BUSINESS PROCESS RE-ENGINEERING



Business Process Re-engineering also commonly known as BPR involves the radical redesign of core business processes to achieve dramatic improvements in productivity, cycle times and quality.
In BPR, companies start with a blank sheet of paper and rethink existing processes to deliver more value to the customer. They typically adopt a new value system that places increased emphasis on customer needs. Companies reduce organizational layers and eliminate unproductive activities in two key areas.
-First, they redesign functional organizations into cross-functional teams.
-Second, they use technology to improve data dissemination and decision making.
How Business Process Re-engineering works:
Business Process Re-engineering is a dramatic change initiative that contains five major steps that managers should take:
·         Refocus company values on customer needs
·         Redesign core processes, often using information technology to enable improvements
·         Reorganize a business into cross-functional teams with end-to-end responsibility for a  process
·         Rethink basic organizational and people issues
·         Improve business processes across the organization

By Eve,
UNIVERSITY OF NAIROBI,  FINANCE DEPARTMENT

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