What is Business Process Reengineering and its challenges?


Business Process Reengineering is the fundamental re-thinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service, and speed.

In order for an organization to achieve strategic competitive advantage, more efforts should be committed in instituting radical changes in its operations in order to differentiate itself from competitors.

In eradicating the existing process and instituting new process, an organization is likely to face the following challenges;
i.       i.  Most organizations end up with Process Simplification rather than the Business Process   Reengineering.
  1. Start Point the Existing Process Not a Blank Slate, the process does not start at zero point. Weaknesses relating with existing practices are likely to exist in a newly developed process.
  2. Commitment to Existing Processes Too Strong, huge investment made to existing process and people’s familiarity with existing process may hinder desire for changing into new processes.
  3. Process under review may be too big to achieve or too small to bring expected changes, thus new process may be not achievable or meaningless to an organizations.
  4. The Costs of the Change Seem Too Large, huge investment is required to be done to implement process reengineering. If the new developed process fails, then organization is subjected to a loss.
  5. Business Process Reengineering is implemented as if it is an Isolated Activity and not aligned to the Business Objectives of an organization. It is likely for an organization to fail in achieving its objectives.
  6. Poor Timing and Planning - Business Process Reengineering need to be planned before execution starts and its implementation should be on appropriate time.


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