The “Enterprise” is an entity that is formed to serve a purpose of value to society via visions, goals, and strategies. Let us review a few forms of an Enterprise.
- Federal, state and local government agencies
- Non-profit organizations
- Business companies
All of the above-mentioned enterprises share something in common; they all have internal components that govern and guide operations. These components [must] be constantly improved to maintain and enhance the life of an “Enterprise.”
The three “primary” components that govern and guide operations of the Enterprise are:
- Enterprise Architecture Plan (EAP)
- Enterprise\Business Process Management (EPM or BPM)
- Customer Relationship Management (CRM)
Enterprise Architecture Plan
The Enterprise Architecture Plan (EAP) is derived from the vision, goals, and strategies of its creators. The EAP will present the five W’s and the How of Enterprise Architecture. The following are the five W’s and the How.
- The What of the Enterprise (Data)
- The Where of the Enterprise (Network)
- The Who of the Enterprise (Organization)
- The When of the Enterprise (Schedule)
- The Why of the Enterprise (Strategy)
- The How of the Enterprise (Function)
Enterprise Architectural Principles
The specifics of enterprise architectural principles will depend on the vertical market the Enterprise is in, the long-term strategy of the Enterprise (to-be), and the short-term imperative goals of the Enterprise (as-is). The following is by no means an exhaustive list of specifics to the architectural principles. This short list is the core elements of the architectural principles.
The EAP should encompass some, of if not all, of these enterprise architectural principles:
- Brand-name advancing
- Market-share expanding
These principles along with the five W’s and the How will lay the foundation to the construction of the Enterprise.
Enterprise\Business Process Management
The flow of tasks, objectives, events, and transactions through the Enterprise is governed, managed, and implemented by processes. Theses processes have to be governed and management in a way that all tasks, objectives, events, and transactions flow efficiently within and outside of the Enterprise to accomplish the set goals and strategies.
Process management in its simplest form is defined as tasks and or events that receive stimulus inputs that in turn produces a predetermined outputs (even in the case of exceptions).
This is accomplished by and through human and technology process interactions.
Let us use the case of an admittance or discharge to the hospital from the emergency room.
One may feel ill enough to go to the emergency care at the local hospital. Once the person enters the doors of the ER and the receptionist greets the person, two essential processes are initiated into action.
- Collect information about the illness (human-centric)
- Collect information about the patient (human-centric)
The collected information is then pushed to a database (technology-centric) for use by other processes associated to the emergency protocol. Based upon the illness or symptoms of the patient, the next [technology-centric] process will determine which doctor to summon to the assigned examination room (human-centric and or technology-centric). The doctor will then interact with the patient to determine, which course of action to take which will lead to an admittance process or discharge process. Now this is a very short and simple snapshot of actions taken for someone who may visit the emergency room but I trust you have the gist of have these processes interact for this given case.
Therefore, you can see how Enterprise\Business Process Management is the heart of the Enterprise functionality. Processes MUST be well defined and optimized to provide best performance for an organization. This in turn will grant the enterprise agility and increase successfulness of the desired goals and strategies.
Customer Relationship Management
As the BPM provides functionality to the Enterprise, the Customer Relationship Management (CRM) methodology provides life to the Enterprise. Most enterprises operate in a product service-centric manner, which means they created product(s) and or service(s) without the thought of the customer in conducting business.
A product service-centric enterprise is destined to demise for lack of customer integration. Here is a great quote that all members of Top management should hang on the wall:
“Businesses are not paid to reform customers. They are paid to satisfy customers.” (Peter Drucker)
A CRM solution allows the enterprise to transform into a “customer-centric” entity. CRM in its general definition is; processes and methodologies which an enterprise uses to communicate, track, and organize its interactions with its current and prospective customers.
A well-implemented CRM solution will provide a ROI of increased customer loyalty and continuous growth of new customers.
We have learned that the Enterprise is an entity that is formed to serve a purpose via visions, goals, and strategies. An Enterprise Architecture Plan (EAP) is then created from theses visions, goals, and strategies. The EAP will capture and present the What, Where, Who, When, Why, and How of the Enterprise.
Processes within an Enterprise are controlled through Enterprise\Business Process Management methodologies. Processes are all tasks, objectives, events, and transactions that flow within and outside of the Enterprise. Process management in its simplest form is defined as tasks and events that receive stimulus inputs that in turn produces a predetermined outputs (even in the case of exceptions).
The Customer Relationship Management methodology is the bridge that connects the Enterprise to the customer and the customer to the Enterprise. A CRM solution allows the Enterprise to transform into a “customer-centric” entity. CRM in its general definition is; processes and methodologies an Enterprise uses to communicate, track, and organize its interactions with its current and prospective customers.
Director of the Novomoskovsk Institute RHTU im. DI. Mendeleev, Head of the Department of Economics, Finance and Accounting.