Business Process Management Capabilities Research Articles

Creating AI business value through BPM capabilities

PurposeAlthough businesses continue to take up artificial intelligence (AI), concerns remain that companies are not realising the full value of their investments. The study aims to provide insights into how AI creates business value by investigating the mediating role of Business Process Management (BPM) capabilities.Design/methodology/approachThe integrative model of IT Business Value was contextualised, and structural equation modelling was applied to validate the proposed serial multiple mediation model using a sample of 448 organisations based in the EU.FindingsThe results validate the proposed serial multiple mediation model according to which AI adoption increases organisational performance through decision-making and business process performance. Process automation, organisational learning and process innovation are significant complementary partial mediators, thereby shedding light on how AI creates business value.Research limitations/implicationsIn pursuing a complex nomological framework, multiple perspectives on realising business value from AI investments were incorporated. Several moderators presenting complementary organisational resources (e.g. culture, digital maturity, BPM maturity) could be included to identify behaviour in more complex relationships. The ethical and moral issues surrounding AI and its use could also be examined.Practical implicationsThe provided insights can help guide organisations towards the most promising AI activities of process automation with AI-enabled decision-making, organisational learning and process innovation to yield business value.Originality/valueWhile previous research assumed a moderated relationship, this study extends the growing literature on AI business value by empirically investigating a comprehensive nomological network that links AI adoption to organisational performance in a BPM setting.

Exploring Business Process Management (BPM) Challenges in a Startup Environment

The primary aim of the article is to discover Business Process Management (BPM) challenges when applied in a startup environment. This concept is an increasingly popular concept nowadays where BPM is one of mature disciplines that drives companies’ success. Whereas startup companies also becoming a trend as the Information Technology (IT) is developed and they have different organizational values compared to most companies in general. A Systematic Literature Review (SLR) is performed to offer an impactful and insightful literature concerning BPM in startup environment. The papers used in this article are from the most honored journal publishers such as Elsevier, Emerald Insight, Springer, Taylor and Francis, Wiley, and Sage Publications. A total of 3332 articles are picked based on the keyword. Then, 22 articles are picked according to the content of the article. Results show that there are 11 out of 30 BPM capability areas may be facing some challenges when applied in a startup environment. Therefore those 11 BPM capability areas need some improvement in order to be suitable for startup environment. Fortunately, the remaining are just good as is because they are compatible with startup environment.

Analyzing business process management capabilities of low‐code development platforms

AbstractLow‐code development platforms (LCDPs) aim to simplify software systems' development by providing easy‐to‐use graphical interfaces and drag‐and‐drop facilities. The system behaviors are defined through available data handling and workflow mechanisms enabling the specification of business processes from users that do not have strong programming skills. However, the number of LCDPs has grown significantly over the last few years. Consequently, it is not easy for inexpert users to understand their differences, especially in terms of provided modeling constructs. In this article, we analyze and compare eight low‐code development platforms by focusing on their capabilities for specifying business processes. The analysis exploits business process modeling and notation (BPMN) as a reference modeling language. Thus, the core elements of BPMN are leveraged to analyze the workflow mechanisms provided by each of the analyzed LCDP. The article explains different types of process flows and data handling means of the different LCDPs aiming to give potential users objective elements that can be used to make educated decisions when selecting LCDPs.

The Link Between the Business Process Management Capabilities and the Benefits Created by Robotic Process Automation in an Organisation

In the context of the Fourth Industrial Revolution, as organisations are increasingly confronted with unclear and complex business environments, digital technologies are being used to acquire and maintain dynamism, innovation, responsiveness to changing societal needs, and agility, which are essential in this time of changes. In the current competitive environment, organising the performance of an organisation solely on the basis of functions and assignments is no longer appropriate. There is a growing interest in the concept of the process-oriented organisation (Szelagowski, & Berniak-Woźny 2020) and a growing focus on the digitalisation of operations and business processes (Kirchmer 2017; Siderska 2020). This article aims to define the link between the essential aspects of the Business Process Management capabilities and the benefit generated by Robotic Process Automation based on theoretical insights.

