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2008 Athula Ginige – BPES - Australia Beyond Business Process Reengineering Professor Athula Ginige Professor Athula Ginige School of Computing and Mathematics Business Process Evolution Studies Research Node University of Western Sydney Australia

Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

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Page 1: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Beyond Business Process Reengineering

Professor Athula GinigeProfessor Athula GinigeSchool of Computing and Mathematics

Business Process Evolution Studies Research NodeUniversity of Western Sydney

Australia

Page 2: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

1850 1970

Agricultural SocietyAgricultural Society Industrial SocietyIndustrial Society Information SocietyInformation Society

20001750

Social Transformation

Page 3: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

People – Technology – Tasks and Structures

Technology

Machinery and Information Systems

Tasks

People

Organisations and Organisation Structures

Processes

External Factors

External F

actors

External Factors

Page 4: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Evolution of Organisational and Management Structures

Adam Smith

Concept of Division of LabourRef. Wealth of Nations - 1766

TaskTask

Henry Ford

Assembly LinesBrought work to worker -1890

Alfred Sloan

Management StructuresApply division of Labour to Management

Large Scale Strategic PlanningMonitoring divisional performance and

Intervening to adjust plans and activities

Moving Forward

Page 5: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

ICT is changing many things

Athula Ginige, UWS

Computing PowerComputing Power

Athula Ginige, UWS

Storage Capacity and BandwidthStorage Capacity and Bandwidth

Electrical andElectromagnetic

Optical

X 10 to 10000

Athula Ginige, UWS

The InternetThe Internet and the World Wide and the World Wide

WebWeb

Athula Ginige, UWS

Plummeting Transaction CostPlummeting Transaction Cost

Business eBusiness

Learning eLearning

Commerce eCommerce

Government eGovernment

eTransformation

Page 6: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Changing Market Place

Market

Global DynamicICTICT

Fast and Cost effective ways to communicate in real time using Mail, Telephone, fax, email, Web.

Fast response time due to automation, economical small batch sizes and rapid access to information.

Globally competitive pricing and /orCater for a niche market

Adaptive and responsive organisation

Any benefit due to geographical proximity is fast diminishing.Any benefit due to geographical proximity is fast diminishing.

Buyers market, Impatient customers, mass customisation.Buyers market, Impatient customers, mass customisation.

Page 7: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Make and Sell vs Sense and Respond

Characteristic Make and Sell Sense and Respond

Mindset Business as an efficientway of making andselling to a well definedmarket segment

Business as an adaptivesystem for responding tounanticipated requests inunpredictable environment

Example Rail System Taxi Company

Know-how Embedded in products Embedded in people andprocesses.

Process Mass Production Mass Customisation

OrganisationPriority

Efficiency andpredictability

Flexibility andResponsiveness

Profit focus Profit margins onproducts and economiesof scale

Return on investment andeconomies of scope.

Page 8: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Changing Business Processes

Task based � To Process based

Page 9: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Impact of Information Technology

BusinessProcesses

Employees

BusinessOrganisation

ExternalEntities

Technology

Technology

InformationMaterial Finance

Trust RelationshipsSecurityConvenienceLevel of Service

From Atoms to Bits

Page 10: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

eTransformation Road Map

New Processes

New Processes

E-Commerce Site

E-Commerce Site

Interactive Site

Interactive Site

Basic WebsiteBasic

Website

Effective Organisation

Effective Organisation

Effective Team

Effective Team

Effective IndividualEffective Individual

Process Sophistication

External Processes

Internal Processes

External ProcessesExternal Processes

Internal ProcessesInternal Processes

IntegratedOrganisationIntegrated

Organisation

Page 11: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

ImplementingImplementing

ChangeChange

Responding toResponding to

ChangeChange

eTransformation Process

UnderstandingUnderstanding

Global Global ChangeChange

eTransformationStrategy

Business ProcessesWorkflow, Technology, People

Business Process Re-engineering

Enhanced Using IT

UserTraining

Business Analysis

Page 12: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Process-Oriented Organisation

Integrated Enterprise

Process-oriented Organisation

Collaborative Organisations

Ubiquitous Organisations

Learning and Knowledge based

Organisations

…………

Page 13: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Challenges and Opportunities

Integrated Enterprise

Process-oriented Organisation

Collaborative Organisations

Ubiquitous Organisations

Learning and Knowledge based

Organisations

How to develop effective Enterprise Architectures (EA)? Process optimisation.

Engineering New Business Processes and Business Process Management.Mass production to mass customisation.

Development of Web 2.0 based Collaborative Technologies, access control models etc.

How to integrate Mobile technologiesRFID technologies and other Sensor Networks in to EA

Research into organisational Knowledge management, Business Analytics, Business Intelligent etc

Page 14: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Business Process Evolution Studies Research Node

� This is an initiative between School of Managementand School of Computing and Mathematics.

� This has a very strong Applied Research focus.� We work with Organisations in the Western Sydney

Region to assist them to take advantage of new possibilities provided by Information and Communication Technologies to optimise their business outcomes and to become process based organisations.

� We study co-evolution of people, technology and tasks and how these can form in to various structures to counter external factors.

Page 15: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Working together

� We would very much like to work with your organisation to study how you can evolve in response to external factors and come up with innovative solutions.

Page 16: Beyond Business Process Reengineeringaeims.uws.edu.au/File/BPES Presentaions/Beyond BPR.pdf · Characteristic Make and Sell Sense and Respond Mindset Business as an efficient way

2008 Athula Ginige – BPES - Australia

Business Process Management(BPM) Executive Briefing

Breakfast

Organised by:

Business Process Evolution Studies(BPES) Research Node

University of Western Sydney

13 August 2008