Discussion: View Thread

  • 1.  In Defense Of BPR (Business Process Reengineering)

    Posted 11-01-1997 07:36
    It was recently alleged that 80% of all BPR projects fail. Depending
    on who you ask, a failure rate between 50% and 80% is common. However,
    we have been doing BPR long enough that we now know why many BPR
    projects fail. The fact is that almost 100% of "SERIOUS" BPR
    initiatives succeed.

    This brings us to the definition of a "SERIOUS" BPR initiative. I have
    quoted the follosing from ProSci's BPR Online Learning Center, the
    Articles and Tutorials Section, at: http://www.prosci.com

    > More than half of early reengineering projects failed to be completed or did not
    > achieve bottom-line business results, and for this reason business process
    > reengineering "success factors" have become an important area of study.
    >
    > Success factors are nothing more than a collection of lessons learned from
    > reengineering projects over the years. Reengineering team members and consultants
    > that have struggled to make their projects successful often say,
    >
    > "If I had it to do over again, I would�" ,
    >
    > and from these lessons common themes have emerged. In this module we examine
    > these themes or success factors that lead to successful outcomes for reengineering
    > projects. These include:
    >
    > 1.Top Management Sponsorship (strong and consistent)
    > 2.Strategic Alignment (with company strategic direction)
    > 3.Compelling Business Case for Change (with measurable objectives)
    > 4.Proven Methodology (that includes a vision process)
    > 5.Effective Change Management (address cultural transformation)
    > 6.Line Ownership (pair ownership with accountability)
    > 7.Reengineering Team Composition (in both breadth and knowledge)

    My personal experience with BPR has been limited to government and the
    military, both large entrenched bureaucracies, where the major
    impediments to a successful BPR effort are "fear of change", "fear of
    job loss", and supervisor's "fear of loss of power or prestige". Now
    that I am starting to work with private industry I am seeing all of the
    seven points ProSci points out on their website.

    The fact is that when top management of a company tells its employees
    that they are going to define their business processes and reengineer
    them and that even though some employees may see their jobs eliminated,
    no employee will be put out on the street, it works. However I have
    seen "half hearted" BPR initiatives fail again and again and "half
    hearted" efforts will always fail.

    BPR only works when done right!

    I personally recommend the ProSci website above and Shashi's BPR Index
    website below for those of you interested in looking at what is going on
    in the Wonderful World of BPR today:

    http://raider.mgmt.purdue.edu:80/~shashi/bpr/bpr.html

    Best wishes and happy BPRing to all...

    Jim Massfeller


  • 2.  In Defense Of BPR (Business Process Reengineering)

    Posted 11-04-1997 02:01
    Just a nagging suspicion! May be BPR would have succeeded if we never
    called it BPR? And just called it change program or structural change or
    process change, thus correctly alinging expectations and focusing on the
    specific stuff that the firm needs to do?

    Just as culture has always been there- before Gouldner's mock
    bureaucracy and Hawthorne's rate-busting norms- but it failed to be the
    panacea once we called it culture?
    N. Rao Kowtha
    Department of Organisational Behavior
    Faculty of Business Administration
    National University of Singapore
    10 Kent Ridge Crescent
    Singapore 119260, Singapore
    Tel: (65) 8743049
    Fax: (65) 775 5571



    -----Original Message-----
    From: Jim Massfeller [SMTP:jmassfeller@MYHOST.CCSINC.COM]
    Sent: Saturday, November 01, 1997 8:36 PM
    Subject: In Defense Of BPR (Business Process
    Reengineering)

    It was recently alleged that 80% of all BPR projects fail.
    Depending
    on who you ask, a failure rate between 50% and 80% is common.
    However,
    we have been doing BPR long enough that we now know why many BPR
    projects fail. The fact is that almost 100% of "SERIOUS" BPR
    initiatives succeed.

