Business Process Redesign PPT (Unit-4: Building Information Systems)

BUSINESS PROCESS REDESIGN (BPR)
A Comprehensive Overview for Management Students
1. Introduction

In the modern business environment, marked by constant technological advancement and increasing competition, organizations are compelled to rethink the way they operate. Merely automating existing procedures is no longer enough; instead, companies must redefine how work is done to deliver greater value to customers. This transformative approach is known as Business Process Redesign (BPR) — also referred to as Business Process Reengineering.

BPR involves the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in performance measures such as cost, quality, service, and speed. It is not about incremental improvement; rather, it is about making bold, sweeping changes to eliminate inefficiencies, duplication, and unnecessary steps in the workflow.

While automation focuses on doing the same tasks faster through technology, BPR focuses on doing things differently — questioning why a process exists at all, and whether it can be eliminated, merged, or completely restructured. This paradigm shift transforms organizations into more agile, customer-focused, and technology-enabled enterprises.

2. Meaning and Concept of Business Process Redesign

Business Process Redesign is a systematic approach to improving an organization’s business processes by analyzing existing workflows, identifying inefficiencies, and redesigning them to achieve better outcomes. It is closely linked with Business Process Management (BPM) — a continuous cycle of process design, execution, monitoring, and optimization.

According to Michael Hammer and James Champy, who popularized BPR through their 1993 book Reengineering the Corporation,

“Reengineering is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical measures of performance such as cost, quality, service, and speed.”

The term “redesign” emphasizes that BPR is not just about small adjustments or automation of old processes but about restructuring entire workflows to align with organizational goals.

3. Objectives of Business Process Redesign

The main objectives of BPR are:

Process Efficiency: To simplify and streamline processes by removing redundant activities and bottlenecks.

Cost Reduction: To lower operational costs by optimizing resource utilization and minimizing waste.

Customer Satisfaction: To improve responsiveness and quality of service.

Agility and Flexibility: To make organizations more adaptable to changing market conditions.

Integration of Technology: To leverage information systems for effective decision-making and coordination.

Empowered Workforce: To enhance employee participation and decision-making authority.

BPR aims to transform an organization into a leaner, faster, and customer-driven system.

4. The Need for Business Process Redesign

Several factors drive organizations toward BPR initiative

1. Business Process Redesign Business process management provides powerful tools and methodologies to analyze existing processes, design new workflows, and optimize operations. BPM is an ongoing journey of continuous improvement, never truly complete because excellence requires constant adaptation and refinement.

2. The Five-Step BPM Framework Companies practicing business process management follow a structured approach to transform their operations and drive meaningful improvement: 01 Identify Processes for Change Determine which business processes need improvement and will deliver the greatest impact 02 Analyze Existing Processes Model and document current workflows, identifying inefficiencies and bottlenecks 03 Design the New Process Create streamlined "to-be" processes that eliminate waste and optimize performance 04 Implement the New Process Roll out new procedures, systems, and work rules across the organization 05 Continuous Measurement Monitor process performance and make ongoing adjustments to maintain effectiveness

3. Step 1: Identify Processes for Change Strategic Selection is Critical One of the most important strategic decisions a firm can make isn't deciding how to use computers to improve business processes—it's understanding what business processes need improvement. When systems strengthen the wrong business model or processes, the firm becomes more efficient at doing what it shouldn't do, making it vulnerable to smarter competitors. Key Question: Managers must determine which business processes are most important and how improving them will drive overall business performance and revenue.

4. The Risk of Poor Process Selection Wrong Business Model Systems may reinforce outdated or ineffective business models, making operations more efficient at the wrong activities Low-Impact Improvements Time and cost spent improving processes with minimal impact on firm performance and revenue Competitive Vulnerability Competitors who identify the right business model gain significant advantages in the marketplace

5. Step 2: Analyze Existing Processes Existing business processes must be thoroughly modeled and documented to understand current operations: Map Inputs and Outputs Document all information, materials, and resources that flow into and out of the process Chart Activity Sequences Detail the step-by-step flow of activities and decision points throughout the process Identify Inefficiencies The process design team pinpoints redundant steps, paper-intensive tasks, bottlenecks, and other opportunities for improvement

6. Step 3: Design the New Process From "As-Is" to "To-Be" Once the existing process is mapped and measured in terms of time and cost, the design team creates an improved version. The new streamlined "to-be" process is thoroughly documented and modeled for direct comparison with the old process, highlighting efficiency gains and cost savings. Current State Documented "as-is" process with measured metrics Redesign Streamlined workflow eliminating waste Future State Optimized "to-be" process ready for implementation

7. Step 4: Implement the New Process Translation into action requires careful planning and execution: 1 Document Procedures Create new procedures and work rules that support the redesigned process 2 Deploy Systems Implement new information systems or enhance existing ones to enable the process 3 Roll Out to Business Launch the new process organization-wide with proper training and support 4 Address Issues Identify and resolve problems as employees begin using the new process Employees working with the process often provide valuable recommendations for further improvements based on real-world experience.

