />

cellular phone customers, 5.3 million landline<br />

and 1.6 million broadband connections,<br />

Swisscom <strong>AG</strong> is the leading telecommunications<br />

company in Switzerland. The company<br />

was able to achieve these effects and simultaneously<br />

increase customer satisfaction. With<br />

a newly introduced process monitoring system,<br />

order processing and administration was<br />

placed under a microscope. The system was also<br />

designed to identify the reasons for timeconsuming<br />

phone inquiries from customers<br />

and internal offices, deliver traceable data<br />

from incoming orders, and allow monitoring<br />

of order processing. When deviations occur,<br />

such as delayed processing times, the system<br />

sends an alarm signal. Through transparency<br />

in project implementation, comprehensive<br />

process analyses, and process optimization<br />

measures, Swisscom was able to accelerate order<br />

processing and increase customer satisfaction.<br />

29


around tHe World<br />

There’s ARIS inside<br />

Global demand requires global presence. But that’s not the only reason <strong>IDS</strong> <strong>Scheer</strong> has developed an<br />

extensive partner network. It’s also about taking advantage of BPM knowledge, expertise and ARIS<br />

as the default language of BPM.<br />

Prepared the ground for BPM in Central and South America:<br />

Ricardo Gutiérrez, CEO of AxxiS Consulting, Mexico<br />

The average marriage lasts just ten years in Europe. There are no statistics<br />

regarding the durability of partnerships between companies.<br />

However, it may be assumed that in our dynamic economy, cooperations<br />

that last fifteen years or more are exceptional – especially when<br />

the partners are separated by distance, as is the case with the relationship<br />

between <strong>IDS</strong> <strong>Scheer</strong> and its Mexican partner, AxxiS Consulting.<br />

ARIS Toolset was introduced on the market in 1992. Four years later,<br />

AxxiS in Mexico became one of the first <strong>IDS</strong> <strong>Scheer</strong> partners. Today,<br />

the ARIS Partner Community e<strong>mb</strong>races more than 50 companies in 27<br />

countries.<br />

AxxiS Consulting is a typical reseller, and also a service partner that contributes<br />

profound industrial and technical expertise to the ARIS network,<br />

guaranteeing that ARIS products are implemented efficiently.<br />

Service partners make it possible to support customers from a local base.<br />

Thus, for example, <strong>IDS</strong> <strong>Scheer</strong> is represented by partners in South Africa,<br />

Morocco, the Philippines and Peru. These partners speak the customers’<br />

language – both culturally and technically – and can be on-site quickly.<br />

These are unbeatable advantages in the consulting business.<br />

local or Global – always in Good hands<br />

The customer receives business process excellence – that is the common<br />

message of all ARIS partners. It makes no difference whether the customer<br />

is assisted by consultants from <strong>IDS</strong> <strong>Scheer</strong> itself or from one of its<br />

partners. “It is imperative for the customer to know that their processes<br />

are in good hands,” says Partner Manager Carsten Jörns. “That is the ultimate<br />

objective.” The primary criterion for entering into partnership<br />

with a new company is how experienced they are with business process<br />

management. The more knowledge the partner can contribute, the better.<br />

“It is not enough just to sell a lot of licenses,” explains Jörns, who has<br />

been with <strong>IDS</strong> <strong>Scheer</strong> for more than twelve years and responsible for<br />

partner management worldwide since February. “We are interested in<br />

the added value the customer gains by using our BPM solutions.”<br />

brinGinG<br />

innovation to mexico<br />

“We almost feel like a branch office of <strong>IDS</strong> <strong>Scheer</strong> in Mexico,” says<br />

Ricardo Gutiérrez, Managing Director of AxxiS Consulting, one<br />

of the first companies to join the worldwide <strong>IDS</strong> <strong>Scheer</strong> partner<br />

network. Mr. Gutiérrez became acquainted with <strong>IDS</strong> <strong>Scheer</strong> in<br />

1994, one year after his own company was founded. “I was very<br />

excited as soon as I saw ARIS for the first time.” AxxiS Consulting<br />

became the exclusive distributor for Mexico and expanded operations<br />

to several countries of South America. “In the beginning, we<br />

had to prepare the ground for BPM,” says the Mexican businessman<br />

who is keen to attract innovation to his country. “Mexicans<br />

have rather a lot of difficulties with processes that have been imposed<br />

on them, although that situation has changed considerably<br />

in recent years. Business and the associated structures are becoming<br />

more international – and thus also more standardized.” The<br />

company, which uses ARIS software mainly in Enterprise Ar chitecture<br />

Management projects, employs 25 consultants who provide<br />

services to about 70 customers in Mexico, Peru, Venezuela,<br />

Colo<strong>mb</strong>ia and the USA. These customers include Cemex (the<br />

third-largest cement manufacturer in the world), Citigroup,<br />

Pepsico, PEMEX (a Mexican oil company), the Mexican Ministry<br />

of Finance, FEMSA (a Mexican beer producer and Coca-Cola’s<br />

largest bottler for Latin-America) and Intel. Mr. Gutiérrez is at<br />

least able to see one bright spot in the economic crisis, which has<br />

not spared Mexico either: “If companies respond rapidly and flexibly,<br />

they will be competitive in the future as well. The blueprint<br />

for adapting is provided by ARIS.”<br />

Quality has top priority. “<strong>IDS</strong> <strong>Scheer</strong> is not in the business of selling<br />

software that will lie unused after a few months,” says Jörns, referring in<br />

particular to BPM solutions. ARIS is the world standard for BPM. To<br />

ensure that this remains so, customers must perceive it in the efficiency<br />

of their processes every day. This also means that, if the situation demands<br />

it, the partner must advise a customer not to e<strong>mb</strong>ark on an ARIS<br />

project if they are unable to establish the necessary BPM governance.<br />

<strong>IDS</strong> <strong>Scheer</strong> recently introduced the ARIS certificate, which will be the<br />

international minimum requirement for partner status in the future.<br />

30 scheer Magazine 2|09


The worldwide <strong>IDS</strong> <strong>Scheer</strong> Partner Community comprises more than 50 companies in 27 countries.<br />

Certified experts will have more than a superficial familiarity with<br />

ARIS; they will already have project experience and be accomplished<br />

BPM consultants.<br />

There is enormous potential in globally active companies such as SAP,<br />

Oracle and Accenture, which spread the ARIS Platform as resellers,<br />

OEM and service partners. <strong>IDS</strong> <strong>Scheer</strong> entered into its first global partnership<br />

contract with IT consultancy Accenture in 2008 (see interview<br />

on the following page). The stated objective is that these partners should<br />

use ARIS as the standard in all BPM projects by introducing their content<br />

in an industry-specific database and transferring a customer-specific<br />

ARIS database to the customer at the end of the project. Deloitte<br />

also decided to take this course recently; others will follow suit soon.<br />

partners need to understand each other<br />

Just how durable and profitable a partnership can be is demonstrated by<br />

the relationship between <strong>IDS</strong> <strong>Scheer</strong> and SAP. This story began back in<br />

the 80s, when Professor <strong>Scheer</strong> discussed the necessities of a business<br />

management view of processes for IT systems with SAP founder Hasso<br />

Plattner at the Institute for Information Management in Saarbrücken,<br />

Germany. Today SAP, the world’s leading provider of ERP software, is<br />

more than just the largest ARIS reseller. An abiding partnership has<br />

been forged between the two companies, extending from joint technology<br />

development ventures to product sales. ARIS can be integrated<br />

seamlessly in the SAP environment and supports users with a comprehensive<br />

BPM lifecycle – from creation of their business models to execution<br />

with SAP, and further to include business process monitoring and<br />

optimization. For its part, <strong>IDS</strong> <strong>Scheer</strong> is one of SAP’s most important<br />

partners in terms of process-oriented introduction of SAP systems.<br />

<strong>IDS</strong> <strong>Scheer</strong> also enjoys a technology partnership with the UK-based<br />

Lanner Group, which has integrated its simulation software in ARIS.<br />

scheer Magazine 2|09<br />

Expansions of this kind provide customers with a broader ARIS functionality.<br />

