Business Process Modeling
Simulation

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Explanation of Business modeling of processes through simulation.

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  2. Forum
  3. Best Practices
  4. Expert Tips
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Example of business process modelingWhat is Business Modeling?

Identifying the right area to change and improve is paramount to the overall success of an organization. The dangers of implementing business process improvement changes without a clear understanding of how the changes will impact the entire process can be substantial. Therefore tools are needed to help managers truly understand their business processes and how modifications to those processes will impact the overall company.


The Business Modeling method is a technique to model business processes. Business models provide ways of expressing business processes or strategies in terms of business activities and collaborative behavior so we can better understand the business process and the participants in the process. Models are helpful for documenting, for comprehending complexity and for communicating complexity. By documenting business processes from various perspectives, business models can help managers to understand their environment.
 

Simulation Software

With the aide of simulation software, managers can understand their business processes like never before. This type of software can show the flow of work through a system using graphs. This allows managers to clearly see where a problems may lie, and give indications of how to improve them. Once the problem areas are identified, the software can be used to change any parameter the user wishes. Run the simulation once again and immediately see the impact of the change. In this way, companies can change their business processes in a computer environment, without risking costly setbacks of real world trial and errors.
 

Business Modeling and Operations Research

Business Simulation has grown from operations research in the 1950s. With the arrival of increasingly cheap and powerful computers, and increasingly user-friendly software, business modeling techniques now allow also non-technical managers to try out various options or scenario's to assist in the decision-making process.


Another factor that has contributed to the increasing usage of the business modeling method, is the increasing pace of change in business. There is not enough time to try out new products in reality, and correcting mistakes, once they have occurred, is often extremely costly.

 

Business Process Reengineering and Business Process Management are closely related to Modeling.


Typical uses of Business Modeling and simulation:

  • Improve efficiency. By looking at the business process, organizations can improve their efficiency by eliminating redundancies. Also, each block can be looked at and improved by automating a set of activities. Any bottlenecks can be identified and removed.
  • Financial Planning, quantifying the impact of business decisions on balance sheet and P&L.
  • Risk Management, determining, measuring and managing the balance between profitability and certain types of risks.
  • Forecasting, analyzing historical data and using that to predict future scenario's and trends.
  • Business Process Modeling, mapping processes, tasks and process steps in a visual representation to the resources required.

Book: Manuel Laguna, Johan Marklund - Business Process Modeling, Simulation, and Design -

Book: Bernard P. Zeigler - Theory of Modeling and Simulation -


Business Process Modeling and Simulation Forum
  How to Implement a Business Process Once it has been Designed?
Once a business process has been modeled, what are...
     
 
  What is the Value of Categorizing Business Processes?
Just wondering: what value does categorizing busin...
     
 
  Uniformity of Processes is a Risk
The edge of chaos is the best situation for a comp...
     
 
  Complex Organizations Have Complex Processes
The problem is the complexity of the organizations...
     
 
  Names of Business Processes Differ per Industry
Business process differ in some industries. Someti...
     
 
  People Should Be in the Center of Business Processes
Business processes are important in the developmen...
     
 
  Business Modeling not the Same as Business PROCESS Modeling
While you can say that business process modeling i...
     
 
  Mission Statement, Modeling and Simulation: a Synergy
STRATEGY literally relates to the mode by which an...
     
 
  Learning Simulation and Business Modelling... Recommended Sources?
Hi want some help. Which are the best places to lo...
     
 
  Warehousing Simulation Software
Is there anyone who can help me where I can find a...
     
 
  Combine Process Modeling with Systems Theory
Process modeling must be used together with genera...
     
 
  Enhancing Business Process Improvements
Hello, I'm a Project Management and on my Post-Gra...
     
 
  Introduction to Business Process Analysis
Is there anyone who can suggest me some good tutor...
     
 

Business Process Modeling and Simulation Special Interest Group


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Best Practices - Business Process Modeling and Simulation Premium
  Types of Business Processes - Classifications
Henk Kleijn and Fred Rorink in their book 'Change ...
     
 

Expert Tips - Business Process Modeling and Simulation Premium
 

Business Processes by Goal

The main goals of Business Process Modeling can be...
Usage (application): BPM Categories, BPM Types, BPM Classification
 
 
 

Business Processes by Focus Area

Depending on their focus, we can distinguish 4 typ...
Usage (application): BPM Categories, BPM Types, BPM Classification
 
 
 

Business Processes by the Way they Develop

Considering the way that processes may develop, we...
Usage (application): BPM Categories, BPM Types, BPM Classification
 
 
 

Process Analysis and Diagnosis Techniques and Tools

Process Analysis and Process Diagnosis can be cons...
Usage (application): Business Process Modeling
 
 
 

Using Appreciative Inquiry to Improve Business Processes

Organizations focusing on developing their process...
Usage (application): Alternate Approach
 
 
 

The Process Vision

A business process is a set of interrelated activi...
Usage (application): Process Approaches, Organizational Development, Organizational Change
 
 
 

Diagrams and Models to Represent Business Processes

Models representing business processes allow the m...
Usage (application): Business Process Representation
 
 

Resources - Business Process Modeling and Simulation Premium

Business Process Management and Improvement: Six Sigma, BPR and (R)Evolutionary Change

Presentation about process management, particularl...
Usage (application): Process Management, process Improvement, Business Process Reengineering, BPR, Six Sigma
 

Introduction to Simulation: Definition, Terminology and Process Steps

Presentation about Simulation that includes the fo...
Usage (application): Simulation, Complex Systems
 

Interview Hammer: Why Business Process Redesign?

The Business Process Reengineering method (BPR) is...
Usage (application): Introduction. The Case / Main Reasons for BPR
 
 

News about Business Modeling


     
 

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Videos about Business Modeling


     
 

Videos about Business Simulation


     
 

Presentations about Business Modeling


     
 

Presentations about Business Simulation


     
 

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Compare also: Game Theory  |  Strategy Dynamics  |  Operations Research  |  Enterprise Architecture  |  Value Stream Mapping


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Special Interest Group Leader
Rakesh Gudur
Strategy Consultant

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