The effects of complexity on business processes reengineering: values and limitations of modeling and simulation technologies

Abstract

Argues that the value of simulation and modeling technology tends to be contingent on creating models that can offer a systematic, well-defined way of representing the structure of a firm's business processes. As such, the behavior of stable systems can be predicted through modeling and simulation. Stable business processes can reach an equilibrium over time. Complexity (hierarchical processes) and random changes within complex processes, however, tend to create dynamic systems that have a tendency not to reach an equilibrium. Hence, simulation and modeling of complex and dynamic systems tend to add less value in the predictability of such systems.