Search results for: secure business transaction.
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 1415

Search results for: secure business transaction.

1385 Unconditionally Secure Quantum Payment System

Authors: Essam Al-Daoud

Abstract:

A potentially serious problem with current payment systems is that their underlying hard problems from number theory may be solved by either a quantum computer or unanticipated future advances in algorithms and hardware. A new quantum payment system is proposed in this paper. The suggested system makes use of fundamental principles of quantum mechanics to ensure the unconditional security without prior arrangements between customers and vendors. More specifically, the new system uses Greenberger-Home-Zeilinger (GHZ) states and Quantum Key Distribution to authenticate the vendors and guarantee the transaction integrity.

Keywords: Bell state, GHZ state, Quantum key distribution, Quantum payment system.

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1384 Design, Implementation and Testing of Mobile Agent Protection Mechanism for MANETS

Authors: Khaled E. A. Negm

Abstract:

In the current research, we present an operation framework and protection mechanism to facilitate secure environment to protect mobile agents against tampering. The system depends on the presence of an authentication authority. The advantage of the proposed system is that security measures is an integral part of the design, thus common security retrofitting problems do not arise. This is due to the presence of AlGamal encryption mechanism to protect its confidential content and any collected data by the agent from the visited host . So that eavesdropping on information from the agent is no longer possible to reveal any confidential information. Also the inherent security constraints within the framework allow the system to operate as an intrusion detection system for any mobile agent environment. The mechanism is tested for most of the well known severe attacks against agents and networked systems. The scheme proved a promising performance that makes it very much recommended for the types of transactions that needs highly secure environments, e. g., business to business.

Keywords: Mobile agent security, mobile accesses, agent encryption.

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1383 Proposal of Optimality Evaluation for Quantum Secure Communication Protocols by Taking the Average of the Main Protocol Parameters: Efficiency, Security and Practicality

Authors: Georgi Bebrov, Rozalina Dimova

Abstract:

In the field of quantum secure communication, there is no evaluation that characterizes quantum secure communication (QSC) protocols in a complete, general manner. The current paper addresses the problem concerning the lack of such an evaluation for QSC protocols by introducing an optimality evaluation, which is expressed as the average over the three main parameters of QSC protocols: efficiency, security, and practicality. For the efficiency evaluation, the common expression of this parameter is used, which incorporates all the classical and quantum resources (bits and qubits) utilized for transferring a certain amount of information (bits) in a secure manner. By using criteria approach whether or not certain criteria are met, an expression for the practicality evaluation is presented, which accounts for the complexity of the QSC practical realization. Based on the error rates that the common quantum attacks (Measurement and resend, Intercept and resend, probe attack, and entanglement swapping attack) induce, the security evaluation for a QSC protocol is proposed as the minimum function taken over the error rates of the mentioned quantum attacks. For the sake of clarity, an example is presented in order to show how the optimality is calculated.

Keywords: Quantum cryptography, quantum secure communcation, quantum secure direct communcation security, quantum secure direct communcation efficiency, quantum secure direct communcation practicality.

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1382 Secure Cryptographic Operations on SIM Card for Mobile Financial Services

Authors: Kerem Ok, Serafettin Senturk, Serdar Aktas, Cem Cevikbas

Abstract:

Mobile technology is very popular nowadays and it provides a digital world where users can experience many value-added services. Service Providers are also eager to offer diverse value-added services to users such as digital identity, mobile financial services and so on. In this context, the security of data storage in smartphones and the security of communication between the smartphone and service provider are critical for the success of these services. In order to provide the required security functions, the SIM card is one acceptable alternative. Since SIM cards include a Secure Element, they are able to store sensitive data, create cryptographically secure keys, encrypt and decrypt data. In this paper, we design and implement a SIM and a smartphone framework that uses a SIM card for secure key generation, key storage, data encryption, data decryption and digital signing for mobile financial services. Our frameworks show that the SIM card can be used as a controlled Secure Element to provide required security functions for popular e-services such as mobile financial services.

