Business Processes Capability and Performance: A South African Perspective

Abstract

Successful organisations depend on leadership, process optimisation, and utilisation of resources. Optimisation is achievable through well-defined systems and supporting processes that guide organisations towards excellence. Organisations need to understand operational and individual business processes as well as the strategic impact on the supply network. Effective optimisation impacts strategically on quality cost, revenue, investment, and capabilities. Business Process Capability measurements forces organisational leaders, managers and employees to critically analyse existing business processes, and determine gaps identifying existing performances and sub-optimal states. Many organizations in South Africa misunderstand business process capability and measure success on revenue and profits generated hiding inefficiencies that could be concealed by the profits. One of the contributing factors might be that some companies in South Africa lack international competitiveness, do not optimize their business processes nor align business processes and available resources to adhere to organizational goals and calls for radical redesign of business processes resulting from end-to-end fulfilling internal and external customer needs. The paper will show why organisations should base their competitiveness on a value chain and end - to - end business processes optimisation rather than only profit.