The impact of communications and understanding on the success of business/IT alignment

This article reports on an investigation of IS stakeholders communication and mutual understanding, and their impact on the success of business / IT alignment. In particular, by following a hermeneutic study of transcripts of two focus groups and several interviews conducted with senior business and IT executives, the paper explores the issues of modern business context and practices, project scope and structure, trust, language and nomenclature, and the barriers to the effective stakeholder communication and  understanding. The study results are finally compared against the standard model of business and IT alignment. The main unexpected finding being executives' pre-occupation with issues of "marginal" value to the alignment model, such as day-to-day management of communicative and understanding effectiveness, as opposed to the fundamental issues of strategy and infrastructure fit.

Analysing business processes to manage and resolve strategic issues in a manufacturing business

This paper demonstrates the value of applying heuristics to knowledge systems of business processes in a manufacturing company to resolve strategic issues and enable the attainment of strategic business goals. The manufacturing company was losing market share through not being able to get its new products to market quickly enough. The research illustrates the ‘location’ and use of information systems in a manufacturing context. The researchers collected the specific business process knowledge in the company and developed a knowledge management system and then applied heuristics to the ‘AS IS’ manufacturing process to determine better models of manufacturing that would enable faster to market product development and thus enable better strategic alignment between company expectations and realisation of market share. The paper highlights the strategic use of information systems as a means of directly solving business problems.

Alignment of operations strategy: Exploring the marketing interface

Purpose - The purpose of this paper is to identify factors that can help managers to overcome barriers to alignment of operations strategy at the interface with marketing. Design/methodology/approach - This objective required the application of a procedure based on strategic consensus and a deeper analysis, such that the delimitation of the study in a single case was mandatory. The strategic processes of interfacing involve managerial attributes that are subject to the influence of human aspects and, therefore, the research method used a qualitative approach. The protocol design included the following data sources: interviews, document reviews and researcher observations. The categorisation was made based on the theoretical references, the frequency of observations, common responses and information from documents. Findings - The balance between intra-functional trade-offs, joint research on the competitive context, reflections on the understanding of customer needs and operational performance, and understanding of inter-functional trade-offs were the main factors verified. They effectively support decisions associated with interface processes and promotes the integration of these processes. They can generate inputs that enable managers to achieve an appropriate balance among alternatives in light of various trade-offs. Practical implications - These factors make possible new connections between strategic processes in the context of operations and marketing functions. The formations of these strategies are aligned through a better understanding of both threats and opportunities by means of a joint analysis of the competitive context. The presented findings can be used to develop a clear definition of strategic objectives of operations and a more appropriate treatment of market needs. Originality/value - The findings from the research can be considered as new elements for promoting alignment in the formation process of the operations strategy. Little research to date has examined the operations-marketing strategic interface of companies in the context of strategic consensus. © Emerald Group Publishing Limited.

Towards a Business Process Management Maturity Model

Business Process Management (BPM) has been identified as the number one business priority by a recent Gartner study (Gartner, 2005). However, BPM has a plethora of facets as its origins are in Business Process Reengineering, Process Innovation, Process Modelling, and Workflow Management to name a few. Organisations increasingly recognize the requirement for an increased process orientation and require appropriate comprehensive frameworks, which help to scope and evaluate their BPM initiative. This research project aims toward the development of a holistic and widely accepted BPM maturity model, which facilitates the assessment of BPM capabilities. This paper provides an overview about the current model with a focus on the actual model development utilizing a series of Delphi studies. The development process includes separate studies that focus on further defining and expanding the six core factors within the model, i.e. strategic alignment, governance, method, Information Technology, people and culture.

Construction supply chain economic policy implementation for sectoral change : moving beyond the rhetoric

