Business Process Re-Engineering

Business Process Re-Engineering

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Business Process Reengineering

Business Process Reengineering is a business management approach developed in the1990s. The managerial function analyzes and designs production workflows implementing rapid change towards maximized output. It includes improving customer service, becoming excellent competitors and reducing operational expenses. In summary, BPR is a competition driver, production booster and efficiency implementer.

Background Section

Given analysis of the three materials employed in research, I define business process reengineering as a process entailing workflow evaluation and design within a production line or organizational structure. The concept revolves around helping an organization rethink or restructure the manner in which it operates in order to improve output, lower expenses, improve customer relations and elevate competitive positioning. According to Shin and Jemella, the trend towards process reengineering is one influenced by the advent of information technology. Equally, the trend is encouraged by the global need for improved product quality and management of business projects (Shin & Jemella, 2004). The global competition given the globalization process and incorporation of technology is driving companies towards leaner and thinner production functions.  It is in this light that most organizations are employing BPR as a means for radical change towards improvement.

The BPR process revolves around five organizational aspects that are interconnected. These five aspects are Mission, Work Flow, Information, Decision Making and Technology (Paper & Pendharkar, 2004). In BPR, the objective is to assist the company achieve its mission at minimal costs. Therefore, the undertaking begins with a high-level examination of customer requirements, strategic goals and company’s mission. Given managerial evaluation, the BPR process transition to examination of the workflow .The workflow refers to the way in which processes are positioned sequentially in the production process (Paper & Pendharkar, 2004). In addition, it involves the procedures and rules that govern resource use in production. BPR entail division of the workflow into specific activities that are measurable and modifiable. BPR then redesigns and reorganizes these modules. The objective is to attain radical improvement through integration of performance measures in terms of speed, service, quality and expense.

Information and technology are the key components of BPR. In an organization’s operation, each department needs to be coordinated with other departments. This is for purposes of communication, resource and information sharing. In order for effective departmental coordination, there needs to be similar technologies (Yahaya & Fithri, 2007). Equally, for improved production, a company needs to be automated. Information technology facilitates coordination and maximized output. Information is integrated in technology in order to facilitate designing of the suitable organizational production infrastructure. Information is also a human element that necessitates training, briefing and educating of staff. Workforce training facilitates workflow modeling and general improvement given labor and machine interactions. Staff gets to use resources in little amounts, but to greater output degrees. Teamwork and effective communication skills lay central to human labor management in BPR.

Literature and research dictates that for BPR to be effective in its drive towards radical change, it requires three elements from an organization. These elements are support from high-level management, organizational structure that encourages process thinking and systematic methodologies (Mohapatra, 2012). Systematic methods allow process mapping in workflow examinations and fail-safing of defective procedures. Equally, BPR employs a Plan Do Check Act (PDCA) cycle throughout its undertaking. This approach helps teams involved in reengineering put work together with minimal occurrences of errors and maximum time utilization.

Analysis Section

Though automation (technology) and information are the key concepts involved in BPR, they are not actuators that result in complete change. Analysis of the two case studies identifies human labor as practical and the main determinants of change. People initiate and enable change. In addition, BPR is a concept that involves the development of a dissatisfied culture in which the organization is constantly attempting to improve. In change implementation, every process, process and policy is questioned and reviewed for possible improvements. Systematic methodologies are vital for map processing at workflow structuring (Tsai, 2003). Equally, labor requires systematic approaches in managerial approaches in order to elevate knowledge bases improving machine human interactions. Team work is a vital part of BPR as functioning within groups increases avenues for self and peer assessments, information sharing and skill improvements. Moreover, teams improve healthy competition thus an employee is always motivated to sharpen his or her skills. BPR is continuous and business driven. The process since its initiation runs throughout the functionality of an organization. At detail level, the manner in which a strategic plan is executed is the determinant factor between success and failure. Aggressive execution ascertains that a strategic plan is implemented within the confines of limited time.

