Adaptive Case Management Use Case – Executive Decision Tracking

Another topic came up during the Tweetjam – what are standard use cases for ACM? There were a lot of examples – but twitter being twitter, none were described beyond a few words. I thought this would be a good time to flesh out a pretty popular use case – tracking executive management decisions, especially at the board of directors level. I like this example since it clearly differentiates ACM from BPM – I don’t think even the most diehard BPM evangelists would attempt to use a BPMS to create a board of directors decision management tool.

For example, let’s take a process initiated as a result of a decision taken during a board of directors meeting. In this example the meeting takes place, decisions are made and processes are initiated – but the actual processes executed is different every time, dependent on the context of the board meeting. For example, a bank’s board may be worried about the risk profile of the bank, especially their loans. So they initiate a process regarding the risk management of loans to European real estate and construction projects. In this case, the bank made large loans for the construction of commercial real estate projects in a number of European countries, and those projects have reached a point where they will be asking for additional funding to enable the project’s completion. In the period since the original loans were granted, both the macro and micro economic environment has changed, causing the bank to revisit the original assumptions underlying the loans. These loans now represent large, relatively risky loans and have the possibility of external scrutiny of the handling of those deals – so the board decided to take a closer look. The board requested that the international banking division and the real estate division jointly look into the viability and risk of the projects, taking into account various deal parameters such as the current legal situation of the country involved, the macro economic outlook, the expected amount of financing that will be requested, the financing sources for the projects, the capital structure of the projects, the current viability of the developers. Of course such a deep dive process will generate a lot of activity involving numerous people throughout different divisions in the bank, and experts from outside the bank, the specific participants and information assembled are dependent on the specifics of the loans being examined.

As I stressed in previous posts, for ACM to work – there needs to be a process owner, someone with the responsibility of ensuring the needed work gets done, and the process is driven to completion. In this example, there is a senior executive that owns each part of the process, but it is the corporate secretary’s role to provide oversight, make sure that process is completed in a timely fashion, and the board is briefed on the results. Today, such a process would probably be executed via emails and documents (e.g. spreadsheets) – without any management visibility, and without any IT support for managing the process. Missed handoffs, lost follow-ups and old versions of documents can all conspire to cause the process to fail. An adaptive case management system can ensure that the corporate secretary can provide an appropriate level of oversight and insight into the process – without the need to completely dictate the execution of the process and the work being done. The ability to have the process owners (and the corporate secretary) monitor, track and report on the process without providing so much management as to strangle it, lowers the process risk and increases corporate compliance and governance.

That is main driver behind this use case – risk management. The key to managing risk for unstructured processes is managing the handoffs between participants, managing the documents involved and providing real-time and historical visibility into actual process execution. That is what ACM provides.

Our book, Mastering the Unpredictable has many more real world ACM use cases.


3 Responses to “Adaptive Case Management Use Case – Executive Decision Tracking”

  1. Tweets that mention Adaptive Case Management Use Case - Executive Decision Tracking | ActionBase Blog - Thoughts on Collaboration Process Management Unstructured Compliance and Audit -- Says:

    […] This post was mentioned on Twitter by T.S. Li (李丹珊), ActionBase. ActionBase said: Adaptive Case Management Use Case – Executive Decision Tracking #BPM #casemanagement […]

  2. Links « Fujitsu Interstage Blog Says:

    […] Ukelson outlines another topic from the tweet jam in “Adaptive Case Management Use Case – Executive Decision Tracking” where he goes into depth about the decision and follow actions of an executive […]

  3. Johnathon Axelrad Says:

    That makes sense to me but does this?

    In a world without walls and fences who needs Windows and Gates? 🙂

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