Construction sector policy makers have the opportunity to create improvements and develop economic, social and environmental sustainability through supply chain economics. The idea of the supply chain concept to improve firm behaviour and industry performance is not new. However there has been limited application and little or no measurement to monitor successful implementation. Often purchasing policies have been developed with sound strategic procurement principles but even these have had limited penetration in to the processes and practices of infrastructure agencies. The research reported in this paper documents an action research study currently being undertaken in the Australian construction sector which aims to explore supply chain economic policy implementation for sectoral change by two government agencies. The theory which informs this study is the emerging area of construction supply chain economics. There are five stages to the project including; demand analysis, chain analysis, government agency organizational audit, supplier strategy and strategic alignment. The overall objective is towards the development of a Supplier Group Strategy Map for two public sector agencies. Two construction subsectors are examined in detail; construction and demolition waste and precast concrete. Both of these subsectors are critical to the economic and environmental sustainability performance of the construction sector and the community as a whole in the particular jurisdictions. The local and state government agencies who are at the core of the case studies rely individually on the performance of these sectors. The study is set within the context of a sound state purchasing policy that has however, had limited application by the two agencies. Partial results of the study are presented and early findings indicate that the standard risk versus expenditure procurement model does not capture the complexities of project, owner and government risk considerations. A new model is proposed in this paper, which incorporates the added dimension of time. The research results have numerous stakeholders; they will hold particular value for those interested in regional construction sector economics, government agencies who develop and implement policy and who have a large construction purchasing imprint and the players involved in the two subsectors. Even though this is a study in Australia it has widespread applicability as previous research indicates that procurement reform is of international significance and policy implementation is problematic.

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.

A critical analysis of global BPM demand

Business Process Management is accepted globally as an organisational approach that can be used to enhance productivity and drive cost efficiencies. Whilst there are numerous research articles that discuss this management approach, none clearly articulate the preferred BPM capabilities sought across geographic regions. This study aims to address this through a structured content analysis of leading on-line recruitment websites, supported by essential BPM capabilities - identified through leading academic BPM capability frameworks. Whilst the skills of process modelling, documentation and improvement were commonly sought, Enterprise level factors such as strategic alignment and process governance were less frequently mentioned. In addition, there are geographical differences in the BPM skill set requirements with an emphasis on process governance and organisational culture in European countries. This analysis can be used by prospective and current BPM professionals to understand organisational requirements globally, and academics to structure BPM education to suit these differing geographic demands.

Software as a service (SaaS) for small and medium enterprises (SMEs) : the role of intermediaries

Software as a Service (SaaS) is anticipated to provide significant benefits to small and medium enterprises (SMEs) due to ease of access to high-end applications, 7*24 availability, utility pricing, etc. However, underlying SaaS is the assumption that SMEs will directly interact with the SaaS vendor and use a self-service model. In practice, we see the rise of SaaS intermediaries who support SMEs with using SaaS. This paper reports on an empirical study of the role of intermediaries in terms of how they support SMEs in sourcing and leveraging SaaS for their business. The knowledge contributions of this paper are: (1) the identification and description of the role of SaaS intermediaries and (2) the specification of different roles of SaaS intermediaries, in particular a more basic role with technology orientation and operational alignment perspective and (3) a more added value role with customer orientation and strategic alignment perspective.

Prioritizing process improvement : an example from the Australian financial services sector

Process improvement has become a number one business priority, and more and more project requests are raised in organizations, seeking approval and resources for process-related projects. Realistically, the total of the requested funds exceeds the allocated budget, the number of projects is higher than the available bandwidth, and only some of these (very often only few) can be supported and most never see any light. Relevant resources are scarce, and correct decisions must be made to make sure that those projects that are of best value are implemented. How can decision makers make the right decision on the following: Which project(s) are to be approved and when to commence work on them? Which projects are most aligned with corporate strategy? How can the project’s value to the business be calculated and explained? How can these decisions be made in a fair, justifiable manner that brings the best results to the company and its stakeholders? This chapter describes a business value scoring (BVS) model that was built, tested, and implemented by a leading financial institution in Australia to address these very questions. The chapter discusses the background and motivations for such an initiative and describes the tool in detail. All components and underlying concepts are explained, together with details on its application. This tool has been successfully implemented in the case organization. The chapter provides practical guidelines for organizations that wish to adopt this approach.

Expertise in Business Process Management

As organizations attempt to become more business process-oriented, existing role descriptions are revised and entire new business process-related roles emerge. A lot of attention is often being paid to the technological aspect of Business Process Management (BPM), but relatively little work has been done concerning the people factor of BPM and the specification of BPM expertise in particular. This study tries to close this gap by proposing a comprehensive BPM expertise model, which consolidates existing theories and related work. This model describes the key attributes characterizing “BPM expertise” and outlines their structure, dynamics, and interrelationships. Understanding BPM expertise is a predecessor to being able to develop and apply it effectively. This is the cornerstone of human capital and talent management in BPM.

