Business Process Reengineering (BPR) is a management approach that aims to improve the way the efficiency and effectiveness of existing processes.
Increased employment by improving business processes, especially rethinking and redesigning the way work is done in the business process is done, at a time like this Business Process Reengineering (BPR) is used.
Things to consider in thinking and redesigning a fundamental business system is Fundamental, Radical, Dramatic, Orientation Process.
- Fundamental, Why do the BPR process? This fundamental RB to start something from scratch, without assumptions and determine what a company should do and how to do
- Radical, radical design of business processes means redesigning something from the beginning, did not fix the existing procedures, and trying to do optimization. So Radical overlook the whole structure and existing procedures and finding new ways that are different from the previous in completing the work
- Dramatic, BPR is not an attempt to achieve improvements piecemeal and gradual, but it is a big leap in the pursuit of improving and efforts to achieve the performance of companies in which the company in the face of adversity.
- Orientation Process, the orientation of the process is the most important keywords in the BPR process to provide solutions to the process to produce a product, not just focus on the task, structure, people. BPR focuses on processes and determine how to make the process to improve the way of doing business
The purpose Companies do Business Process Reengineering (BPR)
- Help organizations fundamentally rethink how to do the work and conduct business processes in order to improve the quality of service to parapelanggan, reduce operational costs.
- Help companies radically restructure the organization by focusing on the design of business processes to be more efficient and effective
Relations Business Process Reengineering (BPR) and Enterprise Resource Planning (ERP)
The implementation of an ERP system will generally require BPR process, namely the process of change or improvement of business processes, for example:- Improve processes that are less than perfect or change business processes with a more modern system that is most appropriate.
- ERP implementation also laid the foundation of a new business system which can be integrated ERP system.
- So that a company can properly ERP implementation, the needs and aspects of the organization, people, information, and technology must be well prepared.
Advantages of ERP implementations can be seen by measuring the Return on Investment (ROI), and other components, such as lead-time reduction, Improved financial controls. Decrease in inventory, a decrease of labor in total, Improved quality of service / service, Increased Sales, Improved customer satisfaction and loyalty, timely delivery, performance better suppliers, increased flexibility, reduction of costs, use of resources better, Improved the accuracy of the information and decision-making ability
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