Business Activity Monitoring (BAM) has become an integral tool for companies of all types and is essential in numerous Business Process Management (BPM) and Business Intelligence (BI) systems.
Gartner Inc. defines BAM solutions as providing “real-time access to critical business performance indicators to improve the speed and effectiveness of business operations. Unlike traditional real-time monitoring, BAM draws its information from multiple application systems and other internal and external (inter-enterprise) sources, enabling a broader and richer view of business activities.”
Business Process Management(BPM) vs. Business Activity Monitoring (BAM)
Business Process Management (BPM) and Business Activity Monitoring (BAM) are two closely related concepts that are often used in conjunction to enhance organizational efficiency and decision-making. Let’s delve into these terms and their significance in more detail:
What is Business Process Management (BPM)?
BPM refers to a systematic approach to improving a company’s processes in order to achieve greater efficiency, effectiveness, and adaptability. BPM involves the design, modeling, execution, monitoring, and optimization of business processes. BPM software solutions provide tools to design, automate, and manage workflows, helping companies streamline their operations and achieve better control over their processes.
What is Business Activity Monitoring (BAM)?
BAM involves the real-time monitoring and tracking of business activities and processes as they occur. It provides insights into the current state of business operations and helps companies identify and respond to critical events or deviations from expected outcomes. BAM solutions typically involve the use of dashboards, alerts, and real-time analytics to provide a comprehensive view of ongoing activities.
The combination of BPM and BAM offers several benefits to companies:
Real-time Visibility: BAM solutions provide real-time insights into ongoing business activities, allowing companies to monitor processes as they happen. This real-time visibility enables quicker decision-making and the ability to address issues promptly.
Proactive Decision-Making: With real-time data at their disposal, companies can make informed decisions quickly. BAM helps identify potential bottlenecks, exceptions, or inefficiencies in processes, allowing for proactive intervention to prevent negative outcomes.
Continuous Process Improvement: The data collected through BAM can be analyzed to identify trends, patterns, and areas for improvement. This facilitates ongoing process optimization and enhances overall operational efficiency.
Compliance and Risk Management: Monitoring business activities in real-time helps companies identify compliance deviations and potential risks early on. This enables them to take corrective actions promptly and ensure adherence to regulatory requirements.
Enhanced Customer Experience: Real-time insights enable companies to respond promptly to customer needs and inquiries, leading to improved customer satisfaction.
However, there are challenges associated with implementing BPM and BAM solutions
What are the challenges of implementing BPM and BAM solutions?
Data Accessibility: As you mentioned, one of the significant challenges is gaining access to the relevant data required for monitoring and measuring real-time activities. This might involve integrating data from various sources, systems, and departments.
Complex Implementation: Implementing BPM and BAM solutions can be complex, requiring careful planning, integration with existing systems, and change management efforts to ensure successful adoption.
Data Accuracy: The accuracy and quality of the data being monitored are crucial for effective decision-making. Inaccurate or incomplete data can lead to incorrect insights and actions.
Resource Allocation: Setting up and maintaining BPM and BAM systems require resources in terms of time, finances, and skilled personnel.
Modern BPM systems often incorporate BAM solutions. A combination of BPM and BAM solutions allows companies to track their infrastructure, business processes, and employees to identify challenges and success. These systems can lead to process, compliance, and risk management improvements.
Kalles Group clients have affirmed the most significant benefit is the ability to react in real-time with BAM. Still, at the same time, the biggest challenge is being able to get access to the data in order to set up the ability to measure real-time.
How Business Activity Monitoring Has Changed
Business activity monitoring was first defined around 2002, and by the late 2000s, major software providers combined process management and data analysis into single business activity monitoring solutions. These merged platforms help track key tasks, highlight best methods, and provide timely information across an entire enterprise.
By 2024, these business activity monitoring solutions have grown even smarter, often using cloud-based technology and data-driven insights. With these tools, companies can line up their daily work with their main goals, measure if they are meeting important KPIs, and confirm that service-level targets are on track.
Examples of Business Activity Monitoring Software and Tools
IBM Business Monitor: IBM Business Monitor offers dashboards, alerts, and near real-time updates on operations. This helps companies see if their work matches their plans and meet targets before problems grow.
WSO2 Business Activity Monitoring: WSO2’s analytics and monitoring can handle large amounts of event data. Although they began focusing on SOA metrics, WSO2 can now track key business indicators across many areas. Their official documentation shows how to set up monitoring for different business scenarios.
Microsoft BizTalk with BAM: BizTalk Server includes a business activity monitoring feature. It tracks events and data from BizTalk apps, helping teams find slow steps and plan fixes to keep workflows smooth.
Oracle Business Activity Monitoring: Oracle’s BAM solutions show what is happening in real-time. With dashboards and alerts, teams can measure SLA and KPI performance, helping them address delays and keep things moving well.
Focusing on Nintex K2
Nintex K2, originally started in South Africa, entered the market when business activity monitoring was still young. Now, their platform reaches many users globally. Nintex K2 blends process management and activity monitoring, offering quick insight and better decision-making.
The K2 Blackpearl platform (now part of Nintex) helps by:
- Automating steps and showing what is going on in near real-time
- Helping teams manage cases and resources promptly
- Linking to key data sources so users can see important information in one place
With little coding, teams can build solutions that gather data from different systems into a single view. Thanks to partnerships with vendors like Microsoft, it fits easily with SharePoint and other well-known services, reducing manual work.
Why Business Activity Monitoring Matters
As companies handle more data and connect many systems, business activity monitoring tools and business activity monitoring software are vital. They help managers confirm that day-to-day activities align with main goals. With accurate insights, teams can fix issues before they become big problems.
For instance, if a company faces delays in order processing, BAM data can show exactly where and why these delays happen. By finding the cause, the company can adjust resources or change a step in the workflow. This leads to on-time delivery, happier customers, and a stronger position in the market.
Also read: Kalles Group and Scrut Automation join forces to enhance cybersecurity