Business Process Re-engineering (BPR) is a fundamental rethinking and radical redesign of business processes aimed at achieving significant improvements in performance metrics like cost, quality, and service. It emphasizes managing change effectively and integrating information processing into work, with principles such as organizing processes around outcomes and enabling worker empowerment. The document further distinguishes BPR from continuous improvement and highlights its phases, challenges, and the role of information technology in facilitating successful BPR implementation.

1. Business Process Re-engineering Name : UBAID UR RAHMAN Roll No : FA11-MS-0065 Subject : BPR (Business Process Re-Engineering Teacher/By : Zulfiqar Ahmed Farhan

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