Keywords: SIM Card, mobile financial services, cryptography, secure data storage.

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1381 Addressing Security Concerns of Data Exchange in AODV Protocol

Authors: Monis Akhlaq, M Noman Jafri, Muzammil A Khan, Baber Aslam

Abstract:

The Ad Hoc on demand distance vector (AODV) routing protocol is designed for mobile ad hoc networks (MANETs). AODV offers quick adaptation to dynamic link conditions; it is characterized by low memory overhead and low network utilization. The security issues related to the protocol remain challenging for the wireless network designers. Numerous schemes have been proposed for establishing secure communication between end users, these schemes identify that the secure operation of AODV is a bi tier task (routing and secure exchange of information at separate levels). Our endeavor in this paper would focus on achieving the routing and secure data exchange in a single step. This will facilitate the user nodes to perform routing, mutual authentications, generation and secure exchange of session key in one step thus ensuring confidentiality, integrity and authentication of data exchange in a more suitable way.

Keywords: AODV, key management, security, wirelessnetworks.

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1380 User Behavior Based Enhanced Protocol (UBEP) for Secure Near Field Communication

Authors: Vinay Gautam, Vivek Gautam

Abstract:

With increase in the unauthorized users access, it is required to increase the security in the Near Field Communication (NFC). In the paper we propose a user behavior based enhanced protocol entitled ‘User Behavior based Enhanced Protocol (UBEP)’ to increase the security in NFC enabled devices. The UBEP works on the history of interaction of a user with system.The propose protocol considers four different factors (touch, time and distance & angle) of user behavior to know the authenticity or authorization of the users. These factors can be same for a user during interaction with the system. The UBEP uses two phase user verification system to authenticate a user. Firstly the acquisition phase is used to acquire and store the user interaction with NFC device and the same information is used in future to detect the authenticity of the user. The second phase (recognition) uses analysis of current and previous scenario of user interaction and digital signature verification system to finally authenticate user. The analysis of user based input makes a NFC transaction more advance and secure. This security is very tactical because it is completely depends on usage of the device.

Keywords: Security, Network Field communication, NFC Protocol.

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1379 Requirements Driven Multiple View Paradigm for Developing Security Architecture

Authors: K. Chandra Sekaran

Abstract:

This paper describes a paradigmatic approach to develop architecture of secure systems by describing the requirements from four different points of view: that of the owner, the administrator, the user, and the network. Deriving requirements and developing architecture implies the joint elicitation and describing the problem and the structure of the solution. The view points proposed in this paper are those we consider as requirements towards their contributions as major parties in the design, implementation, usage and maintenance of secure systems. The dramatic growth of the technology of Internet and the applications deployed in World Wide Web have lead to the situation where the security has become a very important concern in the development of secure systems. Many security approaches are currently being used in organizations. In spite of the widespread use of many different security solutions, the security remains a problem. It is argued that the approach that is described in this paper for the development of secure architecture is practical by all means. The models representing these multiple points of view are termed the requirements model (views of owner and administrator) and the operations model (views of user and network). In this paper, this multiple view paradigm is explained by first describing the specific requirements and or characteristics of secure systems (particularly in the domain of networks) and the secure architecture / system development methodology.

Keywords: Multiple view paradigms, requirements model, operations model, secure system, owner, administrator, user, network.

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1378 An Efficient Proxy Signature Scheme Over a Secure Communications Network

Authors: H. El-Kamchouchi, Heba Gaber, Fatma Ahmed, Dalia H. El-Kamchouchi

Abstract:

Proxy signature scheme permits an original signer to delegate his/her signing capability to a proxy signer, and then the proxy signer generates a signing message on behalf of the original signer. The two parties must be able to authenticate one another and agree on a secret encryption key, in order to communicate securely over an unreliable public network. Authenticated key agreement protocols have an important role in building secure communications network between the two parties. In this paper, we present a secure proxy signature scheme over an efficient and secure authenticated key agreement protocol based on the discrete logarithm problem.

Keywords: Proxy signature, warrant partial delegation, key agreement, discrete logarithm.

