
Market Update: Match BPMS Vendors to Your Usage Scenarios
VIEW SUMMARY
This research provides an updated view of the BPMS market and reflects recent changes and trends. It also categorizes BPMS providers based on their focus on four BPMS usage scenarios.

Overview
Key Findings
- Although the BPMS market is mainstream, the growth rate has slowed, largely due to worldwide economic pressure and the maturing of the U.S. market segment.
- In the past two years, significant changes in the BPMS marketplace have altered the market landscape. These include growing interest in open-source BPM-enabling technologies, market consolidation driven by several acquisitions, and the advent of next-generation intelligent BPMSs (iBPMSs).
- We expect the market to continue growing through 2014, but providers will increasingly specialize their products and marketing based on one or more market segments.
- BPMSs work best when matched to the needs of specific usage scenarios. The four usage scenarios Gartner originally defined for BPMSs provide a useful, high-level means of categorizing vendors to customer needs.
Recommendations
BPI leaders, senior IT executives, solution architects and business process owners:
- Leverage Gartner's BPM usage scenarios to help define your BPMS/iBPMS needs.
- Shortlist for further evaluation the providers that excel in your usage scenarios.
- Resist defining an "enterprise standard" BPMS. Long-running processes exhibit a wide variety of resource interaction patterns; this variety and complexity is better addressed with different BPMSs.
- Those selecting a BPMS in the near term should understand the IBO usage scenario before deciding on a BPMS product. If IBO might be applicable during the life of the BPM solution, ask potential providers how and when their product road maps will support the IBO use case, and then decide how crucial a factor IBO support will be to your final decision.
Table of Contents
Analysis
Introduction
This research provides an updated view of the business process management suite (BPMS) market landscape, and categorizes BPMS providers based on their focus on four BPMS usage scenarios. The BPMS market is mainstream and experiencing continued, healthy growth. Total revenue in the BPMS software market now stands at more than $2 billion, and is expected to grow at a compound annual growth rate of 10% over the next five years (see Figure 1 and Note 1). Moreover, the market continues to attract new entrants. However, since our 2010 BPMS market analysis, significant changes have occurred that have collectively altered the market landscape. This research shares our perspectives on those changes.

Source: Gartner (December 2012)
For business process improvement leaders, business process directors, application managers, solution architects and CIOs involved in the selection of BPMS providers, this research provides input into their evaluations. This analysis will help clients develop a better shortlist of providers that most closely match their usage scenarios today and in the next few years. Clients should not be afraid to pick different BPMSs for different problems, even though this means some technical skills will be split or duplicated across different projects and BPMS implementations; the business process management (BPM) discipline skills will largely be the same for any choice, including multiple choices.
BPMS Definition and Business Purpose
A BPMS is an integrated collection of software technologies designed to support the life cycle of process improvement — especially when frequent changes are desired (such as to sustain a differentiated process, or to iteratively respond to business volatility) — and to enable continuous improvement. The technologies in a BPMS support process discovery, analysis, design, development, execution, monitoring and optimization. BPMSs are used for designing, implementing and orchestrating composite processes that include interactions among people, systems, information and policies/rules. Composite processes with these characteristics are long-running (see Note 2) and are most appropriate for a BPMS implementation.
A BPMS is also meant to empower business roles to participate more fully in the entire life cycle of process improvement and innovation, exposing visual models to enable business and IT professionals to better design and maintain the composite process solution collaboratively than is possible in traditional coded applications. Market-leading BPMSs support a variety of process styles, ranging from highly structured to highly unstructured.
The BPMS and its resulting process composition expose explicit process models (see Note 3), which are used by business and IT professionals to directly monitor and adjust the process — and the work flowing through the process. The models in a BPMS-based solution address business managers' desire to closely track and gain hands-on control of their operational processes to better manage work outcomes. (For more on the definition of a BPMS, see "Magic Quadrant for Business Process Management Suites" and "Selection Criteria Details for Business Process Management Suites, 2009" [Note: These documents have been archived; some of their content may not reflect current conditions].) A BPMS/iBPMS is the best technology for enhancing the visibility, accountability and adaptability of the processes it orchestrates. Thus, it is the best technology for supporting usage scenarios that fall within the BPM "sweet spot" — that is, usage scenarios that reflect a strong desire among business roles to directly change a process design, and to change the behavior of in-flight work in the process (see "Two Factors That Help Identify the BPM 'Sweet Spot'"). IBO also reflects businesspeople's desire to be involved throughout the process life cycle. A BPMS/iBPMS also becomes more important as a solution platform as an organization advances in BPM maturity (see "ITScore for Business Process Management, 2012").
