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 Read more:- https://www.baexperts.info/2020/04/business-process-reengineering.html [url=https://www.baexperts.info/2020/04/business-process-reengineering.html]bpr[/url]

1. Business Process Reengineering
Introduction

2. Those days

3. Today

4. The world is changing
Old established models, methods, Procedures may be obsolete.
Without changing, difficult to survive in the modern world.

5. If I were a top manager of……
Adjust for
changing
market
conditions
Beat any
competitor
priceKeep
products and
services
technology
fresh
Deliver
maximum
quality to
the
customer
Customer
focused
Profitable

6. Do you think all the organizations achieve their Goals?
Are managers incompetent?
Are workers inefficient?
No
How they do their work and Why they do it
that way matters.

7. Solution?
Business
Process
Reengineering
Going back to the beginning and
inventing a better way of doing work

8. What makes up a company?

9. Corporate
Assets
Vendors
Strategic
Intellectual
PropertyCulture
Knowledge
Physical
Assets
Operational
Intellectual
Property
IT
Assets
(HW/SW)
Business
Processes
Employees
Dynamic
Capabilities
Monetary
Assets
Customers
Management
Process
management
Strategy
management
Knowledge
management
Operational
management
What makes up a company?

10. Traditional Organization
Most companies today, have been built around the principle of ‘Division
Of Labor’
(The wealth of Nations, Published in 1776 by Adam Smith)
Fragmented processes, specialized structures
lead to the absence of customer focus.

11. Traditional Organization
CUSTOMER
R&D SalesProduction

12. A Process Centric View
R&D SalesProduction
Customer

13. Process
Business process is a collection of interrelated activities that takes one
or more kind of input and creates an output that is of value to the
customer.
Eg : McDonald’s
◦ Activities
◦ Take order, prepare meal, deliver meal
◦ Inputs
◦ Hamburger meat, tomatoes, potatoes, trained labor, etc
◦ Output
◦ Hamburger

14. What is
Business Process Re-engineering?
The search for, and implementation of, radical change in business
processes to achieve breakthrough results.
Going back to the beginning and inventing a better way of doing work.
Reinventing the organization.

15. Definition
"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".
Hammer & Champy, 1993

16. Quotes from Hammer
"Business
reengineering means starting all over, starting from
scratch.... It means forgetting how work was done.... Old
job titles and old organizational arrangements . . . cease
to matter. How people and companies did things
yesterday doesn't matter to the business reengineer ....
Reengineering ... can't be carried out in small and cautious
steps. It is an all-or-nothing proposition."
Reengineering the Corporation

17. Quotes from Hammer
"Reengineering must be initiated . . . by someone who has . . . enough
status to break legs."
Planning Review,
May/June 1993

18. Back to definition
"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".
Hammer & Champy, 1993

19. “Fundamental”
•“Why do we do what we do? “
•“Why Do we do the way we do?”
•Forces people to look at the tacit rules and assumptions that underlie
the way they conduct their businesses.
•Rules return out to be obsolete, erroneous, or inappropriate
Reengineering begins with no assumptions and no
givens

20. “Radical”
•Must examine the “root” of business processes, structures, and policies.
•Don’t fiddle with the old; cast it away and begin anew. (rethink rather
than only change)
•Disregarding all existing structures and procedures and inventing
completely new ways of accomplishing work
Reengineering is reinvention, not modification or
enhancement.

21. “Dramatic”
•Not small, marginal or incremental improvements.
•BPR seeks order of magnitude improvements in cost, quality, service,
and speed.
•Use of IT to assist in these.
Reengineering only need when a need exist in a
heavy blasting

22. Who Undertakes BPR?
•Companies in deep trouble
-- need order of magnitude improvements!
•Companies who foresee trouble
-- an ounce of prevention
•Companies in peak condition who want to further their competitive
advantage.

23. Something from history
Most companies root back to the prototypical pin factory that Adam
Smith describe in the “The wealth of Nations” , the Principle of the
division of labor
Henry Ford and Alfred Sloan (GM), two auto-mobile pioneers, improved
on Smith’s concept dividing work into tiny repeatable tasks.
but made the process of coordination complex

24. Business today
Now nothing is constant or predictable.
◦ Market growth
◦ Product life cycle
◦ Rate of technological changes
◦ Nature of competition
Three C’s are changing entirely the way of doing business:
◦ Customer
◦ Competition
◦ Change

25. 3 C’s
Customers
◦ Demanding
◦ Sophistication
◦ Changing Needs
Competition
◦ Local
◦ Global
Change
◦ Technology
◦ Customer Preferences

26. Competitive organizations
◦ Flexible enough to adjust quickly to changing market condition
◦ Lean enough to beat any competitor’s price
◦ Innovative enough to keep it products and services technologically
fresh
◦ Dedicated enough to deliver maximum qualities and customer
service

27. Goals of a Business
Management want companies that are:
Lean,
Nimble,
Flexible,
Responsive,
Competitive,
Innovative,
Efficient,
Customer focused and
Profitable.
Then….Managing the process gets Highest Priority.
BPR is one of the techniques available.

28. Discussion