Model for BPM implementation assessment: evidence from companies in Indonesia

Abstract

Purpose Enterprise resource planning (ERP) implementation commonly fails to recognize the need to treat it as a business process automation that must be managed and monitored continuously. Moreover, many studies on business process management (BPM) assessment focus on snapshots of different areas of BPM and not on the different stages of the lifecycle. The purpose of this paper is to propose a model that combines the BPM lifecycle, program/project implementation framework, principles of good practice, maturity and critical practices to assess how companies implementing ERP apply different BPM practices, as well as which areas are lacking and why. Design/methodology/approach The relevant literature was examined to develop the model for the study. Case studies of three companies in Indonesia were then conducted. The state of BPM implementation in each case was assessed through interviews, document reviews and observations. Findings This study found that three leading companies in Indonesia, implementing ERP for more than five years, obtained high scores for BPM implementation. They perform well in terms of process identification, implementation, monitoring and control, but are weak in process discovery and re-design, mainly because they do not optimally use specific tools for process modeling and there is a lack of process governance. The studies also pinpoint potential linkages between competition intensity and the nature of the industry with the need for good BPM. Research limitations/implications The model has only been tested in three cases in different industries and therefore the results, while providing good insights, cannot be generalized. More detailed assessment of certain BPM practices is needed. Furthermore, the assessment for each stage of BPM implementation was made at a single time, potentially yielding less detailed results than by assessing each stage of the BPM lifecycle. Practical implications The companies implementing ERP began with business process definition, but employ different process governance. The model developed here can be useful for leaders and teams to identify weak areas of practice within the stage of the BPM lifecycle; it can be used as an assessment tool for companies currently conducting BPM projects or programs including ERP implementation. It can also provide a roadmap for companies intending to conduct BPM programs. Originality/value Most of the BPM literature focuses on specific aspects. This study proposes a different perspective by providing a model to assess BPM implementation in each stage of its lifecycle and at the same time considers practical aspects of implementation, principles of good practice, maturity factors and critical practices.

BPM and cycle counting in the design of a model to increase the perfect order: a case study in a company in the commercial sector

“…Likewise, a value of 4% is expected in the case study[24] [25][12]. Average product purchase time (TAP): This indicator measures the delivery time of suppliers in sending products to the company. Likewise, a reduction of 45% is expected in the case study[26] [25][13].…”

The Relation Among Business Process Orientation Practices in Influencing Organizational Performance

“…Two hypotheses are generated: H1 SV practice affects SU H2 SV practice affects CU In addition, SV also drives process definition practices [5,11] and performance measurement [11,27,28] . These three practices are related because they are a business process lifecycle [11,29] . Strategy formulation is crucial for process identification by revealing key processes relevant to the formation of the company's value [30] .…”

Organizational Culture, Process Management and Maturity of the Process: An Empirical Study of the Process Status in Peru

“…The term process management is also used by several authors to refer to the automation of processes through the use of technologies, which enables management of workflows and tracking of process management indicators for their control and continuous improvement (Aguirre-Mayorga & Córdoba-Pinzón, 2008). Additionally, Mahendrawathi et al (2019) proposed a model that combines the BPM life cycle, programme/project implementation framework, principles of good practice, maturity and critical practices to evaluate how companies implementing a business process automation (enterprise resource planning—ERP) apply different BPM practices.…”