Improving IT-Service Business Processes by

Improving IT-Service Business Processes by Integrating Mobility: The Role of User Participation - Results from Five Case Studies Jan vom Brocke1, Bettina Thurnher1, Dietmar Winkler2 Institute of Business Informatics, University of Liechtenstein, Vaduz, Liechtenstein 2 Institute of Software Technology and Interactive Systems, Vienna University of Technology, Vienna, Austria 1

Abstract - In common IT-Service business, e.g., field technicians for maintenance and servicing of office machines, processes are usually paper-based. This causes error-prone and time-consuming activities. The integration of mobile tools might improve these business processes. Nevertheless, the implementation of mobile-integrated business processes within corporate IT-Systems is a major and still increasing issue. Although the usage of mobile technologies for IT management and improvement of business processes is far behind expectations, still little research has been done in analyzing critical success factors for mobile technology implementation and usage when replacing a former paperbased process within the IT-Service domain. In this paper we identify major business metrics which are influenced after mobile tool integration into mobile business processes. Therefore, the deployment of mobile solutions for IT service technicians has been investigated within five long-term industrial case studies. Major results show (a) key performance indicators in the area of IT-Service based on five case studies, (b) mobile technology impacts not only main business processes but also support-processes positively and (b) user participation within the development process of mobile solutions is a critical success factor for adoption and acceptance after deployment. Keywords: Mobile Business Processes, Usability, Case Studies.

1

Introduction

In common industry practice the optimization of processes is a key activity to increase process performance, measured by Key Performance Indicators (KPI), which are identified as essential measures for the related business process. A business process is a structured sequence of steps to achieve an output, e.g., fulfill a customer service request, based on the initial input, e.g., service request [12]. Major impact factors of business processes are (a) resources, (b) personnel, (c) process descriptions, and (d) indicators for process measurement and assessment (KPI). Resources support process users (personnel) in executing defined process steps, e.g., using technical infrastructure, and devices. A process description includes guidelines for process execution, which support the users in performing their tasks. For instance, process descriptions can be defined in domain specific checklists and work instructions. KPIs define

important measures and metrics for process assessment and improvement in a given company context. This paper focuses on the domain of IT-Service technicians, i.e., engineers who work on the customers’ side conducting maintenance- and service tasks (e.g., maintenance of office machines). Technicians are called either periodically (e.g., continuous support for a set of devices) or on-demand if there occur unexpected events (e.g., machine break-down). The challenge is to schedule IT-Service technicians to individual tasks properly (supported by the head-office/dispatcher) to fulfill defined Service Level Agreements (SLAs) or maintenance contracts. The core process landscape consists of (a) management processes to define basic strategies and goals of the company. Business processes include core processes for customer relationship management, e.g., contract negotiation for service level agreements and the IT-Service process to implement these services. A typical service within an ITService company includes a service request (from the customer), a dispatching activity to coordinate individual service technicians (typically performed by the head-office), task/job execution (installation, maintenance, and repair of devices conducted by the field technicians), and the follow up activities data collection and submission, and billing processes. Supporting processes include cross-functional activities for accounting (billing), sales, and communication (e.g., head-office call-centre for the support of customers and service technicians). In common IT-Service business, e.g., field technicians for maintenance and servicing of office machines, processes are usually paper-based supported by extensive communication to the head-office for clarification purposes. This paper-based process suffered from a set of drawbacks: like (a) redundant and error-prone data reporting, (b) a lack of real-time data availability, and (c) no access to best-practice solutions e.g., knowledge-base [3].The integration of mobile tools (e.g., smart phones for communication, PDAs for online data exchange) promises to improve this “paper-based” process by providing required information in real-time and removing unnecessary data reporting task. The implementation and deployment of a mobile tool to support IT-Service processes requires the integration of the end user, i.e., the service technicians, within the tool development process. Typically, a software engineering life-cycle consists of a sequence of phases [31]: (a) requirements definition for capturing the system requirements from the user, (b) specification and design with focus on architecture and technical design, (c)

