Performance Improvement of Information System of a Banking System Based on Integrated Resilience Engineering Design

Performance Improvement of Information System of a Banking System Based on Integrated Resilience Engineering Design

Integrated resilience engineering (IRE) is capable of returning banking systems to normal state in extensive economic circumstances. In this study, information system of a large bank (with several branches) is assessed and optimized under severe economic conditions. Data envelopment analysis (DEA) models are employed to achieve the objective of this study. Nine IRE factors are considered to be the outputs and a dummy variable is defined as the input of the DEA models. Standard questionnaire is designed and distributed among executive managers to be considered as the decision-making units (DMUs). Reliability and validity of the questionnaire is examined based on Cronbach's alpha and t-test. The most appropriate DEA model is determined based on average efficiency and normality test. It is shown that the proposed integrated design provides higher efficiency than conventional resilience engineering design. Results of sensitivity and perturbation analysis indicate that self-organization, fault tolerance and reporting culture respectively compose about 50 percent of total weight.

___

  • Abech, M. P., Berg, G., Delis, M. G., Guimaraes, L., and Woods, D. D. (2006, April). Analyzing resilience of an oil distribution plant. In Systems and Information Engineering Design Symposium, 2006 IEEE, pp. 216-221
  • Azadeh, A., and Salehi, V. (2014). Modeling and optimizing efficiency gap between managers and operators in integrated resilient systems: The case of a petrochemical plant. Process Safety and Environmental Protection, 92(6), pp. 766-778.
  • Azadeh, A., Foroozan, H., Ashjari, B., Motevali Haghighi, S., Yazdanparast, R., Saberi, M. and Torki Nejad, M., 2016. Performance assessment and optimization of a large information system by combined customer relationship management and resilience engineering: a mathematical programming approach. Enterprise Information Systems, pp.1-15.
  • Azadeh, A., Ghaderi, S. F., Anvari, M., Izadbakhsh, H. R., Rezaee, M. J., and Raoofi, Z. (2013). An integrated decision support system for performance assessment and optimization of decision-making units. The International Journal of Advanced Manufacturing Technology, 66(5-8), pp. 1031-1045.
  • Azadeh, A., Ghaderi, S. F., Anvari, M., Izadbakhsh, H. R., Rezaee, M. J., and Raoofi, Z. (2013). An integrated decision support system for performance assessment and optimization of decision-making units. The International Journal of Advanced Manufacturing Technology, 66(5-8), pp. 1031-1045.
  • Azadeh, A., Haghighi, S. M., & Salehi, V. (2015). Identification of managerial shaping factors in a petrochemical plant by resilience engineering and data envelopment analysis. Journal of Loss Prevention in the Process Industries, 36, pp. 158-166.
  • Azadeh, A., Rouzbahman, M., Saberi, M., and Valianpour, F. (2014). An adaptive algorithm for assessment of operators with job security and HSEE indicators. Journal of Loss Prevention in the Process Industries, 31, 26-40.
  • Azadeh, A., Salehi, V. and Salehi, R., 2016. A resilience-based model for performance evaluation of information systems: the case of a gas company. Enterprise Information Systems, pp.1-15
  • Azadeh, A., Salehi, V., Arvan, M., and Dolatkhah, M. (2014). Assessment of resilience engineering factors in high-risk environments by fuzzy cognitive maps: A petrochemical plant. Safety Science, 68, pp. 99-107.
  • Banker, R. D., Charnes, A., and Cooper, W. W. (1984). Some models for estimating technical and scale inefficiencies in data envelopment analysis. Management science, 30(9), pp. 1078-1092.
  • Carvalho, P. V., dos Santos, I. L., Gomes, J. O., and Borges, M. R. (2008). Micro incident analysis framework to assess safety and resilience in the operation of safe critical systems: a case study in a nuclear power plant. Journal of loss prevention in the process industries, 21(3), pp. 277-286.
  • Charnes, A., Cooper, W. W., and Rhodes, E. (1978). Measuring the efficiency of decision making units. European journal of operational research, 2(6), pp. 429-444.
  • Cooper, W. W., Seiford, L. M., and Zhu, J. (2011). Handbook on data envelopment analysis (Vol. 164). Springer Science & Business Media.
