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8/6/2019 Information Technology a Key for Business Process Re Engineering
1/25
Information Technology: A Key for Business
Process Reengineering
Authors:
Dr. RAJESH VERMA
Assistant Professor
Lovely Professional University
Phagwara
Mob: 98729-74457
e-mail: [email protected]
ASHU GUPTA
Senior Lecturer in Computer Applications
Apeejay Institute of Management
Rama Mandi-Hoshiarpur RoadJalandhar-144023
Mob: 98158-91562
e-mail: [email protected]
Dr. KAWALJEET SINGH
Director
University Computer Centre
Punjabi University
Patiala
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Information Technology: A Key for Business Process
Reengineering
ABSTRACTThe purpose of the paper is to take a comprehensive look at Business Process
Reengineering (BPR), which is a popular term for the reoptimization of organizational
processes and structures after the implementation of new information technologies into
an organization. There is some evidence that changes in the use of information
technology (IT) in an organization may require major restructuring of the organization to
take full advantage of the technologies. This paper will attempt to demystify the myths of
BPR. It will examine the advantages and disadvantages of BPR in organizations. The
paper will also explore the various phases of the BPR process and the relationship
between BPR and Information Technology (IT). Information Technology should be
viewed as more than an automating tool but rather a fundamental way to reshape the way
business is done. The examination of IT will reveal the use of IT tools within the BPR
process which typically results in faster, better and cheaper solutions at each phase of the
BPR process. The primary methodology of the research will be through literature.
Keywords: Business Process Reengineering, Competency, Information Technology,
IT Tools, Transformation
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1. Introduction
Business Process Reengineering (BPR) is known by many names, such as core
process redesign, new industrial engineering or working smarter. All of them imply
the same concept that focuses on integrating both business process redesign and
deployment of information technologies (IT) to support the reengineering work. This
paper will attempt to introduce some of the more important aspects of BPR and the
significance and role of information technology in BPR. In addition, the paper will
explore two questions: where does BPR comes from and what is involved in BPR in
terms of principals and assumptions.
2. What is BPR?
Business process reengineering ideas are based on the premise that every
organization needs a sense of direction. Without that direction in the form of strategic
plans and business plans, the organization has no foundation upon which to build process
improvements. BPR is a method of improving the operation and therefore the outputs of
organizations. Generally the topic of BPR involves discovering how business processes
currently operate, how to redesign these processes to eliminate the wasted or redundant
effort, improve efficiency, and how to implement the process changes in order to gain
competitiveness. The purpose of BPR is to find new ways to organize tasks, organize
people and use information technology so that the processes support the organizations
goals. It means analyzing and altering the business processes of the organization as a
whole. For a thorough and effective reengineering project, organizations should first meet
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certain conditions before starting such a project. Initially, the management should
abandon all the rules and procedures that have been used upto that time. In addition they
should abandon other inadequate organizational and production principles. At this point,
the design of a renovated and redesigned organization should begin.
According to Hammer and Champy (1993), Reengineering is the fundamental
rethinking and radical redesign of business processes to achieve dramatic improvements
in critical, contemporary measures of performance, such as cost, quality, service and
speed.
Vidgen (1994) defines the central key points of BPR as:
radical change and assumption challenge
process and goal orientation
organizational restructuring
the exploitation of enabling technologies, particularly information technology
which means that by focusing on business objectives, processes are analyzed in
the organization, non-essential or redundant procedures are eliminated, and then
IT is used to redesign and streamline organizational processes.
2.1 BPR as Radical Change
BPR is a radical change rather than an incremental change. Davenport (1993)
advocates radical change as:
Objectives of 5% or 10% improvement in all business processes each year must give way
to efforts to achieve 50%, 100%, or even higher improvement levels in a few key
processes. Radical change is the only means of obtaining the order of magnitude
improvements necessary in todays global marketplace. Existing approaches to meeting
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customer needs are so functionally based that incremental change will never yield the
requisite interdependence.
