Process Excellence news – Appian, SAP, Red Hat, IDP market growth & more

PEX Network brings you the latest news in process and operational excellence (OPEX), business process management (BPM), digital transformation, process mining, low-code technology, intelligent document processing (IDP), Lean Six Sigma, Kaizen and more.

Week of 02/19, 2024 includes:

• IDP market to double as generative AI expands use cases
• Southwire names Veronica Braker EVP of operational excellence
• Six Sigma Racial Equity Institute opens applications for Green Belt certification program
• Digital transformation hampered by technical debt
• Appian announces fourth quarter and full year 2023 financial results
• ABB to acquire SEAM Group to drive electrification and operational excellence
• SAP creates AI-focused end-to-end growth area
• Low-code firm Mendix appoints Raymond Kok as new CEO
• BP3 acquires darwinLabs to map business processes end-to-end
• BST Global recognized for driving digital transformation in AEC industry
• Pegasystems intros Pega GenAI Blueprint to automate workflow app designs

IDP market to double as generative AI expands use cases

The IDP software market is expected to reach a value of US $6 billion by the end of 2027 with generative AI dramatically expanding use cases. That’s according to the 2024 Intelligent Document Processing Market Analysis and Four Year Forecast by Deep Analysis.

IDP is software powered by AI and is used to automate document processing by assisting – or even replacing – human work. With generative AI for IDP at the very early stage entering 2024, the market has yet to see a revenue boost from this transformative technology, the report noted. However, if generative AI can fulfill its potential to put IDP onto every computer and smartphone, the use cases will expand exponentially and the market could grow to over $20 billion by 2033, it added.

The report includes advice for companies looking to buy IDP software, including summaries of vendor companies that are particularly innovative.

READ: Intelligent document processing 2023 industry report

Southwire names Veronica Braker EVP of operational excellence

Southwire announced the hire of Veronica Braker as its new EVP of operational excellence. Under her leadership, the electrical industry solutions provider will strengthen its commitment towards continuous improvement within the company’s operational practices, the firm said. Braker’s career spans more than three decades, leading teams focused on operations, environmental, health and safety (EHS), reliability and maintenance, capital expenditure and more. She is a Lean Six Sigma certified Master Black Belt and practices Lean as a discipline in how she approaches strategy and operational planning. Braker most recently served as the SVP of global operations at Archer Daniels Midland Company, where she led a global operations team.

“Southwire’s strategic plan puts the company in an exciting growth trajectory – there is tremendous opportunity to make a significant impact as our nation and our world become even more electrified,” said Braker. “I look forward to learning more about the wire and cable industry, contributing to improvements in the manufacturing process and identifying meaningful ways to leverage my years of operational excellence to bring value and assist in accelerating growth.”

Six Sigma Racial Equity Institute opens applications for Green Belt certification program

The Six Sigma Racial Equity Institute (SSREI) opened applications for Cohort 4 of its Green Belt program. The SSREI is an innovative leadership program designed to upskill black and black Latina women to be complex problem solvers, building a talent pipeline through accredited Six Sigma Green Belt training and certification. SSREI founder, Joy E. Mason, was recognized in PEX Network’s list of the top 50 thought leaders in operational excellence for 2023.

The Six Sigma Green Belt Certification Program helps prepare participants for a deeper understanding of leadership strategies and Six Sigma. Taking part in the program provides an opportunity to gain the tools to be more effective in leadership roles, along with gaining the framework for tackling inequities in the workplace and in communities.

READ: PEX Guide: Lean Six Sigma Black Belt certifications explained

Digital transformation hampered by technical debt

Technical debt is the biggest barrier to digital transformation for many companies, according to new research from Red Hat. More than one in four (29 percent) of companies surveyed in Red Hat’s Global Customer Tech Trends report said that accumulated technical debt is the number one factor hindering their digital transformation. This was followed by skillset or talent gaps (25 percent) and manual processes or IT operations (21 percent). Notably, lack of funding and cost reduction mandates placed near the bottom of the list, economic uncertainties and tighter budgets notwithstanding.

With automation being such a prominent topic across many areas of IT, it’s no shock that companies are beginning to automate in many areas with security automation, cloud services automation and service delivery automation at the front of line when it comes to funding, the report stated.

READ: 10 digital transformation pitfalls and how to avoid them

Appian announces fourth quarter and full year 2023 financial results

Process automation software provider Appian released its financial results for the fourth quarter and full year ended December 31, 2023. Cloud subscription revenue was US $83.1 million, up 26 percent compared to the fourth quarter of 2022. Total subscriptions revenue, which includes sales of cloud subscriptions, on-premises term license subscriptions and maintenance and support, increased 24 percent year-over-year to $115.8 million. Total revenue was $145.3 million, up 16 percent compared to the fourth quarter of 2022. 

Cloud subscription revenue was $304.5 million for the full year 2023, up 29 percent compared to the full year 2022. Total subscriptions revenue increased 21 percent year-over-year to $412.3 million for the full year 2023. Total revenue was $545.4 million for the full year 2023, up 17 percent compared to the full year 2022.

