Continuous Improvement Of Business Processes Research Articles

The main aspects of the digital economy impact on the construction industry

Digital economy is developing rapidly and has a deep degree of influence on the national economy sectors as a whole, including the construction industry. Based on the fact that the digital economy contributes to large-scale changes in methods, management, lifestyle and is a key force in the reorganization of global elements and resources, the article analyzes current trends in implementation, ways and problems of digital transformation of the construction industry that arose in the period 2022–2023. Considering that one of the most important development goals of the construction industry digital transformation is the implementation of industrial intelligence, digital innovations have a significant impact on the business development speed, open up opportunities for continuous improvement of business processes. The article outlines the current trends in the digital transformation of the construction industry of the Russian Federation, methods of their implementation, their interrelation, problems, possible directions and applications. Along with the theoretical analysis practical introduction aspects of digital transformation trends in the construction industry of the Russian Federation are demonstrated. To achieve a technological breakthrough, recommendations are proposed for the transformation of the construction industry, considering the use of digital construction, digital architecture, and intelligent systems. The main impact aspects of the digital economy on the construction industry are formulated. The fact that the transformation of the construction industry in the era of the digital economy needs a deep adaptation to new technological processes indicates the relevance of research in this direction.

Інноваційний розвиток бізнес-структур

The study is aimed at creating scientifically based approaches to understanding and analyzing innovations in business structures, which contributes to the further development of this important field and will help solve the problem of the lack of a comprehensive understanding of these processes. The aim of the article is to carry out a critical analysis of domestic and foreign literature to systematize and summarize the available data. The article systematizes, according to the results of the carried out study, approaches to the definition of innovative development through the improvement of business processes, the use of new technologies and system innovations. The practical bases for this is that the importance of new technologies for business efficiency and competitiveness has increased, and system innovation has become essential for adapting to a changing environment. The carried out study improves the conceptual and categorical apparatus and offers its own definition of innovative development of business structures. The study shows that the concept of innovative development of business structures can be considered from different points of view. This includes improving business processes, using the latest technology, and applying system solutions. The proposed own definition of innovative development of business structures emphasizes that this is a complex and complex process. This process involves continuous improvement of business processes in order to improve the quality of products, services and activities. To achieve this, it is necessary to actively use the latest technologies, develop and implement new products and services. In addition, innovative development implies a willingness to adapt to changing market conditions and needs. Thus, the innovative development of business structures is recognized as multiaspectual and inseparable from the process of continuous improvement and growth in the modern economic environment. The practical significance of this study is manifested in the improvement of the theoretical approach to the creation of innovative development strategies for enterprises.

ИННОВАЦИОННЫЕ МЕТОДЫ, ПОВЫШАЮЩИЕ ЭФФЕКТИВНОСТЬ БЕРЕЖЛИВОГО ПРОИЗВОДСТВА В РОССИЙСКОЙ ПРОМЫШЛЕННОСТИ

The article is devoted to the study of the features of the application of the lean manufacturing concept in Russian industry. Particular attention is paid to the possibility of increasing labor productivity using traditional and innovative methods of continuous improvement of business processes in industry. The purpose of this article is to study the concepts of lean production as a factor in increasing labor productivity of Russian companies and to develop innovative methods that increase the efficiency of lean production. As part of the study, an assessment was made of the impact of the implementation of the National Project “Labor Productivity” on the growth of industrial efficiency, the dynamics of the productivity index from the moment the measures began state support. The regions leading in productivity growth and the regions of the Central Black Sea Region are considered. The results of the study show that in general, for the type of economic activity “Manufacturing”, the growth rate of the labor productivity index is negative during the implementation of the national project; there is only a jump in 2020. It is suggested that this is not related to the implementation of the project, but to the general crisis bifurcation situation in economics.
 The article shows that the experience of those regions that have achieved success despite the general socio-economic instability in the country and industry deserves a closer look. Summarizing best practices, the article systematizes the main methods of lean production, paying special attention to innovative methods that can be used not only in industry, but also in all types of economic activity. A survey was conducted of the opinions of specialists representing a number of industrial enterprises of the Central Black Sea Region involved in the implementation of the National Project “Labor Productivity”, this made it possible to generalize productive methods of lean production and identify the main problems in applying the concept of lean production in Russian industry.