On the Importance of Project Management Capabilities for Sustainable Business Process Management

In a recently published study on business process management (BPM) capabilities in the view of digitalization, project management was not named as a core capability by the corresponding Delphi panel. However, earlier (pre-digitalization) research suggests that project management is a key success factor for BPM. This contradiction could have severe impact with regard to the sustainability of process management. This article uses qualitative case study data to discuss potential reasons for this contradiction and to answer the question of how important project management is for contemporary BPM. As both traditional and agile project management knowledge was employed in the case study, results indicate that project management is indeed helpful for BPM, especially for discrete process change. Practitioners should consider project management knowledge when staffing business process optimization and digitalization initiatives. Research should develop a deeper understanding of agile and traditional project management as antecedents to sustainable BPM success and as BPM capabilities.

Transforming healthcare ecosystems through blockchain: Opportunities and capabilities for business process innovation

Blockchain is an unprecedented enabler and booster of business process innovation, especially in the healthcare sector. Nonetheless, its transformational potential has yet to be fully harnessed because of the challenges that digitalization has posed to Business Process Management (BPM) and the inherent complexity of the healthcare processes. Accordingly, through the ambidextrous BPM theoretical lenses, this paper investigates what are the main opportunities for Blockchain-driven healthcare process innovation and which BPM capabilities may unleash them. Two exploratory case studies were conducted to probe the Blockchain-driven process redesign: a case of exploitative BPM, focusing on drug logistics, and a case of explorative BPM, focusing on integrated home care. Our findings suggest that Blockchain may enable Healthcare innovation opportunities, such as the redesign of the information flow and the development of new forms of collaboration in the health ecosystem. In addition, the most relevant BPM capabilities to pursue such innovations were identified. These results integrate the BPM research stream and enhance the understanding of Blockchain-driven healthcare process innovation.

A MODEL FOR ATTAINING BUSINESS PROCESS MATURITY

This essay proposes a Business Process Management (BPM) maturity model. The developed BPM maturity model is based on the review of existing models combined with the in-sights of BPM professionals. The developed model enables organizations to gain insight into their own operations, and also supports in setting up a roadmap for improvement. It offers a stepping stone with which organizations can determine whether their ambitions are in line with their initial situation. Overall this essay provides a first overview of a framework for a detailed analysis of BPM capabilities within organizations. Further research on this BPM maturity model should be done by empirically testing the model in multiple business environments.

Influential Article Review - Process Based on Values Integrated Development of BPM Competence Development and Process Optimization: Project Asset Management

This paper examines business process management. We present insights from a highly influential paper. Here are the highlights from this paper: Business process management (BPM) is an important area of organizational design and an acknowledged source of corporate performance. Over the last decades, many approaches, methods, and tools have been proposed to discover, design, analyze, enact, and improve individual processes. At the same time, BPM research has been and still is paying ever more attention to BPM itself and the development of organizations’ BPM capability. Little, however, is known about how to develop an organization’s BPM capability and improve individual processes in an integrated manner. To address this research gap, we developed a planning model. This planning model intends to assist organizations in determining which BPM- and process-level projects they should implement in which sequence to maximize their firm value, catering for the projects’ effects on process performance and for interactions among projects. We adopt the design science research (DSR) paradigm and draw from project portfolio selection as well as value-based management as justificatory knowledge. For this reason, we refer to our approach as value-based process project portfolio management. To evaluate the planning model, we validated its design specification by discussing it against theory-backed design objectives and with BPM experts from different organizations. We also compared the planning model with competing artifacts. Having instantiated the planning model as a software prototype, we validated its applicability and usefulness by conducting a case based on real-world data and by challenging the planning model against accepted evaluation criteria from the DSR literature. For our overseas readers, we then present the insights from this paper in Spanish, French, Portuguese, and German.

Barriers to implementation of business process governance mechanisms

Abstract One of the main challenges in implementing process-oriented management is establishing a governance mechanism in the organisation. It creates a coherent framework for the execution, management and perception of business processes, which is the foundation of consistent Business Process Management (BPM). Process governance (PG) refers to an organisation’s ability to manage its relationships with all process stakeholders and support the value chain for its customers. Its implementation involves establishing process regulation mechanisms and stakeholder-oriented criteria to support prioritisation, cascading, and change management within BPM initiatives. A review of the domain literature reveals that while process governance has been discussed from several but separated perspectives (strategy, business roles, performance, and maturity), only a few studies identify and synthesise the barriers to its implementation in organisations. The paper mainly aims to identify and classify the key barriers to the implementation of process governance. The author’s approach refers to the six core elements of Business Process Management capability and process governance frameworks. Research results confirm that most process governance barriers polarise around the competence gaps of the process stakeholders and the immaturity of the process-oriented culture of companies. Another significant group of constraints to process governance arises from the existing organisation’s structure. They are mainly related to the proper division of responsibilities and a weak position or the lack of BPM centres of excellence. The research contributes to the literature on management by identifying potential barriers to business process governance that constrain BPM initiatives. The identified PG challenges can provide a basis for developing a theoretical framework for Business Process Management and models for BPM success factors.