3. Process-Orientation: From Structure to Process
Many current business processes with their functional structures were designed to
enable efficient management by separating processes into small tasks that could be
performed by less skilled workers with little responsibility. Under this structure, the
higher skilled and more trusted managers made the important decisions. Traditional
structural approaches to a business reengineering generally follow this sequential order.
First, a business strategy is proposed, then the business structures and processes are
planned, and finally they are implemented with IT. In comparison, BPR is regarded as
process-oriented which is trying to overcome some problems raised by hierarchical
structures. That means, BPR as process-orientation changes the structural relationships
between management and employers into the interactive processes between them. BPR
attempts to radically break the existing process structures and replace them with
innovative solutions.
4. BPR Process and Approach
Process redesign, often called BPR, takes a clean sheet approach to the process,
which is usually either broken, or so slow that it is no longer competitive in delivering the
companys value to its customer. Inputs and outputs are defined, and checked to ensure
they align with customers present, and future, requirements. New technology, methods
and data flows are considered in relation to the process. A new process is designed from
scratch using the above. The change is planned and implemented to achieve minimum
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disruption. Where a fundamental redesign of the entire process is not required, process
improvement can take different forms like analysis and improvement, continuous
improvement or simply attempts to gain more control.
The most common approach to process improvement is to take an underperforming
process, which is key to achieving the business objectives, and create a systematic
analysis to determine the most important areas for improvement. These are then
addressed on a project-by-project basis. A temporary process improvement team that
primarily consists of people within the process controls the analysis and improvement.
Continuous improvement is the ongoing management of the process after it has been
redesigned and streamlined. This is part of an overall culture change that needs to be
clearly thought through and well directed from the top of the organization.
Davenport & Short (1990) define business process as "a set of logically related tasks
performed to achieve a defined business outcome." A process is "a structured, measured
set of activities designed to produce a specified output for a particular customer or
market. It implies a strong emphasis on how work is done within an organization
(Davenport 1993). In their view processes have two important characteristics:
a) They have customers (internal or external)
b) They cross-organizational boundaries
Processes are generally identified in terms of beginning and end points, interfaces, and
organization units involved, with special emphasis on customers. Examples of processes
include developing a new product, ordering goods from a supplier, creating a marketing
plan or processing and paying an insurance claim. According to Davenport & Short
(1990), processes may be defined based on three dimensions:
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a) Entities: Processes take place between organizational entities. They could be
interorganizational, interfunctional or interpersonal.
b) Objects: Processes result in manipulation of objects. These objects could be physical
or informational.
c) Activities: Processes could involve two types of activities: managerial and operational.
5. Myths about BPR
The concept of BPR is widely misunderstood and has been equated to downsizing,
client/server computing and several other management techniques of the past several
years. Davenport & Stoddard (1994) identify several reengineering myths:
The Myth of Reengineering Novelty: Reengineering, although based on familiar
concepts, introduces new concepts that are combined in a new format. These key
components have never been together before.
The Myth of the Clean Slate: Regardless of Hammer's (1990) sentiment: "Don't
automate, obliterate!" clean slate change is rarely found in practice. Or, as Davenport and
Stoddard (1994) state: A "blank sheet of paper" used in design usually requires a "blank
check" for implementation. Therefore, a more affordable approach for most companies is
to use Clean Slate Design, which involves a detailed vision for a process without concern
for the existing environment. However, the implementation is done over several phased
projects. Some opponents of BPR say that despite the delivery of radical design, it does
not guarantee a revolutionary approach to change. Moreover, a revolutionary change
process might not be feasible given the risk and cost of revolutionary tactics.
The Myth of Information Systems Leadership: Information Systems (IS) is generally
viewed as a partner within a cross-functional team that is generally headed by a non-IS
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project leader and a non-IS business person who has better control over the processes that
are being redesigned. The distinction between IT and IS begins with the idea that IT
offers strategic relevance. Moreover, IT has an impact on BPR projects that can improve
the quality of an organizations information systems management.