Partnership manager Jörns is convinced: “Partners have to know and<br />

understand one another, and they must develop a team culture.” That is<br />

why he and his team me<strong>mb</strong>ers all over the world spend many hours in<br />

web conferences and telephone calls. While it is no substitute for meeting<br />

face to face, it is indispensable for exchanging experience and information,<br />

and for monitoring activities. At least once a month, managers<br />

talk to their partners to find out how projects are proceeding, what can<br />

be done better, where new information has been collected.<br />

Glossary<br />

service partners<br />

it service providers with industry-specific and technologyspecific<br />

expertise that offer BPM consulting services and ensure<br />

aris products are used<br />

value-added reseller (var)<br />

Vars sell aris products and offer complete solutions relating to all<br />

aspects of the aris Platform – including complete BPM solutions<br />

oem<br />

it manufacturers that integrate aris into their own solutions<br />

and sell the product under their own names<br />

technoloGy partners<br />

development cooperations for new BPM solutions and<br />

aris functions<br />

around tHe World<br />

31


around tHe World<br />

“We needed a robust, tool-based platform”<br />

Interview with Jim Adamczyk, Executive Partner<br />

at Accenture and lead for Process Architecture Specialty<br />

How is Accenture working with ARIS?<br />

In June 2008, we selected the ARIS Platform to serve as the core repository<br />

for our libraries of industry reference models, which we<br />

call the Accenture High Performance Business Process Framework.<br />

These industry-specific models are based on a process reference<br />

architecture and draw upon our experience and capabilities from<br />

our global practice.<br />

Why ARIS?<br />

We needed a tool-based platform that was robust, mature, and scalable.<br />

Accenture supports models for 20 industries, a core modeling<br />

standard as well as extensions and add-ons unique to different<br />

technologies. All of this has to be delivered to our over 180,000<br />

employees in 49 countries. We felt that the ARIS Platform was our<br />

best option.<br />

What are your business expectations?<br />

Because our process models are stored in a repository based upon<br />

ARIS, various ARIS tools such as the Business Architect, IT<br />

Architect, Business Architect for SAP, and SOA Architect might be<br />

used by our clients. Of course, it will be their decision. Through<br />

our alliance with <strong>IDS</strong> <strong>Scheer</strong>, we can help our clients acquire and<br />

implement tools and solutions of the ARIS Platform as needed.<br />

The ARIS Platform and Accenture’s Reference Models help our clients<br />

achieve a nu<strong>mb</strong>er of benefits.<br />

Shared knowledge is important to the ARIS Partner Community. Jörns<br />

met many partners at ProcessWorld in Munich and Prague; he will meet<br />

more at the annual meeting of partners, where it is not unusual for personal<br />

friendships to be created as well. The key theme of the next summit<br />

meeting is “Beyond Modelling – the Value of Permanent Business<br />

Process Improvement”.<br />

Sometimes, ARIS is inside even when the name ARIS does not appear:<br />

OEM partners sell <strong>IDS</strong> <strong>Scheer</strong> products under their own names. For example,<br />

Oracle has integrated the ARIS Design components in its BPA<br />

Suite, which is part of its BPM solution. The US-based ITIL expert iET<br />

Solutions incorporates the PPM tool from Germany in its own solutions.<br />

In this way, ARIS has slipped unobtrusively into the systems of<br />

the companies buying from this software manufacturer, and extended<br />

its reach. The OEM partner also offers to integrate ARIS components in<br />

its own software, thereby increasing the benefit and reducing rollout<br />

time for the customer.<br />

Jim Adamczyk, Executive Partner at Accenture<br />

For example?<br />

Very important will be less design times and costs as well as reducing<br />

training and startup through the use of a common process vocabulary.<br />

A common approach and understanding will reduce errors<br />

and miscommunications.<br />

What is Accenture doing to adopt the ARIS Platform in addition<br />

to building the process models?<br />

Accenture has developed on-demand computer-based training on<br />

how to do basic modeling using the ARIS tools. In addition, we<br />

have the Innovation Center for Business Processes, which is a cross<br />

industry team. This center works with client teams in BPM to help<br />

them utilize the industry reference models and the associated<br />

ARIS Platform tools. This team will support customers to make<br />

best use of the tools and repository in addition to how to develop<br />

and maintain the industry models.<br />

According to Jörns, plans are afoot to devote particular efforts to expanding<br />

the OEM program with regard to process performance monitoring<br />

this year. The campaign will be directed most vigorously at ERP<br />

and CRM providers, and manufacturers specializing in industries.<br />

“With their purchase of the software, the user companies will have the<br />

ability to get information very quickly about the health of their processes,”<br />

Jörns explains.<br />

ppm in the oem business<br />

Regardless of whether a customer works with <strong>IDS</strong> <strong>Scheer</strong> directly or<br />

with a partner, they will always receive the assistance they need to find<br />

the process information and key performance indicators in ARIS products.<br />

On this basis, improvements can be put in place appropriately.<br />

And best of all, the users have stored their process knowledge in an ARIS<br />

database – it is up-to-date, organized, and therefore can be reused at any<br />

time. “This is the living ARIS Community,” Jörns sums up.<br />

32 scheer Magazine 2|09


Learning from the best<br />

Every BPM project is different. But there are a few key factors that make a BPM<br />

initiative successful. The winners of this year’s Business Process Excellence Award<br />

from <strong>IDS</strong> <strong>Scheer</strong> share their ideas on what’s important.<br />

lesson 1: include top manaGement<br />

The success of any BPM project begins at the top. Louis Anderson of Océ<br />

is certain of that. “Without the support of top management, no plans<br />

for change that impact the entire company are feasible,” says this corporate<br />

application architect. “With a BPM project, it’s not about drawing<br />

pretty pictures but about changing the entire workflow.” Three years<br />

ago Océ – an international provider of digital printing and document<br />

management solutions of Dutch origin with 23,000 employees in 100<br />

countries – faced the challenge of harmonizing its worldwide business<br />

processes and standardizing its IT.<br />

Anderson found out what role top management plays when he wanted to<br />

document the corporate architecture in 2005. “Because at first it was a<br />

mere IT initiative, we were not successful. Only after senior management<br />

announced an excellence program to increase efficiency throughout<br />

the company were the strengths of the business side and IT successfully<br />

bundled.” Anderson’s assignment: with the help of ARIS, he documented<br />

the processes and IT architecture – with very diverse results.<br />

Overall, the company can now better evaluate the likely consequences<br />

of a change to business, application, or infrastructure architecture.<br />

“This results in fewer risks and better decisions,” says Anderson, who<br />

together with his coworkers received an award in the Business-Driven<br />

SOA & Enterprise Architecture Ma nagement category.<br />

scheer Magazine 2|09<br />

around tHe World<br />

lesson 2: always keep users in mind<br />

According to Stefan Trägler, Organization Director at Landesbank<br />

Berlin (LBB), a large German commercial bank, not only must top management<br />

stand behind a BPM project. A BPM project succeeds or fails<br />

with the acceptance of employees. “After all, they are the ones working<br />

with it every day.” In 2002, he initiated the conversion of a set of written<br />

rules – the complete bank rules system – from a paper to an electronic<br />

system. Since 2004, all instructions are displayed in the intranet as ARIS<br />

models linked to the LBB content management system. LBB has saved<br />

three million euros annually ever since; for the 180 handbooks alone,<br />

10.5 million replacement pages containing the latest system of rules<br />

were eliminated. An additional benefit is that LBB can now track<br />

whe ther an employee has actually read a directive.<br />

Together with his colleague Alexander Zacharias, Director of the Bank<br />

Organization department, Trägler increased acceptance by ensuring a<br />

high degree of usability. At first, the complex representation using<br />

“ARIS wall papers” was met with skepticism. With ARIS light, LBB created<br />

its own method of presentation. Instead of complex detailed modeling,<br />

there was a sleek depiction within the framework of ARIS conventions,<br />

with redundant or confusing sy<strong>mb</strong>ols removed. Employees today<br />

find colored markings showing which processes have changed, and they<br />

can access additional information through supplementary texts.<br />

“Convenient, easy to use, and up to date” – Zacharias credits this for-<br />

33


around tHe World<br />

mula for the high rate of 35,000 visits per month. Nearly 800 users at lesson 5: define standards, allow deviations<br />

