Business Process Performance Research Articles

УПРАВЛІННЯ ОРГАНІЗАЦІЙНИМ РОЗВИТКОМ ПІДПРИЄМСТВА НА ОСНОВІ АРХІТЕКТУРНОЇ МОДЕЛІ УПРАВЛІННЯ БІЗНЕСОМ

The article identifies the features of building a management system for organizational development of the enterprise on the basis of the architectural model of business management. Synchronization of strategic and operational tasks of business with organizational development is determined. The issue of developing the architecture of organizational development in the constantly changing landscape of business processes in the context of the architectural approach to enterprise management is substantiated. It is proposed to use the TOGAF methodology for design, planning, implementation, management of organizational development of the enterprise. The Benefit Diagram of management of organizational development of the enterprise as a component of TOGAF methodology is constructed. A hierarchical structure of enterprise architecture is built, consisting of seven levels. The business architecture is based on process management, and business management systems (BPM) are used to develop it. BPM monitors business processes, collects valuable performance statistics, and provides a basic set of business process performance reports. Based on them, you can set key performance indicators (KPIs), which will be interrelated with a balanced scorecard (BSC). It is determined that the management of organizational development should take place at all levels of enterprise architecture. It is proved that the construction of the model allows to constantly change the needs for information in order to form an adequate organizational infrastructure of the enterprise and creates opportunities to determine the architectural model of business development. Changes in business architecture must take place continuously at the operational, tactical and strategic levels. This requires the improvement and synchronization of information flows that support business processes, improving the quality of methods, models and knowledge systems accumulated in management decisions. The development of the model becomes possible under the condition of continuous monitoring and audit of the organizational infrastructure. Prospects for further development are the development of a road map (road map) to clarify actions for the development of the target architecture of the business model.

Applying Network Reliability in Business Management Activities

A new application of network reliability is proposed to help analyze a business process performance in usual business activities. This research is to construct an easy, formal and mathematical tool to probe the health of daily-run business activities. A business activity consists of a series of value-added tasks, which are carried out by their related attenders, to meet business objectives. Traditional management behaviors include practices and skills to sustain the plan, sanction, management, and analysis of business activities. However, the assessment of activity performance remains a weak gap in analytic requirements. The approach proposed in this paper is one of the expected tools to fill the gaps in traditional management practices. The paper is to provide managers several new visions of modeling and analysis, which are not easily derived by traditional management practices. A distributor process with several scenarios to explain the approach are explored, and discussed.

Agent System Mining: Vision, Benefits, and Challenges

In the Agent-Based Modeling (ABM) paradigm, an organization is a Multi-Agent System (MAS) composed of autonomous agents inducing business processes. Process Mining automates the creation, update, and analysis of explicit business process models based on event data. Process Mining techniques make simplifying assumptions about the processes discovered from data. However, actual business processes are often more complex than those restricted by Process Mining assumptions. Several Process Mining approaches relax these standard assumptions by discovering more realistic process models. These approaches can discover more realistic process models. However, these models are often difficult to visualize and, consequently, to understand. Many MASs induce processes whose behaviors become more complex with each next embraced time step, while the complexities of these MASs remain constant. Thus, the ABM paradigm can cope naturally with the increasing complexity of the discovered process models. This paper proposes Agent System Mining (ASM) and ASM Framework. ASM combines Process Mining and ABM in the Business Process Management (BPM) context to infer MAS models of operational business processes from real-world event data, while ASM Framework maps ASM activities to different phases of the MAS modeling lifecycle. The paper also discusses the benefits of using ASM and outlines challenges associated with the implementation of the ASM Framework.

The use of different notations of design of business processes of trade enterprise is for planning of his activity

