1. Operational Excellence through Business Process Management (BPM) Property Of Newgen Software Technologies Ltd. © Copyright 2006 (Newgen Software Technologies Ltd.) All other brands and products and logo’s referenced herein are acknowledged to be trademarks or registered trademarks of their respective holders PUNIT JAIN, Vice President

2. Operational Excellence through BPM Operational Excellence.. Conventional view Q.. Quality C.. Cost D.. Delivery

3. Operational Excellence through BPM Operational Excellence.. New paradigm Quality Cost: Optimization Delivery: On Time Speed: SLAs & TATs Flexibility: Rapid adaptability Productivity: Identifying bottlenecks Risk: Mitigation, Control

4. How to meet the challenges of new paradigm of Operational Excellence? BPM provides the answers..

5. Operational Excellence through BPM What is BPM? The concept of Business Process Management [BPM] has its roots in Operation Transformation and enables flexible design, deployment, monitoring and tracking, process focus and efficiency.

6. Operational Excellence through BPM BPM Explained Business Process Management (BPM) Involves End to end Automation of business processes Blending machine machine and manual operations Straight Through Processing (STP)

7. Operational Excellence through BPM BPM Uses Workflow Imaging & Document Management EAI: Integration with Business Systems Measurements, Tracking, reporting and Control Analysis, Simulation, Optimisation and re-deployment

8. Operational Excellence through BPM Components of BPM HUMAN TASK & INTEGRATION INTERFACE SYSTEM TASK & INTEGRATION INTERFACE VALIDATION INTERFACE BUSINESS ACTIVITY MONITORING DMS/RMS INTERFACE DEFINITION OPTIMIZATION & PREDICTIVE SIMULATION Process Modeler Process Simulator Dashboard Execution Engine Third Party Applications & Automated Activities Work Items & Work List Document Management Records Management Built-in Rule Mgt Engine Security & Directory Services User Environment

9. Operational Excellence through BPM DiscoverDesignDeployAnalyzeOptimize Identify Key Processes Rules & Roles for each process Model the process with its rules and roles on to the system Integrate participa- ting systems Train stakehold ers of the process Measure time taken a) Per workstep, b)Per Person c) Per Process Identify bottlenecks Redesign process to remove bottle- necks BPM in Operational Excellence Process Mapping Process Deployment Process Improvement

10. Operational Excellence through BPM Examples of processes enabled through BPM Loan/Mortgage processing Credit Card Application Processing Third Party Collections Leading Bank in US Large integrator in US Debt Collections Fin Services Health Insurance claim processing Insurance New business application US based Health Insurance Major ClientProcess US based Health Insurance Major US based Health Insurance Company Dental claim processing Large consumer durables mfg. Payment Processing; Subscription/ Renewal Shared Service center (F & A process) Shared service center (F & A, Commercials) Large IT services firm Shared Service Center US based services organization Requisitioning, Receivables & Payables process. End to End AP/Recon. process. Procurement, Inventory Mgmnt, Order processing UK based large Property Mgt firm US based Non Profit Org with Global Presence ClientProcess Large mfg firm in Canada Finance & Accounting Large consumer durables mfg.

11. Operational Excellence through BPM BPM Challenge “ I cannot think this way. It is too big, too complex, with too many working parts lacking visible connections.” – Lewis Thomas, The Lives of a Cell

12. Operational Excellence through BPM BPM Challenge Make processes visible Components, diagrams, The static view for definition, validations, understanding Operations view for insight, for management Build for change Separate IT functions from processes Processes will change much more often

13. Operational Excellence through BPM Integrated Dashboard View

14. Operational Excellence through BPM Single window monitoring

15. Real Life Cases

16. Operational Excellence through BPM Credit Card Process – Leading BPO in Delhi Promotional campaigns/new offers for customers / prospects Receive filled mailer forms with intent to accept or reject along with updated personal & demographic details Scan in USA using Newgen OmniCapture & Export in OmniFlow Outsourced processing from India Dual data entry (image zone guided) & QC Export file sent back for back-end system updation Reject file processing in OmniFlow New launches / campaigns configured in OmniFlow frequently with minimal effort & time

17. Operational Excellence through BPM Credit Card Process – Leading BPO in Delhi Productivity increased from 30 to 65 instruments per hour per FTE Export file generated with 99.8% accuracy. Data entry time reduced from 2.5 to less than 1 minute TAT reduced by 30-40% Comprehensive MIS reporting Complete traceability of images

18. Operational Excellence through BPM Fortune 100 Electronic Co – Accounts payable Process Before BPM Lack of monitoring and control Delayed release of payments to suppliers Lack of credit planning and management Accounting errors resulted in NC's during external audits Audits trails for query resolution from supplier was impossible

19. Operational Excellence through BPM Fortune 100 Electronic Co – Accounts payable Process After BPM 98% processing at SSC & 2% by User department 15 FTE currently as against 37 FTE earlier Annual costs of USD 1,55,800 as against USD 3,70,000 Reduction in human errors due to image enabled data entry Audits trails for key clicks Increased accuracy and improved internal controls Improved and measurable productivity Real time invoice visibility from receipt to payment

20. Operational Excellence through BPM Food for thought.. “Don’t bridge the Business - IT divide, -- Obliterate it.” “Give the power to manage and change processes to your Business Process Owners….” “..And focus on how to enable faster change.” Business Process Management The Third Wave By Howard Smith and Peter Fingar

21. Q & A Punit@newgen.co.in www.newgensoft.com