Business Process   Management Business Process Re-engineering Business Process Analysis Business Process  . . .
Traditional Organisation   and  Functional Management <ul><li>Traditional Organisation Chart </li></ul><ul><li>Source: D W...
Traditional Organisation  and Functional Management <ul><li>Traditional Organisation Chart (cont’d) </li></ul><ul><li>Char...
Business Process  Management <ul><li>BPRC NEWSLETTER 1 , November 1995   (with  my  emphasis):   </li></ul><ul><li>The com...
<ul><li>BPRC NEWSLETTER 1 , continued   (with my amendments) : </li></ul><ul><li>aimed at delivering sustained customer sa...
<ul><li>BPRC NEWSLETTER 1  (with amendments) , continued : </li></ul><ul><li>Business Process Management is [ also ] not r...
Business Process   Management  2 <ul><li>What is it? </li></ul><ul><li>Recent innovations in managing businesses by Americ...
Business Process   Management 3 <ul><li>What is it? </li></ul><ul><li>Are  too many  business innovations in US today! </l...
Business Process  Re-engineering <ul><li>Process Re-engineering (BPR) increasingly used to describe efforts to improve Bus...
Business Process  Re-engineering  2 <ul><li>From ‘local’ BPR, analytical models have been developed to optimise existing p...
Business Process  Re-engineering  3 <ul><li>This may include using cross-functional teams, retraining workers, and managin...
Business Process  Re-engineering  4 <ul><li>Workers often have to learn new trades and learn new practices at work, take o...
Business Process  Re-engineering  5 <ul><li>Production is now more efficient, streamlined and flexible, due to new technol...
Business Process  Re-engineering  6 <ul><li>Retraining programmes now seen as crucial in companies’ success in implementin...
Business Process  Re-engineering  7 <ul><li>However,the  government  in the US is  helping  restructure the processes of U...
Business Process  Re-engineering  8 <ul><li>Multi-agency programs have been introduced in defence, dual-use, and civilian ...
Business Process  Re-engineering  9 <ul><li>Why?   </li></ul><ul><li>Japanese firms were successful in capturing a signifi...
Business Process  Re-engineering  10 <ul><li>Result: serious look at new business models and the car industry in Japan bei...
Business Process  Analysis   1 <ul><li>Business Process Analysis is continually changing </li></ul><ul><li>in both details...
Business Process  Analysis   1 <ul><li>BPR is proving to be a powerful approach for organizations wanting to be competitiv...
However: <ul><li>Reported failure rates of about 40 to 70 percent for BPR applications in achieving stated goals  </li></u...
Any  Questions  ? Powerpoint presentation adapted by M C Pratt, St Martin’s College, from:  1.   BPRC NEWSLETTER 1 , Novem...
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    1. 1. Business Process Management Business Process Re-engineering Business Process Analysis Business Process . . .
    2. 2. Traditional Organisation and Functional Management <ul><li>Traditional Organisation Chart </li></ul><ul><li>Source: D Williamson, Introduction to Management Accounting </li></ul><ul><li>People work in functional areas : production people in the Production department(s), marketing people in Marketing, ICT (Information and Computer Technology) in ICT, etc. </li></ul>
    3. 3. Traditional Organisation and Functional Management <ul><li>Traditional Organisation Chart (cont’d) </li></ul><ul><li>Chart shows: </li></ul><ul><li>a set of co-ordinated functional specialisms </li></ul><ul><li>division of labour </li></ul><ul><li>Traditional view identifies where people belong </li></ul><ul><li>But is it flexible? </li></ul><ul><li>Can it adapt/react quickly to change? </li></ul><ul><li>Is only collaboration via Purchasing and Sales? </li></ul>
    4. 4. Business Process Management <ul><li>BPRC NEWSLETTER 1 , November 1995 (with my emphasis): </li></ul><ul><li>The combined effects of developments in information technology and internationalisation of markets have led researchers and managers to a view that new practices and organisational structures are becoming necessary in a mature industrial age …bringing about fusion rather than division of labour, and a view of industry as a set of seamless internal and external relationships </li></ul>
    5. 5. <ul><li>BPRC NEWSLETTER 1 , continued (with my amendments) : </li></ul><ul><li>aimed at delivering sustained customer satisfaction [ , ] rather than as a set of coordinated functional specialisms. </li></ul><ul><li>The Business Process approach to resource management is emerging as [ a ] major innovative mechanism [ , ] enabling the organisation to adapt to the new competitive environment. </li></ul>Business Process Management
    6. 6. <ul><li>BPRC NEWSLETTER 1 (with amendments) , continued : </li></ul><ul><li>Business Process Management is [ also ] not restricted to the manufacturing sector. </li></ul><ul><li>The ESRC Business Processes Resource Centre, Warwick Manufacturing Group, International Manufacturing Centre, University of Warwick: </li></ul>Business Process Management
    7. 7. Business Process Management 2 <ul><li>What is it? </li></ul><ul><li>Recent innovations in managing businesses by American and some UK companies. </li></ul><ul><li>Global marketplace changes and so firms respond. </li></ul><ul><li>Constantly introduce innovations in both technologies, for processing and producing goods and services, and in developing products, plus in cycles in manufacturing. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    8. 8. Business Process Management 3 <ul><li>What is it? </li></ul><ul><li>Are too many business innovations in US today! </li></ul><ul><li>But business has identified cost, quality and time as demands in the market </li></ul><ul><li>So, we are looking at significant innovations used to improve business processes. </li></ul><ul><li>and to help US businesses meet these demands </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    9. 9. Business Process Re-engineering <ul><li>Process Re-engineering (BPR) increasingly used to describe efforts to improve Business processes. </li></ul><ul><li>Are different implementation models and methods because re-engineering is often interpreted in many ways. </li></ul><ul><li>Re-engineering examples r ange from a firm re-engineering a production process to completely restructuring its entire organisation. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    10. 