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Made by- PRATAP PRAKASH TAMBE
SMBA-26
Purpose-
The role of business process re‐engineering (BPR) in implementing enterprise
resource planning (ERP) systems is of paramount importance. A variety of approaches are used
for such re‐engineering as the best‐fitting ERP solution can only give a maximum of 80 percent fit
with the existing workflow of the organization in which ERP is being implemented.
Researchlimitations/implications
The recursive relationship between BPR and information technology has only
resulted in the rapid evolution of ERP systems. ERP integration with supply chain management
and its web readiness are major agenda for ERP developers. Many re‐engineering possibilities are
yet to evolve based on research in knowledge, artificial intelligence and expert database systems.
A suitable approach to implement the same in an organization can only be done using the most
suitable approach and hence the importance of the BPR approaches presented along with their
advantages and disadvantages.
What is the difference between ERP and BPR?
The major characteristics of Business Process Re-engineering (BPR) are cross-
functional orientation, process innovation, and customer-focus, clean slate and radical change in
the organization's business process by using Enterprise Resource Planning (ERP) systems.
Innovations and major improvements in the performance of business processes are
difficult to achieve without leveraging the potential of ERP. Most of the business processes are
developed before modern computers and communication technologies existed. ERP and BRP go
hand in hand. Therefore, it is recommended that ERP should be used to innovate the business
processes and not just automate.
ERP can be used not only to automate transactional and laborious business
processes but also to redesign the work management systems in an organization. ERP improves
coordination and information access across organizational units, thereby allowing for more
effective management of task interdependence.
In the past several years, information technology has been recognized as a major
force in reengineering. It is typically identified as an enabler of the changes required. That is,
reengineers develop a conceptual approach to changing the business processes expecting that IT
will make it possible. For example, reengineering the sales order process means providing a wide
range of products, scheduling customer and financial information online to the order entry people.
This is not possible without an integrated networked information system.
ERP has changed the nature of the reengineering process in two ways: first, it
provides a system that is integrated and based on best practices. It makes available, as a matter of
course, many of the improvements that companies identify in the process of reengineering. In this
respect, it serves as the technology enabler identified by most reengineers and writers on the
subject.
Second and more importantly, ERP is a driver, not merely an enabler of substantive
change. ERP forces the implementation team to specify how it wants to organize and run the
business in an integrated way, at a detailed level. Many companies have not done this and continue
to operate with mixed and often conflicting organizational structures, processes and standards.
This lack of clarity and integration is often based on history or on culture. The successful
implementation of ERP requires you to define these elements.
ERP will not actually conduct the reengineering for you, but will trigger you to do
it for yourself. With this force in hand, even companies who simply wanted to replace their 20-
year old legacy systems that cannot communicate with one another, will do some level of
reengineering because of the structure of ERP itself and probably more than they imagined was
needed.
With the advent of ERP, information systems have, more than ever, become a major
force in creating efficient and effective business processes. This change in status, from support
function to key driver of change carries with it several significant implications:
 You must decide when to reengineer your business
 IS and user roles change-dramatically
 The IS implementation process changes-dramatically
 Implementation skill becomes a new, distinct competency.
What Comes First: Business Process Reengineering or ERP
Implementation?
Business process reengineering (BPR) and enterprise resource planning (ERP)
implementation go hand-in-hand. But which should be done first: BPR, ERP, or both concurrently?
Performing BPR first ensures that business processes are optimized before software
is configured and also ensures that software functionality will closely match the actual process
steps. This optimization can improve the ERP implementation by the inclusion and configuration
of relevant software features and the elimination the unnecessary ones. Conducting a BPR exercise
provides a common understanding of business processes for employees, as well as process
documentation that can facilitate ERP education and implementation efforts.
The implementation of ERP software, by its very nature, will require a review and
adjustment of business processes in order to properly install and configure the software. While
such a review and adjustment is not the equivalent of BPR, it can accomplish some measure of
process improvement and can do so more efficiently, cost effectively, and with less prolonged
disruption of personnel.
Doing BPR independently, before ERP implementation, can identify software
modifications to make “the software fit the process.” The modification of a tightly integrated ERP
system can complicate upgrades to future releases and diminish the useful life and ROI of the
overall ERP investment.
Performing BPR in conjunction with ERP implementation may not only be more
cost effective but may lead to a better end result. Most ERP systems incorporate “best practices”
within a specific industry or in general. ERP software may offer process alternatives that were not
considered in the BPR exercise. Additionally, the ERP consultants employed to implement the
software may provide process and industry expertise that was not available during a separately
performed BPR exercise.