implementation, (d) testing and integration, and (f) operation and maintenance. Requirements elicitation is a successcritical activity during the software development process because initial requirements represent the needs of the customers from user point of view. A prioritization of customer requirements can have an impact on perceived value of the software product by the customer [7]. The generation of user requirements has to be done together with the corresponding user group to achieve high-quality software product, which increase customer acceptance. The Chaos Report [30] identified the lack of user involvement in software engineering projects as the second most important reason (after lack of executive support) for project failure. The development of tools is possible without user participation in the design process – but deployment will be more cumbersome [23]. The design of a mobile tool is success-critical regarding the acceptance of the users and – as a consequence – to the improvement of the key performance indicators [24][23]. The remainder of this paper is structured as follows. Chapter 2 introduces to Business Processes in the area of IT-Service Providers and points out optimization opportunities by replacing paper-based processes with mobile tool supported business processes. The degree of user participation can have a major impact on the acceptance of mobile tools which can be expressed in business key performance indicators. Chapter three identifies the research questions, which were investigated in a series of case studies. We describe the case study design, case selection, execution of investigation and analysis in chapter 4. Chapter 5 presents the results of the case study observations. Chapter 6 discusses the results with respect to the research question and chapter 7 concludes and provides some directions of further work.

2

Related Work

In this chapter we provide a brief overview of state-ofthe-art work in the area of mobile business processes and the cost-value consideration of mobile technologies. Moreover, we explain the concept of user participation and its value propositions which are relevant when replacing a former paper-based process approach with a mobile tool supported workflow.

2.1

Mobile Business Processes

Business Process Management (BPM) includes common company process classes (management-, business- and support processes following a common standard, e.g., the ISO 9001 framework) and methods to support process design (introducing process changes), process control (measurement by key performance indicators), and process improvement (to increase process and company performance) [12][16]. BPM approaches prescribe that the entire management of an organization – strategy, goal setting, controlling and planning – be based on its core business processes. In general, a business process is a structured set of activities, designed to produce a specific output for a particular customer or market

based on customer and market requirements [11]. The variation of process impact factors, i.e., resources, personnel, process descriptions, and KPIs typically has an impact on process performance. For instance, modifying resources (e.g., switching from a paper-based process workflow to a mobiletool supported workflow) promises a positive impact on process performance (e.g., faster process throughput time). Key performance indicators (KPI) are used for controlling and monitoring of current processes (e.g., monitoring of timeto-bill, head-office work load, paper-handling time) and process improvement approaches (e.g., comparing KPI changes to an improved process workflow). BPM has changed the way how organizations conduct business, especially in the area of IT-Service Providers. New technologies, like mobile solutions and wireless data transmissions, facilitate process changes (the resource dimension) from a former paper-based manner to electronic data exchange and mobile-tool supported processes. The introduction of mobile-tool supported processes promises increasing data integrity (reducing multiple data recording activities), just-in-time information (access to knowledgedatabases for service support purposes) and reduced processing time for accounting (e.g., creating invoices based on service technician reports immediately after service task completion). As today’s work-structures are becoming increasingly mobile, BPM is facing new challenges and opportunities concerning technology support. Management and organization of mobile workers, their connection to company IT and processes are one of the current concerns within research and industry. Whereas mobility refers to the level of geographic independence of mobile workforce [34], the term mobile business processes (MBP) refers to any business process which is (partly or completely) executed mobile and thus can not be fully supported by the use of stationary IT [27]. The term mobile-integrated business processes (MIBP) refers to any MBP that is fully supported by mobile IT. A mobile-integrated business process is defined by the integration of mobile workforce via mobile technology into company business processes and IT-Systems [27]. The technological change of process workflows and the adjustment of the underlying infrastructure require additional effort in order to realize potential benefits within industry. Nevertheless, cost-benefit considerations of initial development and deployment for mobile solutions and expected savings, achieved by increased business process performance, are basic factors for decision makers to initiate process changes.

