What is meant by Exception Management?
The term "exception management" refers to the processes and procedures implemented to identify, analyze, and handle deviations or exceptions from normal operations or expectations. Exception management is crucial in various industries, especially in finance, logistics, and IT, to minimize risks and enhance efficiency.
Typical software functions in the area of "exception management":
- Event Detection: Automated identification of exceptions that deviate from predefined rules or parameters.
- Event Tracking: Logging and tracking exceptions to analyze their causes and impacts.
- Notifications and Alerts: Automated alerts to relevant stakeholders to raise awareness of critical exceptions.
- Analytical Reporting: Generating reports that identify and analyze trends and patterns in exceptions.
- Workflow Integration: Automating processes for handling exceptions within existing workflows.
- Management Dashboards: Visualizing exception data and their status in a clear dashboard.
Examples of "exception management":
- Fraud Alert: Notification of suspected fraudulent activity in a financial system.
- Delivery Delay: Alert when a delivery does not arrive as scheduled, requiring corrective actions.
- Quality Deviation: Report indicating that a product does not meet established quality standards.
- Budget Overrun: Warning when a project's expenditures exceed planned budgets.
- Security Incident: Notification of security incidents requiring immediate attention.