    This brings us to the definition of a "SERIOUS" BPR
    initiative. I have
    quoted the follosing from ProSci's BPR Online Learning Center,
    the
    Articles and Tutorials Section, at: http://www.prosci.com

    > More than half of early reengineering projects failed to be
    completed or did not
    > achieve bottom-line business results, and for this reason
    business process
    > reengineering "success factors" have become an important area
    of study.
    >
    > Success factors are nothing more than a collection of lessons
    learned from
    > reengineering projects over the years. Reengineering team
    members and consultants
    > that have struggled to make their projects successful often
    say,
    >
    > "If I had it to do over again, I would…" ,
    >
    > and from these lessons common themes have emerged. In this
    module we examine
    > these themes or success factors that lead to successful
    outcomes for reengineering
    > projects. These include:
    >
    > 1.Top Management Sponsorship (strong and consistent)
    > 2.Strategic Alignment (with company strategic direction)
    > 3.Compelling Business Case for Change (with measurable
    objectives)
    > 4.Proven Methodology (that includes a vision process)
    > 5.Effective Change Management (address cultural
    transformation)
    > 6.Line Ownership (pair ownership with accountability)
    > 7.Reengineering Team Composition (in both breadth and
    knowledge)

    My personal experience with BPR has been limited to
    government and the
    military, both large entrenched bureaucracies, where the major
    impediments to a successful BPR effort are "fear of change",
    "fear of
    job loss", and supervisor's "fear of loss of power or prestige".
    Now
    that I am starting to work with private industry I am seeing all
    of the
    seven points ProSci points out on their website.

    The fact is that when top management of a company tells
    its employees
    that they are going to define their business processes and
    reengineer
    them and that even though some employees may see their jobs
    eliminated,
    no employee will be put out on the street, it works. However I
    have
    seen "half hearted" BPR initiatives fail again and again and
    "half
    hearted" efforts will always fail.

    BPR only works when done right!

    I personally recommend the ProSci website above and
    Shashi's BPR Index
    website below for those of you interested in looking at what is
    going on
    in the Wonderful World of BPR today:


    http://raider.mgmt.purdue.edu:80/~shashi/bpr/bpr.html

    Best wishes and happy BPRing to all...

    Jim Massfeller


  • 3.  In Defense Of BPR (Business Process Reengineering)

    Posted 11-04-1997 09:05
    Yes, labelling is extremely important.

    The vehicle we used to achieve the changes we needed in a research
    organisation of 11,000 staff was TQP - Total Quality Processes.

    We rejected other labels for these reasons:

    TQM - smacks of something for management only

    BPR - smacks of quality managers imposing complex wiring diagrams on
    the organisation which no user can understand except the quality
    community.

    regards,

    Graham Kettles


  • 4.  In Defense of BPR (Business Process Reengineering)

    Posted 11-05-1997 07:43
    Hi Rao,

    I appreciate the idea of focusing on actual process. However, I think we
    concentrate way too much on names, including better names. A rose by any
    other name is still a rose. (Shakespeare, paraphrased?) And, fortunately,
    or unfortunately, BPR by any other name is still BPR.

    >Date: Tue, 4 Nov 1997 15:00:40 +0800
    >From: "Kowtha,N Rao" <fbarnk@NUS.EDU.SG>

    >Just a nagging suspicion! May be BPR would have succeeded if we never
    >called it BPR? And just called it change program or structural change or
    >process change, thus correctly aligning expectations and focusing on the
    >specific stuff that the firm needs to do?

    Don Austin, Ph.D.
    _____________________________________
    Department of Organizational Behavior
    Case Western Reserve University
    Cleveland, OH 44106 (216) 932-8421
    _____________________________________

    Researching processes with which small
    groups create valued organization.

    Creating Appreciative Dialogue.


  • 5.  In Defense of BPR (Business Process Reengineering)

    Posted 11-05-1997 19:58
    Hi List Lurkers,
    Just a couple of quick quotes for anyone who is interested in pursuing
    this dialogue:

