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Business Process Re-Engineering


Business Process Re-Engineering helps you improve the performance of your organization.


Business process Re-engineering
The assumption of an absolute determinism is the
essential foundation of every scientific enquiry.
― Max Planck,
Dilawar Abbas
A definition of Business Process Re-engineering?
Business Process Re-Engineering is the
Fundamental rethinking and Radical redesign of
Business Processes to achieve Dramatic
improvements in the critical measures of
Performance such as
Cost, Quality, Service, Efficiency and Speed.
Re-Engineering is NOT
 Automation for existing ineffective processes.
 Sophisticated computerization of obsolete processes.
 Playing with organization structures.
 Downsizing – doing less with less.
 Reorganizing.
 Change Management
 ISO9000
Reason for Re-engineering
 High Depends
 Efficiency
 Control
 High Competition
 Innovation
 Speed
 Service & Quality
. . . follow process and progress
will follow.
To improve service and
satisfy customer needs,
while lowering costs.
use technology to automate
“AS-IS” process to make it
happen faster
Difference between Automation &
Business Process Re-Engineering
Business Process Re-Engineering is
about Innovation
Making New Wine and
putting it in a New Bottle
Automation is using technological
tools to perform OLD Processes, in
a NEW way,
Like putting OLD Wine in
a New Bottle
3 Goals of Business Process Re-Engineering
Customer Friendliness Effectiveness Efficiency
• Meeting customer
requirements closely
• Providing
• Outcome based
• Gaining loyalty of
• Image and branding
• Cost
• Time
• Effort
4 Steps in Business Process Re- Engineering
Understanding the Current Process
 “AS IS” study – mapping current process
 Analysis of Root Causes for Inefficiencies
 Identification of Problems, Issues
Inventing a New Process (‘TO BE’
 Survey of Best Practices
 Consultation of Stakeholders
 Constructing the New Process
 Bringing in New Law and Rules
 Adopting Disruptive technologies
 Selling the NEW way of functioning
Change Management
 Communication Strategy
9 Changes Occasioned by Business Process
Work Units Change • from functional departments to process teams
Job Changes • from simple task to multiple-dimensional work
People’s role change • From controlled to empowered
Job preparation changes • from training to education
Measures of Performances
& Compensation Change • from activity to results
Criteria for career
advancement change • from performance to ability
Values change • from protective to productive
Organizational Structure
Change • from hierarchical to flat
Executive change • from scorekeepers to leaders
Critical Success Factors in Business Process
1. Clear Vision for Transformation
2. Top management commitment
3. Identification of Core Processes for Business Process Re-Engineering
4. Ambitious Business Process Re-Engineering Team
5. Knowledge of Re-Engineering techniques
6. Engaging external consultants
7. Tolerance of “genuine failures”
8. Change Management
Critical Failure Factors in Business Process
1. Trying to Fix a process instead of Changing it.
2. Lack of focus on Business-critical Processes
3. Lack of holistic approach
4. Willingness to settle for minor results
5. Quitting too early
6. Limiting the scope of Business Processing Engineering by existing constraints
7. Dominance of existing corporate culture
8. Adopting bottom-up approach
9. Poor leadership
10. Trying to avoid making anyone unhappy
11. Dragging the Business Process Re-Engineering exercise too long.
Scope of Business Process Re-Engineering
 Small scope within department, least impact
 Horizontal view across departments, more impact
 Broad view including entire supply & delivery chain, most impact
Re-Engineering guidance and
relationship of Mission and Work
Processes to Information
Defines Accomplish
Work Processes
Execute Guide
Consider Supports
Employ Process
Why Organizations do not Re-Engineer
Political Resistance
New Developments
Fear of Unknown and Failure
The essence of Business
Process Re-Engineering is
The essence of Business Process Re-
Engineering is
A 4-Pronged Approach to Transformation
• Eliminate
• Simplify
• Automate
• Base of Trust
• Integrate
• Join Up
• Legislate
• Competency
• Helful
• Polite
• Professional
• Adaptation of Change
• Enterprise wide
• Centralized System
• Unified Database
• Unified Networks
• Web Based System
• Training
• Change Management
• Consultation
• Empowerment
• Education
• Awareness
Change Management
Change is only possible when
people are dis-satisfied.
Satisfied people do not need
What Change Management Is & What
it is Not
1. Change management is not a stand-alone process for designing a business solution.
2. Change management is the processes, tools and techniques for managing the people-side
of change.
3. Change management is not a process improvement method.
4. Change management is a method for reducing and managing resistance to change when
implementing process, technology or organizational change.
5. Change management is not a stand-alone technique for improving organizational
6. Change management is a necessary component for any organizational performance
improvement process to succeed, including programs like: Six Sigma, Business Process
Reengineering, Total Quality Management, Organizational Development, Restructuring
and continuous process improvement.
7. Change management is how we drive the adoption and usage we need to realize
business results.
Change Advisory Board
 A change advisory board (CAB) delivers support to a change management team by
approving requested changes and assisting in the assessment and prioritization of changes.
This body is generally made up of IT and Business representatives that include: a change
manager, user managers and groups, technical experts, possible third parties and customers
(if required).
 It is advised to form a Change Advisory Board in-order to manage the Change Planning &
Change Advisory Board
Board Members
Temporary Board Members
(Department Based)
We are what we repeatedly do.
Excellence then, is not an act, but a habit.
Readiness Analysis
1. Is there a compelling business need for strategic change?
2. Is the organization prepared to challenge it status quo?
3. Would it have the courage to create a new vision?
4. What’s the degree and quality of sponsorship and commitment of senior
5. Are they prepared to be deeply involved?
6. Do they have the energy to follow through the entire change process?
7. Is the organization prepared to commit resources (time, energy, money) to
undertake the Business Process Re-Engineering project?
8. What is the overall organization’s attitude towards change?
9. Is the organization prepared to overcome resistance to change?
10. You create dissatisfaction, if you want people to change.
Business Process Re-Engineering
Team Composition
1. Top Management: CEO / COO as SPONSOR
2. Senior & Middle Management in EXECUTIVE TEAM
3. Selected Senior & Junior Management Staff to form
4. Enthusiastic and energetic individual as Business Process
Re-Engineering Coordinator
5. Business Process Engineers
Thank You

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