Introduction to the Proceedings of the 1st EDOC 2009 Workshop on Service-Oriented Business Networks and Ecosystems (SOBNE '09)

The first Workshop on Service-Oriented Business Networks and Ecosystems (SOBNE ’09) is held in conjunction with the 13th IEEE International EDOC Conference on 2 September 2009 in Auckland, New Zealand. The SOBNE ’09 program includes 9 peer-reviewed papers (7 full and 2 short papers) and an open discussion session. This introduction to the Proceedings of SOBNE ’09 starts with a brief background of the motivation for the workshop. Next, it contains a short description of the peer-reviewed papers, and finally, after some concluding statements and the announcement of the winners of the Best Reviewer Award and the Most Promising Research Award, it lists the members of the SOBNE ’09 Program Committee and external reviewers of the workshop submissions.

Context change archetypes : understanding the impact of context change on business processes

The emergence of Enterprise Resource Planning systems and Business Process Management have led to improvements in the design, implementation, and overall management of business processes. However, the typical focus of these initiatives has been on internal business operations, assuming a defined and stable context in which the processes are designed to operate. Yet, a lack of context-awareness for external change leads to processes and supporting information systems that are unable to react appropriately and timely enough to change. To increase the alignment of processes with environmental change, we propose a conceptual framework that facilitates the identification of context change. Based on a secondary data analysis of published case studies about process adaptation, we exemplify the framework and identify four general archetypes of context-awareness. The framework, in combination with the learning from the case analysis, provides a first understanding of what, where, how, and when processes are subjected to change.

Means of achieving Business Process Management success factors

Business Process Management (BPM) in recent years has become a highest priority area for most organizations. Since this concept is multidisciplinary, success in this endeavour requires considering different factors. A number of studies have been conducted to identify these factors; however, most are limited to the introduction of high-level factors or to the identification of the means of success within only a specific context. This paper presents a holistic framework of success factors as well as the associated means for achieving success. This framework introduces nine factors, namely culture, leadership, communication, Information Technology, strategic alignment, people, project management, performance measurement and methodology. Each of these factors are characterized further by defining some sub-constructs and under each sub construct the means for achieving success are also introduced. This framework including means for achieving success can be useful for BPM project stakeholders in adequately planning the initiative and checking the progress during the implementation.

The managerial benefits of tax compliance: perception by small business taxpayers

Research undertaken in 2006 – 2007 investigated the perception of managerial benefits of tax compliance by small business taxpayers. Survey data from a sample of 300 small business taxpayers and responses to semi-structured interviews of owner managers were examined. The study found that a majority of small business taxpayers recognised that tax compliance activities led to better record keeping and to an improved knowledge of their financial affairs. However, there seemed to be a general reluctance by respondents to accept the idea that benefits could be derived as a result of complying with tax. The findings of this study are important as it is the first research that systematically investigated managerial benefits and their perception by small business taxpayers in Australia.

Empowerment for lifelong learning : embedding information literacy into the business curriculum

Success in modern business demands effective information literacy to address the ever-changing business context. This context includes changes in Government policy reflected through legislation and regulations, developments in case law and expectations of professional associations and the public. Students require the skills to continue their own learning beyond the completion of their degree, since learning the subject content of a course alone sufficient. This paper considers the methods utilised to embed information literacy, in the context of generic skills and graduate attributes, into a Business degree’s curriculum. The paper describes how information literacy has been embedded in two sequential third-year Taxation Law courses, allowing for the explicit development of information literacy. Through the development of legal reasoning and research skills, students are empowered to continue their lifelong learning, which successful professional practice demands. The study will draw upon the experience of the course convener in designing, teaching and evaluating the courses, and on students’ experiences as illustrated through evaluation questionnaire responses and interviews. The findings of this study could be relevant to other business courses, especially company law and auditing.

Quality-aware business process management

Business Process Management (BPM) has emerged as a popular management approach in both Information Technology (IT) and management practice. While there has been much research on business process modelling and the BPM life cycle, there has been little attention given to managing the quality of a business process during its life cycle. This study addresses this gap by providing a framework for organisations to manage the quality of business processes during different phases of the BPM life cycle. This study employs a multi-method research design which is based on the design science approach and the action research methodology. During the design science phase, the artifacts to model a quality-aware business process were developed. These artifacts were then evaluated through three cycles of action research which were conducted within three large Australian-based organisations. This study contributes to the body of BPM knowledge in a number of ways. Firstly, it presents a quality-aware BPM life cycle that provides a framework on how quality can be incorporated into a business process and subsequently managed during the BPM life cycle. Secondly, it provides a framework to capture and model quality requirements of a business process as a set of measurable elements that can be incorporated into the business process model. Finally, it proposes a novel root cause analysis technique for determining the causes of quality issues within business processes.

Introducing a Business Process and Software Centric Approach for Enterprise System Teaching

To meet new challenges of Enterprise Systems that essentially go beyond the initial implementation, contemporary organizations seek employees with business process experts with software skills. Despite a healthy demand from the industry for such expertise, recent studies reveal that most Information Systems (IS) graduates are ill-equipped to meet the challenges of modern organizations. This paper shares insights and experiences from a course that is designed to provide a business process centric view of a market leading Enterprise System. The course, designed for both undergraduate and graduate students, uses two common business processes in a case study that employs both sequential and explorative exercises. Student feedback gained through two longitudinal surveys across two phases of the course demonstrates promising signs of the teaching approach.

