BPR OR Business Process Re-engineering
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BPR OR Business Process Re-engineering

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what's BPR,what's radical chaging in business process and what's automation,what's re structring,and what's business re-engineering

what's BPR,what's radical chaging in business process and what's automation,what's re structring,and what's business re-engineering

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  • 7 Companies created to thrive on mass production, stability, and growth can’t be fixed to succeed in a world where customers, competition, and change demand flexibility and quick response.
  • 8 Consumer expectations soared in the United States when competitors - many of them Japanese - burst upon the market with lower prices combined with higher quality goods. This was mass production plus - plus quality, price, selection, and service. Once customers experience superior service, they do not happily return to accepting less. For companies that grew up with a mass market mentality, the hardest new reality to accept about customers is that each one counts.
  • 9 Start-up companies that carry no organizational baggage and are not constrained by their histories can enter a market with the next product or service generation before existing companies can even recoup their development costs on the last one. Examples: Sun Microsystems and Walmart Walmart and Procter & Gambles’ Diaper Inventory Agreement
  • 10 Change is normality. Not long ago, for example, life insurance companies offered only two products: term and whole life. Today, they supply a constantly changing smorgasbord of products, and the competitive pressure on insurance companies to create new products is constantly increasing. Not only have product and service life cycles diminished, but so has the time available to develop new products and introduce them. Today, companies must move fast, or they won’t be moving at all.
  • 14
  • 15 Reengineering begins with no assumptions and no givens. It ignores what is and concentrates on what should be.
  • 16 Throwing away the old. Business reinvention.
  • 17
  • 18

