Business Process Management - Final

An assessment of business process management in
the mining sector in Ghana; a case study of BPF at
AngloGold Ashanti
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Chapter 1 Table of Content
TABLE OF CONTENT........................................................................2
CHAPTER 1INTRODUCTION.............................................................6
1.1 BACKGROUND OF THE STUDY.......................................................................6
1.2 PROBLEM STATEMENT................................................................................. 7
1.3 OBJECTIVES OF THE STUDY..........................................................................8
1.4 RESEARCH QUESTIONS................................................................................9
1.5 SIGNIFICANCE OF THE STUDY.....................................................................10
1.6 SCOPE OF THE STUDY...............................................................................10
1.7 OVERVIEW OF METHODOLOGY....................................................................11
1.8 ORGANIZATION OF THE STUDY....................................................................11
- LITERATURE REVIEW.................................................................13
1.9 INTRODUCTION........................................................................................ 13
1.10 BUSINESS PROCESS MANAGEMENT - DEFINITIONS.........................................13
1.11 BUSINESS PROCESS MANAGEMENT - ORIGINS..............................................14
1.12 THE MISUNDERSTANDINGS OF BUSINESS PROCESS MANAGEMENT....................16
1.13 THE THREE DIMENSIONS OF BUSINESS PROCESS MANAGEMENT......................17
1.14 BUSINESS PROCESSES.............................................................................17
1.14.1 Functions versus Processes.........................................................17
1.14.2 Definition of Processes................................................................18
1.14.3 Types of Processes.......................................................................19
1.14.4 The Importance of Business Processes........................................19
1.14.5 Design of Processes.....................................................................20
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1.15 BUSINESS PROCESS MANAGEMENT IN ACTION..............................................21
1.16 BENEFITS OF BUSINESS PROCESS MANAGEMENT..........................................22
1.17 BUSINESS PROCESS MANAGEMENT FAILURE................................................23
1.18 BUSINESS PROCESS MANAGEMENT LIFE CIRCLE...........................................24
1.19 BUSINESS PROCESS MANAGEMENT ARCHITECTURE AND TOOLS.......................25
1.19.1 Business Process Management Systems (BPMS).........................26
1.19.2 Modelling Standards....................................................................26
- METHODOLOGY AND ORGANIZATIONAL PROFILE........................28
1.20 INTRODUCTION...................................................................................... 28
1.21 RESEARCH PARADIGMS............................................................................28
1.22 PURPOSE OF THE STUDY..........................................................................29
1.23 SAMPLING PROCEDURES..........................................................................30
1.23.1 Population and Sample Framework.............................................30
1.23.2 Sampling technique.....................................................................31
1.24 DATA COLLECTION METHODS...................................................................31
1.24.1 Sources of Data........................................................................... 31
1.24.2 Data Collection Instrument..........................................................32
1.25 DATA ANALYSIS...................................................................................... 33
1.26 QUALITY OF THE RESEARCH.....................................................................33
1.27 RESEARCH ETHICS AND LIMITATIONS..........................................................34
1.27.1 Research Ethics...........................................................................34
1.27.2 Limitation to the Study................................................................35
1.28 BRIEF PROFILE OF THE CASE STUDY ANGLO GOLD ASHANTI COMPANY LIMITED
35
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1.28.1 Mission, Vision and Core Values...................................................37
1.28.2 Strategy....................................................................................... 38
1.28.3 Business Process Framework [BPF].............................................39
1.28.4 What Does One Mean..................................................................39
1.28.5 Why BPF...................................................................................... 39
- FINDINGS, ANALYSIS AND DISCUSSION......................................41
1.29 INTRODUCTION...................................................................................... 41
1.30 DEMOGRAPHIC CHARACTERISTICS..............................................................41
1.30.1 Gender Distribution.....................................................................41
1.30.2 Age Distribution...........................................................................42
1.30.3 Number of years on the job.........................................................42
1.30.4 Educational Qualification.............................................................44
1.31 THE IMPACT OF BUSINESS PROCESS FRAMEWORK, [BPF] ON MINING OPERATIONS
45
1.31.1 Staff Awareness of business process framework as a working
system in the company...........................................................................45
4.3.2 Importance of the Implementation of Business process framework......................46
1.31.2 Level of Satisfaction with the Implementation Process of the
Business Process Framework..................................................................47
1.31.3 The impact of the Implantation of the Business Process
Framework on the operation of the Mine................................................48
1.32 RELEVANCE OF BUSINESS PROCESS MANAGEMENT [BPF]..............................49
1.32.1 Relevance of the Implementation of Business Process Framework
to the Operations of the Mines................................................................49
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1.32.2 Importance of business process framework to certain factors in
the mines................................................................................................ 50
1.33 SUITABLE APPROACH TO ADOPT IN THE IMPLEMENTATION OF BUSINESS PROCESS
FRAMEWORK [BPF]......................................................................................... 53
1.34 EFFECTIVENESS OR OTHERWISE OF THE IMPLEMENTED BUSINESS PROCESS
MANAGEMENT SYSTEM...................................................................................... 56
1.35 CHALLENGES ASSOCIATED WITH BUSINESS PROCESS FRAMEWORK...................58
- SUMMARY OF KEY FINDINGS, RECOMMENDATION AND
CONCLUSION...............................................................................60
1.36 KEY FINDINGS........................................................................................ 60
1.36.1 The impact of Business Process Framework, [BPF] on mining
operations............................................................................................... 60
1.36.2 Relevance of Business Process Management [BPF].....................60
1.36.3 Suitable approach to adopt in the implementation of Business
Process Framework [BPF]........................................................................62
1.36.4 Effectiveness or otherwise of the implemented business process
management system.............................................................................. 64
1.36.5 Challenges associated with Business Process Framework...........65
1.37 RECOMMENDATIONS................................................................................66
1.38 CONCLUSIONS....................................................................................... 66
REFERENCES................................................................................68
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Chapter 2 Introduction
1.1 Background of the Study
In todays competitive business environment, the expectation of business owners and
shareholders is continuous and improved ways of increasing profit and decrease cost.
This demand means that managers of companies will also have to continuously strategize
and re-strategize to meet the expectations of their superiors and managers.
One medium of such strategy is the process of instituting effective internal operational
restructuring. Such internal operational restructuring cuts across of departments of the
implementing institution, mainly with the aim of reducing wastage in the system and
create effective and efficient process flow in the institution in order to beat competition.
But not all companies are able to effectively implement such operational reforms
successfully and so they are prone to replicating the approach developed by the more
successful implementers. Through operational effectiveness the rivals imitate one another
and for that reason strategies converge and have a result of limited competition, (Porter,
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1996). It therefore means that very successful and productive companies are those that
are able to continuously evolve in terms of their business process restructuring and
management.
In such competitive and unstable business environment, business process management
(BPM) seems to help enterprises to implement changes by changing their processes
continuously to achieve the needed results, Antunes and Mouro, (2010). Without
continuous and consistent effort at improving business processes, businesses will fall to
the competition; even lose out their market shares to competition and therefore lose out
their profit margins to competition as well. Such an occurrence is not what is expected of
business managers. All measures and actions must be taken to avoid such an avoidable
occurrence and rather grow business in the expected profitable direction.
Business Process Management, (BPM) is the organizations answer towards the
unpredictability of the business processes, (Wang & Wang 2005), meaning that a wide
number of researchers have attempted to establish the relevance of business process
management. The outcome of these researches confirms that necessity for businesses, big
or small, to adopt BPM as a vital and relevant management tool. It is now seen as tool
that cant be ignored by any serious and result oriented business entity.
Business Process Management (BPM) has been identified as the number one business
priority in todays competitive business environment, Gartner (2005). Today the need for
BPM cant be emphasized any further but rather more studies will have to be conducted
to ascertain the approaches being adopted by different companies and the associated
success stories that come along with its implementation.
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1.2 Problem Statement
In Ghana, the past two decades has seen a lot of improvement in terms of business
operation orientation. Some companies have accepted the presence of competition and
the impact such competition could have on their profitability and efficiency.
All sectors of the Ghanaian business community are now experiencing an increase trend
in business process improvement and management. The acceptance of business process
management (BPM) as a form of creating better operational systems is now very popular
because of the ability to BPM to help reduce cost and increase profitability (Porter,
1996). It helps to orientate the processes in organizations and also chip away irrelevant
portions and processes.
BPM is now receiving a lot of attention and is wide spread among many organizations
across the country. Its acceptance cuts across various departments of companies. From
human resource restructuring and realignment to automation of previously manually
manned processes. For instance, process automation is perceived to save time, reduce
cost and improve or increase quality. The advances made by the broad adoption of
information technology platforms by companies are now providing adequate information
and data available for enhanced operational business process decisions.
There is a clear need for BPM infrastructure for multinational companies operating on
multi level systems in different locations and countries. Mining companies form one of
such multinational companies. Mining companies engage in projects, which needs
effective process management system other than allowing wastages in the system. The
competencies and strengths of BPM are in consonance with the needs for such effective
processes.
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This study seeks to assess business process management in the mining sector in Ghana
using a system implemented at AngloGold Ashanti Mining Company Limited called
Business Process Framework [BPF] as the case study.
1.3 Objectives of the Study
The main objective of the study is to assess business process management in the mining
sector in Ghana using a system implemented at AngloGold Ashanti Mining Company
Limited called Business Process Framework [BPF] as the case study.
The specific objectives of the study are as follows.
1. To assess the impact of Business Process Framework, [BPF], on the operations of
AngloGold Ashanti Mining Company Limited
2. To determine whether Business Process Management at AngloGold Ashanti
Mining Company Limited, specifically BPF, is as relevant to mining operations as
it being branded to be.
3. To determine the most suitable approach to adopt in the implementation of
Business Process Framework [BPF], at AngloGold Ashanti Mining Company
Limited to achieve the expect results
4. To determine the effectiveness or otherwise of the implemented business process
management system, Business Process Framework [BPF], at AngloGold Ashanti
Mining Company Limited
5. To identify the challenges associated with Business Process Framework [BPF], at
AngloGold Ashanti Mining Company Limited
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1.4 Research Questions
To achieve the set objectives of the study, the following research questions will have to
be answered by the researcher.
1. What is the impact of Business Process Framework, [BPF], on the operations of
AngloGold Ashanti Mining Company Limited?
