Business Process Reengineering Advisory Group
Enterprise Integration Laboratory
Department of Industrial Engineering, University of Toronto
Rm 207 Rosebrugh Building
4 Taddle Creek Road, Toronto, Ontario M5S 1A4
tel: 416-978-0910 or 416-978-6823 fax: 416-978-3453
Decomposition and Structure of the BPR Process
In this section we present the steps in the BPR process. These steps are organized hierarchically in the form of processes and subprocesses.
1.0 Set the Context
This stage can be thought of as defining the preconditions for BPR. They establish the internal and external conditions that might affect a particular reengineering endeavour. These define the scope of BPR within the enterprise by constraining what processes will be performed and how they will be performed, and by defining the scope, context, and expectations for the reengineering project. In particular, at this stage we must evaluate ann enterprise and its environment, and determine whether BPR is appropriate.
Beginning with the definition of the reengineering endeavour, this stage links the endeavour to the enterprise's objectives.
1.1 Opportunity Identification
1.1.1 Identify a need for some change in all of (...the corporation), or some portion of (...the enterprise), a corporation
1.1.2 Assess whether the BPR approach is appropriate
1.1.3 Gain commitment in principle to pursue a solution to the need
1.1.4 Identify the sponsor
1.2 Define the scope of the Re-engineering endeavour
1.2.1 Define the enterprise to be reengineered e.g. corporation, function, department, job, process, procedure
1.2.2 Identify focus of effort, e.g. issue(s), problem(s), opportunity(s), process(es)
1.2.3 Identify expectations re desired outcome and timeframe
1.2.4 Identify key processes and jobs impacted
1.2.5 Identify possible participants
1.2.6 Gain agreement to continue
1.3 Define the environmental factors relevant to impacted process(es)
1.3.1 Identify corporate customer needs and expectations
1.3.2 Identify corporate market opportunities and constraints
1.3.3 Identify corporate vision and goals
1.3.4 Identify core competencies and key roles
1.3.5 Identify corporate strategies
1.3.6 Identify corporate competition and its capabilities
1.4 Identify objectives of the enterprise
1.4.1 Identify enterprise's customer's needs and expectations
1.4.2 Identify enterprise's vision and goals
1.4.3 Identify enterprise's strategies
1.4.4 Identify key performance criteria
1.4.5 Identify the expectations on each of the key roles
1.4.6 Link the key performance criteria to the goals of the corporation
1.4.7 Identify objectives that are not addressed by the current enterprise but which can be achieved by existing core competencies of the enterprise.
1.4.8 Identify which objectives of the enterprise are not being satisfied.
1.5 Identify objectives of the process(es)
1.5.1 Identify ownership of process(es)
1.5.2 Identify expected outcomes of the process(es)
1.5.3 Identify critical success factors for the process(es)
1.5.4 Identify linkage to the objectives of the enterprise
1.5.5 Identify linkage to the key roles
2.0 Define, Model and Analyze the Process
In this stage, we describe the current activities in the enterprise, showing how they contribute to, or inhibit, the enterprise from achieving the desired outcomes of the reengineering endeavor. We also document possibilities for change that contribute to the desired outcomes.
Given the objectives and the environment defined by setting the context, what is required to represent the current or "as-is" enterprise? By defining how the current enterprise performs, we identify specific targets for redesign:
- Identification of current and future needs of the enterprise.
- Identification of solution opportunities.
- Preliminary design/redesign.
2.1 Represent the current enterprise
2.1.1 Define the existing organization, roles, processes & subprocesses, information flows, and their inter-relationships
2.1.2 Identify value-add and non value-add subprocesses
2.1.3 Define the skills and systems supporting the existing processes.
2.1.4 Identify existing measurements of process performance re cycle time, defects, and satisfaction
2.1.5 Understand level of performance of existing process(es)
2.2 Identify current and future needs of the enterprise
2.2.1 Gather future needs, and current complaints of the customers of the existing process(es)
2.2.2 Gather future needs, and current complaints of the suppliers to the existing process(es)
2.2.3 Gather future needs, and current complaints of the performers of the existing process(es)
2.2.4 Identify properties of the process(es), roles or organization that prevent the enterprise from achieving its goals and performance criteria.
2.2.5 Define skill requirements and skill gaps for existing process(es)
2.2.6 Define systems requirements for existing process(es)
2.3 Identify solution opportunities
2.3.1 Document deficiencies, and value-add opportunities for current processes
2.3.2 Identify which processes need to be redesigned based on the possible explanations provided by diagnosis of the problems within the enterprise.