8. Step 5: Continuous Measurement The Never-Ending Journey Once a process has been implemented and optimized, continuous monitoring becomes essential for sustained success . Processes may deteriorate over time as employees revert to familiar old methods, or they may lose effectiveness when the business undergoes other changes. Regular measurement ensures processes remain aligned with business goals and deliver expected results .

9. Case Study – 2: Streamlining Operations at EduServe Training Solutions Background EduServe Training Solutions, a mid-sized professional training company based in Hyderabad, offers corporate and academic training programs across Telangana. Over the years, EduServe expanded rapidly — but this growth brought process inefficiencies.   Despite having a capable academic team, the management observed persistent problems: Course schedules clashing due to manual coordination Delayed faculty payments Inconsistent communication between the academic and finance teams Student complaints about late certificate issuance   The company realized that although they had introduced basic computerization (Excel sheets, manual entry forms), the process itself remained outdated and heavily paper-driven.   The CEO, Ms. Neha Reddy, decided to initiate a Business Process Redesign (BPR) project to overhaul their training management and administrative workflow.

10. Streamlining Operations at EduServe Training Solutions The BPR Initiative at EduServe Step 1: Identifying Processes for Change A cross-functional team analyzed the company’s operations and identified three core processes that directly affected efficiency and client satisfaction: Course Scheduling and Faculty Allocation Payment and Billing Process Certificate Generation and Delivery   The team prioritized Course Scheduling as the starting point since it impacted all other functions.   Step 2: Analyzing Existing Process The team mapped the “as-is” process using flowcharts. They found: All course schedules were coordinated manually via Excel. Faculty availability was tracked through phone calls and handwritten notes. Last-minute changes caused confusion, errors, and overlapping schedules. There was no centralized data — each department maintained its own version of records.   The analysis revealed duplication, bottlenecks, and heavy administrative dependency.

11. Streamlining Operations at EduServe Training Solutions Step 3: Designing the New Process All scheduling, faculty assignments, and student registrations were integrated into a centralized Learning Management System (LMS). Faculty updated their availability in the LMS. Automated notifications informed the finance team of completed sessions. Students could download e-certificates after course completion.   This reduced the number of manual steps from 11 to 5, cutting process time by 60%.   Step 4: Implementing the New Process EduServe collaborated with a local software firm to customize an LMS for their needs. Staff were trained for two weeks. Old Excel-based data was migrated into the new system. A pilot rollout was conducted with one regional branch before going organization-wide. During implementation, employees initially resisted change, fearing redundancy. The management addressed this by conducting orientation sessions emphasizing how automation would enhance rather than replace their roles.

12. Streamlining Operations at EduServe Training Solutions Step 5: Continuous Measurement Post-implementation, EduServe adopted Key Performance Indicators (KPIs) such as: Course scheduling accuracy Average response time to faculty requests Payment cycle time Student feedback score Within three months, measurable improvements were seen: 70% reduction in scheduling errors 50% faster faculty payments 40% improvement in student satisfaction The management committed to reviewing process performance quarterly for further optimization.

13. Streamlining Operations at EduServe Training Solutions Teaching Notes Teaching Objective Key Learning Point To illustrate how Business Process Redesign transforms organizational efficiency. BPR is not just automation — it’s a fundamental rethinking of workflows. To explain the five-step BPM approach in real context. Each step — from identification to measurement — plays a critical role in sustainable improvement. To demonstrate change management in implementing new processes. Employee involvement, training, and leadership communication are crucial for adoption. To encourage critical thinking about process mapping and system design. BPR must align with organizational goals, not just technology upgrades.

14. Streamlining Operations at EduServe Training Solutions Discussion Questions What were the key challenges faced by EduServe before the Business Process Redesign? How did identifying the right processes for change help EduServe achieve measurable results? What role did technology play in transforming the company’s business processes? Why is “continuous measurement” an important final step in BPM? How can EduServe sustain improvement and prevent employees from returning to old methods?   Learning Outcomes Through this case, students will understand how Business Process Redesign (BPR) leads to: 1. Process simplification and efficiency gains 2. Employee empowerment through digital tools 3. The strategic role of BPM in sustaining competitiveness