2. Is Business Process Management at AngloGold Ashanti Mining Company
Limited, specifically BFP, is as relevant to mining operations as it being branded
to be?
3. What is the most suitable approach to adopt in the implementation of Business
Process Framework [BPF], at AngloGold Ashanti Mining Company Limited to
achieve the expect results?
4. How effective or otherwise has the implementation business process management
system, Business Process Framework [BPF], been at AngloGold Ashanti Mining
Company Limited?
5. What are the challenges associated with Business Process Framework [BPF], at
AngloGold Ashanti Mining Company Limited?
1.5 Significance of the Study
The research will enable players and decision makers in the mining sector to have a fair
understanding of the effect of business process management on the output of their
operations. Other stakeholders, such as software developers, mining engineers and
mining IT experts can also utilize the findings to their benefits during their strategic
sessions. The findings of the study can be a good source of information for business
decision makers having a connection with business process management.
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It will also add up to the stock of data available in the academic world on the subject area
of the research. Both academia and interest person(s) can access the information made
available by this research. the research will be concluded by July 2013.
1.6 Scope of the Study
This research is undertaken at the Obuasi mine site of AngloGold Ashanti Mining
Company Limited. The study covers the mining and engineering departments involved in
the usage of the Business Process Framework [BPF] system. The major respondents are
the staff of mining, engineering and IT departments being the implementing departments.
1.7 Overview of Methodology
The researcher adopts the purposive sampling technique in acquiring responses from the
selected participants for the research. The researcher employs both quantitative and
qualitative approaches coupled with a descriptive method of presenting the finding of the
research.
The questionnaire used for this research is a semi structured questionnaire, designed to
have both open-ended and close-ended questions. The questionnaire is administered in
person by the researcher, which give the researcher the opportunity to have more personal
interaction with the respondents. This helped the researcher in asking probing questions,
which were not captured in the questionnaire.
The researcher deems this approach as the best because it aids in having a personal
understanding of the real issues pertaining in the company, manage cost incurred for the
research, and also effective time management.
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SPSS and the Microsoft Office Toolkit will be the soft wares of choice for the
compilation and completion of the research.
1.8 Organization of the Study
The chapter 1 of this research will detail all the introductory components of the study.
The main features are background to the study, problems statement, objectives of the
study and research question. Others are significance of the study, scope of the study, brief
overview of methodology and finally the organization of the study. Chapter 2 deals with
reviewing the most relevant existing works that deals with the set objectives and features
of this study whereas Chapter 3 captures the research methodology and approach adapted
for this study. It gives detailed discussion on the methods and framework that will enable
the achievement of the set objectives of this research.
Chapter 4 deals with all the data gathered from the respondents will be processed,
analyzed and presented in this chapter. The chapter presents all interpretation to be drawn
from the analyses process. It also captures all discussion to be done on the set objectives
of the study. Chapter 5 deals with conclusions, recommendation based on the findings,
limitation to the study and suggestion for further research
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Chapter 3 Literature Review
1.9 Introduction
This chapter reviews relevant literature on Business process Management (BPM). It
closely examines the following key areas: The impact of Business Process Framework
(BPF) on operations, the relevance of Business Process Framework (BPF) to mining
operations, the most suitable approach to adopt in the implementation of Business
Process Framework (BPF) to achieve the expected results, the effectiveness or otherwise
of the implementation of business process management system, the challenges associated
with Business Process Framework [BPF] in the mining sector.
Before examining the concept of Business Process Management (BPM), it is essential to
make a reference on the BPM definitions exactly as given by important reviewers and
BPM researchers.
1.10 Business Process Management - Definitions
Business Process Management is seen as a way of supporting business processes using
methods, techniques and software to design, enact, control and analyze operational
processes involving humans, organizations, applications, documents and other sources of
information (Ko et al., 2009). In the view of Gartner (2007), BPM is a management
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practice that provides for governance of a process environment toward the goal of
improving agility and operational performance. BPM is a structured approach employing
methods, policies, metrics, management practices and software tools to manage and
continuously optimize an organizations activities and processes, (Fotou, 2011).
Antuanes and Mouro (2010) went a step further to add more of an IT role to the process.
According to them, BPM integrates a collection of technologies capable to translate
business process models into computer-supported activities, relinquishing routine
management and control tasks from the organizational agents.
Verner (2004) shared the importance of IT in BPM expounded by Antuanes and Mouro.
She indicated that, BPM technology provides not only the tools and infrastructure to
define, simulate, and analyze business process models, but also the tools to implement
business processes in such a way that the execution of the resulting software artifacts can
be managed from a business process perspective. Behara (2006) also sees BPM as a
methodology, as well a collection of tools that enables enterprises to specify step by step
business processes. Business process management (BPM) addresses how organizations
can identify, model, develop, deploy, and manage their business processes, including
processes that involve IT systems and human interaction.
In addition, Ramachandran (2004) points out a more analyzed definition of BPM.
According to him, Business Process Management (BPM) refers to the closed loop,
iterative management of business processes over their entire lifecycle. It includes
designing, optimizing, documenting, communicating, deploying, evaluating, updating,
and retiring processes. Well-managed companies have always had robust, but time
consuming, mechanisms for performing all of these functions.
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1.11 Business Process Management - Origins
In Michael Hammer and James Champys 1983 published work titled Reengineering the
Corporation (Harper Business, 1993) which began an era of looking at the business in a
different light. The publication allowed many experts to think of managing an enterprise
in a similar way to managing processes (Ramachandran, 2004). The roots can be traced to
Frederick Winslow Taylor (1856-1915). His management thinking had an assumption:
every time a process changes, the environment should remain stable so that the improved
processes will have the time to return the required investment. Such stability is difficult in
this age as the business should rather be more adaptive to such changes. It is only with
this behavior that businesses would remain competitive and stakeholders will achieve
their expectations (Ramachandran, 2004).
Over the course of the years, the concept of processes has been developed and been
integrated with Business Process Management (BPM). BPM technology started in the
1980s and has developed significantly, providing enterprises with a series of advantages.
BPM is nowadays the leader of managing processes. Businesses and governments are
paying attention to business processes in order to make a fully description, automation
and management of them (Verner, 2004). As a result, BPM is used in combination with
computing technology in order to model and automate business processes (Verner, 2004).
Thus, BPM is an approach of managing change and specifically managing business
processes (Owen & Raj, 2003).
In the days before BPM, the trend was to produce data-aware information systems
instead of processaware as happens today with the help of BPM (van der Aalst, 2009).
Before BPM, analysts and IT engineers would bring together different processes,
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methods, isolated systems and manual methodologies in order to work. With BPM no
matter how many different systems and processes an enterprise has, all of them are
treated as an aggregate architected system (Garimella, Lees, & Williams, 2008).
Learners of BPM should always keep in mind that BPM is not a product (Cho & Lee,
2010). It must not be considered as another IT approach, but as an environment where
business processes are created and communicated to the organization (Cho & Lee, 2010).
1.12 The Misunderstandings of Business Process
Management
Ko et al., (2009) found out that there is a confusion in literature review about BPM
terminology and many times beginners can get mystified between terminologies such as
business process reengineering (BPR), workflow management (WFM) and BPM.
Michael Hammer and James Champys 1983 book Reengineering the Corporation
introduced BPR principles (Hill, 2007). However, BPM and BPR are two different
approaches. According to Ko et al., (2009) BPR calls for radical obliteration of
existing business processes whereas BPM is more practical, iterative and incremental
in fine-tuning business processes. Furthermore, confusion is made between BPM and
WFM. Gartner research group makes clear the difference: Business Process
Management (BPM) is a process-oriented management discipline. It is not a technology.
On the other hand WFM is a flow management technology that can be found within
Business Process Management Suites (BPMSs) and other product categories (Ko et al.,
2009). They further stressed that another difference between BPM and WFM is that the
two approaches differ in the final stage, the diagnosis stage. On the other hand some
authors correctly argue that the difference is so slight that some vendors have just
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changed the names of their products from WFM to BPM and they sell the product for
BPM support (Ko et al., 2009). However, Ramachandran (2004) cautions that people
should be careful in order to avoid confusing BPM with Enterprise Application
Integrations (ERP) and with Six Sigma.
1.13 The Three Dimensions of Business Process
Management
There are essentially three dimensions of BPM. The first is the business dimension for
when using BPM in every enterprise because value is created for all the stakeholders of a
business and productivity is increased. This results in customers satisfaction and loyalty
for the enterprise (Garimella, Lees, & Williams, 2008). The second is the process
dimension which adds value to the enterprise by the creation of well-defined and
structured activities. The more structured the processes are the more successfully the
enterprise creates value (Garimella, Lees, & Williams, 2008). The third dimension of
BPM is the management dimension which uses all the processes and activates them in
order to achieve an enterprises goals.
1.14 Business Processes
Ko (2009) found that people tend to understand better the processes through models.
Models and processes can make people understand the problem or identify them, increase
knowledge of the organizations processes, understand the areas of potential improvement
and define the roles and responsibilities inside the organization. BPM is based on
business processes and this is the main reason that makes BPM so effective.
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3.1.1 Functions versus Processes
What does the term business process mean? To ensure that the term process is well
defined and understood, it is appropriate to differentiate between functions and processes.
A function is a group of people performing similar tasks. A process encompasses a range
of tasks, and multiple departments participate in the creation of a processs outcome. For
example, product development is a process because it involves marketing, manufacturing
and other functions (Haapaniemi, 1998). Because there are some traditional functional
boundaries, processes are often difficult to see (Haapaniemi, 1998).
3.1.2 Definition of Processes
Peoples lives are virtually governed by processes these days. In the estimation of Ko
(2009), people use processes in everyday life from planning their holidays to
manufacturing a product. Processes can be developed and improved by experience
(everyday processes) or according to scientific investigations (Ko, 2009). Usually the
term business process is used in reference to high-level description of an enterprise.
Owen and Raj (2003), defined a business process as the business process comprises all
activities carried out in an enterprise, including e.g. staffing, financing, production,
marketing, etc. Business processes can be seen as processes that have inputs and outputs
which usually are the desired outputs for the customer and add value to the enterprise (Ko
et al, 2009).
A business process is uniquely definable; has a defined set of activities that break down
into increasingly more granular steps and an agreed to set of sequences; is enabled and/or
constrained by culture, skills, policies and rules, laws, measurement/reward systems,
workflow design, information systems and facilities; often crosses organizational
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boundaries; and follows a formal life cycle (Lusk, 2007). In very simple words, a
business process is an organized group of related activities that together create customer
value (Hammer M., 2001). It is simply the way an organization does its work
(Davenport, 2005).
3.1.3 Types of Processes
It has been found that business processes could be categorized to private and public
business processes. Private processes are the processes that take place internally in the
organization, for example employees payment (Ko, 2009). On the other hand, public
business processes are the processes that are related to the external processes of the
