Applied Management and Decision Sciences - By: Robert II Smith

Turban, King, Viehland, and Lee (2006) define e-business as conducting business using computer networks to accomplish activities throughout the value chain, which may include dealing with customers, suppliers or other external business partners as well as streamlining internal functions electronically. The use of the internet in the global economy accounts for transactions worth trillions of dollars each year (Turban, et al., 2006). There is little doubt that technology has changed and is continuing to change the way in which businesses operate. However, as technology expands the availability of options, the need to integrate business functions throughout the value chain becomes more visible (Cardoso, Bostrom, & Sheth, 2003). Gosain, Malhotra, Sawy (2005) have recognized that although most business people are quick to talk about the need for integration and collaboration via electronic networks, the direction for proceeding beyond the talk often remains elusive. The additional options available for conducting business and connecting with people have the potential to support the very silos that e-systems were expected to tear down.

In response to this threat, many organizations have purchased comprehensive software called Enterprise Resource Planning (ERP) applications (Cardoso, Bostrom, & Sheth, 2003) or have adopted strategies to re-evaluate their activities, commonly referred to as Business Process Reengineering (BPR) (Aalst, 2003; Attaran, 2000; Attaran and Wood, 1999; Li, Macquire, & Yao, 2003). ERP systems are designed to integrate all business functions and information within one computer database while the business processes provide the flowing structure of activities and interactions among the workers that connect all of the departments creating a cohesive, efficient whole. Many organizations have tried to increase efficiency and profitability by reengineering their business processes (Attaran, 2000; Attaran and Wood, 1999; Li, Macquire, & Yao, 2003). However, Attaran (2000) cites Hall et al. (2003) as finding that a majority of BPR initiatives resulted in less than 5% improvement. Attaran further cites Hammer and Champy (1993) as stating that between 50% and 70% of all BPR efforts do not achieve their goals. ERP software providers, in their own quest to remain competitive, have developed additional tools for their programs to assist organizations with establishing efficient business processes and participating in e-Commerce (Cardoso et al, 2003). These tools are called Workflow Management Systems.

Turban, King, Viehland, and Lee (2006) defines workflow management as, “The automation of workflows, so that documents, information, and tasks are passed from one participant to the next in the steps of an organization’s business process” (pg. 311). Mohan (n.d,) has cited the Giga Group definition for workflow as “the operational aspects of the business process – the sequence of tasks and who performs them, the information flow to the support tasks, and the tracking and reporting mechanisms that measure and control them” (pg. 1). With the appropriate direction, the WMS has the potential to become a knowledge management system by offering the links of various functional department knowledge and activities to other departments in the organization that can utilize the knowledge in useful ways. The system is also internet-enabled to include functionality for expanding communication to external business partners and suppliers in the value chain.

About the Author

Robert Smith was born in New York City in 1956. He has spent more than 12 years working as a professor at New York University. He is interested in assisting students writing academic papers and reports. Now he spends most of his time with his family and shares his Univesity experience in writing book reviews and book reports online.

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