Business Process Improvement (BPI)

Definition - What does Business Process Improvement (BPI) mean?

Business Process Improvement (BPI) is an approach designed to help organizations redesign their existing business operations to accomplish significant improvement in production. Effective BPI helps to generate promising results in operational efficiency and customer focus.

BPI, when implemented by means of a structured methodology, helps companies to reduce their operational costs and cycle time, enhance customer service and improve the quality of their products or services.

Techopedia explains Business Process Improvement (BPI)

The significance of BPI is remarkable in today’s competitive market as work processes are extensively affected by technology. An effective way to achieve a successful Business Process Improvement is to concentrate more on the business requirement than on the technology used to achieve the solution.

BPI aims to reduce waste and/or variation in processes to achieve the desired outcome by using existing resources in a better way. The ultimate goal of BPI is to bring out a drastic change in an organization’s performance, rather than bringing out the changes in incremental steps.

Because BPI implementation is a project, all project management principles apply. This ensures well-organized improvement processes without any conflicts. The steps are as follows:

Define the existing processes and structure in the organization.
Identify the outcomes that would add value in achieving the organization's objectives and the best ways to align the organization’s processes to achieve these outcomes.
Reorganize the workforce in the organization based on the desired outcomes by means of the various tools available in the BPI process.