1. Business Process Reengineering
Business Process Reengineering (BPR) is the means by which an organization achieves radical change in performance as measured by cost, cycle time, service, and quality, by the application of a variety of tools that focus on a set of customer-oriented core business processes.

2. Types of Reengineering
Type 1 - Process Improvement;
cost-reduction focus
Type 2 - To achieve parity, or “best-in-class;” competitive focus
Type 3 - Searching core business for breakpoints; rewriting the rules

3. BPR Process (1 of 2) Frame the project
Create the vision, values and goals
Redesign the business operation
Conduct proof of concept
Andrews & Stalick, Business Reengineering: The Survivor’s Guide

4. BPR Process (2 of 2) Plan the implementation
Obtain implementation approval
Implement the redesign
Transition to a continuous improvement state

5. Physical/Technical Layer
The Dimensions of Business Process Reengineering - Andrews & Stalick (1 of 3)
Physical/Technical Layer
Process structure
Technical structure
Organization structure

6. The Dimensions of Business Process Reengineering (2 of 3)
Infrastructure Layer
Reward structure
Measurement systems
Management methods

7. The Dimensions of Business Process Reengineering (3 of 3)
Value Layer
Organizational culture
Political power
Individual belief systems

8. The Top Ten Ways to Fail at Reengineering (1 of 2)
1. Don’t reengineer but say that you are.
2. Don’t focus on processes.
3. Spend a lot of time analyzing the current situation.
4. Proceed without strong executive leadership.
5. Be timid in redesign.
Hammer & Champy, The Reengineering Revolution, 1995

9. The Top Ten Ways to Fail at Reengineering (2 of 2)
6. Go directly from conceptual design to
implementation.
7. Reengineer slowly.
8. Place some aspects of the business off-
limits.
9. Adopt a conventional implementation style.
10. Ignore the concerns of your people.

10. Benchmarking
Benchmarking is the search for the “best practices” that will lead to superior performance of an organization.

11. Benchmarking is NOT A cure for all organizational ills
A means to justify blatant personnel cuts
A one-shot program
A process cookbook with no creativity
A process to conduct industrial espionage
A one-way information flow
An improvement tool requiring little cost or effort

12. Benchmarking Approaches
Performance benchmarking
To identify candidates for conducting benchmarking studies
Process benchmarking
To identify the “best practices”

13. Types of Benchmarking ( 1 of 3)
Internal
Comparing yourself against a similar process, product, or service within your own organization

14. Types of Benchmarking (2 of 3)
Competitive
Comparing yourself against the toughest external competitor or against world-class companies in your industry

15. Types of Benchmarking (3 of 3)
Generic/Functional
Comparing yourself against a world-class company that is not even in your industry, but that uses a process similar to yours

16. Benchmarking Process ( 1 of 6)
1. Getting Organized
Obtain management buy-in
Communicate and educate benchmarking concepts
Plan the overall benchmarking process
Address fear and concerns

17. Benchmarking Process (2 of 6)
2. Preparing to Benchmark
Identify process to benchmark
Establish benchmark team
Understand existing process
Determine process metrics

18. Benchmarking Process (3 of 6)
3. Conduct Research
Who performs similar processes
Who performs the best
What information is needed
4. Select the organization to Benchmark
Establish a relationship
Reach an agreement on the exchange

19. Benchmarking Process (4 of 6)
5. Collect Data and Information
Identify sources of data/information
Site visits
Interviews
Third parties
Documents
Plan and collect data/information

20. Benchmarking Process (5 of 6)
6. Analyze and Adapt the Process
Compare the data/information
Determine process gaps
Establish improvement goals
Design the improved process
Estimate the improvement

21. Benchmarking Process (6 of 6)
7. Implement the New Process
Train the affected staff
Implement the process on a trial basis
Monitor the results
Adjust and adapt
Adopt the process
Celebrate