LBB have now been trained on the system. This success also convinced “Big BPM projects need standards that are coordinated centrally,” says<br />

the awards jury: LBB received the BPE Award for Banking Excellence. Jörg Winckler, Director of the department IT5, the IT service center in<br />

the division of the German Federal Ministry of Transport, Construction<br />

lesson 3: identify objectives<br />

and Urban Development. The depart-<br />

Experience has shown Helen Kylstad – Head<br />

ment supports the optimization and<br />

of Master Coordinator Finance for the<br />

harmonization of business processes.<br />

Swedish company Volvo – that explaining<br />

On this basis, standard software for<br />

goals increases success. Her project, which<br />

8,000 users was implemented. Al-<br />

started in 2006, was the process-oriented<br />

though many processes were substan-<br />

rollout of SAP R/3 Master Finance at aptially<br />

the same, the actual processing<br />

proximately 100 of Volvo’s smaller and new ly<br />

landscapes in the 68 agencies that be-<br />

acquired companies within the worldwide<br />

long to this particular Federal Mi-<br />

Volvo Group. “Many people would rather<br />

nistry, were rather heterogeneous.<br />

maintain the status quo. That’s why it is ex-<br />

“From the Federal Office of Civil<br />

tremely important to focus as much as pos-<br />

Aeronautics to the German Me teo -<br />

sible on concrete objectives.” Kylstad also<br />

r ological Service, we are servicing all<br />

has to make sure that the 6,500 employees<br />

kinds of different agencies that all<br />

who are already running the solution and<br />

have their own structures,” explains<br />

those who will subsequently benefit from it<br />

Winckler. “That’s why it’s important<br />

will be trained using ARIS models. Her ad-<br />

to know when you can deviate from<br />

vice on project communication: “Keep it<br />

the standard so as not to impair the<br />

simple and don’t overwhelm employees<br />

organization’s operability. It’s a bal-<br />

with documentation that they are not going<br />

ancing act that you have to develop<br />

to read anyway.”<br />

the necessary sensitivity for. Criteria<br />

for when to deviate from a standard<br />

lesson 4: communicate,<br />

are, for instance, possible follow-up<br />

communicate, communicate<br />

costs, future release alterations or the<br />

Project communication is a critical success<br />

dependency on other technical sys-<br />

factor for Olivier Faure, document and IT administrator<br />

at Technip. This international<br />

tems.”<br />

corporation – with headquarters in Paris and<br />

lesson 6: assess<br />

offices in 46 countries worldwide – installs<br />

process viability<br />

production equipment for petroleum and<br />

“BPM is not a natural way of life for a<br />

natural gas companies. In order to standard-<br />

business,” says Brett Cunningham,<br />

ize all internal control team processes,<br />

SCALE Application Integration Leader<br />

Technip has been using ARIS Solution for<br />

for the Coca-Cola Company. “Nor does<br />

GRC (Governance, Risk & Compliance<br />

it function like plug & play. Pro cesses<br />

Management) since Septe<strong>mb</strong>er 2008. The so-<br />

must be carefully designed in accorlution<br />

is being implemented worldwide. Acdance<br />

with requirements.” Cu n ningcording<br />

to Faure, cultural differences must<br />

ham and his team of 30 employees are<br />

be respected in communication. “In some<br />

responsible for ensuring that indepen-<br />

countries, for instance in Asia, hierarchies<br />

dent regional Coca-Cola companies,<br />

must be observed. Elsewhere, such as in BPM projects are successful when top management as<br />

known as bottlers, are using as many<br />

Brazil, things are more informal.” This also well as end users are involved, and when goals are communi- standard processes as possible: the bot-<br />

applies to training sessions, which Faure has cated openly and continuously developed.<br />

tler best practices. In 2006, the compa-<br />

organized around the world. In Norway and<br />

ny launched the SCALE project. Under<br />

Britain, the approach is “get straight to the point.” In Italy, on the other this framework, the head office in Atlanta, in conjunction with the 11<br />

hand, socializing plays a greater role. The success principle, however, is the most important bottlers, has now established over 700 mandatory pro-<br />

same at all sessions: “Training must be focused on practical applications.” cesses – with the help of ARIS.<br />

34 scheer Magazine 2|09


Assessment is a term Cunningham likes to use because processes are continuously<br />

being assessed for applicability using 18 criteria. Buy-in is also<br />

important to him; processes are not to be imposed by Atlanta. Instead,<br />

they are developed in cooperation with bottlers. Me<strong>mb</strong>ers of the “system,”<br />

as the association of parent company and bottlers is known, have<br />

agreed to a holistic approach with a strict governance superstructure.<br />

Cunningham considers this one of the most important success factors.<br />

The maxim is “SCALE is the source for every process.” To implement it,<br />

employees must totally dedicate themselves to the process concept. As a<br />

representative of Coca-Cola, Cunningham is one of these employees – he<br />

has counterparts at all levels at local bottlers who ensure that improvements<br />

and modifications are appropriately implemented at each facility.<br />

This includes “global business process leads” as process owners, “country<br />

champions” who advance the project in their countries as well as “super<br />

users” who bring expertise to individual departments.<br />

lesson 7: install mr. process<br />

One such “Mr. Process” who has internalized the process concept is<br />

Frank Bertenhoff. As Director of Supplier Account and Process<br />

Management at the German company RWE Kundenservice G<strong>mb</strong>H, he<br />

works with a team of 15 people. Together they are responsible for implementing<br />

guidelines from the Federal Network Agency and the clients’<br />

requirements in one shared service company for two regional subsidiaries<br />

(RWE Rhein-Ruhr and RWE Westfalen-Weser-Ems). Legislation<br />

stipulates that energy companies must separate their market roles as en-<br />

scheer Magazine 2|09<br />

helen kylstad<br />

head of master coordinator finance, volvo<br />

“Many people would rather maintain the status quo. That’s why it is extremely<br />

important to focus as much as possible on concrete objectives.”<br />

brett cunninGham<br />

scale application inteGration leader, coca-cola sabco<br />

“It is critical that all stakeholders internalize the BPM philosophy.”<br />

louis anderson<br />

corporate application architect, ocÉ<br />

“Without the support of top management, no plans for change<br />

that impact the entire company are feasible.”<br />

around tHe World<br />

ergy supplier and network operator in order to allow additional independent<br />

competition. Processes and IT systems must be separated from<br />

and made inaccessible to each other.<br />

“With such a mammoth project, it is important to concentrate on the<br />

essentials, precisely define processes from beginning to end, and fully<br />

implement the process concept. Otherwise there is a danger of being diverted<br />

from the objective,” says Bertenhoff, who works on the interface<br />

between internal contractors, IT, and specialized departments. In the<br />

run-up to the project alone, the Bertenhoff team generated 200 decision<br />

requirements and coordinated with internal contractors – for example<br />

the call center or the invoicing department. “For me, this meant organization,<br />

implementation, and conflict management, for instance when<br />

processes that were defined at the outset actually had to be implemented<br />

in IT.”<br />

lesson 8: e<strong>mb</strong>ed the bpm philosophy in culture<br />

Is a BPM project ever complete? “No,” says Joni Lehtonen, Vice President<br />

of Business Process Services with the Finish IT service provider Tieto<br />

Corporation, who optimized the company’s SLA management with assistance<br />

from <strong>IDS</strong> <strong>Scheer</strong> (see user story on page 38). “But that is also<br />

the wrong question,” continues Lehtonen. “Improving performance<br />

cannot be approached like a project or a program. It is more like a philosophy,<br />

a culture that must be rooted firmly in a company’s existence.<br />

It is an ongoing process.”<br />

35


around tHe World<br />

Faster out of the starting block<br />

“IT follows business” is the maxim when updating IT landscapes. With Industry.PerformanceREADY,<br />

