Explain BPR and its significance
According to Porter, the re-engineering literature utilizes re-engineering as an alternative word for activities. In some cases, the term represents the operations that penetrate and shape the direction of the organizational processes and units (Majeed 2013). However, in spite of the different and seemingly advancing descriptions and perceptions towards BPR, the concepts of business re-engineering and business activities are similar because both the discernment of the operational and strategic issues are best at the activity level (Majeed 2013). The designer of BPR claims that the business invention calls for drastic and transformative changes to normal business operations in order to enhance better performances such as value, promptness, and cost. Nowadays, BPR provides an innovative approach to corporate change. Different from other techniques of process management, such as Enterprise Resource Planning, the BPR achieve its goal on a broader scale.
Instead, BPR aims to remove the surplus management units, alter the business operations, and reduce wastage. Similarly, BPR is incomparable to all the disciplines that guide the process management and the enterprise world. Often, the BPR solutions are far-reaching yet controversial. The BPR solutions are practical because they often overlook the rules that apply to the contemporary organizational or business processes (Herzog et al. However, most large or already operating organizations have a team of idle employees that hardly add value to an organization (Grant 2002). Once the divisional manager concludes that the company is working complacently, he/she should identify the appropriate solution to the matter and consider the BPR for total reorganization. Examples of Successful BPR Implementation In the past, the BPR has been successful in several companies such as Bell Atlantic, GTE, and Ford Motors.
These companies integrated the BPR model in the early and mid-1990s in an attempt to reallocation their operations. The adopted reengineering process yielded substantial benefits to them while radically reducing their operating costs and making them overcome the increasing competition (Bradford & Gerard 2015). Re-engineering the customer care process was the turning point for the rapidly declining American giant (Bradford & Gerard 2015). The managing director concluded that the company required drastic interventions to streamline things. The newly adopted measure was dubbed the one-stop solution for all client inquiries. It merged the customer care personnel from different departments and dismissed employees to reduce the operating costs (Bradford & Gerard 2015). The move elicited criticisms because the outcome was the massive firing of employees that had worked in the company for years and decades.
BPR in Saudi Arabia The re-engineering process entails assessing the firm’s central operations and reconstructing them in a more effective manner and in a way that overcomes the deep-rooted and often extraneous functional distractions. In Saudi Arabia, the BPR is referred by the name of ABSHER. The country’s government has emerged successful in implementing the ABSHER system in the Ministry of Interior. The role of this system is to serve the residents and citizens through the ABSHER portal while promoting peace, stability, and security through the nation (MOI, 2015). The system requires the citizens to login to receive relevant services such as business registration, employment, expatriates information, electronic inquiries, and e-services. BPR would yield the desired outcomes for an organization that intends to abandon the old organizational practice and to new operations to attain the ambitious goals.
An essential aspect of the BPR is to understand the ways to embark on the implementation. During identification of whether or not a BPR would yield the desired outcomes. The most significant question is to recognize whether it is appropriate for a particular organization. Primarily, the BPR is not an innovative practice (Saad 2009). Most organizations have several measures of performance, which renders the strategy ineffective because of complexity (Parmenter, 2017). The aim of implementing the BPR is to address the growing concerns occasioned by reduced productivity and performance. Therefore, rather than using rigid business rules to guide business operations in the organizations, the BPR will allow the organization to concentrate on business rules and ensure that they are available to any application and process as required (Olalla 2000).
Hence, the organization can eradicate redundancy by making it easier to manage, share, and create rules for every process in the organization. BPR will permit the organization to embark on more organizational activities using fewer resources. The Six Sigma eliminates the problem rather than attempting to manage it. Therefore, the manager should begin findings the solution by identifying the problem using the Six Sigma principles. Six Sigma aims to satisfy consumers and increase the revenues. Thus, the manager should identify the underlying problems in the organization by paying keen attention to the customer views. The manager should ensure that every staff in the organization contributes to findings the solution and achieving the project goal. Although business re-engineering promotes increased productivity, it has a negative reputation due to massive layoffs that accompanies new cost-saving initiatives.
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