Week 8- Process Redesign (1)

Source / Reference:

1)            “Redesigning Enterprise Processes for e-Businesses”, El Sawy, 2001

Subject:

What is scoping an enterprise process?

======================================================================

Response:

During scoping an enterprise process, it assumes that the BPR project has been identified and the process selected, a design team that has been mobilized, and a BPR software tool has been selected. 7 activities in sequence are involved in scoping process.

1.   Operationalize process performance targets
2. Define process boundaries
3.  Identify key process issues
4.  Understand best practices & define initial visions
5. Familiarize participants with BPR software
6. Outline data collection plan & collect baseline data
7. Plan for modeling phase

The deliverable of this phase is a Process Scoping Report. This report should be provided to the process owners for reporting and feedback purposes. It can also be provided to the BPR project sponsor. For the BPR design and implementation team, the report can be used as guidelines to start the modeling phases. Hence, BPR can be done with clearly defined steps and schedules. 

Moreover, it is helpful to define the scope first from a "process" perspective, clearly stating where the process begins and where it ends. A process perspective provides the best and most focused definition of what is changing and what is not changing. By scoping an enterprise process, firm can have quantitative measurement to evaluate the success of BPR in the company. Therefore, firm executive can evaluate the success of BPR by realistic process performance targets. 

Week 7 – BPR Methodologies

Source / Reference:
1) “BUSINESS PROCESS REENGINEERING: A CONSOLIDATED METHODOLOGY”, S. Muthu, L. Whitman, and S. H. Cheraghi, 1999
2) “Reengineering Work: Don’t Automate, Obliterate”, M. Hammer, 2000

Subject:
What is BPR methodology?
======================================================================
Response:
Business Process Reengineering (BPR) Methodologies is a structured set of guidelines that enable an analyst to derive ways for problem solving.
In the old days, the usual methods for boosting performance – process rationalization and automation haven’t yielded the dramatic improvements companies need. BPR should be adopted to improve companies’ performance: use the power of modern information technology to radically redesign our business processes in order to achieve dramatic improvements in their performance, which is defined by Hammer (2000).
S. Muthu, L. Whitman, and S. H. Cheraghi(1999) proposed five activities in BPR methodology as the following:

1. Prepare for Re-engineering
2. Map and Analyze As-Is Process
3. Design To-Be process
4. Implement Reengineered Process
5. Improve Process Continuously

El Sawy (2001) also proposed a BPR methodology:

The modified methodology is slightly different form the one taught in lecture, which is from El Sawy (2001), especially for the beginning of BPR.
El Sawy(2001) emphasis the triggering and executive visioning is important to start a BPR, the strategy is the vision of how a company should be. Executive level's management can anticipate how a particular aspect of the business should work or inefficiencies in BP, or triggered by the dissatisfaction of process stakeholders, BPR project can be implemented in a way can address the existing problems.
However, in S. Muthu, L. Whitman, and S. H. Cheraghi’s model, the first phase is “Prepare for BPR”, this phase include build cross functional team, identify Customer driven objective and  develop strategic purpose. Hence, the BPR project has been started in first phase.
In my opinion, the methodology proposed by El Sawy is more appropriate. It is because the firm should understand the importance of BPR before launching. The reasons of BPR can make executive to understand firm’s external and internal environment to design workable solution for BPR.

Week 6 – Basics of BPR (2)

Source / Reference:

1    1 )     “Applying quality to Leavitt’s framework to solve information technology problems: A case study”, D. Grant,, E. Mergen, 1996

2    2 )     A Look at the Components of Leavitt's Diamond, S. Thakur, 2011 http://www.brighthub.com/office/project-management/articles/122495.aspx

Subject: 
What the new Leavitt’s framework did Grant and Mergen proposed?

======================================================================
Response:

BPR derives its existence from different disciplines, and four major areas can be identified as being subjected to change in BPR - organization, technology, strategy, and people - where a process view is used as common framework for considering these dimensions. The approach can be graphically depicted by a modification of "Leavitt’s diamond".

The interaction between these four components determines the fate of an organization. Any change in one of these elements will have a direct effect on all the other elements, and thus they will also need to be tweaked to accommodate the change. Leavitt’s diamond is an integrated approach and is widely used for managing organizational change. This is the old model proposed by Dr. Harold Leavitt. (Thakur, 2011)

However, Grant and Mergen suggested that the four interactive variables could be modified. The modifications included replacing the variable structure with organization structure and adding communication as the fifth variable.

I think this new model is more suitable in today’s business environment, especially for the added variable, communication:

• ·        It can show both people communication and technology-related communication. This is vital to function effectively within organization, as communication is necessary to every business process.
• ·        It is important in total quality management (TQM) for providing rapid feedback to both internal and external organizational entities.
• ·        The communication between people and technology is important in organization as levels of authority and decision making exist between technology and people.

There are benefits from new model adoption:

• ·        Obvious reduction in product cycle time.
• ·        Improved communication
• ·        Better coordination and collaboration
• ·        Streamlining of the function
• ·        Better use of existing technologies

Because the new model can have below characteristics:

• ·        Appreciation the impact of both social and technical communication
• ·        Identify the interrelationships between five factor
• ·        Focus on the effectiveness and the efficiency of work performed in the function
• ·        Organize ideas to identify problem specific to the function
• ·        Aid the understanding and acquisition of new knowledge about for the function, as the interrelationship between five factors will be known.

