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PurposeAlthough businesses continue to take up artificial intelligence (AI), concerns remain that companies are not realising the full value of their investments. The study aims to provide insights into how AI creates business value by investigating the mediating role of Business Process Management (BPM) capabilities.Design/methodology/approachThe integrative model of IT Business Value was contextualised, and structural equation modelling was applied to validate the proposed serial multiple mediation model using a sample of 448 organisations based in the EU.FindingsThe results validate the proposed serial multiple mediation model according to which AI adoption increases organisational performance through decision-making and business process performance. Process automation, organisational learning and process innovation are significant complementary partial mediators, thereby shedding light on how AI creates business value.Research limitations/implicationsIn pursuing a complex nomological framework, multiple perspectives on realising business value from AI investments were incorporated. Several moderators presenting complementary organisational resources (e.g. culture, digital maturity, BPM maturity) could be included to identify behaviour in more complex relationships. The ethical and moral issues surrounding AI and its use could also be examined.Practical implicationsThe provided insights can help guide organisations towards the most promising AI activities of process automation with AI-enabled decision-making, organisational learning and process innovation to yield business value.Originality/valueWhile previous research assumed a moderated relationship, this study extends the growing literature on AI business value by empirically investigating a comprehensive nomological network that links AI adoption to organisational performance in a BPM setting.

PurposeA poor relationship between top management and IT personnel is often denoted as a business–IT gap. In an era of digital transformation, bridging this gap and establishing a strong relationship between business and IT are more important than ever before. The purpose of this paper is thus to examine a particular link between business and IT managers – a partnership relationship – together with the factors facilitating it.Design/methodology/approachA partnership construct is developed based on interdisciplinary studies and transferred to the business–IT context since it is not generally used in IT disciplines. The model was empirically tested with structural equation modelling using data obtained from 221 IT managers in Slovenian companies.FindingsThe results show that both the perceived value of IT and the business orientation of the IT department exert a positive influence on the partnership, while a mere technology-oriented IT department has a negative effect on the partnership relationship. Furthermore, the paper also presents the prerequisites for a business-oriented IT department.Originality/valueIn this digitalisation era, IT is becoming even more important for its strategic role in organisations. There is thus a strong need to bridge the business–IT gap. Despite significant efforts made to close this gap, it remains a major issue. This research contributes to understanding the business–IT gap and presents the key factors for ensuring a partnership relationship is in place. The study also combines the views of social exchange theory and knowledge-based theory and upgrades findings concerning the influence of social facilitators on collaboration outcomes.

Purpose
– The gap between top management and IS personnel is preventing organisations develop a competitive advantage based on IS. The purpose of this paper is thus to improve the understanding of the relationship between top management and IS personnel and to identify the key factors that are important in this relationship.


Design/methodology/approach
– Two separate questionnaires were used for IS department managers and top management to identify key factors in the relationship. In total, 221 CIOs and 93 CEOs agreed to participate in the research. To identify factors in the business-IS relationship an exploratory factor analysis was used. Further, factor scores were calculated and the independent samples t-test was used to compare these factor scores to reveal any significant differences in perceptions between CIOs and CEOs.


Findings
– The empirical investigation reveals the existence of nine factors that are important in the business-IS relationship. Seven factors are perceived differently by top management and IS management and thus causing the gap in the relationship, while two factors are similarly perceived.


Practical implications
– The paper presents the key areas business and IS personnel should pay attention to. Therefore, it enables reducing the business-IS gap by considering the identified factors and dedicating significant effort to the factors with significant differences.


Originality/value
– The paper contributes to understanding the key factors in the relationship between top and IS managers as it identifies factors that are causing the business-IS gap. Thus, it develops the existing literature since it is simultaneously focusing on managerial and IS side. The study is also valuable for researchers enabling future research in exploring these factors in detail.

