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FUNCTIONAL VS. PROCESS-ORIENTED
BPR Aim to transform a business from being purely functional to becoming process-
oriented
FUNCTIONAL PROCESS-ORIENTED
FOCUS ON Remit Value chain
PROCEDURE Complex Lean
ORGANIZATION Hierarchical Level
ORIENTED
Senior management Clients
TOWARDS
ENVIRONMENT Responsibilities are divided up Holistic
WORKING METHOD Individual Teamwork
EMPLOYEES Directed from outside Autonomous
CULTURE Control Trust
PROCESS Process Organize ORGANIZE FOR
DEPLOYMENT Deployment for BPR BPR
Implement Process Improvement Plan Create Business process map
Measure Results Prioritize areas for improvement
Obtain customer feedback Establish Process Ownership
Do it all over again Form BPR team
Initiate Project
BPR
PHASES
Benchmark the process
Develop solutions to close gaps Determine customer requirements
Get Buy-ins Determine and document current process
Develop Improvement Plans Rate the process
Process Process
PROCESS REDESIGN Redesign Diagnosis PROCESS
DIAGNOSIS
STAGES OF
BPR
VISION IDENTIFICATION
Define corporate vision Identify business
and business goals processes to be
reengineered
REDESIGN ANALYSIS
Identify possible IT applications Analyze and measure
and design alternative processes existing process
EVALUATE IMPLEMENT OPTIMIZE
Evaluate and select Implement the Continuously develop and
reengineered reengineered process improve the new process
processes
BPR SERVICE
LEVELS
TACTICAL VALUE OPTIMIZATION STRATEGIC
OBJECTIVE
• Content focused • Business case focused • Innovation focus
S
• Known opportunities • Value chain prioritization • Enterprise value optimization
• Proof of concept • Program expansion • Program integration
• ROI justification • Benefit realization
Redefine
Enterprise
value
Transformation
Optimize Business Process
value chains Redesign
Process
Improvement
Leverage “Value Expansion”
Best practices
Process Definition
“Value Capture”
Improve
process
efficiency BREADTH OF CHANGE
Function specific projects Core business processes Primary value chain Extended value chain
CHANGE MANAGEMENT
POSITIVE
CURVE
Shock, denial
Commitment
IMPACT
Acceptance
Anger, fear
NEGATIVE
STATUS QUO DISRUPTION EXPLORATION REBUILDING
STAGE 01 STAGE 02 STAGE 03 STAGE 04
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