The article presents the procedure for further improvement of the functioning of a domestic trade enterprise to ensure its competitiveness and sustainability, which is associated with the processes of adjustment, regulation, reorganization and improvement of business processes. The possibility of increasing of efficiency of planning of functioning of trade enterprise is on the basis of design of business processes, that allows evident to represent all processes and stages of activity and management, set existent problems, define resources, regulations, tasks and desirable results. It is well-proven that construction and use of models of business processes in different notations it is aimed at the increase of efficiency of planning of functioning of trade enterprise, as these models allow evidently to represent all processes and stages of activity and management, set existent problems as «critical points» of process, to define resources, regulations, tasks and results. For determination of the state of functioning of basic business processes of enterprise for the evident image of processes and stages of works is built diagram basic to the business process in the system of design of business processes – «Bizagi. Modeler», that is sent to the design, implementation, automation and analysis of business processes in the module of Modeler in notation of BPMN, where the sequence of executions and events is designed. The diagram of actions of the main business process of the trading enterprise in the standard of modeling of business processes – «Bizagi. Modeler» allowed establishing a list of business process operations and a list of documents with their characteristics. Offered model in notation of IDEF0 basic to the business process foresees the construction of business-function or work (presented on diagrams as rectangles) and data and objects (represented as pointers that link inter se works), here to the mechanism of management belong: personnel; capital assets and technical equipment. In the article possibilities of introduction of modern tool of improvement of business processes are investigational the realization of commodity in the conditions of domestic trade enterprise, considered directions of improvement of efficiency of functioning of basic business processes of enterprise; expediency of introduction of control system by business processes is select and well-proven on the basis of their regulation and design for providing of efficiency of work of shop. For this purpose, the tool of the strategic planning of platform is select and applied business is a design of «ARIS Express», removes the basic stages of the strategic planning of development of trade enterprise. In the article the result of decoupling is presented to the business process of the strategic planning on the basis of results of functional design of standard of IDEF0 of process of planning of activity, allows as good as possible to describe, to regulate the business processes of activity of base enterprise.

Management accounting as business process of the dairy plant

The features of management accounting as a separate business process of the dairy plant are considered in this paper. It is substantiated at present there is the need to treat management accounting as a business process, because it, like all other business processes, is a set of consistent actions focused on making profits. According to CIPA standards management accounting can be focused on the identification of the growth factors of the enterprise value. It is determined that in the methodological plan the business process «management accounting» is based on a certain microeconomic model, which determines the movement of information, material, financial flows in the enterprise; due to the systematic use of tools (accounting methods, accounting systems, etc.) provides the interaction of the functions of financial, operational, technical and statistical accounting with the functions of planning, organization, motivation, control and regulation. The result of this business process operation should be a specific management decision – the result of management entity’s selection of the action method aimed at solving the problem in the existing or projected situation. The set of tasks for setting the system of procedures and regulations for management accounting focused on process-oriented management model is solved, the need to understand that this type of accounting is not a set of rules and methods, but separate business process for collecting, processing, storing and providing information is outlined. It is noted that in practice the allocation of management accounting in the separate business process makes it possible to define clearly its place in the enterprise management system; to consider management accounting as the part of management providing the company with the final economic result; to interpret management accounting in terms of economic efficiency, adjusting it in accordance with the results provided by this accounting system.

Learning Orientation, Service Innovation and Performance of Hotels in Ilocos Sur

The study determined the level of learning orientation and service innovation; likewise, it assessed the performance of hotels in Ilocos Sur. It employed the descriptive-correlational method of research. It found out that the hotels have high levels learning orientation and service innovation practices in service, market, process, and organization-related dimensions. The hotels in Ilocos Sur have a high level of performance. Managers are still encouraged to pair employees with mentors. Mentoring relationships can foster positive and productive working relationships, helping employees learn and gain encouragement and support in their jobs. When coached with encouragement, employees can help the hotel adapt to changes and reach the next level of success. 2.Hotels should build more networks. By having more connections, there will be bigger opportunities. Having more social networks and local and international professional groups like Hotel and Restaurant Associations of the Philippines and Philippine Hotel Owners Association Inc. will help hotels build stronger connections, thus increasing their financial, guests, and internal business process performance.

A project management approach to competitive intelligence

The research problem that this study seeks to solve is to examine the relationshipbetween competitive intelligence (CI) and project management (PM). These disciplines coincidein their threefold approach to action, collection of results, and ability to react in response toenvironmental signs. However, the academic and professional literature has not explored thepossible synergies between CI and PM, with the exception of the seminal proposals by Prescottin 1988 and 1999. The aim of this opinion article is to propose a new methodological approachfor the production and transfer of CI in accordance with the international standards of PM. Themethodology consists of an inductive reasoning process from specific observations and evidencegathered in our professional experience as CI practitioners over twenty years, contrasted withthe findings of the scientific literature, the PMBOK® Guide of the Project ManagementInstitute, and with the CI model proposed by the most relevant Spanish technical standards inR&D&I management and strategic intelligence management. The paper discusses the vision ofintelligence production and dissemination in a project with five phases or groups of processes:initiation, planning, execution, monitoring and control, and closure. Also, the responsibilities ofthe human intelligence team are exposed. This proposal could be an alternative to thedepartmental-based intelligence cycle model more aligned with the organizational culture andthe usual operational practices and business processes of companies, founded on the design anddeployment of projects with a specific beginning and end that is carried out to create a product,service or unique result. It is concluded also that there is a need for undertaking experimentalimplementation and case studies of this proposal in companies and their assessment by futureacademic studies.