  • Costella, M. F., Saurin, T. A., and de Macedo Guimarães, L. B. (2009). A method for assessing health and safety management systems from the resilience engineering perspective. Safety Science, 47(8), pp. 1056-1067.
  • Dekker, S., Hollnagel, E., Woods, D., and Cook, R. (2006). Resilience Engineering: New directions for measuring and maintaining safety in complex systems. The second Progress Report.
  • Dinh, L. T., Pasman, H., Gao, X., and Mannan, M. S. (2012). Resilience engineering of industrial processes: Principles and contributing factors. Journal of Loss Prevention in the Process Industries, 25(2), pp. 233-241.
  • Dolif, G., Engelbrecht, A., Jatobá, A., da Silva, A. J. D., Gomes, J. O., Borges, M. R., ... and de Carvalho, P. V. R. (2013). Resilience and brittleness in the ALERTA RIO system: a field study about the decision-making of forecasters. Natural hazards, 65(3), pp. 1831-1847.
  • Fiksel, J., Polyviou, M., Croxton, K. L., and Pettit, K. J. (2015) From risk to resilience: Learning to deal with disruption, MIT Sloan Management Review, Winter Issue.
  • Gilmour, G., 2006. Open Assessment Training Tools for Resilience Engineering .http://gavin.brokentrain.net/upload/scs-final-29 11 06.pdf (21.10.12).
  • Golgeci, I., and Ponomarov, S. Y. (2013) Does firm innovativeness enable effective responses to supply chain disruptions? An empirical study, Supply Chain Management: An International Journal, 18(6), pp. 604–617.
  • Gomes, J. O., Woods, D. D., Carvalho, P. V., Huber, G. J., and Borges, M. R. (2009). Resilience and brittleness in the offshore helicopter transportation system: the identification of constraints and sacrifice decisions in pilots’ work. Reliability Engineering & System Safety, 94(2), pp. 311-319.
  • Haimes, Y. Y. (2009). On the Complex Definition of Risk: A Systems‐Based Approach. Risk analysis, 29(12), pp. 1647-1654.
  • Herrera, I.A., Hollnagel, E., Habrekke, S., (2010). Proposing safety performance indicators for helicopter offshore on the Norwegian Continental Shelf. In: Proceedings of the 10th International Probabilistic Safety Assessment & Management Conference, Seattle, USA.
  • Holling, C. S. (1973). Resilience and stability of ecological systems. Annual review of ecology and systematics, pp. 1-23.
  • Hollnagel, E., Woods, D.D., 2006. In: Hollnagel, E., Woods, D.D., Leveson, N. (Eds.), Epilogue: Resilience Engineering Concepts, Resilience Engineering: Concepts and Precepts. Ashgate Publishing Co., Aldershot, pp. 347–358.
  • Hollnagel, E. (2011). RAG – The resilience analysis grid. In: E. Hollnagel, J. Pariès, D. D.Woods and J. Wreathall (Eds). Resilience Engineering in Practice. A Guidebook. Farnham, UK: Ashgate.
  • Hollnagel, E., Woods, D.D., Leveson, N., 2007. Resilience Engineering: Concepts and Precepts. Ashgate Publishing, Ltd.
  • Honma, S., and Hu, J. L. (2013). Total-factor energy efficiency for sectors in Japan. Energy Sources, Part B: Economics, Planning, and Policy, 8(2), pp. 130-136.
  • Huber, S., van Wijgerden, I., de Witt, A., and Dekker, S. W. (2009). Learning from organizational incidents: Resilience engineering for high‐risk process environments. Process Safety Progress, 28(1), pp. 90-95.
  • Jeffcott, S. A., Ibrahim, J. E., and Cameron, P. A. (2009). Resilience in healthcare and clinical handover. Quality and Safety in Health Care, 18(4), pp. 256-260.
  • Ling-Ling, F., and Yong-Duan, S. (2010). On fault-tolerant control of dynamic systems with actuator failures and external disturbances. Acta Automatica Sinica, 36(11), pp. 1620-1625.
