Asia Pacific Business Process Management

This book constitutes the proceedings of the Second Asia Pacific Conference on Business Process Management held in Brisbane, QLD, Australia, in July 2014. In all, 33 contributions from 12 countries were submitted. After each submission was reviewed by at least three Program Committee members, nine full papers were accepted for publication in this volume. These nine papers cover various topics that can be categorized under four main research focuses in BPM: process mining, process modeling and repositories, process model comparison, and process analysis.

Knowledge management challenges in small-and medium-sized enterprises

Background & Research Focus Managing knowledge for innovation and organisational benefit has been extensively investigated in studies of large firms (Smith, Collins & Clark, 2005; Zucker, et al., 2007) and to a large extent there is limited research into studies of small- and medium- sized enterprises (SMEs). There are some investigations in knowledge management research on SMEs, but what remains to be seen in particular is the question of where are the potential challenges for managing knowledge more effectively within these firms? Effective knowledge management (KM) processes and systems lead to improved performance in pursuing distinct capabilities that contribute to firm-level innovation (Nassim 2009; Zucker et al. 2007; Verona and Ravasi 2003). Managing internal and external knowledge in a way that links it closely to the innovation process can assist the creation and implementation of new products and services. KM is particularly important in knowledge intensive firms where the knowledge requirements are highly specialized, diverse and often emergent. However, to a large extent the KM processes of small firms that are often the source of new knowledge and an important element of the value networks of larger companies have not been closely studied. To address this gap which is of increasing importance with the growing number of small firms, we need to further investigate knowledge management processes and the ways that firms find, capture, apply and integrate knowledge from multiple sources for their innovation process. This study builds on the previous literature and applies existing frameworks and takes the process and activity view of knowledge management as a starting point of departure (see among others Kraaijenbrink, Wijnhoven & Groen, 2007; Enberg, Lindkvist, & Tell, 2006; Lu, Wang & Mao, 2007). In this paper, it is attempted to develop a better understanding of the challenges of knowledge management within the innovation process in small knowledge-oriented firms. The paper aims to explore knowledge management processes and practices in firms that are engaged in the new product/service development programs. Consistent with the exploratory character of the study, the research question is: How is knowledge integrated, sourced and recombined from internal and external sources for innovation and new product development? Research Method The research took an exploratory case study approach and developed a theoretical framework to investigate the knowledge situation of knowledge-intensive firms. Equipped with the conceptual foundation, the research adopted a multiple case study method investigating four diverse Australian knowledge-intensive firms from IT, biotechnology, nanotechnology and biochemistry industries. The multiple case study method allowed us to document in some depth the knowledge management experience of the theses firms. Case study data were collected through a review of company published data and semi-structured interviews with managers using an interview guide to ensure uniform coverage of the research themes. This interview guide was developed following development of the framework and a review of the methodologies and issues covered by similar studies in other countries and used some questions common to these studies. It was framed to gather data around knowledge management activity within the business, focusing on the identification, acquisition and utilisation of knowledge, but collecting a range of information about subject as well. The focus of the case studies was on the use of external and internal knowledge to support their knowledge intensive products and services. Key Findings Firstly a conceptual and strategic knowledge management framework has been developed. The knowledge determinants are related to the nature of knowledge, organisational context, and mechanism of the linkages between internal and external knowledge. Overall, a number of key observations derived from this study, which demonstrated the challenges of managing knowledge and how important KM is as a management tool for innovation process in knowledge-oriented firms. To summarise, findings suggest that knowledge management process in these firms is very much project focused and not embedded within the overall organisational routines and mainly based on ad hoc and informal processes. Our findings highlighted lack of formal knowledge management process within our sampled firms. This point to the need for more specialised capabilities in knowledge management for these firms. We observed a need for an effective knowledge transfer support system which is required to facilitate knowledge sharing and particularly capturing and transferring tacit knowledge from one team members to another. In sum, our findings indicate that building effective and adaptive IT systems to manage and share knowledge in the firm is one of the biggest challenges for these small firms. Also, there is little explicit strategy in small knowledge-intensive firms that is targeted at systematic KM either at the strategic or operational level. Therefore, a strategic approach to managing knowledge for innovation as well as leadership and management are essential to achieving effective KM. In particular, research findings demonstrate that gathering tacit knowledge, internal and external to the organization, and applying processes to ensure the availability of knowledge for innovation teams, drives down the risks and cost of innovation. KM activities and tools, such as KM systems, environmental scanning, benchmarking, intranets, firm-wide databases and communities of practice to acquire knowledge and to make it accessible, were elements of KM. Practical Implications The case study method that used in this study provides practical insight into the knowledge management process within Australian knowledge-intensive firms. It also provides useful lessons which can be used by other firms in managing the knowledge more effectively in the innovation process. The findings would be helpful for small firms that may be searching for a practical method for managing and integrating their specialised knowledge. Using the results of this exploratory study and to address the challenges of knowledge management, this study proposes five practices that are discussed in the paper for managing knowledge more efficiently to improve innovation: (1) Knowledge-based firms must be strategic in knowledge management processes for innovation, (2) Leadership and management should encourage various practices for knowledge management, (3) Capturing and sharing tacit knowledge is critical and should be managed, (4)Team knowledge integration practices should be developed, (5) Knowledge management and integration through communication networks, and technology systems should be encouraged and strengthen. In sum, the main managerial contribution of the paper is the recognition of knowledge determinants and processes, and their effects on the effective knowledge management within firm. This may serve as a useful benchmark in the strategic planning of the firm as it utilises new and specialised knowledge.