The Myth of Reengineering vs. Quality: Most companies have approaches to
organizational change including reengineering, continuous improvement, incremental
approaches, and restructuring techniques.
The Myth of Reengineering vs. Transformation: BPR is a process that contributes to
organizational transformation; however it is not the same as transformation.
Organizational transformation is defined as, "Profound, fundamental changes in thought
and actions, which create an irreversible discontinuity in the experience of a system"
(Adams 1984). Organizational transformation is generally about the emergence of a new
belief system and necessarily involves reframing, which is a discontinuous change in the
organizations or group's shared meaning or culture. It also involves broad changes in
other organizational dimensions besides the work processes.
6. BPR Success/Failure Factors
There are both soft and hard factors that cause success and failure of BPR efforts. The
factors listed below are based on various articles and empirical research on BPR
implementation. These dimensions are:
change management
management competency and support
organizational structure
project planning and management
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IT Infrastructure
IT infrastructure Success Factors Failure Factors
1. Motivations & Reward
System
2. People Involvement3. Empowerment
4. Training & Education
5. Stimulation ofReceptivity of
Organization to
Change
6. Effective
Communication
Change of Mgt.Culture
1. Committed & Strong
Leadership
2. Management of Risk
3. Sponsorship Mgt. Competence
Factors
1. Adequate jobintegration Approach
2. Effective BPR Teams
3. Appropriate Jobs,
Definitions &
Responsibilities
Allocation
Organizational
Structure Factors
1. Alignment of BPR
Strategy with
Corporate Strategy
2. Effective Planning &
use of Project Mgt.
Techniques.
3. Adequate Resources
4. External Orientation &
Learning
5. Effective use of Consultants
6. Adequate
identification of BPRvalues
BPR Project Mgt.
Factors
1. Proper IS Integration
2. EfectiveReengineering of
Legacy IS
3. Effective use of
Software Tools
IT infrastructure
Factors
1. Problems in
Communication
2. OrganizationalResistance
3. Lack of Training &
Education4. Problems related to
creating a culture for
change
Change of Mgt.
CultureFactors
B
U
S
I
N
E
SS
P
R
O
C
E
S
S
R
E
E
N
G
I
N
EE
R
I
N
G
I
M
P
L
EM
E
N
T
A
T
I
O
N
1. Problems related t
commitment, support &
leadership
2. Problems related tsponsorship
Mgt. SupportFactors
1. Ineffective BPR Teams
2. Problems related t
integration mechanism
job definition aresponsibility allocation
Organizational
StructureFactors
1. Problems related to
planning & project mgt.
2. Problems related to
goals & measure3. Inadequate focus &
Objectives
4. Ineffective process
redesign
5. Problems related to
BPR resources
6. Ineffective use of
consultants7. Unrealistic expectations
BPR Project
Mgt. FactorsFactors
1. Problems related to IT
investment
2. Improper IS integration
3. Inadequate ISdevelopment
4. Ineffective
reengineering of Legacy
IS
IT infrastructure
Factors
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Figure 1: Summary of Key Success/ Failure Factors in BPR (Al-Mashari &Zairi,
1999)
6.1 Factors relating to Change Management Systems and Culture
Factors relating to change management systems and culture are important to the
success of BPR initiatives. Change management, which involves all human- and social
related changes needed by management to facilitate the acceptance of newly designed
processes and structures into working practice and to deal effectively with resistance, is
considered by many researchers to be a crucial component of any BPR effort. Effective
communication is considered a major key to successful BPR-related change efforts.
Communication is needed throughout the change process at all levels and for all
audiences, even with those not involved directly in the reengineering project. Effective
communication between stakeholders inside and outside the organization is necessary to
market a BPR program and to ensure patience and understanding of the structural and
cultural changes needed as well as the organization's competitive position.