  • Malaek, S. M.B., Mollajan, A., Ghorbani, A. and Sharahi, A., "A New Systems Engineering Model Based on the Principles of AxiomaticDesign," Journal of Industrial and Intelligent Information, 2014, Vol. 3, No. 2, pp. 143-151.
  • Melnyk, S. A., Closs, D. J., Griffis, S. E., Zobel, C. W., and Macdonald, J. R. (2014) Understanding supply chain resilience, Supply Chain Management Review, Jan/Feb2014, 18(1), pp. 34–41.
  • McDonald, N. (2006) Organisational resilience and industrial risk. E. Hollnagel, D.D. Woods and N. Leveson, eds. Resilience engineering: concepts and precepts, Hampshire: Ashgate, pp. 155–179.
  • Morel, G., Amalberti, R., and Chauvin, C. (2009). How good micro/macro ergonomics may improve resilience, but not necessarily safety. Safety Science, 47(2), pp. 285-294.
  • Saurin, T. A., and Júnior, G. C. C. (2011). Evaluation and improvement of a method for assessing HSMS from the resilience engineering perspective: A case study of an electricity distributor. Safety Science, 49(2), pp. 355-368.
  • Saurin, T. A., and Junior, G. C. C. (2012). A framework for identifying and analyzing sources of resilience and brittleness: a case study of two air taxi carriers. International Journal of Industrial Ergonomics, 42(3), pp. 312-324.
  • Serrano Cinca, C., Mar Molinero, C., and Chaparro García, F. (2006). Behind DEA efficiency in financial institutions.
  • Sharahi, A. ; Tehrani, R. ; Mollajan, A. (2014), 'An Axiomatic Model for Development of the Allocated Architecture in Systems Engineering Process', World Academy of Science, Engineering and Technology, International Science Index, Industrial and Manufacturing Engineering, 1(10), 319.
  • Shirali, G. H. A., Motamedzade, M., Mohammadfam, I., Ebrahimipour, V., and Moghimbeigi, A. (2012). Challenges in building resilience engineering (RE) and adaptive capacity: A field study in a chemical plant. Process safety and environmental protection, 90(2), pp. 83-90.
  • Shirali, G. A., Mohammadfam, I., and Ebrahimipour, V. (2013). A new method for quantitative assessment of resilience engineering by PCA and NT approach: A case study in a process industry. Reliability Engineering & System Safety, 119, pp. 88-94.
  • Steen, R., and Aven, T. (2011). A risk perspective suitable for resilience engineering. Safety science, 49(2), pp. 292-297.
  • Storseth, F., Tinmannsvik, R., Oien, K., 2009. Building Safety by Resilient Organization – A Case Specific Approach. ESREL, pp. 7–10.
  • Tazi, D., Amalberti, R., 2006. Resilience of maintenance organization in a refining plant. In: Proceedings of the Second Resilience Engineering Symposium, Ecole des mines de Paris, France.
  • Teoh, S.Y., Yeoh, W. and Zadeh, H.S., 2017. Towards a resilience management framework for complex enterprise systems upgrade implementation. Enterprise Information Systems, 11(5), pp.694-718.
  • Vugrin, E. D., Warren, D. E., and Ehlen, M. A. (2011). A resilience assessment framework for infrastructure and economic systems: Quantitative and qualitative resilience analysis of petrochemical supply chains to a hurricane. Process Safety Progress, 30(3), pp.280-290.
  • Wreathall, J. (2006). Properties of resilient organizations: an initial view. Resilience engineering concepts and precepts. Burlington, VT: Ashgate.
  • Zhang, W.J. and Lin, Y., 2010. On the principle of design of resilient systems–application to enterprise information systems. Enterprise Information Systems, 4(2), pp.99-110.
  • Zimmermann, K. Y. L. A., Paries, J. E. A. N., and Amalberti, R. E. N. É. (2011). Distress call from the flight deck: cross-cultural survey of aviation professionals reveals perception that flight safety is decreasing. Safety Science Monitor, 15(2), pp. 1-10.
  • Zou, L. L., and Wei, Y. M. (2009). Impact assessment using DEA of coastal hazards on social-economy in Southeast Asia. Natural hazards, 48(2), pp. 167-189.