Business process integration, automation, and optimization in ERP : integrated approach using enhanced process models

Purpose: The purpose of this paper is to propose an integrated approach to process integration, automation, and optimization through enhanced business process models. Design/methodology/approach: The approach is based on a framework of process integration for functional applications, automation for business workflows, and additional functionalities for process optimization. The proposed approach is illustrated using enhanced process models over business integration, automation, and optimization with data elements, structures, and organizational elements. The standard sales order process cycle, quotation approval process, and production order cycle are chosen for illustrating process integration, automation, and optimization, respectively. Findings: The proposed approach combines applications and workflows using integrated process/data models and forms a foundation for business process optimization. It is shown that the integrated approach can improve existing business processes in enterprise resource planning (ERP), beyond business process re‐engineering (BPR) principles, once enhanced business process models are implemented. This approach eliminates need for a hierarchical representation of business processes and highlights the flexibility and visibility of business process implementation in ERP system environment. Research limitations/implications: Although process integration, automation, and optimization are illustrated using selected business process examples, it requires generalization of these enhancements over entire business blueprint of ERP system. Thus, one key limitation of this research is that it is not generalized for the entire business blueprint of ERP. This also requires changes to data structures beyond current relational data in many ERP systems. Originality/value: This research provides an integrated approach to business process modeling beyond traditional functional and workflow applications by eliminating hierarchical nature of process and data elements.