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).

LEVERAGING FIRM PERFORMANCE THROUGH INFORMATION TECHNOLOGY STRATEGIC ALIGNMENT AND KNOWLEDGE MANAGEMENT STRATEGY: AN EMPIRICAL STUDY OF IT-BUSINESS VALUE

A central question for researchers and practitioners is whether and how knowledge management strategy (KMS) and information technology (IT) strategy alignment can help attain a competitive advantage. To address this question, this study draws on information strategic alignment (ITSA), and empirically examines the relationship between a firm’s KMS and IT on competitive performance. The survey examined empirical data from 225 Brazilian companies using the partial least squares path modeling to test the hypotheses proposed herein. The findings demonstrated that KMS exert significant, positive effects on ITSA, benefits of IT use (BUTI), business process performance (BPP), and firm performance (FP). The results suggest that researchers and practitioners should look beyond the direct effects on FP, and identify how KMS and ITSA can be leveraged to enable and support BPP, and thereby contributed to knowledge management strategy and IT business value literature.

An empirical study on the relationship among IT capabilities, business process and firm's performance

An empirical study on the relationship among IT capabilities, business process and firm's performance

BUSINESS PROCESS LIFE CYCLE AFFECTS COMPANY FINANCIAL PERFORMANCE: MICRO, SMALL, AND MEDIUM BUSINESS ENTERPRISES DURING THE COVID-19 PERIOD

The business process life cycle is a collection of structured work activities that are interconnected to solve a problem that results in an output (product / output) or service that achieves goals and supports the achievement of strategic goals and objectives of an organization's financial performance. Business processes aim to achieve financial performance that is effective, efficient and increases the productivity of an organization. The life cycle of micro, small and medium enterprises aims to survive post-Covid-19 in order to increase the productivity performance of the organization's financial performance. To achieve this goal, an organization needs a good business process to support the organization's financial performance and business ventures in designing activities to produce new products in order to develop management techniques so that they can survive the midst of the global Covid-19 crisis. The product life cycle that can identify opportunities for environmental improvement is an important part of an organization that aims to minimize total costs, low prices and production results, improve the financial performance of micro, small, and medium business processes. Techniques in producing using financial and non-financial information, to improve the company's financial performance, and to contribute to the sustainability of business processes aim to provide physical information on material and energy use, as well as monetary information on costs, revenues and savings related to the company's financial performance. This research was carried out on micro, small and medium enterprises in Indonesia. This research method is descriptive and verification methods, the analysis tool is structural equation modeling (SEM, Lisrel). The results showed that the business process life cycle had an effect on the financial performance of the Covid-19 small, and medium enterprises business companies.Keywork: Business Process Life Cycle, Corporate Financial Performance. Micro, Small, And Medium Enterprises, Covid-19 PeriodJEL Classifications: E3, G2DOI: https://doi.org/10.32479/ijefi.10516

The Influence of Political Environment on the Performance of Business Process Outsourcing Sector in Kenya

The purpose of this study is to establish the influence of the political environment on the performance of the Business Process Outsourcing Sector in Kenya. The study covered all the 118 registered business process outsourcing companies in Kenya. Descriptive and inferential statistics were used in this study. The descriptive results indicate that the political climate in Kenya has not been conducive to the business process outsourcing sector. The inferential results indicated that the political environment had a statistically significant influence on the performance of the business process outsourcing sector in Kenya. The study, therefore, concludes that a conducive political environment is vital for the business process outsourcing sector to thrive. The study suggests that the government ought to consider developing and implementing measures and policies that will ensure a conducive political environment to enable BPO companies to thrive.

