Abstract
Business Process Reengineering (BPR) is an approach for business process transformation and unconstrained reshaping of all business processes. This study examines the impact of BPR on information technology (IT) investment and employee performance. In this study, it is considered to be likely that employee performance will be improved by performance measurement, and thus, we intend to set up a performance measurement process which is similar to the employee’s goal setting. To this end, this study examines the relationship existed between performance measurement and performance. The obtained results show a positive relation existing between IT and BPR implementation, and employee performance and BPR implementation. Moreover, the empirical result supports that performance measurement associated with cost reduction and lead time shortening in the internal processes and quality improvement in the external processes can improve the performance.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
References
Ahadi, H. R. (2004). An examination of the role of organizational enablers in business process reengineering and the impact of information technology. Information Resources Management Journal, 17(4), 1–19.
Al-Mashari, M., & Zairi, M. (1999). BPR implementation process: an analysis of key success and failure factors. Journal of Business Process Management, 5(1), 87–112.
Attaran, M. (2004). Exploring the relationship between information technology and business process reengineering. Information & Management, 41, 585–596.
Bagozzi, R. P., & Yi, Y. (1988). On the evaluation of structural equation models. Academy of Marking Science, 16(1), 76–94.
Chin, W. W., & Gopal, A. (1995). Adoption intention in GSS: importance of beliefs. Data Base Advances, 26, 42–64.
Chin, W. W. (1998). The partial least squares approach for structural equation modeling. In G. A. Marcoulides (Ed.), Modern methods for business research. London: Lawrence Erlbaum Associates.
Chin, W. W., & Newsted, P. R. (1999). Structural equation modelling analysis with small samples using partial least squares. In R. H. Hoyle (Ed.), Statistical strategies for small sample research (pp. 307–341). Thousand Oaks, CA: Sage
Compeau, D. R., & Higgins, C. A. (1995). Application of social cognitive theory to training for computer skills. Information Systems Research, 6, 118–143.
Fornell, C. R., & Larcker, F. F. (1981). Structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18, 39–51.
Gattorna, J. I., & Berger, A. J. (2001). Supply chain cyber mastery: Building high performance supply chains of the future. London: Gower.
Ghosh, S., & Skibniewski, M. J. (2010). Enterprise resource planning systems implementation as a complex project: a conceptual framework. Journal of Business Economics and Management, 11(4), 533–549.
Goll, E. O. (1992). Let’s debunk the myths & misconceptions about reengineering. APICS, The Performance Advantage, 2(12), 29–32.
Guimaraes, T., & Bond, W. (1996). Empirically assessing the impact of BPR on manufacturing firms. International Journal of Operations & Production Management, 16, 5–28.
Gunasekaran, A., & Nath, B. (1997). The role of information technology in business process reengineering. International Journal of Production Economics, 50, 91–104.
Hair, J. F., Anderson, R. E., Tatham, R. L., & Black, W. C. (2009). Multivariate data analysis (7th ed.). Upper Saddle River: Prentice-Hall.
Hale, A., & Cragg, P. (1996). Business process reengineering in the small firm: a case study. Journal of Information, 34(1), 15–27.
Hammer, M., & Champy. (1993). Reengineering the corporation: A manifesto for business revolution. New York: Harper Business.
Jain, R., Gunasekaran, A., & Chandrasekaran, A. (2009). Evolving role of business process reengineering: a perspective of employers. Industrial and Commercial Training, 1(7), 382–390.
Johansson, H., McHugh, P., Pendlebury, J., & Wheeler, W. (1993). Business process reengineering: Break point strategies for market dominance. Chichester: John Wiley & Sons.
Kaiser, H. F. (1974). An index of factorial simplicity. Psychometrika, 39(1), 31–36.
Kaplan, R. S., & Atkinson, A. A. (1998). Advanced management accounting (3rd ed.). Upper Saddle River: Prentice Hall.
Latham, G. P., & Yukl, G. A. (1975). A review of research on the application of goal setting in organization. Academy of Management Journal, 18, 824–845.
Lock, D. (2001). Book review on Benchmarking. Sylvia Codling, Gower, Aldershot, 1998. International Journal of Project Management, 19, 253–254.
Locke, E. A., & Latham, G. P. (1990). A theory of goal setting and task performance. Englewood Cliffs: Prentice-Hall.
Locke, E. A., & Latham, G. P. (2002). Building a practically useful theory of goal setting and task motivation: a 35-year odyssey. American Psychologist, 57, 705–717.
Locke, E. A., & Latham, G. P. (2006). New directions in goal-setting theory. Current Directions in Psychological Science, 15(5), 265–268.
Lohmoller, J.-B. (1989). Latent variables path modeling with partial least squares. Heildelberg: Physica-Verlag.
Ly, L. T., Rinderle-Ma, S., Göser, K., & Dadam, P. (2012). On enabling integrated process compliance with semantic constraints in process management systems. Information Systems Frontiers, 14(2), 195–219.
Mary, K. (2008). Eight ways to boost your career in 2008. Computerworld, 42(2), 46.
Nunnally, J. C. (1978). Psychometric theory (2nd ed.). New York: McGraw-Hill.
Ozcelik, Y. (2010a). Do business process reengineering projects payoff? Evidence from the United States. International Journal of Project Management, 28, 7–13.
Ozcelik, Y. (2010b). IT-enabled reengineering: Productivity impacts. USA: Information Resources Management Association.
Petrozzo, D., & Stepper, J. (1994). Successful reengineering. Peterborough, 19(12), 44.
Ramirez, R., Melville, N., & Lawle, E. (2010). Information technology infrastructure, organizational process redesign, and business value: an empirical analysis. Decision Support Systems, 49(4), 417–429.
Romney, M. B., & Steinbart, P. J. (2006). Accounting information systems. New Jersey: Person Education Inc.
Roztocki, N., & Weistroffer, H. R. (2013) Investments in enterprise integration technology: An event study published on 29 September 2013. Information Systems Frontiers, 1–14.
Wagenheim, G. D., & Reurink, H. J. (1991). Customer service in public administration. Public Administration Review, 51(3), 23–270.
Wold, H. (1985). Partial least squares. In S. Kotz & N. L. Johnson (Eds.), Encyclopedia of statistical sciences (Vol. 6, pp. 581–591). New York: Wiley.
Xu, L., Tan, W. A., Zhen, H., & Shen, W. (2008). An approach to enterprise process dynamic modeling supporting enterprise process evolution. Information Systems Frontiers, 10(5), 611–624.
Author information
Authors and Affiliations
Corresponding author
Appendix 1
Appendix 1
Rights and permissions
About this article
Cite this article
Huang, S.Y., Lee, CH., Chiu, AA. et al. How business process reengineering affects information technology investment and employee performance under different performance measurement. Inf Syst Front 17, 1133–1144 (2015). https://doi.org/10.1007/s10796-014-9487-4
Published:
Issue Date:
DOI: https://doi.org/10.1007/s10796-014-9487-4