In-Depth Guide to RPA vs BPM in 2024

Business process automation is essential today, but with many options available, determining the right solution can be challenging. This comprehensive guide contrasts two popular approaches – robotic process automation (RPA) and business process management (BPM) – to help you make informed decisions for your organization.

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Defining RPA and Its Capabilities

Robotic process automation (RPA) refers to software bots that automate repetitive, rules-based digital tasks traditionally performed by human workers. As explained here, RPA replicates the manual steps a person would take to complete tasks in a user interface, such as:

Copying and pasting data between systems
Filling out forms or documents
Reading and writing emails
Scraping data from documents or websites
Connecting to APIs to transfer data
Gathering reports and generating analytics

RPA bots automate repetitive digital tasks by mimicking human actions

Key capabilities of RPA include:

Speed – Bots can work around the clock without rest, executing tasks significantly faster.
Accuracy – Automation eliminates human errors caused by manual work.
Cost efficiency – Software bots require less investment than human employees.

However, RPA also has some limitations:

Lack of intelligence – Bots cannot respond to unexpected situations or make complex decisions.
Brittle integration – Changes to user interfaces and applications can break bots.
Narrow focus – Automating one process at a time provides limited scope.

Industry research on RPA adoption:

The RPA market is predicted to reach $13.74 billion by 2028, expanding at a CAGR of 33.6% [Grand View Research].
72% of businesses have already adopted RPA or plan to do so by 2025 [Mulesoft].
63% of adopters say RPA has delivered ROI in less than 12 months [Deloitte].

So in summary, RPA provides fast, affordable, and accurate automation but lacks flexibility and business process optimization capabilities. It is best suited for rules-based digital tasks.

Understanding BPM Methodology

Business process management (BPM) refers to the methodology of analyzing, modeling, automating, and optimizing business workflows and processes holistically across an organization. As explained here, BPM takes a high-level "bird‘s eye view" of operations to identify and address inefficiencies.

The key stages in BPM methodology are:

The 5 main stages of implementing BPM

Process analysis – Gathering data on current workflows to identify pain points.
Process modeling – Mapping out ideal future state workflows aligned to goals.
Implementation – Making workflow changes and automating where possible.
Monitoring – Tracking performance data on changes.
Optimization – Continuously improving processes based on insights.

The goals and benefits of BPM include:

End-to-end optimization – Improves entire workflows rather than individual tasks.
Adaptability – Allows processes to evolve beyond initial automation.
Strategic alignment – Connects operations to business goals.
Continuous improvement – Uses data insights to constantly optimize.

However, BPM also requires significant investment and organizational change management to execute effectively. It focuses more on long-term benefits rather than quick returns.

Key Differences Between RPA and BPM

	RPA	BPM
Type	Software tool	Business methodology
Scope	Automates individual tasks	Optimizes end-to-end workflows
Approach	Configures bots to mimic human actions	Analyzes processes and redesigns workflows
Benefits	Quick automation ROI	Long-term transformation
Limitations	Brittle bots, narrow focus	Complex implementation, change management

In summary:

RPA provides tactical automation of individual, repetitive tasks.
BPM enables strategic optimization of entire business processes.

RPA delivers faster returns by automating specific manual work, while BPM aims for broader long-term impacts but requires more effort to implement.

Implementing RPA: Steps and Best Practices

Careful planning and execution is key to successfully implementing RPA across an enterprise:

Key stages in implementing RPA

Process understanding – Gain detailed visibility into current workflows, bottlenecks, and pain points.
- Critical success factor: Invest in process mining software for data-driven insights before automating.
Process simplification – Streamline and standardize processes before automation.
Tool selection – Thoroughly evaluate different RPA platforms and vendors.
Solution development – Configure and test bots on development environments first.
Testing – Perform end-to-end testing across multiple environments.
Pilot – Prove value with small-scale deployments focused on high-impact tasks.
Deployment – Gradually scale automation across departments.
Bot management – Monitor, analyze, and enhance bots continuously.

For more details, refer to this step-by-step RPA implementation guide. Investing in process understanding and planning is crucial for long-term RPA success.

Implementing BPM: Methodology and Steps

BPM implementation follows five core stages:

The 5 stage methodology for implementing BPM

Process analysis – Assess current workflows, identify pain points and improvement areas.
Process modeling – Map out improved workflows aligned to goals and KPIs.
Implementation – Execute workflow changes and automation using BPM software.
Monitoring – Track performance data on redesigned workflows.
Optimization – Continuously refine processes based on monitoring insights.

A BPM software suite enables executing this methodology through:

Process mining and modeling capabilities
Workflow automation features
Performance dashboards and analytics

However, as BPM represents a methodology rather than a specific tool, cultural change management is also critical for adoption across the organization.

For a detailed look at BPM implementation steps, refer to this guide.

Using RPA and BPM Together

RPA and BPM are highly complementary and can drive greater impact when combined:

RPA enables tactical task automation within optimized BPM workflows

BPM identifies automation opportunities – Process analysis pinpoints repetitive manual tasks suitable for RPA.
RPA enables BPM implementation – Automating mundane work accelerates redesigned workflows.
Continuous optimization – RPA bots can be enhanced over time through ongoing BPM.

For example, after BPM assessment, an insurance firm realizes claims processing takes too long. RPA could then automate repetitive data entry and documentation tasks within that workflow to speed it up.

This demonstrates how BPM provides the strategy while RPA enables tactical automation of mundane work within redesigned processes.

Industry examples of combined success:

St. James’s Hospital – Reduced patient administration time by 50% using RPA bots within BPM workflows [Case Study].
SEB Bank – Automated over 140 processes across customer onboarding, lending, HR and more with RPA aligned to BPM [Case Study].
QBE Insurance – Scrapped legacy systems and automated processes with BPM and RPA, saving 40,000 hours per year [Case Study].

Key Takeaways and Recommendations

RPA automates repetitive, rules-based digital tasks while BPM provides end-to-end business process optimization.
BPM analyzes and models strategic workflows while RPA applies tactical automation to mundane steps.
RPA delivers quicker returns from automating individual tasks while BPM focuses on long-term transformation.
For sustainable success, invest in process mining and assessment before any automation.
Combine RPA and BPM together, with BPM determining opportunities and RPA implementing automation.

Recommendations:

If you need targeted automation: Start small with RPA proof-of-concepts focused on high-impact repetitive tasks.

If your processes require overhaul: Implement BPM first to transform workflows, then apply RPA for automation opportunities.

For long-term optimization: Use both together – BPM for strategy and RPA for task automation.

Making the right choice between RPA and BPM, or combining them, depends on your business needs and objectives. This comprehensive guide clarifies the key differences to help you determine the best approach.

For additional information and resources, refer to the links below: