LSS&BE – 19MO42 / 19PO42

S. Krishna Kumar(KK)
IV Trimester - July ‘20 – Oct ‘20 – Session 22 – 28th Sep’20
Welcome to Class – th Sep

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 Recap of Class 21 on 23rd Sep’
(Pl use chat window )
1. What is BPR and why is it attempted ?
2. What are the four keywords in BPR ?
3. What are the four key elements of BPR ?
4. What are the six basic constituents of BPR process ?
5. What are the various steps of BPR implementation ?
6. What are the organizational benefits of BPR ?
7. What are the pitfalls to make note during BPR process ?

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BPR – Case Study
1. Company ABC is engaged in the process of
transforming food into cereal products .From their
farm, it is transported to factories and then
distributed. On a review it loses almost 20% of the
grains harvested during transportation from farms to
the factories, located near the consumption areas.
2. A multi locational restaurant Chain ( within a city)
has good varieties prepared at all locations but stuck
with food wastage at the end of the day to the extent of
18% during a cost review
As BPR champions design a better way to serve the
customers and be competitive with same profit
levels
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Benchmarking ( what & why )
Benchmarking is a process of
Measuring the performance of a company's products,
services, or processes
Against those of another business considered to be the
best in the industry, aka “best in class.”
Purpose is to identify internal opportunities for
improvement.
Also fine tuning the strategy towards external
environment.
Saves time on invention and validation ( independent
of innovation which is essential !)

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Types of Benchmarking
Internal
- With another department within the company
- With another company within the group
- With another company in sister / associate companies
Competitive
- With another company who is a competitor (practices)
- With another company who is a market leader
- With another company in similar product group
- Local / Domestic / International

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Types of Benchmarking ………………..
Functional
- A specific function ( finance ) with companies in the
domain
- A specific function with companies in the product group
- A specific function with companies outside domain
General
- Business strategy with a different company in related
domain
- Similarly outside the domain
- Best practices in selected areas eg. Financial management

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Benchmarking Process

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SWOT Analysis

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Benchmarking process

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Advantages of Benchmarking

Video : https://www.youtube.com/watch?v=AkGwJSlkpfY

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 Limitations of Benchmarking

•Lack of information – Inadequate information leads to errors

•Increased dependency-Sacrificing individuality & uniqueness
•Lack of understanding– Just for the sake of it w/o necessity
•Copying others-Blindly copying w/o knowing the strategy
•Incorrect comparison – Making inappropriate comparison
•Costly affair –Underestimating funds for personnel & resources

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 Benchmarking – Class Exercises (Group)
1. You are into retail stores selling groceries (Brand UV)
2. You are into readymade garments business(Brand RR)
3. You are into high end boutique restaurant
Sl.No Parameter Competitor Remarks Action Plans

Pl do a benchmarking with your leading competitors

and list down the parameters

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Balance Score Card
What is it ?
It is a strategic and performance management
framework in four broad parameters ( covering all
major activities )
Why is it used ?
To keep track of execution of activities vs plan
What are the gaps
Leads to the reasons , countermeasures , action plans

Video : https://www.youtube.com/watch?v=OZtNk__7Qyg

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Balance Sore Card – Simple terms

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 Balance Score Card - Metrics

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BSC – Class exercise (Group)
Come up with 3 metrics in each of the four parameters
for the following businesses

1. Automobile manufacturing unit

2. Electronics manufacturing unit

3. IT enabled service

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 Checks for Understanding
(Today’s class ) – Chat Box
Benchmarking – What , why , types , stages , advantages , limitations

BSC - What , why , in simple terms . metrics

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Thank You.

See you in the next class

th
– 30 Sep ’20
( case studies)

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