Process Mining: What It Is and How to Get Started
Data-driven process analysis explained - tools, costs and when it's worth it.
Process mining is one of the most exciting trends in process optimization. But what's behind it? Is it just another buzzword - or a real game-changer? In this article, we explain what process mining is, how it works, and whether it's relevant for your business.
What Is Process Mining?
Process mining is a technology that automatically analyzes how processes actually run in your organization - based on data from your IT systems.
The idea:Your software systems (ERP, CRM, etc.) log every action. Process mining uses these logs to reconstruct and visualize the actual process flow.
Traditional process management:- You ask employees: "How does the process work?"
- You get the theory (or what people think they do)
- The documented process ≠ the actual process
- You analyze what actually happened
- Based on hard data
- The real process becomes visible
How Does Process Mining Work?
The Data Foundation: Event Logs
Every IT system generates logs. An example from an ERP:
Timestamp Case ID Activity User 2024-01-15 09:00:00 PO-1234 Order created Miller 2024-01-15 09:15:00 PO-1234 Approval requested Miller 2024-01-15 14:30:00 PO-1234 Approval granted Schmidt 2024-01-16 10:00:00 PO-1234 Order sent System 2024-01-18 08:00:00 PO-1234 Goods received Weber 2024-01-18 09:30:00 PO-1234 Invoice booked Fischer
The Algorithm Reconstructs the Process
From thousands of such entries, process mining identifies:
Visualization
The result is a process graph:
[Create Order]
|
[Approval needed?]
/ \
Yes No
| |
[Request [Send
Approval] Directly]
| |
[Approval |
Granted] |
| |
[Send Order] <------
|
[Goods Receipt]
|
[Book Invoice]
Plus: Each arrow shows frequency and cycle time.
The Three Types of Process Mining
1. Discovery
Question: "How does the process really work?"The algorithm reconstructs the process from the data - without prior knowledge.
Benefits:- Make process visible
- Discover unknown variants
- Compare reality vs. documentation
2. Conformance Checking
Question: "Does the process follow the rules?"The actual process is compared to the target process.
Benefits:- Find compliance violations
- Identify process deviations
- Audit preparation
3. Enhancement
Question: "How can the process be improved?"Use insights from mining to optimize.
Benefits:- Eliminate bottlenecks
- Find automation potential
- Reduce process times
What Process Mining Reveals
Typical Insights
Variants:"We have 47 different variants of the ordering process. The top 3 cover 80% - but what about the other 44?"
Loops:"23% of invoices are reviewed 3 or more times before approval."
Wait times:"Between approval request and approval, an average of 2.3 days passes. For Manager X, it's 5.7 days."
Exceptions:"15% of orders skip approval entirely."
Automation potential:"40% of all activities are pure status changes - automatable."
Example: Order-to-Cash Process
Expected process:
Order → Delivery → Invoice → Payment
(7 days)
Reality according to process mining:
- 35% follow the standard
- 25% have 2+ complaint loops
- 20% have invoice corrections
- 10% have dunning runs
- 10% have other deviations
Average cycle time: 23 days (not 7)
Process Mining Tools
Enterprise Solutions
| Tool | Price | Strengths |
|---|---|---|
| Celonis | From $50,000/year | Market leader, best analytics |
| UiPath Process Mining | From $20,000/year | RPA integration |
| SAP Signavio | Included in S/4HANA | SAP-native |
| Microsoft Process Advisor | In Power Platform | Microsoft ecosystem |
Mid-Market Solutions
| Tool | Price | Strengths |
|---|---|---|
| Minit (by Microsoft) | From $1,000/month | Good value |
| Apromore | Open Source + Enterprise | Free entry |
| ARIS Process Mining | From $500/month | Process modeling included |
| Lana Labs | On request | German solution |
Open Source / Free
| Tool | Cost | For |
|---|---|---|
| ProM | Free | Academic, research |
| Apromore CE | Free | Small datasets |
| PM4Py | Free | Python developers |
Is Process Mining Relevant for You?
Yes, if:
- You have ERP/CRM systems with transaction data
- You have >1,000 process instances per month
- Processes span multiple systems/departments
- You suspect inefficiencies but can't locate them
- Compliance/audit is a concern
- You're planning RPA/automation and want to know where
Probably not, if:
- You have few, simple processes
- Your systems don't generate usable logs
- Fewer than 500 process instances per year
- Processes are already well documented and controlled
- No budget for enterprise tools
How to Get Started with Process Mining
Phase 1: Proof of Concept (4-8 weeks)
Step 1: Select a processIdeal candidates:
- High transaction volumes
- Suspected inefficiency
- Multiple participants/systems
- Good data availability
Typical sources:
- SAP: Tables BKPF, VBAK, EKKO, etc.
- Salesforce: Opportunities, Cases
- ServiceNow: Incidents, Changes
- Custom: Database logs
Required fields:
- Case ID (unique process instance)
- Activity (what happens)
- Timestamp (when)
- Optional: User, department, cost
Test with Apromore (free):
Phase 2: Pilot Project (2-3 months)
After successful PoC:Phase 3: Scaling
- Connect additional processes
- Set up continuous monitoring
- RPA/automation based on insights
Process Mining + Automation
The Connection
Process mining shows WHERE to automate.
Automation implements it.
[Process Mining]
|
"40% of activities are manual data entry"
"Every 5th order requires manual rework"
"Approval process has 2 days wait time"
|
[Automation Measures]
|
- API integration instead of copy-paste
- Validation at entry, not at the end
- Automatic approval below threshold
|
[Process Mining Again]
|
Measure improvement
Example
Process mining finds:"80% of invoices under $1,000 are approved without changes. Average approval wait time: 1.5 days."
Automation solution:Invoices < $1,000 from known vendors → Automatic approval
Process mining after automation:"Average approval time for automated invoices: 2 minutes. Manual invoices: Still 1.5 days."
Cost-Benefit Analysis
Investment
Enterprise (Celonis/UiPath):- License: $50,000-200,000/year
- Implementation: $50,000-150,000
- Maintenance: 10-20% of license
- License: $10,000-50,000/year
- Implementation: $10,000-30,000
- License: $0-5,000
- Internal effort: 40-80 hours
Typical ROI
Experience values:- 15-30% process time reduction
- 10-20% cost reduction
- 50%+ fewer compliance violations
- 3-6 months to break-even
Process analyzed: Procurement
Volume: 10,000 orders/year
Cost per order: $50
Process mining investment: $30,000/year
Improvements found:
- 20% less rework: $15/order
- 10% faster cycle time: $5/order
- Automation potential: $10/order
Savings: $30 x 10,000 = $300,000/year
ROI: 900%
Frequently Asked Questions
What data do I need?Minimum: Process ID, activity, timestamp. Better: + User, cost, attributes.
How many data points do I need?Recommended: 1,000+ process instances for meaningful analysis.
How long does a project take?PoC: 4-8 weeks. Full project: 3-6 months.
Do I need developers?Helpful for data access. The analysis itself is usually no-code.
GDPR concerns?Yes, relevant. Anonymize/pseudonymize user data.
Conclusion
Process mining is more than a buzzword. It's the data-driven answer to "How do our processes really work?"
For large enterprises: Almost indispensable. The insights are too valuable. For mid-sized companies: Selectively useful. Yes for complex, high-volume processes. For small businesses: Usually overkill. Classic process mapping often suffices.The best entry point: Free PoC with Apromore and a clearly defined process.
Want to know if process mining makes sense for you? We analyze your situation and show you where data-driven process analysis delivers the greatest value.