Core Business Process Management and Company Performance

Abstract

This article deals with the management of business processes activities with an emphasis on core processes as well as their influence on company performance. Article focuses on how core process management, which encompasses the activities of planning, organizing, leading, and controlling, influences the performance of a company. We designed a model of the relationships between selected factors, developed hypotheses and in the empirical part, verified their validity. Management activities of core process (planning, organizing, leading, controlling) were dealt with from an interest and instrumental point of view. A population base of 3,007 small and medium-sized companies (SME) from Slovenia were included in the survey. Within the framework of statistically processing the collected data in the empirical section, we used structural equation modelling (SEM) as the central method since we checked the relations between the different variables (claims), as well as the theoretical model of the relations. The research confirmed that some interest aspects of the core process management (planning, organizing and leading) and some instrumental aspects of the core process management (controlling) influence company performance more than others.