2.3.3 Prioritize opportunities for change based on contribution to desired outcomes (note: many different types of change. e.g. role. process, measurement, target, level of automation, media of communication
2.3.4 Identify target process(es) for reengineering
2.3.5 Review with sponsor and validate desired outcomes of reengineering endeavor.
3.0 Design and Redesign
In this stage, we propose and analyze alternative designs, and get agreement to how the desired outcomes of the reengineering endeavour will be achieved. The output of this stage is an implementation plan, which may include a pilot strategy. At this stage, the purpose of the pilot is to provide a rapid prototype of the redesign for validation. A current open question for the project is to define the evaluation criteria used for validation.
3.1 Analyze and develop design alternatives
3.1.1 Identify and analyze best practice(s) and select best practice alternatives that match the needs
3.1.2 Design the detailed activities and information flows.
3.1.3 Define process performance measurements and targets
3.1.4 Revise management system
3.1.5 Define roles, task assignments, and organization structure
3.1.6 Define skill and automation enhancements
3.1.7 Identify and characterize the consequences of design/redesign decisions. In particular, assess the impact of new processes and organization structures on the enterprise.
3.1.8 Test the design to ensure optimum performance through role clarity, work simplification, defect elimination, and reduction in time and cost to perform the process(es)
3.1.9 Document rationale for design/redesign, showing linkages to environmental factors
3.1.10 Validate design with customer, suppliers, performers and the sponsor, including an assessment of the coverage of their needs and expectation
3.1.11 Review the design and get sponsor agreement to implement
3.2 Develop implementation plan
3.2.1 Define approach to get senior management approval and commitment to personal involvement
3.2.2 Define sustaining sponsors
3.2.3 Define clear statement of value to all participants
3.2.4 Define all participants in the change
3.2.5 Define steps to migrate from old to new processes
3.2.6 Define roles, tasks and responsibilities for all participants
3.2.7 Define how to measure and report on progress
3.2.8 Define how to address both individual and group resistance
3.2.9 Define approach to address political aspects
3.2.10 Identify situation to pilot
3.2.11 Review the plan and get agreement from all sponsors
4.0 Implement
Given the implementation plan of the preceding stage, we evaluate and validate the redesign, and prepare to implement the redesign. The output of this stage is commitment to a redesign and launch of the redesign (execution of the implementation plan). This may include the prior implementation of a pilot; at this stage, the pilot is seen as the initial step in a phased rollout of the full implementation. The implementation guides the affected parties through the changes necessary to perform the reengineered processes and achieve the desired outcomes.
4.1 Win commitment
4.1.1 Communicate plan to all affected parties
4.1.2 Perform pilot
4.1.3 Evaluate results of the pilot
4.1.4 Refine implementation plan
4.1.5 Communicate results of pilot to all affected parties
4.2 Perform migration steps
4.2.1 Create appropriate structures to support change - driver, supporter
4.2.2 Perform implementation plan
4.2.3 Report on progress
4.2.4 Review implementation and confirm acceptance of change
4.3 Validate acceptance
4.3.1 Address individual and group resistance to change
4.3.2 Address the political aspects
4.3.3 Review post implementation status
5.0 Operate
This stage focusses on the maintenance and monitoring of the redesigned enterprise and its implementation. Through evaluation and validation of the redesign, the result of this stage leads to possible modification of the redesign and continuous improvement.
5.1 Monitor and maintain redesign
5.1.1 Revise process improvement team structure and process ownership framework
5.1.2 Set process performance targets
5.1.3 Monitor achievement of targets . Determine if and when the implementation of the redesign is inconsistent with the original redesign.
5.2 Improve continuously
5.2.1 Monitor best practice. Identify any new constraints that may arise in the enterprise's environment that invalidate some aspect of the redesign.
5.2.2 Identify root causes of variance in performance from targets
5.2.3 Define and implement improvement projects
6.0 Provide support to BPR
6.1 Management
6.1.1 Establish a process orientation to all management activities within the enterprise
6.1.2 Provide standards for consistent descriptions of processes, process strategy and plans.
6.1.3 Provide a framework of the entities within an enterprise necessary for effective process management, including: process, owners, information flows, data structures, roles, skills, automated systems, organizational functions, departments,jobs, measurements
6.1.4 Establish a process framework that visibly identifies how each employee contributes to building and delivering value to the enterprise's customers
6.1.5 Establish a communication process that ensures all employees understand potential problems and solutions throughout the enterprise
6.1.6 Provide a framework for establishing management and reward systems that support the improvement of organization effectiveness and efficiency
6.2 Human Resources
6.2.1 Identify the role definitions, skills, performance standards, and recognition/compensation necessary to support effective process design, implementation, operation and improvement (i.e. for both the BPR professionals and the enterprises employees)
6.2.2 Provide appropriate training to develop the necessary skills
6.2.3 Establish the core competencies of the enterprise
6.3 Technology
6.3.1 Provide IT tools to assist in the measurement, analysis, design, redesign and management of processes
6.3.2 Provide an IT platform that enables the processes to contribute to achievement of corporate and enterprise vision and goals
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