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1377 Multiple-Level Sequential Pattern Discovery from Customer Transaction Databases

Authors: An Chen, Huilin Ye

Abstract:

Mining sequential patterns from large customer transaction databases has been recognized as a key research topic in database systems. However, the previous works more focused on mining sequential patterns at a single concept level. In this study, we introduced concept hierarchies into this problem and present several algorithms for discovering multiple-level sequential patterns based on the hierarchies. An experiment was conducted to assess the performance of the proposed algorithms. The performances of the algorithms were measured by the relative time spent on completing the mining tasks on two different datasets. The experimental results showed that the performance depends on the characteristics of the datasets and the pre-defined threshold of minimal support for each level of the concept hierarchy. Based on the experimental results, some suggestions were also given for how to select appropriate algorithm for a certain datasets.

Keywords: Data Mining, Multiple-Level Sequential Pattern, Concept Hierarchy, Customer Transaction Database.

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1376 Institutional Efficiency of Commonhold Industrial Parks Using a Polynomial Regression Model

Authors: Jeng-Wen Lin, Simon Chien-Yuan Chen

Abstract:

Based on assumptions of neo-classical economics and rational choice / public choice theory, this paper investigates the regulation of industrial land use in Taiwan by homeowners associations (HOAs) as opposed to traditional government administration. The comparison, which applies the transaction cost theory and a polynomial regression analysis, manifested that HOAs are superior to conventional government administration in terms of transaction costs and overall efficiency. A case study that compares Taiwan-s commonhold industrial park, NangKang Software Park, to traditional government counterparts using limited data on the costs and returns was analyzed. This empirical study on the relative efficiency of governmental and private institutions justified the important theoretical proposition. Numerical results prove the efficiency of the established model.

Keywords: Homeowners Associations, Institutional Efficiency, Polynomial Regression, Transaction Cost.

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1375 Importance of Hardware Systems and Circuits in Secure Software Development Life Cycle

Authors: Mir Shahriar Emami

Abstract:

Although it is fully impossible to ensure that a software system is quite secure, developing an acceptable secure software system in a convenient platform is not unreachable. In this paper, we attempt to analyze software development life cycle (SDLC) models from the hardware systems and circuits point of view. To date, the SDLC models pay merely attention to the software security from the software perspectives. In this paper, we present new features for SDLC stages to emphasize the role of systems and circuits in developing secure software system through the software development stages, the point that has not been considered previously in the SDLC models.

Keywords: Systems and circuits security, software security, software process engineering, SDLC, SSDLC.

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1374 Knowledge Sharing Behavior in E-Communities: from the Perspective of Transaction Cost Theory

Authors: Teresa L. Ju, Szu-Yuan Sun, Pei-Ju Chao, Chang-Yao Wu

Abstract:

This study aims to examine the factors affecting knowledge sharing behavior in knowledge-based electronic communities (e-communities) because quantity and quality of knowledge shared among the members play a critical role in the community-s sustainability. Past research has suggested three perspectives that may affect the quantity and quality of knowledge shared: economics, social psychology, and social ecology. In this study, we strongly believe that an economic perspective may be suitable to validate factors influencing newly registered members- knowledge contribution at the beginning of relationship development. Accordingly, this study proposes a model to validate the factors influencing members- knowledge sharing based on Transaction Cost Theory. By doing so, we may empirically test our hypotheses in various types of e-communities to determine the generalizability of our research models.

Keywords: Electronic community, individual behavior, knowledge sharing, transaction cost theory.

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1373 Secure Proxy Signature Based on Factoring and Discrete Logarithm

Authors: H. El-Kamchouchi, Heba Gaber, Fatma Ahmed, Dalia H. El-Kamchouchi

Abstract:

A digital signature is an electronic signature form used by an original signer to sign a specific document. When the original signer is not in his office or when he/she travels outside, he/she delegates his signing capability to a proxy signer and then the proxy signer generates a signing message on behalf of the original signer. The two parties must be able to authenticate one another and agree on a secret encryption key, in order to communicate securely over an unreliable public network. Authenticated key agreement protocols have an important role in building a secure communications network between the two parties. In this paper, we present a secure proxy signature scheme over an efficient and secure authenticated key agreement protocol based on factoring and discrete logarithm problem.

