What is Business Activity Monitoring?

In the field of Application Performance Management, Business Activity Monitoring (a.k.a. BAM) is the cherry on the pie. It is the ultimate grip and control an organisation, and in particular the business, can have on their value chains.

BAM builds upon the solid monitoring foundation you already have where each individual end user can be tracked and traced across the complete value chain. The focus here is the need to apply diagnostic functionality in case the root cause of performance and instability has to be found quickly.

BAM and Gartner

In 2002 Gartner introduced Business Activity Monitoring (source: Wiki):

“Business activity monitoring” (BAM) is Gartner’s term defining how we can provide real-time access to critical business performance indicators to improve the speed and effectiveness of business operations. Unlike traditional real-time monitoring, BAM draws its information from multiple application systems and other internal and external (interenterprise) sources, enabling a broader and richer view of business activities. As such, BAM will be a natural extension of the investments that enterprises are making in application integration.”

Business Activity Monitoring Dashboard
Business Activity Monitoring vs other BI related activities

BAM en Business Intelligence

BAM is a real-time, even-driven extension to Business Intelligence (BI). The extension is subtile, but powerful. BI products have the reputation to only process historical data which are derived from data warehouses, and the data could not be modified easily.

In contrary to BAM technology, which provides real-time business analytics where the data is derived from transactional data sources like web services, message queues etc. There is a clear bridge between ICT and the Business; the Business information is being fed by the underlying technical components.

Harpal Kochar writes in his article “Business Activity Monitoring and Business Intelligence ” about the relation of and the difference between BAM en Business Intelligence.