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ICTMC - Business Process Re-Engineering 2023 v3

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25 views20 pages

ICTMC - Business Process Re-Engineering 2023 v3

Uploaded by

Mics Estrada
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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PCOL RUBEN B BORRES

C, IT Program Management Division, ITMS


Change:
History:

▪ In 1990, Michael Hammer, a


former Professor of Computer
Science at the Massachusetts
Institute of Technology (MIT),
published the article “Re-
engineering Work: Don't
Automate, Obliterate” in the
Harvard Business Review, in
which he claimed that the major
challenge for managers is to
obliterate forms of work that do
not add value, rather than using
technology for automating it.
Definition:

▪ Process ~ A process is a cross-functional interrelated series of


activities that convert business inputs into business outputs
Definition:

▪ Business Process ~ A group of logically related tasks that use


the firm's resources to provide customer-oriented results in
support of the organization's objectives
Why?!?
Definition:

▪ Business Process Re-engineering ~ is the fundamental


rethinking and redesign of business processes to achieve
dramatic improvements in critical, contemporary measures of
performance, such as cost, quality, service and speed.
- (Hammer & Champy, 1993)
BPR:
Business process reengineering is the act of recreating a core business process
with the goal of improving product output, quality, or reducing costs

In Business Process Reengineering, Typically, it involves the analysis of


companies start with a BLANK company workflows, finding
SHEET of paper and rethink existing processes that are sub-par or
processes to deliver more value to the inefficient, and figuring out ways to
customer get rid of them or change them
BPR AND PROCESS IMPROVEMENT:
Improvement Innovation/Reengineering
Magnitude Increment Radical

Improvement 30-50% 10x-100x


Sought

Starting base Existing Process Blank skeet

Top management Relatively low High


commitment

Role of IT Low High

Risk Low High


QUALITY PRODUCTS:
Who defines Quality?

Raw Materials? Product Endorsement Standard (Same)


Finish Product? Signature Products Design
Brandname Authentic/Uniqueness
WHY BPR?
Questions?

❑What does the customer need?, operations are necessary? Can some
operations be eliminated, combined, or simplified?
❑Who is performing the job? Can the operation be redesigned to use
less skill or less labor? Can operations be combined to enrich jobs?
❑Where is each operation conducted? Can layout be improved?
❑When is each operation performed? Is there excessive delay or
storage? Are some operations creating bottlenecks?
❑How is the operation done? Can better methods, procedures, or
equipment be used?
❑WHY? To be the leader!
Why BPR? IT IS FOR CUSTOMERS!

Their needs:
❑Demanding ~ Quality services and products
❑Sophistication ~ Knowledge acquired and competitions
❑Changing Needs ~ Due to new culture and trends
Why BPR? IT IS FOR COMPETITION!

TO HAVE EDGE IN THE MARKET:


❑Local ~ Local market global brands
❑Global ~ Global competitors
Why BPR? IT IS TO COPE WITH CHANGE!

CHANGING ENVIRONMENT:
❑Technology ~ Global technologies
❑Customer Preferences ~ Convenience, quality products, fast services
and local supports

✓ E-Commerce

✓ Product and Service Reviews

✓ Influenced by others online


Why BPR?

CHANGING ENVI:
❑Environment ~ Global
pandemic or the
“New Normal”
No BPR means – Failure! RISK VS OPPORTUNITY

❑Complacency ~ Business as usual?


❑Resistance ~ Resistance to change
❑New Developments ~ Overtaking development of products and
services (innovative products and services)
❑Fear of Failure ~ Failure of change adaption and new products and
services
Why?

❑Cost ~ Lower cost of


production
❑Quality ~ Higher quality
of products
❑Service ~ Faster and
friendly services
❑Speed, improvements ~
Faster delivery of
products and services
(locally and globally)
BPR IN NEW PROCESS:

DISRUPTIVE
CHANGE

Google
Services

“Google it!”

Android Google Apps


Google Map/Earth
THANK YOU!

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