Abstract
Measuring the performance of business processes has become a central issue in both academia and business, since organizations are challenged to achieve effective and efficient results. Applying performance measurement models to this purpose ensures alignment with a business strategy, which implies that the choice of performance indicators is organization-dependent. Nonetheless, such measurement models generally suffer from a lack of guidance regarding the performance indicators that exist and how they can be concretized in practice. To fill this gap, we conducted a structured literature review to find patterns or trends in the research on business process performance measurement. The study also documents an extended list of 140 process-related performance indicators in a systematic manner by further categorizing them into 11 performance perspectives in order to gain a holistic view. Managers and scholars can consult the provided list to choose the indicators that are of interest to them, considering each perspective. The structured literature review concludes with avenues for further research.
Highlights
Since organizations endeavor to measure what they manage, performance measurement is a central issue in both the literature and in practice (Heckl and Moormann 2010; Neely 2005; Richard et al 2009)
Based on a random search, we looked for two Balanced Scorecard (BSC) variants in the Web of Science that did not fit the search strategy of this structured literature review: one that did not fit the search term of “business process*” (Hubbard 2009) and another that did not fit any of the performance-related search terms of “performance indicator*”, “performance metric*” or “performance measur*” (Bronzo et al 2013)
Given the perceived need of managers to measure their business and the wide variety of performance indicators, this structured literature review has presented the status of the research on business process performance measurement
Summary
Since organizations endeavor to measure what they manage, performance measurement is a central issue in both the literature and in practice (Heckl and Moormann 2010; Neely 2005; Richard et al 2009). These ‘chains of events, activities and decisions’ are called processes” An organization can do more with its current resources by boosting the effectiveness and efficiency of its way of working (i.e., its business processes) (Sullivan 2001). In this regard, academic research suggests a strong link between business process performance and organizational performance, either in the sense of a causal relationship (Melville et al 2004; Smith and Reece 1999) or as distinctive indicators that co-exist, as in the BSC (Kaplan and Norton 1996, 2001)
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