Business alignment: using process mining as a tool for Delta analysis and conformance testing

Increasingly, business processes are being controlled and/or monitored by information systems. As a result, many business processes leave their “footprints” in transactional information systems, i.e., business events are recorded in so-called event logs. Process mining aims at improving this by providing techniques and tools for discovering process, control, data, organizational, and social structures from event logs, i.e., the basic idea of process mining is to diagnose business processes by mining event logs for knowledge. In this paper we focus on the potential use of process mining for measuring business alignment, i.e., comparing the real behavior of an information system or its users with the intended or expected behavior. We identify two ways to create and/or maintain the fit between business processes and supporting information systems: Delta analysis and conformance testing. Delta analysis compares the discovered model (i.e., an abstraction derived from the actual process) with some predefined processes model (e.g., the workflow model or reference model used to configure the system). Conformance testing attempts to quantify the “fit” between the event log and some predefined processes model. In this paper, we show that Delta analysis and conformance testing can be used to analyze business alignment as long as the actual events are logged and users have some control over the process.

Challenges and opportunities in collaborative business process management: Overview of recent advances and introduction to the special issue

Modern business process management expands to cover the partner organisations’ business processes across organisational boundaries, and thereby supports organisations to coordinate the flow of information among organisations and link their business processes. With collaborative business processes, organisations can create dynamic and flexible collaborations to synergically adapt to the changing conditions, and stay competitive in the global market. Due to its significant potential and value, collaborative business processes are now turning to be an important issue of contemporary business process management, and attracts lots of attention and efforts from both academic and industry sides. In this paper, we review the development of B2B collaboration and collaborative business processes, provide an overview of related issues in managing collaborative business processes, and discuss some emerging technologies and their relationships to collaborative business processes. Finally, we introduce the papers that are published in this special issue.

Risk analysis of software process measurements

Quantitative process management (QPM) and causal analysis and resolution (CAR) are requirements of capability maturity model (CMM) levels 4 and 5, respectively. They indicate the necessity of process improvement based on objective evidence obtained from statistical analysis of metrics. However, it is difficult to achieve these requirements in practice, and only a few companies have done so successfully. Evidence-based risk-management methods have been proposed for the control of software processes, but are not fully appreciated, compared to clinical practice in medicine. Furthermore, there is no convincing answer as to why these methods are difficult to incorporate in software processes, despite the fact that they are well established in some business enterprises and industries. In this article, we challenge this issue, point out a problem peculiar to software processes, and develop a generally applicable method for identifying the risk of failure for a project in its early stages. The proposed method is based on statistical analyses of process measurements collected continuously throughout a project by a risk assessment and tracking system (RATS). Although this method may be directly applicable to only a limited number of process types, the fundamental idea might be useful for a broader range of applications.

An interorganizational knowledge-sharing security model with breach propagation detection

The increasing adoption of Service Oriented Architecture (SOA) is allowing more and more companies to integrate themselves in interorganizational netchain environments wherein knowledge assets can be electronically shared with selected business partners. The dynamic nature of these environments implies a need for organizations to protect and monitor the flow of their valuable knowledge assets throughout the netchain if they hope to maintain their long-term competitive positions. In this paper, we propose an interorganizational knowledge-sharing security model that integrates the value chain reference model (VCOR), the federated enterprise reference architecture model (FERA), and multidimensional data warehouse technologies to allow for the proactive monitoring of shared knowledge assets across an SOA-based netchain. The proposed architecture is novel In that it supports dynamic policy revision through the automated detection of knowledge-sharing breaches within a netchain—a process whose viability is demonstrated using network flow theory and a series of simulations. Existing business intelligence infrastructures can be readily modified to support the proposed model, as multidimensional data warehousing has already been adopted in many organizations.

Evaluation of inter-organizational business process solutions: A conceptual model-based approach

Collaboration and coordination between organizations are necessary in today’s business environment, and are enabled by inter-organizational processes. Many approaches for the construction of such processes have been proposed in recent years. However, due to the lack of standard terminology it is hard to evaluate and select a solution that fits a specific business scenario. The paper proposes a conceptual model which depicts the nature of interaction between organizations through business processes under specific business requirements that emphasize the privacy and autonomy of the participating organizations. The model is generic, and relies on the generic process model (GPM) framework and on Bunge’s ontology. Being generic and theory-based, we propose to use the model as a basis for comparing and evaluating design and implementation-level approaches for inter-organizational processes. We demonstrate the evaluation procedure by applying it to three existing approaches.

Using trust assumptions with security requirements

Assumptions are frequently made during requirements analysis of a system about the trustworthiness of its various components (including human components). These trust assumptions, whether implicit or explicit, affect the scope of the analysis, derivation of security requirements, and in some cases how functionality is realized. This paper presents trust assumptions in the context of analysis of security requirements. A running example shows how trust assumptions can be used by a requirements engineer to help define and limit the scope of analysis and to document the decisions made during the process. The paper concludes with a case study examining the impact of trust assumptions on software that uses the secure electronic transaction specification.

