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Ahmad 2007

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Business process reengineering:

critical success factors in


higher education
Hartini Ahmad
Production and Operations Management Department,
Faculty of Technology Management, Universiti Utara Malaysia, Kedah, Malaysia
Arthur Francis
School of Management, University of Bradford, Bradford, UK, and
Mohamed Zairi
ECTQM, School of Management, University of Bradford, Bradford, UK
Abstract
Purpose The purpose of this paper is to examine the critical success factors of business process
reengineering (BPR) in higher education (HE).
Design/methodology/approach Empirical case studies collected from three private higher
education institutions in Malaysia, which have embarked on BPR successfully.
Findings Seven factors were found to be critical to BPR implementation success. The factors are
teamwork and quality culture, quality management system and satisfactory rewards, effective change
management, less bureaucratic and participative, information technology/information system,
effective project management and adequate nancial resources.
Research limitations/implications The paper provides a framework for future research to
explore organisational development in making BPR happen successfully.
Originality/value This research contributes to studies of BPR in HE context, by considering the
soft issues in its implementation.
Keywords Critical success factors, Business process reengineering, Higher education
Paper type Research paper
Introduction
Hall et al. (1993) claimed that 50-70 per cent of business process reengineering (BPR)
initiatives fail to deliver the expected results. This is because, although there is an
improvement in particular areas, for example, a 20 per cent cost reduction, a 50 per cent
process-time reduction, and a 25 per cent quality improvement, at the same time
business-unit cost increases and prots decline. However, Smith (2003) noticed among
other organisational change attempts, the success rate for reengineering was second
highest (23 per cent) next to technology change (28 per cent), and compared with
culture change (19 per cent), mergers and acquisitions (14 per cent) and restructuring
and downsizing (10 per cent). Much effort is needed in developing a model for BPR, a
radical process change, since many critical success factors (CSFs) should be considered
for it, whether for private organisations or for public organisations. Many studies have
dealt with the CSFs of BPR, including Peppard and Fitzgerald (1997), Zinser et al.
(1998) and Al-Mashari and Zairi (1999). By considering a few denitions given by
previous authors (for example, Pearce and Robinson, 1997; in this research context,
The current issue and full text archive of this journal is available at
www.emeraldinsight.com/1463-7154.htm
Business process
reengineering
451
Business Process Management
Journal
Vol. 13 No. 3, 2007
pp. 451-469
qEmerald Group Publishing Limited
1463-7154
DOI 10.1108/14637150710752344
CSFs dened as the few things which must go right for the BPR to happen
successfully). This paper discusses the CSFs of BPR in HE in order to ensure the
successful model implementation of BPR. The determination of the CSFs of BPR could
aid HEIs to plan their approach and to make their action plan.
Related literature
Study background
Many studies focused on the CSFs of implementing BPR in the private sector, such as
at the Porsche Research and Development Centre (Zinser et al., 1998), but less focus
was given to public organisations. In this study, although some literature highlighted
the importance of leadership and top management support for the BPR, this factor is
viewed as driver for BPR (Ahmad, 2004), therefore this paper describes the CSFs for
BPR which consisted top management as interrelated and necessary in all factors.
As Davenport (1993a) stated that a successful change leader has a realistic and positive
expectation about the outcome.
Success factors of BPR
Among the main success factors are ambitious objectives, the deployment of a creative
team in problem solving, and a process approach and integration of electronic data
processing (EDP) (Peppard and Fitzgerald, 1997). Ascari et al. (1995) have discussed
four other elements leading to successful BPR:
(1) culture (which is similar to Hall et al., 1993; Peppard and Fitzgerald, 1997);
(2) processes;
(3) structure; and
(4) technology.
Ascaris study found that the companies that implemented BPR agreed that its impact
on the change of their culture was related to the organisations rethinking of its
fundamental business process. The focus was also on identifying and improving core
processes. However, the scope and maturity of the business process architectures and
the nature of changes within processes vary within organisation. In addition, there
must be signicant changes in structure, especially with emphasis on cross-functional
work teams. The scope of the business process architectures is related to the study
done by Maull et al. (1995, p. 42) which showed the signicant importance of this
subject. He dened business process architectures as the denition of an integrated
set of business processes.
