Week6 - BPR Methodologies

Lecture 7: BPR Methodologies


In this lecture, we are focusing on the 5 phases model for BPR

Phase I – Triggering and executive visioning
Phase II – Project mobilization
Phase III – Process Redesign
Phase IV – Implementation and organizational change
Phase V – Monitoring and maintaining

1. Phase I – Triggering and Executive Visioning
In this phase, we are required to trigger the performance problem, competitive re-positioning, or pressure from a supply chain members.  Executive Visioning may result in creating need to cut costs and incremental improvement.

2. Phase II – Project Mobilization
During this stage, some processes are selected to redesign based on the identified process goals and the required IT infrastructure.It is also bounded by budgets and time limit.

3. Phase III – Process Redesign
There are five steps in this stage, they are:
1) Identifying Process Boundaries - Analysis of Value Chain Boundaries
2) Data Collection - Data collected to construct a Process Flow Diagram
3) Identifying Key Issues - SWOT analysis
4) Refine Process Redesign Goals - Cross-Leveling Process
5) Process-Level Analysis - Knowledge Value Added

4. Phase IV – Implementation and organizational change
While implementing the To-Be Process, there would be some adjustment on the staff skills. Also the organizational structure has to change to support the implementation.

5. Phase V – Monitoring and maintaining
After the To-Be process is implemented, there should be monitoring continuously on the operation. Moreover, maintaining the process may require modification in IT infrastructure.
                                                                                                                                         

There are some alternatives methodology for implementing BPR. They are all successful cases.
Alternative 1:

Here is the methodology used in the company Visible Systems Corporation, which has been successfully performing BPR [3].

The following is the table of Strengths and Weaknesses using that approach [2]:

Strengths	Weaknesses
Use of well-balanced reengineering team	Examination of process after defining desired state
Selection of process	No clear soultion how to solve problem
Modeling of process	No evaluation
Determination of process objective	No considering of using external consultants
Room enough for own creativity
Physical design is important
Implementation aspects are considered
Almost all preliminary conditions are considered

Alternative 2: 
Here is another methodology developed by Davenport & Short [4].

The following is the table of Strengths and Weaknesses using that approach [2]:

Strengths	Weaknesses
Focused attention and way of thinking by dimensioning processes	No own thoughts relization
Specific boundaries construction	No use of teams
Measuring of current processes	No explicit explanation of understanding
IT use is an essential part	Only management decides on desired states
Prototyping before full implementation	Hard to find new radical improvements
Organizational prototyping for examining consequences on organization	Strong focus on IT causing easier solutions to be overlooked
Selection of processes that will bw reengineered	No determining necessary logical elements
	No establishment of physical design
	No guiding and managing implementation
	No evaluation
	Only some preliminary conditions mentioned and those mentioned are not incorporated in methodology

To conclude, all the methodologies have both pros and cons. Methodology used can be changed depends on the situation. But, some of the small steps are essential to success.
                                                                                                                                         
Reference

[1] http://www.dtic.mil/cgi-bin/GetTRDoc?AD=ADA415002&Location=U2&doc=GetTRDoc.pdf
[2] http://www.met-online.nl/pdf/MET12-4-8.pdf
[3] Covert, M., 1997,  Successfully performing BPR, Visible Systems Corporation
[4] Davenport, T.H. and Short, J.E., 1990, The new industrial Engineering: information technology and business process redesign, Sloan Management Review


                                                                                                                                         

Comment on http://chankl-2107.blogspot.com/2012/02/week-6-basics-of-bpr.html


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