The Complementariness of the Business Process Reengineering and Activity-Based Management

In order to sustain long term growth and development, an enterprise has to envisage and implement contemporary management innovations altogether. In transition economies, like Serbia is, it is of great importance to redesign business processes and activities, to analyse activity profitability in order to select value-added activities and reduce non-value added ones. This paper considers the possibility for complementary implementation of the business process reengineering and activity based management in the process of long term efficiency improvement. Namely, the basic postulate of business process reengineering concept might be established in the process of activity based management implementation and conversely.business process reengineering, activity based management, enterprise, efficiency

Knowledge Management Applied To Business Process Reengineering

The purpose of this paper is to highlight the role of knowledge management (KM) as a critical factor for the business process reengineering (BPR) success. It supports the theory that the knowledge management can supply the dynamic necessary to stimulate successful reengineering and minimize the failure rate and its sources. Implementing KM strategy in reengineering projects will lead to better outcomes, building the support for long-term success into the design of business systems and processes

SMEs COMPETITIVE ADVANTAGE AND ENTERPRISE RESOURCE PLANNING IMPLEMENTATION: FINDING FROM CENTRAL JAVA

Enterprise Resource Planning (ERP) is an integrated application software for widespread use in the organization. The aim of this study is to determine factors that affect the successful implementation of ERP in Small and Medium Enterprises (SMEs) in Central Java in order to build competitive advantage. To test the hypothesis, this study utilized data from 107 SMEs in Central Java. The results revealed that variable Business Process Reengineering have the greatest influence toward the successful implementation in Small and Medium Enterprises. It is suggested that SMEs should gain knowledge and solidify its business process reengineering before implementing ERP

Konsep Business Process ReenginEering untuk Memperbaiki Kinerja Bisnis Menjadi Lebih Baik: Studi Kasus Perusahaan Susu Kedelai “XYZ”

Business Process Reengineering is a phase of redesigning business process to improve performance. Business Process Reengineering can be applied to improve micro or medium businesses. One example from them comes from a soymilk company. XYZ Soymilk Company is one of the examples of Small and Medium enterprises with home-industry system. Its organizational structure consists of the director and some divisions. Those divisions, which are run by employees, are: production division, procurement division, finance division, and marketing division. The produced soymilk is packed in plastic bags with Susu Kedelai “XYZ” label on it. This product later is marketed in the canteens of universities, some stores around neighborhoods, and supermarkets. The main market target of this product is university students and people around the location. The promotion is done by attaching promotion flyers on some strategic places. The problem that occurs is a shortage in operational management, the number of command and control in the operating system, as well as recording done still manually. The purpose of using Business Process Reengineering concept processing system is to be more computerized for a better, faster, more accurate, effective and efficient, and improvement in operation management system as an attempt to survive among other competitors. The results of the business process reengineering are some business process ideas

An Audience Centred Approach to Business Process Reengineering

This paper describes a method for process modelling which is designed to provide guidance to the business process modeller. The method has evolved from our experience of attempting to apply software process modelling approaches to business processes. A major influence on the method has been our observations that a pragmatic approach to notation selection is required in order to maintain a meaningful dialogue with end-users. Business process modelling methods typically fall into two camps. General methods attempt to describe the managerial activities which surround the modelling itself (Coulson-Thomas, 94; GISIP, 95). Specific methods, on the other hand, tend to concentrate on the details of a particular notational approach. However, as with programming languages or design methods, no single notational approach is best suited to all problems. Ideally, the process modeller should be able to incorporate the appropriate notational approach into some coherent generic modelling method.This paper addresses the needs of the modeller at the detailed level without prescribing a specific notation. This is achieved by describing categories of modelling activities which the modeller should undertake within process modelling, and suggesting how notations may be used within these categories. Our method is generally applicable, and is illustrated here by models of processes within the Construction industry

Organizational Receptivity to Change and Success in Process Reengineering

Although business process reengineering is a major corporate initiative today, the success rate of reengineering projects has been less than ideal. In an attempt to better understand the dynamics underlying this phenomenon, process reengineering is viewed as an organizational innovation. Based upon existing taxonomiesofinnovations,itischaracterizedasaradical,administrative,processinnovation. Drawingupon prior research in the management of such innovations, we postulate that a lack of success in process reengineering may be attributed to inadequate attention being paid to the environment into which it is introduced; we hypothesize that it is necessary to manipulate organizational receptivity to change prior to initiating process reengineering. A model that conceptualizes the determinants of such organizational receptivity to change is constructed. Using a case-study approach, the model is utilized to explain the apparent lack of success of a major business process reengineering effort. The model can potentially serve two purposes: as an a priori conceptualization of the types of organizational climates where process reengineering is likely to be successful, and as a guide to management action — to diagnose what the obstacles to process reengineering are and what changes in the organization might be appropriate

Analyzing the Effects of Tactical Dependence for Business Process Reengineering and Optimization

Implementing business and manufacturing process reengineering is challenging and poses major issues. The dependence issues between process functions during the implementation phase are the main reason for the high failure rate of process reengineering. The incompetence in identifying the dependence makes existing business process reengineering approaches static for modern business and manufacturing process structures. This paper has implemented a new process reengineering approach called the Khan–Hassan–Butt (KHB) methodology that incorporates the process interdependence algorithm to identify the dependence issues. The KHB method is a hybrid process reengineering approach to identify dependence issues before implementing changes; thus significantly reducing the failure rate of implementing business process reengineering. The KHB method has been implemented in a Bangladesh fabric manufacturing facility. The mapping and verification of the process have been completed using the WITNESS Horizon 22.5 simulation package. The case study has investigated the fabric production process and identified the dependence issues between each function and suggested changes to optimize the process. The outcome has shown significant improvement in production output and process efficienc