Another research, carried out by Ranganathan and Dhaliwal (2001), showed the
result of BPR practices in Singapore. The study used a survey based on questionnaires
that were mailed to respondents using a mailing list from the data processing
management association. One interesting nding highlighted was that an increasing
number of manufacturing rms in Singapore had started implementing BPR projects
(approximately 50 per cent) and were also likely to take up BPRprojects in the next three
years (approximately 30 per cent). They concluded that BPRwas becoming important in
Singapore for the future in order to survive in the tight competition and changing
environment. It is interesting to note and remember that human factors could become
one of the obstacles for the change to happen. The results in Stoddard et al. (1996)
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and Peppard and Fitzgerald (1997) highlighted that human resistance to BPRcould lead
to unsuccessful BPRprojects. If the change has not beenhandled and managed carefully,
people would resist it, even it is a top-down approach, i.e. driven from the top.
The various dimensions of the CSFs for BPR have been highlighted by Al-Mashari
and Zairi (1999), including change management, management competency and
support, system structure, project planning and management, and information
technology infrastructure. The CSFs highlighted in this study cover other aspects of
CSFs, as mentioned by previous literature such as Ascari et al. (1995), Stoddard et al.
(1996) and Peppard and Fitzgerald (1997). Smith (2003) highlighted that BPR aims to
achieve performance breakthroughs by applying innovative ways of doing business.
Among few things, he mentioned to manage radical change effectively includes
communication is crucial to show support to the process change project and effective
leadership to coordinate deployment of the resources to accomplish the strategic
objectives.
Further, to identify the CSFs of BPR in an organisation, it is necessary to
understand the organisation itself, since the factors may differ regarding the type of
organisation, including private or public. As listed in Hutton (1996), several factors are
to be considered in the public sector in order to implement radical change or BPR.
These include rigid hierarchies, culture, multiple stakeholders, swift and dramatic
changes in policy direction, overlap of initiatives, wide scope of activities, and staff
resistance, which are crucial parts of public sector organisations. However, he
suggested that human issues should be considered for BPR to be performed in the
public sector. This is supported by Smith (2003) who stress that communication at all
levels becomes one of the critical elements here. From the research by Berrington and
Oblich (1995), it could be summarised that in order to implement reengineering, an
organisation needs to understand its structure rst and to ensure the vision was
accomplished. One of the important points here is that commitment needs to be
maintained and enhanced through communication. The people issue rather than
the technology issue is seen as important to be dealt with and managed in order to
make the change effort a success. Also, McAdam and Donaghy (1999) pointed out that
they believed that the most important factor for the successful implementation of BPR
in public sector organisations was enlisting customers.
The issue of culture becomes an important factor for BPR, which was further
emphasised by Peppard and Fitzgerald (1997) who examined the transfer of culturally
grounded management techniques, namely BPR, making specic reference to the
German business and cultural context. They analysed BPR applicability to the German
business environment, a business culture which is sufciently different from the
American, in order to justify this undertaking. They explored how this American
concept can be best transferred to the German business environment. Their study
concluded that managers and employees as well should give their commitment for
change. The conict-free situation will reect on the success of BPR in the long term.
Germany stressed process and customer-focus. Other factors like self-autonomy,
empowerment, culture and organisational circumstances seemed to be important for
BPR to be successfully implemented in Germany. This study related to Hall et al. (1993)
who stressed the depth factor which is concerned with shared values or culture in
pursuing BPR. This study identied six depth levers roles and responsibilities,
measurements and incentives, organisational structure, IT, shared values and skills,
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453
which require change to enable successful reengineering. Interestingly, they concluded
this study by highlighted beside depth a breadth factor also crucial for BPR to
succeed in the long term, which the breadth factors focus on the process that to be
designed must be broadly dened in terms of cost or customer value in order to
improve performance across the entire business unit.
In an extension of methodology from the Hall et al. (1993) work, Maull et al. (1995)
determined what the issues are which underpin a BPR programme, by research
undertaken into a range of companies both large and small, located solely within the
USA, including in-depth study of four companies. Unstructured interviews took place
with selected leading practitioners who had undertaken successful BPR projects and
who were asked to share their experiences. The study was conducted with an
individual or, more commonly with a team, which had overall responsibility for the
BPR project within the organisation. There were ve key issues in this study: scope of
change, performance measures, information technology, human factors, and business
process architecture.