10. Business Process Re-engineering 2 <ul><li>From ‘local’ BPR, analytical models have been developed to optimise existing processes, through using simpler procedures and using IT. </li></ul><ul><li>An industry of consultants has grown up, plus tools for mapping process and simulation tools. </li></ul><ul><li>Organisations’ established structures and processes have been totally replaced by new structures and flexible processes. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    11. 11. Business Process Re-engineering 3 <ul><li>This may include using cross-functional teams, retraining workers, and managing innovation, as integral parts of firms’ business processes, </li></ul><ul><li>much more than just designing, manufacturing, and servicing products. </li></ul><ul><li>It means re-engineering people : the way they learn their jobs, the way they work and the way they collaborate with their workmates. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    12. 12. Business Process Re-engineering 4 <ul><li>Workers often have to learn new trades and learn new practices at work, take on new work ethics which go beyond their narrow specialisations. </li></ul><ul><li>Successful innovations in industry in the past used division of labour but almost removed human ingenuity and innovation from the workplace. </li></ul><ul><li>View of the workforce in making changes to the organisation has also changed with BPR. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    13. 13. Business Process Re-engineering 5 <ul><li>Production is now more efficient, streamlined and flexible, due to new technologies in manufacturing and process. </li></ul><ul><li>Has resulted in achieving previously unachievable quality at unattainable speeds. </li></ul><ul><li>Work-force now groups with competence across many areas of manufacturing, motivated by team-spirit, delegated power and vested authority; no longer just skilled individuals </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    14. 14. Business Process Re-engineering 6 <ul><li>Retraining programmes now seen as crucial in companies’ success in implementing BPR. </li></ul><ul><li>There are resources in bigger companies to re-engineer processes and re-train their workforces </li></ul><ul><li>Ability of suppliers in the value chain to practice BPR also crucial for companies success with BPR. </li></ul><ul><li>Individual firms are seen as being responsible to implement BPR and train suppliers’ workforces. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    15. 15. Business Process Re-engineering 7 <ul><li>However,the government in the US is helping restructure the processes of US businesses!! </li></ul><ul><li>It is providing initiatives and inducements to firms to provide continuing education and retraining. </li></ul><ul><li>It is actively and innovatively filling in gaps, especially in processing and manufacturing, that it sees in US companies. </li></ul><ul><li>This is considered essential to keep American products globally competitive. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    16. 16. Business Process Re-engineering 8 <ul><li>Multi-agency programs have been introduced in defence, dual-use, and civilian sectors, </li></ul><ul><li>providing short-term research programs in high value but high risk manufacturing technologies. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    17. 17. Business Process Re-engineering 9 <ul><li>Why? </li></ul><ul><li>Japanese firms were successful in capturing a significant part of the US automobile market in the 70's and 80's. </li></ul><ul><li>They could adapt to changes in economic conditions, without large unemployment changes </li></ul><ul><li>This has led to a rethink of the nature of American industry’s business operations. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    18. 18. Business Process Re-engineering 10 <ul><li>Result: serious look at new business models and the car industry in Japan being scrutinised by US companies and business theorists. </li></ul><ul><li>Studied Japanese process innovations, quality management and lean production technologies. </li></ul><ul><li>Introduction of IT into Japanese firms’ work practices, with US innovations, preserved Japanese organisational and cultural advantages. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    19. 19. Business Process Analysis 1 <ul><li>Business Process Analysis is continually changing </li></ul><ul><li>in both details of every process matter, but also in overall objectives of organisations. </li></ul><ul><li>Technology is a force driving re-engineering. </li></ul><ul><li>Economic and cultural practices also relevant. </li></ul><ul><li>Tomorrow’s BPR methods and tools are the knowledge and experience gained by individual companies and business theorists. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    20. 20. Business Process Analysis 1 <ul><li>BPR is proving to be a powerful approach for organizations wanting to be competitive. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul><ul><li>Business Process Analysis - A Letter from America, A report to Engineering and Scocial Science Research Council, UK: Abstract </li></ul><ul><li>http://bprc.warwick.ac.uk/bprv1-1f.html </li></ul>
    21. 21. However: <ul><li>Reported failure rates of about 40 to 70 percent for BPR applications in achieving stated goals </li></ul><ul><li>This could be due both to perceived differences in defining re-engineering and to the level where it is implemented. </li></ul><ul><li>The coverage and scope of BPR in different firms may explain differences in firms using BPR successfully or unsuccessfully, rather than how they apply BPR tools and methods. </li></ul><ul><li>Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh </li></ul>
    22. 22. Any Questions ? Powerpoint presentation adapted by M C Pratt, St Martin’s College, from: 1. BPRC NEWSLETTER 1 , November 1995 . The ESRC Business Processes Resource Centre, Warwick Manufacturing Group, International Manufacturing Centre, University of Warwick: Web address: http://bprc.warwick.ac.uk/news1.html 2. Professor Arunachalam and Dr. Subrahmanian, Carnegie Mellon University, Pittsburgh, Business Process Analysis - A Letter from America, A report to Engineering and Scocial Science Research Council, UK Web address: http://bprc.warwick.ac.uk/bprv1-1f.html 3. Managing Activities, Powerpoint presentation by A Mulengani, Northampton University College, 2001
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