“Appian delivered our plan in 2023 and reached two milestones. Full year revenue exceeded half a billion dollars, and we achieved the highest quarterly gross margin in our public history,” said Matt Calkins, CEO and founder of Appian.

ABB to acquire SEAM Group to drive electrification and operational excellence

ABB, a global technology leader in electrification and automation, has entered into an agreement to acquire SEAM Group, a global asset management company. By acquiring SEAM Group, ABB looks to strengthen its electrification service offering to meet the increasing industrial demands to modernize and optimize assets for safer, smarter and more sustainable operations, read a press release. The transaction is subject to regulatory approval and is expected to close in Q3 2024. Financial terms were not disclosed.

“For many industries, every minute of production time counts. Proactive asset management is now a priority for industrial companies to guarantee peak performance of electrical systems and overall operational efficiency, safety and sustainability,” commented Stuart Thompson, division president, ABB Electrification Service. “This acquisition is part of our ongoing strategy to create a new force in electrification service, broadening our offering and footprint in the US.”

SAP creates AI-focused end-to-end growth area

Global business process management (BPM) software leader SAP has created a new, end-to-end growth area focused on AI. Under the leadership of Dr. Philipp Herzig in the newly created role of chief artificial intelligence officer (CAIO), the new unit oversees the entire value chain for SAP Business AI, from product development and research through to customer implementation, the company stated.

Herzig’s team will collaborate with innovators across SAP to infuse AI into every part of the company’s portfolio with the aim of accelerating the pace at which customers can benefit from business AI solutions and services. “SAP’s increased focus on business AI marks the start of a completely new generation of enterprise innovation, and I’m honored to have the chance to help customers make the most of this unprecedented opportunity,” Herzig said.

Low-code firm Mendix appoints Raymond Kok as new CEO

Mendix, a Siemens business and leader in the low-code market, announced the appointment of Raymond Kok as CEO. Kok joins Mendix from Siemens Digital Industries Software, where he was a SVP for the platform development of Siemens Xcelerator. Over his 22-year tenure at Siemens, Kok played key leadership roles, supporting the software-as-a-service transition, leading the Industrial IoT platform business and its integration with digital manufacturing and establishing unified services for Siemens Xcelerator.

“The Mendix workforce is continually improving on the low-code platform for building impactful digital solutions,” Kok said. “Our customers use that platform to make better software, faster – turning their ideas into outcomes. I’m looking forward to seeing, and being a part of, how that vision evolves and expands.”

BP3 acquires darwinLabs to map business processes end-to-end

BP3 Global, a process-driven AI and business solutions company, announced the acquisition of darwinLabs, a provider of mission-critical applications. darwinLabs is recognized for its expertise in OutSystems, the low-code/no-code platform and application development platform. darwinLabs’ expertise spans financial services and real estate verticals. The deal empowers BP3 to address the full spectrum of end-to-end business process transformation while expanding BP3’s geographic reach, the firm said.

“We are excited to welcome darwinLabs into the BP3 family. At BP3 we believe that if you want to transform your business, you have to transform your processes into software. darwinLabs is in the business of building software that matters for their clients – and that is a perfect fit with what we aspire to do for our clients,” commented Scott Francis, CEO of BP3.

BST Global recognized for driving digital transformation in AEC industry

Enterprise resource planning (ERP) company BST Global received the 2024 Global Company of the Year Award by Frost & Sullivan. BST Global specializes in developing architecture, engineering, and consulting (AEC) industry software and offers a suite of project intelligence solutions designed to enhance project management, resource allocation and operational efficiency. The award recognizes a high degree of innovation with products and technologies, and the resulting leadership in terms of customer value and market penetration.

“BST Global stands out as a firm that identifies, anticipates and meets the unique needs of the AEC industry. More specifically, BST Global’s suite of software and services ushers AEC firms into the digital era by introducing them to AI, data-driven insights and collaboration tools,” commented Lynda Stadtmueller, SVP research at Frost & Sullivan.

Pegasystems intros Pega GenAI Blueprint to automate workflow app designs

Enterprise AI decisioning and workflow automation platform provider  Pegasystems introduced Pega GenAI Blueprint – a collaborative application that combines the power of generative AI with Pega’s industry best practices to turbocharge the app design process. Traditional design processes do not stimulate design thinking or drive stakeholder alignment, and while generative AI helps, most approaches focus solely on churning out software code instead of optimizing application workflows for efficiency or industry best practices, according to a press release.

Pega GenAI Blueprint empowers business leaders to transform app ideas into interactive “application blueprints” that are easily understood and collaborated on by all stakeholders, the firm stated. Benefits include agile, optimal workflow design and smoother team collaboration, it added.

PEX Report 2024 global state of process excellence

PEX Network's annual report reveals the current state and future trends of process excellence. Based on a study profiling hundreds of global process excellence leaders, the report provides insights on how to leverage innovation, generative AI, and process intelligence to achieve operational excellence, customer-centricity, and organizational growth. Download your copy of the PEX Report 2024 today and benchmark your process excellence journey against your peers.

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