When to do Business Process Redesign (BPR)
There are three main reasons that lead to process redesign: strengthening competitive advantage, addressing problems, and survival. Process redesign can be focused and improve only one segment of a business or massive as in a complete overhaul.
First, companies that seek to gain competitive advantage often do BPR to widen the gap from their competitors. They can still scale their changes from incremental to blue ocean, but the end result should put them in a power position and gain market share.
The second reason is to help address problems. In these cases, we see a focus on improving quality, consolidation, efficiency, or a desire to stop a problem from increasing. The addition or conversion to new technology often prompts a BPR project.
Finally, survival can also be a reason to rethink and reimagine how to do business. The need to shrink resources, shed labor costs, or revolutionize how you operate are al legitimate reasons to do BPR. In this case, timing is everything.
The typical BPR process can take a year or more to map, cost, redesign and revise supporting policies and procedures. It’s a project only the truly committed should undertake.