Depicting the future strategic plans of the Royal Australian Navy using a roadmapping framework as a visual composite canvas

Strategic planning can be an arduous and complex task; and, once a plan has been devised, it is often quite a challenge to effectively communicate the principal missions and key priorities to the array of different stakeholders. The communication challenge can be addressed through the application of a clearly and concisely designed visualisation of the strategic plan - to that end, this paper proposes the use of a roadmapping framework to structure a visual canvas. The canvas provides a template in the form of a single composite visual output that essentially allows a 'plan-on-a-page' to be generated. Such a visual representation provides a high-level depiction of the future context, end-state capabilities and the system-wide transitions needed to realise the strategic vision. To demonstrate this approach, an illustrative case study based on the Australian Government's Defence White Paper and the Royal Australian Navy's fleet plan will be presented. The visual plan plots the in-service upgrades for addressing the capability shortfalls and gaps in the Navy's fleet as it transitions from its current configuration to its future end-state vision. It also provides a visualisation of project timings in terms of the decision gates (approval, service release) and specific phases (proposal, contract, delivery) together with how these projects are rated against the key performance indicators relating to the technology acquisition process and associated management activities. © 2013 Taylor & Francis.

‘The Pinocchio Effect’ – when managing the brand creation process, across cultures

In global marketing and international management, the fields of Branding and Culture are well discussed as separate disciplines; within both academia and industry. However, there appears to be limited supporting literature, examining brands and culture as a collective discipline. In addition, environmental factors such as ethnicity, nationality and religion are also seen to play a significant role. This in itself adds to the challenges encountered, by those looking to critically apply learning and frameworks, to any information gathered. In the first instance, this paper tries to bring aspects together from Branding and Culture and in doing so, aims to find linkages between the two. The main purpose of this paper is to distil current brand thinking and explore what impact cross-cultural, cross-national, and ethnic interactions have on a brand’s creation. The position of the authors is that without further understanding in this field, a brand will experience what has been termed by them as the ‘Pinocchio Effect’. Pinocchio was a puppet who longed to become a real human being; but sadly encountered difficulties. The conclusion presented is that the critical long-term success of a brand lies in three areas: how it is created; the subsequent associated perceptions; and more specifically in the reality of the relationships that it enjoys. Collectively these processes necessitate an appraisal of connecting strategic management procedures and thinking. Finally, this paper looks into proposing future methods for brand evaluation and strategic management. The aim is to stimulate further thinking in a field; which transcends national, ethnic and cultural boundaries - in the interests of developing new insight, and to provide a platform for marketers to develop more effective communications.