organization, for example the shipping management. Ko (2009) continues analyzing
business processes by giving two main perspectives of the area. From a highlevel
analysis there are two perspectives of business processes: The level perspective and the
core competency perspective.
3.1.4 The Importance of Business Processes
What is the common point between IBM, American Standard, Allmerica Financial, and
Duke Power. The common point is that these enterprises have turned into process
enterprises and have gained all the benefits an enterprise can gain through processes
(Hammer & Stanton, 1999).
The authors continue emphasizing the importance of processes inside an organization by
giving the example of e-commerce sites and more specifically Amazon.com. Well-
defined processes are very important in Amazon. If Amazon manages to deliver the
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product to the customer on time and without conflicts, the customer will become a
reliable customer to the site (Hammer & Stanton, 1999) and the profits will be increased.
On the other hand, processes sometimes appear as the enemy of creativity (Hammer,
2001). Due to the high automation and routinization the processes require, the creativity
and humans free mind is destroyed. Hammer found this to be wrong. Processes are not
the enemy of creativity. Processes are the opposite of chaos. Processes create
organization and discipline so people are more challenged to work with creativity, rather
than having to face a disorganized situation (Hammer, 2001). In order to strength this
opinion Hammer revealed what a senior executive had confided to him about processes
the revolution in thought, leading to changes in business (Hammer, 2001). In the same
spirit Hammer and Stanton (1999), asserted that a process enterprise is the organizational
form for a world in constant change.
3.1.5 Design of Processes
Various authors have shared many views and researchers on ways processes should be
designed. Andersen Consulting (2009) in their handbook Process Excellence
Handbook, state that in a competitive world the process innovation is very important in
an enterprise. The company introduces the Seven Rs: Rethink, Reconfigure, Reassign,
Resequence, Relocate, Reduce, Retool (Haapaniemi, 1998).
When designing the processes the managers and executives should ensure that the
processes is not be fixed (Hammer & Stanton, 1999). They must change their shape
according to the new technology, the competitors and the circumstances. IBM has
successfully redesigned most of the processes, the last years and now the company
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redesigns them all over again in order to make them competitive towards the Web
(Hammer & Stanton, 1999).
A very important question: Is good design of processes enough in order to have
successful results in the enterprise? The answer according to Hammer is negative. A good
design is a step towards the ultimate but definitely not enough. In addition to a good
design, the people inside the enterprise should show commitment, responsibility and
maturity (Hammer, 2001).
1.15 Business Process Management in Action
Many authors have tried to present the basic concepts of BPM as business processes. But
how does BPM work in practice? A typical example of BPM in action could really help in
understanding BPM approach in real business life.
A retailer has a problem with delivery due to wrong address of the customer. The goods
are returned back to the retailer. A BPM solution would have provided the company with
live monitoring process and before the package is returned to the company, the system
could find all opportunities to re-route the package to another destination. With this
solution the company can save cost and time (returning, restocking), reduce error cycles
and consequently increase customers satisfaction. With this example, it is clear that BPM
solution can provide the company with clear processes, visibility and control over the
enterprise, no matter the number and location of the departments are (Workpoint LLC,
2011).
Ford Motors is another company, which has enjoyed immense benefits from the
application of BPM in its operations. Their purchasing department had to send copies of
the order to many departments with any purchase order. This had not only decreased the
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time of the order completion but there also eliminated the danger of a loss occurring.
With BPM the business processes were redesigned: the order was inserted in database
without the need to send copies to other departments and the copy was checked by the
system. Ford said that after BPM application, the company had achieved a significantly
improvement in the processes and in some departments there was a reduction of 75% of
the number of its employees (Ko, 2009).
1.16 Benefits of Business Process Management
A Gartner Group survey suggested that BPM solutions can reduce error cycles and can
lead to cost reduction. More specifically can result in the following benefits (Workpoint
LLC, 2011):
Reduce time;
Reduce numbers of steps of a process;
Reduce error cycles; and
Reduce resources.
In general BPM enables efficiency while maintaining effectiveness and complying with
regulations (Larson & Larson, 2011). If the identified processes are aligned with the
companys business strategy, then there are great possibilities to achieve the companys
objectives and increase efficiency.
The stated benefits are some of the reasons enterprises turn to the BPM solution. Apart
the benefits of BPM, the enterprises turn to BPM because of the unstable climate in the
business arena. Ko et al, (2009) agree with this statement. More specifically they believe
that the globalization and the expansion of organizations have led to the need of quick
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transfer of information, quick decision-making, quick change adaption and demand for
shorter life cycles. The authors consider the above as crucial factors for an organization in
order to survive and increase its profitability.
As companies all over the world encounter a volatile environment, with high competition
and rapidly growing technology, many turn to the solution offered by BPM. Adam and
Doerr (2009) agree by emphasizing that if an enterprise wants to remain competitive then
3 main dimensions should be fulfilled: time, cost, quality. BPM through the process-
based philosophy and the provided techniques can make the company fulfill these 3
dimensions. Gartner argues that BPM wins the Triple Crown of saving money, saving
time, and adding value.
The success of BPMs application is quantified in terms of financial results (Garimella,
Lees, & Williams, 2008). As already mentioned, BPM minimizes cost, time and waste.
1.17 Business Process Management Failure
Although BPM has significant results, there is also the not so good and beneficial side
of the success story. Many reviews report that 6080% of BPM initiatives have not the
most desired results (Trkman, 2010). In fact, misunderstandings of the BPM concepts and
principles cause the failure of a BPM project (Trkman, 2010). Fingar (2011) through his
article What does BPM Actually Mean? states in an ironic way that every technology
vendor or management consultant puts BPM as a lipstick on their products. By this
statement the author emphasizes the popularity of BPM and the fact that some
technologists use BPM just to sell their products and without caring about the real
techniques of BPM (Adam & Doerr, 2009). This brings out the issue of enterprises
investing money in BPM but not having always the desired results.
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Each organization should always fit with the environment and the circumstances in
order to remain competitive (Trkman, 2010). It is dangerous to assume that copying a
successful BPM project applied to one organization to another is enough. Every
organization is unique and has its characteristics. The author continues advising people
who are involved in BPM oriented projects by claiming that each organization should
study its prospects and characteristics and then decide which BPM application is
appropriate for the enterprise. The enterprise also should pay attention in order to align its
business processes with its environment whereas the executives and consultants should
decide which business processes are key processes and contribute to the competitive
advantage (Trkman, 2010). Finally, adopting a dynamic method which is customized in
concrete circumstances is one of the best practices an enterprise should follow (Trkman,
2010).
Another reason for the BPM failure as discovered by Trkman (2010) is the fit between
business process and IT. The author shows the critical role of IT by stating IT should not
be considered a panacea but rather as a tool to support improved processes.
1.18 Business Process Management Life Circle
Understanding the BPM Life Cycle helps in the understanding of the concept (Ko, 2009;
Ko et al., 2009). In available literature, there is not a standardized view on the number of
phases in the BPM lifecycle. The most popular lifecycle of BPM is by van der Aaslt (Ko
et al., 2009). His defined lifecycle is considered by many authors as the most
succinctness and relevant (Ko et al., 2009). The lifecycle of BPM consists of 4 phases:
The process design stage, the system configuration stage, the process enactment stage and
the diagnosis stage (Lusk, 2007). Wetzstein et al. (2007) also developed a good life cycle
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for BPM. According to them, the BPM lifecycle consists of 4 phases: modeling,
implementation, execution, analysis.
Modeling: This is the first phase in the BPM lifecycle. In this phase a business analyst
defines and analyzes the processes and the phases of every process with the help of a
modeling analytical tool. BPM provides business analysts with a modeling tool named
Business Process Modeling Notation (BPMN). The design in this phase is very high level
and in order to be executed, the implementation phase should start (Wetzstein, et al.,
2007).
Implementation: In this phase IT engineers, transform the model that has been created in
the previous phase. The process model is executed into a process engine. Service
Oriented Architecture (SOA) and web services help in the execution of the processes. The
language that describes the processes in the services above is the Business Process
Execution Language (BPEL) (Wetzstein, et al., 2007).
Execution: During this phase, the process engine executes the processes. SOA
communicates processes to other systems or clients through web services (Wetzstein, et
al., 2007).
Analysis: In this phase monitoring of the running processes takes place. Monitoring helps
in order to find error flows and instances and in general control the whole process. It is
worth mentioning that some Business Process Management Systems (BPMS) support
business level monitoring, where analysts can check the performance of every process.
Those results can be collected in a form of dashboards and comprise a form of data
storage and statistics for every interested party. As seen data mining is important in BPM
(Wetzstein, et al., 2007).
25
1.19 Business Process Management Architecture and Tools
BPM technology architecture has proved to be very efficient. Its structure helps in the
alignment of IT and business objectives, supports change and maximize productivity
(Garimella, Lees, & Williams, 2008). The architecture consists of six layers: the Unified
Workspace, the execution environment, the simulation Engine, the process Design
Toolbox, the Metadata Repository and the web service adapters and new services
development (Garimella, Lees, & Williams, 2008).
3.1.6 Business Process Management Systems (BPMS)
BPMS is a technology that is used not only for the automation of the business processes
but also for the management of the whole business processes inside an enterprise
(Ravesteyn & Batenburg, 2010). BPM-systems are the result of developments in both
the business and IT-domain (Ravesteyn & Batenburg, 2010). As DBMS is used for
storing and managing data, BPMS is used for storing, processing and managing business
processes (Ravesteyn & Batenburg, 2010).
3.1.7 Modelling Standards
How are the processes modeled from BPM? Is there any tool, any technique? How
processes are modeled by analysts and consultants? The answer is Business Process
Management Notation (BPMN) and it is a new standard for modeling business processes
and web service processes (Owen & Raj, 2003). BPMN includes a diagram, which is
called Business Process Diagram (BPD); it is user friendly and is appropriate for complex
processes (Owen & Raj, 2003). Also the Business Process Management Institute (BPMI)
has introduced Business Process Modeling Language (BPML) and Business Process
26
Query Language (BPQL) (Owen & Raj, 2003). According to the authors all the above
have been developed by BPMI in order to support BPM and use solid mathematical
foundation which enables BPMN to map easily with BPML and BPQL. BPML are XML
based languages used to model processes. Most of the proposed languages use XML and
build on top of Web Service Description Language (WSDL) offered by W3C (Owen &
Raj, 2003). BPMN is easy to use by non-technical people and it is good for designing and
analyzing complex processes. In order to model a business process flow, the start point,
the end point and the middle processes should be defined. Also business decisions are
models by using gateways, which is like business decisions in flowcharts (Owen & Raj,
2003).
27
Chapter 4 Methodology and Organizational Profile
1.20 Introduction
This section of the report gives details about the approaches the researcher employed in
conducting the research. The chapter tries to inspire and clarify the methodological
approach adopted in order to answer the research questions in chapter one.
1.21 Research Paradigms
The research is designed on the mixed method research approach, i.e. the use of both
qualitative and quantitative research method. These two methods are those most
commonly used for social science research studies of the being conducted now. When
both approached are mixed up in the same research, it is commonly termed as the mixed
method.
According to Casebeer and Verhoef, (1997), quantitative research involves the use of
quantifiable parameters and observations for the presentation of findings of the study.
This approach is the preferred choice in situations where the central idea of the research
bothers on relationships, Neuman (2003). The researcher has adopted to partly use this
approach because is very beneficial in providing detailed data gathering and analysis
planning for the study. Another reason for the choice of a quantitative approach is
