BUSINESS PROCESS REENGINEERING PDF
Business process reengineering (BPR) has been receiving attention from industries as BPR is known by many names, such as 'core process redesign', ' new. BUSINESS PROCESS REENGINEERING. INTRODUCTION. Rapid technological advancements and increased expectations of customers are the key. According to Michael Hammer, “Business Process Reengineering (BPR) is the fundamental rethinking and radical redesign of business processes to achieve.
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Information Technology and Business Process Re-engineering. Linking re-engineering to business strategy. Strategic Re-. are needed, in this paper a business process reengineering method is presented that uses Business Process Reengineering, Enterprise ontology, Aris, Demo. Business Process Reengineering transformation towards value creation. 6. Strategy Implementation strategies through programmes. 7. Structural Change.
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Business Process Reengineering
Prentice Hall, Upper Saddle River. Harvard Business Review, v. Planning Review.
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Prentice Hall. There are many steps involved in business process reengineering effort. Those steps are given in the following figure. For Business Process Reengineering, one should identify the processes in the organization to be reengineered. The outcomes expected from business process reengineering can be increase in profits, reduction in costs, improvement in quality, service or increment in turn around time, etc.
There should be reengineering team assigned for this business process reengineering assignment purposes. Definitely there should be commitment from the top management such as CEO and COO for this business process reengineering purpose.
Reengineering efforts are to be supported by the senior management in the organization. The process owner and reengineering team work on reengineering of each identified processes of the organization.
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During this reengineering time, the top management should be committed to the BPR efforts in the organization. Top management commitment is explained in the next paragraph. They should dedicate resources and time for reengineering efforts.
Once they are ready, the top management should identify the reengineering team. The reengineering team after situational appraisal comes up with to be reengineered processes in the organization.
Identification of processes is the important step in a business process reengineering assignment. The role of top management in reengineering efforts of the organization is very much significant and has got lot of importance.
The reengineering team efforts and their role are explained in the next paragraph. Reengineering Team The top management has to identify the reengineering team. In some of the organizations, a member of senior management may head the reengineering team.
The reengineering experts report to this senior management member. In some of the organizations, reengineering teams form as committees and directly report to the CEO or head of process reengineering.
In some of the organizations, reengineering team consists of only external BPR consultants. Some of the organizations have VP and Director level positions for business process reengineering experts. The employees of the organization must be part of the process implementation stage. Next, we will see the skills required for the business process reengineer. These skills of reengineer leads to the successful execution of business process reengineering assignments. In the next section, we will see how the BPR team communicates with the stakeholders.
Communicating to the Team The Reengineer in the reengineering team should have good communication skills because he has to sell his ideas and the processes he redesigned to the outer world.
That is the reengineer should communicate his work and redesigned processes to the employees of the organization for implementation purposes.
This requires strong communication skills from the reengineer side. Because while communicating the designed processes to the other employees of the organization, it may face resistance to change the employees, because of various reasons. Hence the reengineer has to deal with these issues with care and diligence. While communicating with the employees of the organization, the reengineering team should keep in mind that the communication should be clear and unambiguous.
Business process reengineering
They should make their point clear to the process implementation team. Here they should take into consideration of human factors and soft issues while dealing with people. They should make it clear that the BPR is not about downsizing and layoffs or reducing head count. It is about process improvement and reducing cycle time, reducing turn around time and improving profits. Otherwise the BPR team will face resistance from the employees.
In the next section, we will see how to hire an external consultant for BPR assignments. Hiring a Consultant Usually to have a macro view of the business operations, organizations hire external management consultants for business process reengineering assignments. There are many factors, which needs to be taken care while hiring an external consultant for BPR assignments. The experience level of the consultant, domain expertise, knowledge and awareness of BPR of the consultant play vital role in selecting the consultant for BPR assignments.
Small firms may go for independent individual BPR consultants and the big firms may hire big consulting companies for business process reengineering assignments.
Business process reengineering
Process redesign is explained in the next section. Process Redesign Usually, once the reengineer studies the current processes in the organization, he comes up with the alternative ways of doing things, which result into profitability, or cost reduction, or improved quality or improved services.
These new processes or redesigned process needs to be tested in the laboratory before making them public. That is the new processes needs to be tested in a simulated environment before they are implemented in the actual business situation.
There are a few companies, which failed at business process reengineering. However these companies are very less in percentage.
There can be many reasons for the failure of BPR in the organizations. Many be they have not identified the processes correctly to reengineer. Or they spent most of the time on planning rather than executing.
Lack of commitment from top management can be another reason for the failure of business process reengineering in the organization. Or they did not have experienced BPR consultant. Or they did not choose the right consultant.
These are some of the reasons for the failure of business process reengineering in organizations. Hence, one should study the current processes in place in the organization before going for redesigning the processes.
They should identify right processes to reengineer. And then go ahead with reengineering. Then communicate the results to the employees for implementation purposes.
In the next section, we will see the role of IT in business process implementation. For example, in case of automobile manufactures, they used to have design centres in one location and manufacturing centres in another location and marketing offices in another location.
In this scenario, once the marketing executive takes the requirements from the customer, he has to send them by surface mail to the design centre. The design centre drafts are sent through surface mail to the manufacturing plant.
This used to take several weeks, before the product comes out of the plant. With the advent of IT and communications technology, this is possible to roll out the product in days time in current days.
The marketing executive gathers the requirements and sends them to the design centre through Internet. Then the design centre sends the designs through Internet or email to the manufacturing plant.
Some of the companies even went ahead and developed distributed systems and databases using data and voice communication systems.Prentice Hall, New Jersey. Survey As per the data indicated in the above table 1 item 1; the mean values of 3. It will need to efficiently capture appropriate data and allow access to appropriate individuals. Public sector capacity reform in Ethiopia: No part of this book may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without the prior permission of the copyright owner.
Successful BPR implementation strategy. Most projects underestimate the cultural effect of major process and structural change and as a result, do not achieve the full potential of their change effort. Enter the email address you signed up with and we'll email you a reset link. Culture in an organization is a self-reinforcing set of beliefs, attitudes, and behavior. Table 3 b 1 illustrates the Pareto Chart for business license application process.
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