<strong>IDS</strong> <strong>Scheer</strong> provides a solutions package for rapid implementation of business process optimization –<br />

industry expertise included.<br />

An increasing nu<strong>mb</strong>er of companies is replacing<br />

existing solutions with newer and more<br />

agile ERP software. Analysts at Gartner have<br />

also observed this: In June <strong>2009</strong>, Christian<br />

Hestermann, Robert P. Anderson, and Chris<br />

Pang examined the ERP market for medium-<br />

Industry.PerformanceREADY consists of three project modules.<br />

sized companies with 100 to 1,000 employees.<br />

They then listed ERP software systems in a<br />

Magic Quadrant. 1 For the Gartner technology<br />

analysts, three key factors determine current<br />

development: the provision of industry-specific<br />

functions, technological modernization<br />

Process-oriented project standards<br />

based on many years of sAP project<br />

experience<br />

Industry-specific best practices<br />

mapped in ArIs<br />

Preconfigured sAP industry solutions<br />

as basic component<br />

through service-oriented architecture (SOA),<br />

and solutions that can be used worldwide.<br />

The results are in line with the experience of<br />

Marc Vietor, director of Process-Driven SAP<br />

DACH & Industry.PerformanceREADY at <strong>IDS</strong><br />

<strong>Scheer</strong>. “For example, many companies have<br />

grown over the years as they established and<br />

expanded international offices. Their IT systems<br />

are now approaching their performance<br />

limits or must be consolidated” – because<br />

existing systems have been repeatedly expanded<br />

through interfaces and interwoven with<br />

add-on programs. Large corporations also face<br />

similar challenges with acquisitions, when external<br />

systems must be adapted. At each location<br />

there are different, highly complex structures<br />

that are often impossible to network with<br />

each other. Vietor: “Companies of all sizes rely<br />

on these networks to function efficiently – in<br />

terms of both organization and system; lean,<br />

integrated processes are a top priority.”<br />

36 scheer Magazine 2|09


solution components<br />

1 Preconfigured saP system<br />

2 aris reference database<br />

3 saP solution Manager<br />

4 solution documentation<br />

5 aVe procedure model<br />

6 Process-driven saP standards<br />

7 aris process monitoring<br />

8 aris Process Governance<br />

Eight solution components are available for implementation.<br />

continuous process optimization<br />

Intense competition, higher expectations from<br />

customers and investors co<strong>mb</strong>ined with business<br />

units scattered across the globe are increasing<br />

pressure on companies to improve<br />

their operating processes. According to a 2008<br />

estimate by the Economist Intelligence Unit,<br />

an international analysis and consulting firm,<br />

executives consider continuous optimization<br />

of business processes to be the most important<br />

prerequisite for operating success. 2 Expert<br />

knowledge and consulting services are in demand<br />

more than ever. “In order to achieve the<br />

necessary transparency and optimization,<br />

companies must examine three process types,”<br />

explains <strong>IDS</strong> <strong>Scheer</strong> expert Vietor: “Processes<br />

documented by the organization department,<br />

processes implemented by the IT department,<br />

and processes executed by the specialist departments.<br />

Based on many years of successful<br />

analyses and work on behalf of customers, a<br />

new consulting product has emerged against<br />

this background: Industry.Performance REA-<br />

DY delivers appropriate, industry-specific instruments<br />

for efficient processes.” The <strong>IDS</strong><br />

advantaGes of industry.performanceready<br />

• time and money savings through existing preconfigurations<br />

scheer Magazine 2|09<br />

<strong>Scheer</strong> service package co<strong>mb</strong>ines process management<br />

software with the expertise of industry-specific<br />

process scenarios, while consistently<br />

adhering to the philosophy of “IT follows<br />

business.”<br />

experience of a thousand companies<br />

Industry.PerformanceREADY is a comprehensive,<br />

process-oriented solution that reflects industry<br />

expertise in ARIS for SAP and co<strong>mb</strong>ines<br />

industry-specific process scenarios<br />

based on SAP best practices. According to<br />

Vietor, “It contains the experience of a thousand<br />

companies.”<br />

A company-specific model of the operational<br />

processes is generated using ARIS. This serves<br />

as a mandatory parameter for configuring the<br />

SAP ERP solution. The ERP system is conveniently<br />

expandable and can be adapted to<br />

companies of all sizes and in any industry. It is<br />

ideal for deployment at several locations and<br />

in company divisions as well as for subsidiaries<br />

with various legal forms. Its unique advantages:<br />

preconfigured ERP software accelerates<br />

• Minimal project risk due to aris reference processes and preconfigured<br />

saP industry solutions<br />

• reuse of centralized standards (templates, guidelines, examples), automatically<br />

available to all saP solution Manager participants<br />

• comprehensible process landscape through BPM expertise and industry knowledge<br />

in aris for saP<br />

• scalable solution for small, medium or large-sized companies<br />

• Process efficiency and continuous success monitoring with aris Process Performance<br />

Manager (aris PPM)<br />

• rapid, process-driven adaptation of the erP system to fulfill individual requirements<br />

• customer-specific expansions are based on precision adjustments; consequently,<br />

industry.PerformancereadY can be offered for a fixed price<br />

industry packaGes with<br />

process expertise<br />

special industry packages are currently<br />

available for the following business pro-<br />

cess platforms:<br />

• chemical industry<br />

• consumer goods industry<br />

• discrete parts manufacturing<br />

• logistics service providers<br />

• Metalworking industry<br />

• Pharmaceutical industry<br />

• retail<br />

• Public utility industry<br />

sys tem implementation; implements optimized,<br />

cost-effective processes; and reduces<br />

implementation and operating costs.<br />

For process-supported SAP implementation,<br />

Industry.PerformanceREADY also uses realtime<br />

controlling based on ARIS PPM, thereby<br />

ensuring a continuous improvement process –<br />

additio nal automation and workflow support is<br />

provided by ARIS Process Governance.<br />

The outstanding features of the solution are<br />

the industry knowledge it incorporates and<br />

the fact that it directly matches preconfigured<br />

processes in SAP. Supported areas include financial<br />

and accounting processes as well as<br />

processes associated with production, warehousing,<br />

and distribution. With these functions,<br />

companies can fulfill country-specific<br />

reporting requirements as well as plan, measure,<br />

and control business processes throughout<br />

the entire company.<br />

Uniform standards also allow companies to<br />

administer processes from different industries<br />

– for example, a pharmaceutical company that<br />

also operates pharmacies and thus retail outlets,<br />

or a machinery manufacturer that delivers<br />

its products to building supply retailers<br />

and must administer consumer-product-specific<br />

processing. “This degree of flexibility and<br />

comprehensive concept are unique on the<br />

market and provide our customers with an<br />

ideal environment for integrated BPM,” concludes<br />

Vietor.<br />

1<br />

2<br />

around tHe World<br />

http://mediaproducts.gartner.com/reprints/microsoft/<br />

vol4/article12/article12.html<br />

http://www.logica.com/securing+the+value+of+business<br />

+change/400013767<br />

www.ids-scheer.com/performanceREADY<br />

37


around tHe World<br />

Debugging processes<br />

Time is of the essence in incident and problem management. That is why Tieto,<br />

a leading IT service company in Northern Europe, relies on ARIS Solution for<br />

