Business Process Maturity Research Articles

Measuring business process maturity: is Hammer model validated in practice

Considering the ever-growing use of Hammer model as a prominent process maturity model, it is the necessity to validate it by quantitative methods. In the case study, a statistical sample of 82 processes and 383 sub-processes were prepared by data triangulation (including survey, analysis of organisational documents and interview). Confirmatory factor analysis was used for data analysis. The data confirmed the Hammer's theoretical model as a suitable tool for measuring the maturity of processes. For the case study, the design of the process was the most effective factor and the maturity of processes was slightly higher than the average at 95% confidence level.

Scenario building and measurement of the business process maturity using fuzzy cognitive mapping technique: A case study in SAIPA company

Scenario building and measurement of the business process maturity using fuzzy cognitive mapping technique: A case study in SAIPA company

Three-Dimensional Perspective of Organization’s Process Maturity Towards Company`s Exploration and Exploitation: A Research Study

Purpose: The main goal of this paper is to present research results of organization’s process maturity in terms of shaping of exploration and exploitation activities. Survey covers 400 Polish medium and large companies functioning during period of 2015-2017. Design/Methodology/Approach: In literature there are numerous propositions of organizational process maturity. Major part of them based on attributes-oriented models like CMM, CMMI, PEMM, D.M. Fisher or Gartner. Findings: Based on this framework and carried out research some conclusions can be formulated. Surveyed companies have an average value of process maturity of 5.82 (on a scale of 3-15), which ultimately translated into achievement of the second of the five levels of process maturity, i.e. “process definition”. The values achieved by respective dimensions can be considered relatively low, although similar to each other the strategic dimension of maturity was estimated at 2.03, the operational dimension of maturity at 1.86, and the process maturity effects at 1.93 (on a scale of 1-5). All of the dimensions have positive correlation on both exploration and exploitation activities with exception of the strategic dimension. Practical Implications: This paper is intended for researchers and managers dealing with concept of operationalization of business process maturity, especially in managerial perspective, that set a new challenge as well as unfold new opportunities of utilization for this phenomenon. Originality/Value: The article explores an original concept based on managerial approach of implementing organization’s process maturity. It consists of three logical bonded aspects characterizing this phenomenon strategic dimension, operational dimension, and effects.

An Investigation of Business Process Maturity: Report on Croatian Companies

Abstract Background: Nowadays, organizations try to improve their performance by focusing on the business process orientation (BPO) perspective. This perspective views companies as a mixture of unified business processes. A few methodologies can be used for analysing BPO maturity state. The maturity model shows the level of acceptance of the process-oriented approach in the business practice of a certain company. Recognizing different BPO levels can help companies execute, improve and manage their processes. Objectives: The primary aim of this research is to give a report on BPO maturity of Croatian companies and to stress the importance of key turning points. Methods/Approach: The cluster analysis method was used to analyse the survey results. Results: Croatian companies are currently evolving from the Defined level to the Linked level of BPO maturity. Conclusions: The results of the cluster analysis have shown that companies in Croatia have to improve all key turning points, with a special emphasis on the strategic view.

Measurement of maturity of small medium agroindustry business processes in Jember, Indonesia

Business competition cannot be separated from the existence of Micro, Small and Medium Enterprises (MSMEs) as the basic of the Indonesian economy. The number of agricultural sector MSMEs in East Java has a greater proportion than non-agricultural MSMEs. The economies in Jember Regency are supported by one from the agriculture sector. Maturity of business processes is one of the factors that greatly influences the readiness of MSMEs in implementing information systems in supporting their business operations. The assessment of business process maturity can be done using the Business Process Orientation Maturity Model (BPOMM) where this model has nine assessment areas. The study was conducted at three Agroindustry MSMEs in Jember Regency. This study compares the level of business process maturity of each MSME and provides input related to the areas that need to be improved by the three MSMEs. The results obtained from this research are the maturity of the third MSME business processes at level 1 (Ad Hoc) where the Mister Te maturity value is 3,859; UD Mitra Jamur of 3,484; and Bestcow 2,917.

Utilization of the Business Process Maturity Model as a Proposed Architectural Planning of Business Model Concept

This research is a part of previous research which succeeded in producing business model architecture planning, the purpose of this research is to develop previous research using business model maturity measurement methods as a proposed business model architecture planning concept. By taking the same case study theme as Tiara Payung Putra (TPP) company. TPP is known as a distributor company in cooperation with Pertamina's (Bulk LPG Filling and Filling Station). TPP's main business activity is to distribute goods in the form of LPG to 76 bases spread across the Balaraja district. The current condition of the business model architecture illustrates the business activities that exist in the TPP. The main problems that occur in the TPP are not integrated the external system with internal business activities in the company, and the lack of IT resource support. For this reason, the Business Process Maturity Model is needed as a benchmark, which can be proposed as a business architecture planning concept. Support for the Enterprise Architecture Planning (EAP) Framework method focuses on the business model architecture domain. The architecture of the business model illustrates how TPP carries out business activities and functions to achieve its objectives. The results of this study produce proposed business model architecture planning concepts in the form of Business Model Maturity Level Measurement, SI / IT architecture concepts, and Business Architecture Planning roadmap, which are beneficial for Tiara Payung Putra (TPP) company for business model architecture planning.