Communication should be open, honest, and clear, especially when discussing sensitive
issues related to change such as personnel reductions. As BPR results in decisions being
pushed down to lower levels, empowerment of both individuals and teams becomes a
critical factor for successful BPR efforts. Since it establishes a culture in which staff at all
levels feel more responsible and accountable and it promotes self-management and a
collaborative teamwork culture. Empowerment means that staff is given the chance to
participate in redesign processes. When empowered, employees are able set their goals
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and monitor their own performance as well as identify and solve problems that affect
their work thereby supporting the BPR efforts.
6.2Factors for Management Competency
Sound management processes ensure that BPR efforts will be implemented in the
most effective manner. The most noticeable managerial practices that directly influence
the success of BPR implementation are top management support and commitment,
championship and sponsorship, and effective management of risks. Commitment and
leadership in the upper echelons of management are often cited as the most important
factors of a successful BPR project. Leadership has to be effective and creative in
thinking and understanding (Hammer and Champy, 1993) in order to provide a clear
vision of the future. This vision must be clearly communicated to a wide range of
employees who then become involved and motivated rather than directly guided.
Commitment to and support for the change must constantly be reinforced from senior
management throughout a BPR project. Sufficient authority and knowledge, and proper
communication with all parts in the change process, are important in dealing with
organizational resistance during BPR implementation (Hammer and Champy, 1993).
Barriers such as political, economic, and organizational risks are all associated with BPR-
related change. And champions of the change play a major role in overcoming these
barriers and increasing the chance of successful BPR implementation. The champions
must be able to persuade top management of the need to change and to continually push
the change efforts throughout the organization. BPR implementation involves radical
change to several systems in the organization. Risks associated with acceptance of
changes in the organizational structure, deploying emerging technologies with little
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familiarity, large investment in new resources needed for the new processes, loss of
personnel, and loss of earnings (Towers, 1994; Clemons, 1995) are some examples of the
many risks that an organization may take when implementing BPR. Therefore,
continuous risk assessment is needed throughout the implementation process to deal with
any risk at its initial stage and to ensure the success of the reengineering efforts.
Anticipating and planning for risk handling is important for dealing effectively with any
risk when it first occurs.
6.3 Factors relating to Organizational Structure
As BPR creates new processes that define jobs and responsibilities across the
existing organizational functions (Davenport and Short, 1990), there is a clear need to
create a new organizational structure which determines how BPR teams are going to
look, how human resources are integrated, and how the new jobs and responsibilities are
going to be formulated. An adequate job integration of organizational human resources
infrastructure is important to a BPR project's success. When individuals within a process
perform a series of tasks efficiently, product quality, processing time, and cost are all
going to improve. However, the move to integrate human resources necessitates a careful
consideration of all related organizational changes. Effective BPR cross-functional teams
are a critical component of successful BPR implementation. Team members should be
experienced in variety of techniques. Teams should be made up of people from both
inside and outside the organization (Hammer and Champy, 1993). The determinants of an
effective BPR team are as follows: competency of team members, their credibility within
the organization and their creativity, team empowerment, motivation, effective team
leadership, proper organization of the team, complementary skills among team members
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and adequate size. As BPR results in a major structural change in the form of new jobs
and responsibilities, it becomes necessary for successful implementation to have formal
and clear descriptions of all jobs and responsibilities that the new designed processes
bring along with them.
6.4 Factors related to BPR Project Management
Successful BPR implementation is highly dependent on an effective BPR
Program management, which includes strategic alignment, effective planning and project
management techniques, identification of performance, adequate resources, effective use
of consultants, building a process vision integrating BPR with other improvement
techniques. Proper planning for the BPR project with an adequate time frame are key
factors in delivering a successful BPR project on time. Effective use of project
management techniques and managing people-related issues have also a crucial role in
smoothing the flow of the process redesign stages. Measurement of project progress
should also be maintained continually throughout a BPR project.