Process Intelligence & Performance Management (PIPM).<br />

joni lehtonen, vice president at tieto,<br />

summarizes the approach:<br />

Tieto has created a concept called “Predictive Business Services”. Before<br />

going to market with it, Tieto wanted to prove to itself that the concept<br />

works and customers will really benefit from it. Predictive Business refers<br />

to an activity that is designed to eliminate the guesswork and surprises<br />

from business processes. The ultimate goal of Predictive Business<br />

may be to improve operational agility through better management of<br />

information and knowledge. Predictive Business is divided into three<br />

phases: observation, analysis, and optimization.<br />

Observation means the preplanned, active and systematic gathering of<br />

information from all sources, both internal (e.g. the ERP system) and<br />

external (e.g. news services). By visualizing the information gathered<br />

from these various sources – co<strong>mb</strong>ined with key performance indicators,<br />

for example – the company can get a better idea of the state of its<br />

operational processes. In practice this might mean providing the pro-<br />

Tieto’s headquarters in Helsinki, Finland<br />

cess owner with a real-time visual view of the business processes in order<br />

to chart the process bottlenecks as comprehensively as possible.<br />

For instance, if a product’s order-to-delivery cycle time exceeds the predefined<br />

limit values, the process owner receives an alarm which in turn<br />

allows him or her to respond quickly and start corrective actions, thus<br />

avoiding customer disappointment. Visualization gives the process<br />

owner an idea of the chain of events that has started or is starting, and<br />

of the information needed to solve the problem and where it is to be<br />

found.<br />

Analysis then aims at understanding the correlations between events.<br />

The hypothesis is that the different events share at least some common<br />

characteristics. Thus, the information recorded during one event can be<br />

used for analyzing another. Event analysis serves as a basis in preparing<br />

for future events and optimizing operations.<br />

Optimization refers to the attainment of the best possible end result<br />

within defined limits. Optimization being a future-oriented activity by<br />

nature, it may be suggested that a comprehensive knowledge base is essential<br />

for such activities.<br />

Tieto has a culture of continuous improvement. This means doing more<br />

than just complying with service level agreements (SLAs). All processes<br />

and services are enhanced constantly according to the concept of<br />

Predictive Business. In ARIS, Tieto has found the solution to analyzing<br />

all factors that influence process efficiency.<br />

Tieto is impressed by the BPM products it has implemented and therefore<br />

offers services for ARIS products as an <strong>IDS</strong> <strong>Scheer</strong> partner itself.<br />

The ARIS tools help to keep improving Tieto’s service management as<br />

well. The company is now able to identify and avert potential bottlenecks<br />

in a timely manner – valuable experiences that are also made<br />

available to customers.<br />

38 scheer Magazine 2|09<br />

tieto<br />

tieto corporation was created by a merger of the tieto corporation<br />

(finland) and enator aB (sweden). as one of europe’s biggest<br />

it service providers, the company offers services in the realms of<br />

it, r&d, and consulting. its approximately 16,000 experts assist<br />

mainly medium- and large-scale companies in the primary mar-<br />

kets of northern europe, Germany, and russia. the company also<br />

provides worldwide services to customers in the digital services<br />

segment as well as the telecommunications, forestry, and energy<br />

industries.


25 years of BPM:<br />

The success story continues!<br />

Prof. Dr. Dr. h.c. mult. August-Wilhelm <strong>Scheer</strong>, founder and chairman of the supervisory board, <strong>IDS</strong> <strong>Scheer</strong> <strong>AG</strong><br />

Few people will reme<strong>mb</strong>er, but in 1984, when <strong>IDS</strong> <strong>Scheer</strong> was founded<br />

in Saarbrücken, the idea of business processes was already the focus of<br />

company services. I had written the first book in German on the CIM<br />

(computer-integrated manufacturing) organizational concept, and, despite<br />

being just a small startup in Saarland with a handful of employees,<br />

<strong>IDS</strong> <strong>Scheer</strong> was in demand as a conceptual consultant for large industrial<br />

enterprises such as Bosch and Daimler.<br />

Indeed, CIM was a prototype business process concept that encompassed<br />

the entire field of logistics. Even the technical description of geometric<br />

product properties and their use in generating control programs<br />

for machinery was recognized as an associated process. I represented<br />

these two essential business processes as the Y-CIM model, which was<br />

then also selected in simplified form as the <strong>IDS</strong> <strong>Scheer</strong> logo. That is why<br />

scheer Magazine 2|09<br />

the Y-logo represents the process idea that even today illustrates the<br />

unique selling point of <strong>IDS</strong> <strong>Scheer</strong> software and consulting services.<br />

aris victory lap around the Globe<br />

looKinG aHead<br />

Even while I was building my small company, I was conducting research<br />

into methods for a business-oriented – that is, user-oriented – description<br />

of information systems. My work revealed that while describing<br />

company data is very important, it is not sufficient to define a business<br />

process itself. Among other things, details about the functions and their<br />

connections were lacking. I needed a concept that could satisfy both the<br />

requirement of simplicity for the user and the methodical stringency for<br />

simultaneously transferring process contents into information technology<br />

support systems. With the ARIS concept, especially the graphical<br />

39


looKinG aHead<br />

ARIS house model, I found a truly simple conceptual framework for defining<br />

business processes that enabled me to depict the path from company<br />

strategy to IT implementation of business processes at the same<br />

time. By 1991, the ARIS method was already taking a victory lap around<br />

the globe.<br />

Having defined the concept as a prototype at my Institute for Information<br />

Systems at Saarland University, at <strong>IDS</strong> <strong>Scheer</strong> we then developed a software<br />

product based on the ARIS model that enabled IT support for describing,<br />

modeling, and optimizing business processes. Within a few<br />

months, a completely new software system was developed, which is now<br />

available in numerous further enhancements. Over 7,500 customers<br />

worldwide now rely on the ARIS system. In addition, we work closely<br />

with technology partners, especially SAP and consultancies such as<br />

Accenture and Capgemini, so that ARIS continues to gain acceptance as<br />

the global standard for business process optimization.<br />

system independence of the process level<br />

Particularly in light of our existing cooperation with SAP, it was becoming<br />

increasingly urgent to associate the conceptual models with the implementation<br />

level. Following numerous discussions, projects for linking<br />

modeling with the customization function of the SAP R/3 system<br />

were begun between the two companies. This link has now evolved into<br />

a successful concept and is being implemented through close coupling<br />

between ARIS and SAP Enterprise Services Repository as well as SAP<br />

Solution Manager.<br />

Business process management, from strategy development to controlling<br />

ongoing business processes, is itself a business process. This process<br />

The essential business processes are co<strong>mb</strong>ined in the Y-CIM model.<br />

The ARIS house model: This simple concept defines processes.<br />

of business process management must be independent of the application<br />

software used for operational business processes. The idea to first<br />

develop business process strategy on top of application systems and<br />

then provide a detailed technical description before branching out into<br />

different application systems provided <strong>IDS</strong> <strong>Scheer</strong> the opportunity to<br />

establish an independent position for itself.<br />

New ARIS components were introduced. The PPM (Process Performance<br />

Manager) component for monitoring and analyzing ongoing business<br />

processes is a particularly important element in further enhancements.<br />

Today, the process of business process management is entirely supported<br />

by the ARIS Platform, and for consulting projects it has become the<br />

primary motivation for companies to implement business process management.<br />

In the last few years, a new process type has been added that directly addresses<br />

executive management, because it relates to the company as a<br />

whole: the GRC (governance, risk & compliance) process type. With<br />

risk management, the risks associated with processes are identified and<br />

solution options, such as defining alternative process steps in the event<br />

that the original function breaks down, are incorporated into the modeling<br />

of business processes. Especially during the banking crisis, the necessity<br />

of business process transparency for management has become<br />

clear. An essential cause of the crisis was ultimately a lack of transparency<br />

for risk and processes, especially at investment banks.<br />

lookinG ahead<br />

I am convinced that after the 25-year evolution of business process<br />

management with ARIS, the concept’s great success will continue. To<br />

ensure long-term success within an IT industry that is undergoing consolidation,<br />

I have decided to sell off my <strong>IDS</strong> <strong>Scheer</strong> interest to Software<br />

<strong>AG</strong>. This will co<strong>mb</strong>ine the No. 2 and No. 3 industry leaders in Germany<br />

to form a strong new company. Supplemented by our far-reaching strategic<br />

partnerships with large international IT companies, this merger<br />

will create a secure platform for long-term distribution of the ARIS concept<br />

worldwide.<br />

40 scheer Magazine 2|09


Software <strong>AG</strong> and <strong>IDS</strong> <strong>Scheer</strong>:<br />

The power of two<br />

Karl-Heinz Streibich, CEO, Software <strong>AG</strong><br />

On August 17, <strong>2009</strong>, Software <strong>AG</strong> made a friendly takeover offer to <strong>IDS</strong><br />