Зрілість бізнес-процесів як основа для оцінки економічної безпеки підприємства торгівлі

A holistic understanding of the state of economic security of enterprise is ensured by the implementation of process management and assessment of security based on the maturity of business processes. Introduction of measures to improve the economic security of the enterprise on the bases of maturity of business processes allows to optimize the operational and investment activities of the enterprise and ensures its safety against the risks of inconsistent implementation of measures in accordance with the spheres of activity. The purpose of the research is to substantiate the maturity of the business processes of trade enterprise as a criterion for their economic security and on this basis the development of a system for assessing the economic security of the business processes of the enterprise. The ground for linkage of conceptions of process management and security management are the economic interests of the enterprise, which have to be protected (in terms of economic security) and implemented (in terms of process management). The attributes of maturity of business processes (safety of business process taking into account the materialization of the stakeholders’ interests, completeness of business process implementation) and the criteria for evaluation on their basis (effectiveness, efficiency, quality, completion of the management cycle) are allocated, which are taken into account for the formalization of the system of assessment of the level of economic security of the enterprise on the basis of maturity of their business processes. The developed system of indicators for assessment of business processes of trade enterprise allows to identify the level of maturity of business processes and determine on this basis the level of economic security of the enterprise. Prospects for further research in this direction are the substantiation of a scientific-methodological approach to the assessment of economic security of trade enterprise on the basis of maturity of its business processes.

Business Process Maturity Models Research: A Systematic Literature Review

Business Process Maturity can be defined as the „degree of explicit definition, management, measurement, control and effectiveness” of organisational processes (Humphrey, 1987, p. 1- 13) or their ability to systematically provide better business results (McCormack, Johnson, 2001, p. 12). The practical implementation of the above concept is reflected trough Business Process Maturity Models (BPMMs). They have been designed in order to enable companies to shift their business process management from „as-is” state, where process are undefined and underperforming to a desired „to-be” state, in which processes are being continuously improved. The available literature proofs that many review papers on BPMMs, in particular those issued before 2010 lacks an extensive set of systematic literature review or analysis criteria. For example, the authors didn’t pay attention whether the analysed models focused on a single process, a specific group of processes or all organisational processes. Often, there was also no distinction between organisational and process maturity, which appeared in the analysed models as separate concepts, or different types of maturity (e.g. process, project, supply chain, etc.). Some systematic attempts for analysing BPMMs were undertaken by e.g. A. Van Looy (2010, p. 687-697), M. Rosemann and J. vom Brocke (2010, pp 105-122), as well as M. Röglinger, J. Pöppelbuß and J. Becker (2012, p. 328-346), however still significant limitation of these research can be enumerated. As a result of the identified research gap, this papers aims at performing a systematic literature review based on transparent and sound criteria. The paper is divided into three main parts. The first part (introduction) focuses on presenting briefly the „state-of-the-art” regarding the Business Process Maturity Models research. The second part provides insights into the methodology of performing the systematic literature review. Finally, the last part of the paper discusses the results of the performed study and resulting conclusions.

Capabilities for managing business processes: a measurement instrument

PurposeWell-founded measurements are of high value because a better connection between business process management (BPM) and maturity models (MMs) improves an organization’s performance. Although MMs are appropriate tools for organizations to manage their business processes and, therefore, enjoy popularity, most of these models suffer from their foundation, validation and/or capability coverage. The purpose of this paper is to address this issue by providing metrics to measure and manage business processes.Design/methodology/approachA high-standard and multistaged procedure was followed to systematically develop and validate the measurement instrument involving international academics and practitioners across four continents. Different rounds were used for item identification, item selection, item revision, instrument preparation (pretest and pilot) and instrument application using partial least squares structural equation modeling.FindingsThe instrument measures 4 main capability areas, 13 subareas and 62 items. The work explains how to conduct BPM assessments in a more theoretically sound way and reports on the instrument’s development to show high levels of construct validity, content validity and reliability.Research limitations/implicationsThe author provides a rigorous and more evidence-based instrument, facilitating the BPM discipline’s need of empirical research.Practical implicationsThe author proposes parameters to configure the instrument.Originality/valueServing as a reference framework, the instrument strengthens BPM’s empirical and theoretical foundations. Since the instrument is free for scholars and practitioners, the author illustrates the research streams and business situations in which the instrument can be applied (in full or in part). This paper paves the way for transforming the instrument into an optimization MM with advice or improvement paths, bridging the gap between theory and practice.