because of the inherent ability to measure the expected outcomes of the study and plan
the design for the population and samples for the study. Data for quantitative research is
mostly drawn from closed end question in which the respondent(s) react to very strict
structured questions.
28
Contrary to the quantitative research approach, the qualitative research approach is more
liberal and built on unrestricted responses. McDaniel and Gates, (1996) stated that
qualitative research involves non numerical interpretation of findings and observations of
the patterns of the relationship and phenomenon being studied. This approach lays
emphasis on processes that is not easily quantifiable and is predominantly drawn from
open-ended questions, which allow the respondent(s) to freely express their opinions.
The main object of this study is to do assessment of business process management in the
mining sector in Ghana. To realize the objectives of the study, a semi structured
questionnaire is used in gathering the relevant data needed for the study. the semi
structured questionnaire enables the researcher to source for data relevant to meet need of
both qualitative and quantitative requirements for the study.
1.22 Purpose of the study
For this research, the descriptive research method is employed for the realization of the
research objective. The decision to use the descriptive method is hinged on the
explanation by Robson, (1993) that this method is mostly used when the research
objective is mainly to portray an accurate profile of a person, event or situation. The
descriptive research is best used when the researcher knows the problem but not fully
aware of the prevailing situation cause that problem, Zikmund (2000).
The researcher seeks to investigate the nature of a particular phenomenon and as such it
is best if the finding(s) is described to detail all properties and relationship of the
phenomenon. All questions of who, what, where and how of the research is answered by
29
the descriptive research and there is no need to give any further explanation for the
findings of the research, Zikmund (2000).
There is a chosen case study for the research mainly because of the quest to achieve the
objectives of the study. The case for this research is Anglo Gold Ashanti, in the Obuasi
Municipality in the Ashanti region of Ghana. This design type was used because the
researcher wanted to do an intensive assessment of a single situation. This decision is
highly influenced by Bryman (2004), who explained that a case study design enables the
engagement of a theoretical analysis in consonance with the generation of an intensive
assessment of a single case. This is further emphasized by Yin (1994) who also
established that a case study helps in the investigation of real life contemporary
phenomenon to establish a context that previous had not been existent previously.
1.23 Sampling Procedures
4.1.1 Population and Sample Framework
The research has all members of staff of the Anglo Gold Ashanti Company who have a
role to play in the implementation of the business process framework as the target
population. Ideally, it is believed that the activities of all the members of staff will be
impacted directly or indirectly by the implementation of the business process framework.
This target population forms a part of a large mining sector that adopts business process
management tools as a way of ensuring that there is total reduction in the wastage in the
business processes in their day-to-day activities.
For the completion of this research, a total of 80 respondents are targeted from the
mining, engineering and IT departments of the case being studied for the research. The
30
functionality of these departments makes them the main implementers of the business
process management strategy of the company using the business process framework.
Staff in these departments can give a better expression of their views on this strategic
process in the mines.
4.1.2 Sampling technique
The purposive sampling technique is that which the researcher adopts as the sampling
technique for this research. According to Trochim (2006), purposive sampling is a non-
probability sampling, which is used when the researcher has a purpose for sampling those
people for interview.
In the case of this research, the researcher knows exactly which departments and
respondents to contact because of the peculiarity of the case being studied. Purposive
sampling aids the researcher to achieve a fair representation from the respondents whiles
at the same time seeking a very diverse and divergent opinion of the subject being
studied.
1.24 Data Collection Methods
4.1.3 Sources of Data
This research uses two main sources for data acquisition; primary and secondary sources
of data.
Primary data sources are those sources, which the researcher uses to acquire relevant data
basically for the use of completing the research. According to Johannessen et al., (2004),
primary data is new data gathered by the researcher purposely for the research being
undertaken. For this research, the source of primary data was the use of a semi-structured
31
questionnaire administered to a sample selected among a larger population at the case
study.
Secondary data sources are sources that provide the researcher access to a pool of already
establish data relevant to the research but not necessarily gathered for the specific
purpose of this particular research. Johannessen et al., (1999) stated that secondary data is
data material, which already exists. There are numerous advantages of secondary but its
major influence on the research is the key role it plays in the literature review. For this
research, some of the sources for the acquisition of secondary data were journals,
textbooks, websites, academic publications, etc.
4.1.4 Data Collection Instrument
The researcher sort to gather information from the respondents but this information had
to be sort through the use of an acceptable data collection instrument. Saunders et. al.,
2000 outlined three main means of conducting interviews, being structured interview,
semi-structured interview and unstructured interview. Based on the three established
means, the researcher adopted the semi-structured means of interviewing for the
collection of data for this.
Semi structured interviews and questionnaires consist of a list of questions comprising of
both open and closed ended questions, (Saunders et. al., 2000). The choice of a semi-
structured questionnaire gives the respondents to answer both open and closed ended
questions. The questionnaires are administered in a face-to-face manner by the
researcher, this afforded the researcher the opportunity to address any issues from the
respondents and vice versa.
32
1.25 Data Analysis
After the data collection process, the analysis of the gathered data takes the next stage.
The importance of this stage is primarily to summarize and rearrange the gathered data in
the needed interrelated forms and formats, Zikmund (2000). An effective data analysis is
a more favorable strategy to realizing the research objective(s), Yin (1994).
Thefirststageoftheanalysisprocessisthecompilationofthegathereddatabyusing
SPSS.TheSPSShelpedinthecollationoftheentirefielddataintothemostsuitable
formatandthentransferredintoMSExcelformat. AlltheanalysisisdoneusingMS
Excel,whichchurnedoutallthegraphs,tablesandchartsusedinthepresentationofthe
findingsoftheresearch.ThepresentationofthefindingsisdoneusingMSWord.
According to Edvardsen et al. (1994) the starting point in developing quality research
findings is analysis and presentation of the findings. The researcher ensured that the
findings of the research were acquired through the most quality process.
1.26 Quality of the Research
To ensure that the study meets the right quality standard, Saunders and Thornhill, (2003)
advises that the researcher should pay enough attention to the level of reliability and
validity of the study.
The reliability of the findings of the research is mainly the consistency and homogeneity
of the findings in terms of taking measures to ensure that errors in the findings are
minimal. As per Easteby-Smith et al., (1991), the researcher took measures to ensure that
similar observations will be made by other researcher(s) on any other occasion. The
process of acquiring and processing data from the fieldwork was done with a high level
33
of transparency to ensure that respondents will be willing to give similar responses when
contacted by another researcher on any occasion.
On the other hand, the validity of the finding was ensured by ensuring that the method
used for data collection and analysis churned out accurate resulting and the findings are
really about is really happening in reality. Saunders and Thornhill, (2003) explains that
validity is the extent to which data collection methods or methods accurately measure
what they were intended to measure.
1.27 Research Ethics and Limitations
4.1.5 Research Ethics
Research ethics are the guiding principles and rules employed in ensuring that the right
actions are taken through out the duration of the research, (Johannessen et al., 2004). The
following key ethical principles were applied throughout the research process.
All communications relating to this research was done in a transparent and honest
manner
The researcher ensured the avoidance of misleading representation of captured
data and/or findings
Anonymity of individuals or organizations involved in the research was kept in
absolute confidentiality
The dignity of respondents was respected and also ensured that consent was
sought from respondents to use their views for the research
34
Therewastotalconfidentialityofdatasourcedfromrespondentsandalsokept
veryprivate
4.1.6 Limitation to the Study
The completion of the research had the following limitations
Contacting respondents was difficult because respondents were very dispersed
Getting adequate information on the subject being researched into was difficult
Time constraint and insufficient financial strength also impeded the smooth execution of
the study
1.28 Brief Profile of the Case Study Anglo Gold Ashanti
Company Limited
Mining in Obuasi started in March 1890 when three men from Cape Coast namely Joseph
E. Ellis, Joseph E. Biney and Joseph P. Brown travelled along the river Pra into Adansi
Kingdom for business. Whilst on their journey, they saw some local mineral prospectors
who were working on the farmlands for the king of Bekwai. The three men upon
realizing the potential of gold mining in the region quickly became interested and so had
to negotiate for some mining concessions of about 25,900 hectors in Obuasi. After the
acquisition of land for gold mining, they decided to abandon the traditional method of
gold prospecting which the locals were used to and rather introduced professional
mining. They first named their property as Ellis Mine and followed up with the sinking of
shafts on reefs and laid out interconnecting tunnels. In their resolve to create a modern
mine in Obuasi, they begun to import some mining equipment from a London firm which
was owned by Smith and Cade. As the mine grew in strength, there was the need to
35
engage the services of a mine manager and so J.P Wilson was employed. As the years
went by, the need for capital injections and some level of expertise became paramount.
Therefore after operating the Ellis Mine for five years, a major decision was taken to sell
the property to foreigners for profit.
As the business relationship between Ellis Mine and the equipment supplier in London
became stronger, the mine decided that Biney should carry along with him some gold
exhibit to London to be shown to the supplier. The main aim of the exhibition was to
examine the possibility of selling the mine to him. The whole idea of selling the mine did
not materialize until Edwin Arthur Cade joined the firm as partner after marrying one of
the daughters of Smith. In August 1895, the sale went through successfully to Cade. Two
years later Cade and his associates registered Ashanti Goldfields Corporation AGC
Limited in the city of London. After several years of mining AGC Ltd in Ghana, it
ventured beyond the shores of Ghana and became an international company with
associates in Guinea, Tanzania and Zimbabwe. Again, as the need for further capital
injection, it became inevitable due to the desire to go into deep mining. AGC finally
decided to go into a merger with another company in the mining industry. This dream
became a reality in April 2004, a new company called AngloGold Ashanti was formed.
The new company was the result of the merger of the then Ashanti Goldfields Company
Limited AGC of Ghana and AngloGold of South Africa. AngloGold Ashanti is a global
gold producer with 21 operations in four continents, namely Africa, Australia, South
America and North America. The company is listed on several stock exchanges including
New York, Johannesburg, London and Australia stock exchanges. AGA presently
36
operates two mine sites in Ghana, which are located at Obuasi and Tarkwa in the Ashanti
and Western Regions respectively.
The Obuasi Mines, which is the focus of this research, is predominantly an underground
gold mine with a depth of about 1.5km. It has the richest gold deposit in Ghana and was
discovered in the later part of 1897 by a group of Europeans who later sold their rights to
Edwin Cade, the founder of Ashanti Goldfields Corporation AGC. It is about 56km south
of Ashanti Regional capital called Kumasi. The gold deposit at Obuasi covers a distance
of approximately 300km. there are four active shafts and a ramp at the moment, which
are the means through which the ore from underground extracted, hoisted and transported
to the treatment plants for processing. The shafts are linked by a haulage system serving
the various shaft stations. These stations are then fed by conveyors from ore passes to the
haulage points. The Obuasi Mine has three treatment plants namely
a. Sulphide plant, it treats the ore from underground
b. Tailings plant the material from the reclamation operations
c. Oxide plant batch-treats remnant open pit ore and low-grade stockpiles
Since mining at Obuasi started over 100 years ago, much of the ore bodies have already
been mined. However, with the deep project, which is presently being implemented, it is
expected that the useful life of the companys operations at Obuasi would be extended by
yet another 35 years.
4.1.7 Mission, Vision and Core Values
Our mission is to create value for our shareholders, our employees and our business and
social partners through safety and responsible exploring, mining and marketing our
products. Our primary focus is gold and we will pursue value creating opportunities in
37
other minerals where we can leverage our existing assets, skills and experience to
enhance the delivery of value.
Vision
To be the leading mining company

