Value-oriented process modeling : integrating financial perspectives into business process re-design

Purpose – Financial information about costs and return on investments are of key importance to strategic decision-making but also in the context of process improvement or business engineering. In this paper we propose a value-oriented approach to business process modeling based on key concepts and metrics from operations and financial management, to aid decision making in process re-design projects on the basis of process models. Design/methodology/approach – We suggest a theoretically founded extension to current process modeling approaches, and delineate a framework as well as methodical support to incorporate financial information into process re-design. We use two case studies to evaluate the suggested approach. Findings – Based on two case studies, we show that the value-oriented process modeling approach facilitates and improves managerial decision-making in the context of process re-design. Research limitations / implications – We present design work and two case studies. More research is needed to more thoroughly evaluate the presented approach in a variety of real-life process modeling settings. Practical implications – We show how our approach enables decision makers to make investment decisions in process re-design projects, and also how other decisions, for instance in the context of enterprise architecture design, can be facilitated. Originality/value – This study reports on an attempt to integrate financial considerations into the act of process modeling, in order to provide more comprehensive decision making support in process re-design projects.

Experiential knowledge representation and the design of product usability

The topic of designers’ knowledge and how they conduct design process has been widely investigated in design research. Understanding theoretical and experiential knowledge in design has involved recognition of the importance of designers’ experience of experiencing, seeing, and absorbing ideas from the world as points of reference (or precedents) that are consulted whenever a design problem arises (Lawson, 2004). Hence, various types of design knowledge have been categorized (Lawson, 2004), and the nature of design knowledge continues to be studied (Cross, 2006); nevertheless, the study of the experiential aspects embedded in design knowledge is a topic not fully addressed. In particular there has been little emphasis on the investigation of the ways in which designers’ individual experience influences different types of design tasks. This research focuses on the investigation of the ways in which designers inform a usability design process. It aims to understand how designers design product usability, what informs their process, and the role their individual experience (and episodic knowledge) plays within the design process. This paper introduces initial outcomes from an empirical study involving observation of a design task that emphasized usability issues. It discusses the experiential knowledge observed in the visual representations (sketches) produced by designers as part of the design tasks. Through the use of visuals as means to represent experiential knowledge, this paper presents initial research outcomes to demonstrate how designers’ individual experience is integrated into design tasks and communicated within the design process. Initial outcomes demonstrate the influence of designers’ experience in the design of product usability. It is expected that outcomes will help identify the causal relationships between experience, context of use, and product usability, which will contribute to enhance our understanding about the design of user-product interactions.

Improvements to the design of Litesteel Beams undergoing lateral distortional buckling

An Australian manufacturer has recently developed an innovative group of cold-formed steel hollow flange sections, one of them is LiteSteel Beams (LSBs). The LSB sections are produced from thin and high strength steels by a patented manufacturing process involving simultaneous cold-forming and dual electric resistance welding. They have a unique geometry consisting of rectangular hollow flanges and a relatively slender web. The LSB flexural members are subjected to lateral distortional buckling effects and hence their capacities are reduced for intermediate spans. The current design rules for lateral distortional buckling were developed based on the lower bound of numerical and experimental results. The effect of LSB section geometry was not considered although it could influence the lateral distortional buckling performance. Therefore an accurate finite element model of LSB flexural members was developed and validated using experimental and finite strip analysis results. It was then used to investigate the effect of LSB geometry. The extensive moment capacity data thus developed was used to develop improved design rules for LSBs with one of them considering the LSB geometry effects through a modified slenderness parameter. The use of the new design rules gave higher lateral distortional buckling capacities for LSB sections with intermediate slenderness. The new design rule is also able to accurately predict the lateral distortional buckling moment capacities of other hollow flange beams (HFBs).

Life cycle modelling and design knowledge development in 3D virtual environments : final report

