Most folks believe that Business Process Re-Engineering (BPR) is something that is needed at big companies, Fortune 500 companies. That is not necessarily true. Let’s look at BPR and why it is for monkeys like Curious George as well as for gorillas like King Kong.
Bain & Co. defines BPR as the radical redesign of core business processes to achieve dramatic improvements in productivity, cycle times, and quality.[1] None of the previous statement requires or even implies that your company must be a gorilla-like PepsiCo to justify BPR. In many ways, smaller is better because small is agile and quick to adopt, like Curious George. There are fewer employees, leaders, stakeholders, and end-users to affect and critical changes to business processes can be identified and accepted at a rapid pace. It is just as valid for a few folks sitting in the room wanting to streamlined processes because they are wary of extra work as it is for a multinational, publicly-traded corporation to discover a 1% efficiency that translates into millions in profit next quarter.
However big or small your currently find yourself, here are five points to consider before launching your next BPR:
- Do you have the A-Team on the BPR project? This is a critical issue. John Berglind, LTA’s BPR Yoda, is fond of stating, “If it isn’t painful for the BPR project team to pulled off the production floor, then you don’t have the right team.” Do not fall prey to letting titles strictly decide who should be on the BPR team. Senior and long tenure employees tend to have an inertia about keeping things the way they are because of familiarity with the current processes. Younger or newer employees are not as invested in the current state. You need a balanced palette of experience on your BPR team. Additionally, the right personality needs to be a part of the BPR process. An open-minded and knowledgeable shop floor worker is typically more forthcoming than a senior manager that has worked for the company for over 30 years and believes that change is not needed.
- Brutal honesty. Not everything is perfect. Most of the time, the current state is far from optimal. It takes pluck and courage to take a critical look at the current state and calling it like it really is, scars and all. Being willing and able to take a step back, looking critically at current processes and determining the difference between a need and a want is crucial. There should not be any sacred cows or processes that are hands-off. Also, bear in mind that the goal of BPR is not fine-tuning your current processes. BPR is a holistic and sometimes uncomfortable look at what needs to be accomplished for your company to scale to the next level.
- IT infrastructure. One of my biggest concerns is not having a robust foundation to support the new processes. If the IT systems are slow, prone to quirks, or clunky, the new processes will be blamed. There is also a great deal of pressure to live in the cloud. Cloud-based solutions are efficient and convenient - if you have the infrastructure and internet bandwidth to pull it off. Most developers and software companies assume everybody and every laptop has a fast (at least a 9 Mbps) connection. If you are considering a cloud solution or even an on-premise server farm, I guarantee you probably do not have enough bandwidth currently for it to be adopted, especially if you are planning to scale your business. Oversubscription of bandwidth, more demanding applications/streaming video, and our very American demand for instant results all factor into how much bandwidth you have. A lightning fast IT infrastructure is critical to set up successful end-user acceptance of the BPR.
- Can we have a chat about Change Management? I will admit that I am part of the problem. I tend to be all in for change if it is the next gal or guy that needs to change (and not myself). I had a coach that told me, “it is good to be a little uncomfortable.” He was right. Change is uncomfortable but that is the whole point. If you are not having conversations about BPR that doesn’t nudge someone out of their comfortable routine, you really are not changing anything of value. Have the tough talk, speak truth to power, and create a more capable and efficient company.
- Ongoing improvement. The end of BPR sessions or the ERP Go-Live is not the finish line. It is just the beginning. Continuous Improvement must become your corporate culture, a new way of life, and figuratively tattooed right below that tribal band on your arm. BPR is an opportunity to create such a new environment and culture that will lead to satisfied customers and, more importantly, happy employees. BPR should not be viewed as a one-time fix, but as a continuous improvement that will affect every aspect of the company.
If successful, a BPR initiative can result in improved quality, customer service, and competitiveness, as well as reductions in cost or cycle time. However, successful BRP is intended to make minor adjustments to critical processes, trim costs, or downsize employees. It is an ongoing and long-term commitment. Also, take the time to consider that not all BPR consultants are the same. Be diligent in your search for qualified BPR consultants to lead your sessions. Your BPR consultants should have walked in your shoes, from the shop floor to the C suite. Finally, if you want to avoid “Curious George finds a high voltage fence” with your BPR and ERP implementation, then contact the BPR experts and monkey wranglers at LTA. We have a deep bench of organizational and manufacturing experience with several types of private, public, and not for profit organizations. We promise to keep you safely away from any electric fences, ask any of our satisfied clients.
[1] Bain & Co., “Business Process Re-Engineering,” available online at https://www.bain.com/insights/management-tools-business-process-reengineering/