FAQs on Business Process Re-engineering
Business process reengineering is a practice to redefine, redesign, rethink, and reorganise the work process of an organization aiming at the improvement in organization, customer satisfaction, and reduction in cost. In simple terms optimization of processes for the benefit of an organization
Following is the process of Business process reengineering
- Defining objectives and framework of BPR
- Refocusing the values of an organization towards customer satisfaction.
- study of existing processes to identify all shortcoming that existing processes possess.
- Formulate or redesign the business process
- Implementation of redesigned business processes.
- re-evaluation of new processes arises.
- BPR is a continuous process to make continual improvement.
The automobile manufacturing Company FORD implemented the BPR in their accounts payable division when compared to the same department in their partner company MAZDA.
This was analyzed and followed and was a huge success.
The objective of business process reengineering is optimizing the inefficient processes in an organization with an aim of improvement in the organization along with customer satisfaction at a reduced cost. Also, these processes should be such that they can be repeated and should add value to the organization
We can consider any tool for BPR if it has following 5 features:
- Integrated enterprise models
- Analysis (problem-solving capability)
- Software functionality
- Visualization and Communication
- Intended Users
BPR analyses the company’s workflow finds such processes which are inefficient in terms of cost or are irrelevant to the goals of the organization and then identify the ways and means to eliminate, change or replace such process
The list of advantages of a well planned and successful BPR is endless such as faster processing time, higher employee retention, reduced cost, improved customer service, increased revenue, etc.