Recent Changes in the BPMS Market
Although the BPMS mainstream market continues to grow, it is maturing and changing. According to Gartner market research, the market grew at double-digit annual percentage rates for every year between 2006 and 2010 before slowing to a single-digit rate of 9.7% in 2011 (see "Market Share: All Software Markets, Worldwide, 2011"). This slightly slower growth can be attributed to economic conditions and a maturing market, as well as to consolidation driven by recent acquisitions.
Several significant changes have occurred in the BPMS market during the past two years. For example, Adobe, once a leader in this market, made a major step away from it in late 2011 when it announced that it would ramp down its investment in its LiveCycle BPMS and restrict its focus to the public sector and financial services segments (see "Reassess Adobe's BPM and CCA Platforms as Its Strategy Has Shifted" [Note: This document has been archived; some of its content may not reflect current conditions]). Progress Software made a similar shift in April 2012 with its announced plan to divest Savvion, a Leader in Gartner's 2010 BPMS Magic Quadrant (see "Plans to Focus on aPaaS Market Signal Challenges Ahead for Progress"). As public companies in a market full of privately held companies, these exits have raised red flags for customers and prospects, and will impact overall market revenue growth. Some of this installed base may be replaced in the two years following these vendors' announcements.
Other significant changes include several acquisitions of BPMS vendors or products:
- Enterprise content management (ECM) vendor OpenText acquired two Microsoft-centric BPMS providers: Metastorm in February 2011 (see "OpenText Buys Metastorm to Compete in Emerging Case Management Market") and Global 360 in July 2011 (see "OpenText/Global 360 Deal Further Consolidates Microsoft BPMS Segment").
- Lexmark International/Perceptive Software acquired Netherlands-based BPMS vendor Pallas Athena in October 2011.1
- Business process automation vendor Kofax purchased BPMS vendor Singularity in December 2011 (see "Kofax-Singularity Deal Reinforces Content Management Synergy With BPM").
- Open-source software distributor Red Hat acquired a BPMS from Barcelona, Spain-based Polymita Technologies in August 2012.2
- In October 2012, Trilogy Enterprises announced that it would acquire four Progress Software technologies, each of which was a strong contender in its specialty: Savvion in BPM; Sonic ESB in service-oriented architecture (SOA) and application integration; Actional in SOA governance; and DataXtend Semantic Integrator (DXSI) in semantic transformation. Trilogy plans to combine the products, market them through a new, wholly owned company named Aurea Software, and compete in the emerging intelligent business operations (IBO) market segment (see "Trilogy Uses Progress Deal to Create Intelligent Business Operations Firm").
Despite consolidation pressures, we also continue to see many new BPMS market entrants, many of which are reflected in this research.
Another significant trend has been the growing interest in open-source, BPM-enabling technologies. For example, BonitaSoft, which was founded just three years ago, has already reached more than 1.5 million downloads of its open-source BPMS (see "BPM Vendor Insights: BonitaSoft's Bonita Open Solution BPM Suite"). In addition, the above-mentioned Polymita acquisition highlights Red Hat's recent acceleration of its move into the open-source BPMS market with technology that compliments jBPM. Also, Alfresco, an open-source ECM vendor, has a project called Activiti.org, which is an open-source workflow engine. We have seen an increase in our BPM client inquiries about these market developments, including the Activiti.org open-source project.3
Our research recently has highlighted the advent of the next generation of BPMSs, which we call iBPMSs (see "BPM Suites Evolve Into Intelligent BPM Suites"). The iBPMS is designed to address a key challenge in today's business environment: Business managers and knowledge workers are being asked to make faster and better decisions, and to "do more with less" in an ever-changing business context; however, they cannot do so without improved visibility into their operations and environments. To meet this challenge, leading organizations are seeking to make their business operations more intelligent by integrating analytics into their processes and the applications that enable them. Gartner has identified this trend as a new, fifth usage scenario for a BPMS, which we call IBO (see Note 4 and "The Trend Toward Intelligent Business Operations").
A number of vendors have updated their products to become iBPMSs. An iBPMS expands traditional BPMS capabilities by adding new functionality, such as near-real-time process intelligence, advanced and embedded analytics, complex-event processing (CEP), support for social collaboration and support for mobility.