Whether you do BPR first or concurrently with ERP implementation, you may get
to the same place. However, doing BPR as an integral part of ERP implementation may bring
together more expertise and alternatives, which can yield a better result.
Engineering Drawings without BPR & ERP
An engineering drawing, a type of technical drawing, is used to fully and clearly
define requirements for engineered items. In old day’s long time required for to finalize
engineering drawing which were made by individual. Also they are no chance whether they are
100% efficient as well as they don’t have proper validation. In case of checking its function it’s
absolutely impossible to check whether design is appropriate or not
Problems
01) Less accuracy
02) No validation
03) No proper inputs of design standard
04) Time consuming process
05) No proper documentation
06) No value addition
07) Expert is must required
Engineering drawing after BPR & ERP
After introducing CAD tools to industry CAD Design process become very fast in
day to day process. Introduction of CAD tools is exactly elimination of faults in design process.
Right now for designing have software like PDMS, NX, CREO, AUTOCAD, SOLID WORK, etc.
This software’s reasons to build CAD support system.
Advantage
01) High level of accuracy in Design & Drawings
02) High level of Research & development execution
03) Highly skill expert is not required
04) Value addition process
05) Proper validation
06) Proper documentation
07) Less time required for preparation of drawings
Common reasons that lead to failure of BPR
01) Unsound Financial Conditions:-
02) Not providing adequate resources:-
03) Too Many Projects under way:-
04) Fear and Lack of optimism:-
05) Overemphasis on tactical aspects and the strategic dimensions being compromised:-
06) Not focusing on business processes:-
07) Neglecting people's values and beliefs:-
08) Ignoring everything except process redesign:-
09) Quitting too early:-
10) Ignoring the impact of change on employees:-
11) Placing prior constraints on the definition of the problem and the scope for reengineering
effort
The rewards of reengineering are many including:
01) Empowering employees;
02) Eliminating waste, unnecessary management overhead, and obsolete or inefficient
processes
03) Producing often significant reductions in cost and cycle times;
04) Enabling revolutionary improvements in many business processes as measured by quality
and customer service
05) Helping top organizations stay on top and low-achievers to become effective competitors.

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Facilation of it in bpr & erp by- pratap tambe

  • 1. Made by- PRATAP PRAKASH TAMBE SMBA-26
  • 2. Purpose- The role of business process re‐engineering (BPR) in implementing enterprise resource planning (ERP) systems is of paramount importance. A variety of approaches are used for such re‐engineering as the best‐fitting ERP solution can only give a maximum of 80 percent fit with the existing workflow of the organization in which ERP is being implemented. Researchlimitations/implications The recursive relationship between BPR and information technology has only resulted in the rapid evolution of ERP systems. ERP integration with supply chain management and its web readiness are major agenda for ERP developers. Many re‐engineering possibilities are yet to evolve based on research in knowledge, artificial intelligence and expert database systems. A suitable approach to implement the same in an organization can only be done using the most suitable approach and hence the importance of the BPR approaches presented along with their advantages and disadvantages. What is the difference between ERP and BPR? The major characteristics of Business Process Re-engineering (BPR) are cross- functional orientation, process innovation, and customer-focus, clean slate and radical change in the organization's business process by using Enterprise Resource Planning (ERP) systems. Innovations and major improvements in the performance of business processes are difficult to achieve without leveraging the potential of ERP. Most of the business processes are developed before modern computers and communication technologies existed. ERP and BRP go hand in hand. Therefore, it is recommended that ERP should be used to innovate the business processes and not just automate. ERP can be used not only to automate transactional and laborious business processes but also to redesign the work management systems in an organization. ERP improves coordination and information access across organizational units, thereby allowing for more effective management of task interdependence.
