Business Process Reengineering

2. Objectives:
•Present an overview on the concept of Process
Management and Process Reengineering
•Analyse existing workflow to be able to align
current resources and capabilities to achieve
optimum process performance

3. Definition of Terms:
Business Process Management is the process of aligning
the resources of the organization to improve business process
performance.
Business Process Reengineering (BPR) is the analysis and
redesign of workflow within and between enterprises. It
shifts the focus from operational improvement to operational
innovation.
Cross Functional Groups – Individuals with different
functional expertise working toward a common goal.

4. Basic Business Process Reengineering Principles:
1. Organize around outcomes, not tasks.
OPERATIONS
•COMPLETION
OF PROCESS
FINANCE HR
•SEND & •DELIVER
COLLECT MANPOWER
BILLINGS REQUIREMENT
CUSTOMER
OUTWARD FLOW DIAGRAM SATISFACTION
(OUTCOME)
Focus on TASKS instead of Outcomes
SHARED
SERVICES/IT SALES
•COMPLETION •CLOSE A SALE;
OF DELIVERY HIT QUOTA
QUALITY
•PVR,
SCHEDULES

5. Basic Business Process Reengineering Principles:
2. Identify all the processes in an organization and prioritise them in order of redesign
urgency.
3. Integrate information processing work into the real work that produces the
information.
4. Treat geographically dispersed resources as though they were centralized.
5. Link parallel activities in the workflow instead of just integrating their results.
6. Put the decision point where the work is performed, and build
control into the process.
7. Capture information once and at the source.

6. CLIENT REQUIREMENT
PLANNING
•SUPPORT
CORE PROCESSES
•PROCESS
FINANCIAL IMPROVEMENT
SALES IMPLEMENTATION DISPATCH BILLING/COLLECTION
SERVICES
•EXTERNAL
CLIENT SATISFACTION

7. CROSS FUNCTIONAL TEAM
MARKET CORE CLIENT
PLANNING
DEMAND PROCESSES SATISFACTION
PRODUCT DEVELOPMENT
SALES
SERVICE DELIVERY
BILLING & COLLECTION

8. PRODUCT SERVICE BILLING &
SALES
DEVELOPMENT DELIVERY COLLECTION
SUPPLIER INPUT PROCESS OUTPUT CLIENT
MARKETING market research
latest technology trend
IT
capabilities of existing system
financial data
FINANCE
analysis of ROI
PROCUREMENT costing of required resources PRODUCT NEW PRODUCT /
SALES
client feedback - additional service DEVELOPMENT SERVICES
OPERATIONS
requirements
evaluation results
QUALITY
identified system & process improvements
HR manpower / skills requirement
Subject Matter
Experts Expertise

9. •QUALITY & SERVICE
QUALITY COST
•DEFECT RATES
•CONSUMPTION OF
RESOURCES
ENVIRONMENT
PERFORMANCE COST
PRODUCT •COST OF OWNERSHIP
•COST TO CUSTOMERS
(BREAKTHROUGH,
EXTENSIONS,
IMPROVEMENTS)
•ADVANCED FEATURES
•WIDE VARIETIES •SERVICE
•PRODUCTION & PERFORMANCE
DELIVERY LEAD TIME
AVAILABILITY INNOVATIVENESS

10. PRODUCTION /
SYSTEM
CONCEPT DETAILED TESTING / SERVICE
PLANNING LEVEL
DEVELOPMENT DESIGN REFINEMENT DELIVERY
DESIGN
RAMP UP

11. PRODUCT SERVICE BILLING &
DEVELOPMENT SALES DELIVERY COLLECTION
SUPPLIER INPUT PROCESS OUTPUT CLIENT
service offering /
market strategy map inclusions
MARKETING identified target market Sales Group
service design pricing scheme
competitor's price
document requirements - proposals /
new clients
quotation, service agreements, job order
demo / presentation service renewals
SALES prospects
Service Delivery Group
existing clients
pricing scheme
SALES new products/ services,
Sales, Development
renewals, product
"Group"
OPERATIONS client inquiries modifications
identified resource Sales, HR, IT, Shared
capacity plan requirement Services
logistics resources
SHARED SERVICES Sales
supplies
direct / indirect cost pricing scheme Sales
FINANCE billing - charges billing / invoice Client
manpower
skilled and motivated
HR training
manpower
All Groups
hr initiatives / programs

12. PRODUCT
SALES
SERVICE BILLING &
DEVELOPMENT DELIVERY COLLECTION
SUPPLIER INPUT PROCESS OUTPUT CLIENT
signed job order processed data
Implementation,
SALES
Operations
service agreement
service level agreement
MKTG Monitor product performance Product assessment Product Devt. Team
data set-up
IMPLEMENTATION approved process flow Operations
clearbook
new products / services,
Sales, Development
client inquiries / requests / feedback renewals, product
"Group"
modifications
OPERATIONS SERVICE
service support / follow through high client satisfaction level Client
capacity plan DELIVERY identified resource Sales, HR, IT, Shared
(from requirement Services
Implementation,
quality policies implementation to
QUALITY GROUP quality product / service Operations, Other Groups
client feedback)
quality controls Client
logistics Clients, Prospects
SHARED SERVICES resources
supplies All Groups
reliable infrastructure & system
All Groups
IT application performance efficiency
technical support All Groups
FINANCE billing – charges; resources Collection; mobility Client; All groups
skilled and motivated
manpower
manpower
HR All Groups
performance management
high performance levels
hr initiatives / programs

13. SERVICE
LEVEL
AGREEMENT
CLIENT
RELATIONSHIP IMPLEMENTATION
MANAGEMENT
PERFORMANCE SERVICE PROCESS
MANAGEMENT MANAGEMENT
DELIVERY
SUPPORT INFRASTRUCTURE
QUALITY
MANAGEMENT

14. PRODUCT BILLING &
SALES SERVICE DELIVERY
DEVELOPMENT COLLECTION
SUPPLIER INPUT PROCESS OUTPUT CLIENT
signed job order
SALES pricing scheme billing Finance
service level agreement
transaction count / details
BILLING &
OPERATIONS billing Finance
COLLECTION
additional costs
SHARED SERVICES logistics billing Finance, Clients
billing - charges receivables Client
FINANCE
collected payments funds availability Finance