Keywords: Discrete logarithm, factoring, proxy signature, key agreement.

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1372 Program Memories Error Detection and Correction On-Board Earth Observation Satellites

Authors: Y. Bentoutou

Abstract:

Memory Errors Detection and Correction aim to secure the transaction of data between the central processing unit of a satellite onboard computer and its local memory. In this paper, the application of a double-bit error detection and correction method is described and implemented in Field Programmable Gate Array (FPGA) technology. The performance of the proposed EDAC method is measured and compared with two different EDAC devices, using the same FPGA technology. Statistical analysis of single-event upset (SEU) and multiple-bit upset (MBU) activity in commercial memories onboard the first Algerian microsatellite Alsat-1 is given.

Keywords: Error Detection and Correction, On-board computer, small satellite missions.

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1371 Secure Internet Connectivity for Dynamic Source Routing (DSR) based Mobile Ad hoc Networks

Authors: Ramanarayana Kandikattu, Lillykutty Jacob

Abstract:

'Secure routing in Mobile Ad hoc networks' and 'Internet connectivity to Mobile Ad hoc networks' have been dealt separately in the past research. This paper proposes a light weight solution for secure routing in integrated Mobile Ad hoc Network (MANET)-Internet. The proposed framework ensures mutual authentication of Mobile Node (MN), Foreign Agent (FA) and Home Agent (HA) to avoid various attacks on global connectivity and employs light weight hop-by-hop authentication and end-to-end integrity to protect the network from most of the potential security attacks. The framework also uses dynamic security monitoring mechanism to monitor the misbehavior of internal nodes. Security and performance analysis show that our proposed framework achieves good security while keeping the overhead and latency minimal.

Keywords: Internet, Mobile Ad hoc Networks, Secure routing.

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1370 Wireless Transmission of Big Data Using Novel Secure Algorithm

Authors: K. Thiagarajan, K. Saranya, A. Veeraiah, B. Sudha

Abstract:

This paper presents a novel algorithm for secure, reliable and flexible transmission of big data in two hop wireless networks using cooperative jamming scheme. Two hop wireless networks consist of source, relay and destination nodes. Big data has to transmit from source to relay and from relay to destination by deploying security in physical layer. Cooperative jamming scheme determines transmission of big data in more secure manner by protecting it from eavesdroppers and malicious nodes of unknown location. The novel algorithm that ensures secure and energy balance transmission of big data, includes selection of data transmitting region, segmenting the selected region, determining probability ratio for each node (capture node, non-capture and eavesdropper node) in every segment, evaluating the probability using binary based evaluation. If it is secure transmission resume with the two- hop transmission of big data, otherwise prevent the attackers by cooperative jamming scheme and transmit the data in two-hop transmission.

Keywords: Big data, cooperative jamming, energy balance, physical layer, two-hop transmission, wireless security.

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1369 RUPSec: An Extension on RUP for Developing Secure Systems - Requirements Discipline

Authors: Mohammad Reza Ayatollahzadeh Shirazi, Pooya Jaferian, Golnaz Elahi, Hamid Baghi, Babak Sadeghian

Abstract:

The world is moving rapidly toward the deployment of information and communication systems. Nowadays, computing systems with their fast growth are found everywhere and one of the main challenges for these systems is increasing attacks and security threats against them. Thus, capturing, analyzing and verifying security requirements becomes a very important activity in development process of computing systems, specially in developing systems such as banking, military and e-business systems. For developing every system, a process model which includes a process, methods and tools is chosen. The Rational Unified Process (RUP) is one of the most popular and complete process models which is used by developers in recent years. This process model should be extended to be used in developing secure software systems. In this paper, the Requirement Discipline of RUP is extended to improve RUP for developing secure software systems. These proposed extensions are adding and integrating a number of Activities, Roles, and Artifacts to RUP in order to capture, document and model threats and security requirements of system. These extensions introduce a group of clear and stepwise activities to developers. By following these activities, developers assure that security requirements are captured and modeled. These models are used in design, implementation and test activitie

