1. Analisis Proses Bisnis by : Sol’s

2. Introduction to Balanced Scorecard Introduction to BPR

3. Introduction to Balanced Scorecard
Developed by
Robert Kaplan (Harvard) and David Norton
early 90s..
The balanced scorecard is a strategic management system (not only a measurement system)
Internal assessment, improvement and reporting system
Key is the link to the strategic plan
System to turn strategy into action

4. The balanced scorecard retains traditional financial measures
The balanced scorecard retains traditional financial measures. But financial measures tell the story of past events, an adequate story for industrial age companies for which investments in long-term capabilities and customer relationships were not critical for success. These financial measures are inadequate, however, for guiding and evaluating the journey that information age companies must make to create future value through investment in customers, suppliers, employees, processes, technology, and innovation.
Kaplan & Norton

5. Balanced Scorecard
Enables organizations to clarify their vision and strategy and translate them into action
It provides feedback about both
the internal business processes and
external outcomes
Continuous improvement of strategic performance and results.

6. The balanced scorecard suggests that we view the organization from four perspectives:
The learning growth perspective
The business process perspective
The customer perspective
The financial perspective
Develop metrics, collect data and analyze relative to each of these perspectives

8. Learning and Growth Perspective
Development of the human resources
This perspective supports the concept that people are a company's main resource and most valuable asset
metrics defined for this perspective must measure various aspects of employee improvement, growth, and satisfaction.
personnel training and improvement
cultivation of corporate culture
organizational development, including the nurturing of corporate experts, gurus, and mentors
setting up of fast and efficient knowledge transfer infrastructure
opening up of communication lines among personnel

9. Business Processes Perspective
Internal business processes.
These metrics, which measure various aspects (efficiency, speed, quality, etc.) of how well the company's products, services and internal support systems are produced or delivered

10. The customer perspective
Focus on customer satisfaction. 
Rigorous data analysis to understand the customer
Difficult to reflect the true sentiment of the customer. 

11. Financial Perspective
Indicates if the transformation of strategy leads to economic success
Define the financial performance that the strategy is to achieve
Revenue growth
Cost reduction
Cost reduction from energy efficiency
Measures the effectiveness of the other perspectives

12. Characteristics of good metrics
reflect the true present status of the company from many different perspectives
provide constructive feedback to various company processes, leading to continuous improvement
show trends in company performance over time, facilitating adjustments to changes
quantify many things, making analyses more accurate and solutions more effective.

13. Close the loop once the metrics have been defined and implemented
scorecard data becomes available,
follow-through becomes imperative
movements in the metrics must be analyzed to identify their causes.
Causes that produce positive (negative) changes must be sustained or enhanced (eliminated)

14. What is BPR?
Reengineering is the fundamental rethinking and redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service and speed.
(Hammer & Champy, 1993)

15. BPR is Not?
Automation
Downsizing
Outsourcing

16. BPR Versus Process Simplification
Incremental Change
Process-Led
Assume Attitudes & Behaviors
Management-Led
Various Simultaneous Projects
Process Reengineering
Radical Transformation
Vision-Led
Change Attitudes & Behaviors
Director-Led
Limited Number of Initiatives
(Source Coulson-Thomas, 1992)

17. BPR Versus Continuous Improvement
Incremental Change
People Focus
Low Investment
Improve Existing
Work Unit Driven
Process Reengineering
Radical Transformation
People & Technology Focus
High Investment
Rebuild
Champion Driven

18. What is a Process?
A specific ordering of work activities across time and space, with a beginning, an end, and clearly identified inputs and outputs: a structure for action.
(Davenport, 1993)

19. What is a Business Process?
A group of logically related tasks that use the firm's resources to provide customer-oriented results in support of the organization's objectives

20. Why Reengineer? Customers Competition Demanding Sophistication
Changing Needs
Competition
Local
Global

21. Why Reengineer?
Change
Technology
Customer Preferences

22. Why Organizations Don’t Reengineer?
Complacency*
A feeling of contentment or self-satisfaction, especially when coupled with an unawareness of danger, trouble, or controversy.
An instance of contented self-satisfaction. *
Political Resistance
New Developments
Fear of Unknown and Failure

23. Performance
BPR seeks improvements of
Cost
Quality
Service
Speed

24. Origins Scientific Management. FW Taylor (1856-1915).
Frederick Herzberg - Job Enrichment
Deming et al - Total Quality Management and Kaizen
In Search of Excellence (Peters and Waterman)
Value-Added Analysis (Porter).

25. Key Characteristics Systems Philosophy
Global Perspective on Business Processes
Radical Improvement
Integrated Change
People Centred
Focus on End-Customers
Process-Based

26. Systems Perspective
Feedback
Inputs
Transformation
Outputs
Environment

27. Process Based Added Value Customer-Led
BPR Initiatives must add-value over and above the existing process
Customer-Led
BPR Initiatives must meet the needs of the customer

28. Radical Improvement Sustainable Stepped Approach
Process improvements need to become firmly rooted within the organization
Stepped Approach
Process improvements will not happen over night they need to be gradually introduced
Also assists the acceptance by staff of the change

29. Integrated Change Viable Solutions Balanced Improvements
Process improvements must be viable and practical
Balanced Improvements
Process improvements must be realistic

30. People-Centred Business Understanding Empowerment & Participation
Organizational Culture

31. Focus on End-Customers
Process improvements must relate to the needs of the organization and be relevant to the end-customers to which they are designed to serve