Failure factors of BPR
Beside the success factors, many authors also highlighted some failure factors in
implementing BPR. Aggarwal (1998) highlighted failures of BPR implementation,
which were related to managers arrogance, resistance, crisis, cost, vision, etc. Hammer
and Champy (1993) highlighted some failure factors like failure to have a process
perspective, a xed process which is not exible enough to be responsive to the needs
and requirements, not involving employees (i.e. bottom-up) in decision making,
assigning someone who does not understand BPR, technology limitations, designing a
project but with focus on cost reduction and downsizing, having a weak team, and
problems with communication.
Therefore, this study stressed that reengineering is supposed to start with a new
vision, new mission and new customers. Furthermore, Singapore businesses reported
that the lack of nancial and human resources, and inadequate IT capabilities and
expertise posed the main problems in carrying out their programmes. Other factors
were the lack of support from organisation members, lack of strategic vision, inexible
organisational structure, and lack of champion for BPR efforts (Aggarwal, 1998;
Ranganathan and Dhaliwal, 2001).
It is interesting to note that, among other failure factors are lack of top management
support and nancial resources (Aggarwal, 1998; Al-Mashari and Zairi, 1999), people
resistance (Stoddard et al., 1996; Peppard and Fitzgerald, 1997; Mumford, 1999;
Ranganathan and Dhaliwal, 2001), IT related problems (Al-Mashari and Zairi, 1999;
Ranganathan and Dhaliwal, 2001; Smith, 2003), and ineffective BPR teams, lack of
project management, and problems in communication (Al-Mashari and Zairi, 1999;
Smith, 2003).
Research methods
Case study approach
Existing literature, for example, Hall et al. (1993), Ascari et al. (1995) and Altman and
Iles (1998), suggests that the assessment of BPR in organisations, also in higher
education institutions (HEIs), would benet more by investigating in-depth the real
experience of implemented BPR. Therefore, the research used identied established
private higher education institutions (PHEIs) which had embarked on BPR for its
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detailed case study approach. The selection of the case study PHEIs based on some
decisive factors:
.
implementation of BPR/nature of radicalness in process change
implementation; and
.
successful BPR project over the last ve years.
Therefore, we have chosen case 1: HEI-A, case 2: HEI-B and case 3: HEI-C.
Actual case study eldwork was done through a triangulation approach to get both
breadth and depth information, and which is in line with suggestions in Miles and
Huberman (1994) and Yin (1994), with an open-ended interview involving top
management (for example, chief executive ofcers, directors, deans, and managers).
They were asked to identify the leadership factors, particularly from the strategic BPR
practices, in terms of mission and vision, and also other elements such as commitment,
support, and communication (Davenport, 1993b; Altman and Iles, 1998).
Open-ended interviews
Specically, this study had developed a set of interview questions on the CSFs factors,
were put to the top management and BPR team of the case organisations. Examples of
the questions are as follows:
.
Please explain the factors that make the BPR or radical process change project
succeed from your experience?
.
Please give your comments on how critical they were to your BPR or radical
process change project success?
The instruments for open-ended interviews were developed based on the literature
review, most of them being adapted from Al-Mashari and Zairi (1999) and Guimaraes,
1999). In addition, the instruments were also based on the literature review which
suggested several points regarding the different context and different country, which
stressed the cultural background more (Peppard and Fitzgerald, 1997).
Data analysis
Decision explorer for idea mapping
In this study, the main software for the data analysis was Decision Explorer, since this
research is focused on the case study which relies much on the qualitative approach,
and a linkage diagram of participants ideas using the Decision Explorer software was
developed, based on suggestions in Ahmad and Spicer (2002) and Ahmad (2003). The
selection of this software was based on the suitability of its application for this kind of
qualitative data. The authors identied the capability of this software to analyse the
cognitive maps of research subjects, such as in terms of the amount of concepts
involved, and their relationships. More importantly, this research has to emphasise the
qualitative data analysis to answer most of the research questions and to meet the
research objectives. Using this software enabled the research objectives to be met. Data
in interview questions, as mentioned earlier, were transferred onto Decision Explorer
software prior to further analysis. In doing this, we referred to the notes taken and
identied all the relevant factors discussed by interviewees, and after that keyed-in to
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the software to explain and interpret the meaning of actual practices in case studies
(see Appendix (Figure A1), for example, of Decision Explorer output for case 1: HEI-A).
Cross comparisons of three case studies
We did a cross-analysis which focused on the similarities and differences of all the
CSFs obtained through the analysis. Additionally, we have compared results from the
three case studies with a best practice example or benchmark. The benchmark taken is
that of University of Wisconsin-Stout (UW-Stout), the winner of the Malcolm Baldrige
National Quality Award (MBNQA) in the education category in the Year 2001. This is
thought to be appropriate because MBNQA is the standard for performance excellence.
