Business Process Reengineering – What it means and why it’s needed
Definition of Business Process Reengineering
Business Process Reengineering (BPR) can be defined as radical redesign and rethinking of business processes to bring out remarkable differences in contemporary and critical areas of a company performance such as quality, speed, service and cost. Though different authors have used different definitions, important characteristics of BPR are radical change and its scale and spread across the organisation (Neill & Sohal, 1999).
The Need for BPR
The high expectations of customers (in terms of price, service and quality), high level of competition and unprecedented changes in the industry have created a business world in which companies should have flexibility and embrace change quickly. BPR targets at these requirements by matching market opportunities with that of corporation capabilities. Hence, it ensures growth of the company. It helps in eliminating various intermediate layers connecting customers directly to product managers (Davenport, 1993b).
Neill,P. & Sohal,S.A., 1999. ‘Business Process Reengineering – A review of recent literature’, Technovation, 19, pp. 571-581
Davenport, T.H., 1993b, ‘Process innovation: reengineering work through information technology’. Harvard Business School Press, Boston.