Keywords:

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1368 A Comparative Analysis of Asymmetric Encryption Schemes on Android Messaging Service

Authors: Mabrouka Algherinai, Fatma Karkouri

Abstract:

Today, Short Message Service (SMS) is an important means of communication. SMS is not only used in informal environment for communication and transaction, but it is also used in formal environments such as institutions, organizations, companies, and business world as a tool for communication and transactions. Therefore, there is a need to secure the information that is being transmitted through this medium to ensure security of information both in transit and at rest. But, encryption has been identified as a means to provide security to SMS messages in transit and at rest. Several past researches have proposed and developed several encryption algorithms for SMS and Information Security. This research aims at comparing the performance of common Asymmetric encryption algorithms on SMS security. The research employs the use of three algorithms, namely RSA, McEliece, and RABIN. Several experiments were performed on SMS of various sizes on android mobile device. The experimental results show that each of the three techniques has different key generation, encryption, and decryption times. The efficiency of an algorithm is determined by the time that it takes for encryption, decryption, and key generation. The best algorithm can be chosen based on the least time required for encryption. The obtained results show the least time when McEliece size 4096 is used. RABIN size 4096 gives most time for encryption and so it is the least effective algorithm when considering encryption. Also, the research shows that McEliece size 2048 has the least time for key generation, and hence, it is the best algorithm as relating to key generation. The result of the algorithms also shows that RSA size 1024 is the most preferable algorithm in terms of decryption as it gives the least time for decryption.

Keywords: SMS, RSA, McEliece, RABIN.

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1367 A New Framework to Model a Secure E-Commerce System

Authors: A. Youseef, F. Liu

Abstract:

The existing information system (IS) developments methods are not met the requirements to resolve the security related IS problems and they fail to provide a successful integration of security and systems engineering during all development process stages. Hence, the security should be considered during the whole software development process and identified with the requirements specification. This paper aims to propose an integrated security and IS engineering approach in all software development process stages by using i* language. This proposed framework categorizes into three separate parts: modelling business environment part, modelling information technology system part and modelling IS security part. The results show that considering security IS goals in the whole system development process can have a positive influence on system implementation and better meet business expectations.

Keywords: Business Process Modelling (BPM), Information System Security, Software Development Process, Requirement Engineering.

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1366 Spread Spectrum Image Watermarking for Secured Multimedia Data Communication

Authors: Tirtha S. Das, Ayan K. Sau, Subir K. Sarkar

Abstract:

Digital watermarking is a way to provide the facility of secure multimedia data communication besides its copyright protection approach. The Spread Spectrum modulation principle is widely used in digital watermarking to satisfy the robustness of multimedia signals against various signal-processing operations. Several SS watermarking algorithms have been proposed for multimedia signals but very few works have discussed on the issues responsible for secure data communication and its robustness improvement. The current paper has critically analyzed few such factors namely properties of spreading codes, proper signal decomposition suitable for data embedding, security provided by the key, successive bit cancellation method applied at decoder which have greater impact on the detection reliability, secure communication of significant signal under camouflage of insignificant signals etc. Based on the analysis, robust SS watermarking scheme for secure data communication is proposed in wavelet domain and improvement in secure communication and robustness performance is reported through experimental results. The reported result also shows improvement in visual and statistical invisibility of the hidden data.

Keywords: Spread spectrum modulation, spreading code, signaldecomposition, security, successive bit cancellation

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1365 Trust and Security in Electronic Payments: What We Have and Need to Know?

Authors: Theodosios Tsiakis, George Stephanides, George Pekos

Abstract:

The growth of open networks created the interest to commercialise it. The establishment of an electronic business mechanism must be accompanied by a digital-electronic payment system to transfer the value of transactions. Financial organizations are requested to offer a secure e-payment synthesis with equivalent levels of trust and security served in conventional paper-based payment transactions. The paper addresses the challenge of the first trade problem in e-commerce, provides a brief literature review on electronic payment and attempts to explain the underlying concept and method of trust in relevance to electronic payment.

