Week 5 – Business Process Reengineering

Week 5 – Business Process Reengineering
Source / Reference:
1) BPR Critics – Computer World by Davenport 2003
2) BPR Tutorial JOM by Grover Malhotra 1997
3) http://www.prosci.com/index-bpr.htm

Subject:
In Lect 5 – What kind of firms need BPR?

  In this lecture, I learned the basis of BPR. Business process is one of the key factors when carrying BPR. Once business processes are defined inaccurately, it may causes downsize of the company but the organization’s performance cannot improve. As a result, ‘P’ in BPR should focus on essential processes but not only to reduce business processes.

  In my opinion, there are three type of organization can take advantage of BPR. Firstly, organization that is in difficulties needs reengineering to overcome the hurdles. As Grover and Malhortra [1] stated, BPR can results in dramatic productivity improvements, cost reduction, efficiency gains and etc. Therefore, a successful BPR can improve the survival chance if they can carry out effective BPR.

  Secondly, organization that has a satisfactory financial state can make use of BPR. This kind of organization may not have problem in current situation. However, BPR may reduce the cost and improve efficiency. Then the organization can take advantage of BPR to increase their market shares or prepare for the future situation.

  Thirdly, BPR can increase the competitive force of an organization. Some companies are aggressive enough to promote to a higher level. BPR is an appropriate mean to achieve their goal. An effective BPR can make these organizations on the top. With improvement in productivity, the market coverage can also be increased. As a result, BPR can significantly enhance the profitability of the organization.

  In conclusion, after I have read some successful and failure cases, I realize that the BPR concern with ‘how to do’ in business process. We must understand the business thoroughly before we carry out BPR. We may omit some key processes when we do not know that field of business well.

Besides, critical thinking is very important in BPR. Due to the organizational culture, employees may be reluctant to adapt changes in BPR. They see many processes as elementary but somehow they can be redesigned. Therefore, critical thinking can help the business process more efficient and effective.