Alignment patterns for process-oriented appraisals and rewards: using HRM for BPM capability building

PurposeWhile the business process management (BPM) literature highlights the significance of aligning employee appraisals and rewards practices with business processes, little is known about the realization. The purpose of this paper is to concretize the impact of process-oriented appraisals and rewards on business process performance and to provide empirical evidence on how organizations actually align their appraisals and rewards practices with BPM.Design/methodology/approachA mixed-method approach has been employed by combining survey results with case studies to offer first-hand evidence. Survey data have been used to quantify the real impact of process-oriented appraisals and rewards. Next, case studies with 10 organizations have allowed us to gain deeper insight into organizational practices for making appraisals and rewards more process-oriented.FindingsThe survey proves that process-oriented employee appraisals and rewards positively affect performance if different employee levels are involved. The case studies reveal similarities and differences in alignment efforts across organizations, based on pattern-matching and a multidimensional analysis, resulting in four alignment patterns.Research limitations/implicationsThe findings extend knowledge about appraisals and rewards within a business process context by providing a quantification and pattern refinement, which specifically advance a BPM-facilitating culture.Practical implicationsManagers and executives benefit from the recommendations for a gradual BPM adoption to improve the success of their business processes and their people-related practices.Originality/valueThe authors offer one of the first in-depth, cross-disciplinary studies that intend to bridge between the disciplines of BPM and human resource management (HRM).

Analysis of business process management capability and information technology in small and medium enterprises in the garment industry (multiple case studies in East Java, Indonesia)

AbstractThis research explores the interrelationships between internal and external factors, business process management (BPM) capability of garment‐based SMEs, and the IT that matches this capability. Multiple case studies are conducted in three SMEs in East Java, Indonesia. The data is collected using in‐depth interviews with the owners and employees of SMEs. A grounded theory approach is used to analyze the findings. Analysis of the three cases found two main factors that affect the BPM in the garment SMEs. The first is the owner's business aptitude and expertise, and the second is the connection between external factors, business context and business strategy. Business strategy is closely related to the way SMEs define their business process, organize their employees, and develop culture. The BPM capabilities needed by SMEs in Indonesia include business process documentation and business process improvement. The business process and business process capability determine the IT needs of garment SMEs. IT is used to support sales, marketing, and payment processes in the three case companies. SMEs are very careful about their IT investment decisions due to resource constraints. SMEs will choose IT systems requiring minimal investment which are less risky to implement, such as social media and the e‐marketplace.

An examination of associations between business process management capabilities and the benefits of digitalization: all capabilities are not equal

PurposeWhile organizations have learned to understand the importance of developing business process management (BPM) capabilities, digitalization now transforms business processes, and introduces new challenges. Extending prior research examining the value of BPM capabilities in organizations, this study examines the associations of BPM capabilities across direct and indirect digitalization benefits.Design/methodology/approachDrawing from the capabilities perspective of strategic management, the dynamic versus ordinary classification was used to classify eight BPM capabilities. An empirical investigation of associations between the eight BPM capabilities and 20 digitalization benefits is presented based on data collected from 165 BPM professionals across four continents. Factor analyses were performed to verify the framework measures for BPM capabilities and digitalization benefits. The Kendall's tau-b (τb) correlation coefficient was used to measure the strength and direction of associations.FindingsOverall results confirm positive associations between BPM capabilities and digitalization benefits, but the relationship was less dominant for ordinary BPM capabilities and indirect benefits. Furthermore, relationships between individual BPM capabilities and specific digitalization benefits vary both across and within the categories.Practical implicationsThese findings support the moderate capability-based view that puts ordinary and dynamic capabilities on equal footing in dynamic environments, while also providing insight for managers focused on specific outcomes with digitalization efforts.Originality/valueThis study reveals that the strength of associations between BPM capabilities and digitalization benefits varies. This highlights the relevance of ordinary-dynamic and direct-indirect distinctions, and the value of a more fine-grained understanding to better inform practice.