Lean менеджмент в умовах економічного зростання та розвитку

Economic growth planning plays an important role because it ensures the efficient operation of the company, and efficient operations cannot be carried out without reducing production costs. That is why it is expedient to implement a system of planning of lean management for the purpose of economic growth in the context of the introduction of new types of foreign economic activity. Therefore, the purpose of the work is to develop measures for planning economic growth at the enterprise in the context of introduction of new types of foreign economic activity. The main research methods are data collection, evaluation, analysis, comparison, calculation. In the process of the research, several partial tasks were performed: 1) analyzing the lean management system; 2) to describe the process and methods of implementing the lean concept; 3) to formulate specific recommendations regarding the application of lean management by the enterprise in the context of the introduction of new types of foreign economic activity. The goal of managers in the process of implementing a lean management system is to create a process of continuous elimination of losses, the elimination of any actions that use resources but do not create value for the end user. Constant reduction of losses is the main task of lean management. This concept is an effective tool and mechanism for cost control and continuous improvement of business processes. The basis of the concept of lean management is to generate product value for the end consumer at each stage of its creation. To analyze the emergence of value as a result of work, a map of the flow of value creation, which graphically describes the main processes of the company. Those processes that do not add value to the client should be excluded, because they waste the company's resources. One of the key factors in the success of the lean is the involvement of the maximum number of employees in the work to improve processes, because each employee in his workplace performs certain processes and he/she sees first of all what can be improved in the work process. In order to successfully implement a lean project, the following steps must be performed: – step 1 – creation of the statute; – step 2 – the value creation flow card and the scheme of ideas. The cost of implementing the lean management system itself is small compared to the results. The lean project does not require large investments in production. It is only necessary to take into account that the main benefit from the introduction of lean management is in the long run. The process of transitioning a company to the practice of lean can take an indefinite period of time. It all depends on the leadership, team, corporate culture. But remember, lean manufacturing is an endless process of improvement. It is impossible to complete the construction of a system of continuous improvement.

The Application of Efficency Improvement Methods in Manufacturing and Service Sectors Through Business Intelligence Systems – A Review

The paper presents the tools for improving efficiency, from its historical beginnings to modern business intelligence systems, furthermore includes good practices and case studies that illustrate both the potential and the benefits of lean methodology. We review the main characteristics of the lean methodology and the most basic components that can be applied by an organizational culture to improve processes. As the case studies show, these methodologies can contribute not only to optimising the operations of manufacturing firms, but also to improving different corporate cultures. The importance of the data analysis tools available through modern technology is also a key focus of the study, and these are increasingly being used in lean methodologies. These software tools are essential to help in collecting and analysing data generated by the application of efficiency improvement methods, as well as in plan-actual comparisons. The study emphasises the importance of continuous improvement of business processes, focusing on the synergies between modern technologies and proven efficiency improvement methodologies. The implementation of these methods is crucial for the operation and increasing the profitability of SMEs at the dawn of the 4th industrial revolution.

