Highlights of AIIMs BPM Industry Study

13 July 2007

Survey sponsored by...

For more information, see our blog: www.aiim.typepad.com or our website: www.aiim.org/industrywatch

Survey Respondents Represent a Wide Range of Company Sizes and Vertical Industries, With a Focus on the U.S. Market

Figure 1: How many employees are in your organization?

Figure 2: Major vertical industries in survey (%) Manufacturing 24% Federal govt Utilities, oil and gas 6 6 7 7 12 13 14

How many employees are there in your organization?

50%

Insurance 26% Banking and finance Consultants State and local govt 1-100 101-1,000 >1,000

19% Figure 3: What is your role in the organization? 23%

8% 9%

23%

18%

Line of Business Executive RM DM IT Other

Survey Respondents Represent Rich and Varied Experience Base

Figure 4: What is your orgs experience with RM and DM? None Next 6 months Departmental only Integrating across depts Enterprise strategy 31% 7% 16%

18%

29%

Figure 4: What is your understanding of the following terms? % that fully understand the term

Document process outsourcing Business process re-engineering Enterprise application integration Bus Process analytics Workflow ECM BPM

38 62 41 39 88 77 61

Figure 5: What is your orgs experience with BPM? 11%

11%

20%

None Next 6 months Departmental only Integrating across depts Enterprise strategy

25% 32%

A Solution Without a Clear Owner

Figure 6: Do you have a specic group in your org responsible for BPM? YES NO 68% 32%

Figure 7: To whom does the BPM group report? IT CIO President COO CFO Compliance or legal Quality Other 2% 5% 8%

16%

21%

19% 14% 15%

Success is Not Guaranteed

6% Figure 8: What is the success of your organizations BPM initiative? 25% 16% Little to no success Initially difficult; now some success Dept success; no enterprise success yet Leveraged early success into repeatable improvements Very successful at enterprise level 16% 36%

Which Comes First? Process or Content?

Figure 9: In terms of technology, what relationship do you see between ECM and BPM? (From 2007 State of ECM Industry Survey) 38%

7% 30%

26% BPM a subset of ECM ECM a subset of BPM Two separate initiatives; some intersection Not related

Back Ofce and Customer Service Head the List of Targeted Business Applications for BPM Initiatives

Figure 10: In which business applications MIGHT your organization implement a BPM solution? Vendor communications Customer communications R&D Risk management General admin HR Sales and marketing IT services Supply chain or logistics Manuf and fulfillment Compliance documentation Compliance management Order entry and billing Back office operations Cust service 40 35 27 28 22 14 47 50 51

Figure 11: In which business applications have you ALREADY implemented a BPM solution? Vendor communications Customer communications R&D Risk management General admin HR Sales and marketing IT services Supply chain or logistics Manuf and fulfillment Compliance documentation Compliance management Order entry and billing Back office operations Cust service 17 14 8 11 22 25 14 25 12 11 17 18 20 31 27

15

51 44 37 52 53

Lessons Learned: Plan and Get Educated

Figure 12: What is THE MOST IMPORTANT obstacle or problem to overcome in your organization with regards to BPM?

3 Lack of training external suppliers Lack of training internal staff 4 Failed to define benefits beyond unit 4 Underest content migration issues 6 Poorly defined business case Failed to address taxon and metadata 4 Failed to prioritize high-value content 1 Uneven usage; poor enforcement 5 Low user acceptance; poor design 4 Underest process and org issues Internal politics Excessive scope creep Budget overrun 8

13

20 14 12

Figure 13: What is the level of need in your organization for vendor independent training on BPM?

4% 11% 33% 19%

32%

None Some Moderate Significant Urgent

BPM Requires Justication, But No Single Best Approach Exists

Figure 14: How important is it in your organization to justify BPM investments? 39%

8%

4% 12%

Dont know Not important at all Somewhat unimportant Somewhat important Very important

36%

Figure 15: Which approach to justication is used in your organization with regards to BPM investments? (Can check more than 1; only those reporting at least one)

Payback period Internal rate of return ROI Net present value Total cost of ownership 16 19

32

73

41

Figure 16: What is the expected payback time for your BPM initiative? 14% 21% 15%

< one year 1-3 years 4-5 years Not calculated

50%

BPM Has a Wide Reach

Figure 17: How Likely Would Your Organization be to Use a BPM Solution that Manages Both Outbound and Inbound Segments of a Business Process? 23% 4% 21%

Dont understand the question Not likely Somewhat likely Likely Very likely

25%

26%

BPM Not a Turnkey Implementation Held Close to Home

Figure 18: Which Processes are Candidates for a BPM Solution that Would Include Both Outbound and Inbound Capabilities? Vendor communications Customer communications R&D Risk management General admin HR Sales and marketing IT services Supply chain or logistics Manuf and fulfillment Compliance documentation Compliance management Order entry and billing Back office operations Cust service 34 32 8 15 36 36 26 32 13 9 36 24 30 40 42

Figure 19: Which Best Describes Your Organization's Approach to Implementation of BPM Solutions? Integrate BPM with Other Systems Customized Packaged Solution Hosted/SaaS Outsourced/Not SaaS Other

5% 5%

5%

47%

38%

Figure 20: How Likely Would Your Organization Ever Consider a "Software as a Service" to Meet its BPM Needs? 12%

10%

6%

47% Dont know; dont understand Not likely Somewhat likely Likely Very likely 25%

Survey sponsored by...

For more information, see our blog: www.aiim.typepad.com