2.2

Cost Value Technology

Consideration

of

Mobile

Mobile information and communication technologies (ICT) offer a plethora of new value propositions and promise to have a significant transformational impact on business processes, organizations, and supply chains [20][3][26][27][33]. However, despite its potential contributions, enterprise adoption of mobile ICT has not been

as widely spread as initially anticipated. Previous research has argued that successful adoption and implementation of any emerging ICT, such as mobile ICT, often requires fundamental changes across an enterprise and its current business processes, organizational culture, and workflows [32][4]. Hence, in order to minimize organizational risks and maximize the potential benefits of mobile ICT, companies have to evaluate the value of mobility to their organization [35]. Value propositions of IT-Systems can be measured through business metrics and their contribution to decision support requirements. Business metrics can be a powerful communication tool to communicate with decision makers and employees [29]. They are a measurement for a company’s economic success or failure e.g. cost/benefit, Balanced Score Card (BSC) Analysis or Return on Investment calculations (ROI) [16]. Business needs are best served when business metrics – such as cost or revenue – are considered to measure business impact. The business impact [16] of certain IT events (e.g. component faults) on business results must be captured and measured. In the ITIL literature, impact is a measure of business criticality, often equal to the extent to which an incident leads to distortion of agreed Service Level Agreements (SLAs) (e.g. availability of a service). The user e.g., service technician, management) of mobile ICT has to be integrated within the business process redesign as well as mobile tool development phase. The value propositions of mobile tool supported workforce are numerous [3][4]. In this section we will outline possible value propositions through information and resource access via mobile technology: (a) releasing workforce from the desktop: As information is possible anywhere and anytime (e.g. at the customer’s site, on a journey to the customer), required information is available on-demand. The availability of task-critical information can lead to better and faster decisions by the users (e.g., checking the availability of spare-parts while traveling to the customer). (b) The replacement of paper-based processes with mobilesupported tools leads to a reduction of error-prone, redundant data reporting tasks (e.g., recording of data on a sheet of paper, transferring the information to a software solution). Thus, mobile-supported tools help improving data integrity, reducing rework effort and improve data accuracy. (c) Access to corporate resources supports IT-Service technicians in retrieving required information (e.g., possible solutions for dealing with an unknown device failure at the customer) and leads to a higher productivity (shorter solution of a certain problem) and a reduced communication effort (call-back in the head-office for phone-support). (d) Automated onlinerequests within the knowledge databases decrease workload in the head-office because the mobile worker is able to retrieve job critical information by himself/herself e.g. access to customer database. (e) These advantages lead to higher competitiveness and increased customer satisfaction because mobile workers can react and respond faster to changing market conditions and customer demands than others. (f) Reduction of cost for hardware equipment by replacing expensive computing equipment (e.g., laptops) by cheaper handheld devices (e.g., PDAs). In general, mobile ICT differ

from their non-mobile counter parts (e.g. desktop PCs, laptops) by factors like application context: The user of a mobile system is moving (travelling in public means of transport, walking or standing); additional environmental requirements, e.g., lightning, noise and space, and technical requirements, e.g., computing power, connectivity and battery lifetime (which are still limitations in applying mobile tools) must be considered during development and deployment of mobile tools.