An Exploration into Future Business Process Management Capabilities in View of Digitalization

Business process management (BPM) is a mature discipline that drives corporate success through effective and efficient business processes. BPM is commonly structured via capability frameworks, which describe and bundle capability areas relevant for implementing process orientation in organizations. Despite their comprehensive use, existing BPM capability frameworks are being challenged by socio-technical changes such as those brought about by digitalization. In line with the uptake of novel technologies, digitalization transforms existing and enables new processes due to its impact on individual behavior and needs, intra- and inter-company collaboration, and new forms of automation. This development led the authors to presume that digitalization calls for new capability areas and that existing frameworks need to be updated. Hence, this study explored which BPM capability areas will become relevant in view of digitalization through a Delphi study with international experts from industry and academia. The study resulted in an updated BPM capability framework, accompanied by insights into challenges and opportunities of BPM. The results show that, while there is a strong link between current and future capability areas, a number of entirely new and enhanced capabilities are required for BPM to drive corporate success in view of digitalization.

Analyzing Linkage Between Business Process Management (BPM) Capability and Information Technology: A Case Study in Garment SMEs

Business Process Management (BPM) and Information Technology (IT) have received a lot of attention. However, the research mainly focuses on the application of BPM and the value of IT to support business processes and has not yet linked BPM capabilities and IT usage. The aim of this study is to define the linkage between BPM capability and IT needs for garment SMEs in order to ensure that the application of IT can be aligned with the organizational business objectives. This study used a qualitative method with a case study approach on a single garment SMEs in Jember Regency, East Java. The informants in this research is the SME’s owner. Data collection was conducted through interviews and direct observation. The results showed that the garment SME needs BPM related to several aspects, i.e. process definition and documentation, process measurement and management, market or customer orientation, and supplier perspective. This finding is expected to give contributions to garment SMEs in order to develop and implement IT and eventually enhance the performance and competitiveness of garment SMEs.

How Beneficial is Social Media for Business Process Management? A Systematic Literature Review

Even though the implementation of different technological tools is already a trend, there are still aspects that should be refined so that companies' business processes can be improved. This is where social media comes to the foreground. Consequently, the objective of this paper is to study the evolution of research on social media implementation in the field of business process management. A systematic literature review was carried out following a search for and selection of articles that met our objective. To classify the sampled papers, we followed validated frameworks regarding social media management and business process management. Additionally, a detailed look at the sampled case studies was done to highlight companies' experiences in the field. Our final sample comprised 47 papers that simultaneously encompassed social media and business process management. The papers were classified according to their publishing frequency, the article type, both the topics and sectors to which they belonged, their methodological approaches, and the importance for business process management capability areas as well as capability subareas. Finally, word frequency queries were used to better understand diverse social media applications in business processes and to derive practical recommendations. The necessity for a multidisciplinary approach toward business processes was detected; therefore, topics, such as psychology, business economics, or information systems, were included, emphasizing innovation strategies, including gamification, big data, or crowdsourcing. Our most important recommendation concerns the evolution of business process management through different social media tools as a means to achieve a transition toward the recommended omnichannel management approach.

Developing Enterprise-wide Business Process Management Capability: A Teaching Case from the Financial Sector

Continuously managing business processes is globally a high organisational priority. The necessity for organisation-wide process management approaches (as opposed to ad hoc initiatives) is widely recognised. Yet, the required skills and capabilities for such enterprise-wide BPM is a well-known gap, with little resources to date to address this. This teaching case is based on the Bank of Queensland (BOQ—one of the oldest financial institutions in Australia). The narrative provides an overview of a range of Enterprise level business process management (hereafter referred to as ‘E-BPM’) activities that have taken place to date at BOQ to build its E-BPM capability. The teaching case presents how the development of E-BPM capability is a continuous journey which requires applied management and strong governance, and articulates some of the issues encountered when embedding BPM within an organisational structure. Based on the case, a series of student activities pertaining to E-BPM practices covering key aspects of BPM governance, strategic alignment, culture, people, IT, methods, etc., is provided (with model answers). This case is complemented by a rich set of teaching notes, making it a valuable resource that can be easily and directly applied for E-BPM training.

