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g It is a structured, measured set of activities designed
to produce a specified output for a particular customer
or market. It implies a strong emphasis on how work is
done within an organization" (Davenport 1993). 
g Processes may be defined based on three dimensions
(Davenport & Short 1990): 
V Ô : Processes take place between
organizational entities. They could be:
 Inter-organizational
 Inter-functional or
 Interpersonal
V G   : Processes result in manipulation of
objects (output). These objects could be:
 Physical or
 Informational
V u   : Processes could involve two types
of activities:
 Managerial (e.g. develop a budget)
and
 Operational (e.g. fill a customer
order).
c   
  
g A set of logically related tasks performed to achieve a
defined business outcome. Davenport & Short (1990)




c   
    
g •    
      
    
      


c   
     
g The critical analysis and radical redesign of existing
business processes to achieve breakthrough
improvements in performance measures. Teng et al.
(1994)
g A structured approach by all or part of an enterprise to
improve the value of its products and services while
reducing resource requirements. (Also referred to as
Business Process Improvement (BPR), Business
Process Redesign, and Functional Process
Improvement.)
g Reengineering is the fundamental rethinking and
redesign of business processes to achieve dramatic
improvements in critical, contemporary measures of
performance, such as cost, quality, service and speed.
(Hammer & Champy 1993)

    


  
g Business processes are sequences and combinations of business
activities. They break into:
V Ô 
  G 
Customer facing processes, that deliver products and services
of Value to the Customer examples:
 Get Order
 Develop Product
 Fulfil Order
 Support Product
V Œ
  
Processes controlling and coordinating the organization's
activities to ensure that business objectives are delivered.
V Examples:
 Make Strategy
 Set Direction
 Manage
V x 
   
Processes provide infrastructural and other assistance to
business processes.
V Examples:
 IT
 Financial Systems
 HR Systems
V u       
    
 {!-   Processes 
 G  Processes

 "
  u   
g •   , i.e., customers, inputs, outputs, due dates... 
g ! : Volumes, cycle times, queuing delays, information flows... 
g G # x  : Functional units, measurements and
incentives, feedback and monitoring
$  For Key processes we should identify:
g   End of the process
g Process x{  
g Process G!
g Process
   

   
  %    


a  u  •   
 
a. Strategy and Business Plans
b. Organization Structure
c. Business Process
d. Business Information Technology
e. Organization Culture

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http://en.wikipedia.org/wiki/Business_process_reengineering

g M   M Ô 


One of the main goals of introducing BPR is to get a
M Ôand that can only be gained by providing
the customers more than what the others in the market are
asking for.

g Ô   

How effective is the product or service that the business or


manufacturing company providing the customer?

g Ô  

How efficient is the company that is manufacturing the product


before introducing it to the market to maximize costs? This is
one of the key categories that is believed to be more important
than any others.

D  
     M  
  &c''  

D c
  (! 
g Externally,       and the
generation of greater  for customers.
g Give customers and users      
    through which they can use
whatever resources and people are relevant to their
needs and interests.
g Internally, focus on    which    
  .
g Encourage learning and development by building
creative working environments.
g Concentrate on ! and     (including
communication) through the organization. 
g      
g Undertake parallel activities 
g x     and development times 
g M          
g w             rather than the
maintenance of management control.
g Keep the number of core processes to a minimum
(approx. 12).
g They all should be directed to external customers.
g Ensure that continuous improvement is built into
implemented solutions.
D )%G #
(!
g Network related people and activities. Virtual
corporations are becoming commonplace in some
business sectors.
g Implement work teams and case managers
extensively throughout the organization.
g Move discretion and authority closer to the customer,
g Re-allocate responsibilities between the organization,
its suppliers and customers.
g Encourage involvement and participation. This
requires error-tolerant leadership.
g Ensure people are equipped, motivated and
empowered to do what is expected of them.
g Where ever possible, people should assume full
responsibility for managing and controlling
themselves. This requires planning skills.
g Work should be broadened without sacrificing depth of
expertise in strategic areas.
g Avoid over-sophistication. Don't replace creative
thinking with software tools.
g Build learning, renewal, and short feedback loops into
business processes.

‰ *xu   


  
g Understand
g Simplify
g Automate

' x +   


http://www.dmem.strath.ac.uk/CSM/TQML/TQM9 12.pdf
g What are the objectives of the process ?
g Are these objectives in line with the corporate objectives ?
g Do you need the process ?
g What value does it add to the corporate mission, vision or strategy ?
g Who are the customers of the process ?
g What are the customers requirements ?
g Does the process meet the customers requirements ?
g What problems does the process have in meeting its customers
needs?
g Who are the suppliers of the process ?
g Have told them the requirements of the process ? Are these correct ?
g Does the suppliers meet the specified requirements
g Is the process efficient ? - Value Engineering / Analysis
g Is there any waste in the process ? - How can we eliminate it ?
g Who is responsible for the process ?
g Who else could do it ?
g Is the responsibility located correctly ?