6.5 Factors related to IT infrastructure
Building an effective IT infrastructure is a vital factor in successful BPR
implementation. An adequate understanding of technologies for redesigning business
processes is necessary for proper selection of IT platforms. Effective overall system
architecture, flexible IT infrastructure and proper installation of IT components all
contribute to building an effective IT infrastructure for business processes. The IT
infrastructure and BPR are interdependent in the sense that deciding the information
requirements for the new business processes determines the IT infrastructure. In addition,
recognition of IT capabilities provides alternatives for BPR. Building a responsive IT
infrastructure is highly dependent on an appropriate determination of business process
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information needs . This, in turn, is determined by the types of activities within a business
process, and the sequencing and reliance on other organizational processes. An effective
IT infrastructure follows a top-down approach, beginning with business strategy and IS
strategy and passing through designs of data, systems and computer architecture.
Linkages between the IT infrastructure components are important for ensuring integrity
and consistency among the IT infrastructure components. IT standards also have a major
role in reconciling various infrastructure components to provide shared IT services that
are of a certain degree of effectiveness to support business process applications. The IT
infrastructure shared services and the human IT infrastructure components, in terms of
their responsibilities and their expertise, are both vital to the process of the IT
infrastructure composition.
7. Selecting an IT ApplicationOne main objective of BPR is to use IT to support radical change. Some authors
view IT as the central implementation vehicle of BPR. However BPR has not really
worked as its proponents expected. Davenport and Short (1990) attribute this problem to
a lack of understanding of the deeper issues of IT. They claim that IT has traditionally
been used to increase the speed of work but not to transform it and BPR is about using IT
to do things differently. Therefore, IT plays an important role in BPR. Properly
implementing IT can improve the competitive position of organizations. But
inappropriately implementing IT may create barriers to responding to the rapidly
changing business environment. Further, simply picking IT packages cannot achieve
successful BPR if it is simply used to speed up the process rather than reengineer it. As
Davenport (1993) contends:
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... information and IT are rarely sufficient to bring about the process change; most
process innovations are enabled by a combination of IT, information and
organizational/human resource changes.
Vendor User
Driven Driven
Vendor Developed
Application Solution
Application
Adaptation
Customized
Application
Narrow Focus
Broad Focus
Intrafunctional
Functional Localized
vendor constrained
work-flow BPR
Functional semi-
customized
localized work-
flow BPR
Functional
customized
localized work-
flow BPR
Interfunctional
Cross functional
vendor constrained
BPR
Cross functional
semi customized
BPR
Cross
functional
customized
BPR
Interorganizational
Strategic Business
Network vendor
constrained BPR
Strategic Business
Network semi
customized BPR
Strategic
Business
Network
redefinition
customized
BPR
Figure 2: BPR Strategies (Light, 2000)
IT can continuously reflect and reinforce bureaucratic and functional structures or IT can
help to create a leaner, flatter and more responsive organization. For example, IT tools
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that are designed for functional hierarchies are primarily designed to support incremental
improvements and cannot achieve the radical change in BPR projects.
While information systems provide fast processing and response, they often fail to
provide the flexibility for human communication, which can lead to serious
consequences. This means IT may sometimes have a negative impact by merely
automating the existing processes. However, it could also have a positive impact if it is
deployed correctly in conjunction with the organizations goals. IT is the enabler to
reengineer processes and is an important driving force for business transformation.
