Developing a novel approach to assess the efficiency of resource utilisation in organisations: a case study for an automotive supplier

Abstract

There are different business processes in each organisation. Each business process utilises some resources to perform its related activities, produces specified outputs (products/services) and reaches organisational goals. In this paper, an approach is presented to assess the ability of business processes to utilise resources. To apply the presented framework, a manufacturing firm in the automotive industry was selected. Initially, four main business process groups were chosen for the assessment. Then, 15 processes of the four determined process groups and resources utilised by each process were identified. All of the recognised 19 resources were classified into six major categories, including physical, relational, organisational, informational, human and legal resources. Afterward, a hierarchical top-down analysis was performed to determine the ability of process groups and processes to utilise resource categories and resources. The results of the analysis show which resources have been strongly/weakly utilised by which business processes. In other words, by applying the suggested framework, it is possible to accurately identify the strengths and weaknesses of the resource utilisation. Therefore, the company can focus on weaknesses, prioritise them and develop improvement actions to increase the ability to utilise resources in the specified areas.

Keywords:

• resource utilisation
• business process
• resource classification
• hierarchical analysis
• automotive industry

Notes

1. American Productivity and Quality Center.

2. Process Classification Framework.

3. International Automotive Task Force.

4. Supplier–Input–Process–Output–Customer.