Keywords: Electronic payment, security, trust, electronic business mechanism.

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1364 Chaos-based Secure Communication via Continuous Variable Structure Control

Authors: Cheng-Fang Huang, Meei-Ling Hung, Teh-Lu Liao, Her-Terng Yau, Jun-Juh Yan

Abstract:

The design of chaos-based secure communication via synchronized modified Chua-s systems is investigated in this paper. A continuous control law is proposed to ensure synchronization of the master and slave modified Chua-s systems by using the variable structure control technique. Particularly, the concept of extended systems is introduced such that a continuous control input is obtained to avoid chattering phenomenon. Then, it becomes possible to ensure that the message signal embedded in the transmitter can be recovered in the receiver.

Keywords: Chaos, Secure communication, Synchronization, Variable structure control (VSC)

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1363 Secure Socket Layer in the Network and Web Security

Authors: Roza Dastres, Mohsen Soori

Abstract:

In order to electronically exchange information between network users in the web of data, different software such as outlook is presented. So, the traffic of users on a site or even the floors of a building can be decreased as a result of applying a secure and reliable data sharing software. It is essential to provide a fast, secure and reliable network system in the data sharing webs to create an advanced communication systems in the users of network. In the present research work, different encoding methods and algorithms in data sharing systems is studied in order to increase security of data sharing systems by preventing the access of hackers to the transferred data. To increase security in the networks, the possibility of textual conversation between customers of a local network is studied. Application of the encryption and decryption algorithms is studied in order to increase security in networks by preventing hackers from infiltrating. As a result, a reliable and secure communication system between members of a network can be provided by preventing additional traffic in the website environment in order to increase speed, accuracy and security in the network and web systems of data sharing.

Keywords: Secure Socket Layer, Security of networks.

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1362 An Analysis of Innovative Cloud Model as Bridging the Gap between Physical and Virtualized Business Environments: The Customer Perspective

Authors: Asim Majeed, Rehan Bhana, Mak Sharma, Rebecca Goode, Nizam Bolia, Mike, Lloyd-Williams

Abstract:

This study aims to investigate and explore the underlying causes of security concerns of customers emerged when WHSmith transformed its physical system to virtualized business model through NetSuite. NetSuite is essentially fully integrated software which helps transforming the physical system to virtualized business model. Modern organisations are moving away from traditional business models to cloud based models and consequently it is expected to have a better, secure and innovative environment for customers. The vital issue of the modern age race is the security when transforming virtualized through cloud based models and designers of interactive systems often misunderstand privacy and even often ignore it, thus causing concerns for users. The content analysis approach is being used to collect the qualitative data from 120 online bloggers including TRUSTPILOT. The results and finding provide useful new insights into the nature and form of security concerns of online users after they have used the WHSmith services offered online through their website. Findings have theoretical as well as practical implications for the successful adoption of cloud computing Business-to-Business model and similar systems.

Keywords: Innovation, virtualization, cloud computing, organizational flexibility

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1361 An Enhanced Fault-Tolerant Conference Key Agreement Protocol

Authors: Cheng-Chi Lee, Chun-Ta Li, Chia-Ying Wu, Shiow-Yuan Huang

Abstract:

Establishing a secure communication of Internet conferences for participants is very important. Before starting the conference, all the participants establish a common conference key to encrypt/decrypt communicated messages. It enables participants to exchange the secure messages. Nevertheless, in the conference, if there are any malicious participants who may try to upset the key generation process causing other legal participants to obtain a different conference key. In this article, we propose an improved conference key agreement with fault-tolerant capability. The proposed scheme can filter malicious participants at the beginning of the conference to ensure that all participants obtain the same conference key. Compare with other schemes, our scheme is more secure and efficient than others.

Keywords: Conference key, Diffie-Hellman protocol, key agreement, fault tolerance.