PurposeEnterprise resource planning (ERP) systems have become imperative for companies in order to be competitive in a turbulent and highly competitive business environment. Unfortunately, the success rate of ERP implementations is very low, which was cited in many researches and a majority of authors have reported up to 90 percent failure rate. Therefore, new empirical studies are more than necessary to validate companies' contributions to the increase of the success rate of ERP implementation, which was the primary reason for this investigation. The main goal of this paper is to stress the impact of business process management (BPM) and some other critical success factors (CSFs) on successful ERP implementations.Design/methodology/approachThe paper details an empirical investigation combined with a confirmatory approach using structural equation modeling.FindingsThe hypotheses confirm the impact of top management support, change management, and BPM on successful ERP implementation. These factors have a positive impact on successful ERP implementation and should be treated as very important in ERP systems implementation projects. The results also support the importance of top management perception (MP): if they consider BPM as a basis of business change, this contributes to a strong and positive influence on successful ERP implementation.Research limitations/implicationsOther CSFs, also required for successful ERP implementations are not covered in this paper. The sample of companies used in this study is limited only to one country, and the aspect of chief information officers (CIOs) should not be omitted either, because other CIOs might have answered the questionnaire in a different way.Practical implicationsCompanies should treat BPM as a basis of business change and therefore increase its usage in order to increase a possibility for a successful ERP implementation. Although the ERP implementation is not the most efficient per se, its effectiveness on business performance can be greater.Originality/valueContributions of the paper are important for both practitioners and researchers. The paper will provide a very few specific factors and findings which are useful for companies when planning to implement ERP systems, and should not be omitted. From theoretical standpoints the most CSFs in ERP implementations can be combined, which are dispersed in the literature, and thus facilitate or somehow even stimulate other researchers in further investigations of those factors, which are still not defined enough or investigated.

Purpose
– The purpose of this paper is to examine how business process management (BPM) is incorporated within organisational structure. The authors demonstrate how a strategic interest in BPM and formal responsibilities for BPM activities shape the efficiency, quality and agility of BPM initiatives. By conducting field research, useful empirical insights were drawn about the necessary conditions for ensuring the success of BPM initiatives.


Design/methodology/approach
– A questionnaire survey of BPM adoption practices was conducted among private- and public-sector organisations with more than 50 employees. A cross-national sample of 60 Croatian and 51 Slovenian companies is analysed by applying a subsampling strategy and using inferential statistics methods.


Findings
– The study clearly shows how particular structural decisions can foster the operational excellence of BPM initiatives. Formal process roles and specialised BPM units were recognised as important drivers of organisational success. In addition, how strategic support and related structural choices create a synergistic effect and make process efforts worthwhile is explained.


Practical implications
– The research findings offer useful benchmarking of current BPM practices. The developed BPM commitment matrix represents a simple tool for self-assessment. Its path-dependent logic provides guidelines for improving the outcomes of BPM governance in general, and BPM initiatives specifically.


Originality/value
– The paper extends previous research by showing the performance effects of several BPM governance practices. The results clearly suggest that the best outcomes of BPM initiatives were achieved by organisations that had introduced a strategic approach to BPM, along with having defined a centralised BPM responsibility and assigned decentralised process ownership roles.

PurposeExtensive literature on business process management suggests that organizations could enhance their overall performance by adopting a process view of business. However, there is a lack of empirical research in this field. The purpose of this paper is to investigate the understanding of the process view and process maturity levels in a transition economy and to test the impact of process orientation maturity level on organizational performance.Design/methodology/approachEmpirical investigation combined an exploratory‐confirmatory approach using factor analysis and structural equation modeling.FindingsThe investigation confirms the impact of business process orientation on organizational performance in a transition economy. The link is even stronger than in the original investigation. The results show that business process orientation leads to better non‐financial performance and indirectly to better financial performance.Practical implicationsThe research confirms that business process orientation is advantageous for companies since it has a positive influence on organizational performance. The finding that the impact on financial performance is indirect through non‐financial performance suggests that the companies have to take that view of performance into consideration as well.Originality/valueThe paper is valuable for academics and practitioners because the impact of business process orientation on organizational performance has been confirmed for a transitional economy. Its originality is in the measurement of organizational performance, for which a more detailed specification of organizational performance based on the balanced scorecard concept that includes non‐financial performance measures has been used.

PurposeAlthough improving customer experience (CX) has always been one of the top priorities of business process management (BPM), the evidence on the actual contribution made by traditional BPM to improving CX and customer experience management (CXM) is mixed. Recently, new and enhanced capability areas have been added to the traditional BPM frameworks, yet it is unclear which of them contribute to CXM. Moreover, it is not known which of them are necessary and which are sufficient conditions. The aim of this research is to shed light on the research gap concerning which BPM capabilities, especially new and enhanced ones, are relevant to CXM.Design/methodology/approachQuantitative data from 268 medium and large companies in 3 EU countries were analysed using hierarchical linear regression analysis and necessary condition analysis.FindingsThe results show that traditional BPM capabilities are a necessary condition for CXM, but with minor significance. Most highly significant necessary conditions and also most highly or medium significant sufficient conditions belong to the People or Culture area. Agile Process Improvement is the only new or enhanced BPM capability area in the Methods/IT area that is a necessary and also a sufficient condition for CXM maturity. Advanced Process Digitalisation was identified as neither a significant necessary nor a sufficient condition for CXM.Originality/valueThis research contributes to better understanding of the role played by BPM for CXM, where previous research provides mixed results.

