2. Business Process Reengineering and Information Technology

3. Basic Concepts Business process Value added Business Process Reengineering (BPR) Demand chain Supply chain

4. Basic Concepts Supply chain management Extended supply chain Networked organization Organizational transformation

5. The Need for BPR Customers Competition Change Techniques lag behind technology Problem of the stovepipe Fragmented piecemeal systems Integration

6. The Principles of BPR and The Role of IT Characteristics of BPR Methodologies and frameworks for BPR Enabling role of IT

7. Characteristics of Business Process Reengineering Several jobs are combined into one Employees make decisions Steps in business process: natural order Process may have multiple versions Work is performed where it makes the most sense

8. Characteristics of Business Process Reengineering Controls, checks, other nonvalue-added work is minimized Reconciliation is minimized - minimize external contact points Hybrid centralized / decentralized operation is used A single point of contact is provided for the customer

9. Business Process Reengineering and Restructuring the Organization Redesign of processes From mass production to mass customization Cycle time reduction Restructuring organizations

10. The Networked Organization Structure of networked organizations Empowerment –IT / empowerment relationship Teams

11. Virtual Corporations A virtual corporation is an organization composed of several business partners sharing costs and resources for the purpose of producing a product or service.

12. Virtual Corporations Major Attributes Excellence Utilization Opportunism Lack of borders Trust Adaptability to change Technology

13. Total Quality Management and Reengineering Rate of change TQM: continuous improvement Reengineering: dramatic improvement

14. TQM versus Reengineering

15. Implementing Reengineering Redesign Retool Reorchestrate

16. Tools for BPR Simulation Flow diagrams Work analysis Application development Workflow software

17. Reorchestrate: Organizational Change Leadership Corporate values Cultural change Incentives Accountability Zeal

18. Reorchestrate: Organizational Change Communication Ambiguity Obstacles to change Celebrate success

19. Implementation Issues Continuous evaluation Eliminating jobs

20. Continuous Evaluation Is reengineering truly transformational? Will reengineering improve customer relations? Has reengineering cut across the organization? Is information technology playing a integral role in the reengineering solution? Does it hurt?

21. When to Use BPR? Failure rate as high as 75-85% Improperly aligned BPR and IT Expensive Organizational resistance

22. Managerial Issues Ethical issues BPR implementation Incremental improvement programs BPR tools Role of IT Failures TQM and BPR

23. Example