Introduction. Gauravkumarsingh Gaharwar
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1 BPR
2 Introduction 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. Achieved by the overhauling of organizational structures, management systems, job descriptions, performance measures, skill development, training and use of IT. Successful BPR results in the dramatic performance improvements, increase in profits, better business practices, enormous cost reductions, dramatic improvements in productivity. 2
3 BPR: Phases Begin organizational change Build the reengineering organization Identify BPR oppurtunities Understand the existing process Reengineer the process Blueprint the new business system Perform the transformation 3
4 Phase 1: Begin Organizational Change Main activities are Assess the current state of organization Explain the need for change Illustrate the desired state Create a communications campaign for change 4
5 Phase 2: Build the reengineering organization Establish a BPR organization structure Establish the roles for performing BPR Choose the personnel who will reengineer Members of the reengineering team could be, Executive leader Process owner Reengineering team Steering committee Reengineering specialist or consultant 5
6 Phase 3: Identify BPR Opportunities Identify the core/high level processes Recognize potential change enablers Gather performance metrics within industry Gather performance metrics outside industry Select processes that should be reengineered Prioritize selected process Evaluate preexisting business strategies Consult with customers for their desires Determine customer s actual needs Formulate new process performance objectives Establish key process characteristics Identify potential barriers to implementation 6
7 Phase 4: Understand the existing process Understand why the current steps are being performed Model the current process Understand how technology is currently being used Understand how information is currently being used Understand the current organizational structure Current current process with the new objectives 7
8 Phase 5: Reengineer the process Ensure the diversity of reengineering team Question current operating assumptions Brainstorm using change levers Brainstorm using BPR principles Evaluate the impact of new technology Consider the perspectives of stakeholders Use customer value as focal point 8
9 Phase 6: Blueprint the new business system Define new workflow Model the new process steps Model the new information requirements Document the new organizational structure Describe the new technology specifications Record the new personnel management systems Describe the new values and cultures required 9
10 Phase 7: Perform the transformation(cont ) Develop a migration plan Full changeover to new process Phased approach Pilot project Creating an entirely new business unit Create a migration plan Develop metrics for measuring performance during implementation Involve the affected staff Implement in an iterative fashion Establish the new organizational structures 10
11 Phase 7: Perform the transformation Assess current skills and capabilities of workforce Map new task and skills requirements to staff Reallocate workforce Develop a training curriculum Educate the staff about the new processes Educate management on facilitation skills Decide how new technologies will be introduced Transition to new technologies Incorporate process improvement mechanisms 11
12 Challenges faced by reengineering team Resistance Tradition Time requirements Cost Skepticism Job losses 12
13 Maximizing your chances for BPR success Realize that not every company needs to reinvent itself Expect strenuous resistance and manage it properly Surround the project with a sense of urgency Get top management full support Keep the lines of communication to employees open Create the atmosphere of trust and cooperation Involve affected people in the change Reward to motivate support time Staff the project with the best people Design the system to get customer point of view Employees are adequatly trained Be prepared to change companies culture, organizational structure, information system, etc 13
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