Understanding Business Process Management: Implications for Theory and Practice

This paper presents an empirically validated framework of business process management (BPM) to enable the pursuit of BPM theory. Phase 1 of the research focused on the development of an initial framework of BPM, derived from a synthesis of current literature. This comprised five key themes, subsequently categorized as ‘application components’ of BPM. The empirical validation of the framework was approached through case-based research, utilizing semi-structured interviews with managers of a large financial services organization, to explore the dimensions of the framework. The results suggest that, in addition to confirming the five ‘application components’ of the initial framework, three additional ‘conceptual components’ are important. These concepts differentiate BPM from other process management activities, and suggest that developing a prerequisite ‘process mindset’ is a fundamental component of a BPM approach.

[1]  K. Kosanke,et al.  The European approach for an open system architecture for CIM (CIM-OSA)-ESPRIT project 5288 AMICE , 1991 .

[2]  D. Teece,et al.  DYNAMIC CAPABILITIES AND STRATEGIC MANAGEMENT , 1997 .

[3]  Roger G. Schroeder,et al.  Six sigma: A goal-theoretic perspective , 2003 .

[4]  U. Flick An Introduction to Qualitative Research , 1998 .

[5]  Gary W. Loveman,et al.  Putting the Service-Profit Chain to Work , 1994 .

[6]  J. Parnaby,et al.  A systems approach to the implementation of JIT methodologies in Lucas Industries , 1988 .

[7]  Sergio Beretta,et al.  Unleashing the integration potential of ERP systems: The role of process-based performance measurement systems , 2002, Bus. Process. Manag. J..

[8]  R. Kaplan,et al.  Using the balanced scorecard as a strategic management system , 1996 .

[9]  C. Armistead,et al.  Principles of business process management , 1996 .

[10]  Peter Case,et al.  Remember Re‐engineering? The Rhetorical Appeal of a Managerial Salvation Device , 1999 .

[11]  Kelvin F. Cross,et al.  Measure Up!: Yardsticks for Continuous Improvement , 1991 .

[12]  Michael Pidd,et al.  A conceptual framework for understanding business processes and business process modelling , 2000, Inf. Syst. J..

[13]  Peter Case,et al.  The Violent Rhetoric of Re-engineering: Management Consultancy on the Offensive , 1998 .

[14]  Luiz Cesar Ribeiro Carpinetti,et al.  Quality management and improvement: A framework and a business-process reference model , 2003, Bus. Process. Manag. J..

[15]  R. Rust,et al.  Return on Quality (ROQ): Making Service Quality Financially Accountable , 1995 .

[16]  A. Neely The performance measurement revolution: why now and what next? , 1999 .

[17]  Jay Bal,et al.  Process analysis tools for process improvement , 1998 .

[18]  M. Hammer,et al.  Process Management and the future of six sigma , 2002, IEEE Engineering Management Review.

[19]  Stephen J. Childe,et al.  Frameworks for Understanding Business Process Re‐engineering , 1994 .

[20]  H. Harrington Business process improvement , 1991 .

[21]  Mohsen Attaran,et al.  Information technology and business-process redesign , 2003, Bus. Process. Manag. J..

[22]  Martyn A. Ould Preconditions for putting processes back in the hands of their actors , 2003, Inf. Softw. Technol..

[23]  Angappa Gunasekaran,et al.  Modelling and analysis of business process reengineering , 2002 .

[24]  Stephen J. Childe,et al.  Capitalizing on thematic initiatives: a framework for process-based change in SMEs , 2004 .

[25]  Guy Fitzgerald,et al.  Business Process Reengineering and Flexibility: A Case for Unification , 2002 .

[26]  Barrie G. Dale,et al.  Business process management: a review and evaluation , 1998, Bus. Process. Manag. J..

[27]  Danny Samson,et al.  Effective case research in operations management: a process perspective , 2002 .

[28]  J Davidson,et al.  Total quality management versus business process re-engineering: A question of degree , 2003 .

[29]  Christopher A. Voss,et al.  Case research in operations management , 2002 .

[30]  Fu-Ren Lin,et al.  A generic structure for business process modeling , 2002, Bus. Process. Manag. J..

[31]  Thomas H. Davenport,et al.  Process Innovation: Reengineering Work Through Information Technology , 1992 .

[32]  Michael Lewis,et al.  The two worlds of operations management research and practice: Can they meet, should they meet? , 2004 .

[33]  K. Cameron Effectiveness as Paradox: Consensus and Conflict in Conceptions of Organizational Effectiveness , 1986 .

[34]  M. Terziovski,et al.  Successful predictors of business process reengineering (BPR) in financial services , 2003 .

[35]  Thomas H. Davenport,et al.  The New Industrial Engineering: Information Technology and Business Process Redesign , 2011 .

