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7/5 - System Documentation (Part 1) Business Models

Business model - simple, abstract representation of one or


Definition of Terms more business processes
Business process - a defined sequence of business activities
that use resources to transform specific inputs specific outputs
to achieve a business goal
Business analysis - the process of defining business process
requirements and evaluating potential improvements.
- involved ascertaining, documenting, and communicating
information about current and future business processes using
business process modeling and related tools
Business model - simple, abstract representation of one or
more business processes
- In other contexts, often used to describe the plan by which
a company generates revenue

Documentation
- explain how business processes and business systems work.
- A "tool for information transmission and communication. The Two Types of Business Models:
type and extent of documentation will depend on the nature
of the organization's products and processes." (ISO 9001:2008, Activity Models - describe sequence workflow in a business
International Standards Organization) process or processes

- includes: business process models, business rules, user To create an activity model, one must be able to describe:
manuals, training manuals, product specifications, software > Events that start, change or stop flow
manuals, schedules, organization charts, strategic plans > Activities and tasks
> Sequence of flow between tasks
Purpose of Documentation > Decision points that affect the flow
> Division of activity depending on organizational roles
Sarbanes–Oxley Act (SOX) requires management to assess
internal controls and auditors to evaluate the assessment Data Models - a graphic representation of the conceptual
used for systems development and changes. contents of databases between users and designers of
US Sec rules require "management to annually evaluate databases
whether the ICFR is effective at providing reasonable
assurance and to disclose its assessment to investors. Flowcharts
Management is responsible for maintaining evidential Flowcharts - a visualization of a process activity
matter, including documentation, to provide reasonable
support for its assessment. This evidence will also allow a third System Flowcharts - provides an overall view of a system
party, such as the company's external auditor, to consider the (inputs, activities, outputs, physical computer media used)
work performed by management" [SEC Interpretive - shows the relationship between computer programs, the
Guidance 33-8810, issued June 27, 2007]. files they use, and the outputs they produce.
Basic Elements/Symbols:
1. Internal audit to support management assertions
2. External auditors to evaluate management assertions on
internal control over financial reporting
3. Training - user guides, employee manuals, operating
instructions
4. Accountability - checklists, delegations/assignments of
responsibility
5. Process improvement
Effectiveness - output
Efficiency - fewer inputs and processes An example of a purchase system flowchart:
Internal control
Compliance
Program Flowcharts - simplified, basic set of symbols to
represent a business process activity The basic symbol set used in BPMN:
-high level documentation that does not provide all
operation details that are sometime needed
Symbol set used for program flowcharts:

Examples:

Note these are only the basic symbols, there is an extensive


list of other symbols based on the standards set and
maintained by the Object Management Group. For more
information, you may refer to the official www.bpmn.org
or https://www.lucidchart.com/pages/bpmn-symbols-
explained.

Examples of the BPMN:

Document Flowcharts - present flow of documents through an


entity, often describe the areas within the entity with
responsibilty for particular tasks.

Example of a document flowchart:

Business Process Model and Notation (BPMN)

Business Process Model and Notation (BPMN) - a standards


based approach to graphical representation for specifying
business processes along with illustration of other tiers of the
system