    "Reengineering is in trouble....'Reengineering the Corporation' has sold
    nearly two million copies worldwide since it was published in 1993, an
    astonishing success for a business book. But, it's your bottom line, not
    (the author's), that ought to measure the success of any set of
    management ideas. And by that measure, there's much more reingineering
    to do.
    'Reengineering the Corporation' was written to improve business
    performance by showing managers how to revolutionize their key
    operational processes - product development, for example, or order
    fulfillment. And it has worked. I have the evidence of my own eyes and
    ears, from visits to scores of companies that practice reengineering. I
    have the testimony of more than 150 managers, gathered over 18 months'
    worth of interview for this book. I have the evidence, too, of the first
    thorough study of the effectives of the would-be revolution.....
    There have been many equally dramatic success stories. On the whole,
    however, even substantial reengineering payoffs appear to have fallen
    well short of their potential. .... Although the jury is still out on 71
    percent of the ongoing North American reengineering efforts in our
    sample, overall, the study show, participants failed to attain these
    benchmarks by as much as 30 percent.
    This partial revolution is not the one (the authors) intended. If I've
    learned anything in the last 18 months, it is that the revolution (the
    authors) started has gone, at best, only halfway. I have also learned
    that half a revolution is not better than none. It may, in fact, be
    worse."
    James Champy. Co-Author 'Reengineering the Corporation'
    As written in Champy, J. Reengineering Management. HarperCollins.
    London. 1995

    And another one:

    "In the second half of the 1980s, a handful of companies...embarked on
    programs of business improvement that would transform American industry
    beyond recognition. Faced with unrelenting global competition and ever
    more powerful and demanding customers, these companies came to realize
    that their old ways of operation - their long-standing methods for
    developing, making, selling, and servicing products - were no longer
    adequate. They also discovered that their existing tools for improving
    operations were not making a dent in persistent problems of high cost,
    poor quality, and bad service. In order to address these problems, these
    companies had to take measures more radical than they had ever taken
    before. Forced to choose between sure failure and radical change, they
    opted for the latter. They began to reengineer. They ripped apart their
    old ways of doing things and started over with clean sheets of paper.
    The good news is that these extreme measures, born out of desperation,
    succeeded far beyond anyone's expectations. These pioneering companies
    and the many others who followed them achieved breathtaking improvements
    in their performance. As word of their success spread, reengineering
    became a mass phenomenon, a vast global business movement. Only the
    willfully ignorant or with private agendas question the impact that
    reengineering has had on businesses around the world.
    However, some bad news followed this good news. In the aftermath of
    reengineering, business leaders discovered that they no longer
    understood how to manage their businesses. Reengineering had not just
    modified their ways of working, it had transformed their organizations
    to the point where they were scarcely recognizable."
    Michael Hammer
    Co-Author of Reengineering the Corporation
    As written in Hammer, M. Beyond Reengineering. HarperCollins. New york.
    1996

    Both Champy and Hammer in my understanding see the revolution they
    started as become bogged down like many other idealistic concepts. TQM,
    TQC, MBO, MBWA, all of these have drifted away, just as BPR is in danger
    of doing, not because they were wrong - in many cases they were exactly
    what was needed - but because they have been implemented in a workplace
    that continues to try and manage them using the very same processes that
    got them into trouble in the first place.

    On a suicidal bent, I think we must take a great deal of the blame for
    this. Look at most curricula for management training and education and
    we see learning that is still centre on concepts first kicked around at
    the beginning of the century - Planning, Organising, Coordinating,
    Motivating.....etc etc. All of the things that managers are expected to
    do to others. Where are the subjects covering what a manager is supposed
    to be doing first of all to him/herself and allowing the fallout to
    impress and affect others?

    How does the old saying go? "If you want to manage others you must first
    manage yourself - only then will others follow!" Leadership training is
    still about 'doing unto others (first)', just as management training
    concentrates on concepts that are either unworkable or at best of
    secondary importance to the average manager who is more concerned with
    his/her own survival than with whether or not a business plan is well
    written and adhered to.

    While I'm not a fanatic about BPR per se, in fact my ideals come from a
    different direction but aimed at providing the skills and knowledge to
    allow the organisation to adopt its own BPR, I believe that it was never
    designed to be run under old-fashioned management. It will never work,
    in my opinion and experience, if it is not supported by changed values,
    visions and attitudes. This is very scary for most managers I'll admit,
    but those who can't/won't change are very likely the reason why the
    organisation needs such processes in the first place.