2.3

Importance of User Participation

Beside new value consideration an additional requirements regarding the mobile solution, the involvement of the user (who should use the mobile solution) is a successcritical factor in software development. The Standish Group investigated a set of industry projects (365 industrial responses involving more then 8300 applications) and the main reasons for project failure. The most important reasons for project interruption were: (1) lack of management support and (2) a lack in user involvement [30]. Obviously, strong user participation during mobile tool development is necessary to fulfill the individual requirements of the target user group and to address the need of the mobile IT-Service technicians. The investigation of positive impacts of user involvement and user participation on system acceptance has been done extensively within the ICT literature over the last 30 years of ICT research to name only a view e.g. [18][23][25][17][22]. The terms user participation and user involvement are often used inter-changeably in the Information System literature. However, in other disciplines, the concepts are accorded separately and have distinct meanings. In order to address this anomaly, Barki and Hartwick argue that the term user participation be utilized to refer to development-related activities and behaviors of users and their representatives during the development process, and that user involvement be used to refer to the subjective psychological state that reflects the level of importance and personal relevance of the information system to users. These researchers also argue that user participation is one of the more important concepts, of user involvement. User participation leads to increased system acceptance by (a) developing realistic expectations about system capabilities [10]; (b) providing an arena for bargaining and conflict resolution about design issues [19]; (c) leading to system ownership by users [28]; (d) decreasing user resistance to change [22] and (e) Committing users to the system [22]. Whereas linking usability considerations and user participation to the impact on business metrics have been investigate e.g. by [23]; in depth investigations targeted at mobile applications in the IT-Service domain are missing so far. Nielsen [23] stated in his report that he estimates "… spending about 10% of a project's budget on usability activities doubles usability”. Despite the numerous above mentioned value propositions and the need of including the end user within software development of mobile ICT - within industry projects user involvement is still not applied widely (see Case Study section). In order to investigate and clarify

the value contribution of user participation within the development process of mobile solutions we formulated the following research questions.

3

Research Questions

User participation has a direct impact on the acceptance of the mobile tool and the benefits of integrating mobility in IT-Service business processes, which are expected to be measurable in identified key performance indicators. To address these issues we identified three major research questions, which were investigated in a family of five case studies in the area of IT-Service Providers. 1. What are the key value propositions (KPI) in the business process domain of IT service support? Based on a series of interviews in the companies under investigation one important goal was, how decision makers see the benefits of modifying their business processes by introducing mobile-tool solutions (from paper-based processes to mobile-integrated processes) and how they are expected to measure these benefits. 2. How can value propositions of user participation be measured? Following the definition of the KPIs by the decision makers in their individual context, it is necessary to measure them in order to identify process measurement changes (improvement or decline of KPIs). To investigate these research questions we setup a series of case studies in several companies who changed their IT-Service processes from a paper-based process approach to a mobile-tool supported process.

3.1

Case Study Design

This section summarizes the basic setting of the series of case studies, starting with the company selection, the case study process, the data analysis approach and the threats to validity for generalization purposes. Case study research it is especially appropriate for obtaining complex details and novel understandings about a specific phenomenon under investigation. Case study research is appropriate for examining practice-based problems, since it allows a researcher to capture the knowledge of practitioners and use it to generate theory [2][6][8][9]. Where there is no ideal number of cases which should be investigated in case study re-search, Eisenhardt suggests conducting four to ten case studies: “With fewer than four case studies it is often difficult to generate theory with much complexity and its empirical grounding is likely to be unconvincing, unless the case has several mini-cases”. With more than ten cases it becomes difficult to cope with the complexity and saturation degree is already achieved [9]. Within this paper 5 case studies have been undertaken in order to meet the suggestions of Eisenhardt [9] from a research perspective. Beyond that we assumed that 5 cases within the same industry domain (technical customer service provision) are sufficient for understanding of interdependencies of mobile-integrated business process

