REDESIGNING SERVICE PROCESSES

WHAT IS BUSINESS
PROCESS REDESIGN (BPR)?
The term business process redesign
refers to a complete overhaul of a
company's key business process
w i t h t h e o b j e c ti v e o f a c h i e v i n g a
quantum jump in performance
measures such as 
r e t u r n o n i n v e s t m e n t  ( R O I ) , c o s t
r e d u c ti o n , a n d q u a l i t y o f s e r v i c e .

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 WHY
•R e v i t a l i z e s p r o c e s s t h a t h a s b e c o m e o u t d a t e d

REDESIGN?
• Ch an ge s in exte rn al e nv iron m e nt m a ke
e x i s ti n g p r a c ti c e s o b s o l e t e a n d r e q u i r e
redesign of underlying processes

• R u s ti n g o c c u r s i n t e r n a l l y → N a t u r a l
d e t e r i o r a ti o n o f i n t e r n a l p r o c e s s e s ; c r e e p i n g
b u r e a u c r a c y ; e v o l u ti o n o f s p u r i o u s , u n o ffi c i a l
standards.

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WHY REDESIGN?

"Institutions are like steel beams-they

tend to rust. What was once smooth and
shiny and nice tends to become rusty.“

Mitchell T. Rabkin, MD, former president of Boston's

Beth Israel Hospital

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ACHIEVE THESE
PERFORMANCE
MEASURES:
→ REDUCED NUMBER OF
S E RV I C E FA I L U R E S
→ REDUCED CYCLE TIME
F R O M C U S TO M E R
I N I T I AT I O N O F A S E RV I C E
P R O C E S S TO I T S
COMPLETION
→ ENHANCED
PRODUCTIVITY
→ I N C R E A S E D C U S TO M E R
S AT I S FA C T I O N

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PROCESS REDESIGN: APPROACHES AND
POTENTIAL BENEFITS
PROCESS REDESIGN: APPROACHES AND
POTENTIAL BENEFITS

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 L I M I TAT I O N S O F B U S I N ES S P R O C ES S
R E D ES I G N

It may entail a large number of job

redundancies or layoffs.
It assumes that faulty business
processes are the main reason for
the company's poor performance
when other factors may also be
responsible for under-performance.