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1360 Information System Security Effectiveness Attributes: A Tanzanian Company Case Study

Authors: Nerey H. Mvungi, Mosses Makoko

Abstract:

In today-s highly globalised and competitive world access to information plays key role in having an upper hand between business rivals. Hence, proper protection of such crucial resource is core to any modern business. Implementing a successful information security system is basically centered around three pillars; technical solution involving both software and hardware, information security controls to translate the policies and procedure in the system and the people to implement. This paper shows that a lot needs to be done for countries adapting information technology to process, store and distribute information to secure adequately such core resource.

Keywords: security, information systems, controls, technology, practices.

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1359 Transaction Costs in Institutional Environment and Entry Mode Choice

Authors: K. D. Mroczek

Abstract:

In the study presented institutional context is discussed in terms of companies’ entry mode choice. In contrary to many previous analyses, instead of using one or two aggregated variables, a set of eleven determinants is used to establish equity and non-equity internationalization friendly conditions. Based on secondary data, 140 countries are analyzed and grouped into clusters revealing similar framework. The range of the economies explored is wide as it covers all regions distinguished by The World Bank. The results can prove a useful alternative for operationalization of institutional variables in further research concerning entry modes or strategic management in international markets.

Keywords: Clustering, entry mode choice, institutional environment, transaction costs.

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1358 Business Process Orientation: Case of Croatia

Authors: Ljubica Milanović Glavan

Abstract:

Because of the increasing business pressures, companies must be adaptable and flexible in order to withstand them. Inadequate business processes and low level of business process orientation, that in its core accentuates business processes as opposed to business functions and focuses on process performance and customer satisfaction, hider the ability to adapt to changing environment. It has been shown in previous studies that the companies which have reached higher business process maturity level consistently outperform those that have not reached them. The aim of this paper is to provide a basic understanding of business process orientation concept and business process maturity model. Besides that the paper presents the state of business process orientation in Croatia that has been captured with a study conducted in 2013. Based on the results some practical implications and guidelines for managers are given.

Keywords: Business process orientation, business process maturity, Croatia, maturity score.

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1357 A New Dimension of Business Intelligence: Location-based Intelligence

Authors: Zeljko Panian

Abstract:

Through the course of this paper we define Locationbased Intelligence (LBI) which is outgrowing from process of amalgamation of geolocation and Business Intelligence. Amalgamating geolocation with traditional Business Intelligence (BI) results in a new dimension of BI named Location-based Intelligence. LBI is defined as leveraging unified location information for business intelligence. Collectively, enterprises can transform location data into business intelligence applications that will benefit all aspects of the enterprise. Expectations from this new dimension of business intelligence are great and its future is obviously bright.

Keywords: Business intelligence, geolocation, location-based intelligence, innovation, location-intelligent business

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1356 Pension Plan Member’s Investment Strategies with Transaction Cost and Couple Risky Assets Modelled by the O-U Process

Authors: Udeme O. Ini, Edikan E. Akpanibah

Abstract:

This paper studies the optimal investment strategies for a plan member (PM) in a defined contribution (DC) pension scheme with transaction cost, taxes on invested funds and couple risky assets (stocks) under the Ornstein-Uhlenbeck (O-U) process. The PM’s portfolio is assumed to consist of a risk-free asset and two risky assets where the two risky assets are driven by the O-U process. The Legendre transformation and dual theory is use to transform the resultant optimal control problem which is a nonlinear partial differential equation (PDE) into linear PDE and the resultant linear PDE is then solved for the explicit solutions of the optimal investment strategies for PM exhibiting constant absolute risk aversion (CARA) using change of variable technique. Furthermore, theoretical analysis is used to study the influences of some sensitive parameters on the optimal investment strategies with observations that the optimal investment strategies for the two risky assets increase with increase in the dividend and decreases with increase in tax on the invested funds, risk averse coefficient, initial fund size and the transaction cost.

Keywords: Ornstein-Uhlenbeck process, portfolio management, Legendre transforms, CARA utility.

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