BUSINSS PROCESS RE-ENGINEERING

BUSINSS PROCESS RE-ENGINEERING - KENNEDY OKWACH OGWENO...

Info icon This preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
KENNEDY OKWACH OGWENO MBA/2015/29736 Business Process Reengineering 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. Usage and satisfaction among survey respondents How Business Process Reengineering works: Business Process Reengineering is a dramatic change initiative that contains five major steps. Managers should: Refocus company values on customer needs Redesign core processes, often using information technology to enable improvements
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
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: Companies use Business Process Reengineering to improve performance substantially on key processes that impact customers. Business Process Reengineering can: Reduce costs and cycle time. 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. The concept of business process reengineering (BPR) is to rethink and break down existing business processes. This allows a company to reduce costs and improve productivity through newer, more efficient processes. It is important to remember however, that though there are instances where this is necessary, business process reengineering is not without its disadvantages. This makes it vital to weigh your decision carefully. One of the most obvious adverse effects of a company’s decision to reengineer is a lowered employee morale. Most people are vary of change and do not manage to adapt to it easily. This aspect needs to be kept in mind when trying to make the decision to go through with the activity.
Image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern