Requirements for modelling e-business processes

Companies must not see e-Business as a panacea but instead assess the specific impact of implementing e-Business on their business from both an internal and external perspective. E-Business is promoted as being able to increase the speed of response and reduce costs locally but these benefits must be assessed for the wider business rather than as local improvements. This paper argues that any assessment must include quantitative analysis that covers the physical as well as the information flows within a business. It is noted that as business processes are e-enabled their structure does not significantly change and it is only by the use of modelling techniques that the operational impact can be ascertained. The paper reviews techniques that are appropriate for this type of analysis as well as specific modelling tools and applications. Through this review a set of requirements for e-Business process modelling is derived.

A comparative analysis of cultural value orientations of Indians and migrant Indians in the USA

Understanding the cultural value systems of nations is a key factor in anticipating the behaviour of business managers and employees in a specific business environment. Many research studies have acknowledged the impact of culture on communication across nations and its impact on business operations, however no study has attempted to measure and quantify the cultural orientations of people originating from one nation, but working in two different national settings. This study adopted Kluckhohn and Strodtbeck's framework to examine cultural dimensions of a total of 580 Indian respondents comprising two groups: 429 Indian natives living and working in India and 151 Indian migrants living and working in the USA. It initially compares the cultural orientations of the total population of each of the two groups and then examines cultural differences in the same based on demographic characteristics consisting of occupation, gender, age, and level of education. The study found significant cultural value differences between the two groups on both levels of analysis. The theoretical and practical implications of these findings are discussed in detail.

Cultural value systems of East European countries:a gender based analysis

This study examines the cultural value systems of employees working in major industrial and commercial centers of six ex-communist Central and Eastern European countries (CEEC) and the former Soviet Republics (FSR). The study throws light on how human resources are managed in these countries and has key messages for overseas operators who are already doing business or planning to start on in these countries.

Outcomes of service encounter quality in a business-to-business context

Service encounter quality is an area of growing interest to researchers and managers alike, yet little is known about the effects of face-to-face service encounter quality within a business-to-business setting. In this paper, a psychometrically sound measure of such service encounter quality is proposed, and consequences of this construct are empirically assessed. Both a literature review and a dyadic in-depth interview approach were used to develop a conceptual framework and a pool of items to capture service encounter quality. A mail survey of customers was undertaken, and a response rate of 36% was obtained. Data analysis was conducted via confirmatory factor analysis and structural equation modeling. Findings reveal a four-factor structure of service encounter quality, encompassing professionalism, civility, friendliness and competence dimensions. Service encounter quality was found to be directly related to customer satisfaction and service quality perceptions, and indirectly to loyalty. The importance of these findings for practitioners and for future research on service encounter quality is discussed.

Using business process simulation within a business process reengineering approach

This paper presents a case study of the use of business-process simulation within the context of a business-process-reengineering approach to change. The process-based change methodology provides context to the simulation technique in that it connects the aims of a business-process simulation (BPS) study to the strategic aims of the organisation and incorporates a consideration of human factors in order to achieve successful implementation of redesigned processes. Conversely, the ability of BPS to incorporate system variability, scenario analysis and a visual display to communicate process performance makes it a useful technique to provide a realistic assessment of the need for, and results of, change.

A redesign of a road traffic accident reporting system using business process simulation

Business process simulation (BPS) is used to evaluate the effect of the redesign of a police road traffic accident (RTA) reporting system. The new system aims to provide timely statistical analysis of traffic behaviour to government bodies and to enable more effective utilisation of traffic police personnel. The simulation method is demonstrated in the context of assisting process change enabled by the use of information systems in an organisation in which there had been a historically mixed pattern of success in this activity.

Differential gains from Business Link support and advice:a treatment effects approach

The provision of advisory support to small firms is almost ubiquitous in OECD countries, although it is organised in different ways and is justified on slightly different grounds. In England publicly supported advisory services are provided through the Business Link (BL) network. Here, we consider two questions: what sort of companies receive advisory support from BL; and, what types of firms benefit most from that support? Our analysis is based on a telephone survey of 2000 firms, around half of which had received intensive assistance from BL between April and October 2003. Probit analysis suggests that the probability of receiving assistance was greater among younger businesses, those with larger numbers of directors in the firm, and those with more gender diversity among the firm's leadership team. Our business-growth models suggest that BL intensive assistance was having a positive effect on employment growth in 2003. BL had a positive but insignificant impact on sales growth over the period. Employment growth effects tend to be larger where firms have a management and organisational structure, which is more conducive to absorbing and making use of external advice. The analysis suggests that BL might increase its impact through targeting these larger, more export-orientated, businesses. Employment growth effects differ little, however, depending on either the ethnic or the gender diversity of the leadership team.

Design and development of agent-based procurement system to enhance business intelligence

The purpose of this research is to propose a procurement system across other disciplines and retrieved information with relevant parties so as to have a better co-ordination between supply and demand sides. This paper demonstrates how to analyze the data with an agent-based procurement system (APS) to re-engineer and improve the existing procurement process. The intelligence agents take the responsibility of searching the potential suppliers, negotiation with the short-listed suppliers and evaluating the performance of suppliers based on the selection criteria with mathematical model. Manufacturing firms and trading companies spend more than half of their sales dollar in the purchase of raw material and components. Efficient data collection with high accuracy is one of the key success factors to generate quality procurement which is to purchasing right material at right quality from right suppliers. In general, the enterprises spend a significant amount of resources on data collection and storage, but too little on facilitating data analysis and sharing. To validate the feasibility of the approach, a case study on a manufacturing small and medium-sized enterprise (SME) has been conducted. APS supports the data and information analyzing technique to facilitate the decision making such that the agent can enhance the negotiation and suppler evaluation efficiency by saving time and cost.

The analysis and case studies of successful express logistics companies

With the globalisation of world business, the border-crossing activities between organisations have substantially increased. Organisations not only need to handle supply functions, but also play a tremendous role in demand simulation through integration both inside the firm and outside with business partners and customers. Logistics has become more and more mature and sophisticated by taking on an external focus, incorporating suppliers and customers in the business processes, with all the supply chain functions integrated into a whole. By minimising the costs in the value chain or providing customised services, logistics acts as a major source of competitive advantages and profitability. To meet this goal, it would require the integration of activities to focus on customer-oriented measures. Customer service and logistics activities are a chain of interdependent activities that supplement each other to facilitate the flow of information, goods and cash within the value chain. The absence of one activity may imply some specific channels need to supplement another unit. Generally, this paper is to study the impact of corporate strategy, technology and customer satisfaction on the firm’s performance, filling the gap of good customer service effects on long-term profits. Two international delivery providers, UPS and FedEx, are studied to realise the critical success factors of express logistics.

Empirical analysis of human capital development and economic growth in Europe

Recent discussion of the knowledge-based economy draws increasingly attention to the role that the creation and management of knowledge plays in economic development. Development of human capital, the principal mechanism for knowledge creation and management, becomes a central issue for policy-makers and practitioners at the regional, as well as national, level. Facing competition both within and across nations, regional policy-makers view human capital development as a key to strengthening the positions of their economies in the global market. Against this background, the aim of this study is to go some way towards answering the question of whether, and how, investment in education and vocational training at regional level provides these territorial units with comparative advantages. The study reviews literature in economics and economic geography on economic growth (Chapter 2). In growth model literature, human capital has gained increased recognition as a key production factor along with physical capital and labour. Although leaving technical progress as an exogenous factor, neoclassical Solow-Swan models have improved their estimates through the inclusion of human capital. In contrast, endogenous growth models place investment in research at centre stage in accounting for technical progress. As a result, they often focus upon research workers, who embody high-order human capital, as a key variable in their framework. An issue of discussion is how human capital facilitates economic growth: is it the level of its stock or its accumulation that influences the rate of growth? In addition, these economic models are criticised in economic geography literature for their failure to consider spatial aspects of economic development, and particularly for their lack of attention to tacit knowledge and urban environments that facilitate the exchange of such knowledge. Our empirical analysis of European regions (Chapter 3) shows that investment by individuals in human capital formation has distinct patterns. Those regions with a higher level of investment in tertiary education tend to have a larger concentration of information and communication technology (ICT) sectors (including provision of ICT services and manufacture of ICT devices and equipment) and research functions. Not surprisingly, regions with major metropolitan areas where higher education institutions are located show a high enrolment rate for tertiary education, suggesting a possible link to the demand from high-order corporate functions located there. Furthermore, the rate of human capital development (at the level of vocational type of upper secondary education) appears to have significant association with the level of entrepreneurship in emerging industries such as ICT-related services and ICT manufacturing, whereas such association is not found with traditional manufacturing industries. In general, a high level of investment by individuals in tertiary education is found in those regions that accommodate high-tech industries and high-order corporate functions such as research and development (R&D). These functions are supported through the urban infrastructure and public science base, facilitating exchange of tacit knowledge. They also enjoy a low unemployment rate. However, the existing stock of human and physical capital in those regions with a high level of urban infrastructure does not lead to a high rate of economic growth. Our empirical analysis demonstrates that the rate of economic growth is determined by the accumulation of human and physical capital, not by level of their existing stocks. We found no significant effects of scale that would favour those regions with a larger stock of human capital. The primary policy implication of our study is that, in order to facilitate economic growth, education and training need to supply human capital at a faster pace than simply replenishing it as it disappears from the labour market. Given the significant impact of high-order human capital (such as business R&D staff in our case study) as well as the increasingly fast pace of technological change that makes human capital obsolete, a concerted effort needs to be made to facilitate its continuous development.