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Realizing business value of agile IT applications: antecedents in the supply chain networks

This research develops a framework for organizational value creation from agile IT applications. Based on the four themes in the business value research—business process perspective, complementarities, application level of analysis, and extent of use—three antecedents (organizational fit, process assimilation, and network adoption) are identified as pre-requisites for realizing the value of agile supply chain applications. Advanced planning and scheduling (APS) systems are used as examples, and two case studies for their implementation in the electronics and consumer goods industry are reported to support the propositions. The theories of diffusion of innovation, complementarities, network externalities, and technology structuration are applied to develop the propositions for fit, assimilation, and network effects. Information sharing and industry clockspeed are identified as the moderating factors in the proposed model. The framework has both managerial and research relevance. The research guides managers regarding ways to more fully realize the value of agile applications and forms a basis for future research on the business value of IT applications.

Methods for quantitative usability requirements: a case study on the development of the user interface of a mobile phone

Quantitative usability requirements are a critical but challenging, and hence an often neglected aspect of a usability engineering process. A case study is described where quantitative usability requirements played a key role in the development of a new user interface of a mobile phone. Within the practical constraints of the project, existing methods for determining usability requirements and evaluating the extent to which these are met, could not be applied as such, therefore tailored methods had to be developed. These methods and their applications are discussed.

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A process-focused decision framework for analyzing the business value potential of IT investments

A key consideration during investment decision making is the overall business value potential of an information technology (IT) solution. The complexity of the contemporary IT landscape is increasing. As information systems and technologies become more advanced and interconnected, they often impact multiple business processes in the organization. This in turn increases the complexity of IT investment decisions. This paper describes a decision framework for considering investments in information technologies that impact multiple business processes in the organization. The decision framework is illustrated via a case study of a small business that invested in mobile and wireless computing. The microcosm of the small business serves to illustrate some aspects of the business value derived from information technology investments that are often challenging to isolate in more complex organizational environments. The decision framework can support managers to analyze the overall business value returns arising from the ‘ripple effect’ of an IT investment on core and ancillary business processes. In the decision framework, the business value ripple effect is analyzed via a vertical dimension that emanates from core business processes to ancillary processes, and a horizontal dimension that extends over time.

Basic notions regarding business processes and supporting information systems

In order to achieve and maintain an optimal fit between business processes (BPs) and business process support systems (BPSs), both need to be understood thoroughly and coherently. Moreover, to benefit fully from the potentials of modern information and communication technology (ICT), the deep structure that lies behind the surface structure of BPs should be understood. The Ψ-theory, which is only summarized in this paper, provides the basis for such an understanding of BPs and BPSs as well as for some other basic notions. In particular, the notions of design and engineering and of architecture and ontology will be addressed. The conclusion is that these notions can consistently and coherently be related to each other, on the said theoretical basis, such that the concurrent (re)design and (re)engineering of BPs and BPSs can be performed more effectively.

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Measuring the fitness relationship

It is widely acknowledged that the system functionality captured in a system model has to match organisational requirements available in the business model. However, such a matching is rarely used to support design strategies. We believe that appropriate measures of what we refer to as the fitness relationship can facilitate design decisions. The paper proposes criteria and associated generic metrics to quantify to which extent there is a fit between the business and the system which supports it. In order to formulate metrics independent of specific formalisms to express the system and the business models, we base our proposal on the use of ontologies. This also contributes to provide a theoretical foundation to our proposal. In order to illustrate the use of the proposed generic metrics we show in the paper, how to derive a set of specific metrics from the generic ones and we illustrate the use of the specific metrics in a case study.

Method of design and specification of web services based on quality system documentation

In this paper, we present a method for development and specification of web services based on the quality system documentation. The general assumption is that service oriented architecture is based on business services and these business services mostly correspond to exchanged documentation in a real business system. Documentation of a quality system is recognized in form of documents that describe business processes in a real business system and identify exchanged documentation with environment. Presented method uses documentation of quality system and documentation flow for web service specification. We developed the CASE tool for web service specification based on a new approach, and we compare it to other existing tools.

A conceptual framework for component context specification and representation in a metaCASE environment

A lack of design information can be a significant barrier for systems developers when developing and reusing a component. This paper tackles this problem by presenting and exemplifying the conceptual framework of component context and its hypertext representation in a metaCASE environment. It discusses the linking of contextual knowledge to components in systems analysis and design. The contextual knowledge includes the conceptual dependencies of component definition, reuse, and implementation, as well as the reasoning and rationale behind design and reuse processes. We also illustrate the hypertext approach to contextual knowledge representation that enables designers to express, record, explore, recognize, and negotiate their shared context within a metaCASE environment.

