Case study 2 The extract below shows results from a study conducted by Dita Nurmadewi et al. 2019, Analyzing Linkage Between Business Process Management (BPM), Capability and Information Technology: A Case Study in Garment, SMEs , Elsevier, Science Direct,Procedia Computer Science 161 (2019) 935942 The results of the study found that Fanella garment SMEs merely focused on four elements of the eight elements of BPM concept, i.e. process definition and documentation, process measurement and management, market or customer orientation, and supplier perspectives while other BPM elements are not applied. SMEs Fanella does not have a description of the business process for each employee. They only have job descriptions from each part such as the production section, sales and marketing, and finance. Each part has its own responsibilities and duties, for example, the production department has the task of making designs, cutting materials, and sewing up to the finishing stage of the product. SMEs Fanella did not have a financial recording system. The financial system related to the payment system and material purchases are still performed manually. Furthermore, the performance targets set by SMEs Fanella does not accord with the performance results. This is because the strategy does not match with the target. Fanella has never conducted a market study to find out customer desires or based on the development trend of the latest garment models. SMEs already had their own concepts regarding product design. The customers satisfaction is obtained through customer testimonials. Interestingly, Fanella assumed that the customer is satisfied if they do not file any complaint.Fanella does not have cooperation with specific suppliers but they claim to build good relationships with all suppliers. The need to purchase materials used direct transactions with suppliers when materials were available. Fanella admitted that they sometimes faced problems, for example when there was a shortage of materials because stocks were not available in the market. The owners must buy materials in other places. This can reduce the order of products received by garment SMEs.

Questions 2 (10 Marks)

2.1 Explain the reasons for the implementation of BPM at Fanella? (2 Marks)

2.2 With reference to the case study above, critically discuss the missing requirements of BPM concept at Fanella Garment? (4 Marks)

2.3 Provide recommendations to improve BPM at Fanella Garment. (4marks)