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Chapter 13 - Part1 SystemsasaSourceof Organiza6onalChange...

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Produced by Dr. Brian Janz •1 Part 1: Systems as a Source of Organiza6onal Change Learning Objec6ves Demonstrate how building new systems produces organiza6onal change Iden6fy and describe the core ac6vi6es in the systems development process Describe the principal methodologies for modeling and designing systems Compare alterna6ve methodologies for building informa6on systems Iden6fy and describe new approaches for system building in the digital firm era
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Produced by Dr. Brian Janz •2 IT‐Enabled Organiza6onal Change Automa6on Increase efficiency, replace manual tasks Ra6onaliza6on Streamline standard opera6ng procedures Business process reengineering (BPR) Analyze, simplify, and redesign business processes Paradigm shiOs (radical BPR) Rethink nature of business, define new business model, change nature of organiza6on Business Process Reengineering (BPR) Large payoffs can result from redesigning business processes Home mortgage industry used IT to redesign mortgage applica6on process BEFORE: 6‐ to 8‐week process cos6ng $3000 AFTER: 1‐week process cos6ng $1000 Replaced sequen6al tasks with “work cell” or team approach Work flow management: Process of streamlining business procedures so documents can be moved easily and efficiently
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Produced by Dr. Brian Janz •3 Business Process Reengineering (BPR) Steps in effec6ve reengineering Determine which business processes should be improved Must avoid becoming good at the wrong process Understand how improving the right processes will help the firm execute its business strategy Understand and measure performance of exis6ng processes as a baseline Even with effec6ve BPR, majority of reengineering projects do not achieve breakthrough gains because of inadequate change management Business Process Improvement (BPI) Helps firms manage incremental process changes Uses process‐mapping tools to: Iden6fy and document exis6ng processes Create models of improved processes that can be translated into soOware systems Measure impact of process changes on key business performance indicators
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Produced by Dr. Brian Janz •4 BPI (con6nued) BPI includes: Work flow management Business process modeling nota6on Quality measurement and management Change management Tools for standardizing business processes so they can be con6nually manipulated Process monitoring and analy6cs To verify process performance has improved and measure impact of process changes on key business performance indicators Total Quality Management (TQM) Fine‐tuning business processes to improve quality in their products, services, and opera6ons The earlier in the business cycle a problem is eliminated, the less it costs the company Quality improvements raise level of product and service quality as well as lower costs Everyone is expected to contribute to improvement of quality Focuses on con6nuous improvements rather than drama6c bursts of change
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Produced by Dr. Brian Janz
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