Business Process Reengineering
The process of assessing and then redesigning the flow of work within the business or between businesses is known to be the business process reengineering. In the fast changing global market the strategies and goals of businesses keep changing to keep up with the modern globalised market structure. To keep in sync with the goals of business there is a need to keep the business ‘lean and fit’ thus cut off all the excess joints in the workflow which are unprofitable for the business and reduce the overall efficiency in order for the business to become a strong force in the highly competitive market now days.
The business process reengineering is done to keep the business as efficiently as possible so it obviously has its advantages. When you use the process of BRP you get to finally stop for a moment at look at the work flow critically to point out the extra ends it has attached over the time which are unfavorable. For example a task which is being performed by the workforce of the company but would be more profitable if it was outsourced and the expertise of the workforce were used elsewhere. It also helps entirely eliminate some of the levels in the hierarchy which are no longer essential thus would save money on salary paid to those extra workers as well as improve communication due to lesser levels of hierarchy. It will reinforce the objectives of business among the staff as well as restructure the force to be able to cope up with the new goals if any.
Yet it also has its drawbacks, when you cut off levels of hierarchy it means firing workers. This practice might have a strong adverse effect on the other workers’ morale and job security and they might not feel valued. This might lower productivity and thus can be a huge drawback for the business.
So if a business plans on carrying out BPR it needs to be very careful because if done without any urgent need or at the right time it can be devastating instead of productive.