In fact, MBNQA was envisioned as a standard of excellence that would help
organisations to achieve world-class quality (Figure 1). From the analysis of ndings, it
was found that many interesting issues came out from the factors highlighted by the
cases. Although the factors derived from the interview sessions vary in terms of
numbers and terms used, the coverage of all factors seems very similar across all three
cases. These CSFs include teamwork and quality culture, quality management system
and satisfactory reward, change management, less bureaucratic and participative,
IT/information systems, project management, and adequate nancial resources.
Findings and discussions
We highlight the CSFs and these factors should be applied in organisational setting, as
follows.
Teamwork and quality culture
The evidence here and elsewhere is that a strong appropriate culture should be
developed in the organisation, and should start from the adoption of organisational
Figure 1.
Common factors across
case PHEIs
Level A:
CSFs
Level B:
Case analysis
Case 1: HEI-A
Culture
System
Change management
Structure
IT
Project management
Education and Training
Manpower/human
resources
Financial allocation
Case 2: HEI-B
Culture
System
Change management
Structure
Project management
Resources and IT
Case 3: HEI-C
Culture
System structure
Change management
Organisational structure
ICT
Project management
Process-focused
Common Factors in CSFs:
Teamwork and quality culture
Quality management system and
satisfactory rewards
Change management
Less bureaucratic and participative
IT/ IS
Project management
Adequate financial resources
UW-STOUT examples:
Values support organisational
learning
Professional development and
satisfactory award/ recognition
system
Treat employees best, and increase
satisfaction
Flattened and cross-functional
Integrated IT and as major tool
Systematic project management
Budget planning link to initiatives
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core values, which should be done through various innovative activities. This is
because culture plays an important role to enable successful change implementation
and avoid stress and resistance to change among employees which is acknowledged as
being a fundamental block to change (Mabin et al., 2001). It is clear from the ndings,
that it was stressed how organisational culture teamwork and quality inuences
BPR. Authors like Alavi and Yoo (1995) and Lee and Asllani (1997) stressed the
importance of organisational culture to ensure success in incremental or radical
process change. We found slightly different circumstances of organisational culture in
all case studies, however, all stressed on teamwork. This is in line with UW-Stouts
vision and values which typify this collaborative process and innovativeness. We have
the same opinion as Murray and Lynn (1997) who highlighted that innovativeness is
vital for a large-scale process change, which is BPR in this context. We agree that a
well-established culture of teamwork would make it easier for the organisation to
achieve its goals. Therefore, culture should become a top priority in this BPR to move
the whole organisation to desirable ends.
It was suggested that, in some situations, it is necessary to change the
organisational culture to ensure successful fundamental change and to become
competitive (LaMarsh, 1997; Peppard and Fitzgerald, 1997). Specically, Grieves (2000)
stressed the need to change cultural norms. Therefore, parallel to what has been done
in the case studies, we believe that this is the right way to adapt and adopt the right
culture into BPR to ensure its success, which is in line with the work of Peppard and
Fitzgerald (1997).
Quality management system and satisfactory rewards
Furthermore, organisational systems should tally with organisational direction, for
example, the adoption of quality management system (QMS) in organisational work
activities enables the organisation to meet its BPR objectives. Because QMS itself is
process-focus, it therefore aids the organisation to detect any improvement or changes
needed in the process. Another important element is that the compensation systems
practice in the organisation should be suitable for the organisational environment and
appropriate for the kind of individuals so that it would satisfy the employees (Rowley,
1996; Mumford, 1999).
We highlight two kinds of systems which found important as identied from the
case studies:
(1) QMS; and
(2) incentives and rewards.
It was noticeable that all three case PHEIs, reported that the QMS, namely MS ISO
9001, pursued by themwas important for the success of BPR. Generally, this is because
QMS makes the organisational process more manageable and they could simply
streamline their process to meet objectives. Quality is important in HE, and also an
UW-Stout major system was the performance improvement system which
introduced quality management practices in 1992, with extensive awareness training
in facilitation, performance measurement, and benchmarking. This system enabled the
organisation to create a continuous improvement environment.
We found that a proper organisational system is important for the success of BPR.