SECURING BUSINESS FLEXIBILITY IN CONDITIONS OF WAR IN UKRAINE

The article is devoted to development of provisions for securing business flexibility in conditions of war in Ukraine. It is recommended that even during the war Ukrainian companies should strive to follow the scientific approaches to management, including the process approach as one of the most widely used. The article stresses the advantages of process approach to management and Business Process Management as its practical implementation, such as standardization of business processes (allowing companies to continuously follow the optimal way to perform the business process, to automate it and to decrease the variability of its outputs); integration of different functional areas in company’s activity; improved productivity; continuous business process improvement; visibility, transparency and measurability of the company’s activity, allowing to determine and eliminate the root causes of business process failures; clear definition and distribution of duties, roles and responsibilities in the company; improved knowledge management and auditing procedures.
 Despite the point of view that Business Process Management decreases the business flexibility due to standardization of processes, the article states that being properly designed, business processes must have multiple alternative scenarios, allowing to quickly changing the way the business process is performed and thus improving its flexibility. But even if a company was not prepared for the scenario of war, it can follow the recommendations provided in this article in order to secure the flexibility of its entire business and separate business processes. Such recommendations include actualization the key reference points in the company’s activity (goals, customers, suppliers, products, etc.); identification of the most problematic business processes affected by the war; development or change of the business process descriptions, which must be more or less detailed depending on the level of process, its technological variability and the level of uncertainty in environment; reviewing the requirements to business processes outputs and inputs; and reviewing the business rules related to changes in business processes.

FORMATION OF A LEAN PRODUCTION CULTURE IN ORGANIZATIONS AS A FACTOR OF INCREASING LABOR PRODUCTIVITY IN A REGION (ON THE EXAMPLE OF THE TCHAIKOVSKY BRANCH OF JSC "GAZPROM BYTOVYE SISTEMY")

The article examines the relevance of creating a lean production management system as an organization of activities focused on increasing the attractiveness of the technical, economic and aesthetic qualities of a product or service for the consumer, achieving stable development of the organization through continuous improvement of business processes through the involvement of personnel and the elimination of all types of losses. The authors describe in detail the stages of the creation of the DARINA Operating System in the Tchaikovsky branch of Gazprom Bytovye Sistemy JSC. The importance of the formation of a culture of lean production among all participants in business processes has been substantiated. Research into the prevalence and effectiveness of lean manufacturing in the Perm Territory in general and in the Chaikovsky District in particular shows the growing interest of business and government in the implementation of lean manufacturing technologies. This situation contributes to the development of the organization as a conductor of the ideas of lean production in the region. At present, shaping the methodology for using the principles of lean production and the principles of lean management of sustainable development, providing support to enterprises of the Perm Territory, the Chaikovsky branch of JSC Gazprom Bytovye Sistemy is successfully developing and expanding the boundaries of its potential capabilities, not only in the production of products that best meet the needs of consumers in relation to quality, design and price, but also a more multifaceted implementation of the principle of social responsibility as a prerequisite for the sustainable development of the company through participation in projects aimed at strengthening social support for the population.

Analysis of the essence of a business process approach to enterprise management

The article discusses the improvement of technologies for performing business processes and their structural elements based on the analysis of existing business processes and their modifications. The analysis shows that process management is the management of a set of interconnected business processes of an enterprise, the result of which is a commodity product. The process control system is adaptively controlled, i.e. allows you to effectively change the internal environment of the enterprise under the influence of the external environment. The proposed methodology shows that the main stages of the implementation of process management are modeling, analysis, optimization, automation and continuous improvement of business processes.

Poslovni procesi u institucijama i službama civilne zaštite u kontekstu TQM-a

Today, when we observe and analyze many organizations in our immediate environment, and beyond, we can see their inability to keep up with the high pace of changes in their own environment imposed by market globalization, development of information technology and communication systems, lifestyle changes and the like. The situation with institutions and services that primarily deal with civil protection, as an indispensable element in the state administration system, is completely identical. Civil protection institutions and services are not a separate system within the social community that is immune to changes in the business environment and whose purpose is to exist for themselves. On the contrary, they are part of an integrated system of state administration that has a primary role in protecting and rescuing the population in emergencies. In order to be able to talk about advanced concepts of leading and managing a business organization as a whole in the modern age in which we live, it is necessary to keep up with the times, which means that the concept of quality should be advocated in the organization. An integral element of the quality concept is the continuous improvement of business processes, and in order for business processes to be improved, it is necessary, in the first step, to identify and select business processes that need to be improved

