BPR (business process reengineering) is the study and redesign of work flow within and between enterprises. BPR accomplished its heyday in the early 1990’s when Michael Hammer and James Champy brought out their best selling book, “Reengineering the organization.” The writers advertised the idea that often extremist redesign and reorganization of an enterprise was necessary in order to reduce prices and increase quality of service of process and that IT was the fundamental enabler for that revolutionary change. Hammer and Champy experienced that the designing of work flow in most prominent corps was primarily based on presumptions about technology, people, and organizational goals that were no more valid. They proposed seven basic principles of reengineering to reduces costs of the work procedure and thereby accomplish substantial levels of business expansion in quality, time management, and price:
- Organize around effects, not tasks.
- Consider all the procedures in a corporation and prioritize them in order of redesign emergency.
- Desegregate information processing work into the substantial piece of work that acquires the data.
- Process geographically scattered resources as though they were centralized.
- Link parallel activities in the work flow rather than just incorporating their outcomes.
- Assign the decision point the spot where the work is carried out, and build control into the procedure.
- Capture data once and at the source.
By the mid-1990’s, BPR attained the reputation to be a nice means of stating “downsizing.” In respect to Hammer, shortage of sustained management commitment and leadership, unrealistic scope and prospects, and resistance to modify instigated management to give up the idea of BPR and embrace the next new strategy, enterprise resource planning (ERP).