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Monday, January 23, 2012

Business process re engineering (BPR)

BPR is rethinking and redesign of business processes to achieve improvement in cost, quality, service and speed.

Factors that motivate for re engineering:
a). Customers
  - Demanding
  - Sophistication
  - Changing Needs
b). Competition
  - Local
  - Global
c). Change
  - Technology
  - Customer Preference

Key Characteristics of BPR:

a). Process-based (BPR initiatives must add value above the existing process & must meet the needs of the customer)

b). People centred

c). Focus on End-customers

d). Radical improvement - (Process improvements will not happen over night they need to be gradually introduced)

e). Integrated change - (Process improvement must be realistic and practical.)

Implementing BPR Strategy:
1. Select the process and appoint process Team -
   TIP -> Select a process - (Understand customer needs, Select core processes, Ask questions, Organize
               meetings and don't assume anything)
   TIP-> Appoint a process team - (Appoint BPR champion, Identify process owners,Establish executive
              improvment team, Provide training to Executive team)
 2. Understand the current process - (Develop a process overview, clearly define the process{Mission, scope, boundaries},Understand customers expectations, Identify improvement opportunities).
3. Develop and communicate vision of improved process
4. Identify Action Plan
5. Execute plan

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