The Balanced Scorecard as a Tool Evaluating the Sustainable Performance of Chinese Emerging Family Farms—Evidence from Jilin Province in China

The purpose of this paper is to apply the Balanced Scorecard (BSC) concept to the sustainable performance evaluation of emerging family farms in Jilin, China. A sustainable performance evaluation system was constructed based on the BSC. A questionnaire survey was used with a sample of 156 emerging family farms involved in the production of planting (grain, horticultural crops) and breeding (animal products) enterprises in Jilin, China. The Analytic Hierarchy Process (AHP)-Fuzzy Comprehensive Evaluation method (FCE) was used for the sustainable performance evaluation by different BSC dimensions, farm types, and regions. This empirical study revealed that the BSC is applicable for the farm sustainable performance evaluation in the Chinese context. The key is selecting suitable indicators for the evaluation index system while considering the particularity of market, resources, management, and personnel. The sustainable performance of the investigated family farms is in the slightly above moderate level as a whole. Financial performance and market performance are above moderate, while internal business process performance is moderate, and learning and growth performance is below moderate. They are facing difficult challenges to upgrade in terms of marketing and financing channels, branding, and organic production. Industrial differences existed in the farms’ sustainable performance. Farms combining planting and breeding have better sustainability, which could be a signal for transformation of the traditional single planting or breeding modes in China. The internal business process performance of grain farms is significantly less, due possibly to long-term policy support and protection with less of an emphasis on ecological outcomes. Subtle regional differences in the overall sustainable performance of surveyed family farms suggest that farm performance depends more on management than on external environment.

Effect of lean six sigma on firm performance: A case of Indian automotive component manufacturing organization

The main focus of this article is to assess the effects of Lean Six Sigma (LSS) adaptation on firm performances. The study was conducted on various automotive components manufacturing organizations located in different regions within India. The effects on firm performances were identified by using an integrated approach. However, factor analysis and multiple regression analysis approaches were performed to evaluate the questionnaire survey data. The analysis observed the financial performance was more impacted than others while LSS adaptation in automotive components manufacturing organization. Also, the adaptation of LSS leads these firms to enhance their other performances such as customer, learning, and growth and business process performances.

Business Analytics Adoption and Firm Performance: An Efficiency Study via Cross-Industry Comparison

Due to the increasing popularity of business analytics (BA), investigation of the adoption of BA and its subsequent impact on firm performance has become an important research topic. Drawing on the fundamentals of the resource-based view, this study proposes a data envelopment analysis model to assess the adoption efficiencies of BA applications in terms of the level of achievement on firm performance, including decision-making performance (DMP), business-process performance (BPER) and financial performance (FP). Based on the survey data from 204 medium-to-high level business executives in various industries, the results of this empirical study provide a statistical support to the cross-industry differences of BA adoptions efficiencies and indicate that the firms in tertiary industries have the highest level of efficiency in terms of BA adoption and its impact on firm performance followed by the firms in technology-intensive and resource-intensive industries, respectively.

The Institutional Isomorphism of Environmental Sustainability in Developing Economies - Ecosystem

Coercive pressure has forced the firms to take up environmental measures in the last two decades in emerging economies. Under normative pressure, large firms, whose focus is far more than mere survival, have started appreciating and realizing the long-run benefits of environmental sustainability. Purpose: In a little mature emerging economy, such as India, where environmental awareness is growing. The government facilitates to build an environmental sustainability ecosystem. We investigate how do environmental compliance and environmental practices influence the overall performance? Design/Methodology/Approach: The firm performance was measured in terms of financial, customer, internal business process, and learning and growth performance. A survey instrument was designed using well-established scales and administered to the middle to top corporate management executives to gather 240 data from the Indian firms. A rigorous validity, diagnostics, and SEM were used to test the hypotheses. Findings: The full mediation of environmental practices on the effect of environmental compliance was supported besides the direct impact of environmental sustainability and its dimensions on performance. The results of this study established the institutional isomorphism of the industry ecosystem in developing countries for environmental sustainability. The results have academic and managerial implications discussed in detail. Originality/Value: The examination of mediation relationships in an environmental sustainability context is limited. This paper is among the initial works which deal with complicated mediation relationship drawn from the propositions of institutional theory. The study established and argued that the ecosystem of environmental practices would turn firms towards improved environmental compliance, and eventually enjoy long term performance. Keywords: Environmental sustainability, environmental compliance, environmental practices, firm performance, institutional theory

Sustainability in Business Process Management as an Important Strategic Challenge in Human Resource Management

