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Mirpur University of Science and Technology (Must), Mirpur Deparment Software Engineering

The document discusses developing a business process improvement (BPI) model. It states that once management support exists, an EIT should develop a BPI model that acts as a detailed plan for the improvement cycle. This model helps visualize the process, identify steps, and determine necessary resources. A typical five-phase model is proposed as a starting point, covering organizing, understanding, streamlining, measuring, and continuous improvement. The EIT must also identify critical business processes to focus on, such as new product development, production planning, and billing. Processes are selected for improvement based on symptoms like customer complaints, high costs, or long cycle times.

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61 views

Mirpur University of Science and Technology (Must), Mirpur Deparment Software Engineering

The document discusses developing a business process improvement (BPI) model. It states that once management support exists, an EIT should develop a BPI model that acts as a detailed plan for the improvement cycle. This model helps visualize the process, identify steps, and determine necessary resources. A typical five-phase model is proposed as a starting point, covering organizing, understanding, streamlining, measuring, and continuous improvement. The EIT must also identify critical business processes to focus on, such as new product development, production planning, and billing. Processes are selected for improvement based on symptoms like customer complaints, high costs, or long cycle times.

Uploaded by

ali
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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MIRPUR UNIVERSITY OF SCIENCE AND TECHNOLOGY (MUST), MIRPUR

DEPARMENT OF SOFTWARE ENGINEERING


Business Process Engineering
SE-353

Lecture 12: Developing a BPI Model

Engr. Samiullah Khan & Engr. Fasih Javaid


(Lecturer)

Date: 25 February, 2021


Developing BPI Model

• Once management support and leadership for BPI exist, the EIT should
develop a BPI model
• This model is a detailed plan of the steps that will be undertaken as the
organization goes through the BPI cycle
• This will help management to
• Visualize the process
• Identify the sequence of events
• Determine the resources necessary to implement the changes

Business Process Engineering 3


Developing BPI Model

• This model is the design for your BPI activities


• Success or failure of your activities will depend on how well this model
reflects your organization's needs
• As a result, considerable thinking and effort may be required to make the
model reflect your:
• Corporate culture
• Resources
• Capabilities
• Experiences
Business Process Engineering 4
Approach of BPI Model

• A typical model was proposed which provide a good starting point for top
management in developing its own model
• The basic five-phase approach of the typical model is:
l. Organizing for improvement
2. Understanding the process
3. Streamlining (Re-organization of Processes)
4. Measurement and control
5. Continuous improvement

Business Process Engineering 5


Developing BPI Model

• The model we described is a comprehensive approach for a company


undertaking an organization wide improvement process
• An organization may decide to develop a scaled-down version for use in a
pilot (initial/trial) situation for a variety of reasons, including:
• Inadequate resources
• Lack of faith in the methodology
• Need to better understand the potential return on investment
• EIT should consider the fact that only limited improvements can be
obtained from a limited scope
Business Process Engineering 6
Identify Critical Business Processes

• The EIT is responsible for identifying the company's major existing


business processes
• In short, it should answer the questions:
• "What do we do as a business?“
• "How do we do it?"
• Two types of business processes typically coexist within an organization

Business Process Engineering 7


Identify Critical Business Processes

• One type is organized along functional lines, receiving its input from, and
generating its output within, a single department
• Such vertically aligned processes normally are very simple
• They usually consist of a manager asking an employee to perform a
specific task (e.g., to type a letter)
• Such simple processes normally are sub-processes of much more complex
business processes, called cross-functional business processes

Business Process Engineering 8


Cross Functional Processes

• Cross-functional processes flow horizontally across several functions or


departments
• Usually, no single person ultimately is responsible for the entire process
(e.g., design release or customer billing)
• All organizations have hundreds of business processes and thousands of
sub-processes
• Top management should begin by listing only those business processes
necessary to run the company

Business Process Engineering 9


Typical Organization’s Business Processes
• A typical organization's business processes might include:
• New product development
• Product design release
• Production planning
• Materials management
• Hiring
• Billing and collections
• After sales service
• Human resources training
• Customer needs analysis
Business Process Engineering 10
Identify Critical Business Processes

• For identification of critical business processes:


• EIT member prepare a list of business processes he or she is involved in
• Submit this list to the BPI champion
• BPI champion will combine the lists into one overall list, eliminating
the duplications
• This combined list is then presented to the EIT members for their
review and comments

Business Process Engineering 11


Identify Critical Business Processes
• Overall, this is a good point at which to begin process analysis
• For greater understanding, in some cases it will be necessary to hold another meeting of
the EIT to break down complex processes into their sub-processes
• The sub-processes of "after sales service," for example, might include:
• Repair and return
• Training of field repair personnel
• Field problem resolution
• Technical assistance
• Product servicing
• Warranty claims

Business Process Engineering 12


Selecting Processes for Improvement

• Selecting the process to work on is a very critical step in the total BPI cycle
• If the wrong processes are selected,
• A lot of effort can be wasted
• Program can be dropped because of lack of interest and benefits
• The processes which are selected for improvement should be ones where
management and/or customers are not happy with the current
status/situation

Business Process Engineering 13


Reasons for Selecting a Business Process for
Improvement
• Normally, one or more of the following symptoms will be the
reason for selecting a process for improvement
• External customer problems and/or complaints
• Internal customer problems and/or complaints
• High-cost processes
• Long cycle time processes

Business Process Engineering 14


Reasons for Selecting a Business Process for
Improvement
• Normally, one or more of the following symptoms will be the
reason for selecting a process for improvement (Contd…)
• There is a better-known way/approaches
• New technologies are available
• Management direction based on an individual manager's
interest in applying the methodology

Business Process Engineering 15


THANKS

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