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Managing Organizational
Transformation
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Business Process
Organization is viewed as a collection ofbusiness processes.
Employees as owners of those processes. Change from a function-based to process-
based organization.
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Business Process Boundary
Input
Process: a set of activities that interact witheach other
Core process: A main process such as a new productdevelopment process
Support process: a process that supports the coreprocess. Support processes of the new product
development process include analysis, market test,product design, product test, etc.
Output
Feedback
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STeP Model
Three components of BPR: Staff, Technology,and Process
All three components are interdependent and
must be considered at the same time. Module 1 (Managing Technology), Module 2
(Managing People), and Module 3 (Managing ISorganization) focus on technology, staff, and
process, respectively. This topic looks at those three components
simultaneously and understand the interactionamong them.
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Business Process Redesign
Reduce cycle time
Eliminate redundant or non value added
tasks Use a diagram to show before and after
the redesign
Diagram can be used as a communicationtool between a designer and others
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Management Challenges
Reengineering is very difficult andambitious undertaking regardless of the
size of the enterprise. The primary ingredient is leadership.
The other major ingredient is a team
dedicated to the process.
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Why manage change?
Change brings disorder into anorganization.
The disorder needs to be managed tobring everything back to order.
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Change Motivatorshttp://www-staff.mcs.uts.edu.au/~jim/bpt/s97l8.html
Pain, hope and uncertainty
Coordination and cooperation
Cultural and paradigm shifts Behavioral change
Duration of change
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Components of Changehttp://www-staff.mcs.uts.edu.au/~jim/bpt/s97l8.html
Duration - influence by external factors,approx. 18mths - 2yrs
Scope - larger the entity to change, the moredifficult to manage it, process segments
Values, attitudes & behaviors
Communications & commitment building - at all
levels, before implementation begins Measures - vision with strategic goals
Post-implementation - replace resistors, shiftlocus of control
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Lessons from Hammer & Stanton (1995)
A wedge and a magnet are needed to getstarted
Leadership must demonstratecommitment
Executive consensus is a requirement
Constant vigilance must be maintained All change has loss
If you believe you can't change, you won't
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