Category Archives: Process Measurement and Analysis

Conclusion Processes exist in every type of business environment, be it manufacturing or service, and the type of processes that are used and how well they perform are directly related to the success of every organization. Managers, therefore, need to understand how these processes work and measure their performance on a continuous basis. An integral part of managing processes is process analysis, which is used

Issues with Reengineering In recent year. both manufacturing and service companies have adopted business process reengineering in an attempt to be more responsive to the marketplace as well as to increase he overall efficiency of their operations, However, very few of these reengineering efforts have been successful. One reason for this is the inability of management to link the reengineering effort to the overa

Work Is Performed Where It Makes the Most Sense This involves shifting work across traditional functional boundaries, No longer, for example, are all purchases made by the purchasing department. For small purchases, such as office supplies, it may be more efficient to have each department do its own purchasing.

Processes Have Multiple Versions Unlike assembly lines, which are totally inflexible and therefore can produce only standardized products, reengineered processes have several versions to meet the unique requirements of different market niches as well as individual customers. An advantage of the multiple-version approach is that these processes rend to be relatively clean and simple in comparison to the traditio

The Steps in the Process Are Performed in a Natural Order With reengineering processes no longer have to be forced into a sequential order. Instead, a natural sequence of events is permitted, based on what .needs to be done next. This allows many jobs to be performed simultaneously thereby reducing the throughput time.

Workers Make Decisions Decision making becomes a part of every person job  eliminate the need for the traditional and costly hierarchical organizational structure I have  Th it. many layer of management. This i-, referred to as vertical work companion. benefits include faster customer  lower overhead co-t-. and increasing worker empowerment.

Several Jobs Are Combined into One Assembly lines are no longer used because of their inherent fragmentation of work. Specialists are replaced with “case worker  ho have the responsibility) for overseeing the entire process. This is referred to as horizontal~1 work compression. By combining tasks and jobs under one person, errors that. information from one individual to another are eliminated in addition

Characteristics of a Reengineered Process Based on their man) years of experience with companies that have successfully reengineered then procev cv to better meet the needs of the marketplace. Michael Hammer and James Campy have identified several character tics of reengineered process which are described below, that they have observed on a recurring basis.

Reengineering Defined This process of rethinking and restructuring an organization is often referred to as reengineering. Reengineering means literally starting from the beginning with a clean sheet of paper in terms of how we design our organizations to bender serve our customers. It focuses on processes. not individuals performing individual tasks. A key element of reengineering is the notion of “discon

Business Process Reengineering 7 For many years, dating well back into the 19th century companies were organized and structured both to maximize efficiency and also to control growth. However, with the emergence of a single world economy and increased competition from  comers of the globe today’s competitive priorities for success have shifted from efficiency to innovation, speed, service, and quality To