Values
Safety is our core value
We treat each other with dignity and respect
We value diversity
We are accountable for our actions and undertake to deliver on our commitments
The communities and the societies in which we operate will be better off for
AngloGold Ashanti having been there.
We respect the environment
4.1.8 Strategy
Table 3:1 Corporate Strategy
Strategic Goals Our Future 5year Delivery Target

Safety 0 accidents 70% reduction in accident
rates
People +5% productivity per year 30% improvement in
productivity
Environmental 0 incidents 60% reduction in reportable
incidents
Productivity Global leader 20% increase in productivity
to 6Moz
Cost Industry midpoint 25% decrease in real unit
costs
Financial +50% thru cycle Increase return on capital
invested to +15%
38
With the current trend of competition in the mining industries globally for the past
decades couple with the consistent rising of gold price worldwide, the company
introduced a lot of business strategies to be cost effective as to maximize profits. One of
such strategies was the adaption of Business Process Framework (BPF) under PROJECT
ONE which was enrolled in 2010.
4.1.9 Business Process Framework [BPF]
It is one of the Business Processes that would deliver the business expectations,
established by management. When we say BPF, we mean; doing the right work at the
right time and in the right way will deliver the required performance. If the work is
planned, scheduled and properly resourced ahead of execution the desired outcome will
be achieved more consistently and at lower cost.
4.1.10 What Does One Mean
ONE is about every AngloGold Ashanti employee uniting towards a single outcome.
Every one of us must meet the challenge of this business improvement project to make
AngloGold Ashanti the best business it can be.
ONE will provide a common framework in terms of how all employees operate, seeking
to apply consistency across the company and to encourage sharing of information.
ONE also represents the fact that this business improvement project is a critical
company-wide initiative that will underpin everything we do.
4.1.11 Why BPF
More is expected from assets each year more output, lower costs, longer life
39
Variation in output lowers results below the potential of the asset
Stakeholders demand a high level of confidence that results will be delivered they dont
like variation
Data indicates that most variation results from not doing the right things with the asset,
consistently.
BPF provides practical management standards that will allow us to deliver more from our
assets with greater confidence it is 1 of the 3 key initiatives of the CEO.
40
Chapter 5 Findings, Analysis and Discussion
1.29 Introduction
This chapter deals with the analysis, discussion and presentation of the findings from the
data collected from the fieldwork. The analysis is aimed at establishing valid points in
answering the research questions to be able to achieve the research objectives and
ultimately come out with the relevant conclusions and recommendations.
1.30 Demographic Characteristics
This part of the research discusses some demographic characteristics for both Contractors
and Bankers involved in the study. The demographic characteristics discussed in this
research include gender, age, educational qualification and number of years of work.
5.1.1 Gender Distribution
Table 4.1: Gender distribution of Respondents
Gender Frequency Percentage (%)
Male 71 88.8
Female 9 11.3
Total 80 100
Source: field survey 2013
The number of males involved in this study is far greater than the females as shown by
table 4.1 above. 88.8% of the respondents are males while the remaining 11.2% are
females. This therefore shows the dominance of the mining sector by males.
41
5.1.2 Age Distribution
Figure 4.1: Age distribution of respondents
AgeDistribution Below 25
4(5%)
Above40
8(10%)
41 45
9(11.3%)
25 30
12(15%)
36 40
16(20%) 31 35
31(38.8%)
It can be seen from figure 4.1 above that a majority of the respondents (38.8%) involved
in the study are between the ages of 31 35. 20% fall between 36 40, 11.3% between
41 -45, 5% below 25 years, 15% between 25 30 while the remaining 10% are above the
ages of 40 years. The data portrayed above gives the indication that the staffs of the
sector are young and energetic and will therefore lead to high productivity in the
researchers view.
5.1.3 Number of years on the job
The selected respondents for the survey were asked to indicate how long they have been
in employment in the mining sector. They were to indicate whether theyve been in the
sector for below a year, 1 - 2 years, 2 3 years, 3 4 years, 4 5 years or 5 years and
42
above. The analysis of the data after the collection of the questionnaires revealed some
results, which are presented in table 4.2 below.
Table 4.2: Years of employment
Years Frequency Percentage (%)
Below 1 year 2 2.5
1 - 2 years 4 5
2 3 years 14 17.5
3 4 years 31 38.8
4 5 years 20 25
5 years and above 9 11.3
From the table above, it can be observed that just 2.5% of the respondents have been
employed in the sector for periods below a year. A greater number of them have been
employed for periods between 3 - 4 years (38.8%). 25% have also worked for 4 5 years
in the mining sector. It is therefore revealed by the data above that the staffs involved in
the survey do have enough experience in their field and are in a better position to answer
the questions on the questionnaires distributed to them, hence improving the validity of
the survey.
43
5.1.4 Educational Qualification
Figure 4.2: Educational qualification of respondents.
Educational Quali ication
14(17.5%)
23(28.8%)
11(13.8%) SSCE/ MSLC

