business process

Business processes made up of the activities of the business organization. The activities are grouped, summarized, and classified to bring order and relative simplicity to what would otherwise be thousands if not millions of activities required for a business organization. Below are two common classification schemes that look at two different aspects of business processes and the scheme use by BAi.

Hierarchical classification scheme --
There is no standard classification scheme for processes. Since systems are processes and processes make up processes. A hierarchical classification scheme shown below might be used to 'decompose' the processes of a value system --

• system or network of processes
• chain of processes
• process
• process element or sub-process
• tasks
• activities

Common classification scheme --
A common classification scheme differentiates the process types as follows -

• Management processes - including both strategic and operational management of the business organization
• Operational or value adding processes - the processes from initial inputs to offerings delivered which direct produce and deliver the offering
• Supporting processes - processes which are neither management or operational processes necessary to enable the other processes

BAi classification scheme (based on Gharajedaghi, 1999, 2006) --
The classification scheme used by BAi is derived from the purposes of a social system, seeking to associate every process to a purpose, a reason why the business organization (social system) exists. See process architecture for more detail.

• throughput processes - these are the processes which generate and distribute wealth for the business organization
• organizational processes - these are the processes that enable the throughput and creation of future potential processes
• measurement -- generate truth; the generation and dissemination of information, understanding, and knowledge
• decision -- making choices; creating power-to-do; development and duplication of power, authority, and responsibility; provide governance
• membership -- create commitment; provide meaningfulness and excitement of what is done
• conflict management -- formation and institutionalization of values for regulation of behaviors and decisions
• creation of future potential - processes to develop new capabilities, offerings, and businesses
• skills development
• innovation producing processes
• strategic management