Business Process Redesign Copyright 1997, 1998 by Gail Corbitt and Jim Connolly for use in course work at CSU Chico. All material is for the exclusive use of MINS 298C and material can not be used by anyone without written permission of the authors. 9/19/2018 BPR lecture

Business Process Redesign Business Process Re-engineering Quality Function Deployment Quality circles Continuous Improvement Business Process Redesign BP Redesign ignores organizational impact issue 9/19/2018 BPR lecture

Business Process Redesign Common Attributes Defined project phases Use of cross functional team Absolute customer focus Implementation is major challenge Ignoring project scope issues, BPR : changing business activities to improve value of outputs from the activities to customer 9/19/2018 BPR lecture

Business Process Redesign Key Assumptions in BPR Organize activities around outcomes Collectively those who use the process know how to fix it Information Systems can support ANY process that is designed Parallel activities need to be linked Decision points need to be where the work is performed 9/19/2018 BPR lecture

Business Process Redesign Defined Phases Organizational overview & customer input Current process definition Current process analysis: Identify & analyze targets to redesign Redesign Implement Evaluate results 9/19/2018 BPR lecture

Business Process Redesign Documenting the current business process Identify processes (major activities with outcomes) as they occur in the process Show relationship between activities and “performers” (back stage) Always show relationship of activity to the customer (front stage) 9/19/2018 BPR lecture

Business Process Redesign Request Service Question Bill Customer Read Meter Meter Reader Billing Clerk Set up Account Research Question Enter Meter Reads Data Entry Add new Account Manager 9/19/2018 BPR lecture CSU Chico

Problems with Traditional BPR Redesigned processes frequently require total redesign of IS Implementation very very difficult People resist change New processes are not well understood by all Costs of implementing changes excessive Global organizations have different business rules in each country 9/19/2018 BPR lecture

SAP & BPR Assumptions: automation supports adding value to customer - business chain processes need continuous improvement management needs to be lean SAP knows what “best practices are” (for using their software) 9/19/2018 BPR lecture

SAP & BPR Configuration of SAP doesn’t just mean installing the software includes re-design of processes to best fit company requirements each installation of SAP can be different includes an implementation strategy once company requirements are known known as “Configure to Order” 9/19/2018 BPR lecture

SAP & BPR Tools that support BPR within organizations using SAP Business Engineer: model for navigating SAP system Reference model (Data & Business Objects) Process Model (EPC - showing scenarios) Organization Model (showing hierarchy of organization) ABAP Workbench allowing for customization 9/19/2018 BPR lecture

SAP & BPR Modified BPR using SAP Organizational overview & customer input Current process definition Current process analysis: Identify & analyze targets to redesign Review SAP Processes & Choose Best Practice for the Organization Implement Evaluate results 9/19/2018 BPR lecture

Event Process Chain (EPC) Model and R/3 Business Navigator 9/19/2018 BPR lecture

Business navigator Multiple views of the organization provided by multiple models Activity-based implementation Provides high-level view of business process Charts causal relationship between events and functions Currently a display and navigation tool Flexible navigation through multiple views of the models 9/19/2018 BPR lecture

Basic Symbols Logical Connector Event Process Pointer Function 9/19/2018 BPR lecture

Events can trigger Functions triggers Function 9/19/2018 BPR lecture

Functions can cause Events to occur Brings About Event 9/19/2018 BPR lecture

Multiple Events / Functions can be related AND, OR or XOR Function 9/19/2018 BPR lecture

Ú Ù Logical Operations XOR OR: At least one of all conditions must be met XOR Exclusive OR: One and only one condition must be met Ù AND: All conditions must be met 9/19/2018 BPR lecture

Event may not be ambiguous XOR Function Function 9/19/2018 BPR lecture

Event may not be indecisive Ú Function Function 9/19/2018 BPR lecture