Understanding Process Performance Measurement Systems

The purpose of this paper is to analyze the current state of Process Performance Measurement Systems (PPMS) by means of a systematic review of literature. The PPMS literature is reviewed using a systematic approach. Based on an extensive literature review only twelve articles that contain the term PPMS in the title were found. The literature analysis showed that PPMS is a relatively new topic in the area of performance measurement. In order to understand PPMS, it was crucial to explain the concepts of business process management, business performance measurement and Performance Measurement System (PMS) which are well known and used in the literature and practice. PPMS is a special type of PMS that should be used in process-oriented organizations. Limitations of this research lie in the fact that all the conclusions were derived only from the literature, not empirical research. The results presented in the paper continue towards providing an updated overview of the current state of performance measurement, especially PPMS in order to identify the existing research gaps on which ongoing and future research efforts regarding this topic can be focused.business process management; process orientation; performance indicators; business performance measurement; Performance Measurement System; Process Performance Measurement System

The impact of process quality measurement on financial performance of market oriented firm

Market orientation and process quality measurement had been regarded in the literature as sources of competitive advantage for business performance.However, both these concepts had been discussed separately in their own respective academic discipline. In the context of business operation today,the organisation need to work as a team to survive in the challenging business environment. Market orientation originates from the marketing concept. On the other hand, process quality measurement originates from quality management principles and is viewed as one of its tools. Despite their importance, many organisations have not combined them in order to become a market driven and quality oriented organisation. Thus, this study investigated the impact of process quality measurement on the relationship between market orientation and financial performance of manufacturing firms in Malaysia. Although the overall results showed lack of evidence on the impact of process quality measurement on market orientation-financial performance relationships, individual results signified that process quality measurement moderate the relationship between market action and financial performance

Performance measurement in the service business: the facilities management function

The nature of performance measurement has changed over the past few decades. Generally performance measurement indicates successful management in the fulfilment of organisation goals. In service businesses measuring customer satisfaction and service quality has become an industry standard and as FM is becomes more widely recognised as a component in the business value chain and corporate strategic objectives, the adoption of performance indicators that relate directly to the core business driver is key to success. This paper examines the state of knowledge of performance measurement in a facilities management context, expounds and reveals the role that performance measurement plays in the overall efficiency of the FM service function in relation to service business operation. The paper suggests that a fully developed performance measurement solution can deliver as a business tool whilst acting as a driver in the innovation process of service organisation

Measuring performance in healthcare

Hospitals invest in process management and process optimization from an organizational and patient perspective to increase efficiency and simultaneously the quality of their operations. Consequently, the use of process-oriented performance measurement systems gains importance. This study contributes to the development of a dashboard for the process of hip surgery using a case study design. We integrate strategic goals of hospital management and different stakeholders with the analysis of Business Process Management and Hospital Information Systems’ data. Process-oriented KPIs were integrated into the dashboard using a three-step approach. Dashboards enable healthcare organizations to put process-oriented performance measurement into practice

A framework to review performance measurement systems.

This paper describes a structured review framework for managing business performance. The framework entails the review of both business performance, including thestrategic relevance of the measures, as well as the efficiency and effectiveness of the performance measurement system itself. A range of approaches and tools are employed in the framework which features a review card providing a high level view of the review process, showing the different types of review perspectives and their interactions

Pengembangan Usulan Proses Bisnis Terintegrasi Produk Air Minum Ciryo dengan Konsep Business Process Reengineering Di CV. Titian Mandiri

CV. Titian Mandiri is an in-package drinking water manufacturer with brand name “Ciryo” locating in Karanganyar. The presence of problem indication results in inefficiency of proceeding business process, particularly in business process flow of production, warehouse, shipment, marketing, and financial divisions. This makes an analysis and evaluation on business process performance and integrated business process redesign conducted so that the company performance will be optimum. This study began with mapping business process in the form of flow diagram for identifying the company’s business activities. Then performance measurement was conducted based on model developed by Beamon (1999). This model analyzes three measurement variables: resource, process and output for finding out the factors resulting in inefficiency of the business process. Performance improvement was conducted by redesigning the business process procedure based on concept Business Process Reengineering. Basic steps of BPR involves rethink, redesign and retool. Standardization of the resulting business process based on cross-divisional activities interrelationship involves marketing, production, logistic, and financial modules. Based on redesign as a proposal for dealing with performance inhibition, it is used an integrated business process design for each module developed. Keywords : business process reengineering (BPR), integrated business process, performance measuremen