    If the prophets of BPR have serious doubts about the way in which their
    words are being translated and applied then it is no wonder that the
    spectators are also confused and less than enthusiastic about continuing
    the ministry.

    PHIL RUTHERFORD







    Donald P. Austin wrote:
    >
    > Hi Rao,
    >
    > I appreciate the idea of focusing on actual process. However, I think we
    > concentrate way too much on names, including better names. A rose by any
    > other name is still a rose. (Shakespeare, paraphrased?) And, fortunately,
    > or unfortunately, BPR by any other name is still BPR.
    >
    > >Date: Tue, 4 Nov 1997 15:00:40 +0800
    > >From: "Kowtha,N Rao" <fbarnk@NUS.EDU.SG>
    >
    > >Just a nagging suspicion! May be BPR would have succeeded if we never
    > >called it BPR? And just called it change program or structural change or
    > >process change, thus correctly aligning expectations and focusing on the
    > >specific stuff that the firm needs to do?
    >
    > Don Austin, Ph.D.


  • 6.  In Defense of BPR (Business Process Reengineering)

    Posted 11-06-1997 04:01
    Don, It is not the name that troubles me but the expectations we set for
    managers with new names. As I said in a follow up message, if managers
    want to call it BPR, let us also call it BPR. Big deal! But the mistake
    we or the independent consultants make (I think) is that we are not
    upfront about what can be achieved and in what time frame, with what
    resources!
    And, speaking of BPR failures, does any one have a definition (oh,
    forget it, I do not mean academic definition) of "failure"? Is it the
    failure to reach the promised perfection levels or falling way, way
    below the expectations? The former should not trouble us or managers
    too much (if this sounds callous, I do not intend it to be. Rahter, I
    expect many misalignments to persist even after successful change). The
    latter should bother us. Can any one enlighten me on these aspects of
    failure?
    N. Rao Kowtha
    Department of Organisational Behavior
    Faculty of Business Administration
    National University of Singapore
    10 Kent Ridge Crescent
    Singapore 119260, Singapore
    Tel: (65) 8743049
    Fax: (65) 775 5571


  • 7.  In Defense of BPR (Business Process Reengineering)

    Posted 11-06-1997 05:16
    To all BPRers and Non-BPRers,

    Whether it is called BPR or PRB or RBP doesn't matter. What is importance is whether the re-engineered process or business resulted in competitive edge in customer service and operational efficiency . Most BPRs failed because a lot of managers don't really understand change management, human psychology, the competitive environment and BPR itself. They follow blindly follow the texts and proceed to BPR without a clearly defined shared vision and objective. A lot of companies also put too much emphasis on the bottom line rather than the customer and the people in the organization. Some of them use BPR as another weapon for retrenchment. Some BPRs were left to be executed by lower ranking executives. Some consider BPR as a secret project to be announced when it is to be implemented. Some companies BPR because their competitors had BPRed. Thus, it is in the implementation that make a BPR failed.

    Kng
    Senior Information Services Manager
    OAC Insurance
    email: tkkng@pc.jaring.my


    Kng

    ----------
    From: Kowtha,N Rao[SMTP:fbarnk@NUS.EDU.SG]
    Reply To: Management Education and Development Discussion
    Sent: Thursday, November 06, 1997 5:36 PM
    To: MG-ED-DV@MAELSTROM.STJOHNS.EDU
    Subject: Re: In Defense of BPR (Business Process Reengineering)

    Don, It is not the name that troubles me but the expectations we set for
    managers with new names. As I said in a follow up message, if managers
    want to call it BPR, let us also call it BPR. Big deal! But the mistake
    we or the independent consultants make (I think) is that we are not
    upfront about what can be achieved and in what time frame, with what
    resources!
    And, speaking of BPR failures, does any one have a definition (oh,
    forget it, I do not mean academic definition) of "failure"? Is it the
    failure to reach the promised perfection levels or falling way, way
    below the expectations? The former should not trouble us or managers
    too much (if this sounds callous, I do not intend it to be. Rahter, I
    expect many misalignments to persist even after successful change). The
    latter should bother us. Can any one enlighten me on these aspects of
    failure?
    N. Rao Kowtha
    Department of Organisational Behavior
    Faculty of Business Administration
    National University of Singapore
    10 Kent Ridge Crescent
    Singapore 119260, Singapore
    Tel: (65) 8743049
    Fax: (65) 775 5571