What's in a handshake? Exploring business-to-business relational exchange

Despite its importance in the development of competitive advantage, attempts to unify diverse classifications of business-to-business relational exchange (B2B RE) have been largely unsuccessful. We used 18 semi-structured, in-depth interviews with managers from a range of industries to explore the B2B RE construct. Analysis of the data revealed that B2B RE comprises five key dimensions. These are communication, understanding, commitment, trust and power symmetry. The research identifies the importance of personal interaction in business relationships and provides additional insights into the importance of affective commitment. In addition we uncover a number of negative consequences of affective commitment, which have been previously unexplored. This research contributes to the domain of B2B research by synthesising and advancing knowledge in this area to provide a new conceptual framework of B2B RE and directions for future research.

Linking FDI motivation and host economy productivity effects:conceptual and empirical analysis

We develop a taxonomy that relates foreign direct investment (FDI) motivation (technology- and cost-based) to its anticipated effects on host countries domestic productivity. We then empirically examine the effects of FDI into the United Kingdom on domestic productivity, and find that different types of FDI have markedly different productivity spillover effects, which are consistent with the conceptual analysis. The UK gains substantially only from inward FDI motivated by a strong technology-based ownership advantage. As theory predicts, inward FDI motivated by technology-sourcing considerations leads to no productivity spillovers.

A cautionary note on methods of comparing programmatic efficiency between two or more groups of DMUs in data envelopment analysis

In some applications of data envelopment analysis (DEA) there may be doubt as to whether all the DMUs form a single group with a common efficiency distribution. The Mann-Whitney rank statistic has been used to evaluate if two groups of DMUs come from a common efficiency distribution under the assumption of them sharing a common frontier and to test if the two groups have a common frontier. These procedures have subsequently been extended using the Kruskal-Wallis rank statistic to consider more than two groups. This technical note identifies problems with the second of these applications of both the Mann-Whitney and Kruskal-Wallis rank statistics. It also considers possible alternative methods of testing if groups have a common frontier, and the difficulties of disaggregating managerial and programmatic efficiency within a non-parametric framework. © 2007 Springer Science+Business Media, LLC.

Improving discrimination in data envelopment analysis:some practical suggestions

In some contexts data envelopment analysis (DEA) gives poor discrimination on the performance of units. While this may reflect genuine uniformity of performance between units, it may also reflect lack of sufficient observations or other factors limiting discrimination on performance between units. In this paper, we present an overview of the main approaches that can be used to improve the discrimination of DEA. This includes simple methods such as the aggregation of inputs or outputs, the use of longitudinal data, more advanced methods such as the use of weight restrictions, production trade-offs and unobserved units, and a relatively new method based on the use of selective proportionality between the inputs and outputs. © 2007 Springer Science+Business Media, LLC.