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Business Process Reengineering (BPR) – Definition, Steps, and Examples

Business Process Reengineering (BPR) – Definition, Steps, and Examples

Every business owner is running a business to meet specific goals. In this regard, business processes play a vital role in driving the goals successfully and always have room for further improvement. 

If your business has a larger scale, then modifications in the process get harder. But you cannot improve the processes without changing them. Process re-engineering with BPR is not a simple task, and there is the possibility of mistakes that might confuse when implementing BPR. 

Are you looking for a strategy to improve your business workflow? Do you want to improve your business processes by upgrading your existing process? If yes, this is your place. In this article, we'll define the business process of re-engineering (BPR), its steps, and real-world examples of BPR in multiple industries. Let's take a look at the details.

What is business process re-engineering (BPR)?

You might have heard about BPR frequently to get more profitability from a business process. But you might not be clear about this term. We will unveil the definition of BPR to make this term more understandable for you. BPR is a short form for business process re-engineering. It is a process of improving the existing business process to enhance turnout and improve product quality.

Business process re-engineering helps businesses to cut off the unnecessary processes involved in the business workflow or the functions/operations that are worthless for business growth. Apart from cutting off unnecessary tasks, business re-engineering also integrates similar activities to reduce the steps involved in the process completion. The best example of BPR is to switch the manual data handling to a database management system that improves the business process and reduces the chances of error.

Implementation of Business Process Reengineering (BPR) for your Project

Do you want to increase the turnover of the business? If yes, then implementing the BPR process is the best idea. The reason is that your business processes need improvement to make your business stand out in the world of competition. You might think of implementing BPR to improve your business process in the following scenarios: 

Business Process

  • If you are receiving refunding requests and complaints from your clients
  • If your employees have disputes and high stress 
  • If your experienced employees are resigning or going on vacations 
  • If your business growth is declining
  • If you are not getting sales leads
  • If there is a lack of corporate-level governance 
  • If you are not able to manage the cash flow for your business
  • If inventory levels are increasing

If you are facing difficulty at any level of your business, it's high time to implement business process re-engineering (BPR) to overcome all these problems. 

How many steps are there in Business Process Reengineering?

We hope you are convinced to implement the BPR business process to increase the profitability of your business. You might be wondering how many steps are involved in implementing the BPR business process. Let's take a detailed look at the steps involved in the business process re-engineering(BPR): 

Step 1. Specify your Business Goal 

The first step of business process re-engineering(BPR) is to specify your goals and expectations from the business workflow. Once you are clear about your goals and expectations, you will be able to identify the bottlenecks in your business process. Let's say that you want to deliver the products to your customers within a specific timeframe, and you will have to look for efficient processes to make it happen. 

Step 2. Analyze your Existing Business Process

Before switching to the new business process through the BPR business process, it's crucial to review the current status of the processes. For the analysis through business process re-engineering (BPR), all you need is to review the steps involved in the process completion. After in-depth analysis, you will be able to determine the reasons that reduce product quality and increase the cost. 

Step 3. Search for the Gaps

The third step of business process re-engineering (BPR) is to specify the KPIs, also known as Key Performance Indexes. Specifying the KPIs in the re-engineering process will help you get a rough idea about your performance in achieving your goals for a sustainable business process. Once you have specified KPIs for business processes, you need to analyze the cycle time and processes involved in manufacturing. 

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Step 4. Choose a Test Case 

The fourth step of the business process re-engineering (BPR) is to check all the processes involved in your process re-engineering. Among all the business processes, you need to identify effective activities to get more profitability. After identifying the process's effectiveness, you need to predict the plan that will help to achieve the business's strategic goals. 

Step 5. Create and Test your Assumptions

The fifth step of the BPR business process is to plan new workflow and processes. Once you have planned new processes with BPR, you need to conduct a meeting to inform the other stakeholders. Now, this is high time to create a hypothesis for testing to analyze your revised processes. 

Step 6. Execute the New Business Process

The next step in the BPR business process is to ensure the availability of funds to implement the new business process. 

Step 7. Analyze the Performance

The last step of business process re-engineering (BPR) is to monitor the performance of the new business process. For this purpose, you can use KPIs to compare the performance metrics of the business processes for better assessment. When implementing business process re-engineering (BPR), your goal should bring improvement to the existing processes at an affordable budget. Business process re-engineering is all about changing the business processes to earn more profit and get positive feedback from the customers.

What are Examples of BPR?

To understand the benefits of business process re-engineering, we are unveiling real-time examples from different industries where BPR has successfully improved business processes. Let's begin:

Example 1: Quality Improvement 

Joe works as a delivery head at a fast food restaurant. He wants to introduce a delivery method that makes the delivery process faster. In this regard, Joe specifies that if he makes two teams combine the ordered food, then the delivery process is faster. So, business process re-engineering has helped him to get positive feedback from his clients. Moreover, the improved business process also increases the profitability of his restaurant by putting together the meal quickly. 

Example 2: Technology Upgradation 

In the education sector, it's difficult for the teachers to read students' handwriting. The same case is observed by Jennifer, who finds it hard to read the handwriting of some of her students. Every time she takes a test, she needs to pause to understand the words. It affects her grading capability. To add more transparency to the grading, Jennifer decides to shift the manual tests to a digital platform. After implementing this process of re-engineering, Jennifer and her colleagues reduced their time for checking the test. So, implementing business re-engineering can save the teachers time and help them to focus on their teaching methods. 

Example 3: Employees Downsizing 

Alexander is a manager at a transport company, and his CEO orders him to downsize the number of employees to cut down the cost. To implement the plan, Alexander makes a flowchart of a business workflow to check the employees who are performing the same task. After the process analysis, he comes to know that one job deals with the billing for selling cars, and another job manages the billing for buying cars. To cut down the cost of business processes, he decides to implement business process re-engineering and merge these similar jobs. After implementing process re-engineering, he informs his CEO to decide on the job elimination. 

Isn't it economical to implement business process re-engineering to cut off the additional business costs? 

Final Thoughts 

We hope you are clear about the role of business process re-engineering in increasing the profitability of your business. If you want to revise your business process, you need to make or modify your business app. In this regard, we recommend you try AppMaster to revamp your business to the next growth level.

It is a no-code platform that allows business owners to revise their business processes using only visual programming approach. The beauty of this no-code tool is that it provides source code that you can use to modify the business process even if you are not using this platform anymore. To implement business process re-engineering, try AppMaster and get more profitability in your business process!

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