Accounting technicians scheme west africa



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37
CHAPTER SIX
BUSINESS PROCESS RE-ENGINEERING


Section contents

(h) Learning objective i) Business process re-engineering (BPR) j) Objectives of Business Process re-engineering k) Implementation of Business Process Re-engineering l) Benefits of implementing BPR m) Limitations of implementing BPR n) Review questions
Learning Objectives

After studying this chapter, the reader should be able to
▪ Explain business process re-engineering (BPR).
▪ State the objectives of BPR.
▪ Explain how to implement BPR.
▪ State and explain the objectives of BPR.
▪ State and explain the benefits of BPR.
6.1
Business process re-engineering (BPR)
Business Process re-engineering is the process of recreating a core business process with the goal of improving output quality or reducing cost through the introduction of information technology. It seeks to help companies radically restructure their organisation by focusing on ground-up redesign of their business process. It means changing the process fundamentally. BPR is also called business process redesign, business transformation, or business process change management. Business process re-engineering involves changes in structure and processes within the business organisation. BPR involves the radical redesign of core business processes to achieve dramatic improvements in the area of cost, quality, service and speed in order to deliver more value to the customer so that, the entire technological, human and organisational dimensions maybe changed in the process. Information technology plays a major role in BPR as it provides office automation, branches can be operated indifferent locations, flexible manufacturing, quicker delivery to customers, better online customer service, and paperless transactions, etc.


325 Generally, BPR involves discovering how business processes currently operate, how to redesign these processes to eliminate the wasted or redundant effort and improve efficiency, and how to implement the process changes in order to gain competitiveness. The aim of BPR, according to Sherwood-Smith (1994), is “seeking to devise new ways of
organizing tasks, organizing people and redesigning IT systems so that the processes
support the organization to realize its goals.

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