Why new business development projects fail : coping with the differences of technological versus market knowledge

Managing through projects has become important for generating new knowledge to cope with technological and market discontinuities. This paper examines how the fit between the creation of technological and market knowledge and important project management characteristics, i.e. project autonomy and completion criteria, influences the success of new business development (NBD) projects. In-depth longitudinal case research on NBD projects commercialised from 1993 to 2003 in the consumer electronics industry highlights that project management characteristics focusing only on the creation of technological knowledge contributed to the failure of those NBD projects that required new market knowledge as well. The findings indicate that senior management support and engaging in an alliance with partners possessing complementary market knowledge can offset this misalignment of the organisation of NBD projects.

Small business pedagogic practices

Understanding how learning for small businesses should best proceed constitutes a worthwhile, yet challenging, pedagogic project. In order to maintain their viability, small businesses need to be able to respond to new practices and tasks. Yet small businesses seem neither attracted to nor to value the kinds of taught courses that are the standard pedagogic practice of vocational education systems.

Small Business and entrepreneurship policy

There are two key approaches to entrepreneurship, each of which has different implications for small business policy (Danson 2002). The first conceives of entrepreneurship as an economic process and can be traced to the work of Joseph Schumpeter who developed the concept of creative destruction to describe the entrepreneurial process that led to the simultaneous elimination of old industries and activities and the creation of new activities through the commercial application of new ideas. While entrepreneurship as a process of creative destruction might include start up activity amongst small firms, it does not exclusively involve small firms as large firms may contribute to the entrepreneurial process through the generation of new knowledge and by assisting in financing the development of new ideas amongst small firms. Although innovation occurs in large as well as small firms, the literature on small enterprise innovation draws heavily on Schumpeter’s depiction of the central role of the entrepreneur in the process of creative destruction, whereby the economic system is transformed from within and new cycles in economic life emerge in which new industries and markets replace old industries and markets. Schumpeter argued that entrepreneurs drove the process of innovation and that innovation was a stimulus to economic development and involved the development of new products, processes, methods of production or new forms of commercial or financial organisation (Schumpeter 1911). At a time when technological development and structuraleconomic change are occurring at a rapid pace, small firm innovation is seen to be critically important because empirical evidence, although not undisputed, indicates that SMEs make an important contribution to radical innovations in new industries (Nooteboom 1994). The second view of entrepreneurship focuses on the individual entrepreneur more than the entrepreneurial process. The entrepreneur is depicted as an owner of small businesses, and is regarded as having particular personal characteristics such as self-reliance, individual initiative and self-motivation. Entrepreneurs are also considered to have a behavioural orientation towards the exploitation of new ideas and opportunities. They are the risk takers who are able to see an opportunity and pursue it commercially despite the uncertainty of rewards. The capacity to plan, manage and lead is also seen to be identifying characteristics of entrepreneurs. Different small business policy approaches arise from these different perspectives on entrepreneurship. Small business policy approaches that emphasise the process by which new ideas are generated and applied commercially arise from the first and broader view of entrepreneurship. Policies designed to generate a population of risk taking and self-motivated individuals with highly developed management and commercial skills are more in keeping with the second approach, which is focused on the individual entrepreneur rather than the entrepreneurial process.

Communication of business process models via virtual environment simulations

Games and related virtual environments have been a much-hyped area of the entertainment industry. The classic quote is that games are now approaching the size of Hollywood box office sales [1]. Books are now appearing that talk up the influence of games on business [2], and it is one of the key drivers of present hardware development. Some of this 3D technology is now embedded right down at the operating system level via the Windows Presentation Foundations – hit Windows/Tab on your Vista box to find out... In addition to this continued growth in the area of games, there are a number of factors that impact its development in the business community. Firstly, the average age of gamers is approaching the mid thirties. Therefore, a number of people who are in management positions in large enterprises are experienced in using 3D entertainment environments. Secondly, due to the pressure of demand for more computational power in both CPU and Graphical Processing Units (GPUs), your average desktop, any decent laptop, can run a game or virtual environment. In fact, the demonstrations at the end of this paper were developed at the Queensland University of Technology (QUT) on a standard Software Operating Environment, with an Intel Dual Core CPU and basic Intel graphics option. What this means is that the potential exists for the easy uptake of such technology due to 1. a broad range of workers being regularly exposed to 3D virtual environment software via games; 2. present desktop computing power now strong enough to potentially roll out a virtual environment solution across an entire enterprise. We believe such visual simulation environments can have a great impact in the area of business process modeling. Accordingly, in this article we will outline the communication capabilities of such environments, giving fantastic possibilities for business process modeling applications, where enterprises need to create, manage, and improve their business processes, and then communicate their processes to stakeholders, both process and non-process cognizant. The article then concludes with a demonstration of the work we are doing in this area at QUT.

A comparison of two business cycle dating methods

We study the suggestion that Markov switching (MS) models should be used to determine cyclical turning points. A Kalman filter approximation is used to derive the dating rules implicit in such models. We compare these with dating rules in an algorithm that provides a good approximation to the chronology determined by the NBER. We find that there is very little that is attractive in the MS approach when compared with this algorithm. The most important difference relates to robustness. The MS approach depends on the validity of that statistical model. Our approach is valid in a wider range of circumstances.

Security of employee entitlements : corporate governance issues

Following the collapse across the last decade of a number of large organizations such as Enron in the USA and several domestic organizations including Ansett Airlines, HIH Insurance and One.Tel, much discussion has ensued about the need to secure employee entitlements. However, tangible improvements in this area are elusive. Good corporate governance policies would suggest that deferred obligations as well as current debts should not be neglected and that appropriate arrangements be put in place to adequately fund employee entitlements. In this paper we consider recent Australian attempts to introduce better governance of employee entitlements.