<strong>Scheer</strong> <strong>AG</strong>. The objective is to create a strong German-based company<br />

that stays on a consistent course of worldwide growth. The new global<br />

player for business process excellence with more than one billion euros<br />

in turnover will be able to deploy over 6,000 expert employees in support<br />

of its customers’ projects. The company that founder Prof. <strong>Scheer</strong><br />

has built over the past 25 years and the principles that have distinguished<br />

<strong>IDS</strong> <strong>Scheer</strong> from the very beginning will continue to endure:<br />

the IT professionals with their expert knowledge and customer relationships,<br />

the links between academic research and market practice, the<br />

product and consulting business with a focus on tailor-made products<br />

and services for medium-sized businesses, managed services support,<br />

the ARIS brand, and the highly motivated employees.<br />

Customers of both companies all over the world will benefit equally<br />

from the planned merger of Software <strong>AG</strong> and <strong>IDS</strong> <strong>Scheer</strong>. The two enterprises<br />

have complementary products and business models. Besides<br />

producing ARIS, the world’s leading software for business process man-<br />

scheer Magazine 2|09<br />

looKinG aHead<br />

agement, <strong>IDS</strong> <strong>Scheer</strong> also provides SAP consulting services and enjoys a<br />

strong position in Europe. Software <strong>AG</strong> brings the webMethods product<br />

palette, the ADABAS database management system, and a successful international<br />

business, for instance in the United States, Brazil, and Japan.<br />

We intend to increase visibility for ARIS in the US and all other important<br />

countries in which Software <strong>AG</strong> is successful in order to help yet<br />

more customers in those countries expand their business success with<br />

transparent and efficient processes.<br />

We know that size is a competitive advantage on the global IT market<br />

because it increases visibility and international presence. Together we<br />

will have the size that will enable us to optimize our positioning for our<br />

customers and partners in global competition. The time is right to co<strong>mb</strong>ine<br />

our forces and deploy them for the greater benefit of our customers.<br />

<strong>IDS</strong> <strong>Scheer</strong> and Software <strong>AG</strong> customers can be assured that we will remain<br />

a strong, competent and reliable partner for you in the future.<br />

41


WeBcast scHedule | iMPrint<br />

<strong>IDS</strong> <strong>Scheer</strong> webcasts<br />

Interactive and directly accessible from your desk<br />

The thematic webcasts from <strong>IDS</strong> <strong>Scheer</strong> give<br />

you an overview of ARIS products and solutions.<br />

Be among the first to discover the new<br />

products and features and see the results of<br />

successful customer projects.<br />

ids scheer webcasts –<br />

easy and comfortable<br />

➞ Free of charge<br />

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➞ Software demos – live<br />

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product & solution experts<br />

➞ Discussions with other decision makers<br />

➞ Starting at 5 p.m. (Central European<br />

Time), 11 a.m. (Eastern Time, i.e.<br />

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Get started with process modeling with our<br />

free, intuitive product.<br />

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Register now free of charge:<br />

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responsible for content<br />

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ceo of ids scheer aG<br />

publications manaGer<br />

Miriam reiß, ids scheer aG<br />

tel +49 (0)681 210-3205<br />

editors in chief<br />

irmhild Plaetrich, ids scheer aG<br />

Marc Voland, storymaker G<strong>mb</strong>H<br />

authors and editorial staff<br />

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diane Baumann, achim Born,<br />

Manfred Buchner, Kristina frayne,<br />

Bernd Müller, Markus strehlitz<br />

an overview of next dates<br />

aRIS express<br />

Your free and easy start into business<br />

process management<br />

➞ October 1, <strong>2009</strong> – 8:30 a.m.<br />

(German time, UTC +2); India 12:00 noon;<br />

Singapore 2:30 p.m.; Tokyo 3:30 p.m.;<br />

Sydney 4:30 p.m.<br />

➞ October 1, <strong>2009</strong> – 5:00 p.m.<br />

(German time, UTC +2), 11:00 a.m.<br />

(Eastern Daylight Time, i.e. New York)<br />

Successful retail planning<br />

Integrated planning processes as key for<br />

your company’s success<br />

➞ October 7, <strong>2009</strong> – 5:00 p.m.<br />

(German time, UTC +2), 11:00 a.m.<br />

(Eastern Daylight Time, i.e. New York)<br />

editorial board<br />

ids scheer aG<br />

nynke Barenholz, elke Bastian,<br />

etienne de la dure, Marikit Klein-smith,<br />

sybille langenbahn<br />

desiGn<br />

nicola Bernhart,<br />

81667 Munich, Germany<br />

www.nicola-bernhart.de<br />

print production<br />

Printing Press Heinz Klein G<strong>mb</strong>H, saarlouis, Germany<br />

publishinG location<br />

saarbrücken, Germany<br />

copyriGht<br />

© copyright ids scheer aG, 2001 – <strong>2009</strong><br />

all rights reserved. this document is subject to copyright.<br />

changes, abbreviations, extensions of or additions to texts<br />

require express written permission by ids scheer, saarbrücken,<br />

Germany. reproduction as well as copying or other<br />

utilization of texts require the written consent of the publisher.<br />

third party submissions do not necessarily represent<br />

the views of the publisher.<br />

trademarks<br />

“aris”, “ids scheer”, “ProcessWorld”, “PPM”, “MashZone”,<br />

and the sy<strong>mb</strong>ol “Y” are brand names or registered trademarks<br />

of ids scheer aG. all other trademarks are the<br />

pro perty of their respective owners.<br />

business-driven risk and<br />

compliance management<br />

A sustainable ARIS Solution for efficient<br />

usage by multiple company roles<br />

➞ Nove<strong>mb</strong>er 25, <strong>2009</strong> – 5:00 p.m.<br />

(German time, UTC +1), 11:00 a.m.<br />

(Eastern Standard Time, i.e. New York)<br />

Sap poS data management<br />

Improved strategic decision-making<br />

through gathering facts and figures from<br />

your retail outlets<br />

➞ Nove<strong>mb</strong>er 25, <strong>2009</strong> – 5:00 p.m.<br />

(German time, UTC +1), 11:00 a.m.<br />

(Eastern Standard Time, i.e. New York)<br />

picture credits<br />

title graphic © nicola Bernhart<br />

silhouettes © pdesign – fotolia.com (Title page, 7)<br />

Portrait dirk Zupancic © dirk Zupancic (4)<br />

Grainfield, Blackberry © KWs saat aG (5, 6)<br />

fresh bread © steven Van Veen – fotolia.com (8)<br />

Graphic © nicola Bernhart, content © Mercuri international (8)<br />

Portrait Holger dannenberg © Mercuri international (9)<br />

Portrait Mike Grandinetti © Mike Grandinetti (10)<br />

Buttons Web 2.0 © francesco83 – fotolia.com (10)<br />

logo and control center © equens se (12, 13)<br />

Globe © cornelius – fotolia.com (14, 15)<br />

Portrait © Mehul rajparia (16)<br />

Gateway of india, taj Mahal © Gopinath Bandekar (16)<br />

Building © kallejipp – photocase.de (17)<br />

Model and portrait © serge schoemaker (18, 19)<br />

screenshot © P. ramakers – digitalstock.de (23)<br />

Portrait Melanie Mack © Pierre audoin consultants G<strong>mb</strong>H (23)<br />

student © franz Pfluegl – fotolia.com (24)<br />

traffic sign © foto50 – fotolia.com (26)<br />

logo und Portrait dr. Kaetzler © cMs Hasche sigle (26, 27)<br />

Windshield wiper © Volker Moerke – corbis.com (29)<br />

ricardo Gutiérrez and logo © axxis consulting (30)<br />

network © andrzej – fotolia.com (31)<br />

Blackboard © sandor Jackal – fotolia.com (33)<br />

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Building © tieto corporation (38)<br />

august-Wilhelm scheer © enno Kapitza (39)<br />

Karl-Heinz streibich © software aG (41)<br />

all other pictures and graphics © ids scheer aG<br />

42 scheer Magazine 2|09


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Software <strong>AG</strong> is the world’s largest independent provider of Business Infrastructure Software. Our 4,000 global enterprise customers<br />

