Business Process Reengineering is the radical redesign of the business processes to achieve dramatic improvements in terms of time, cost, output, quality, and responsiveness to customers.
BPR believes to think over existing processes to deliver more value to the customer. BPR enforces the organisation to remove unproductive processes and ensure effective business processes.
The major purpose of business process re-engineering is to make dramatic improvements in productivity and performance, cost reduction, quality and customer satisfaction. For details, please refer my previous article: Business Process Reengineering.
Simply knowing BPR does not make any difference. Success of BPR is solely depend on how emphasise you put in implementation. Let me discuss what should consider while implementing BPR.
Before implementing BPR, organisation should have a framework or a model for the continuous improvement on the business processes. This model guides the organisation to understand and measure the current processes, and make performance improvements.
Further, there is also strong perception that the current processes are inefficient and irrelevant in BPR, In this case, existing processes have to completely redesign.
Prior to the implementation of BPR, organisations have to determine their objectives and should undertake analysis of expected business processes whether it is relevant or not.
After understanding the ultimate goal of business organisation, it creates a vision for the future and designs new business processes.
As a result the organisation will have two processes ie. current processes and proposed processes. And because of this, there will be a gap between this two processes. And BPR creates a plan of action based on the gap between the current and proposed processes, technologies and structures.
Determining objectives and Framework:
Firstly, organisation has to blueprint its objectives that it wants to realise from the BPR. So, it helps the organisation to focus on steps that should undertook in sequence for the process reengineering.
Identify customers and determine their needs:
While drafting business processes, organisation have to know market and customers. Business processes shall largely influenced by customers taste and preferences, their purchasing power etc. because the purpose of redesigning business process is to provide added value to the customer.
Study the existing process:
The existing processes provide a base for the redesign of business processes. This facilitates the comparison of targeted processes which ultimately helps in removing the defects in the existing processes.. However, some organisations go through the reengineering process with clean perspective without laying emphasis on the past processes.
Formulate a redesign process plan:
The information that an organisation gain shall provide the road map to generate the alternatives. Formulation of redesign plan is the real crux of the re-engineering efforts. Customer focused redesign concepts are identified and formulated. In this step alternative processes are considered and the best is selected.
Implementing the redesign:
It is the final step as this is a step where an organisation determines how would be the business processes. Implementation of the redesigned process and application of other knowledge gained from the previous steps is key to achieve dramatic improvements. It is the responsibility of the organisation to operationalise the new process.
By implementing BPR, an organisation realizes improved productivity and attention to quality control.
If you have any queries, please feel free to comment.
Thank You.