Business Process Reengineering
Business
Process Reengineering
Business Process
Reengineering involves the radical redesign of core business processes to
achieve dramatic improvements in productivity, cycle times and quality.
Business Process
Reengineering involves the radical redesign of core business processes to
achieve dramatic improvements in productivity, cycle times and quality. In
Business Process Reengineering, companies start with a blank sheet of paper and
rethink existing processes to deliver more value to the customer. They
typically adopt a new value system that places increased emphasis on customer
needs. Companies reduce organizational layers and eliminate unproductive
activities in two key areas. First, they redesign functional organizations into
cross-functional teams. Second, they use technology to improve data
dissemination and decision making.
How Business Process
Reengineering works:
Business Process
Reengineering is a dramatic change initiative that contains five major steps
that managers should take:
·
Refocus company values on customer needs
·
Redesign core processes, often using information technology to
enable improvements
·
Reorganize a business into cross-functional teams with end-to-end
responsibility for a process
·
Rethink basic organizational and people issues
·
Improve business processes across the organization
Companies use Business
Process Reengineering to:
·
Reduce costs and cycle times. Business
Process Reengineering reduces costs and cycle times by eliminating unproductive
activities and the employees who perform them. Reorganization by teams
decreases the need for management layers, accelerates information flows and
eliminates the errors and rework caused by multiple handoffs.
·
Improve quality. Business
Process Reengineering improves quality by reducing the fragmentation of work
and establishing clear ownership of processes. Workers gain responsibility for
their output and can measure their performance based on prompt feedback.
CASE STUDY: Ford (USA)vs Mazda (Korian)
Achievement Principal
Dramatic out put 80%
r redisgn start from scratch
F undamental redo why you do what you do
4 aspects to see BPR
Quality
cost
Speed
service
organization wise commitment
team compose
business need assessment
IT infrastructure
Effective change mangment
CASE STUDY: Ford (USA)vs Mazda (Korian)
Achievement Principal
Dramatic out put 80%
r redisgn start from scratch
F undamental redo why you do what you do
4 aspects to see BPR
Quality
cost
Speed
service
organization wise commitment
team compose
business need assessment
IT infrastructure
Effective change mangment
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