RAZPRAVE S Exploratory data analysis on the relation between Business Process Orientation and Organizational Change Jürgen Willems Joachim Van den Bergh Friederike Schröder-Pander □irk Deschoolmeester Abstract The purpose Df this article is to give preliminary insight in the relation between 'Business Process Orientation' and 'Organizational Change'. Exploratory date analysis, combined with qualitative research for clarification of the results, is used to investigate this relation. A broad positive correlation is visible, however, some additional interpretation seems to be necessary A proposed arbitrary classification of organizations, based on Lhe retin between both variables, elucidates the results of the additional qualitative research. Through this classification the need is argued for carefully monitored change efforts that improve the Business Process Orientation of an organization. Povzetek Namen prispevka je padati nekaj ugotoviLev v zvezi z odnosom med procesno usmerjenostjo in sprememb v organizaciji. Za preučevanje tega odnosa je bila uporabliena analiza podatkov pridobljenih v empirični raziskavi, kombinirana s kvalitativnim pristopom, Pokazala se je pozitivna korelacija. vendar je potrebna dodatna interpretacija Predlagana arbitrarna klasifikacija organizacij temelji na razmerju med obema spremenljivkama in pojasnjuje rezultate i dodatnim kvalitativnim raziskovanjem Rezultati klasifikacije kažejo na potrebo po skrbnem spremljanju postopkov uvajanja sprememb, ki povečujejo procesno usmerjenost posamezne organizacije. 1 Introduction The mutual impact of 'Business Process Orientation' (BPÜJ and 'Organizational Change' has been the topic of many prescriptive theories. However, seldom the true relation is examined or investigated. On the other hand, both coocepts are rather high level and hard to define in a uniform way, and therefore hard to quantify. This paper tries to contribute to the understanding of how both concepts relate and how they should he managed in contemporary organizations. A business process oriented organization is defined by McGormack and Johnson (2001) as "an organization that, in all its thinking, emphasizes processes as opposed to hierarchies with special emphasis on outcomes and customer satisfaction". In their study this concept is measured in a survey based on three dimensions, being (1) 'Process jobs', (2) 'Process Management and Measurement1 and (3) 'Process View1. The study confirms a positive relation between BPO and organizational performance in their study, which shows the added value of BPO in contemporary organizations. Further validation and enrichment of this relation is elaborated by various authors and in vari- ous settings (Lockamy III and McCormack, 2004; Gemmel et al., 2006; Skrinjar et al, 2006; Vala dares et al, 2007; Willaert et al, 2007; Willems el al., 2008). For this article the BPO construct developed in Willaert et al. (2007) is used to investigate the relation with Organizational Change. The content of the construct is explained in section 2 of this paper. Organizational Change can be defined as the necessary adaptations to be made in an organization due to macroeconomic forces in order to reduce costs, improve the quality of products and services, locate new opportunities for growth, and increase productivity (Kotter 14%). The recurrent need for change has enlarged the interest for Business Process Management (BPM) during the past two decades (1 kimion, 2007). Business Process Management, which is in fact an umbrella term for a broad set of improvement methodologies and techniques, becomes therefore more and more suitable to implement the necessary adaptations to change an organization towards a more competitive (profit sector) or socially acceptable state (not-forprofit sector). On the other hand, too much change znoa - šlevilka /. - lelruk XVI upuKJONt INFORMATIKA 201 Jürgen Willems, Joachim Van den ßergh, Friederike Schröder-Pander, Dirk Deschoolmeesier Exploratory data analysis on the relation between Business Process Orientation 4 organizations were assessed based on the holistic BPO model. Organizations from different sectors, such as public sector, health care, banking, manufacturing, distribution, consulting, insurance and utilities participated in the study. No selection criteria for the organizations were set upfront. However, as all organizations participated voluntary, a positive attitude towards RPM research and BPO benchmarking can be assumed. In each organization, depending on the company size, a selection Of 10 to 100 people, chosen by a key contact person (top or senior level), was surveyed online concerning the 8 BI'O dimensions (68 questions in total, 7-point Likert-scale for each question). The key persons were informed upfront about the content and purpose of the assessment. They were actively encouraged to select a group of people representing different departments, core processes and hierarchical levels. By carefully selecting such a varied group of people a more objective view is created on the whole organization, which is of course crucial for BPM research seen its holistic nature. In total 1022 valid surveys were collected. Only surveys fully completed and with a proper completion time (minimum 5 minutes) were included. The individual answers were aggregated on an organizational level resulting in 8 dimension scores for each organization. The average of the 8 dimension 204 tPtiiio INFORMATIK A 2008 - ilevilka 4 - lelnik XVI Jürgen Willems, Joachim Van den ßergh, Friederike Schröder-Pander, Dirk Deschoolmeesier Exploratory data analysis on the relation between Business Process Orientation