Title: Understanding the value of process capital: a multiple case study on CRM processes

Authors: Shari S.C. Shang, Ping-der Huang

Addresses: Department of Management Information Systems, National Chengchi University, No. 64, Sec. 2, ZhiNan Rd., Wenshan District, Taipei City, Taiwan, ROC. ' Department of Business Administration, National Chengchi University, No. 64, Sec. 2, ZhiNan Rd., Wenshan District, Taipei City, Taiwan, ROC

Abstract: This study examined possible ways of measuring process capital and proposed proper ways of reflecting the value of process capital. Using a system model, three methods of measuring organisational processes were identified: (1) measuring the investment in processes, (2) measuring the results of processes and (3) measuring the management capability of the processes. Examining five selected cases from Taiwan|s financial industry, this study applied the Resource-Based View (RBV) with the concept of dynamic capability to enhance the third method, and tested the three kinds of process capital measurements on Customer Relationship Management (CRM) processes. The findings revealed that the management capability of aligning organisational resources with the CRM processes seems to have the strongest correlation with a firm|s competitiveness and the maintenance of sustained customer relationships, suggesting that it should be considered an important indicator of process capital.

Keywords: process capital measurement; process management; customer relationship management; CRM; resource-based view; RBV; dynamic capability; Taiwan; financial industry.

DOI: 10.1504/IJLIC.2008.021019

International Journal of Learning and Intellectual Capital, 2008 Vol.5 No.3/4, pp.404 - 416

Published online: 31 Oct 2008 *

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