Abstract

Even though the extremely uncertain current global business environment requires organizations to change their business processes and organizational structures to adapt to their extremely uncertain and complex environments, existing methodology and system cannot support this problem. This paper presents a comprehensive simulation and redesign system to simulate business processes and organizational structure simultaneously and derive the most process-oriented organizational structure efficiently. The methodology and system suggested in this study can predict the effects of changing business processes and organizational structures through the simulation and derive appropriate and practical organizational structures that execute current processes efficiently through the genetic algorithm. Existing business process researches have the limitations that they rarely have considered the effects of organizational structure on the performance, and this study have outstanding academic contribution in solving the problem systematically using simulation and optimization techniques.

Highlights

  • Many organizations face a complex and dynamically changing environment because of globalization, frequently changing markets, and more intense competition

  • Researchers indicate that the main reason for the failure of existing business process re-engineering (BPR) or process innovation (PI) projects is that only business processes have been analyzed without considering other organizational factors, such as the organizational structure, even though these factors significantly affect business process execution and performance [1], [4], [9]–[15]

  • Through the system presented in this study, many researchers and enterprises could predict the effect of changes in business processes and organizational structures in advance, find the organizational structure that is suitable for current business processes

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Summary

INTRODUCTION

Many organizations face a complex and dynamically changing environment because of globalization, frequently changing markets, and more intense competition. Researchers indicate that the main reason for the failure of existing BPR or PI projects is that only business processes have been analyzed without considering other organizational factors, such as the organizational structure, even though these factors significantly affect business process execution and performance [1], [4], [9]–[15]. Through the system presented in this study, many researchers and enterprises could predict the effect of changes in business processes and organizational structures in advance, find the organizational structure that is suitable for current business processes. This remainder of this paper is organized as follows.

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