The Six Core Elements of Business Process Management

The previous chapters gave an insightful introduction into the various facets of Business Process Management. We now share a rich understanding of the essential ideas behind designing and managing processes for organizational purposes. We have also learned about the various streams of research and development that have influenced contemporary BPM. As a matter of fact, BPM has become a holistic management discipline. As such, it requires that a plethora of facets needs to be addressed for its successful und sustainable application. This chapter provides a framework that consolidates and structures the essential factors that constitute BPM as a whole. Drawing from research in the field of maturity models, we suggest six core elements of BPM: strategic alignment, governance, methods, information technology, people, and culture. These six elements serve as the structure for this BPM Handbook.

The Service Portfolio of a BPM Center of Excellence

A key concept for the centralized provision of Business Process Management (BPM) is the Center of Excellence (CoE). Organizations establish a CoE (aka BPM Support Office) as their BPM maturity increases in order to ensure a consistent and cost-effective way of offering BPM services. The definition of the offerings of such a center and the allocation of roles and responsibilities play an important role within BPM Governance. In order to plan the role of such a BPM CoE, this chapter proposes the productization of BPM leading to a set of fifteen distinct BPM services. A portfolio management approach is suggested to position these services. The approach allows identifying specific normative strategies for each BPM service, such as further training or BPM communication and marketing. A public sector case study provides further insights into how this approach has been used in practice. Empirical evidence from a survey with 15 organizations confirms the coverage of this set of BPM services and shows typical profiles for such BPM Centers of Excellence.

An e-support firm's response to local e-readiness and the global e-business environment

The purpose of this study is to understand a small e-support firm’s response to the local e-readiness and the global e-business environment in a developing context. E-Support firms provide Web development and consultancy services to user organizations, assisting them in their uptake and maintenance of their Internet applications. Within the e-readiness research area, little is known about e-support firms, particularly in connection with their interaction with their local and the global e-business environment. As yet the emphasis on e-readiness studies has been at the national level. Nevertheless, the e-support sector is very significant in the successful adoption and diffusion of the Internet and related applications in any economy. It is thus important to understand how such firms relate to their e-business environments.That said, this study draws on the interpretive case study of a small e-support firm in Ghana, a developing context, to investigate the firm’s response to the e-readiness level of the local and the global e-business environment. Findings show that the firm could employ resources from the global environment to address most of the infrastructural challenges posed by a relatively poor local e-readiness context. However, its attempt to transfer advanced e-business technologies from the global e-business environment to the local e-business context did not succeed. This chapter offers implications for practice and research concerning the notion of reconciling local and global e-business environments in the small e-support sector.

Small and medium enterprises using software as a service : exploring the different roles of intermediaries

Software as a Service (SaaS) can provide significant benefits to small and medium enterprises (SMEs) due to advantages like ease of access, 7*24 availability, and utility pricing. However, underlying the SaaS delivery model is often the assumption that SMEs will directly interact with the SaaS vendor and use a self-service approach. In practice, we see the rise of SaaS intermediaries who can support SMEs with sourcing and leveraging SaaS. This paper reports on the roles of intermediaries and how they support SMEs with using SaaS. We conducted an empirical study of two SaaS intermediaries and analysed their business models, in particular their value propositions. We identified orientation (technology or customer) and alignment (operational or strategic) as themes for understanding their roles. The contributions of this paper include: (1) the identification and description of SaaS intermediaries for SMEs based on an empirical study and (2) understanding the different roles of SaaS intermediaries, in particular a more basic role based on technology orientation and operational alignment and a more value adding role based on customer orientation and strategic alignment. We propose that SaaS intermediaries can address SaaS adoption and implementation challenges of SMEs by playing a basic role and can also aim to support SMEs in creating business value with SaaS based solutions by playing an added value role.

Culture in Business Process Management: How cultural values determine BPM success

There is consensus among practitioners and academics that culture is a critical factor that is able to determine success or failure of BPM initiatives. Yet, culture is a topic that seems difficult to grasp and manage. This may be the reason for the overall lack of guidance on how to address this topic in practice. We have conducted in-depth research for more than three years to examine why and how culture is relevant to BPM. In this chapter, we introduce a framework that explains the role of culture in BPM. We also present the relevant cultural values that compose a BPM culture, and we introduce a tool to examine the supportiveness of organizational cultures for BPM. Our research results provide the basis for further empirical analyses on the topic and support practitioners in the management of culture as an important factor in BPM initiatives.