A Systematic Review of the Application of Maturity Models in Universities

A maturity model is a widely used tool in software engineering and has mostly been extended to domains such as education, health, energy, finance, government, and general use. It is valuable for evaluations and continuous improvement of business processes or certain aspects of organizations, as it represents a more organized and systematic way of doing business. In this paper, we only focus on college higher education. For this reason, we present a novel approach that allows detecting some gaps in the existing maturity models for universities, as they are not models that address the dimensions in their entirety. To identify these models and their validities, as well as a classification of models that were identified in universities, we carried out a systematic literature review on 27,289 articles retrieved with respect to maturity models and published in peer-reviewed journals between 2007 and 2020. We found 23 articles that find maturity models applied in universities, through exclusion and inclusion criteria. We then grouped these items into nine categories with specific purposes. We concluded that maturity models used in Universities move towards agility, which is supported by the semantic web.

Synergy of design thinking and process transformation approaches

One of the current digitalization trends is focusing on studying customer experience. At present, when managing personnel, it is necessary to analyse and correctly plan the employee’s path in the company - “Employee Experience”. Properly thought out work environment and business processes, focused not only on clients but also on employees, create a good psychological climate. This, in turn, helps the employee to efficiently solve tasks, get business results, show and be focused on developing their talents. The synergy of design thinking, process transformation and continuous improvement approaches will help to change the organization’s culture, create partnerships between staff and management to ensure the success of the changes. The stages of the process transformation, after the completion of which a cycle of continuous improvement of business processes that underwent transformation begins, have been presented in the article. It has been noted, that design thinking techniques can be used for the development and reengineering of not only products (in the usual sense, as a product or service), but also in principle, technology of activity as such (processes). An example of embedding design thinking methods in the process transformation has been given: HMW, Customer Journey Map, The World Caf6, Current-Future-Barriers, Matrices of positive and negative experience. To demonstrate the incorporation of design thinking methods, one of the most capacious stages of the process transformation was chosen - process design. The presented example of the application of design thinking methods for designing business processes can be detailed after clarifying the features of a particular proj ect, supplemented by other design thinking methods, as well as techniques from the arsenal of continuous improvement and process transformation.

Leading Business Intelligence (BI) Solutions and Market Trends

Business intelligence solution implies to the competences, technologies, functions & practices for continuous business process improvement & evaluation of the business information to provide actionable insights. Business intelligence (BI) solutions emphases on mounting improved visions and crystal understanding of organizational performance built on data insights. BI solutions are used to data extraction, processing to the delivery of the business insights. BI solutions’ in-build data science algorithm and machine learning capabilities when mixed with the high-speed OLAP, it becomes essential to drive business with its real-time analytics, receptive informational dashboards, self-serve intuitive reports, print enabled standard reports, report scheduling & delivery. Business intelligence (BI) solutions capabilities potentially enable value & lead to greater organisational performance. Business intelligence and its insights have become part of every progressive organization. This research paper discusses the significance of the business intelligence solution, industry-wide adaptability, the leading ten business intelligence solution across the industry. It also discusses the key components and the critical processes necessary to create the business value out of the BI solutions.

Uticaj menadžmenta ljudskih resursa na poboljšanje poslovnih procesa - analiza u okviru MMSP tekstilne i odevne industrije

Business process improvement is necessary given the need to satisfy consumers by delivering value-added products and services. The textile and clothing industry in the age of consumerism of textile and clothing products is facing the challenge of the constant need to meet and exceed consumer expectations. Establishing the practice of continuous business process improvement, especially within the micro, small and medium enterprises (MSMEs) of the textile and clothing industry, as the largest group of companies, is of particular importance in resisting these challenges. As the textile and clothing industry is labor-intensive and a large number of processes operate on the basis of direct engagement of human resources, there is a need to examine the impact of human resource management on the establishment of the practice of business process improvement in MSMEs. Within this paper, the impact of human resource management on the improvement of business processes was examined by applying regression analysis.

