Date post: | 10-Jun-2015 |
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Business process Reengineering
Presented by- group 4
Kshitij singhGinil vincent
Sree deep mukherjeeAamir altaf
Shantanu kumar
Definition Business process reengineering is the process of rethinking and radical redesigning of the business process to achieve dramatic improvements in critical, contemporary measures of performance such as cost ,quality, service and speed.
What to reengineer
BPR changes processes and not functions, departments, geographies or tasks.
What it is not
Reengineering is not reorganising. Modifying how an organisation is structured and redesigning
an organisation’s business processes are two different things. An organisation structure should be designed so that it best
supports redesigned business processes.
Reengineering is not downsizing either. Downsizing refers to the reduction of the workforce to
achieve short term cost- savings. Reengineering on the other hand focusses on rethinking from
the ground up, finding more efficient ways of working including eliminating work that is unnecessary.
Reasons for reengineering
old era new era high demand high competition.
efficiency control innovation ,speed, service and
quality.
Benefits of reengineering
Empowering employees. Eliminating waste, unnecessary
management overhead, and obsolete or inefficient processes.
Producing often significant reductions in cost and cycle times.
Helding top organisations stay on top and low achievers to become effective competitors.
Reengineering imperative in U.S.A
Business climate made reengineering necessary in U.S.A.
Business face so many troubles like:
Assembly line model of production, where customer waited in line for delivery.
Competition within the country is very low. Global competition was largely non-existent.
continued
Japanese organisations entered into USA market.
Japanese were too smart, they move small market into world markets with extraordinary quality and manufacturing philosophy. They cut out necessary waste like:
Safety stock inventories. Multiple suppliers. External inspection. Low cost in regular basis. High quality.
Japanese paradigm
US adopted japanese paradigm because of: They realised that economies of scale is not
important as economy of time. They opted for flexibility and multi- skilling
techniques in work –culture and this created the ability to respond i.e discard old and narrow focussed to new innovation works.
Customers response became the primary objective rather than the growth alone.
Instances of RE in India
In year 1997, Major BPR in customer- ordering, services functions Manufacturing and marketing. Conducting market research in six months to know customer
feedback on their products and general view on market needs. Performance level of three major process:
Customer ordersCustomer service
Customer feedback Three points of customers:
Sales executive Installation technician
Market researcher
Instances in RE in India
Leasing and financing company. Manufacturing company. News paper publishers.