As we approach COP28, the pursuit of sustainability and transition to a net-zero enterprise is slowly taking precedence for enterprises all over the world. They are trying to achieve a balance between minimizing their environmental impact and maximizing efficiency. Organizations are actively investing in tools and technologies that will enable them to reduce their environmental footprint and contribute to the environment. One of the approaches that organizations can adopt is Green Business Process Management, also known as Green BPM. Let’s look into how Green BPM can be a game-changer in building a sustainable enterprise.
Green Business Process Management constitutes a groundbreaking approach to traditional BPM strategies. Integrated with environmental expertise, Green BPM aligns with the global call to reduce organizational emissions and environmental footprint while optimizing operational efficiency.
Green BPM works by analyzing business processes and optimizing them to be more ecologically responsible. It aims to reduce waste, promote energy efficiency, and minimize the use of non-renewable resources in business operations. Its implementation can range from having energy-efficient buildings and facilities, and green procurement policies, to running operations on renewable energy resources.
Green BPM assesses the materials and resources utilized in business operations to determine the potential environmental impact and evaluate how those operations can be enhanced to improve their sustainability.
Read More: Navigating Globalization and Geopolitics in BPM: Strategies for Success in a Rapidly Changing World
Along with the environmental benefits coming from less energy consumption and a decrease in the use of non-renewable resources, businesses will gain the following benefits by leveraging Green BPM –
Optimizing operations through Green BPM can lead to improved efficiency resulting in cost savings. Less wastage of resources means lower procurement costs. Less energy consumption equals lower utility bills and improved processes leading to higher productivity. All of this can greatly contribute to significant financial savings.
As more consumers grow conscious about the environmental impact of businesses, having a green identity equates to a positive corporate image. Adopting Green BPM can signal corporate environmental responsibility, which can lead to better customer loyalty and reputation.
With increasing environmental concerns, governments are tightening environmental regulations. Implementing Green BPM can ensure the company’s compliance with these rules and mitigate risks related to non-compliance.
Implementing Green BPM principles can help in diversifying perspectives on process optimization, opening new avenues for business expansion and improvement. It can support enterprises in becoming more innovative and technologically advanced through the Green BPM.
Green BPM can be integrated into different business processes including supply chain management, data center operations, customer service, and more.
Green BPM can support Green Supply Chain Management (SCM) to reduce operational carbon footprints and ensure the materials used within the company are responsibly sourced. It uses technologies such as IoT and AI for real-time monitoring and optimal logistics planning.
Rethinking data center operations through Green BPM can reduce energy consumption without compromising the system’s efficiency and reliability.
Green BPM when integrated into customer relationship management can lead to strategic customer interactions that promote environmental consciousness. It could involve campaigns about a company’s green initiatives and providing eco-friendly alternatives for customers.
Adopting Green BPM in office and admin operations includes paperless transactions, the use of energy-efficient equipment, recycling, and waste segregation policies, among others.
Know More: The Rise of Hyperautomation: Revolutionizing Business Process Management
As global events like COP28 underscore the environmental challenges we face, Green BPM stands as a feasible and efficient solution for businesses. Integrating Green BPM into operations not only reduces a company’s environmental impact but also triggers cost savings, enhances corporate image, improves regulatory compliance, and facilitates innovation-driven growth.
Implementing Green BPM follows a systematic approach that involves six stages – planning, modeling, simulation, execution, monitoring, and development.
The planning stage includes identifying areas that require improvement, assigning key performance indicators (KPIs) for parameters that have an environmental impact, and understanding tools and software necessary for green BPM analysis and implementation. In this stage, businesses may brainstorm and come up with focus areas to improve on like reducing business travel or encouraging virtual meetings.
The modeling phase involves the analysis and understanding of resource consumption in each identified area. Assessing actual figures like units of electricity consumed by manufacturing plants or the amount of fuel consumed by vehicles is vital in this stage.
After identifying improvement areas from the Green BPM lens and analyzing consumption parameters, the next step is simulating process improvements. Running a small pilot project may help gauge the effectiveness of the Green BPM plan. After successfully meeting the KPIs on a small scale, the operations can then be scaled up to include more operations and divisions.
After the sustainability simulation meets the target KPIs, it’s time to implement the processes depending on the impact value. For example, the projects with high impact value can be an AI, ML, and IoT technology-backed supply chain and logistics management system which could considerably optimize routes, reducing delivery times and fuel consumption.
After implementing key processes and technological changes, monitoring these implementations to ensure they meet KPIs and targets is crucial. Aspects to monitor might include power consumption, in-house carbon emissions, water consumption, waste generation, reduction in business travel, and more.
Organizations undertaking the sustainability journey need to be agile to respond to a rapidly changing technology and business landscape. This leads to the last step of continuously tracking and improving on the Green KPIs and ensuring that your enterprise is responsive and agile, and continues to prioritize sustainability.
Read More: BPM and Customer Feedback Management: Driving Continuous Improvement in Customer Service Processes
With the concern around environmental challenges and climate change, there is no way forward without embracing the principles of sustainable development. Green BPM is one of the key approaches that can aid in making enterprises sustainable for the long haul. It is a powerful tool that can help in shaping sustainable enterprises. It not only offers enterprises a path to thrive and innovate but also enables them to protect the planet for future generations.
