Methodology for determining key internal business processes based on critical success factors

Henry Quesada · Rado Gazo

39 citations0/0 files storedBusiness Process Management Journal

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Accounting and Organizational Management Quality and Supply Management Information Technology Governance and Strategy

Abstract

Purpose The purpose of this study is to develop a methodology to help manufacturers determine and rank key internal business processes based on critical success factors (CSF). Design/methodology/approach First, company CSF and key performance measures were determined based on vision, mission and strategic objectives statements. Second, most important CSF were prioritized according to rating scores such as cost savings, necessary improvement, and own discretion using a balanced scoreboard procedure and a prioritization matrix. Third, CSF were related to internal business processes based on “strength of relationship” in order to define the most critical internal processes. Fourth, possible differences in the perception of CSF and strategic objectives among different management levels were compared. Fifth, the methodology was validated in three furniture manufacturing companies. Findings It was found that when a firm is missing vision or mission statements, it is imperative to define them before CSF can be identified. The CSF found through this case study were related to customer service, manufacturing management, quality and price of the products. The key internal business processes identified for the companies in this study were customer engagement, product operations and supply chain management. Conclusions show that better results were obtained when this methodology was applied to highest‐level of management. Originality/value This study has proved to be a useful tool to determine a strategy based on CSF and their relationship to internal business processes. Plant managers in our case studies were able to prioritize the critical internal business processes for their plants based on the most important CSF.

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References

1996Using the balanced scorecard as a strategic management system 1979Chief executives define their own data needs.1988The House of Quality 2001Having trouble with your strategy? Then map it.2017Management control systems 1961Management Information Crisis 1995Business process benchmarking: finding and implementing best practices 1997Corporate identity: The role of mission statements

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