Professional Certi icate
1st Degree
32(40%)
2nd Degree
The educational qualifications of the respondents appeared to be quite impressive as a
majority of them (40%) hold a first degree qualification while 28.8% have second degree
qualifications. However, 17.5% and 13.8% hold SSCE/MSLC and Professional
certificates respectively.
44
1.31 The impact of Business Process Framework, [BPF] on
mining operations
5.1.5 Staff Awareness of business process framework as a
working system in the company
On the question, Are you aware of business process framework as a working system in
this company? respondents were to answer by selecting either Yes or No from item 6 of
the questionnaires distributed to them. The findings are presented in figure 4.3 below.
Figure 4.3: Awareness of business process framework
NO, 19
YES, 61
As seen from figure 4.3 above, a majority of the staffs (61 out of 80) pointed out that they
are aware of business process framework as a working system in their company by
answering yes to item 6 of the questionnaire, which is quite encouraging. 19 of them
however revealed that they are unaware of this concept.
45
5.1.6 4.3.2 Importance of the Implementation of Business process framework
The researcher then went on to find out from the respondents (especially those who
selected yes in item 6), how important the business process framework has been since its
implementation. They were asked to indicate whether it has been very important,
important, moderately important, of little importance or unimportant.
Figure 4.3: Importance of the business process framework been since its
implementation
The data from figure 4.3 unearths the notion that the business process framework in the
companies has been of much importance since its implementation as 46 out of the 80
selected respondents involved in the survey described it as important with 13 of them also
pointing out that it is very important. 7 of them however see it as unimportant, 5 as
unimportant while the remaining 9 rate the business process framework as moderately
important.
46
5.1.7 Level of Satisfaction with the Implementation Process of
the Business Process Framework
On the question, how satisfied are you with the implementation process of the business
process framework? the respondents gave varied responses which led to the generation
of the results presented below.
Figure 4.4: Staff satisfaction in relation to the implementation of the business
process framework
It can be seen from figure 4.4 that 23.8% of the selected respondents indicated that they
are very dissatisfied with the implementation of the business process framework while
41.3% are very satisfied. 30% indicated that its implementation is good, 15% are also
satisfied while the remaining 8.8% are very satisfied. From the information above, even
though 30% of the respondents see the implementation of the business process
47
framework as good, a greater percentage (41.3%) are dissatisfied with its implementation
and therefore stands to reason that its implementation is fraught with problems, in the
researchers view.
5.1.8 The impact of the Implantation of the Business Process
Framework on the operation of the Mine.
The researcher sought to find out whether the implementation of the business process
framework has had some impact on the operation of the mine. This was done through the
use of item 9 of the questionnaire, which dwelt on this. The findings after the analysis of
the data from the field survey are presented in figure 4.5 below.
Figure 4.5: The impact of business process framework implementation
A majority of the respondents (46.3%) as seen in figure 4.5 above asserted that the
implementation of the business process framework has somewhat impacted the operation
48
of the mine. 31.3% were of the view that it has impacted the operation of the mine to a
great extent while 15% and 7.5% indicated that it has impacted the mines operation very
little and not at all respectively. It can therefore be deduced from the foregoing analysis
that the implementation of the business process framework has had some impact on the
operations of the mine.
1.32 Relevance of Business Process Management [BPF]
This aspect of the research was aimed at finding the relevance of the implementation of
business process management at the mines. The results gathered are discussed under the
following headings.
5.1.9 Relevance of the Implementation of Business Process
Framework to the Operations of the Mines
Item 11 of the questionnaires distributed to the staffs sought to elicit their responses in
respect to the relevance of the implementation of business process framework to the
operations of the mines. They were therefore asked to indicate this by choosing yes or
no from the questionnaire. Below are the findings after the analysis of the data.
Figure 4.6: Relevance of business process implantation to the operation of the mines
49
It can be seen from the diagram above that 33.8% out of the total of 80 respondents
involved in the survey pointed out that the implementation of the business process
framework is of no relevance to the operations of the mines. A majority of them, that is
66.3% asserted otherwise, highlighting the idea that the implementation of business
process framework is of much relevance to the mining companies.
5.1.10 Importance of business process framework to certain
factors in the mines
The researcher proceeded to also look at the importance of the implementation Business
Process Frame work to certain factors in the mines by asking the respondents to give their
views from their experience by indicating whether the factors in the table below are very
important (1), important (2), moderately important (3), of little importance (4) or
unimportant (5). The findings are presented below.
Table 4.3: Importance of business process framework to certain factors in the mines
50
Factors Responses
1 2 3 4 5
Improve understanding 7 17 18 27 11
(8.8%) (21.3%) (22.5%) (33.8%) (13.8%)
Improving operation processes 31 20 15 9 5
(38.8%) (25%) (18.8%) (11.3%) (6.3%)
Improving Communication 16 13 35 7 9
(20%) (16.3%) (43.8%) (8.8%) (11.3%)
Handling complexity 6 15 24 31 14
(7.5%) (18.8%) (30%) (38.8%) (17.5%)
Evaluate change impacts 13 29 17 12 9