Systems should include elements such as common interests, values, and decision
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making, which showed linkages to culture and structure in case studies ndings. This
view was parallel to Mumford (1999) and Rowley (1996), who discussed the strategies
for motivation, including appropriate rewards such as performance-related pay and
promotion, which relate to culture. Particularly, Rowley (1996) stressed the academic
staff as a key resource to HEIs, therefore it is important to recognise their different
motivation factors which depend on things such as length of service, work experience,
age, aspirations with respect to career development, and personal life.
These three cases shared the belief that extrinsic rewards such as performance
appraisal, promotion and increased salary are closely tied to employee performance
(particularly in HEI-C). In addition, UW-Stout designed its compensation and
recognition to reward high performance, to be equitable, and to recognise longevity
and loyalty to the institution. The compensation systems provide merit rewards,
adjustments for promotion and educational preparation changes, and addresses
longevity and salary equity issues. The promotions include title change process, for
example, a teaching academic staff member may move from a lecturer title to a
senior lecturer title (UW-Stout, 2003).
Change management
Moreover, the organisation should know very well about how to manage the impact of
change in the organisation. Particularly, in the HE sector, academic staff are the key
personnel and important assets (Rowley, 1996; Lundquist, 1998), therefore
management should have the art of dealing with people in its particular
environment. Effective change management should consider soft issues around the
human, and would avoid resistance to change among employees (Mumford, 1999;
Moran and Brightman, 2000; Mabin et al., 2001).
Change management relates to how a manager or leader manages the potential
impact of change to make people accept it in order to implement change. This
denition is in line with Moran and Brightman (2000) who dened change
management as . . . the process of continually renewing an organizations direction,
structure, and capabilities to serve the ever-changing needs of external and internal
customers. The authors stated that change management . . . is really about managing
(either well or poorly) the impact of some particular environment and/or organizational
change on these core activators of workplace performance. This is different from the
management of change, on which they stated that managing change is about:
. . . managing people, which is fortunately something we know a great deal about (though we
do not always apply what we know!) Managing change draws on our knowledge on human
motivation, groups and leadership.
Therefore, change management is not about managing change. In Mabin et al. (2001)
on the basis of the theory of constraints, they stated that this theory may well provide a
management model that incorporates the utility of resistance actively, directly and
positively. To make radical process change a success, the concern for people is
important, and that is what management should do. For example, Mumford (1999)
highlighted that lack of concern for people will make BPR not succeed.
In addition, Mabin et al. (2001) discussed the importance of training and
development in change management to make people well equipped with all sorts of
knowledge and skills, which therefore would reduce the fear of uncertainty. We found
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that change management is vital for radical BPR, which is also proved by authors such
as Ascari et al. (1995), Peppard and Fitzgerald (1997), and Al-Mashari and Zairi (1999).
Additionally, in organisational development (OD) research which really concerns soft
issues, Grieves (2000) interestingly pointed out that the right way of managing people
for adapting to and adopting change will make change successful and a benet in the
long-run.
Most of case PHEIs participants believed that resources like money and people are
important for the success of BPR. More truly is that almost all of them perceived people
as the most important aspect of BPR effort. In a comparison with UW-Stout, emphasis
there is on the employees satisfaction and treating them best, and for instance, it
employs a number of proactive methods to ensure employees develop their full potential,
such as identication of training and development needs, encouraging grants and
research, sabbaticals, fellowships, and professorships. Thus, to make BPR work
successfully, it must be executed by people within the organisation (Maull et al., 1995;
Campbell and Kleiner, 2001), and more importantly, knowing the art of managing
possible impact of change, not only managing people to work together for making BPRs.
Less bureaucratic and participative
Besides, organisational structure should enable BPR in terms of its encouraging
creativity and innovativeness in the organisation, therefore the need for less
bureaucracy, and more participation and empowerment in the organisation. Also, it
should be borne in mind that the practice also depends on situation and decision-making
type, as found in the case studies. A cross-functional integration, especially through
teamwork, should be implemented in the organisation to promote successful process
change (LaMarsh, 1997; Peppard and Fitzgerald, 1997; McAdam, 2003).
The general view is that BPR means atter, cross-functional and less bureaucratic
structure. Although the organisational chart would appear to be more on rigid
bureaucracy, all cases stressed that less bureaucracy was practised in their
organisation. Case PHEIs also said that this teamwork enabled the organisation to
implement a cross-functional integration, which is in line with Peppard and Fitzgerald
(1997), who identied the efciencies of doing tasks across functional boundaries
through teamwork.
