BPM spending to increase 5%

By Staff Writer for Gartner

Johannesburg, 04 Aug 2009

Over the next 12 months, business process management (BPM) practitioners expect organisations to increase their BPM spending by at least 5%, according to global research firm Gartner.

The findings are based on surveys conducted at two Gartner BPM conferences held in London and San Diego earlier this year.

“BPM is quickly becoming an alternative and better way of developing solutions and improving processes for many companies,” says Michele Cantara, Gartner research vice-president.

She adds that 23% of surveyed respondents anticipated revenue decline in the tough economic conditions, while 42% anticipated some growth, suggesting BPM helps companies thrive and isn't just a survival tactic.

Cantara says companies that ramp up their BPM investments now will be poised for growth when the economy recovers. She recommends organisations use BPM to help decide which existing projects, suspended projects and new projects will be prioritised, sequenced, funded and staffed when business growth returns.

Although respondents were expecting fiscal year 2009 revenue to be stable or to grow, they indicated they were able to funnel only 40% of their organisations' investments into growth or transformation initiatives, states Gartner.

The firm predicts that BPM may be a way for companies to do more with less, and to free up more funding for growth and transformation initiatives.

Around 41% of respondents believe that BPM is jointly led by business and IT, and when it's not jointly led, business and IT are almost equally likely to lead BPM efforts.