  • 3. In the past several years, information technology has been recognized as a major force in reengineering. It is typically identified as an enabler of the changes required. That is, reengineers develop a conceptual approach to changing the business processes expecting that IT will make it possible. For example, reengineering the sales order process means providing a wide range of products, scheduling customer and financial information online to the order entry people. This is not possible without an integrated networked information system. ERP has changed the nature of the reengineering process in two ways: first, it provides a system that is integrated and based on best practices. It makes available, as a matter of course, many of the improvements that companies identify in the process of reengineering. In this respect, it serves as the technology enabler identified by most reengineers and writers on the subject. Second and more importantly, ERP is a driver, not merely an enabler of substantive change. ERP forces the implementation team to specify how it wants to organize and run the business in an integrated way, at a detailed level. Many companies have not done this and continue to operate with mixed and often conflicting organizational structures, processes and standards. This lack of clarity and integration is often based on history or on culture. The successful implementation of ERP requires you to define these elements. ERP will not actually conduct the reengineering for you, but will trigger you to do it for yourself. With this force in hand, even companies who simply wanted to replace their 20- year old legacy systems that cannot communicate with one another, will do some level of reengineering because of the structure of ERP itself and probably more than they imagined was needed. With the advent of ERP, information systems have, more than ever, become a major force in creating efficient and effective business processes. This change in status, from support function to key driver of change carries with it several significant implications:  You must decide when to reengineer your business  IS and user roles change-dramatically  The IS implementation process changes-dramatically  Implementation skill becomes a new, distinct competency.
  • 4. What Comes First: Business Process Reengineering or ERP Implementation? Business process reengineering (BPR) and enterprise resource planning (ERP) implementation go hand-in-hand. But which should be done first: BPR, ERP, or both concurrently? Performing BPR first ensures that business processes are optimized before software is configured and also ensures that software functionality will closely match the actual process steps. This optimization can improve the ERP implementation by the inclusion and configuration of relevant software features and the elimination the unnecessary ones. Conducting a BPR exercise provides a common understanding of business processes for employees, as well as process documentation that can facilitate ERP education and implementation efforts. The implementation of ERP software, by its very nature, will require a review and adjustment of business processes in order to properly install and configure the software. While such a review and adjustment is not the equivalent of BPR, it can accomplish some measure of process improvement and can do so more efficiently, cost effectively, and with less prolonged disruption of personnel. Doing BPR independently, before ERP implementation, can identify software modifications to make “the software fit the process.” The modification of a tightly integrated ERP system can complicate upgrades to future releases and diminish the useful life and ROI of the overall ERP investment. Performing BPR in conjunction with ERP implementation may not only be more cost effective but may lead to a better end result. Most ERP systems incorporate “best practices” within a specific industry or in general. ERP software may offer process alternatives that were not considered in the BPR exercise. Additionally, the ERP consultants employed to implement the software may provide process and industry expertise that was not available during a separately performed BPR exercise. Whether you do BPR first or concurrently with ERP implementation, you may get to the same place. However, doing BPR as an integral part of ERP implementation may bring together more expertise and alternatives, which can yield a better result.
  • 5. Engineering Drawings without BPR & ERP An engineering drawing, a type of technical drawing, is used to fully and clearly define requirements for engineered items. In old day’s long time required for to finalize engineering drawing which were made by individual. Also they are no chance whether they are 100% efficient as well as they don’t have proper validation. In case of checking its function it’s absolutely impossible to check whether design is appropriate or not Problems 01) Less accuracy 02) No validation 03) No proper inputs of design standard 04) Time consuming process 05) No proper documentation 06) No value addition 07) Expert is must required Engineering drawing after BPR & ERP After introducing CAD tools to industry CAD Design process become very fast in day to day process. Introduction of CAD tools is exactly elimination of faults in design process. Right now for designing have software like PDMS, NX, CREO, AUTOCAD, SOLID WORK, etc. This software’s reasons to build CAD support system. Advantage 01) High level of accuracy in Design & Drawings 02) High level of Research & development execution 03) Highly skill expert is not required 04) Value addition process 05) Proper validation 06) Proper documentation 07) Less time required for preparation of drawings
  • 6. Common reasons that lead to failure of BPR 01) Unsound Financial Conditions:- 02) Not providing adequate resources:- 03) Too Many Projects under way:- 04) Fear and Lack of optimism:- 05) Overemphasis on tactical aspects and the strategic dimensions being compromised:- 06) Not focusing on business processes:- 07) Neglecting people's values and beliefs:- 08) Ignoring everything except process redesign:- 09) Quitting too early:- 10) Ignoring the impact of change on employees:- 11) Placing prior constraints on the definition of the problem and the scope for reengineering effort The rewards of reengineering are many including: 01) Empowering employees; 02) Eliminating waste, unnecessary management overhead, and obsolete or inefficient processes 03) Producing often significant reductions in cost and cycle times; 04) Enabling revolutionary improvements in many business processes as measured by quality and customer service 05) Helping top organizations stay on top and low-achievers to become effective competitors.