The Sustainability Balanced Scorecard. Linking Sustainability Management to Business Strategy.

The Balanced Scorecard of Kaplan and Norton is a management tool that supports the successful implementation of corporate strategies. It has been discussed and considered widely in both practice and research. By linking operational and non-financial corporate activities with causal chains to the firm's long-term strategy, the Balanced Scorecard supports the alignment and management of all corporate activities according to their strategic relevance. The Balanced Scorecard makes it possible to take into account non-monetary strategic success factors that significantly impact the economic success of a business. The Balanced Scorecard is thus a promising starting-point to also incorporate environmental and social aspects into the main management system of a firm. Sustainability management with the Balanced Scorecard helps to overcome the shortcomings of conventional approaches to environmental and social management systems by integrating the three pillars of sustainability into a single and overarching strategic management tool. After a brief discussion of the different possible forms of a Sustainability Balanced Scorecard the article takes a closer look at the process and steps of formulating a Sustainability Balanced Scorecard for a business unit. Before doing so, the basic conventional approach of the Balanced Scorecard and its suitability for sustainability management will be outlined in brief.

Three strategic dimensions of information security in ecommerce : a literature review based conceptual model

Important eCommerce requirements are a robust and secure technical infrastructure, and the ability to ensuring the security of information, and to satisfying certain related legal requirements. In this paper, based on a literature review, we present a high-level conceptual model of information security in eCommerce, consisting of three strategic dimensions: protecting organizations' information, satisfying certain legal requirements, and enabling trusted and secure electronic transactions. Our conceptual model can be used by eCommerce managers as a tool in the strategic planning and management process, to better understand and communicate the inter-dependencies between business and legal requirements. The model can also be used for devising the goals and objectives relevant to their specific organization, for designing the policies that are needed, and deciding how technology will be managed and what training is required.

An education and training framework for disaster risk management in banks

Banks are the most significant financial institutions operating within nation-state and the global financial system. These institutions are exposed to a wide range of operational risks. Disaster risk management is a critical component of the wider operational risk management. The Bank for International Settlements, in conjunction with nation-state prudential regulators, is introducing measures that will require banks to identify, measure and manage operational risks within the context of new capital adequacy requirements. An essential part of any risk management process is education and training. This paper presents a structured education and training framework that will support the achievement of banks’ disaster risk management objectives. The education and training framework comprises three specific programs: (1) an induction/awareness program targeted to all personnel, (2) a contingency planning program – a specialist program for disaster risk management personnel, and (3) an executive program designed for senior management, directors and strategic decision makers.

Critical success factors for the requirements engineering process, with reference to quality management of information systems development

Preliminary research into the critical factors associated with software development/implementation identified three dimensions for successful implementation based on alignment of the requirements engineering process with business needs, change management process and quality of the implementation process. Research results demonstrate the link between the conceptual model for process quality and the process management attributes determined during the research.

Diffusing knowledge-based core competencies for leveraging innovation strategies: modelling outsourcing to knowledge process organizations (KPOs) in pharmaceutical networks

As pharmaceutical firms try to market their products and reduce costs, vertically integrated structureshamper innovation processes. Yet, pharmaceutical firms must innovate to compete. Outsourcing knowledgeintensive activities to knowledge process organizations (KPOs) serves to reduce innovation process obstacles.Grounded in diffusion theory and strategic management literature, this conceptual paper explores fourinterrelated strategic concepts: core competencies, economies of scale and scope, knowledge sharing,and learning. This paper claims that (a) accumulated core competencies of multinational pharmaceuticalcompanies (MPCs) erode over time and these companies become dependent on KPOs (b) MPCs mustunderstand how KPOs manage core competencies (c) economies of scope benefit KPOs enabling them tosustain competitive advantages for their MPC partners, meanwhile the benefits from economies of both scaleand scope shift from MPCs to KPOs (d) KPOs need to monitor their rate of learning to remain competitive.The paper identifies implications for industrial managers and directions for future research.