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More information: Software <strong>AG</strong> · Phone: +49 6151 92-0 · E-Mail: webinfo@softwareag.com<br />

WWW.SOFTWARE<strong>AG</strong>.COM


© <strong>2009</strong> Accenture. All rights reserved.<br />

We know what it takes to be a Tiger.<br />

According to our landmark research on leaders in 35<br />

industries, high performers consistently excel at<br />

translating information into business value, particularly<br />

through the effective use of Business Process Management.<br />

To learn more about the Accenture Business Process<br />

Management Offering, visit accenture.com/bpm


Know-how<br />

GettinG business processes on track<br />

For many companies, the deployment of SAP<br />

software is part of daily business. In this context,<br />

a strict alignment of the software and<br />

the business processes, based on the principle<br />

“IT follows business,” is important. The ARIS<br />

Solution for Process-Driven SAP Management<br />

is focused on this task, while also providing<br />

support during the implementation and upgrade<br />

of SAP applications.<br />

who benefits from the aris<br />

so lution for process-driven<br />

sap manaGe ment?<br />

The possibilities for application are multifaceted,<br />

and all SAP solutions are included. They<br />

begin with process-oriented SAP implementation<br />

of applications such as ERP (Enterprise<br />

Resource Planning), SCM (Supply Chain<br />

Management), CRM (Customer Relationship<br />

Ma nagement), SAP Portal, BI (Business Intelligence),<br />

and so on. The ARIS Solution for<br />

Process-Driven SAP Management also provides<br />

support for SAP upgrades; for instance<br />

in pursuit of standardization and harmonization<br />

effects during the consolidation of existing<br />

SAP systems or documentation of SAP<br />

and non-SAP processes. The ARIS Solution<br />

KnoW-HoW<br />

iM foKus<br />

With the ARIS Solution for Process-Driven SAP Management, companies can more effectively align<br />

SAP applications with business processes. This approach translates into time savings of up to 50 percent<br />

during the implementation of SAP systems.<br />

an aris tip from the expert<br />

“Process orientation is imperative from beginning to end<br />

when implementing SAP. This is taken care of by the<br />

ARIS Solution for Process-Driven SAP Management.”<br />

at the aris Product and solution Management di-<br />

vision of ids scheer, Josèphe Blondaut is respon-<br />

sible for the aris solution for process-<br />

driven sap manaGement. Her expert ad-<br />

vice: “the greatest synergies are achieved when<br />

business processes are considered in their en-<br />

tirety, and reuse of process information with pre-<br />

viously administered data is ensured throughout<br />

the entire saP project duration.”<br />

also provides assistance with the implementation<br />

of SAP Portal as well as during testing<br />

and training for SAP projects.<br />

what solution potential does<br />

the aris solution for processdriven<br />

sap manaGement provide?<br />

The ARIS Solution optimizes business pro-<br />

Process-oriented SAP projects: ARIS as central hub for sustainable business process management.<br />

cesses and performs the implementation in<br />

accordance with the respective guidelines.<br />

Thus, the entire process landscape is cover -<br />

ed, and the processes are subsequently transferred<br />

into the SAP Solution Manager.<br />

Through accelerated, high-quality processoriented<br />

customization, including training<br />

and testing, TCO (total cost of ownership) is<br />

lowered and ROI (return on investment) increased.<br />

Practical experience shows time savings<br />

of 20 to 50 percent through SAP reference<br />

processes. For SAP upgrades, support<br />

with selection and deletion of unused transactions<br />

and functions is important. With this<br />

alone, users can lower costs by up to 30 percent.<br />

what are the prerequisites for<br />

implementation?<br />

Before implementing an SAP application, the<br />

goals, responsibilities, and impacted organizational<br />

units of a project must be precisely<br />

defined, and IT prerequisites must be established.<br />

With ARIS Business Architect for SAP,<br />

ARIS Solution for Process-Driven SAP Management<br />

includes one of the few modeling<br />

tools that feature a unique connection to SAP<br />

Solution Manager and numerous SAP systems,<br />

such as SAP NW BW (NetWeaver<br />

Business Warehouse), SAP Portal, or En terprise<br />

Services Repository. With the graphical<br />

environment of ARIS Business Architect<br />

scheer scheer Magazine 2|09 2|09know-how 2|09<br />

1 1i


iM KnoW-HoW foKus<br />

for SAP, users can adapt business processes<br />

and SAP systems based on models.<br />

what are the success factors<br />

durinG implementation?<br />

The ARIS Solution for Process-Driven SAP<br />

Management consequently implements the<br />

principle “IT follows business.” The strategic<br />

alignment of a process-oriented SAP implementation<br />

results in a close linkage between<br />

business units, segments, and IT. Management<br />

commitment serves as management’s official<br />

seal of approval for the standardized approach<br />

within the company. The joint terminology<br />

and objectives among participants also<br />

promote project progress and the course of<br />

the business process even after completion of<br />

implementation.<br />

what should you keep in mind?<br />

Business processes are changing constantly<br />

and must be continuously adapted. The danger:<br />

following the process-oriented SAP implementation,<br />

old ways of thinking and operating<br />

may return. This leads to possible neglect<br />

of process orientation (e.g., through direct<br />

SAP customization) or once again separates<br />

the IT world from the process world.<br />

SAP reference processes should be set up in<br />

ARIS and provided with reference content<br />

(e.g., transactions and objects from the Information<br />

Management Guide (IMG)). A comprehensive<br />

description of business processes,<br />

including non-SAP functions, is also extremely<br />

important. Caution: subsequent to<br />

process-oriented blueprint, customization,<br />

and rollout, it must be ensured that additional<br />

important project phases such as testing<br />

and user training are also implemented with<br />

a focus on process orientation.<br />

who provides support durinG and<br />

after implementation?<br />

SAP projects are implemented by the So lutions<br />

division. Based on the custo mer’s requirements,<br />

a team of experts is asse<strong>mb</strong>led<br />

from the ARIS Services segment for connecting<br />

ARIS to the SAP Solution Manager as well<br />

as industry consultants for industry-specific<br />

reference solutions and SAP technologies for<br />

customer-specific SAP adaptations. Following<br />

SAP implementation, the Solutions<br />

di vision provides assistance in the form of<br />

SAP coaching and process-based training, in<br />

addition to support with the optimization<br />

of additional processes not (yet) converted<br />

to SAP.<br />

The ARIS Solution for Process-Driven SAP Management is linked with several SAP tools across<br />

four process levels and facilitates process orientation during SAP projects.<br />

