What does this have to do with Business Process
Re-engineering?
Internal efficiencies are assumed. Unless you can take waste out of your business, you will always be at a competitive disadvantage. BPR alone is NOT enough. It assumed you are looking for innovation and better customer relations, etc. But at some point your success depends upon your costs of doing business. If your costs are higher than the other guys costs, you lose.
How else can you cut costs?
Or
Examples:
Internal Efficiencies |
KC rec to check a process
improvement to improve the paper flow from requisitioning an item to paying
for it with fewer steps and less internal cost. |
Alliances |
Supply-chain improvements to reduce inventory carried
while improving quality |
Growth |
Scaling systems that allow the company to handle far
more customers with only small additions to staff. |
Customer connections |
Customer Relationship Management (CRM) software that
improves contacts with customers and reduces sales costs |
Differentiation |
Tracking features that let customers follow their product
as it is being built and shipped. |
Plexus in
Cars used to take 5-6 years from
basic design to delivery of new models to the showroom. Now it can be done in 20 months.
Corporate information sharing
|
Centralized
Databases - ERPs
|
Work
simplification
|
Single
data-entry point
|
Redesign of processes
|
Electronic
Data Interchange (EDI)
|
Flattened organizational structure
|
Intranets
|
Cycle
time reduction
|
CAD/CAM
|
Empowerment
|
DSS
|
Teams
|
MS
Outlook emailing and groupware
|