Business Process Model (BPM) Assignment

Management Information Systems ITEC616 Spring 2013 In this document, you will find: 1. Credit Card exercise (Your homework exercise) 2. Primer: Using The Visio flowchart diagramming tool to Model Business Processes. Study this first.

Credit Card exercise

The Credit Card Application process starts when a credit card application is received by the Credit Card provider. A clerk reviews the application to see whether it is complete. If the application is not complete, the clerk asks for additional information from the customer and only proceeds after the additional information is received. When the application is complete, the clerk performs two checks: checking the income source of the customer and checking his/her credit history. These credit checks can be done in any order. As a result of these checks, a credit assessment is produced. When the checks are complete, a credit officer makes a decision whether to approve or reject the application based on the application, credit history and the assessment. If the application is accepted, a new credit card is produced and delivered. If the application is rejected, the customer is notified. The customer is given a chance to appeal the decision and provide additional information. If the customer makes an appeal, a senior credit officer reviews the appeal and makes a decision, which may be positive or negative. It is not possible to make a second appeal. Using a Visio flowchart template: Identify and document the key business activities that occur when a Credit Card application is processed. arrange the activities in the order in which they occur and the transitions between the activities. Utilize swim-lanes to represent Actors (Human) involved in the activity. document any decision points that occur doing the process.

A hardcopy of your Business Process Model diagram is due at the start of class on February 12. In class, we review your answers to develop the formal Business Process Model.

Primer: Using The Visio flowchart Diagramming Tool to Model Business Processes
Microsoft's Visio is a modeling and diagramming software programs. Microsoft bought Visio in 1999 for $1.5 billion when it was evident what a hit the product had become. Visio is used extensively by consultants and IT professionals. While MS Visio has very useful modeling features for systems analysts and software engineers, it also has some simpler diagramming features to draw things like organization charts, business processes, and workflows.
Loan Application Process
Loan Application Loan Evaluation Contract

Customer Customer

Start

Apply for Loan

No

Notify Client

End

Sign Contract

Loan Officer Loan Officer

Evaluate Loan

Approve?

Underwriter Underwriter

Yes

Prepare Contract

Loan evaluation is based on a comparison of the monthly loan payment to the applicants monthly disposable income, net of other fixed obligations.

Visio is installed at the KSB lab and in some, but not all, other AU labs. There is a similar free / open source modeling tool that is quite popular: http://www.gliffy.com/ but functionality may not be identical to our guidelines, but technically you may use gliffy if you wish.

How to Diagram
Listed below are 4 major elements that are commonly usedand that we shall use. Note that there are a large number of other elements on a Visio

Activity is represented as a rectangle. Describes the kind of work which must be done. It depicts something that requires action and work, and that are events that must take place at some point in the overall process.

Review Travel Voucher

Sequence Flow is represented with a solid line and arrowhead, and shows the order in which the activities are performed.

Decision Point represents a point in a process where the process splits. Typically, the decision point is a Yes or No and there are associated sequence flows with each decision, as the process branches.

Is Travel Voucher Acceptable?

Swimlanes define boundaries in the flow of activities between departments, individuals, systems, etc. Lanes show the relationship between a business process and the individual, organizational or functional units responsible for specific activities and decisions within the process.

Note: When creating a Business Process model diagram in Visio, one can use the New, Flowchart, Basic Flowchart Template command. In Visio to use Swimlanes in the template use the New, Flowchart, Cross Functional Flowchart command. Here is an example of BPM diagram with swimlanes. Your assignment is somewhat similar.

Manager

Employee