8. BPR and Information TechnologyThere is a relationship between BPR and information technology (IT). Hammer
(1990) considers it to be the key implementation of BPR. He says the use of IT is to
challenge the assumptions inherent in the work processes that have existed since before
the advent of modern computer and communications technology. He argues that at the
heart of reengineering is the idea of discontinuous thinking. Discontinuous thinking is a
way to recognize and break away from the outdated rules and fundamental assumptions
that underlie operations. Usually, these rules are based on assumptions about technology,
people, and organizational goals that no longer exist. Hammer (1990) suggests the
following principles of reengineering:
Organize around outcomes, not tasks
Have those who use the output of the process perform the process
Interleave information processing work into the real work that produces the
information
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Treat geographically dispersed resources as though they were centralized
Link parallel activities instead of integrating their results
Put the decision point where the work is performed, and build control into the
process
Capture information once and at the source
Davenport & Short (1990) argue that BPR requires taking a broader view of both IT and
business activity, and of the relationships between them. IT should be viewed as more
than an automating or mechanizing force but rather as a way to fundamentally reshape
the way business is done. Many researchers and practitioners have increasingly
considered factors related to IT infrastructure as a vital component of successful BPR
efforts. Effective alignment of IT infrastructure and BPR strategy, building an effective
IT infrastructure, adequate IT infrastructure investment decision, adequate measurement
of IT infrastructure effectiveness, proper IS integration, effective reengineering of legacy
IS, increasing IT function competency, and effective use of software tools are a few of
the most important factors that contribute to the success of BPR projects. This alignment
of IT infrastructure and BPR strategy are needed to ensure the success of the BPR
initiative.
IT can best enhance an organizations position by supporting a business-thrust strategy
(McDonald, 1993). The business strategy should be clear and detailed. Top management
should act as a strategy formulator who provides commitment for the whole process of
redesign, while the IS manager should be responsible for designing and implementing the
IS strategy. The strategy describes the role of IT in leveraging changes to business
processes and infrastructures. IT strategic alignment is approached through the process of
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integration between business strategy and IT strategy, as well as between IT
infrastructure and organizational infrastructure. The degree of alignment between the
BPR strategy and the IT infrastructure strategy is indicated by including the identification
of information resource needs in the BPR strategy, deriving the IT infrastructure strategy
from the business strategy, examining the IT infrastructure strategy against the BPR
strategy, the active involvement of management in the process of IT infrastructure
planning and IT managers in business planning, and by the degree of synchronization in
formulating the two strategies. The following figure shows the multidimensional nature
of BPR.
Figure 3: Multidimensional View of BPR (Light, 2000)
Business activities should be viewed as more than a collection of individual or even
functional tasks. They should be viewed as a way to achieve maximum effectiveness. IT
and BPR have recursive relationships. IT capabilities should support business processes
Strategic Choice
Strategic Vision
BPR Strategy:
-Unit of Analysis
-Scope
-Scale-Pace
IT Strategy
Business pressures
Business Legacy
IT Legacy
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and business processes should be implemented in terms of the capabilities IT can provide.
Davenport & Short (1990) refer to this broadened, recursive view of IT and BPR as the
new industrial engineering. Business processes represent a new approach to coordination
across an organization. IT's promise is to be the most powerful tool for reducing the costs
of coordination (Davenport & Short 1990). The way related functions participate in a
process can be differentiated along two dimensions: degree of mediation and degree of
collaboration. They define the Degree of Mediation of the process as the extent of
sequential flow of input and output among participating functions. They define the
Degree of Collaboration of the process is the extent of information exchange and mutual
adjustment among functions when participating in the same process. In this framework,
information technology is critical in reducing the Degree of Mediation and enhancing the
Degree of Collaboration. Also, innovative uses of IT would inevitably lead many firms to
develop new structures, enabling them to coordinate their activities in ways that were not
possible before. Such structures may raise the organization's capabilities and
responsiveness, leading to potential strategic advantages.
Although, BPR has its roots in IT management, it is primarily a business initiative that
has broad consequences in terms of satisfying the needs of customers and the firm's other
constituents (Davenport & Stoddard 1994). The IS group may need to play a behind-the-
scenes advocacy role, convincing senior management of the power offered by IT and
process redesign. It would also need to incorporate the skills of process measurement,
analysis, and redesign.
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9. Davenport and Short (1990) prescribe a five-step approach to BPR:
Develop the Business Vision and Process Objectives: BPR is driven by a business
vision, which implies specific business objectives such as Cost Reduction, Time
Reduction or Output Quality improvement.