BPR OR Business Process Re-engineering Presentation Transcript

  • 1. Business Process Re-engineering Name : Hamdard
  • 2. Three C’s that Define Today’s Business Climate
    • Customers
    • Competition
    • Change
    By: Zulfiqar Ahmed Farhan
  • 3. Customers Take Charge
    • Customers tell suppliers
      • what they want
      • when they want it
      • how they want it
      • what they will pay.
    • Customers, both consumers and corporations, demand products and services designed for their unique and particular needs.
    By: Zulfiqar Ahmed Farhan
  • 4. Competition to the MAX
    • Fewer trade barriers; it’s a world market
    • If a company cannot stand shoulder to shoulder with the world’s best in a competitive category, it soon has no place to stand at all
    By: Zulfiqar Ahmed Farhan
  • 5. Change Becomes Constant
    • Change has become both pervasive and persistent
    • The pace of change has accelerated due to globalization of the economy and technological advancements
    • What’s driving this?
      • E-commerce
    By: Zulfiqar Ahmed Farhan
  • 6. Managing Change
    • The ability to manage change is critical to the success of systems development.
      • The new or modified systems created during systems development will inevitably cause change.
      • Managing change requires the ability to recognize existing or potential problems.
    By: Zulfiqar Ahmed Farhan
  • 7. All this leads to the need for change
    • Business Process Reengineering is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service, and speed.
    By: Zulfiqar Ahmed Farhan
  • 8. B USINESS P ROCESSES By: Zulfiqar Ahmed Farhan Business Process Redesign
    • Six principles for redesigning business processes:
    • Organize business processes around outcomes, not tasks
    • Assign those who use the output to perform the process
    • Integrate information processing into the work that produces the information
  • 9. B USINESS P ROCESSES By: Zulfiqar Ahmed Farhan Business Process Redesign
    • Six principles for redesigning business processes:
    • Create a virtual enterprise by treating geographically distributed resources as though they were centralized
    • Link parallel activities instead of integrating their results
    • Have the people who do the work make all the decisions, and let controls built into the system monitor the process
  • 10. Four Key Words for Reengineering
    • Fundamental
    • Radical
    • Dramatic
    • Process
    By: Zulfiqar Ahmed Farhan
  • 11. Fundamental
    • Why do we do what we do?
    • Why do we do it the way we do?
    By: Zulfiqar Ahmed Farhan
  • 12. Radical
    • Getting to the root of things: not making superficial changes or fiddling with what is already in place
    • Disregarding all existing structures and procedures and inventing completely new ways of accomplishing work
    By: Zulfiqar Ahmed Farhan
  • 13. Dramatic
    • Dramatic improvement demands blowing up the old and replacing it with something new
    By: Zulfiqar Ahmed Farhan
  • 14. Process
    • Collection of activities that takes one or more kinds of input and creates an output that is of value to the customer
    By: Zulfiqar Ahmed Farhan
  • 15. BPR Versus Continuous Improvement By: Zulfiqar Ahmed Farhan Process Reengineering Radical Transformation People & Technology Focus High Investment Rebuild Champion Driven Continuous Improvement Incremental Change People Focus Low Investment Improve Existing Work Unit Driven
  • 16. BPR Versus Process Simplification By: Zulfiqar Ahmed Farhan Process Reengineering Radical Transformation Vision-Led Change Attitudes & Behaviours Director-Led Limited Number of Initiatives Process Simplification Incremental Change Process-Led Assume Attitudes & Behaviours Management-Led Various Simultaneous Projects (Source Coulson-Thomas, 1992)
  • 17. Common Benefits of BPR
    • • Enterprise integration
    • – Departments are consolidated
    • – Several jobs are combined into one job
    By: Zulfiqar Ahmed Farhan
  • 18. Common Benefits of BPR
    • Worker empowerment
    • – There is both horizontal and vertical reorganization
    • – Handoffs are eliminated
    • – There are fewer rules and less coordination is required
    By: Zulfiqar Ahmed Farhan
  • 19. Common Benefits of BPR
    • • The steps are performed in a more natural order
    • – Many tasks can be done simultaneously
    • – In reengineered process, work is sequenced in terms of what needs to follow what
    • Processes have multiple versions
    • – Not just one process but many are employed depending on the size of the job
    • – Which version works best in a given situation (for simpler process short version)
    • • Work is performed where it makes the most sense
    • – Wal-Mart moves the replenishment function to its suppliers
    By: Zulfiqar Ahmed Farhan
  • 20. Common Benefits of BPR
    • • Reconciliation is minimized
    • – Inconsistent data
    • Checks and controls are reduced
    • • A case manager provides a single point of contact
    • • Hybrid centralized/decentralized operations are prevalent
    • – IT enables decisions to operate autonomously
    By: Zulfiqar Ahmed Farhan
  • 21. Information Technology & BPR By: Zulfiqar Ahmed Farhan
  • 22. Benefits From IT
    • Assists the Implementation of Business Processes
      • Enables Product & Service Innovations
      • Improve Operational Efficiency
      • Coordinate Vendors & Customers in the Process Chain
      • Improve monitoring
      • Centralization
      • Uniformity
    By: Zulfiqar Ahmed Farhan
  • 23. Computer Aided BPR (CABPR)
    • Focus
      • Business Processes
      • Process Redesign
      • Process Implementation
    By: Zulfiqar Ahmed Farhan
  • 24. BPR Challenges By: Zulfiqar Ahmed Farhan
  • 25. Common Problems
    • Process Simplification is Common - True BPR is Not
    • Desire to Change Not Strong Enough
    • Start Point the Existing Process Not a Blank Slate
    • Commitment to Existing Processes Too Strong
    By: Zulfiqar Ahmed Farhan
  • 26. Common Problems with BPR
    • Process under review too big or too small
    • Reliance on existing process too strong
    • The Costs of the Change Seem Too Large
    • BPR Isolated Activity not Aligned to the Business Objectives
    • Allocation of Resources
    • Poor Timing and Planning
    • Keeping the Team and Organization on Target
    By: Zulfiqar Ahmed Farhan
  • 27. By: Zulfiqar Ahmed Farhan Phases of BPR
  • 28. Phases of BPR
    • Phase 1
    • Trigger :
    • – Performance problem
    • – Competitive e-Business move
    • – Supply chain partner pressure
    • Deliberation / Discussion
    • Proposal
    • Management go-ahead
    By: Zulfiqar Ahmed Farhan
  • 29. Phases of BPR
    • Phase 2
    • Project leader
    • Core team
    • Preliminary assessment of IT-infrastructure around processes
    • BPR Plan & Budget
    By: Zulfiqar Ahmed Farhan
  • 30. Phases of BPR
    • Phase 3
    • Process is redesigned
    • Performance comparison
    • – Benchmarking
    • Prepare for implementation
    By: Zulfiqar Ahmed Farhan
  • 31. Phases of BPR
    • Phase 4
    • Implementation and organization transformation phase
    • Introducing and instituting new process
    • – Org. design changes
    • – Training
    • – Political & human problems
    By: Zulfiqar Ahmed Farhan
  • 32. Phases of BPR
    • Phase 5
    • Continuous monitoring
    • Modified as needed.
    By: Zulfiqar Ahmed Farhan
  • 33. BPR is Not?
    • Automation
    • Downsizing
    • Outsourcing
    • Business Improvement
    • Restructuring
    • TQM
    By: Zulfiqar Ahmed Farhan
  • 34. Summary
    • Reengineering is a fundamental rethinking and redesign of business processes to achieve dramatic improvements
    • BPR has emerged from key management traditions such as scientific management and systems thinking
    • Rules and symbols play an integral part of all BPR initiatives
    By: Zulfiqar Ahmed Farhan
  • 35. Summary
    • Don’t assume anything - remember BPR is fundamental rethinking of business processes
    By: Zulfiqar Ahmed Farhan
  • 36. Systems Perspective By: Zulfiqar Ahmed Farhan Transformation Inputs Outputs Feedback Environment
  • 37. BPR Symbols By: Zulfiqar Ahmed Farhan
  • 38. Business Process Flowchart Symbols By: Zulfiqar Ahmed Farhan An Activity A Document A Decision Data (input as outputs)
  • 39. Business Process Flowchart Symbols By: Zulfiqar Ahmed Farhan A Predefined Process The Start of a Process The End of a Process Representing a Relation Start End
  • 40. Business Process Flowchart Symbols By: Zulfiqar Ahmed Farhan Continuation of the process at the same page at an equal symbol with the same number. Used when a relation arrow crosses another relation arrow Off-Page Connector - Process will continue on the next page Integration Relation - A relation to another module is identified and described
  • 41. Data Flowchart Symbols By: Zulfiqar Ahmed Farhan An Activity A Document A Decision Flat Data File (input as outputs)
  • 42. Data Flowchart Symbols By: Zulfiqar Ahmed Farhan Manual Data Item A Database File Representing a Relation Continuation Off-Page Connector
  • 43. BPR & ERP
    • Just automating the existing business practices will not help ERP to achieve the anticipated results
    • Business Process Re-engineering [BPR] brings out the deficiencies of the existing setup
    • Business Process Re-engineering [BPR] brings out the deficiencies of the existing setup
    • BPR may be time consuming but the scope can be restricted & controlled by the Management
    By: Zulfiqar Ahmed Farhan
  • 44. Impact on ERP
    • If poor BPR is conducted, or if vendor system adopted without consideration of organizational requirements
    • – Will discard processes in which organization has developed competitive advantage
    • – Even when BPR beneficial, there will be a transition period where employee performance degrades while learning new system
    By: Zulfiqar Ahmed Farhan