Hence, due to the emphasis of communication in new model, companies benefit a lot by the improved communication between people and technology, and between people. Communication is critical for maintaining competitive advantage for a company since every business process is not a stand-alone process, but a collaborative work.

Week 5 – Basics of BPR (1)

Source / Reference:

1) “Reengineering the Corporation: A Manifesto for Business Revolution”, M. Hammer , J. Champy , 1993

2) GroverMalhotra-BPRTutorial-JOM-1997

3) Davenport-BPRCritics-ComputerWorld-2003

4) "Business Process Reengineering At Ford Motor Company, India." 123HelpMe.com. 07 Feb 2012    http://www.123HelpMe.com/view.asp?id=158438

Subject: 

Why is Business Process Reengineering (BPR) important to a company?

Response:

According to M.Hammer and J.Champy, Business Process Reengineering (BPR) is the fundamental re-thinking and radical re-design of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service, and speed. 

An organization where application of BPR is being done is process -oriented, where all processes are identified and given specific names. Each individual is aware of the particular process in which he or she is involved and complete process measurement such as monitoring and control is performed. BPR brings numerous benefits to organizations and companies in which it is implemented. Some of the common benefits of BPR are:

1) Increase Effectiveness.

2) Reduces cost.

3) Meaningful job for employees.

4) Improvement in organizational approach.

5) Growth of business

There is a successful case of organization implementing BPR, which is Ford Motor Company, India, which can be represented in diagrams below: 

In the above real case, it suggest the BPR implementation can induce significance increase of effectiveness and efficiency of business process.

In my opinion, the successful BPR can contribute to numerous and important benefits to the company, ensuring that the company and survive and competitive in the industry.  At this moment, there is European Financial Crisis, leading to the continuous drop in market demand. Therefore, it is a crucial period for the company to implement BPR to maintain competitive edges, and reduce operating and administrative cost. 

Week 4 - Strategic Alliance Model

Source / Reference:

1)  "Strategic Alignment: Leverage Information Technology for transforming organization" by J C Henderson and N Venkartraman 1993
http://search.proquest.com/docview/26252741/134A6C8B53F19A4F606/1?accountid=16210

2)  “H&M Apps for iOS”, http://itunes.apple.com/us/app/h-m/id380487409?mt=8

Subject: 
In Lect 4 - Which alignment strategy in SAM model is the best? and why?

Response:

I think the best alignment strategy is "Service Level" approach in which the performance of the strategy is measured by customer satisfaction.

It is because strategic alignment model of "Service Level" approach can provide additional IT services to stimulate customer satisfaction to the company. IT development is changing rapidly, if the company can identify newest IT trend and develop IT strategy, it can deliver superior, value-added service to retain and acquire customers. 

H&M is an international clothing retailer and it has explored the possibilities of IT strategy to provide IT services. For example, as using smart phone has high popularity and phone apps development is new trend for business enterprise, so H&M has developed apps for iOS and Android. The apps enables user to receive the latest promotions, share items to friends through facebook, twitter and much more functions. Therefore, the apps can provide a way for products promotion and brand advertisement. Even though the apps cannot generate profits directly, this new advertising method can introduce products to potential customers efficiently and stimulate their demand of goods. Hence, profits can be generated indirectly and the company can maintain competitive advantage. 


As many enterprise in Hong Kong facing threats from competitors and opportunities from IT services, just like case of H&M. Therefore, it is important for an enterprise to provide IT services to serve their customers in order to boost demand of goods and services in the company. To achieve the goal of making profits, strategic alignment model of "Service Level" approach is suggested to be adopted.

Week 3- The strategic framework and enterprise re-engineering

Source / Reference:
1) Sullivan, C.H. Jr.: "Systems Planning in the Information Age," Sloan Business Review, 1985


Subject: 
How can we adopt appropriate information system planning approach?


Response:
The answer is by analyzing strategic framework.
To adopt appropriate information system planning approach , the analysis on the context of the organization should be carried out first.

Week 3 lecture introduced strategic framework to analyze the external and internal context of an organization. The result of the analysis can be used to know what information system planning approach should be adopted.

Before talking about strategic framework, let me introduce different information system planning approach mentioned in paper written by Sullivan.[1]

PEST analysis is for analyzing the external macro-environment in aspects of political, economic, social and technological. 

SWOT analysis is for analyzing internal and external micro-environment. The former includes strengths and weaknesses while the latter includes opportunities and threats. 

Sullivan’s framework focus the IS/IT perspectives in the internal environment. The analysis is based on infusion and diffusion factors. Infusion is the degree to which IT has penetrated a company in terms of importance, impact, or significance. Diffusion is the degree of decentralization of IT control.

Hence, the analysis framework can be represented in below:

After analysis of both external and internal environment, we can have better understanding on influences of different information system planning approaches in organizations.  It is because analysis enables us to know where our organization stands to adjust approach to fit our circumstances.

It is really important to note that environment is changing continuously. Therefore, organizations should change or modify the approach in response to their context change in order to maintain the competitiveness in the industry.

After attending lecture and reviewing online resources, I have learnt different analysis frameworks and information system planning approaches. Result from the analysis for the external and internal environment is the crucial factor in choosing appropriate approach in current circumstances, which will determine the competitiveness of an organization in the industry.

Testing

Testing 1