The adaptation of business process management maturity models to the context of the knowledge economy

PurposeThe purpose of this paper is to investigate whether the current business process management (BPM) maturity models meet the requirements of evaluating organizations in the knowledge economy (KE) which manage processes in a dynamic way.Design/methodology/approachIn this study, a content analysis of the OMG (2008) Business Process Maturity Model and ten research papers on the practical application of business process management maturity models was conducted. The nature of the study is descriptive and based solely on information from secondary data sources.FindingsThe research results reveal that the current BPM maturity models do not correspond with the knowledge-based organizations and take into account knowledge-intensive (usually dynamic) processes in a very limited way. That is why the adaptation of the current BPM maturity models to the KE is needed.Originality/valueThis paper contributes to the BPM theory and practice in two ways. First, it provides an enhanced insight into the requirements of the KE toward BPM and BPM maturity models by distinguishing between static and dynamic processes. Second, it formulates the recommendations on possible ways of adapting the current BPM maturity models to the requirements of the KE.

ASSESSMENT OF BUSINESS PROCESS MANAGEMENT FOR MSMEs IN EAST JAVA

The role of micro, small and medium enterprises (MSME) for the economy of many countries, especially Indonesia are very important. The garment industry is one of the developing industries in Indonesia. Enterprises need to understanding, documenting, modelling, analyzing, simulating, implementing to increasing the value and achieving business operational efficiency and survive business competition. Therefore, it is necessary to know assess the maturity level of business process management in MSMEs. The purpose of this study is to assess the maturity level of business process management from MSMEs. First, the relevant literature is reviewed to gain insight into the practice of business process management in general, the context of MSME in Indonesia and previous studies related to business process management in the context of MSMEs. This research was conducted in East Java and data collection was done by distributing questionnaires to MSME owners. This study shows that a lack of knowledge resources about BPM is the main factor causes the MSMEs have low business process maturity level.

Business Process Maturity Level of MSMEs in East Java, Indonesia

The purpose of this research is to evaluate the degree of Micro, Small and Medium Enterprises (MSMEs)’s in East Java using business process maturity model. McCormack model is fine to use for assessing the MSME’s business process that brings out the business process maturity level of MSMEs. On the ninth element of information systems support on BPOM model, we try to adjust the questionnaire items based on the condition of MSMEs in Indonesia which still lagging in the implementation of IT, so it is directing to the concept of IT readiness model by combining the state of IT infrastructure and application of MSMEs. This research also assessing the IT readiness of MSMEs and analyze the result by comparing with the level of maturity. The findings result from this research shows that the maturity of MSMEs in East Java are varying. Yet, the IT readiness of these MSMEs presents high score that indicates there seems to be a strong connection between IT usage, leadership and the maturity level of business process within the organization and explained how business process maturity is relevant to MSMEs.

Measuring Business Process Maturity: Is Hammer Model Validated in Practice

Measuring Business Process Maturity: Is Hammer Model Validated in Practice

Gap Analysis and Measurement of Information Technology Readiness for Improvement of Competitive Capabilities to Small and Medium Enterprises in East Java

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ANALISIS KARAKTERISTIK PEMILIK TERHADAP KESIAPAN TEKNOLOGI INFORMASI PADA USAHA MAKANAN DAN MINUMAN

Most SMEs rely on owners to survive and thrive in business competition. SMEs will continue under competitive pressure and be forced to reevaluate their business processes. BPM is very important for SMEs because it can be used as a tool to manage business processes in order to increase growth. Integrating IT with business processes can improve competitive capabilities. Because the application of IT to SMEs in Indonesia is still low, IT measurement in this study is directed toward IT readiness. Therefore, this study aims to determine the role of business owners in the maturity of business processes and IT readiness on SMEs. Therefore, this study aims to determine the relationship characteristics of the owners of business process maturity and readiness of IT on SMEs. This research uses the qualitative approach with multiple case study method in the food and beverage industry. The results show that educational factors, experience, the innovative behavior of business owners have an effect on business process maturity and IT readiness to SMEs.