(16.3%) (36.3%) (21.3) (15%) (11.3%)
Improving documentation and 37 21 11 7 5

archiving (46.3%) (26.3%) (13.8%) (8.8%) (6.3%)
Improving supply chain and logistics 16 22 18 14 10

management processes (20%) (27.5%) (22.5%) (17.5%) (12.5%)
It can be observed from table 4.3 above that on the factor of improved understanding, the
analysis of the data revealed that 33.8% which is the majority consider business process
framework as to this factor to be of little importance while 21.3% also consider it as
important. 8.8% see it as very important with 13.8% considering it as unimportant. Also,
a majority of the respondents see it as very important to improving communication while
6.3% on the other hand see it as unimportant with 18.8% maintaining that it is moderately
important.
51
The table also reveals that 38.8% of the respondents view business process framework to
be of little importance to handling complexity while 7.5% see it as very important. 30%
also see it as moderately important and 18.8% see it as important. Also on the factor,
evaluate change impacts, 16.3% selected very important, 36.3%, important, 21.3%,
moderately important, 15%, of little importance and 11.3% unimportant.
A greater percentage of the staffs also indicated that business process framework is very
important to improving documentation and archiving while 6.5% maintained that it is
unimportant. 20% also saw it as very important while 12.5% saw it as unimportant to
improving supply chain and logistics management processes as shown the table 4.3
above.
The respondents cited some of the impact of business process management on the
operations of the company as;
It has made work easier by making working materials close to their user and
increased employees understanding of policies through interaction.
It has improved worker-management discipline
It has helped in planning ahead before the execution time
It has also helped to do right work at the right time and in the right way
Work force included in the planning schedule process
Work load has reduced
Production has improved
52
There has been work flexibility
Time Conscious
Workforce Conscious of work to be done daily
1.33 Suitable approach to adopt in the implementation of
Business Process Framework [BPF]
In the quest to find out the most suitable approach to adopt in the implementation of
business process management, the respondents were asked in an open ended format to
give suggestions on whether the implementation of the business process framework be
done wholly across the operations of the mine or on pilot basis. Some of the suggestions
elicited from the respondents have been given below:
Competent staffing and very good logistic are required in implementation of
business process management.
BPM should be tailored to suite the need of the department concern
There should be material delivery crew set up to send material directly to the
working ends.
The mining Planning Department should come out with realistic and reliable
plans/schedules to be executed that will ensure the company production targets
are achieved.
There is a need for the modification of error free system and the work
management system
53
Smooth implementation and management of the process must be part of each
managers KPL.(key performance indicators)
Monthly status reports and actions to mitigate deviations and non-compliance
must be presented by each Head of department (HOD) to the Managing Director (
MD)
One respondent concluded by indicating that, the processes are okay and less time is
used to access the current process. Hence, it is too early to rush and make amendments.
The current trends should therefore continue and be tested well before deciding on any
amendments or whatsoever.
Following from the suggestions of the respondents, it remains imperative that the current
business process management of Ashanti Goldfields be strengthened and assessed for
some period before management decides on the next line of action.
In addition to the above, the researcher sought the views of the respondents on what they
think should be the best approach [team or department based] in the alignment of
business process framework for Anglo Gold Ashanti. Common to the responses given by
the respondents have been illustrated in Figure 4.6 below.
54
Figure 4.6: what should be the best approach [team or department based] in the
alignment of business process framework for Anglo Gold Ashanti
As can be seen from Figure 4.6, majority of the respondents (47.5%) suggested that cost
reduction should be the best approach [team or department based] in the alignment of
business process framework for Anglo Gold Ashanti while 30% think its motivation. Also
32.5% cited improvement in communication, 23.8 cited involvement of workers in the
planning process while 11.3% cited increase in flow of materials for work execution as
the best approach [team or department based] in the alignment of business process
framework for Anglo Gold Ashanti.
Some of the respondents also cited the need for:
Increased productivity
Ensuring that right work is being done at a right time and in the right way.
55
Jobs should be planned, schedule, resourced before execution
Reduction in the work load
Reduction in the cost of maintenance
More time should be available to FLM to Concentrate on the Core business where
resources for the job is the accountability of a coordinator
More time for front line managers as Planning, Scheduling and Resourcing has
been re- assigned
Achievement of safety through job cards
1.34 Effectiveness or otherwise of the implemented
business process management system
On this objective, the respondents were asked to indicate whether there has been a true-
value-added of business process framework to total process cost of the company. In
answers given by the respondents to the question, made it difficult to ascertain if indeed
the implementation of business process management have had any true-value-added
impact on the process cost of the company. To quote some of the respondents in their own
words, some indicated for instance that:
It can be linked if it is planned well and merged together

At times the supplies give us problems by not having adequate resource materials.
We wait want for imported materials before executing jobs, so it makes us
reschedule our jobs most often.
56
These indicate real challenges in the business process management system which hinders
value addition prospects of the system.
The respondents were again asked the question what do you think are some of the
required modifications needed to enable the realization of the full potential of the
business process framework. Their responses include:
Improvement in coordinator
Logistic and competent staffing
Increase in managerial support from the top as expected
There should be clear publicized decision as to its continuation or otherwise
There should be commitment from management at all the operational functions to
ensure harmony
The researcher further sought the views of the respondents on some of the success stories
of the business process framework since its implementation in the company. Some of the
success stories cited by the respondents include:
It has improved Efficiency/Effectiveness in work execution.
It has eased access to materials/equipment
It has in some way reduced the cost and has change the culture of the employees
that is making us work as a team (ONE TEAM)
It has helped us treat each other with dignity and respect
57
It has helped to reduce total cost totally
Schedules are executed promptly by the required dates and it is systematic
approach to work executive. It ensures sustenance and continuous improvement.
There is reduction of cost due to the fact that breakdowns here seemed, reduced.
The respondents however could not give figures or other evidence to support their claims
as indicated above. Some even doubted whether the implementation of business process
management have actually led to cost reduction. They argued that the operational cost of
the company is the same like before. The only difference is that, in business process
framework, the work is planned, scheduled and resourced adequately before execution so
that workers will not be stuck in the process of executing their work due to lack of
materials.
1.35 Challenges associated with Business Process
Framework
Part of the questionnaire also touched on the challenges associated with the business
process management framework of the company. Among the challenges cited by the
respondents include:
People resistance to change
Illiteracy on the part of some of the workers
Inadequate computers
Lack of motivation and supports on the part of some team members
58
Poor management and frontline managers commitment
Late supply of material leading to rescheduling of work schedules
As part of the challenges of business process management of the company, the study
found that, some researchers believe that BPM does not help in aligning business process
and other operational functions mainly due to the lack of proper coordination.
Consequently the views of the respondents were sought with respect to this assertion.
Some of the responses of the respondents on the notion that BPM does not help in
aligning business process and other operational functions mainly due to the lack of proper
coordination have been quoted below.
Yes we experienced this gap immediately we start developing the work package
but it got better when we started developing the work package.

What I know is it is already in IT and integrating it is not going create any big
problem.
In the view of some of the respondents, this gap was identified before implementation.
Management of the company therefore identified the gap by way of computer literacy,
system knowledge, computer availability, work stations etc. And then, computer literacy
training, system training and know were organized before implementation.
59
Chapter 6 Summary Of Key Findings,
Recommendation And Conclusion
1.1 Key Findings
6.1.1 The impact of Business Process Framework, [BPF] on
mining operations
The study found 76.3% of the respondents were aware of business process framework as
a working system in their company while 57.5% described it as important with 16.3% of
them also pointing out that it is very important. Also, 41.3% of the respondents indicated
that they were very satisfied, 30% said its implementation is good, 15% were also
satisfied while the remaining 8.8% are very satisfied. A majority of the respondents
(46.3%) asserted that the implementation of the business process framework has
somewhat impacted the operation of the mine. 31.3% were of the view that it has
impacted the operation of the mine to a great extent.
6.1.2 Relevance of Business Process Management [BPF]
The data analysis revealed that, 66.3% of the respondents were of the view that, the
implementation of business process framework is of much relevance to the mining
companies and 36.3% also see it as very important and important to improving
communication while 43.8 see it as moderately important to improving communication.
The study reveals that 38.8% of the respondents view business process framework to be
60
of little importance to handling complexity while 30% also see it as moderately important
and 18.8% see it as important. However, 47.6% of the respondents were of the view that,
business process management is of little importance and unimportant in terms of
improving understanding. A greater percentage (72.6%) of the staffs also indicated that
business process framework is very important to improving documentation and archiving
47.5 saw it as unimportant to improving supply chain and logistics management
processes.
The respondents cited some of the impact of business process management on the
operations of the company as;
It has make work easier by making working materials close to their user and
increase employees understanding of policies through interaction.
It has improve worker-management discipline
It has helped in planning ahead before the execution time
It has also helped to do right work at the right time and in the right way
Work force included in the planning schedule process
Work hard has reduced
Production has improved
There has been work flexibility
Time Conscious
61
Workforce Conscious of work to be done daily
6.1.3 Suitable approach to adopt in the implementation of
Business Process Framework [BPF]
Some of the suggestions of the respondents with regards to the most suitable approach to
adopt in the implementation of business process management include:
Competent staffing and very good logistic are required in implementation of
business process management.
BPM should be tailored to suite the need of the department concern
There should be material delivery crew set up to send material directly to the
working ends.
The mining Planning Department should come out with realistic and reliable
plans/schedules to be executed that will ensure the company production targets
are achieved.
There is a need for the modification of error free system and the work
management system
Smooth implementation and management of the process must be part of each
manager KPI, (key performance indicators).
Monthly status reports and actions to mitigate deviations and non-compliance
must be presented by each Head of department (HOD) to the Managing Director
(MD)
62
The respondents again suggested that the best approach [team or department based] in the
alignment of business process framework for Anglo Gold Ashanti include:
Cost reduction
Motivation
Improvement in communication
Involvement of workers in the planning and decision making process
Increase in flow of materials for work execution
Increased productivity
Ensuring that right work is been done at a right time and in the right way.
Jobs should be planned, schedule, resourced before execution
Reduction in the word load
Reduction in the cost of maintenance
More time should be available to FLM to Concentrate on the Core business where
resources for the job is the accountability of a coordinator
More time for front line managers as Planning, Scheduling and Resourcing has
been re- assigned
Achievement of safety through job cards
63
6.1.4 Effectiveness or otherwise of the implemented business
process management system
The respondents doubted any true-value-added of business process framework to total
process cost of the company. Some of their comments include:
It can be linked if it is planned well and merged together