IBO represents a significant shift in BPM tool capabilities, and the "Magic Quadrant for Intelligent Business Process Management Suites" evaluates vendors on the new capabilities required to satisfy the IBO use case. Our research indicates that the IBO use case represents the future of BPM tools and is experiencing rapid adoption. Although the focus of this research is on vendor support for our original four BPMS usage scenarios, we believe all organizations, not just early adopters, need to consider the impact of IBO on their BPM plans. Clients making a BPMS purchasing decision in the near term should examine the new IBO usage scenario before deciding on a product. If IBO might be applicable during the life of the BPM solution, then clients should ask potential providers how and when their products will support the IBO use case. Then clients can decide how crucial a factor IBO support will be to their final decision.
Four Primary Usage Scenarios for BPMSs
BPMSs work best when matched to the needs of specific usage scenarios. The primary usage scenarios for BPMSs continue to be those that Gartner first defined in "The Top Four Usage Scenarios for a BPMS." (All four of these scenarios are defined from the perspective of BPMS usage; however, they are also well-suited as common scenarios for applying BPM disciplines to improve operational performance results.) Briefly, they are:
Scenario 1. Specific Process-Based Solutions: In this situation, a business manager recognizes the need to coordinate a long-running process, and needs to improve business performance through broader and better coordination of a mission-critical, industry-specific or company-specific process. Solutions to these process domains are often unavailable as commercial packaged applications because the area is often a differentiating or innovative process. However, since buyers have some existing software assets for the process domain, they choose to implement an end-to-end solution using the BPMS as a composition platform, which is often complemented by a process template (see Note 5) from the provider. We see this pattern often in governments, charitable organizations, education and utilities. Examples of processes in this pattern are grant and charitable funds management, research and prevention of disease, and student life cycle management.
Key BPMS features needed to support this usage scenario include:
- Strong workflow to coordinate a balance of human and system interactions
- Good user interface (UI) generation capabilities to unify some of the existing software applications into an end-to-end process
- Support for simple rules to medium-complex business rules
- Out-of-the-box process and task monitoring and reporting
Scenario 2. Redesign for a Process-Based SOA: In this scenario, the IT organization is promoting BPM to the business. Often, we find that the IT organization has been unable to articulate the business value of the SOA investment, and it recognizes that BPM-enabled business agility can be dramatically enhanced by an SOA. BPM's enterprise process perspective can help rationalize the application portfolio, prioritize business functionality that should be redesigned and modernized using SOA, and align the business value of agile processes with the software services used to execute them. The BPMS-orchestrated process will consume the SOA services to create a composite process solution.
Key BPMS features needed to support this usage scenario include:
- Strong support for composing SOA-designed Web services into the process orchestration
- Strong integration capabilities to link process and SOA services, and other software assets
- A strong registry/repository to hold metadata about all process and service artifacts to enable reuse
- A strong workflow engine to coordinate human and system interactions and service orchestration
Scenario 3. Continuous Process Improvement (CPI): In this pattern, the business (rather than the IT organization) has pursued process thinking for a while and has advanced to a CPI mentality. CPI stems from well-understood process methodologies, such as lean and Six Sigma, which have been extensively adopted by manufacturing industries for years. However, in the past decade, many companies in industries such as financial services, healthcare and telecommunications have brought their BPM programs to a CPI level, often adopting Lean Six Sigma as a methodology.
Key BPMS features needed to support this usage scenario include:
- Various features to enable business and IT roles to share responsibility for easily making changes to process solutions
- Strong workflow, task monitoring, key performance indicator (KPI) dashboards and reporting, with the ability to dynamically adjust in-flight items
- A strong registry/repository to hold metadata about all process and service artifacts to enable reuse
Scenario 4. Business Transformation: In this scenario, senior business executives want to make a "game changing" play by rethinking one or more business processes. We see this scenario in organizations worldwide that are strained by significant industry changes brought about by regulatory changes and the global economic recession. BPM technology buyers involved in such transformative initiatives are seeking to redefine their businesses for survival. This scenario is, in many ways, a culmination of the previous three. In recent years, we have seen this BPM scenario in industries such as financial services, real estate development and automobile manufacturing. Organizations pursuing this usage scenario may describe it as "business process re-engineering" or "business transformation."
Key BPMS features needed to support this usage scenario include:
- Strong ease of use and accessibility to sophisticated features for business and IT roles (as appropriate)
- Strong modeling for multiple aspects of the process, such as workflow, decisions, milestones, rules, data mapping and the organizational model
- A strong registry/repository to hold metadata about all process and service artifacts to enable reuse
- Strong dashboards and business activity monitoring (BAM) capabilities to enable KPI, workflow, and task monitoring and reporting, with the ability to dynamically adjust in-flight items to achieve desired outcomes
In addition to these four scenarios, there are other usage scenarios for BPM-enabling technology, including BPM platform as a service (bpmPaaS; see "Platform as a Service: Definition, Taxonomy and Vendor Landscape, 2012"), case management (see "The Case for Case Management Solutions") and IBO.4 However, these additional usage scenarios are not the focus of this research, which concentrates on the primary, mainstream BPMS segment.