Identify the Processes to be Redesigned: Most firms use an approach, which focuses on
the most important processes, or those that conflict most with the business vision. A
fewer number of firms use the exhaustive approach that attempts to identify all the
processes within an organization and then prioritize them in order of redesign urgency.
Understand and Measure the Existing Processes: Important to avoid the repetition of
old mistakes and for providing a baseline for future improvements.
Identify IT Levers: Awareness of IT capabilities can and should influence process
design.
Design and Build a Prototype of the New Process: The actual design should not be
viewed as the end of the BPR process. In contrast, it should be viewed as a prototype,
with successive iterations. The metaphor of prototype aligns the BPR approach with
quick delivery of results, and the involvement and satisfaction of customers.
According to Malhotra (1998), 70% of the BPR projects fail. He states the biggest
obstacles that reengineering faces are:
Lack of sustained management commitment and leadership.
Unrealistic scope and expectations.
Resistance to change.
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Based on the BPR consultants' interviews, Bashein et al. (1994) outline the positive
preconditions for BPR success as: Senior Management Commitment and Sponsorship;
Realistic Expectations; Empowered and Collaborative Workers; Strategic Context of
Growth and Expansion; Shared Vision; Sound Management Practices; Appropriate
People Participating Full-Time and Sufficient Budget. They also identify negative
preconditions related to BPR as: The Wrong Sponsor; A "Do It to Me" Attitude; Cost-
Cutting Focus; and Narrow Technical Focus. The negative preconditions relating to the
Organization include: Unsound Financial Condition; Too Many Projects Under Way;
Fear and Lack of Optimism; and, Animosity Toward and By IS and HR Specialists. To
turn around negative conditions, organizations should: Do Something Smaller First (pilot
project); Conduct Personal Transformation (change of mindset); and Get IS and HR
Involved.
King (1994) views the primary reason for BPR failure as overemphasis on the tactical
aspects and the strategic dimensions being compromised. He notes that most failures of
reengineering are attributable to the process being viewed and applied at a tactical, rather
than strategic, levels. He discusses that there are important strategic dimensions to BPR,
notably, Developing and Prioritizing Objectives; Defining the Process Structure and
Assumptions; Identifying Trade-Offs Between Processes; Identifying New Product and
Market Opportunities; Coordinating the Reengineering Effort; and, Developing a Human
Resources Strategy. He concludes that the ultimate success of BPR depends on the people
who do it and on how well they can be motivated to be creative and to apply their
detailed knowledge to the redesign of business processes (Davenport & Stoddard 1994,
Markus et al. 1994).
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Kettinger & Grover (1995) outline some propositions to guide future questions into the
phenomenon of BPR. Their propositions center around the concepts of knowledge
management, employee empowerment, adoption of new IT's, and a shared vision. Earl et
al. (1995) have proposed a "process alignment model" that consists of four emphases:
process, strategy, IS, and change management and control and used it to develop more
BPR strategies. Malhotra (1998) has developed the key emphasis on these issues based
primarily on an integrated view of recent literature from organization theory, organization
control, strategy, and IS. King (1994) believes that although the current interest in BPR
may end, process reengineering, in some form or another would endure.
ConclusionDramatic changes in the business environment throughout the nineteen eighties forced
organizations to examine outdated modes of work and develop new focused strategies
based on new business models. Many business management concepts emerged but BPR
has probably been the most influential. BPR emerged as a concept geared towards a clean
slate, radial approach. However, the original ideas did not take into account the situations
in organizations where factors such as the evolution of the ways of work, organizational
cultures and IT infrastructures had become significantly linked with organizations. A
variety of methodologies, tools and techniques for BPR projects have developed out of
implementation failures. As a result, the concept of BPR has survived and has been
broadened to become more commonly associated with multidimensional process change
efforts. Reengineering is not just a matter of fundamental and radical improvements in
performance, but is also an approach to analyzing and transforming the nature of
businesses and industries.
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