within different companies working in the same domain. The primary factor for the selection of the case study companies was the extent to which the mobile worker has been executing his/her operative tasks outside the office (e.g. at the customer's site). All case study companies have mobile workers which work at least 80% of a 40 hour week at a location outside the office and disconnected from their desktop systems. Companies varied the company type, number of technicians (users of the mobile solution), the ITarchitecture and the degree of user participation. Table 1 provides a brief overview of the selected case studies in different application areas of IT-Service. Case Study 1 (Telecom): Telecommunication Service Provider: For the first case study we investigated a mobile dispatching and order handling system of a major European Telecommunication Service Provider. 12,000 technicians have been equipped with standard commercial PDAs. The introduction of MIBP was conducted in iterative steps from the year 2000 until 2006. Legacy systems have been substituted by mobile client-server architecture (although service order generation and handling are still conducted on separate information systems for private and business customers). Main tasks of the field technicians include installation, maintenance and repair of telecommunication products (e.g. telephone systems for land line communication). Service orders are dispatched automatically considering skill level, location, optimal routing, urgency and the respective SLA. Case Study 2 (Utility): Municipal Utility Company: For the second case study we investigated a major German Municipal Utility Company and its mobile service, maintenance and invoicing process. About 1,000 technicians have been equipped with standard industry PDA. MIBP were introduced during a one year project with the support of a specialized consulting company. Typical tasks of the utility technicians are e.g. installation and maintenance of meters for gas or electricity in private, public or industry buildings. Due to special restrictions and the need of managerial control, dispatching stayed manually: Technicians come to the office, receive their schedule and then head off to customers. During the day they are now able to receive new jobs, accept or deny them and send status reports. Case Study 3 (IT Service): IT Service Provider: In the third case study we investigated an Austrian IT Service Provider for hard- and software installation and maintenance. 40 IT service technicians have been equipped with mobile devices. The system was implemented in cooperation with an Application Service Provider (ASP). That offers the advantage that on the mobile device itself no sensitive data was stored but online connection was necessary for data transmission and retrieval. Field technicians use a browserbased solution on the mobile device in order to receive job descriptions for the current working day which can be rescheduled via an implemented push-mail function. Main tasks of an IT service technician include repair, maintenance and installation of different hard- and software (e.g. repair of printers, reboot server, and exchange mother board). A major

driver for MIBP introduction was to shorten the invoicing time, for which especially the records of working- and driving time and used spare parts are essential. Case Study 4 (Toll Collection): Toll Collection and Railway: In this case study we investigated an Austrian Toll Collection and Railway Maintenance Company. This company is responsible for the planning, financing, building and maintenance of the Austrian rail-way and highway system. The road network has a total length of 2,000 km at the time of study conduction (Status: Dec. 2006). Seven field service technicians have been equipped with a mobile tool (MDA III) to replace the former paper based process. The mobile application was as well realized together with the same ASP. Case Study 5 (Machine Construction): Machine Construction Company: The case study refers to a large German Machine Construction Company which is a world market leader in the concerning industry do-main. In 170 countries worldwide 20,000 employees are employed in over 200 outlets. More than 3,500 service technicians are employed worldwide. Such an immense service network made it necessary to integrate service technicians into company information systems (e.g. Customer Relationship Management - (CRM) and Service Level Management(SLM) Systems). Prior to mobile tool support customer service calls have been sent to the service technician via mail or fax. Request about customer specific details or available spare KPI Time to Bill SLA-Rate

Work-load in head-office Paperhandling time ROI

Measurement Approach Duration [in days] from task completion to invoice submission. Service Success Rate [in %] is defined as the ratio of the duration from service request to fulfilment of the request related to the agreed (in the customer contract) SLA. Work load [in %] in the head-office derived from the number of incoming calls (by technicians) and e.g. sales personnel. Paper handling time [in days] is the duration from task completion until the submission of performance data (working-, driving-time and number of used spare-parts) to head-office. The return on investment [ROI in years] is defined as the amortization time of mobile tool integration (development and deployment costs) vs. reduced cost through mobile tool usage.

parts had to be executed via mobile phone by the service technician. Improvement of communication- and information flows has been targeted by the company management as part of the mobile strategy.