Takt Time Analysis in Lean Six Sigma: From Conventional to Integration

Lean Six Sigma offers a comprehensive roadmap, tools and technique for continuous business process improvement. Principally, Lean Six Sigma integrates Lean’s principle of “value” and “speed” with Six Sigma’s “consistency” (i.e. variation reduction) concept into the DMAIC (Design, Measure, Analyze, Improve, Control) framework. The integration of Lean and Six Sigma advances the pace of business process improvement. Conceptually, Lean and Six Sigma must be applied side by side from both management (i.e. soft practices) and technical (i.e. hard practices) perspectives. However, empirical research found that prior studies on Lean Six Sigma tends to focus on the study of integration from the soft perspective, such as exploring and confirming the determinants for Lean Six Sigma success as well as the application of Lean Six Sigma processes within varies business environments. There is lack of study on the integration of Lean Six Sigma from hard perspective. Hence, the concept of how Lean and Six Sigma tools could be integrated remains ambiguous because there are no standard guideline that available. As such, based on a Lean Six Sigma project(of minimizing new students registration cycle time)that conducted in one of local private university as single case study, this paper explores how Lean and Six Sigma tools could be integrated based on Lean Six Sigma principle, with the focus on a Lean’s tool, namely “Takt Time Analysis”. Finding from the study suggested that Takt Time Analysis could be expanded from “Lean-based” tools to as “Lean Six Sigma tool” by including process variation and process capability as parameters for analysis. The finding as well as the LSS based Takt Time Analysis methodology developed in this study has descriptive value in terms of studying the integration of Lean and Six Sigma tools that govern continuous business process improvement via Lean Six Sigma.

Improving the efficiency of food industry enterprises as a result of the modern IT solutions implementation

The entry of the Russian economy into the 6th technical and technological structure is a matter that affects ensuring the national security of the state and its transition with the help of artificial intelligence to the creation of new developments and increasing the efficiency of work in many areas of the agro-industrial complex (AIC). This will ensure a transition to a qualitatively new level of management of the global economy. Issues related to the growing role of implementing effective IT technologies in agricultural enterprises and the need for timely recognition and use of the opportunities for continuous improvement of business processes are considered. The analysis of the effectiveness of the implementation of IT solutions, including the necessary resource base for this, was carried out as part of the investment of IT projects. A formula is presented for analyzing the cost-effectiveness of implementing integrated IT systems in food industry enterprises with the need to assess the total costs of an IT system for the entire life cycle (development, implementation, commissioning and development, and decommissioning costs). The introduction of information and communication technologies in food production will reduce the production costs of agricultural enterprises, as well as focus on factors of time, quality and surveillance, since the introduction of a suitable IT system will speed up the optimization of organizational and analytical processes. Significant cost savings and long-term productivity gains are key concepts that form the basis of enterprise success in a modern market economy. The necessity of developing a new integrated methodology is substantiated, allowing to take into account separately the development of software and hardware for digital transformation of enterprises and separately calculate the surplus value from the introduction and use of IT solutions in food production enterprises.

Parameter Setting for a Genetic Algorithm Layout Planner as a Toll of Sustainable Manufacturing

The long-term sustainability of the enterprise requires constant attention to the continuous improvement of business processes and systems so that the enterprise is still competitive in a dynamic and turbulent market environment. Improvement of processes must lead to the ability of the enterprise to increase production performance, the quality of provided services on a constantly increasing level of productivity and decreasing level of cost. One of the most important potentials for sustainability competitiveness of an enterprise is the continuous restructuring of production and logistics systems to continuously optimize material flows in the enterprise in terms of the changing requirements of customers and the behavior of enterprise system surroundings. Increasing pressure has been applied to projecting manufacturing and logistics systems due to labor intensity, time consumption, and costs for the whole technological projecting process. Moreover, it is also due to quality growth, complexity, and information ability of outputs generated from this process. One option is the use of evolution algorithms for space solution optimization for manufacturing and logistics systems. This method has higher quality results compared to classical heuristic methods. The advantage is the ability to leave specific local extremes. Classical heuristics are unable to do so. Genetic algorithms belong to this group. This article presents a unique genetic algorithm layout planner (GALP) that uses a genetic algorithm to optimize the spatial arrangement. In the first part of this article, there is a description of a framework of the current state of layout planning and genetic algorithms used in manufacturing and logistics system design, methods for layout design, and basic characteristics of genetic algorithms. The second part of the article introduces its own GALP algorithm. It is a structure which is integrated into the design process of manufacturing systems. The core of the article are parameters setting and experimental verification of the proposed algorithm. The final part of the article is a discussion about the results of the GALP application.

