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Operational effectiveness of the information technology function in business process change: A case study in a financial services firm

In order to address the need to remain flexible in dynamic business environments, organisations must focus on the effectiveness of their core operational processes. The importance of operational effectiveness has been claimed to have a direct influence on business performance. In order to improve th...

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Main Author: Ball, Richard
Other Authors: Shaw, Corrinne
Format: Thesis
Language:English
Published: Department of Mechanical Engineering 2017
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access_status_str Open Access
author Ball, Richard
author2 Shaw, Corrinne
author_browse Ball, Richard
Shaw, Corrinne
author_facet Shaw, Corrinne
Ball, Richard
author_sort Ball, Richard
collection Thesis
description In order to address the need to remain flexible in dynamic business environments, organisations must focus on the effectiveness of their core operational processes. The importance of operational effectiveness has been claimed to have a direct influence on business performance. In order to improve their effectiveness, many organisations invest in information technology (IT) systems, even though the extent to which these technological initiatives influence operational effectiveness is considered to be largely misunderstood by the organisations who employ them. In this dissertation, the relationship between the Operations and IT departments of a financial services firm is investigated. This study pays particular attention to the factors that have the potential to influence the ability of the organisation to align its strategies. This enquiry takes the form of two distinct research questions: 1) What factors in the organisation have an impact on the success of business process change proposals? 2) How is the role of IT perceived in the preparation of business process change initiatives? The study involved conducting semi-structured interviews with members of both departments. A qualitative inductive approach was used to analyse the data collected from these interviews in order to identify themes. The emergent phenomena were then considered in conjunction with the literature on organisational effectiveness and strategic alignment, in order to develop a theory that answers the research questions. The findings of the theory that developed resulted in four main relationships. They were: how understanding business processes contributes to improved service delivery; how important communication is in contributing to organisational performance; how effective planning has an impact on product complexity; and the impact that effective organisational planning has on the relationship between IT and operations. The results of this study showed that although there was intention to improve alignment between business and IT strategies, with some noteworthy initiatives emerging, there have been a number of factors inhibiting successful alignment. Some of these factors include: a lack of trust in IT solution delivery, IT remaining ignorant to the impact of process changes, the inability to effectively allocate the business analysis function to the correct change proposals, and the silos of process knowledge that exist within operations. The recommendations of this study include: improvements to the visibility of business processes; methods to improve knowledge sharing; and strengthening the focus of the business analysis function.
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institution University of Cape Town (South Africa)
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license_str Not specified — see source repository
provenance_str_mv Harvested via OAI-PMH from UCTD — University of Cape Town Open Access Repository
publishDate 2017
publishDateRange 2017
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publisher Department of Mechanical Engineering
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spelling oai:open.uct.ac.za:11427/22757 Operational effectiveness of the information technology function in business process change: A case study in a financial services firm Ball, Richard Shaw, Corrinne Mechanical Engineering Engineering Management In order to address the need to remain flexible in dynamic business environments, organisations must focus on the effectiveness of their core operational processes. The importance of operational effectiveness has been claimed to have a direct influence on business performance. In order to improve their effectiveness, many organisations invest in information technology (IT) systems, even though the extent to which these technological initiatives influence operational effectiveness is considered to be largely misunderstood by the organisations who employ them. In this dissertation, the relationship between the Operations and IT departments of a financial services firm is investigated. This study pays particular attention to the factors that have the potential to influence the ability of the organisation to align its strategies. This enquiry takes the form of two distinct research questions: 1) What factors in the organisation have an impact on the success of business process change proposals? 2) How is the role of IT perceived in the preparation of business process change initiatives? The study involved conducting semi-structured interviews with members of both departments. A qualitative inductive approach was used to analyse the data collected from these interviews in order to identify themes. The emergent phenomena were then considered in conjunction with the literature on organisational effectiveness and strategic alignment, in order to develop a theory that answers the research questions. The findings of the theory that developed resulted in four main relationships. They were: how understanding business processes contributes to improved service delivery; how important communication is in contributing to organisational performance; how effective planning has an impact on product complexity; and the impact that effective organisational planning has on the relationship between IT and operations. The results of this study showed that although there was intention to improve alignment between business and IT strategies, with some noteworthy initiatives emerging, there have been a number of factors inhibiting successful alignment. Some of these factors include: a lack of trust in IT solution delivery, IT remaining ignorant to the impact of process changes, the inability to effectively allocate the business analysis function to the correct change proposals, and the silos of process knowledge that exist within operations. The recommendations of this study include: improvements to the visibility of business processes; methods to improve knowledge sharing; and strengthening the focus of the business analysis function. 2017-01-17T12:20:34Z 2017-01-17T12:20:34Z 2016 Master Thesis Masters MPhil http://hdl.handle.net/11427/22757 eng application/pdf Department of Mechanical Engineering Faculty of Engineering and the Built Environment University of Cape Town
spellingShingle Mechanical Engineering
Engineering Management
Ball, Richard
Operational effectiveness of the information technology function in business process change: A case study in a financial services firm
thesis_degree_str Master's
title Operational effectiveness of the information technology function in business process change: A case study in a financial services firm
title_full Operational effectiveness of the information technology function in business process change: A case study in a financial services firm
title_fullStr Operational effectiveness of the information technology function in business process change: A case study in a financial services firm
title_full_unstemmed Operational effectiveness of the information technology function in business process change: A case study in a financial services firm
title_short Operational effectiveness of the information technology function in business process change: A case study in a financial services firm
title_sort operational effectiveness of the information technology function in business process change a case study in a financial services firm
topic Mechanical Engineering
Engineering Management
url http://hdl.handle.net/11427/22757
work_keys_str_mv AT ballrichard operationaleffectivenessoftheinformationtechnologyfunctioninbusinessprocesschangeacasestudyinafinancialservicesfirm