What is a Business Process – Definition, Types, Characteristics, Importance, and Lifecycle

Business processes (BP) are an integral part of business organizations. Companies or businesses cannot operate properly or succeed without implementing structured processes. Structured processes are the way to keep business operations organized, transparent, and consistent among teams and assist businesses in meeting their goals and objectives.

So, in this article, let’s dig deeper into the subject of business processes and how they help companies and organizations stay in the business game.

What is a Business Process?

A business process can be defined as an activity or a set of activities performed by people or systems in a structured manner to produce a specific outcome that contributes to an organizational goal. The structure of a business process can be complex or simple depending on the factors and elements involved in that process.

The continuous implementation of efficient and streamlined (BP) directly impacts business operations and the organization’s growth. It is why amending (BP) is strategically significant for every business organization.

Characteristics of Business Processes

Some of the key characteristics of an efficient business process are –

• Business processes are repeatable. Teams can use them multiple times, expecting the same result or outcome.
• Business processes are flexible. It means that they allow alterations wherever required without affecting operations.
• Business processes are finite. They have well-established start and end points with exact steps.
• Business processes are measurable.
• Business processes add value meaning every task can be finished without wasting manpower, materials, or other resources.

Types of Business Processes

BP can be divided into three major groups.

? Operational Processes

Operational processes are the primary processes that directly impact the core business of an organization. These processes represent necessitous business activities that achieve one of the objectives of a company, such as manufacturing or delivery.

Operational processes are critical for an organization to generate revenue and survive in the market. Some examples of operational processes are –

1. Manufacturing products
2. Accepting customer orders
3. Processing payments
4. Managing bank accounts
5. Product delivery

• Supporting Processes

Supporting processes are the secondary processes that support teams performing operational functions. These are back-office processes that enable employees to do their jobs well. Supporting processes do not add direct value to the customers. However, the employees working in the company find value in them.

Examples of supporting processes include –

1. Accounting
2. HR management

• Management Processes Management processes consist of high-level managerial functions that measure, monitor, and control business procedures and systems, such as budgeting or governance.These processes involve leadership taking certain steps to boost overall business performance, the organization’s work culture, employee morale, etc. Like supporting processes, management processes do not add direct value to the customers but are essential for the organization to function.

Some examples of management processes include –

1. Strategic planning to use workforce
2. Internal communications
3. Infrastructure management
4. Budgeting
5. Governance

When all three types of processes work and complement each other, it massively supports?business process management?and contributes tremendously to the overall growth and productivity of the organization.

(Original Blog are publish here): https://q3edge.com/what-is-business-processes/