3 Types of Business Processes

  • Aug 25, 2023
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Business processes are a set of interrelated tasks that are carried out in an organization to achieve a specific objective, and generate value for the client; Although there are different criteria to classify them, the three main types are: strategic, operational and support business processes.

Companies are beginning to recognize the importance ofredefine and orient their business towards processes, regardless of the sector in question; This implies adopting new value standards, both for internal operations and for the relationship with customers.

In this sense, business processes can be considered as a guide to operate a company and achieve the established objectives in your business strategy of the company.

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Types of Business Processes

Well, we must remember that the business process is a sequence of activities that are related to each other, transforming one or more inputs into outputs that generate value for customers.

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However, business processes can be classified according to various criteria, let's see what are the

3most common types of business processes; But first let's define its concept.

In this article you will find:

What is a business process?

A business process, business process(BP) are sets of interrelated tasks or activities performed in an organization to achieve a specific goal; however, business processes can vary widely depending on the type of industry, organization, and nature of operations.

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Its objective is to generate value to the products and services that the organization offers, in turn generating value for customers, and, therefore, contributing to the achievement of business objectives.

Each business process has its own inputs, processes, and outputs. (tickets) are transformed through a series of steps (process) to produce a final product (exit); These are essential elements that describe how an organization's resources or data are transformed to add value and produce results.

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As described by Rodríguez Pilar, (2011), “Business processes can be defined as a sequence of related activities in a specific order, with the goal of adding value to an organization's products." (p. 11).

However, for the application of a business process, It is essential to be clear about the activities or tasks, the structure or sequence, and theinteraction or communication between actors or participants in the process.

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3 Types of business processes

At present there is a great debate about the types of business processes, since there are various criteria and taxonomies to classify them; Despite this, most business process experts mention three main types, What are they:

Strategic business processes

the strategic business processes They are that are directly aligned with the mission, vision, and long-term goals of an organization.

These processes have a direct impact on the company's ability to achieve its strategic goals and are therefore essential to its long-term success; Unlike operational processes, which are focused on daily activities, or support processes, which facilitate day-to-day operations, strategic processes are more focused on the direction and future of the company.

For Rodriguez, Pilar. (2011), “These processes give direction to the business. For example, “Strategic planning”, “Setting objectives and goals”." (P. 14).

Characteristics of strategic business processes:

  1. High impact: These processes have a significant impact on the overall performance of the organization and its ability to compete in the marketplace.
  2. Long Term Orientation: They are aligned with the long-term objectives and goals of the organization.
  3. Crucial Decisions: Involve decisions that may affect the direction and future viability of the company.
  4. Complexity: Given their nature, these processes tend to be more complex and may involve multiple areas or departments within the organization.
  5. Involvement of the Management Level: Often top management or the executive team are involved in these processes due to their critical nature.

Examples of strategic business processes:

  • Strategic planning.
  • Risk Management at the Corporate Level.
  • Innovation and Development of New Products.

Operational business processes

The operational business processes, also known as core processes, They are that They represent the essential activities that a company carries out to create and deliver a product or service to the market.

These processes are directly related to the main mission of the organization and are essential to generate value for customers, in fact, it is these processes that the customer directly experiences or perceives when interacting with the company.

For Rodriguez, Pilar. (2011), “These processes give value to the customer, they are the main part of the business. For example, "Delivery merchandise." (P. 14).

Characteristics of operational business processes:

  1. Customer Focused: They are directly linked to the creation of value for the customer, either through products or services.
  2. repetitive: These are usually activities that the company performs regularly and systematically.
  3. standardizable: Often these operations can be standardized or protocolized to ensure consistency and efficiency.
  4. measurable: These processes often have clear performance metrics, allowing efficiency and quality to be monitored and improved over time.

Examples of operational business processes according to different industries:

  • Retail or Retail.
  • Financial services.
  • Manufacture.

Support business processes.

The support business processes, also known as support processes, are essential for organizations to function effectively and efficiently, and although they are not directly related to the main delivery of value to the customer (such as the processes operations), these provide the infrastructure and services necessary for the operational processes and strategics run smoothly.

For Rodríguez Pilar, (2011), “These processes support the core processes. For example, “Accounting”, “Technical service”.” (p. 14).

Characteristics of support business processes:

  1. Facilitators: These processes act as enablers for the operational or core processes, allowing them to run smoothly.
  2. Not directly customer oriented: Although they are essential to the internal functioning of an organization, support processes are generally not visible to the external customer.
  3. specialized: They usually require specific skills or knowledge.
  4. Operational continuity: Many support processes are oriented to guarantee the continuity of operations.
  5. Interdependence: These processes often depend on, or interact with, other processes (both operational and support) within the organization.

Examples of support business processes:

  • Human Resources.
  • Administration and finance.
  • Maintenance service.

Bibliographic references:

Rodriguez Z. Pilar, (2011). Implementation of BPM, as an integration and administration tool for an organization. Thesis Prior to obtaining the title of Computer Engineer. Private Technical University of Loja. https://dspace.utpl.edu.ec/bitstream/123456789/5467/3/UTPL_Rodriguez_Elvia_005X1334.pdf

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