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Business Process Re-engineering
{BPR}
Technology inducted change, is it effective?
Define corporate
visions and business
goals
Identify business
processes to be
reengineered
Analyze and
measure an
existing process
Identify enabling IT &
generate alternative
process redesigns
Evaluate and
select a process
redesign
Implement the
reengineered
process
Continuous
improvement of
the process
Visioning
Identifying
Analyzing
Redesigning
Evaluating
Implementing
Improving
Manage change and stakeholder interests
BPR-LC 
Enterprise-wide engineering
Process-specific
engineering
Apply to enterprise-wide reengineering effort.
Develop overview of current and future business strategies,
organizational structure, and business processes.
Develop organizational commitment to reengineering.
Develop and communicate a business case for action.
Create a new corporate vision.
Set stretched goals.
Prioritize objectives.
Assess implementation capabilities and barriers.
Define corporate vision and business goals
Case for Action
Business context: What is happening, what is changing, and
what is newly important in the environment in which the
company operates.
Business problem: The major concern of the company.
Marketplace demands: New performance requirements that
cannot be met by the company.
Diagnostics: Why the company cannot meet the new
performance requirements? Why the incremental
improvement is not enough?
Cost of inaction: Consequences of not reengineering.
Objectives for Business
Reengineering
Improve customer satisfaction
Shorten cycle time
Improve output quality
Cut down costs
Increase competitiveness
Maintain the leadership position
Enterprise-Wide Vision
Business Strategy
Process Visualization
Determine who we are
and what we are doing
about
Define the right things
to do
Do the right things
right
Vision
A statement of the future business environment and how the
company will operate in that environment.
Vision is the result of dreams in action . It is a positive
image of the future that is the strongest motivator for change.
Characteristics
Common purpose: worth the effort
Positive feeling and diffuse fear
Clarity and values
Capture the imagination
Inspires and empowers
Should have "reach" and "range"
Mission
A statement of the basic purpose or reason for the
company to exit.
Lines of questioning
What business are we in?
What is the geographic scope?
What markets do we serve?
What products and services do we provide?
What are the critical successful factors of the organization?
How can we achieve our competitive advantage?
Strategic Visioning Process
Past Present Future
Context
Stories
Insight
Visions
Foresight
Five Bold Steps Vision Vision
Mission
1. step
2.
3.
4.
5.
Value
What is BPR?
A business management strategy the originated
in the early 90’s.
It is applied to a system to bring forth, sustain
and retired the product with an emphasis on
information flow (Rogerson, 1996)
It is also the radical redesign of core business
processes to achieve dramatic improvements in
productivity, cycle-time and quality ( Al-Mashari
et al, 2001)
Concepts of BPR
Refocus company values on customer needs
Redesign core processes, often using
information technology to enable improvements
Reorganize a business into cross-functional
teams with end-to-end responsibility for a
process
Rethink basic organizational and people issues
Improve business processes across the
organization
Benefits of BPR
Provides a new structure that works
Increases effectiveness
Improves customer satisfaction
Reduces cost, time and resource waste.
Employees know their exact responsibilities
Increase in job satisfaction( growth of knowledge,
demanding jobs
Who uses or has used
BPR effectively?
It is often used by companies on the brink of
disaster.
Examples: Star Vault
It has failed to improve productivity for Ford
Motors, IBM and Kodak.
References
Rogerson, S. (1996), ETHIcol in the IMIS
Journal, Vol(6),no. 2
Breyer-Mayl, (2004), Organization & Markets:
Advantages and Disadvantages of BPR
Al-Mashari, Majed, Irani, Z. and Zairi, M. (2001).
BPR: a survey of international experience.
Business Process Management Journal, pp. 437-
455.
Hammer & Champy, 1993

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BPR.pptx

  • 1. Business Process Re-engineering {BPR} Technology inducted change, is it effective?
  • 2. Define corporate visions and business goals Identify business processes to be reengineered Analyze and measure an existing process Identify enabling IT & generate alternative process redesigns Evaluate and select a process redesign Implement the reengineered process Continuous improvement of the process Visioning Identifying Analyzing Redesigning Evaluating Implementing Improving Manage change and stakeholder interests BPR-LC  Enterprise-wide engineering Process-specific engineering
  • 3. Apply to enterprise-wide reengineering effort. Develop overview of current and future business strategies, organizational structure, and business processes. Develop organizational commitment to reengineering. Develop and communicate a business case for action. Create a new corporate vision. Set stretched goals. Prioritize objectives. Assess implementation capabilities and barriers. Define corporate vision and business goals
  • 4. Case for Action Business context: What is happening, what is changing, and what is newly important in the environment in which the company operates. Business problem: The major concern of the company. Marketplace demands: New performance requirements that cannot be met by the company. Diagnostics: Why the company cannot meet the new performance requirements? Why the incremental improvement is not enough? Cost of inaction: Consequences of not reengineering.
  • 5. Objectives for Business Reengineering Improve customer satisfaction Shorten cycle time Improve output quality Cut down costs Increase competitiveness Maintain the leadership position
  • 6. Enterprise-Wide Vision Business Strategy Process Visualization Determine who we are and what we are doing about Define the right things to do Do the right things right
  • 7. Vision A statement of the future business environment and how the company will operate in that environment. Vision is the result of dreams in action . It is a positive image of the future that is the strongest motivator for change. Characteristics Common purpose: worth the effort Positive feeling and diffuse fear Clarity and values Capture the imagination Inspires and empowers Should have "reach" and "range"
  • 8. Mission A statement of the basic purpose or reason for the company to exit. Lines of questioning What business are we in? What is the geographic scope? What markets do we serve? What products and services do we provide? What are the critical successful factors of the organization? How can we achieve our competitive advantage?
  • 9. Strategic Visioning Process Past Present Future Context Stories Insight Visions Foresight
  • 10. Five Bold Steps Vision Vision Mission 1. step 2. 3. 4. 5. Value
  • 11. What is BPR? A business management strategy the originated in the early 90’s. It is applied to a system to bring forth, sustain and retired the product with an emphasis on information flow (Rogerson, 1996) It is also the radical redesign of core business processes to achieve dramatic improvements in productivity, cycle-time and quality ( Al-Mashari et al, 2001)
  • 12. Concepts of BPR Refocus company values on customer needs Redesign core processes, often using information technology to enable improvements Reorganize a business into cross-functional teams with end-to-end responsibility for a process Rethink basic organizational and people issues Improve business processes across the organization
  • 13. Benefits of BPR Provides a new structure that works Increases effectiveness Improves customer satisfaction Reduces cost, time and resource waste. Employees know their exact responsibilities Increase in job satisfaction( growth of knowledge, demanding jobs
  • 14. Who uses or has used BPR effectively? It is often used by companies on the brink of disaster. Examples: Star Vault It has failed to improve productivity for Ford Motors, IBM and Kodak.
  • 15. References Rogerson, S. (1996), ETHIcol in the IMIS Journal, Vol(6),no. 2 Breyer-Mayl, (2004), Organization & Markets: Advantages and Disadvantages of BPR Al-Mashari, Majed, Irani, Z. and Zairi, M. (2001). BPR: a survey of international experience. Business Process Management Journal, pp. 437- 455. Hammer & Champy, 1993