  • 8.  In Defense of BPR (Business Process Reengineering)

    Posted 11-07-1997 00:39
    There are two problems I have with this view. One is that managers
    blindly follow textbooks, go ahead and do it. My experience has been
    exactly opposite. They respect textbooks but are wise enough not to
    follow them blindly. In fact, if any thing, they do not take kindly to
    a bookish disposition. But again, our experiences might differ.
    Managers are guilty of doing many stupid things but we all share that
    characteristic, don't we?

    A second problem I see in BPR discussions as well as past literature on
    other topics is this idea of stupid/evil / plotting manager who uses the
    latest fad as a weapon. Although this message is from a practitioner,
    academics are also known to throw out such accusations frequently. Does
    it not occur to us that this manager is just a human being just like you
    and me, and that he would not want to ruin people if he could?
    And, if businesses are not in business for bottom line, they better not
    be in business.
    N. Rao Kowtha
    Department of Organisational Behavior
    Faculty of Business Administration
    National University of Singapore
    10 Kent Ridge Crescent
    Singapore 119260, Singapore
    Tel: (65) 8743049
    Fax: (65) 775 5571



    -----Original Message-----
    From: /O=THE OVERSEAS ASSURANCE CORP.
    LTD/OU=OAC_DOM/CN=RECIPIENTS/CN=TKKNG On Behalf Of Kng Tuan Kah
    Sent: Thursday, November 06, 1997 6:16 PM
    To: 'Management Education and Development
    Discussion'
    Subject: RE: In Defense of BPR (Business Process
    Reengineering)

    To all BPRers and Non-BPRers,

    Whether it is called BPR or PRB or RBP doesn't matter.
    What is importance is whether the re-engineered process or business
    resulted in competitive edge in customer service and operational
    efficiency . Most BPRs failed because a lot of managers don't really
    understand change management, human psychology, the competitive
    environment and BPR itself. They follow blindly follow the texts and
    proceed to BPR without a clearly defined shared vision and objective.
    A lot of companies also put too much emphasis on the bottom line rather
    than the customer and the people in the organization. Some of them use
    BPR as another weapon for retrenchment. Some BPRs were left to be
    executed by lower ranking executives. Some consider BPR as a secret
    project to be announced when it is to be implemented. Some companies
    BPR because their competitors had BPRed. Thus, it is in the
    implementation that make a BPR failed.

    Kng
    Senior Information Services Manager
    OAC Insurance
    email: tkkng@pc.jaring.my


    Kng

    ----------
    From: Kowtha,N Rao[SMTP:fbarnk@NUS.EDU.SG]
    Reply To: Management Education and
    Development Discussion
    Sent: Thursday, November 06, 1997 5:36 PM
    To: MG-ED-DV@MAELSTROM.STJOHNS.EDU
    Subject: Re: In Defense of BPR (Business
    Process Reengineering)

    Don, It is not the name that troubles me but the
    expectations we set for
    managers with new names. As I said in a follow
    up message, if managers
    want to call it BPR, let us also call it BPR.
    Big deal! But the mistake
    we or the independent consultants make (I think)
    is that we are not
    upfront about what can be achieved and in what
    time frame, with what
    resources!
    And, speaking of BPR failures, does any one have
    a definition (oh,
    forget it, I do not mean academic definition) of
    "failure"? Is it the
    failure to reach the promised perfection levels
    or falling way, way
    below the expectations? The former should not
    trouble us or managers
    too much (if this sounds callous, I do not
    intend it to be. Rahter, I
    expect many misalignments to persist even after
    successful change). The
    latter should bother us. Can any one enlighten
    me on these aspects of
    failure?
    N. Rao Kowtha
    Department of Organisational Behavior
    Faculty of Business Administration
    National University of Singapore
    10 Kent Ridge Crescent
    Singapore 119260, Singapore
    Tel: (65) 8743049
    Fax: (65) 775 5571