The main goal of human resource management (HRM) is to create conditions that allow enterprises to run businesses effectively by following the maximum performance and sustainability of business processes, which are key factors for an enterprise to succeed on the market. For effective management of employees as a part of HRM, systematic employee motivation is necessary because human resources are a key factor for achieving enterprise sustainability. As employees can be motivated by everything stimulating their activity, the aim is to define the importance of employee motivation through the most important motivation factors relating to mutual relationships. The emphasis is put on the identification of statistically significant differences in terms of socio-demographic features of employees. At a significance level of 5%, the statistically significant differences in terms of gender, age, and job were tested further using Tukey’s honestly significant difference test. The research results showed a large number of statistically significant differences between individual employee categories. This leads to the conclusion that employers should focus on creating individual motivation programs for employees and not approach employees uniformly because of their various needs. Creating individual motivation programs for employees should respect their needs in terms of gender, age, and job position. Enterprises are recommended to focus their motivation programs on supporting motivation factors related to finance, mutual relationships, and work conditions.

How does Organizational Culture Affect Proton’s Employee Performance?

Organizational culture is very important especially for a group of people who work together since we believe that this is one of the main factors that contribute to the organization’s success. Therefore, the purpose of this paper is to determine how does organizational culture affects PROTON’s employee performance in this automotive industry. As we know, applying an effective organizational culture represents a special challenge but it can help PROTON in making better products over the long-term. Data were gathered by using an online survey with a sample of 210 employees. As an international corporation (PROTON), we found out that the organizational culture always gives a big impact on the business process and employee performance due to cross-cultural differences.

Conceptualizing on dynamically stable business processes operation: a literature review on existing concepts

PurposeThe purposes of this paper are: (1) to identify what types of business process operation controllers are discussed in literature and how can they be classified in order to establish the available body of knowledge in the literature, and then, (2) to identify which concepts are relevant for business process operation control and how are these concepts related in order to offer a reference model for assessing how well are control layers enforced in the dynamic stable nature of an enterprise' business processes operation.Design/methodology/approachOne cycle of the circular framework for literature review as proposed by Vom Brocke et al. (2009) is followed. Five stages are comprised: (1) definition of review scope (Section 1 and 2), (2) conceptualization of topic (Section 3), (3) literature search (Section 4), (4) literature analysis and synthesis (Section 5), and (5) definition of a research agenda (Section 6 that also concludes the paper). Vom Brocke, J., Simons, A., Niehaves, B., Niehaves, B., Reimer, K., Plattfaut, R., and Cleven, A. (2009), “Reconstructing the giant: on the importance of rigour in documenting the literature search process”, ECIS 2009 Proceedings, Vol. 161.FindingsResults indicate that (1) many studies exist in the literature, but no integrated knowledge is proposed, hindering the advance of knowledge in this field, (2) a knowledge gap exists between the implemented solutions and the conceptualization needed to generalize the solution to other contexts. Also, the ontology proposed provides a reference model for assessing the maturity of the business process control operation.Research limitations/implicationsThe contents contained in the paper needs to be further deepened to include the concepts of “business process management” and “business process mining”, as well as a semantic equivalence study between concepts can integrate better this conceptual framework and identify similarities. Then, the relationship between industries and dynamically stable business processes operation concepts have not yet been fully investigated. Thirdly, the atypical curve of interest that business processes operational control has been receiving in literature is not fully understood.Practical implicationsSome example applications that could benefit from this ontology are (1) security policy for business processes fine grained access control; (2) business processes enforced with decentralized policies, e.g. blockchain; (3) business process compliance and change; or (4) intelligent enterprise decision-making process, e.g. using AI trained neural network to support the human decision to choose if a control actuation is positive or negative instead of relying only on human-based decisions.Social implicationsWe understand that business process operation is a dynamically stable system, where steady motion is achieved with the continuous imposition of actor's actions. Therefore, all the work that contribute to the development of knowledge regarding the actor's actions in their execution environment offer the ability to optimize, and/or reengineering, business processes delivering more social value or better social conditions.Originality/valueIn the best of our knowledge this work is unique in the sense that integrates a set of concepts that is rarely, or never, combined. Table 3 corroborates this result.

Improve IT Business Process Performance Using AI and Deep Learning

Perfection is an ambitious goal. However, it’s right to say that in-Service Management we aspire to do the best we possibly can. We improve our performance through practice, but for real acceleration, we need to take a fresh approach. “IT is the backbone of the modern enterprise”—if this is the case and we demand a consistently high level of performance from our IT staff now is the time to think about how best to achieve this. With the use of AI powered autonomous micro-learning coupled with machine learning, employees can now be evaluated and coached by providing instance learning and feedback in real time so as to improve process performance.