successul sap projects: six steps towards the objective<br />

1. project definition<br />

the project begins with the conceptuali-<br />

zation and modeling of the current com-<br />

pany-specific processes. aris Business<br />

archi tect for saP provides support with<br />

saP-specific modeling conventions.<br />

2. Gap analysis<br />

target process definition takes place with<br />

the assistance of gap analysis. reference<br />

processes and reference content can be<br />

imported from saP or aris – for example,<br />

through the Business Process repository<br />

from saP solution Manager, saP enterprise<br />

services repository, or with<br />

industry.PerformancereadY by ids scheer.<br />

this includes the classification of saP systems,<br />

transactions, and programs. in the<br />

process, any gaps are closed through the<br />

definition of customer-specific internal developments.<br />

3. synchronization of aris and<br />

sap solution manager<br />

the process structure is synchronized<br />

using the blueprint of the saP solution<br />

Manager. saP systems are subsequently<br />

customized with saP solution Manager,<br />

www.ids-scheer.com/sap www.ariscommunity.com/group/aris-sap-love<br />

which allows for adaptation of the target<br />

processes in aris and of the data structures<br />

in saP solution Manager. Here,<br />

it is important to align with process and<br />

governance rules and to specify a master<br />

system.<br />

4. testing and training<br />

testing, training, and going live with the<br />

business processes in the saP system:<br />

the aris solution for Process-driven saP<br />

Management ensures a process-oriented<br />

implementation of these activities.<br />

5. maintenance and further development<br />

With maintenance, a continuous improve-<br />

ment process is initiated based on mainte-<br />

nance projects. this includes rollout pro -<br />

jects in other business areas and countries<br />

as well as system upgrades with the support<br />

of template projects.<br />

6. publication of process information<br />

the publication of processes on the com-<br />

pany network additionally ensures trans-<br />

parency for all process knowledge and<br />

it system stakeholders through direct ac-<br />

cess to saP transactions.<br />

2 2ii scheer Magazine scheer know-how Magazine 2|09 2|09


success throuGh flexible processes<br />

Service-oriented architectures make IT landscapes<br />

flexible and applications easily adaptable<br />

to changes. With ARIS-Enterprise Services<br />

Repository Integration, <strong>IDS</strong> <strong>Scheer</strong> has<br />

developed a tool for easy implementation of<br />

SOA. The component is integrated into ARIS<br />

Business Architect for SAP. Business objects<br />

and data types for integration into business<br />

processes are centrally administered through<br />

the SAP Enterprise Ser vices Repository. In<br />

contrast to other solutions, ARIS-Enterprise<br />

Services Repository Integration takes both<br />

business and technical aspects of SOA into<br />

consideration.<br />

who benefits from aris-enterprise<br />

services repository inteGration?<br />

Large and medium-sized companies from all<br />

industries stand to benefit. With this holistic<br />

approach, ARIS-Enterprise Services Repository<br />

Integration co<strong>mb</strong>ines the process view<br />

with the technical capacities of SOA, so that<br />

quick adaptation of SAP applications to competitive<br />

and market changes is possible. This<br />

is an enormous advantage, particularly during<br />

a recession.<br />

scheer scheer Magazine 2|09 2|09know-how<br />

2|09<br />

KnoW-HoW iM foKus<br />

The ARIS Solution for Process-Driven SAP Management now fully supports the service-oriented<br />

architecture (SOA) of your company’s processes. This allows business processes to be improved quickly<br />

and efficiently. The integration of ARIS and SAP’s Enterprise Services Repository (ESR) bundles<br />

service-oriented process know-how and co<strong>mb</strong>ines business process expertise and service knowledge.<br />

an aris tip from the expert<br />

“When the question of integration is posed, it is usually<br />

first about the application interfaces as well as the com-<br />

munications and server infrastructure. These aspects are<br />

definitely important. However, they address primarily<br />

technical issues and tend to push aside the processes be-<br />

hind them.”<br />

at the ids scheer division aris Product &<br />

solutions Marketing, uwe Wortmann is re -<br />

s ponsible for aris-enterprise services<br />

repository inteGration. He knows from<br />

previous ex perience with customer projects<br />

that “the design of the processes should be at<br />

the center of every soa project. this limits in-<br />

tegration work to the essential tasks.”<br />

what solution potential does<br />

aris-enterprise services<br />

repository inteGration offer?<br />

With ARIS-Enterprise Services Repo sitory<br />

Integration, companies can identify and use<br />

services made available by SAP as well as request<br />

company-specific customizations. In<br />

order to fully benefit from the potential of<br />

SOA, the services must, however, be followed<br />

by business processes. For this, it is essential<br />

that processes that require and “consume”<br />

certain services are identified. The ARIS-<br />

Enterprise Services Re pository Integration<br />

supports the searching of services for special<br />

business processes; it also provides a simple<br />

definition of blueprinting for new service requirements<br />

based on a business process analysis.<br />

The description of business processes<br />

contains standardized SAP transactions<br />

co<strong>mb</strong>ined with customer-defined SAP services.<br />

ARIS-Enterprise Services Repository<br />

Integration forms a foundation for a sustainable,<br />

service-orien ted IT world.<br />

what are the prerequisites for<br />

implementation?<br />

The technical basis is formed by ARIS<br />

Business Architect for SAP (Version 7.1 and<br />

above) with the integration with Enterprise<br />

Services Repository and SAP NetWeaver<br />

Com position Environment (Version 7.11) or<br />

Process Integration (Version 7.11). For or ga nizational<br />

implementation, asse<strong>mb</strong>ling a<br />

A quick path to SOA: exclusive connection of the Enterprise Services Repository<br />

to ARIS Business Architect for SAP.<br />

iii 3


iM KnoW-HoW foKus<br />

important aris solution application scenarios for process-driven sap manaGement<br />

1. process-oriented implementation and upgrade<br />

aris Business architect for saP synchronizes process structures<br />

and blueprint structures with the saP solution Manager. infor ma-<br />

tion such as saP transactions, customization settings, documents,<br />

and roles is exchanged. in addition, aris Business architect for<br />

saP supports process-oriented blueprinting, user training, and<br />

conceptualization of, for instance, process and function testing.<br />

2. analysis and planning of sap netweaver business<br />

warehouse (sap nw bw)<br />

aris Bi Modeler reduces the redundancies and complexity of the<br />

saP Bi system. for example, it functions as a tool for documenting<br />

and conceptualizing content from saP nW BW. automatically gen-<br />

erated aris models as a basis for optimized data structures pro-<br />

vide for improved company performance.<br />

3. service discovery and design<br />

With access to saP enterprise services repository, customers<br />

can accelerate their soa projects and improve roi. the latest<br />

version of aris Business architect for saP delivers an excep-<br />

tionally close connection with saP’s enterprise services repo-<br />

sitory. this includes searching relevant services for specific<br />

business processes, definition and blueprinting of new service<br />

requirements, and the comprehensive description of business<br />

processes.<br />

4. process-oriented portal structures<br />

With aris Business architect for saP, a connection with saP<br />

Portal is established. an upload interface with a predefined portal<br />

structure is provided. this way, for example, a graphical depiction<br />

project team with expertise in SOA, BPM,<br />

and IT is recommended. It must be clear what<br />

objectives the company is pursuing with the<br />

implementation and which organizational<br />

units, systems, and processes are to be su pported.<br />

what are the success factors<br />

for implementation?<br />

SOA must not be viewed as an IT issue but instead<br />

as a business process issue. Processes<br />

control services and their integration – not<br />

the other way around. The process orientation<br />

minimizes the IT integration work, and<br />

it is the most important tool for managing<br />

company performance.<br />

www.ids-scheer.com/ARIS_Business_Architect_for_SAP<br />

SAP NetWeaver<br />

Business Warehouse<br />

what should you keep in mind?<br />

An essential step is for management to put<br />

down in writing a comprehensive description<br />

of the company’s processes. Make sure all<br />

stakeholders are reflected in this description.<br />

It is dangerous to view SOA and integration<br />

issues exclusively from a technical perspective,<br />

as an all-encompassing view of business<br />

process management can be lost. A lapse into<br />

old ways of thinking and operating should<br />

also be avoided. This happens for example<br />

when services are generated where system<br />

functions and interfaces already existed previously.<br />

Nor should a function replace a service<br />

one-to-one. The great opportunity of an<br />

SOA project lies primarily in redesigning and<br />

ARIS puts business process management at the center of SAP projects.<br />

and conceptualization of the various saP elements are possible.<br />

information is modeled internally in aris and then transferred to<br />

saP Portal.<br />

5. process information for all stakeholders<br />

With aris Business Publisher, the aris solution for Process-dri-<br />

ven saP Management supports publication of company processes<br />

on the internet portal. there, direct transaction access is possible,<br />

which ensures transparency and acceptance of processes.<br />

restructuring processes, structures, and architectures.<br />

who provides support durinG and<br />

after implementation?<br />

Expert information and consulting for ARIS-<br />

Enterprise Services Repository Integration is<br />

provided by the Solutions division (ARIS<br />

Services and SAP Consulting). For customerspecific<br />

adaptations, ARIS Customized Solutions<br />

is the appropriate contact resource.<br />

The Global Solutions division also provides<br />

additional support. Due to the special characteristics<br />

of the process- and service-oriented<br />

approach, the team is supplemented by experts<br />

from the SOA segment.<br />

www.ids-scheer.com/esr-flash<br />

iv scheer Magazine know-how 2|09<br />

Know-how

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