MEASURABLE PERFORMANCE INDICATORS OF BUSINESS PROCESSES AND PERFORMANCE OF SLOVAK AND FOREIGN BUSINESSES

Business activities (managerial, administrative, commercial, manufacturing, etc.), which are focused on production or the services provision should be managed as a whole, containing the activities liable to certain logistic in their arrangement and interconnection. The business activities’ transformation on processes and management (identification, modelling, mapping, analysis, measurement and improvement) through the process management can be understood as a type of methodology suitable for the analysis, evaluation and improvement of key processes in the business.An aim of the application of business process management is to create a process model consisting of managerial, core, transparency supporting, measurable, and possible improvement processes. The principles of business process management application can lead to continuous improvement of business processes and to the position improvement of the business in a constantly evolving competitive environment. During the evaluation process, it is important to focus on one of the most important factors – the measurability of process performance

Uloga ERP sustava u promjeni poslovnih procesa

This paper discusses the role that the ERP system has in the radical and continuous change of business processes. The radical change in business processes entails a radical modification, more precisely the termination of the existing method of doing business. Such a dramatic change is needed when the performance of the organization has decreased dramatically, and in order to gain a competitive advantage. However, due to frequent changes in the market and pressures to lower prices, better the quality, provide faster delivery, and the like, the once achieved competitiveness can be sustained long term only through continuous adjustments and improvements of business processes. What follows is the importance to constantly monitor and analyze the business processes in order to properly address the changes. Since there are a multitude of business processes within an organization that are connected to each other, and which intersect the functional and organizational boundaries, their monitoring is enabled only through the integrated information system such as ERP. Therefore the purpose of this paper is to examine what is the role of the mentioned system during the implementation of the changes in the business process. The paper concludes that the ERP system acts as an initiator of a radical redesign of business processes, but also as a facilitator of both a radical redesign and a continuous improvement of business processes. Given that any business change demands an adaptation of the information system, what follows is that it is necessary to change the business processes simultaneously with the introduction/modification of the ERP systems.

An Agile Business Process Improvement Methodology

Adoption of business process improvement strategies are now a concern of most organisations. Organisations are still facing challenges and finding transient solutions to immediate problems. The misalignment between IT solutions and organisational aspects evolves across space and time showing discrepancies. Unfortunately, existing business process approaches are not according with continuous business process improvement involving business stakeholders. Considering this limitation in well-known Business Process (BP) methodologies, this paper presents a comparative study of some approaches and introduces agility in the Business Process and Practice Alignment Methodology (BPPAM). Our intention is to present observed problems in existing approaches and introduce agility in our proposal to address features, like the alignment between daily work practices and business process descriptions, in a simple and agile way.

Managing risk for business processes: A fuzzy based multi-agent system

Risk management for business processes is critical to the survival and performance of organizations, and has gained the interest of practitioners and academics. In this article, a fuzzy based multi-agent system (FMAS) is proposed as a practical solution to assess the process risk state and provide recommendations for the continuous improvement of business processes. To represent uncertain and ambiguous information obtained from experts, fuzzy theory is introduced to the FMAS. A fuzzy neural network is employed to implement an analysis agent capable of detecting the risk state of business processes within a firm. Furthermore, based on the predictions yielded by the analysis agent, the recommendation agent is then able to identify the possible deviations in the inconsistent process and provide suggestions for improvement. The effectiveness of the proposed FMAS is validated by its implementation in nine firms during twelve months, and the results are presented.