At times the supplies give us problems by not having adequate resource
materials.
We right want for imported materials before executing on jobs, so it makes us
reschedules our jobs most often
The respondents were of the view that some of the required modifications needed to
enable the realization of the full potential of the business process framework include:
Improvement in coordinator
Logistic and competent staffing
Increase in managerial support from the top as expected
There should be clear publicized decision as to its continuation or otherwise
There should be committed from management at all the operational functions to
ensure harmony
Some of the success stories in term of the implementation of business process
management cited by the respondents include:
It has improved Efficiency/Effectiveness in work execution.
It has ease access to materials/equipment
64
It has in some way reduced the cost has and change the culture of the employees
that is making us work as a team (ONE TEAM)
It has help us treat each other with dignity and respect
It has helped to reduce total cost totally
Schedules are executed promptly by the required dates and it is systematic
approach to work executive. It ensures sustenance and continuous improvement.
There is reduction of cost due to the fact that breakdowns here seemed, reduced.
6.1.5 Challenges associated with Business Process Framework
Among the challenges of bothering on the implementation of business process
management cited by the respondents include:
People resistance to change
Illiteracy s on the part of some of the workers
Inadequate computers
Lack of motivation and supports on the part of some team members
Poor management and frontline managers commitment

Late supply of material leading to rescheduling of work schedules
The study however found that, prior to the implementation of business process
management of the company, the management o the company had identified that, some
researchers believe that BPM does not help in aligning business process and other
65
operational functions mainly due to the lack of proper coordination. Consequently the
managers of the company identified the gap by way of computer literacy, system
knowledge, computer availability, workstations etc. And then, computer literacy training,
system training and know were organized before implementation.
1.36 Recommendations
The researcher recommends the following based on the findings of the study
1. Much effort must be put into ensuring that the business management process in
the mines assumes its fullest operation considering the extent of its importance to
the various mines.

2. Much importance must also be attached to the implementation of business
management process as this goes a long way to improve upon the operations of
the mines.
3. Staffs of the mines must be given adequate education on the business process
management so as to enhance their knowledge in the field as well as increase their
efficiency and productivity.
1.37 Conclusions
Business process management is of great importance to the mines and also has impacted
their operations to a great extent through the reduction of costs and increased
productivity. However there is high levels of dissatisfaction among the staffs of the mines
in relation to the implementation of the business management framework.
Business process management is also of much importance in application to various
factors at the mines including improved understanding, improved communication,
66
evaluating change impacts and improving documentation and archiving and this enhances
the operations of the mines to a great extent.
Tailoring business process management to suit the needs of the departments concerned,
implementation of realistic and reliable plans, provision of a material delivery crew as
well as availability of competent staffing and very good logistic are some of the suitable
approaches to be adopted by the mines in the implementation of the Business process
management in their operations
The implementation of business process management in the mines is fraught with various
challenges including high levels of illiteracy in relation to the process on the part of some
workers, inadequate computers, lack of motivation and support on the part of some team
members, poor management as well as the late supply of materials leading to
rescheduling of work schedules which militate against the smooth operation of the
process in the mines.
67
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An assessment of business process management in

the mining sector in Ghana; a case study of BPF at

1.1 BACKGROUND OF THE STUDY.......................................................................6

1.2 PROBLEM STATEMENT................................................................................. 7

1.3 OBJECTIVES OF THE STUDY..........................................................................8

1.4 RESEARCH QUESTIONS................................................................................9

1.5 SIGNIFICANCE OF THE STUDY.....................................................................10

1.6 SCOPE OF THE STUDY...............................................................................10

1.7 OVERVIEW OF METHODOLOGY....................................................................11

1.8 ORGANIZATION OF THE STUDY....................................................................11

1.10 BUSINESS PROCESS MANAGEMENT - DEFINITIONS.........................................13

1.11 BUSINESS PROCESS MANAGEMENT - ORIGINS..............................................14

1.12 THE MISUNDERSTANDINGS OF BUSINESS PROCESS MANAGEMENT....................16

1.13 THE THREE DIMENSIONS OF BUSINESS PROCESS MANAGEMENT......................17

1.14 BUSINESS PROCESSES.............................................................................17

1.14.1 Functions versus Processes.........................................................17

1.14.2 Definition of Processes................................................................18

1.14.3 Types of Processes.......................................................................19

1.14.4 The Importance of Business Processes........................................19

1.14.5 Design of Processes.....................................................................20

1.16 BENEFITS OF BUSINESS PROCESS MANAGEMENT..........................................22

1.17 BUSINESS PROCESS MANAGEMENT FAILURE................................................23

1.18 BUSINESS PROCESS MANAGEMENT LIFE CIRCLE...........................................24

1.19 BUSINESS PROCESS MANAGEMENT ARCHITECTURE AND TOOLS.......................25

1.19.1 Business Process Management Systems (BPMS).........................26

1.19.2 Modelling Standards....................................................................26

- METHODOLOGY AND ORGANIZATIONAL PROFILE........................28

1.21 RESEARCH PARADIGMS............................................................................28

1.22 PURPOSE OF THE STUDY..........................................................................29

1.23 SAMPLING PROCEDURES..........................................................................30

1.23.1 Population and Sample Framework.............................................30

1.23.2 Sampling technique.....................................................................31

1.24 DATA COLLECTION METHODS...................................................................31

1.24.1 Sources of Data........................................................................... 31

1.24.2 Data Collection Instrument..........................................................32

1.25 DATA ANALYSIS...................................................................................... 33

1.26 QUALITY OF THE RESEARCH.....................................................................33

1.27 RESEARCH ETHICS AND LIMITATIONS..........................................................34

1.27.1 Research Ethics...........................................................................34

1.27.2 Limitation to the Study................................................................35

1.28.3 Business Process Framework [BPF].............................................39

1.28.4 What Does One Mean..................................................................39

1.28.5 Why BPF...................................................................................... 39

- FINDINGS, ANALYSIS AND DISCUSSION......................................41

1.30 DEMOGRAPHIC CHARACTERISTICS..............................................................41

1.30.1 Gender Distribution.....................................................................41

1.30.2 Age Distribution...........................................................................42

1.30.3 Number of years on the job.........................................................42

1.30.4 Educational Qualification.............................................................44

1.31 THE IMPACT OF BUSINESS PROCESS FRAMEWORK, [BPF] ON MINING OPERATIONS

1.31.1 Staff Awareness of business process framework as a working

system in the company...........................................................................45

4.3.2 Importance of the Implementation of Business process framework......................46

1.31.2 Level of Satisfaction with the Implementation Process of the

Business Process Framework..................................................................47

1.31.3 The impact of the Implantation of the Business Process

Framework on the operation of the Mine................................................48

1.32 RELEVANCE OF BUSINESS PROCESS MANAGEMENT [BPF]..............................49

1.32.1 Relevance of the Implementation of Business Process Framework

to the Operations of the Mines................................................................49

1.33 SUITABLE APPROACH TO ADOPT IN THE IMPLEMENTATION OF BUSINESS PROCESS

1.34 EFFECTIVENESS OR OTHERWISE OF THE IMPLEMENTED BUSINESS PROCESS

1.35 CHALLENGES ASSOCIATED WITH BUSINESS PROCESS FRAMEWORK...................58

- SUMMARY OF KEY FINDINGS, RECOMMENDATION AND