4

Results

This next section summarizes the research findings and gives examples of process improvements. It was notable that the business process improvements in percent reached similar values in all case study companies e.g. concerning communication time, time to bill, etc. before and after mobile tool integration. The degree of user participation in the companies under investigation varied. Case 2, 3 and 5 applied user participation in all development phases; whereas Case 1 and 4 realized user participation mainly in the device selection phase. RQ 1/2. What are the key value propositions (KPI) in the business process domain of IT service support (RQ 1) and how can value propositions of user participation be measured (RQ 2)? In the case study research, we identified five typical KPIs - for the IT-Service domain. Additionally, the interview partners stated typical best-practice measurement approaches for key performance indicators in the IT-Service domain. Table 3 provides an overview on these KPIs, their measurement approach and their improvement capabilities.

Improvement Capabilities (Management Goal) Paper-based processes require too much time. Management Goal: Reduction of “time to bill” Limited access to knowledge bases and spare-part availability impede efficient task completion. Management Goal: Improvement of SLA Rate. Missing online-communication requires additional callbacks in the head-office. Management Goal: reduce work load in the head-office Missing online completion of tasks require rework effort, performed daily or even just once per week. Management Goal: reduce duration for submission of performance data. Development and integration of mobile tools require additional costs; nevertheless. Management Goal: saving by replacing the paper-based process should lead to a short ROI.

Table 1: Key Performance Indicator Overview. ROI calculations are made as the mobile business process and the mobile application contribute to company’s profit that means that amortization is within the useful life span. For hard- and software components this should be under 3 years as the useful life span is relatively low. Absolute cost values could not be provided by the Case Study companies as this was restricted sensitive data. The investigation of the stated research questions provide helpful first insights for the understanding of value propositions of user participation in the development of mobile tools for business process support.

RQ 1: What are the key value propositions (KPI) in the business process domain of IT service support? The results of the interviews presented a common view on the business process KPIs. The management level of the case study companies focused on the ROI and the reduction of time-to-bill as major KPIs for introducing mobile tools. The finding of the case studies motivated them to foster user participation within future (mobile) tool development processes. For service technicians paper-handling duration and service success rate have been major indicators for improvement (reduced rework after task completion at the customers’ site). Additionally, the number of call-backs to the

head-office (to get additional information) has been reduced; therefore the work-load in the head office has been reduced as well. Strategic Goal Definition

...

ROI Business Processes Customer Relation Management Service Level Agreement

SLA-Rate

...

[2] Anda B., “Empirical studies of construction and application of use case models,” PhD Thesis, University of Oslo, 2003.

Paper Handling

IT-Service Process Service Request

Dispatching

Task Execution

Data Collection / Submission

Financial Accounting

Billing

Time-To-Bill

Support Processes Sales

Communication Back-Office

Work Load

Additional Support Processes according to the Business Area

Figure 1: Business Process Layers with integrated KPIs

5

References

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Management Processes Planning & Controlling

6

Conclusion

The presented research approach combines usability considerations like user participation within the development process of mobile tools to investigate positive impacts on KPIs. The results show what improvements on business metrics such as paper-handling time, head office capacity (workload), and invoice cycle (time-to-bill) can be realized after mobile tool development and deployment (as a replacement of a former paper-based business process). The described case studies lay the baseline for further studies and offer important insights in measurement, improvement and adjustment of mobile business processes. Case study research is a suitable method when investigating relatively new areas of research with the aim of primary data generation and observation of IT-Systems within a “real-world” setting. The findings show that cost savings and productivity gains are the major value contribution/benefits for enterprises having implemented mobile ICT. We showed that through user participation value contribution can be fostered and achieved faster in terms of e.g. ROI period. User participation is a success critical factor - not only but especially - for mobile ICT adoption and acceptance. The user (mobile workforce) is not only an important knowledge source concerning the specific mobile workflow, user participate reduces change resistance and tool reluctance as shown in the presented case studies. As mobile ICT continues to evolve and mature, enterprises must prepare themselves for the ICT demands of mobile workforce. The understanding of the potential impact of mobile ICT on business processes is important for managers in order to understand the needs and value contribution of mobile processes. The limitations of this work provide research targets for further work and investigations of the research questions within varying industry domains and settings which will be part of a future research agenda.

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