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Business Process Reengineering (BPR) Bangalore, 7 th September, 2007 What is BPR? Reengineering...the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures
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Business Process Reengineering (BPR) Bangalore, 7th September, 2007
What is BPR? Reengineering...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. —Reengineering the Corporation, Michael Hammer & James Champy • BPR impacts four dimensions of an organization – • Process • Technology • Organization Structure • People
What is BPR? • What it isn’t… • What it is… • Fundamental change in the way we operate • Revolutionary • Leveraging best practices and enablers • Multi-dimensional, integrated solution • Overlaying new software on top of the same business processes • Evolutionary • Downsizing • Merely reorganizing and restructuring Today firms must seek not fractional, but multiplicative levels of improvement – 10X rather than 10%. Such radical levels of change require powerful new tools that will facilitate the fundamental redesign of work. - Process Innovation, Thomas H. Davenport
What are the key drivers of BPR? • Competitive landscape • Response to changing client expectations • Macro economic factors … changes to the availability, cost and quality of inputs • Regulatory changes
Monitor and Improve Plan BPR Project BPR Approach Transition and Change Management Assess As – Is Processes Design To – Be Processes Approach
Typical Success Factors • Clear Vision – Focus on outcome • Top Down Approach – Senior Leadership Commitment • Project Scoping, Planning & Change Management • Pilot the solution before full scale implementation
Typical Pitfalls • Lack of Alignmentamongst stakeholders • Lack of Communication rigor • Incorrect estimation of the scope and impact of change • Solution not piloted • Emphasis on technology over process