What is Business Process Reengineering?
Any kind of implementation of Business Suite like ERP or eCommerce differs from generic Business Automation. Here comes Business Process Reengineering (BPR). It consisted of starting from a blank slate and completely recreating major business processes as well as the use of information technology for significant performance improvement.
72% of implementation of business software have been failed due to a solid Requirement Analysis and BPR. Business process reengineering (BPR) is the analysis and redesign of workflows within and between enterprises to optimize end-to-end processes and automate non-value-added tasks.
Business Process Reengineering involves the radical redesign of core business processes to achieve dramatic improvements in productivity, cycle times and quality. Finally, BPR enables companies to deliver more values to the customers.
Why BPR is Compulsory?
- The world is becoming more competitive- both internationally and domestically
- There is over capacity in the world because many technological improvements have resulted in less staff being needed
- Technology will continue to make jobs obsolete
- It is unclear if demand from emerging markets will fill up that capacity
- Some Asian markets are already feeling strong competition from other markets
- It is unclear whether savings rates will increase or not
- It is unclear whether consumption rates will increase or not
- It is unclear how much government spending will occur due to large debt
- In some countries population is stagnant or decreasing
- Spending by retires in some countries will be much lower than projection
Lifecycle of BPR can be presented as below:
BPM vs BPR