Blog Brief:
BPR is a process of reorganizing, restructuring, downsizing, and cost-cutting that helps organizations to thrive by improving efficiency and effectiveness. It focuses on maximizing customer value while ensuring optimal consumption of resources and eliminating processes that do not add value. Companies implement BPR for business expansion, to become competitive, to improve financial performance, and increase market share. BPR helps organizations improve productivity, minimize risks, maintain transparency, gain competitive advantage, improve employee satisfaction, gain customer loyalty, etc. It enhances the organization’s strategic positioning, builds effective teams, and empowers assembly line workers to take ownership. An online certificate course in business process reengineering from Texila CPD helps you to implement and sustain BPR practices in your organization.
Businesses earlier adopted the continual improvement approach to improve systems and processes. In 1990, Michael Hammer, an MIT Engineer, brought about a revolution in the business environment and made people rethink the concept of incremental change. It enabled several organizations to reengineer the business process, downsize, minimize cost and eliminate waste.
Business Process Reengineering (BPR) is an approach that the management employs to progress further by boosting the organization’s efficiency and effectiveness of the systems and processes. It focuses on maximizing customer value while ensuring optimal consumption of resources.
It enables organizations to rebuild business processes by eliminating processes that do not add value.
Business process reengineering is critical to organizations of varying sizes comprising manufacturing, engineering, banking, and finance. It helps organizations rebuild the business process with a fresh perspective to improve efficiency, productivity, product/service outcome, and quality by minimizing costing and eliminating waste. BPR boosts efficacy and efficiency by redesigning business processes, associated systems, and organizational structure, thereby improving the organization’s performance.
An online certificate course in business process reengineering exposes you to the following:
- Basic concepts, evolution, philosophy, framework, drivers, various approaches, and models in BPR
- Tools and techniques to effectively implement BPR and transform organizational practices for improving productivity
- Case studies of best practices in different companies
Companies need to transform the business process due to the following reasons:
- Look for new market opportunities for business expansion
- Become competitive
- Improve financial performance
- Increase market share
BPR analyzes and transforms the crucial elements of the business, like strategy, organization, process, technology, and culture. Analysis, design, and implementation are the three phases of BPR.
BPR principles proposed by Michael Hammer and James Champy:
- Adopt a result-oriented approach to organizing work rather than a process-oriented one. Combining tasks executed by different people into one specific aspect eliminates rework and delays.
- Involve customers or individuals who gain from the output of the process. The customer has to tackle the problem he faces by doing the work himself instead of other departments.
- Eliminate errors by integrating data collection and processing sections as a single unit. It has to be handled by the same department or individual.
- Digital integration facilitates centralized databases with shared access to connect units at various locations feasible. It enables employees to respond to customer queries quickly.
- Maintain consistency in integrating similar activities using communication networks and shared database access. It minimizes cost and delays in results.
- Empowering individuals involved in executing the tasks to make decisions as required. Creating awareness and educating the workforce enables them to make informed decisions to improve workflow.
- Adhere to the process of collecting data at the source only once. It avoids re-entries and invalid data, eliminating the difficulty in transmitting and recording data at different places and times.
Stages in implementing Business Process Reengineering in an organization:
1) Define the organization’s vision and objectives: Before starting the process, it’s essential to identify the need for BPR. Establish clear goals and objectives based on your needs. Explain and create awareness with employees on the reason behind implementing the BPR process and set standards on the existing process.
2) Identify and work on improving the process: BPR is a complex process and requires a competent team comprising senior management, operations, reengineering consultant, and project managers. Identify the needs and expectations of stakeholders, consolidate the data and make it accessible to all stakeholders.
3) Study and understand the existing process and evaluate its feasibility: Make a detailed study of the current process and establish critical metrics or Key Performance Indicators (KPIs), which enable you to measure performance before and after BPR and make effective comparisons.
4) Redesign the process with technology integration: Once you analyze the core business process and set benchmarks, redesign the future state of the business model by considering the goals and objectives. Analysis of the current business model helps you to make decisions regarding the critical process that needs automation to eliminate stoppages.
5) Test and implement the reengineered process: Before implementing the BPR process for the entire company, test it on a small scale. It helps you see if the process meets your goals and expectations and rectifies mistakes. After testing at the pilot level, implement the BPR process for the entire company.
Benefits of BPR:
The business environment is dynamic. Maintain consistency in evaluating systems and processes to meet changing demands. It helps redesign workflows and analyze business processes within the organization.
Flexibility:
Change is constant in organizations. As businesses evolve, they need to brainstorm and make changes to systems and processes to:
- Improve productivity
- Adherence to new regulations
- Digital integration
- Market demands
- Transform working process
BPR facilitates organizations to adapt to changes and minimize operating costs.
Clear vision:
BPR provides a clear vision by aligning the organization’s goals and objectives with customer expectations. It builds brand identity and an ideal system to target customers.
Boosts productivity:
BPR automates routine and repetitive tasks in the business workflow, removes process stoppages, initiates parallel processing, minimizes costs, and eliminates redundant elements. It enables employees to focus on more critical activities, improving productivity and minimizing waste.
Minimize Risks:
It helps organizations identify problematic areas and work on improving efficiency with optimum resource utilization. It enables to build of better design and implementation and monitoring processes to reduce operational risks.
Transparency:
It integrates compliance into the process by implementing regulatory standards and ensuring transparency to all stakeholders. This strategy prevents delays in compliance and related fines and penalties.
Employee satisfaction:
It provides employees access to information and enables them to focus on their work, improving the morale of employees, which in turn boosts productivity.
Improved customer attention:
Since BPR simplifies the process and increases productivity, employees have time to respond to customer requirements and offer solutions instantly. It integrates people and technology, enabling employees to provide the right solutions to customers, increasing customer satisfaction, and building loyalty.
Competitive Advantage
BPR enables an organization to focus on its core competencies, which gives it a unique advantage. The advantage help organizations compete and achieve excellence.
Consistency:
It enables you to perform your tasks as planned, provide exceptional solutions consistently, improve profits and sustain competitive advantage.
Durability:
It facilitates organizations to adapt to changing climatic conditions, deliver solutions and optimize operating costs.
Evaluation:
It streamlines and quantifies business processes to optimize workflows. Provides the necessary analytical and reporting tools to measure the outcome, manage people and make effective decisions.
Technology Integration:
Focus on improving business processes by employing various standards to integrate technology.
Why should you study an online certificate program with Texila CPD?
TAU offers the best Business Process Reengineering program. It’s a short-term online program of 3-month duration. It exposes you to the following:
- The concept, evolution, and philosophy of BPR
- Elaborates on BPR strategies, models, and approaches
- Outlines the components of business process management and its relationship with BPR
- Incorporate BPR with information technology with emerging trends and best practices
Career opportunities after pursuing a business process reengineering certificate program:
The certificate program opens you to opportunities in the manufacturing and engineering sectors. You can start your career as a supervisor or analyst after gaining expertise and experience and progress to the manager, senior manager, or operations-lead positions.
Key Takeaways:
In addition to reorganizing, restructuring, downsizing, and cost-cutting in an organization, the main benefits of BPR include the following:
- Improves the organization’s strategic positioning
- Builds effective teams
- Proven methodology
- Empowers and makes assembly line workers take ownership
An online certificate course in business process reengineering from Texila CPD helps you to implement and sustain BPR practices in your organization.