[36]  Michael Hammer,et al.  Reengineering Work: Don’t Automate, Obliterate , 1990 .

[37]  Hajo A. Reijers,et al.  Best practices in business process redesign: an overview and qualitative evaluation of successful redesign heuristics , 2005 .

[38]  Michael Lewis,et al.  Analysing organisational competence: implications for the management of operations , 2003 .

[39]  R. Schmenner,et al.  On theory in operations management , 1998 .

[40]  Rhian Silvestro,et al.  Challenging the paradigm of the process enterprise : a case-study analysis of BPR implementation , 2002 .

[41]  Eugene H. Melan,et al.  Process management: A unifying framework for improvement , 1989 .

[42]  A. Roth,et al.  Strategic Determinants of Service Quality and Performance: Evidence from the Banking Industry , 1995 .

[43]  Jack R. Meredith,et al.  Building operations management theory through case and field research , 1998 .

[44]  Sumantra Ghoshal,et al.  The Strategy Process: Concepts, Contexts, Cases , 1991 .

[45]  Jack R. Meredith,et al.  Theory Building through Conceptual Methods , 1993 .

[46]  Dorothy Leonard-Barton,et al.  A Dual Methodology for Case Studies: Synergistic Use of a Longitudinal Single Site with Replicated Multiple Sites , 1990 .

[47]  Andy Neely,et al.  Performance measurement system design , 1995 .

[48]  Winco K.C. Yung,et al.  Application of value delivery system (VDS) and performance benchmarking in flexible business process reengineering , 2003 .

[49]  R. Yin The Case Study Crisis: Some Answers , 1981 .

[50]  Geary A. Rummler,et al.  Improving Performance: How to Manage the White Space on the Organization Chart , 1990 .

[51]  C. Armistead,et al.  Strategic Business Process Management for Organisational Effectiveness , 1999 .

[52]  Majed Al-Mashari,et al.  Revisiting BPR: a holistic review of practice and development , 2000, Bus. Process. Manag. J..

[53]  Andi Smart,et al.  Customer satisfaction and service quality in UK financial services , 2007 .

[54]  Stephen J. Childe,et al.  Supporting Business Process Reengineering in Industry: Towards a Methodology , 1999 .

[55]  Stanley Richardson,et al.  Business process re-engineering in Malaysian banks and finance companies , 2003 .

[56]  E. Ziegel,et al.  The Balanced Scorecard , 1998 .

[57]  Umit Bititci,et al.  A Balanced Approach to Strategy Process , 2004 .

[58]  Colin Armistead,et al.  Business process management - lessons from European business , 1999, Bus. Process. Manag. J..

[59]  Antonio Davila,et al.  Performance Measurement and Control Systems for Implementing Strategy: Text and Cases , 1999 .

[60]  Maureen Meadows,et al.  Process Improvement with Vision: A Financial Services Case Study , 2003 .

[61]  Nick Rich,et al.  Companies’ perceptions of inhibitors and enablers for process improvement activities , 2003 .

[62]  A. Strauss,et al.  The discovery of grounded theory: strategies for qualitative research aldine de gruyter , 1968 .

[63]  Peter E.D. Love,et al.  Putting an engine into re‐engineering: toward a process‐oriented organisation , 1998 .

[64]  J. Meredith,et al.  Alternative research paradigms in operations , 1989 .

[65]  Mohamed Zairi,et al.  Business process management: a boundaryless approach to modern competitiveness , 1997, Bus. Process. Manag. J..

[66]  R. MacIntosh BPR: alive and well in the public sector , 2003 .

[67]  M. Hammer,et al.  REENGINEERING THE CORPORATION: A MANIFESTO FOR BUSINESS REVOLUTION , 1995 .

[68]  Thomas J. Crowe,et al.  Quantitative risk level estimation of business process reengineering efforts , 2002, Bus. Process. Manag. J..

[69]  Izak Benbasat,et al.  The Case Research Strategy in Studies of Information Systems , 1987, MIS Q..

[70]  Simon Machin,et al.  Implications of business process management for operations management , 1997 .

[71]  Stephen J. Childe,et al.  A modelling technique for re-engineering business processes controlled by ISO 9001 , 2002, Comput. Ind..

[72]  Forrest W. Breyfogle,et al.  Implementing Six Sigma: Smarter Solutions Using Statistical Methods , 1999 .

[73]  James P. Womack,et al.  Lean Thinking: Banish Waste and Create Wealth in Your Corporation , 1996 .

[74]  Danny Samson,et al.  Patterns of business excellence , 2002 .

[75]  Joseph Sarkis,et al.  A Synergistic Framework for Evaluating Business Process Improvements , 2002 .