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Business process re-engineering, or the so-called the term (Reengineering Reengineering) is, in computer science and management, approach aims to make improvements by raising the efficiency and effectiveness of processes used within organizations. The key to this process is that organizations must consider their operations to determine how they can build the best of these processes to improve how business processes.
Process re-engineering cycle.
Called business process reengineering also "review of the working methods", or redesigning business processes, or business transformation, change management or business. Restructuring or arrangement is a radical rethinking and radical re-design of business processes to achieve dramatic improvements in cost, quality, speed, and service. It combines the review of work between the strategy to encourage business innovation with a strategy to bring about significant improvements in operations so that a company can become a much stronger competitor and more successful in the market methods.
Of the main supporters of the restructuring are Michael Martin Hammer and James A.. Ciampi. In a series of books, including a book re-engineering the organization and management of the book re-engineering, and the agenda, and what has been discussed in this context that a lot of the time he missed or are not taken advantage of it in the implementation of the tasks of the circle to the other. They claim it is much more efficient than the appointment of a team will be responsible for all tasks in the process. The agenda extends the discussion to include suppliers, distributors, and other partners.
Re-engineering is the basis for many of the recent developments in the field of management. In a multi-functional team, for example, it has become a very popular because of the desire to re-separate engineering job functions complete and functional operations. Also, many of the recent developments in the management information systems designed to integrate a large number of business functions. ERP, supply chain management, knowledge management systems, collaborative systems, groupware systems, human resources management and customer relationship Nizadarh all of the city to the theory of re-engineering.
The globalization of the economy and the liberalization of the trade markets have formulated new conditions in the market place which are characterized by instability and intensive competition in the business environment. Competition is continuously increasing with respect to price, quality and selection, service and promptness of delivery. Removal of barriers, international cooperation, technological innovations cause competition to intensify. All these changes impose the need for organizational transformation, where the entire processes, organization climate and organization structure are changed. Hammer and Champy provide the following definitions: ¸ Reengineering is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical contemporary measures of performance such as cost, quality, service and speed. ¸ Process is a structured, measured set of activities designed to produce a specified output for a particular customer or market. It implies a strong emphasis on how work is done within an organization. " (Davenport 1993). Each process is composed of related steps or activities that use people, information, and other resources to create value for customers as it is illustrated in the following example.
An example of a business process: Credit card approval in a bank. An applicant submits an application. The application is reviewed first to make sure that the form has been completed properly. If not, it is returned for completion. The complete form goes through a verification of information. This is done by ordering a report from a credit company and calling references. Once the information is verified, an evaluation is done. Then, a decision (yes or no) is made. If the decision is negative, an appropriate rejection letter is composed. If the decision is positive, an account is opened, and a card is issued and mailed to the customer. The process, which may take a few weeks due to workload and waiting time for the verifications, is usually done by several individuals.
The term "Business Process Reengineering" has, over the past couple of year, gained Increasing circulation. As a result, many find themselves faced with the prospect of having to learn, plan, implement and successfully conduct a real Business Process Reengineering endeavor, whatever that might entail within their own business organization. Hammer and Champy (1993) define business process reengineering (BPR): the fundamental rethinking and radical redesign of the business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service and speed ".
Having the management commitment for change, another very important factor for implementing BPR, is the enabling role of Information Technology. The way that businesses are organized around departments is very logical since, for instance, there were physical barriers in the communication of the accounting department with production department. (The warehouse could be in another location in the another part of the city). So it wasn't possible for a cross-functional team to communicate efficiently. In the 90s when telecommunication technologies were becoming abundant and low costing BPR was becoming a world-wide applicable managing technique for business upgrade, enabled by the technology. Employees can easily operate as a team using intranets/extarnets, workflow and groupware applications, eliminating distances. We can work together even though we are located in different places.
Once re-engineered process is streamlined, the processes shall be computerized to improve quality, cycle time, and other critical baselines.
Processes must be streamlined (i.e., re-invented) before they are computerized otherwise, the processes may produce results faster but those results may not be the ones required
According to experts, it is complete enablement
Full Agree with answer given by mr. georgei assi
Information technology (IT) has historically played an important role in the reengineering concept.It is considered by some as a major enabler for new forms of working and collaborating within an organization and across organizational borders[citation needed].
BPR literature identified several so called disruptive technologies that were supposed to challenge traditional wisdom about how work should be performed.
Shared databases, making information available at many places
Expert systems, allowing generalists to perform specialist tasks
Telecommunication networks, allowing organizations to be centralized and decentralized at the same time
Decision-support tools, allowing decision-making to be a part of everybody's job
Wireless data communication and portable computers, allowing field personnel to work office independent
Interactive videodisk, to get in immediate contact with potential buyers
Automatic identification and tracking, allowing things to tell where they are, instead of requiring to be found
High performance computing, allowing on-the-fly planning and revisioning
In the mid-1990s, especially workflow management systems were considered as a significant contributor to improved process efficiency. Also ERP (Enterprise Resource Planning) vendors, such as SAP, JD Edwards, Oracle, PeopleSoft, positioned their solutions as vehicles for business process redesign and improvement.
I don't think I can offer anything more than what my colleagues answers provided. I learned something new from their answers. Thank You.
I agree with Mrs GHADA and GEORGEI
Thanks for invitation
I amagreeing with my colleague’s answer Mr GEORGEI
Factors that are important to BPR success include:
The aspects of a BPM effort that are modified include organizational structures, management systems, employee responsibilities and performance measurements, incentive systems, skills development, and the use of IT. BPR can potentially impact every aspect of how business is conducted today. Wholesale changes can cause results ranging from enviable success to complete failure.
If successful, a BPM initiative can result in improved quality, customer service, and competitiveness, as well as reductions in cost or cycle time. However, 50-70% of reengineering projects are either failures or do not achieve significant benefit. regarded [15]
There are many reasons for sub-optimal business processes which include:
Many unsuccessful BPR attempts may have been due to the confusion surrounding BPR, and how it should be performed. Organizations were well aware that changes needed to be made, but did not know which areas to change or how to change them. As a result, process reengineering is a management concept that has been formed by trial and error or, in other words, practical experience. As more and more businesses reengineer their processes, knowledge of what caused the successes or failures is becoming apparent.[16] To reap lasting benefits, companies must be willing to examine how strategy and reengineering complement each other by learning to quantify strategy in terms of cost, milestones, and timetables, by accepting ownership of the strategy throughout the organization, by assessing the organization’s current capabilities and process realistically, and by linking strategy to the budgeting process. Otherwise, BPR is only a short-term efficiency exercise.[17]
In addition to the answers I would like to say that the role of IT is represented by facilitating, organizing and correcting processes !
Thank You
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