The three Cs—customers, competition, and change—have created a new world for business, and it is becoming increasingly apparent that organizations designed to operate in one environment cannot be fixed to work well in another. Companies created to thrive on mass production, stability and growth cannot be fixed to succeed in a world where customer, competition and change demand flexibility and quick response.
Moreover, some people think that automation is the answer to business problems. True, computers can speed work up, and in the past decades, business have spent billions of dollars to automate tasks that people once did by hand. Automating does get some jobs done faster. But fundamentally, the same jobs are being done, and that means no fundamental improvements in performance. This is where business process reengineering comes in.
Business Process Reengineering (BPR) is the fundamental rethinking and radical redesign of business processes enabled by information technology to achieve dramatic improvements in business performance. Instead of tinkering with—or simply computerizing—an aspect of work design, the approach is to radically redesign the whole business process. BPR is not about fixing anything. It is about starting again, about reinventing the nature of work and corporate structures from top to bottom.
Michael Hammer and James Campy developed the BPR framework in the 1990s. Not only was the approach well-received by various industries, but the methodology is also still highly relevant today.
As a result of the pandemic, organizations are reengineering their business processes to embrace digital technology, improve delivery times and provide a more enhanced customer experience. In addition, BPR may be the answer to organizations who are expecting results over and beyond what continuous improvement techniques can offer.
Companies that have successfully reengineered have saved hundreds of millions of dollars a year, achieved unprecedented levels of customer satisfaction, and speed up and make more flexible all aspects of their operations. Examples of companies that have successfully reengineered include Hallmark, Taco Bell, Bell Atlantic, Ford, Mutual Benefit Insurance and Xerox among others
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