Ramkumar.K 12MBA036
procure, record and transmit for execution 2. Customer Service Was error-prone, time consuming and suffered from stockout problems. 3. Customer Feedback Was not regular, and even when it did take place was done only on sampling basis.
Changes to be made
Instead of having three points of contact with the
customer, namely Sales Executive, the Service and Installation Technician and the Market Researcher, there will be only a Customer Executive who will perform all the functions.
Instead of an expensive and time consuming hierarchy
involving branch offices, regional offices and then several layers at the Corporate Office, there will only be Office-Cum-Depots having direct communication with the Marketing Manager at the Corporate Office.
All Customer Executives are being provided with
handheld computers which can be used for booking orders, for providing help during installation and service and for recording customer responses and feedback.
Principles of BPR
Organize around Outcomes, not the task. Identify all Processes and Prioritize them in order of
redesign. Integrate information processing work into real work that produces the information. Treat geographically dispersed resources Link Parallel activities to integrate the results. Put the decision point where the work is performed, and build the control into the process. Capture information once and at the source .
Develop Vision
Define Process
Measure Process
Identify IT Lever
Prototype
The organization should focus on the future competition, products and customer expectations, and the plan model to succeed in the environment. This first step recognizes following:
Market/Customer driven Business Vision and Goals Achievement of business vision may involve reengineering of more than one process Process attributes (cost, quality, time etc.) and process measures (half the cost, in a day etc) need to be derived.
each process across all executives, clerks and workers involved in the execution of the respective processes.
Ask probing questions in order to obtain clarity on
orders
Red alert (y days) to CEO for unfilled orders Spare lie in stock for more than z months, red
alert to CEO
Step 2: Contd
Performance metrics are measured.. Planning lead time committed for orders,
percentage of delayed deliveries Production yields and efficiency, capacity utilization Shipment Cost of shipment If no value to customer No reengineering This step helps to create an early vision of the reengineered process for the departments covered by the process.
system works, and find, whenever possible, the current process measures available. Otherwise, poor performance levels of the existing process may inhibit us.
Example: 50% of the orders were termed complex or
4: Identifying IT Levers
4: Identifying IT Levers
Every effort in reengineering is also an initiative in
process improvement. Reengineering can be differentiated on the basis of two factors: 1. Reengineering should lead to a dramatic improvement in process performance on the selected measures. 2. Reengineering should end up achieving process destruction through effective or innovative deployment of IT. Need to visualize scenarios where IT could be wisely deployed to drastically simplify the process.
valuable time and invaluable thoughts on visualizing the reengineered processes, simultaneously, owners who would construct the reengineered processes are created. This is action. This final stage of implementation is unique to each organization and project because it involves issues that are multi-dimensional in nature Issues relating to managing technology
Changing peoples attitudes and mindsets Creating new organization structures and Managing the entire change process
Contd
It would be difficult for people who were managing
the earlier system to adapt themselves to a new revolutionary way of doing things.
Prototype prove to be very valuable in working on
mindsets as they provide a learning environment for people to adapt to the new system.
Prototypes always need tuning, more tuning,
and still more tuning and that makes the job of implementation considerably easy and smooth.
BPR Drivers
ICT Developments (info, commu, tech)
Broken Processes.
Local, Global & Faster Competition Rising overhead costs. Shorter product life cycles Stagnant business conditions Unsatisfied Customers.
Do we need to reengineer this business operation? What is the end vision of the results of our reengineering? What is the detailed design for our reengineered business operation?
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This method for improving business processes is effective to obtain gradual, incremental improvement
Defining the scope and objectives of your reengineering project, Learning process (with your customers, your employees, your competitors and non-competitors, and with new technology). Create a vision for the future and design new business processes. ("to be" state) Create a plan of action based on the gap between your current processes, technologies and structures. Implementing your solution.