Mapping BPMS Vendors to the Four Usage Scenarios
One BPMS usually does not address all usage scenarios equally well. A single "enterprise standard" for BPMS often is not a good approach. Long-running processes, which are most suitable for BPMS implementations, exhibit a wide variety of resource interaction patterns. The variety and complexity of these interactions are often better addressed with different BPMSs. Therefore, organizations in the market for a BPMS should evaluate vendors whose products are proven for their organizations' usage scenarios.
With that need in mind, Table 1 provides a fairly comprehensive list of BPMS providers, and categorizes them based on their focus on the four common usage scenarios described above.
Our criteria for including vendors in this research are:
- The vendor is focused on at least two of our four usage scenarios for BPMS. We restrict the table to vendors that clearly focus on at least two scenarios because every BPMS can address at least one, and such a list would be less valuable to buyers.
- By "focus," we mean:
- The vendor markets itself as addressing these usage scenarios, and we hear from clients that the vendor presents its product as appropriate for these scenarios.
- In our ongoing research, we see clients implementing the product for these usage scenarios.
- In our ongoing research, we see clients evaluating, considering, shortlisting or implementing the vendor's BPMS product for these usage scenarios.
- Gartner has sufficient knowledge and understanding about the vendor to provide commentary on the vendor's BPMS.
- The vendor sells a BPMS as an on-premises, licensed product (bpmPaaS products are not included in this analysis).
- The vendor offers a general-purpose BPMS, not an industry-specialized product.
Listing of Vendors and Relevant Usage Scenarios
Table 1 provides an overview of BPMS vendors that met the inclusion criteria above. Some of the products are ones that we now consider to be iBPMSs (see "Magic Quadrant for Intelligent Business Process Management Suites").
For each vendor, the table:
- Shows the relevant BPMS product name
- Indicates which of the four usage scenarios are focus areas for the vendor, based on our exposure to end-user buyers
- Provides additional comments on each product, based on the current version when this research and analysis was conducted (4Q12)
|
Vendor (Website), Product Name |
Usage Scenarios |
Comments |
|||
|---|---|---|---|---|---|
|
Specific Process Solution |
Redesign for a Process-Based SOA |
CPI |
Transform the Business |
||
|
Active Endpoints |
✔ |
✔ |
|
||
|
AgilePoint |
✔ |
✔ |
✔ |
|
|
|
Appian |
✔ |
✔ |
✔ |
✔ |
|
|
Aquima |
✔ |
✔ |
|
||
|
Be Informed |
✔ |
✔ |
|
||
|
Bizagi |
✔ |
✔ |
|
||
|
Bosch Software Innovations |
✔ |
✔ |
✔ |
|
|
|
Cordys |
✔ |
✔ |
✔ |
✔ |
|
|
DST Systems |
✔ |
✔ |
|
||
|
Fujitsu |
✔ |
✔ |
✔ |
✔ |
|
|
HandySoft |
✔ |
✔ |
|
||
|
IBM |
✔ |
✔ |
✔ |
✔ |
|
|
Intalio |
✔ |
✔ |
✔ |
|
|
|
Isis Papyrus Software |
✔ |
✔ |
|
||
|
K2 |
✔ |
✔ |
✔ |
|
|
|
Kofax |
✔ |
✔ |
|
||
|
Metasonic |
✔ |
✔ |
|
||
|
Newgen Software Technologies |
✔ |
✔ |
|
||
|
OpenText |
✔ |
✔ |
✔ |
✔ |
|
|
OpenText |
✔ |
✔ |
|
||
|
Oracle |
✔ |
✔ |
✔ |
✔ |
|
|
Pegasystems |
✔ |
✔ |
✔ |
✔ |
|
|
Perceptive Software |
✔ |
✔ |
|
||
|
PNMsoft |
✔ |
✔ |
|
||
|
Red Hat |
✔ |
✔ |
|
||
|
SAP |
✔ |
✔ |
|
||
|
Tibco Software |
✔ |
✔ |
✔ |
✔ |
|
|
Trilogy Enterprises/ |
✔ |
✔ |
✔ |
|
|
|
Software AG |
✔ |
✔ |
✔ |
✔ |
|
|
Ultimus |
✔ |
✔ |
|
||
|
USoft |
✔ |
✔ |
|
||
|
Whitestein |
✔ |
✔ |
|
||
|
XMPro |
✔ |
✔ |
|
||
Source: Gartner (December 2012)
Other Vendors Considered
The following BPMS vendors were considered for, but not included in, Table 1 because they did not meet all the inclusion criteria:
- Adeptia
- Appway
- Apriso
- AuraPortal
- BonitaSoft
- BP Logix
- Consilience International
- EMC
- East-Gate
- iActive
- MicroPact
- Northrop Grumman
- OpTier
- Provenir
- SunGard
- Tedial
- Resultmaker
- Vitria
Conclusion and Recommendations
Gartner believes that there are currently more general-purpose BPMS vendors than this market can reasonably support. Buyers should anticipate that the market will eventually fragment as providers increasingly specialize their products and marketing based on one or more market segments. The market segments might be defined by usage scenario, geography and industry or cross-industry solution area. Buyers should evaluate the evolutionary path of providers of interest (see "Signs That a BPMS Vendor Is Following One or More Technology Evolutionary Paths").
