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Introduction
Business Process Reengineering (BPR) incorporates the process of transformations in the management, values and structure of the organization in order to enhance the business performance. The effective means of performance measurement ensures the increased performance of employees, which eventually leads towards cost efficiency and enhanced quality, and supports the prevalence of BPR in the organization.
Analysis
The study conducted by Huang et al. (2015) was aimed to enlighten the relation between information technology, business process reengineering and employee performance. The extensive review of the literature was conducted in order to determine the prior findings and support the hypotheses of the present study. The data collection was incorporated from the firms that were listed in the Taiwan Stock Exchange during the year 2006. The survey instrument was designed in order to collect the data and after conducting the pilot study, the total of 800 questionnaires were sent for the data collection. However, the response rate was found to be 18.13% and after screening the questionnaires for validity check, the data from 132 questionnaires was found to be applicable to conduct further analysis. The data was acquired from the senior managers of the listed companies in Taiwan.
The data were analyzed by using the PLS method due to its vitality for small sample size and reliable results for determining the prevalence of empirical relation between the variables. Moreover, factor analysis was conducted to determine the most prominent items from the construct variables, whereas KMO analysis was conducted to determine the validity and reliability of data. The results of the study indicated that the investments in IT increases the implementation of the business process reengineering. Similarly, it was also observed that the effective implementation of BPR can enhance the employee performance due to the prevalence of positive relation between the variables. In this manner, the findings indicated that the prevalence of BPR incorporates the performance measurement mechanism, which eventually motivates the employees and makes them inclined towards a higher level of performance (Huang et al., 2015).
The sample size of the study was only comprised of the listed companies, due to which the study cannot incorporate consistent results to account for the unlisted companies. The companies were also consolidated in the sectors of Taiwan and hence, it incorporates the geographical constraint, which may have effected the results of the study if the study incorporated the companies situated in more geographical regions. In this manner, the companies that are listed outside Taiwan may determine different results due to difference in management practices and organizational structure. Moreover, the sample size was also small, as it did not meet the acceptable threshold of 200 respondents, due to which the consistency and validity of the results to address large papulations in Taiwan is questioned (Zikmund et al., 2013).
The data were collected from the senior managers of the company which eventually indicates the biasness caused by the personal inclinations, personality and preferences. The selected companies were not grouped in accordance with their sector or industry due to which the extent of the prevalence of discussed variables is not presented. It is implied that the results of the study may vary from industry to industry due to different extent of IT requirement, and BPR in the business processes. The current study emphasized that the BPR can motivate the employees, which can eventually enhance their level of performance, however, the motivation of the employees is observed to be regulated and directed by several intrinsic and extrinsic factors. In this manner, the current study failed to determine the numerous aspects that can effect the performance measurement mechanism and employees’ level of performance.
Implications
The implications presented in the study indicate that the prevalence of performance management can direct the employees towards the effective achievement of assigned goals and objectives. It can help the employees to utilize their knowledge, skills and abilities in an effective manner and hence, the performance level decreases due to the effective utilization of employees’ full potential. The implementation of IT system can assist the companies to address the needs of customers and can also make the work processes efficient and less time consuming. In this manner, the employees will be provided with the effective means of technology to provide quality products and services to the customers, which will also enhance their level of performance (Huang et al., 2015; Cerasoli et al., 2014)
The implementation of BPR develops a challenging work environment and intrigues the employees to enhance their level of performance to meet the performance outcomes. The prevalence of BPR enables the company to reevaluate it processes, due to which the employees become aware about their performance level and competitors’ level of performance. In this instant, the prevalence of such knowledge helps in the development of a healthy competition and hence, the employees’ level of performance increases. Moreover, the researchers can find these findings useful in enhancing the employees’ level of performance and prevalence of competition in the workplace. It can help the industry practitioners to develop the challenging environment by means of the BPR and enhance the performance of employees that can also assure the enhanced organizational performance (Huang et al., 2015).
Conclusion
The current study determined the positive relation between business process reengineering, IT investments, performance measurement and employee performance. The results of the study indicate that the effective utilization of these independent variables can enhance the employees’ level of performance and can make the organizations sustainable and profitable for the long-term.
References
Cerasoli, C. P., Nicklin, J. M., & Ford, M. T. (2014). Intrinsic motivation and extrinsic incentives jointly predict performance: A 40-year meta-analysis. Psychological Bulletin, 140(4), 980.
Huang, S. Y., Lee, C. H., Chiu, A. A., & Yen, D. C. (2015). How business process reengineering affects information technology investment and employee performance under different performance measurement. Information Systems Frontiers, 17(5), 1133-1144.
Zikmund, W. G., Babin, B. J., Carr, J. C., & Griffin, M. (2013). Business research methods. Cengage Learning.