What is a business proces

Last updated: 2023-10-20
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A business process is a set of activities that link to each other and create output with value. Each business process requires one or more inputs and produces an output that has value for the customer. Business process needs inputs and consumes resources to create outputs.

Business processes create value for the customer

  • service or any other intangible output
  • products, goods or any other tangible output

Business processes need sources, inputs (FILMM) to create the output

  • Finance resources - every process consumes financial resources, either directly or indirectly through other sources
  • Information, data and knowledge
  • Human labor - most processes cannot be done without the labor
  • Material resources are consumed by business processes - a large part of the processes consumes material as an input
  • Assets and infrastructure that business processes need to use
what is business process

According to the company value stream business processes are recognized as

Why do we need to have business processes described?

Business processes and their description and knowledge is the basis of the running of every company and organization. Their analysis and description are created by companies for a number of reasons:

  • Business processes description is an essence of work procedures. People must know what to do.
  • To automate processes, the process workflow must be described
  • Business processes, along activities are core for job description 
  • The description enables processes to be optimized and improved
  • The processes are essential part of policies and procedures