Other recommendations for BPMS buyers include the following:
- Leverage Gartner's BPMS usage scenarios to help define your BPMS needs.
- Shortlist for further evaluation the BPMS providers that focus on your usage scenarios, and use this research to accelerate your efforts.
- Recognize that adopting a single "enterprise standard" for BPMS often is not a good approach, and plan on having different BPMSs to support different usage scenarios.
- If you are making a BPMS purchasing decision in the near term, examine the new IBO usage scenario before deciding on a product. If IBO might be applicable during the life of the BPM solution, ask potential providers how and when their product road maps will support the IBO use case, and then decide how crucial a factor IBO support will be to your final decision.
Evidence
1 See "Lexmark Acquires Pallas Athena," 18 October 2011.
2 See "Red Hat Acquires BPM Technology From Polymita," 28 August 2012.
3 Open-source inquiry trend data.
4 For a description of the IBO usage scenario and our evaluation of iBPMS providers, see "The Trend Toward Intelligent Business Operations" and "Magic Quadrant for Intelligent Business Process Management Suites."
These Gartner market share estimates and forecasts include the sum of BPMS-related revenue from vendors that sell software in this market. This includes revenue generated from appliances, new licenses, updates, subscriptions and hosting, technical support, and maintenance. Professional services revenue and hardware revenue are not included. For more information, see "Forecast: Enterprise Software Markets, Worldwide, 2011-2016, 3Q12 Update" and "Market Share: All Software Markets, Worldwide, 2011."
A "long-running process" is any process in which it takes at least one hour, and usually much longer, to settle the work item. It takes longer because there are human-performed steps. Our "long running" characterization reflects a shift in focus in BPM on the amount of work to be managed. For example, it takes longer than an hour to decide whether to pay an insurance claim, and how much. For years, the automation of work has focused on "transaction processing" and shortened the unit of work managed to the payment transaction. If the primary management concerns are scaling the business volumes and consistent, efficient handling of the transaction, then online transaction processing applications work very well. However, in a process-centric organization, management is concerned with coordinating all the information-gathering efforts and decision-making steps that lead up to the decision to pay or not. Thus, the unit of work to be managed is the process and is longer-running.
Explicit processes are visible, usually via nontext models, and are independent of the physical resources used in their execution. For years, explicit process models have been used as design aids, as end-user training tools and as part of operations manuals. (Business process analysis tools are a good example.) However, a BPMS takes explicit process management to a higher level of value; its explicit process model is actually metadata that is associated with physical resources at runtime. In this way, the model is not just static documentation; it is directly executable. At runtime, the model is interpreted and bound to the referenced physical resources. This approach keeps the model synchronized with the actual execution of work. In market-leading BPMSs, models are intuitive (understandable by business and IT stakeholders), real (reflecting the actual processes in play) and active (implemented directly from process metadata for easier manipulation).
For more information, see "Magic Quadrant for Intelligent Business Process Management Suites."
Process templates are prebuilt solution assets, based on BPM platforms, that support changes to business processes without application customization. Like commercial applications, process templates are immediately deployable, but most customers will tailor them to meet their unique needs.
With process templates, there is no application (in a traditional sense) of a precompiled set of code. Process templates don't result in customized applications because they are based on metadata and a model-driven BPM platform. The metadata artifacts in a process template typically include process flow definitions, rule sets, forms, organizational structures and KPIs. The execution engine in the BPM platform executes the processes defined by the metadata artifacts (see "What Types of Model-Driven Applications Are Most Appropriate for a High Pace of Process Change?"). Process templates dynamically compose process-centric applications because the platform selects the services and objects that need to be executed based on the metadata model. Ideally, this selection would be enabled through late binding.

