25-08-2017, 09:32 PM
Role of infor in the Implementation of Business Process Re engineering
Abstract
Business process reengineering (reengineering) is a pervasive but challenging tool for
transforming organizations for radical improvement in all aspects of its performance. Information
technology (IT) plays an important role by either enabling or constraining successful
implementation of Reengineering. This paper explores the role of IT in reengineering. The role of
IT in reengineering is not automating the business process. Companies that think of IT as the tool
for automating its business process cannot reengineer. IT can be an enabler for reengineering by
enabling the organization to reengineer. IT allows the organization to do business process more
efficiently. IT can also become an inhibitor of reengineering if the organization’s IT
Infrastructure is inadequate or inflexible. IT infrastructure capability includes both the technical
and managerial expertise required to provide reliable physical services and extensive electronic
connectivity within and outside the firm.
Introduction
In the post industrial age competition has intensified so much that if the organization
can’t keep pace with the other companies in the same competitive category it will fail. As
a consequence of the above it has become necessary for the organizations to reinvent
themselves, the methodology used being ‘Business Process Reengineering’. Hammer and
Champy (1993) says “Business Process Reengineering means starting all over, starting
from scratch”.
Implementation of Business Process Reengineering
Business Process Reengineering is a discrete, one-time event and it needs to be treated as
a project, which is critical to the future of the organization. So like any other project
Reengineering will have an analysis phase, a design phase and an implementation phase.
The complete process of reengineering can be captured as in the flow diagram given in
figure 1.
The model of implementing reengineering in an organization given in figure 1.is built on
the basic model for implementing reengineering in an organization given by Cross,
Feather, and Lynch (1994). The development of various stages in the model from the
basic model is explained in the following paragraphs.
Criticality of IT in Business Process
The criticality of IT in business process should be analyzed before embarking on the
reengineering project; otherwise there will be a tendency to use IT for automating the
business process, which is not reengineering. IT is the enabler, which will streamline
business processes, reduce cycle times and validate the performance improvements. IT
will help standardize and simplify business processes across the various dimensions of a
business thereby bringing in efficiency gains in terms of time and money. More
importantly, IT through the use of a databases can help in the vital area of knowledge
management by converting data from a common format, manipulate it and present it as
information that is useful in decision making. It can also consolidate and enrich data to
create information that is not available from a single source and can therefore act as a
vital source of competitive intelligence
Conclusion
It is not possible to reengineer without IT support. IT is not only an enabler for
reengineering it has also become an essential and integral part of all reengineering efforts.
In the implementation of reengineering IT is crucial and it provides the skills and tools
that are needed to effectively reengineer.
1. IT provides project management skills that are important in the successful
implementation of reengineering as a project.
2. In the design phase of implementation of reengineering the capabilities of IT can be
used to simulate a model of the design and there by validate the new design.
3. The disruptive power of IT helps in the design phase of implementation of
reengineering. The disruptive power helps organizations to break all the rules and
think inductively about the business that they are in to gain competitive advantage.
4. If not used properly IT can become an inhibitor of reengineering if the organization’s
IT Infrastructure capabilities are inadequate or inflexible.
5. IT capabilities of the organization should not directly influence the IT solutions that
are needed for the company.