Aligning business process maturity level with SMEs growth in Indonesian fashion industry

PurposeThis study aims to develop a business process maturity model, especially on operation processes, based on the characteristics of each organisational growth stage, to increase small and medium enterprises (SMEs) growth. With this information, SMEs can identify their needs and priorities for business process improvement based on the characteristics that are inherent in the organisation.Design/methodology/approachThe proposed model was developed by reviewing the literature on previous studies related to the organisational life cycle and its characteristics, as well as a business process maturity model. Furthermore, historical case studies were conducted to validate the proposed model. Case study objects in this research were fashion industry companies that have grown from an SME scale to national level.FindingsThe results of this research indicate that the characteristics of each growth stage are different, which led to increased complexity and maturity of business processes run. Therefore, SMEs should pay attention to their growth stages, as a basis to improve their business process maturity, especially on the critical processes, which are evaluate products performance, design products and services and monitor sales. Through this model, SMEs can determine the business’ current growth stage and use the proposed model as guidance for business process improvement to accelerate organisational growth.Research limitations/implicationsValidation of the proposed model was done by conducting a historical case study. To generalise the model, it is recommended to survey similar industry and test quantitatively using statistical methods. However, further research can be used in other industries that might yield different results. Besides, this research can also be developed in the supporting process categories.Practical implicationsThis study provides a practical guide for SMEs to identify their current growth stage, and implement the measurement of business process maturity level. Maturity level standard at every growth stage can be used in determining the priority of business process improvement to drive organisational growth.Originality/valueThrough this research, the BPMM method was developed to enable SMEs to implement a self-evaluation process without seeking external assistance and assess their needs through a clear and understandable scale allowing for further development of the business. By using this method, SMEs can manage their business processes maturity level to encourage its growth.

Survey of the companies’ intersectional marketing maturity (IMM)and its relation to the entry timing and segmentation of export target markets (Evidence from a developingcountry)

The purpose of this study is to evaluate the intersection marketing maturity and increases the ability of companies to segment and enter the target export markets in Iranian food producing Companies. Considering the different producing nature of these companies and their wide range of activities, these organizations have been divided into (seafood, dairy products, starchy, dried fruits and chocolate and sweets). According to the ICC, only now the areas with potential export can be placed in the following categories; in each of the above mentioned groups the active Iranian companies in each field of activity 4 companies (totally 25 producing companies) would be determined. The results of the 350 questionnaires showed that companies of chocolate, starch and dried fruit operate their market segmentation (segmentation) with many types of products which will lead to achieve better results in the target market. Also this maturity model should be accepted as a model to evaluate the maturity of business processes and widely uses.

The development of a questionnaire to measure business process maturity

Purpose: the creation of a questionnaire for business process maturity measurement.
 Design/Method/Approach. The authors developed a set of items and applied confirmatory factor analysis in order to demonstrate questionnaire validation and reliability.
 Findings. The model supports prior research to the extent that business process maturity can be explained by strategic alignment, governance and culture. Surprisingly, methodology showed weak result and IT & Technology as well as people did not seem to be part of the model.
 Theoretical implications. This research not only confirmed prior research but also showed that there is wiggle room regarding the underlying factors of business process maturity and how to apply them.
 Practical implications. This research provides a questionnaire for practitioners to assess business process maturity.
 Originality/Value. The authors created a questionnaire that can be used in practice and is based on factors backed up by academic research and findings.
 Research limitations/Future research. The authors suggests applying the questionnaire to a larger sample size as well as expanding the statistical methods used.
 Paper type – empirical.

Evaluating Business Process Maturity Models

Maturity models have become important aids to support process improvement. However, researchers have frequently criticized the many business process maturity models (BPMMs) for differing in quality, which creates a demand for comparing and evaluating these models. This paper describes a well-founded, ranked, and weighted set of critical criteria for BPMMs that are most important to prospective users. The paper also demonstrates how this set can serve as a standard or guideline for designing BPMMs. In evaluating the used sample of BPMMs against the set of criteria, we reveal gaps and shortcomings of current BPMMs, make suggestions for raising the quality of BPMMs, and highlight future research avenues.

Framework for organizational structure re-design by assessing logistics’ business processes in harbor container terminals

Abstract: Container terminal main duty is to organize and optimize the ships flowrate with time efficiency. In addition, these terminals act as feeding point to different transport modalities such as rail, road, naval and air. The fast growth g of container volumes handled at the terminals has the g consequence of congestion and by extension will affect the supply chain of g several companies. To improve the intermodal transport, we must improve the performance of terminal operations, especially the harbor container terminal (HCT). In order to be efficient, the HCTs logistics sector has to reach a certain business process maturity. One strong recommendation to reduce non-compliance with the top management strategy is through auditing and assessment of processes. The organizations are required to implement appropriate governance and compliance with applicable laws and best practices. Consequently, the aim of this article is to understand the functioning and the issues related to the HCTs management. To achieve that, this article proposes a study of HCT processes. It presents a diagnostic solution of non-compliances generated by HCTs processes. Then shows an original and practical approach based on the structural analysis. This approach helps the HCT logistics organizational structure assessment. This research fits into organizational audit issues solving. The auditing will affect the operational aspects of the analytical methods implementation. This organizational reengineering will be based on its existing information system. An integrated software solution is developed for the diagnosis and assessment of the HCTs’ organizational structure.