c,     


g Brain storming
V http://www.isixsigma.com/tt/brainstorming/
g Genopersistation
V GENOPERSISTATING THE SYSTEM Edwin B. Dean * NASA
Langley Research Center Hampton VA
g Functional analysis
V http://home.btconnect.com/managingstandard/semp42.htm
g QFD Quality Function Deployment
V http://www.isixsigma.com/tt/qfd/
g Comprehensive QFD
V http://www.qfdi.org/who_is_qfdi/newsletter_archive/
comprehensiveQFDwithVAVE_2002hayes.htm
g Systematic Diagram
V http://quality.enr.state.nc.us/tools/systematic.htm
g Story-boarding
V http://members.optusnet.com.au/~charles57/Creative/Techniq
ues/storyboard.htm
g Requirements Engineering
V http://www-dse.doc.ic.ac.uk/~ban/pubs/sotar.re.pdf.
g Configuration Management
V http://www.icmhq.com/CMII White Papers/CMII_Model.pdf
g Guidelines and checklists for reengineering project teams
g BPR software
V http://www.infogoal.com/dmc/dmcprc.htm

cc    


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http://www.prosci.com/w_2.htm

x  Re-  


Process engineering Break-Point
Improvement Achieving ×


×  Best-In-Class
×
 
 × × 

 × 
singlefunction.
Projects
single
tasks,activities
and  at
or
areisolated
aimed
•  
Example 1.1: Example 1.2.:  Example 1.3.:
Eliminate costly Reengineer A company uses
paper work by the sourcing a digital voice
introducing an process to recording system
e-mail system ensure that the to streamline its
to internal lowest cost acquisition
communication.  suppliers are process, and to
being selected.  improve
communications 
•  
functional
processes,
contained 
but cross
Projects target
businessunit.
business
withina
are
Example: 2.1: Example 2.2.: Example 2.3.:
A bank has Introduce self- A bank dissolves
created a directed work all existing 120
simplified, one teams to the branches, and
page form for order introduces an
loan management extremely user-
applications for process in a friendly direct
those manufacturing banking system
customers, company.  on the Internet. 
seeking up to
US$ 60k. 
between two
thecompany
businessunits,
Projects
customers
suppliers.
bridge
and
and
ormore
such 
itsas
•  #
Example 3.1:  Example 3.2.: Example 3.3.:
Link up with one Reengineering An automotive
particular the delivery company
vendor for cost process externalizes all
saving between a employees,
purposes in german except a staff of
product design machine thirty people.
and parts manufacturer Former
delivery (single and all its employees turn
source European into
concept).  automotive entrepreneurs
parts suppliers and form a
(just-in-time network of
processes).  suppliers together
with other
vendors. 

g Break-Point projects of type 2.3. and 3.3. are rare, due to high implementation
risks associated with large-scale projects
g Small scope project type 1.1. may not classified as a Business Reengineering
project at all

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4. Information 6. Implementation
2. Identification
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)- !   
 2. Identification Design
4b. Social Design

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1. Project Initiation &. /  Transition
KODAK 5. Change 
 5. Change
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g Both TQM and BPR share a cross-functional orientation.
g TQM focuses on incremental change and gradual improvement of
work processes and outputs over an open-ended period of time. BPR
seeks radical redesign and drastic improvement of processes a
bounded time frame.

  •  +Œ   
  • 
  
  c''& cc



  •  
  • 
 +Π 


Level of Change Incremental Radical


Starting Point Existing Process Clean Slate
Frequency of Change One-time/Continuous  One-time
Time Required  Short  Long
Participation  Bottom-Up  Top-Down
Typical Scope  Narrow, within functions  Broad, cross-functional
Risk  Moderate High
Primary Enabler  Statistical Control Information Technology
Type of Change  Cultural Cultural/Structural

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g Six Sigma is a new and improved BPR which has been reworked,
reanalyzed and renamed for the employees¶ sake.

cD GÔ
  
g
  
g x 
V Opportunity Analysis
V Utilization of Root Cause Analysis
 Identify Priorities
 Survey Planning Best Practices 
 Survey Sourcing Best Practices 
 Survey manufacturing Best Practices 
 Survey Logistics Best Practices 
 Identify Best Practice business impact
 Conduct Business Relevancy Analysis 
V Design To-Be Blueprint
 TO BE Geographic Map
 TO BE Thread Diagram
 TO BE Information Flow 
 TO BE Work Flow 

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c‰    M 
g (tm)com .Brint @ :Innovation &BPR Business Process Reengineering 
Many articles and links 
g consultants ,education ,BPR Training courses 
Business Processes Resource Centre. 
g The BPR Online Learning Center
The BPR Online Learning Center is a comprehensive directory and
resource guide for business process reengineering teams. The
learning center offers an index of articles from around the world, an
online tutorial series, benchmarking studies, yellow pages for BPR
resources and information on reengineering toolkits and templates for
project teams. 

c'    
g Reengineering Methodology and Framework 
g ,(Article )An Overview :Business Process Redesign Dr. Yogesh
Malhotra, Founders of the BRINT Institute © 
g Chapter 2 - Managing Barriers to Reengineering Success - Wolf D.
Schumacher
g Learndatamodeling.com
g Business process reengineering - Wikipedia, the free encyclopedia
g Process Management for Continuous Improvement, Quality Solutions
Inc.
g WIZDOM GLOSSARY OF TERMS for your Business Process
Reengineering or Knowledge Management Project
g Workflow and Reengineering International Association (WARIA) 
Their stated focus is to assist those who are in the process of
reengineering their organizations. 
g World's Best Quality & Best Practice Resources 
Links to world best quality resources & top best practice management
web sites. 
g Caron, M., Jarvenpaa, S.L. & Stoddard, D.B. (1994, September).
"Business Reengineering at CIGNA Corporation: Experiences and
Lessons Learned From the First Five Years," Π 
  , pp. 233-
250. 
g Centre for Strategic Manufacturing
g BP Trends, Publications and Book Reviews
This community is focused on redesigning and improving existing
processes and in creating new business processes. Individuals
interested in this community focus on methodologies like Rummler-
Brache, IDEF, SCOR, Six Sigma, and LOVEM, and on tools to assist
in modeling As-Is and To-Be processes.