Purpose
The paper investigates differences in the success of business process management (BPM) initiatives and their connection with organizational culture. The purpose of this paper is to identify propositions on characteristics of BPM initiative that are favorable for its success according to dominant organizational culture. Therefore, the authors' aim was to identify connections of organizational commitment to BPM and dimensions of business process orientation (BPO) with dominant organizational culture.


Design/methodology/approach
As a research design, the authors used a questionnaire to collect data on the BPM adoption practices of organizations in Austria, Croatia and Slovenia with more than 50 employees. BPM adoption was measured with BPO and organizational culture with Competing Values Framework (CVF). Non-parametric tests have been applied for the analysis. On this survey data, the authors conducted statistical tests to identify those factors that discriminate successful from unsuccessful BPM initiatives.


Findings
The study revealed empirical insights about characteristics of successful BPM initiatives in different organizational cultures. There are several statistically significant differences with respect to the success of BPM adoption. The chance of success appears to be higher: when the BPM initiative is rolled out in the entire organization if the organization has Clan, Market or Hierarchy culture; when the BPM is run on a continuous basis in Hierarchy culture and repeatedly in Adhocracy culture; when a top-down approach is used in organizations with Market or Hierarchy dominant culture; when the BPM initiative has a strategic role and formal responsibilities are defined in Clan and Hierarchy cultures.


Originality/value
The authors' empirical findings provide the basis for the formulation of detailed propositions on the interaction of various factors and their impact on BPM adoption in connection to organizational culture. In this way, the authors' contribution is situated in the inductive research cycle and informs theory building for BPM adoption.

PurposeOrganizations introduce business intelligence (BI) to increase their performance, but often, this initiative is not aligned with the business process management (BPM) initiative, which also aims to improve organizational performance. Although some findings from the literature indicate that BI implementation has a positive impact on organizational performance, the impact seems to be indirect. Therefore, the purpose of this study is to enhance the understanding of how BI maturity is translated into organizational performance. Alignment of BI and BPM initiatives seems one possible way for creating business value with BI, particularly because BI enables process performance measurement and management, which allows the BI initiative to become more business focused.Design/methodology/approachA questionnaire was prepared and used to collect data in Croatian and Slovenian organizations with more than 50 employees. A BI–BPM alignment measurement instrument was developed for the purpose of this study using the recommended process of scale development and validation. A total of 185 responses were analyzed by the structural equation modeling technique.FindingsOur results provide evidence that the effect of BI on organizational performance is fully mediated by alignment of BI and BPM initiatives, and therefore, BI business value can be generated through the use of common terminology and methodologies, as well as a strong communication between BI and BPM experts, managers and teams in order to coordinate the two initiatives.Originality/valueThis study has responded to the call for better understanding of how the impact of BI on organization performance is realized. It confirmed that BI and BPM initiatives should be aligned in order to give BI a business value.

PurposeThe purpose of this paper is to report on the results of research into the precedence of the maturity factors, or key turning points in business process maturity (BPM) implementation efforts. A key turning point is a component of BPM that stabilizes within an organization and leads to the next maturity level.Design/methodology/approachSeveral years of data from over 1,000 companies in the USA, Europe, China, and Brazil that have completed a BPM assessment are analyzed to identify which components of BPM stabilize, when and in what order. Different analysis methods are employed in order to identify global commonalities and differences.FindingsThe paper identifies key turning points from several different perspectives using several different approaches and develops some conclusions common to all methods used in this research.Research limitations/implicationsThe relationship between the components (dependencies) is only suggested but not statistically analyzed. Several data sets are also on the low end of sample size for the methods used and some parts of the research used ad hoc selection of companies of arbitrarily distributed companies into different groups.Practical implicationsThe results can be useful for leaders and teams that are attempting the journey to process maturity. The guide‐posts, milestones, and measures can help answer the question "Where am I on this journey and what is next?"Originality/valueA plethora of maturity models has emerged that claim to guide an organization through the process of building levels of maturity that lead to competitive advantage. To date, there has been a lack of quantitative studies documenting these road‐maps. The paper provides global, quantitative evidence of the critical maturity components associated at each level of maturity.