Towards a strategic CSR: A Brazilian case study

Purpose - Organisations may be considered, at the same time, either part of the problem or part of the solution for the social-environmental crisis that is occurring. To be part of the solution, they must head for a strategic management of corporate social responsibility (CSR). The objective of the present study is to identify and analyse the interfaces between theoretical models of strategic implementation of CSR and the variables and major players involved in this process. Design/methodology/approach - This is a qualitative research using a case study strategy. The company chosen for this case study has been highlighted as one of the best national companies to work for, with significant social responsibility indices. Findings - The case study found some results, such as the importance of aligning with human resource management for strategic implementation of CSR and the integrative characteristic between different workers, that are essential for this process. Originality/value - Only a few international articles discuss CSR in Brazil. The results could be useful for classes focusing on Doing business in Brazil. © Emerald Group Publishing Limited.

The Role of Artefacts in the Process of Replication

This paper investigates the role of artefacts for the replication or routines in organizations. Drawing on data of a large franchise organization in the UK, we show that actors' engagement with a portfolio of different primary (e.g. software, tools) and secondary (e.g. manuals) artefacts that are part of the business format, gives rise to five artefact enabled practices of replication (activity scoping, time patterning, practical enquiry, use in practice and contextual enquiry). Importantly, these practices of replication enable three different types of franchisee agency (iterational, practical evaluative and projective agency) that support but partly also challenge replication in terms of the similarity of organizational routines across units. Our findings have several theoretical contributions for the growing literature on replication as well as materiality and artefacts in organizations.

Risk management at board level: a practical guide for board members

isk Management today has moved from being the topic of top level conferences and media discussions to being a permanent issue in the board and top management agenda. Several new directives and regulations in Switzerland, Germany and EU make it obligatory for the firms to have a risk management strategy and transparently disclose the risk management process to their stakeholders. Shareholders, insurance providers, banks, media, analysts, employees, suppliers and other stakeholders expect the board members to be pro-active in knowing the critical risks facing their organization and provide them with a reasonable assurance vis-à-vis the management of those risks. In this environment however, the lack of standards and training opportunities makes this task difficult for board members. This book with the help of real life examples, analysis of drivers, interpretation of the Swiss legal requirements, and information based on international benchmarks tries to reach out to the forward looking leaders of today's businesses. The authors have collectively brought their years of scientific and practical experience in risk management, Swiss law and board memberships together to provide the board members practical solutions in risk management. The desire is that this book will clear the fear regarding risk management from the minds of the company leadership and help them in making risk savvy decisions in quest to achieve their strategic objectives.

An Integrated Approach to Strategic Asset Management

This paper focuses on identifying and analysing the elements of Strategic Management for infrastructure and engineering assets. These elements are contended to involve an understanding of governance, corporate policy, corporate objectives, corporate strategy and interagency collaboration and will in turn, allow the ability determine a broader and more comprehensive framework for engineering asset management, ie a ‘staged approach’ to understanding how assets are managed within organisations. While the assets themselves have often been the sole concern for good management practices, other social and contextual elements have come into the mix in order to promote strategic asset management. The development of an integrated approach to asset management is at the base of the research question. What are the considerations and implications for adopting and implementing an integrated strategic asset management (ISAM) framework? While operational matters have been given prominence, a subset of corporate governance, Asset Governance, details the policies and processes needed to acquire, utilise, maintain and account for an organisation’s assets. Asset governance stems from the organisation’s overarching corporate governance principles; as a result it defines the management context in which engineering asset management is implemented. This aspect will be examined to determine the appropriate relationship between organisational strategic management and strategic asset management to further the theoretical engagement with the maturity of strategy,policy and governance for infrastructure and engineered assets. Asset governance stems from the organisation’s overarching corporate governance principles; as a result it defines the management context in which engineering asset management is implemented. The research proceeds by a document analysis of corporate reports and policy recommendations in terms of infrastructure and engineered assets. The paper concludes that incorporating an integrated asset management framework can promote a more robust conceptualisation of public assets and how they combine to provide a comprehensive system of service outcomes.