An empirical study of variations in COTS-based software development processes in the Norwegian IT industry

More and more software projects use Commercial-Off-The-Shelf (COTS) components. Although previous studies have proposed specific COTS-based development processes, there are few empirical studies that investigate how to use and customize COTS-based development processes for different project contexts. This paper describes an exploratory study of state-of-the-practice of COTS-based development processes. Sixteen software projects in the Norwegian IT companies have been studied by structured interviews. The results are that COTS-specific activities can be successfully incorporated in most traditional development processes (such as waterfall or prototyping), given proper guidelines to reduce risks and provide specific assistance. We have identified four COTS-specific activities—the build vs. buy decision, COTS component selection, learning and understanding COTS components, and COTS component integration – and one new role, that of a knowledge keeper. We have also found a special COTS component selection activity for unfamiliar components, combining Internet searches with hands-on trials. The process guidelines are expressed as scenarios, problems encountered, and examples of good practice. They can be used to customize the actual development processes, such as in which lifecycle phase to put the new activities into. Such customization crucially depends on the project context, such as previous familiarity with possible COTS components and flexibility of requirements.

Design information retrieval: a thesauri-based approach for reuse of informal design information

Information is integral to the engineering design process, and gaining access to design knowledge is critical to effective design decision-making. This paper considers the indexing and retrieval of informal, unstructured information captured from electronic design logbooks. One of the key observations of informal design information is its evolutionary nature over time. While this characteristic makes informal information a rich source for reuse, it also makes it difficult to employ traditional information retrieval (IR) approaches. The work described in this paper is based on a framework developed specifically for the information handling requirements of designers. This manual method for indexing information is adapted to meet the evolutionary nature of design through the development of thesauri for design context. Several approaches to building thesauri are examined, including manual and automated methods. It is found that manual methods provide a high level of IR performance, but also have high overhead requirements. Machine methods, however, may provide a viable, low overhead alternative.

Proposing a comprehensive framework for analysis and engineering of mobile payment business models

Although in the era of third generation (3G) mobile networks technical hurdles are minor, the continuing failure of mobile payments (m-payments) withstands the endorsement by customers and service providers. A major reason is the uncommonly high interdependency of technical, human and market factors which have to be regarded and orchestrated cohesively to solve the problem. In this paper, we apply Business Model Ontology in order to develop an m-payment business model framework based on the results of a precedent multi case study analysis of 27 m-payment procedures. The framework is depicted with a system of morphological boxes and the interrelations between the associated characteristics. Representing any m-payment business model along with its market setting and influencing decisions as instantiations, the resulting framework enables researchers and practitioners for comprehensive analysis of existing and future models and provides a helpful tool for m-payment business model engineering.

A human-centred methodology applied to decision support system design and evaluation in a railway network context

This article describes a methodological process for the design and evaluation of an interactive system in an industrial context. The process is called the U-model, and has been used in many projects since the early 1990s. The article describes a recent case study in which the U-model was adapted and used during a project involving the design of a decision support system intended for a railway investment context.

CoBTx-Net: A model for business collaboration reliability verification

Collaborative business process can become unreliable when business partners collaborate in a peer- based fashion without central control. Therefore, reliability checking becomes an important issue that needs to be dealt with for any generic solution in managing business collaboration. In this paper, we propose a novel Choreographical Business Transaction Net (CoBTx-Net) to model collaborative business process and to manage the collaboration by individual participants. Furthermore three reliability properties named Time-embedded dead marking freeness, Inter-organizational dead marking freeness, and Collaborative soundness are defined based on CoBTx-Net to verify (1) the violation of time constraint, (2) collaborative logic conflicts, and (3) the improper termination from individual organizations.

Protecting business intelligence and customer privacy while outsourcing data mining tasks

Nowadays data mining plays an important role in decision making. Since many organizations do not possess the in-house expertise of data mining, it is beneficial to outsource data mining tasks to external service providers. However, most organizations hesitate to do so due to the concern of loss of business intelligence and customer privacy. In this paper, we present a Bloom filter based solution to enable organizations to outsource their tasks of mining association rules, at the same time, protect their business intelligence and customer privacy. Our approach can achieve high precision in data mining by trading-off the storage requirement. This research was supported by the USA National Science Foundation Grants CCR-0310974 and IIS-0546027.

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Entropy based software processes improvement

Actual results of software process improvement projects show different levels of success. Although many software development organisations have adopted improvement models such as CMMI, it appears to be difficult to improve software development processes in the right way, e.g. tuned to the actual needs of the organisation. This paper presents a new approach to determine the direction of improvement for an organisation. This approach is based on an elaboration of the concept of entropy. The approach is empirically validated by carrying out interviews in 11 software development organisations in The Netherlands. The results of the research show that software development organisations can be classified and can be positioned on the basis of their internal and external entropy, c.q. the level of (dis)order in the business system and its environment. Based on a possible out-of-balance situation between the internal and external entropy, directions for software process improvement can be discussed. As such the proposed approach can support the application of current software process improvement methodologies such as the CMMI.