Overview of Business Process Modelling
You have been award a concession in the University to buy and sell second-hand textbooks to students. You are required to prepare an English narrative and a BPMN 2 compliant model.
Business processing modelling has become a critical part of companies that focus on improving their business processes. It should be understood that running a business without a well-documented business process is like flying plane without navigation and functioning instruments. A well streamlined and well-documented business processes are important for seamless functioning and smooth coordination with parties involved to ensure shared goals, trackability of the activities and consistency (Allweyer, 2016, p. 67).
Business process modelling refers to combining several related processes such as process discovery, process mapping, process analysis, process improvement and process simulation. Business managers and analysts apply business process modelling with a sole purpose of improving process quality and efficiency and reduce waste (Laguna & Marklund, 2013, p. 213). This report focus on creating a business process modelling for a company that have been contracted by a University to buy and resale used book to the students.
You have been award a concession in the University to buy and sell second-hand textbooks to
students. The successfully resale of a single book will see the company pay its sellers 30% of the total sales and 10% of the total sales to the University as a fee for every book sold as your concession license fee. The supplier will also cater for the shipping fee from the remaining 70% of sales. The entire process should be digitalised to ensure that smooth and seamless coordination between parties and processes involved.
BPMN for resale of textbooks
The identified business process modelling involves four levels from the start to the end. However, there are five different ways into which the process can be ended. The four levels of the BPMN comprises of Company, Processing of an order, Shipping the order via DHL, and the University. Each level has been discussed as shown below:
The process starts with the company placing an order online through its official webpage www.bestbooksellers. The company will request the university to serve it with contacts of its former students. The company would then send emails to the students with an offer of selling their used textbooks. Each mail sent to the formers students (now potential book sellers) will contain the link for the company’s official webpage where the students can initiate communication for possible sales (Davis, 2012, p. 137). The processes involved under the company level are making an order, receiving an order, evaluation of the books received from the sellers and satisfaction.
- Making an order: After a successful communication with the potential seller, the company will then send a former order to a seller.
- Receive an order: After accepting an order from the company, sellers will send books to the company for evaluation.
- Book evaluation: Upon receiving the books from the sellers, company will evaluate their conditions. Details such as ISBN number will be used to establish the authenticity of the book, identify the publisher. The company has established an online platform to help it in examining the books. Likewise, the company will also use the conditions given by the university to ascertain whether or not the book are in good conditions to be accepted for resale.
- Satisfaction: If the company is satisfied with the book sent by the company, the deal stands closed and the seller receives payment (30% of the total sales to a buyer). On the other hand, the books are returned to the seller if the company is not satisfied (Allweyer, 2016, p. 111).
- Processing level
Case Scenario
The company level is followed by the processing level which comprises of preparing the books for shipment. This level comprises of processes such as;
Receive orders from buyers: The Company will communicate with its potential buyers using several channels namely placing adverts in the university’s official when site, placing adverts in its own website, and distributing leaflets to the students. Interested buyers will then place formal order using the bestbooksellers. Customers will then send payment details to the buyers.
Process Order: The Company will then process orders based on customer’s specifications namely book title and quantity. The company will have to verify the availability of the ordered books before requesting for payment.
Check credit cards: The Company will then verify the credit card numbers issued by the buyers for validation. The company has chosen PayPal online payment network as its official payment method. Customers will also be allowed to transfer money directly to the company’s bank account(Allweyer, 2016, p. 134).
Satisfaction: When the company ascertains the availability of a customer’s order as well as validity of their credit cards, the sales goes to the next level; shipment of the books. However, if the credit card provided by the customer cannot be validated or the books are not available, the sales comes to an end.
Books are then prepared for delivery after the order processing is completed. This level involved two processes namely; delivering consignment to the DHL shipment company and the university confirming that it has received the consignment (Davis, 2012, p. 312).
Delivery of consignment company: After comparative analysis based on reliability, safe delivery, andtimely delivery, the company have chosen the DHL shipment company to deliver the books to the company. Moreover, DHL also have a digitalised tracking system that will help the company track the consignment while on transit. Trackability is an essential aspect of business process because it help in developing trust between buyers and sellers. The company will cross-check the consignment with the shipment company before transferring liability to the buyer.
Conforming delivery: Using the tracking system, the company will have a proof of safe delivery of the consignment at the university or at an agreed point. The University will then be required to check the consignment in line with the order based on the orders placed by the respective students. The university having been satisfied with the conditions of the books delivered will disburse them to the buyers (the students). However, if the books do not been the University speciation, they will be returned to the company. The company will have to pay back the money that it had received from the students and the sales process will end at this point(Davis, 2012, p. 331).
The university will have to disburse the books to the students. Lastly, the company will pay the university an agreed 10% of the total sales as a fee for books sold as a concession license fee.
The entire business process will come to an end at this stage and but the process will start all over again.
Ways of ending the sales process
As aforementioned earlier, there are five option of ending the business process between the company, the sellers, the buyers or the University. They are;
- First, after the company has evaluated the books, it can either be satisfied or unsatisfied. It the company is satisfied with the book, it will have to pay 30% of the total sales to the seller and the process ends there.
- Second, if the company is not satisfied with the books delivered, the process ends as well.
- Third, the process will be ended if the credit card provided by the buyer cannot be validated.
- Fourth, if the university if not satisfied with the books that were delivered, the books will be returned. The company will be required to remit back payment that had been earlier received from the students.
- Fifth, the process will also come to end after the buyer has received and are satisfied with the books.
Business process model is important to the stakeholders involved in the following ways
First, its implementation will help the company to align its business strategy with the daily operations. Linking a well-formulated business process model to the management processes help in achieving the overall process of the organisation. The company will also the flexibility to communicate changes quickly to the involved parties as well as addressing the arising challenges in a more efficient manner (Laguna & Marklund, 2013, p. 221).
Second, the business process model will enhance communication process between the company, its buyers, and suppliers. BPMN makes it easier for company to identify the roles, those who are responsible for them and how they ought to be executed to the satisfaction of the customers (Laguna & Marklund, 2013, p. 225).
Third, business process model will help the company to increase consistency and control. BPMN ensures that business rules and procedures are well designed; this will enable repeatedly execute a process the same way every time. Consistency and control of processes are key to the success of the company (Laguna & Marklund, 2013, p. 226).
Last, a well-formulated business process model will help the company to improve its operational efficiencies as well as gain competitive advantage in the industry.
Based on the above business process modelling report, the company came up with the model illustrated below. It will enhance efficiently delivery of books for resale to the university.
References List
Allweyer, T., 2016. BPMN 2.0: Introduction to the Standard for Business Process Modeling. illustrated ed. London: BoD – Books on Demand.
Davis, R., 2012. Business Process Modelling with ARIS: A Practical Guide. New York: Springer Science & Business Media.
Laguna, M. & Marklund, J., 2013. Business Process Modeling, Simulation, and Design. Second Edition ed. Chicago: CRC Press.