Ambidextrous IT capabilities and business process performance: an empirical analysis

PurposeIn several studies, it has been found that organizational performance is affected by ambidextrous IT capabilities. Nevertheless, business processes are essential to the value generation conversion of IT investment into performance. In the literature, this focus on the impact of IT capabilities at the business process level is still under investigated. So, the purpose of this paper is to test the effects of explorative and exploitative business process IT capabilities on business process performances (BPP) and the positive moderator role of business process management (BPM) capabilities.Design/methodology/approachThis analysis has been done through a quantitative study in the Italian hotel industry. An OLS regression analysis has been carried out on a sample of 404 firms.FindingsThe study identifies distinct effects related to exploration and exploitation and finds a moderating effect of BPM capabilities, explaining their positive impact on BPP.Originality/valueThe main purpose of the paper is to contribute to the area of business process management by demonstrating the importance of both explorative and exploitative IT capabilities for a business process as well as the managerial capabilities at the process level. Furthermore, this focus at the process level allows us to add original insights into research on ambidexterity by expanding existing works.

Developing Organization-wide BPM Capabilities in an SME: The Approaches Used, Challenges and Outcomes

Business Process Management (BPM) is well known for improving the competitiveness and sustainability of a business, and is widely applied. But, BPM practices in SMEs are alarmingly low, regardless of the potential positive impacts BPM brings. This is due to: limited resources, absence of a cross-functional mindset and lack of strategic clarity. Adopting BPM as a management paradigm across the enterprise [hereafter referred to as Enterprise-BPM (E-BPM)] reduces operational inefficiencies and supports innovative practices essential for success, which is the key to SMEs. However, SMEs lack the required know-how, and hence, BPM education/training plays a vital role in supporting this transformation. Teaching cases are recognized as a useful form of education to bring real life to the classroom, and more and more BPM teaching cases are emerging. However, there is a shortcoming in teaching cases addressing E-BPM, and teaching cases addressing E-BPM in SMEs are to date non-existent. This teaching case, especially developed to address this gap, is based on a Norwegian conference venue operating in the Norwegian market. This narrative describes the organization, the context for deploying BPM on enterprise-level and related challenges.

The Effect of Organization Size and Sector on Adopting Business Process Management

The business process management (BPM) discipline is starting to recognize the importance of context-awareness. In spite of this recognition, few studies investigate the effect of diverse contextual factors on BPM. To fill this gap, the study statistically analyzes the effect of organization size and sector, as specific contextual factors, on the adoption of BPM. The latter is measured by means of BPM capabilities for which data was collected from 2309 employees in 72 organizations. The study relies on the Contingency Theory by hypothesizing that, in practice, organizations adopt BPM by taking into account factors that fit an organization’s context. Surprisingly, the results do not show a dependency between BPM adoption and organization size, suggesting that BPM adoption levels can equally be achieved by large or small organizations. In contrast, a dependency is found for organization sector (partly based on market velocity), suggesting different BPM adoption practices and/or speed in different sectors.

Exploring the intersection of business process improvement and BPM capability development

PurposeDespite an obvious connection, business process improvement and business process management (BPM) capability development have been studied intensely, but in isolation. The authors thus aim to make the case for the research located at the intersection of both streams. The authors thereby focus on the integrated planning of business process improvement and BPM capability development as this is where, in the authors’ opinion, both streams have the closest interaction. The authors refer to the research field located at the intersection of business process improvement and BPM capability development as process project portfolio management. The paper aims to discuss these issues.Design/methodology/approachThe authors structure the field of process project portfolio management drawing from extant knowledge related to BPM, project portfolio management, and performance management. The authors also propose a research agenda in terms of exemplary research questions and research methods.FindingsThe proposed structure shows which business objects and interactions should be considered when engaging in process project portfolio management. The research agenda contains exemplary questions structured along the intersections of BPM, project portfolio management, and performance management.Research limitations/implicationsThis paper’s main limitation is that it reflects the authors’ individual viewpoints based on experiences of several industry projects and prior research.Originality/valueThis paper addresses a neglected research field, opens up new avenues for interdisciplinary BPM research, and contributes a novel perspective to the ongoing discussion about the future of BPM.