VR-PMS: a new approach for performance measurement and management of industrial systems

A new performance measurement and management framework based on value and risk is proposed. The proposed framework is applied to the modelling and evaluation of the a priori performance evaluation of manufacturing processes and to deciding on their alternatives. For this reason, it consistently integrates concepts relevant to objectives, activity, and risk in a single framework comprising a conceptual value/risk model, and it conceptualises the idea of value- and risk based performance management in a process context. In addition, a methodological framework is developed to provide guidelines for the decision-makers or performance evaluators of the processes. To facilitate the performance measurement and management process, this latter framework is organized in four phases: context establishment, performance modelling, performance assessment, and decision-making. Each phase of the framework is then instrumented with state of-the-art quantitative analysis tools and methods. For process design and evaluation, the deliverable of the value- and risk-based performance measurement and management system (VR-PMS) is a set of ranked solutions (i.e. alternative business processes) evaluated against the developed value and risk indicators. The proposed VR-PMS is illustrated with a case study from discrete parts manufacturing but is indeed applicable to a wide range of processes or systems

Performance measurement in small motels in Australia

This research explores the measurement of performance in small motels. There are many challenges facing business performance management in small firms. Most of these challenges are due to resource shortages, lack of functional expertise and environmental instability. Of major importance to firm survival is the small enterprise owner-manager’s ability to monitor the operations performance. Key components of the monitoring process include the ability to identify key performance indicators to track results as well as an understanding of the most suitable measures to use. Specifically, the study focuses on identifying the key constructs of performance for small firms which include the key components of drivers and results. The specific monitoring and measurement activities of small motel owner-operators were identified using a case research approach. The findings of the study indicate that those owner-managers who operate successful motels employ a balanced approach to performance measurement by utilising a small number of key measures to monitor results and to review management activities

Business process performance measurement : a structured literature review of indicators, measures and metrics

Measuring the performance of business processes has become a central issue in both academia and business, since organizations are challenged to achieve effective and efficient results. Applying performance measurement models to this purpose ensures alignment with a business strategy, which implies that the choice of performance indicators is organization-dependent. Nonetheless, such measurement models generally suffer from a lack of guidance regarding the performance indicators that exist and how they can be concretized in practice. To fill this gap, we conducted a structured literature review to find patterns or trends in the research on business process performance measurement. The study also documents an extended list of 140 process-related performance indicators in a systematic manner by further categorizing them into 11 performance perspectives in order to gain a holistic view. Managers and scholars can consult the provided list to choose the indicators that are of interest to them, considering each perspective. The structured literature review concludes with avenues for further research

The Impact of Business Process Management Values on Enterprise Content Management Workflow Systems Performance

Improving an enterprise’s operations, services, policies and rules using information systems and business process management is a continuance decision-makers role. This research explores how business process management values impact on enterprise content management (ECM) workflow system performance and how business process management values can be incorporated as part of a measurement model for improving ECM workflow system performance to achieve business objectives and organisational goals. The research focuses on establishing a set of variables for the measurement of CERT business process management values and further explores the impact of these CERT values on ECM workflow system performance. The CERT values are customer orientation (C), excellence (E), responsibility (R) and teamwork (T). These values can be applied using the three round structure of the Delphi method to validate key performance indicators, which are used to implement a performance measurement and management framework in order to measure workflow information system performance. Through this process, the current ECM workflow system performance (i.e. “Now” situation) and the desired future system performance (i.e. “Preferred” situation) can be described using a performance profile development model based on the concepts and variables of CERT values. This thesis contributes to business practice studies, information systems literature and the informatics body of knowledge in several ways: First, it explains how CERT values can support decision-making by finding their impact on ECM workflow systems performance. Second, it formulates a performance profile development model, which is a decision-making process to measure ECM workflow systems performance. Third, it shows how to implement the research strategic procedures using Delphi’s rounds. Fourth, it demonstrates the quality of mixed methods as the research choice for this type of information systems enquiry. The research promotes the use of the Delphi method for the implementation of such decision-making processes, the application of the performance profile development model for scientific decision studies and the analysis of the relationships between variables to recognise other key performance indicators within business process management and the performance measurement and management research contexts