What is Business Process Re-engineering (BPR)?
Business Process Re-engineering simply implies eliminating tasks that does not add value to a business process while reorganization the value adding tasks. It can also be perceived as a restructuring of redundant dependent tasks or work order. It involves a re-thinking and consequently a re-moulding. In appreciating this concept, it is expedient to view a process as a "chain of tasks". The truth is that in a typical business process, you can have some redundant tasks that if not present does not really have any impact. Such tasks can be eliminated thus streamlining business process.
During ERP implementation, before a business process can be re-engineered, excellent understanding of the defective process is key. This is why it is important to first carry out a critical and objective business process definition and analysis before system design. At this juncture, it is important to state that when restructuring a business process, adherence to best practices is encouraged. This allows the client to be able to leverage the redefined business process externally and not only internally.
For business process reengineering to be successful and consequently, ERP implementation, the buy-in of the end users must be achieved. Often times, I've heard people say "this is how we have been doing it and we like it that way". It is important to convince the process owners why a re-engineering is needed. And the only way to do this is to make the user uncomfortable with his hitherto work methodology. As a matter of fact, setting up of an in-house restructuring team will help to foster users conviction within the organization. The members of the team should cut across all process owners.
Conclusively, the benefits of BPR are enormous. They include the following, but not limited to
1. Business process is streamlined.
2. Business process is optimized and more efficient.
3. Strict controls can be enforced and monitored.
4. Best practices can be adhered to.
5. Time and cost saving as a result of eliminated redundant tasks.
regards,
indranil
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