URL Section

Paper, D. J. & Pendharkar, P. C.(2004).  A BPR case Study at Honeywell. Business Process Management. 7. 2. 86-95. Retrieved From: http://www.bus.iastate.edu/nilakant/MIS538/Readings/BPR%20Case%20Honeywell.pdf

The Honeywell case illustrates that there are principles that restructure the work progress. The principles help achieve set goals in terms of production quality, maximum profitability, speed and time utilization. These principles include focusing more on the outcomes and not the tasks being conducted, identifying all organizations processes and prioritizing the urgent ones, sharing information among all departments, combining all activities to get end results, make concrete decisions for smooth running of the process and capture information regarding the progress. Business process re-engineering aims at improving an organization and if the process fails, nobody is responsible for the whole performance.

Shin, Namchul & Jemella, D. F. (2004). Business Process Reengineering and Performance Improvement: The Case Study of Manhattan Bank. Business Process Management. 8. 4. 351-383. Retrieved From: http://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=2&cad=rja&uact=8&sqi=2&ved=0CCgQFjAB&url=http%3A%2F%2Fwww.researchgate.net%2Fprofile%2FNamchul_Shin%2Fpublication%2F235265243_Business_process_reengineering_and_performance_improvement_The_case_of_Chase_Manhattan_Bank%2Flinks%2F00463535013f928afb000000.pdf&ei=36sIVfK5A4GO7AbTs4GYCQ&usg=AFQjCNFyP7Kqk1C9_ia6DDPztzG7RjTmtg&bvm=bv.88198703,d.ZGU

Manhattan Bank illustrates how process streamlining requires defined efforts in data gathering. Moreover, it teaches on how workflow participants are comprehensive, strategic and dissatisfied with every static objective they attain. Dynamic goals are more desired because they always encompass room for further improvements. Workflow methods are applied in many processes and do not only focus on tangible resources such as machines.

Yahaya, J. H & Fithri. S. (2007). A Conceptual Model of Business Process Reengineering; A Case Study of a Cargo Company in Malaysia. Retrieved From: http://sdiwc.net/digital-library/download.php?id=00000188.pdf

The case study highlights BPR as a low-level to high-level process. Business process re-engineering BPR aimed to help change organizations business process structure from scratch. Business process is a logically laid down related tasks performed to achieve a certain set goal. BPR obtain its origin from different disciplines. Four examples can be used to illustrate success of change in BPR. The disciplines include approach, organization, public, approach and technology. BPR focuses on identifying problem areas, setting goals that need accomplishment and having objectives.

References

Mohapatra, S. (2012). Business process reengineering: Automation decision points in process reengineering. New York: Springer.

Paper, D. J. & Pendharkar, P. C.(2004).  A BPR case Study at Honeywell. Business Process Management. 7. 2. 86-95. Retrieved From: http://www.bus.iastate.edu/nilakant/MIS538/Readings/BPR%20Case%20Honeywell.pdf

Shin, Namchul & Jemella, D. F. (2004). Business Process Reengineering and Performance Improvement: The Case Study of Manhattan Bank. Business Process Management. 8. 4. 351-383. Retrieved From: http://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=2&cad=rja&uact=8&sqi=2&ved=0CCgQFjAB&url=http%3A%2F%2Fwww.researchgate.net%2Fprofile%2FNamchul_Shin%2Fpublication%2F235265243_Business_process_reengineering_and_performance_improvement_The_case_of_Chase_Manhattan_Bank%2Flinks%2F00463535013f928afb000000.pdf&ei=36sIVfK5A4GO7AbTs4GYCQ&usg=AFQjCNFyP7Kqk1C9_ia6DDPztzG7RjTmtg&bvm=bv.88198703,d.ZGU

Tsai, H.-L. (2003). Information technology and business process reengineering: New perspectives and strategies. Westport, Conn: Praeger.

Yahaya, J. H & Fithri. S. (2007). A Conceptual Model of Business Process Reengineering; A Case Study of a Cargo Company in Malaysia. Retrieved From: http://sdiwc.net/digital-library/download.php?id=00000188.pdf