Experience plays an important role in building management. “How often will this asset need repair?” or “How much time is this repair going to take?” are types of questions that project and facility managers face daily in planning activities. Failure or success in developing good schedules, budgets and other project management tasks depend on the project manager's ability to obtain reliable information to be able to answer these types of questions. Young practitioners tend to rely on information that is based on regional averages and provided by publishing companies. This is in contrast to experienced project managers who tend to rely heavily on personal experience. Another aspect of building management is that many practitioners are seeking to improve available scheduling algorithms, estimating spreadsheets and other project management tools. Such “micro-scale” levels of research are important in providing the required tools for the project manager's tasks. However, even with such tools, low quality input information will produce inaccurate schedules and budgets as output. Thus, it is also important to have a broad approach to research at a more “macro-scale.” Recent trends show that the Architectural, Engineering, Construction (AEC) industry is experiencing explosive growth in its capabilities to generate and collect data. There is a great deal of valuable knowledge that can be obtained from the appropriate use of this data and therefore the need has arisen to analyse this increasing amount of available data. Data Mining can be applied as a powerful tool to extract relevant and useful information from this sea of data. Knowledge Discovery in Databases (KDD) and Data Mining (DM) are tools that allow identification of valid, useful, and previously unknown patterns so large amounts of project data may be analysed. These technologies combine techniques from machine learning, artificial intelligence, pattern recognition, statistics, databases, and visualization to automatically extract concepts, interrelationships, and patterns of interest from large databases. The project involves the development of a prototype tool to support facility managers, building owners and designers. This final report presents the AIMMTM prototype system and documents how and what data mining techniques can be applied, the results of their application and the benefits gained from the system. The AIMMTM system is capable of searching for useful patterns of knowledge and correlations within the existing building maintenance data to support decision making about future maintenance operations. The application of the AIMMTM prototype system on building models and their maintenance data (supplied by industry partners) utilises various data mining algorithms and the maintenance data is analysed using interactive visual tools. The application of the AIMMTM prototype system to help in improving maintenance management and building life cycle includes: (i) data preparation and cleaning, (ii) integrating meaningful domain attributes, (iii) performing extensive data mining experiments in which visual analysis (using stacked histograms), classification and clustering techniques, associative rule mining algorithm such as “Apriori” and (iv) filtering and refining data mining results, including the potential implications of these results for improving maintenance management. Maintenance data of a variety of asset types were selected for demonstration with the aim of discovering meaningful patterns to assist facility managers in strategic planning and provide a knowledge base to help shape future requirements and design briefing. Utilising the prototype system developed here, positive and interesting results regarding patterns and structures of data have been obtained.

Generative and evolutionary models for design

The paper describes three design models that make use of generative and evolutionary systems. The models describe overall design methods and processes. Each model defines a set of tasks to be performed by the design team, and in each case one of the tasks requires a generative or evolutionary design system. The architectures of these systems are also broadly described.

Empowerment games : empathic design probes for user participation in community housing

This paper documents the empowering process of a group of public housing residents through different design probing exercises. These exercises worked along with existing social processes without any involvement of designers. This paper shows how a design researcher devised a series of probing tools called "empowerment games" with a group of active users. These games are self-learning tools for making the abstract language of design legible to users. The main purpose of this intitiative was to change the preconception of govenmental bodies and professional designers of the passivity of the users with regard to their designed environment. This was the first case of the application of a participatory design process in Hong Kong subsidized housing. Design empathy is a central skill when working with users throughout the whole design research project.

An activity theory framework for industrial design

Ethnography has gained wide acceptance in the industrial design profession and curriculum as a means of understanding the user. However, there is considerable confusion about the particularities of its practice accompanied by the absence of an interoperable vocabulary. The consequent interdisciplinary effort is a power play between disciplines whereby the methodological view of ethnography marginalises its theoretical and analytical components. In doing so, it restricts the potential of ethnography suggesting the need for alternative methods of informing the design process. This article suggests that activity theory, with an emphasis on human activity as the fundamental unit of study, is an appropriate methodology for the generation of user requirements. The process is illustrated through the adaptation of an ethnographic case study, for the design of classroom furniture in India.

Quality-based benefit design in health insurance : the impact of a product benefit design change on the utilisation of oral health services by members of a private health insurance fund in regional and rural New South Wales, Australia

Objective: To examine the impact on dental utilisation following the introduction of a participating provider scheme (Regional and Rural Oral Health Program {RROHP)). In this model dentists receive higher third party payments from a private health insurance fund for delivering an agreed range of preventive and diagnostic benefits at no out-ofpocket cost to insured patients. Data source/Study setting: Hospitals Contribution Fund of Australia (HCF) dental claims for all members resident in New South Wales over the six financial years from l99811999 to 200312004. Study design: This cohort study involves before and after analyses of dental claims experience over a six year period for approximately 81,000 individuals in the intervention group (HCF members resident in regional and rural New South Wales, Australia) and 267,000 in the control group (HCF members resident in the Sydney area). Only claims for individuals who were members of HCF at 31 December 1997 were included. The analysis groups claims into the three years prior to the establishment of the RROHP and the three years subsequent to implementation. Data collection/Extraction methods: The analysis is based on all claims submitted by users of services for visits between 1 July 1988 and 30 June 2004. In these data approximately 1,000,000 services were provided to the intervention group and approximately 4,900,000 in the control group. Principal findings: Using Statistical Process Control (SPC) charts, special cause variation was identified in total utilisation rate of private dental services in the intervention group post implementation. No such variation was present in the control group. On average in the three years after implementation of the program the utilisation rate of dental services by regional and rural residents of New South Wales who where members of HCF grew by 12.6%, over eight times the growth rate of 1.5% observed in the control group (HCF members who were Sydney residents). The differences were even more pronounced in the areas of service that were the focus of the program: diagnostic and preventive services. Conclusion: The implementation of a benefit design change, a participating provider scheme, that involved the removal of CO-payments on a defined range of preventive and diagnostic dental services combined with the establishment and promotion of a network of dentists, appears to have had a marked impact on HCF members' utilisation of dental services in regional and rural New South Wales, Australia.