Business process reengineering(BPR) means radical redesigning of the existing business processes in order to achieve efficiency in processes, output, overall quality or other apprehension. BPR can be implemented even when the existing processes are working for us and helping us to achieve the goals or to render a service. However, the problem is in the way we reach towards the goals because only reaching the goals is not our ultimate aim.
Business Process Reengineering is different from Business Improvement Process.
BPR | BPI |
1. It is more or less bringing substantial changes in the processes. It is not just an adjustment for process efficiency. | 1. It is not a redesign, but a mere change of rules in order to increase the efficiency of the processes. |
2. It sees a broader picture by eradicating the existing processes because of their inefficiency in various fields. | 2. It takes into existence the existing processes and tinker with the rules of the processes. |
3. It takes entirety into picture | 3. It takes up-gradation into picture. |
4. It is more aggressive. | 4. It is recommendatory in nature. |
Example: Suppose we run a restaurant at a luxurious place. We have a normal amount of dine in customers due to high price because of the ambience and other factors. We normally take orders through telecom.
BPR : We built an app for our restaurant which takes order online and we on the other end prepare the food as soon as we receive the order and deliver the same at the earliest possible. This radical redesign of our business process helped us to receive orders online even from those customers who do not possess our contact and not willing to do unnecessary hard work to order through telephone.
This redesigning of our ordering process helped us increase the sale by 200%, eventually leading to high profits.
BPI: We recruited a person to sit by the telephone all day to receive orders and to further communicate to the chef. This improved the chaos caused by telephonic orders and their management.
It is clear that BPI is not eradicating or replacing the existing processes but just improving the existing processes in order to clear the bottlenecks.
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