However, since innovativeness is essential for BPR to happen successfully,
McAdam (2003) suggested that organisations should implement less bureaucracy to
encourage innovativeness. Therefore, organisational structure should be exible in
order to avoid failures of BPR implementation, as discussed in Aggarwal (1998) and
Ranganathan and Dhaliwal (2001). Additionally, several authors who worked on BPR
research, such as Davenport and Short (1990) and LaMarsh (1997), stressed the
importance of process integration in organisational structure in order to achieve
desirable business outcomes. Therefore, in a rigid organisational structure, Hall et al.
(1993) and Peppard and Fitzgerald (1997) mentioned one of the ways to achieve
successful results in BPR implementation is by changing that organisations
structure signicantly, especially with emphasis on cross-functional work teams. This
evidence seems to suggest that the top management should re-evaluate their
organisational structure as to whether it is appropriate for todays situation, with a
rapid changing environment, tight competition in the market, and the emerging of new
HEIs and new technology. It was found that less bureaucracy would encourage
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innovativeness in an organisation to move ahead and to implement BPR successfully.
For example, the practice of cross-functional teams will open up widely the opportunity
to have a more process perspective, which is parallel to the BPR concept.
UW-Stout has attened the organisational structure through the broad involvement
of all governance bodies to offer equal representation in the decision-making process.
Furthermore, the university has ad hoc committees and teams, cross-departmental and
college, to deploy university-wide initiatives. Furthermore, departments are
empowered to operate within their budget allocation or to request additional
resources or reallocation of funds. This kind of organisational structure eliminates
delay in decision making and enables the university to be more responsive to its
stakeholders and customers. This idea was parallel to Thomas (1994) and Peppard and
Fitzgerald (1997), who indicated that if empowerment was practised it would make the
organisation faster to respond to customer needs, and therefore the organisation will
get benets from it.
Information technology/information system
Moreover, previous researchers stated that IT/IS is needed to achieve the best results in
BPR implementation, and particularly its integration in processes could aid in redesign
activities (Bhatt, 2000; Vakola et al., 2000). We agree that IT/IS could be of tremendous
value for an organisation in embarking on BPR; however, it should be apparent how to
make IT/IS contribute to its success. This is in line with Newman (1997) who claimed
that there exists little in the form of a framework for providing an integrated view of
the information systems impact on decision making, departmental performance, and
organisation-wide performance. Therefore, the organisation should have a specic
framework to see connection or integration of IT/IS with other departments in order to
benet them so as to enable BPR implementation.
According to all the PHEI case studies extensive experience in their BPR projects,
IT helps a lot in putting all the systems together and in place. IT plays an important
and central role in the BPR. As Khalil (1997) indicated, most of the initiative of BPR
came from the IT department, which is true (particularly in HEI-A) in which BPR
started from the IT department which tried to nd a new way of doing things
effectively and efciently. This is parallel with Mumfords (1999) statement that new
IT technologies are rapidly bringing new capabilities to businesses, thereby raising the
need to improve the business process dramatically. Most discussions, for example,
Vakola et al. (2000) and Guimaraes and Bond (1996), agreed that by using IT in a
radical process change or reengineering, this could speed up the process to be carried
out and minimise errors, thus increasing in productivity.
All three cases believe in the need for IT in BPR, which is in line with most analysts,
who viewed reengineering and IT as complementary (Kettinger et al., 1996; Bhatt,
2000). The researcher agrees that it is important how IT is used, because it is not just a
matter of doing work using computers instead of doing it manually. This point was
also emphasised in other researches, such as Davenport and Short (1990) and
Davenport (1993b). Davenport and Short (1990) suggested the use of IT should be
optimised, as it was found a powerful tool in BPR, which would enable cross-functional
integration, improve cost and time reduction, and improve the quality of output.
This view is similar to Khalil (1997) who identied IT as an enabler for radical BPR,
but it needed proper management. Using UW-Stout as a benchmark, its report clearly
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stated that IT was highly utilised in processes and was becoming a major tool to
improve them. For example, virtual library and online registration were used for
fast response to distance learners comments. Integrated ITwas also used to collect and
integrate data and information for performance improvements. A specic example is
that the university uses an integrated relational database (DATATEL ERP system) to
consolidate and retrieve university-wide academic and administrative, operational and
strategic information. Therefore, considering IT as necessary for BPR to happen, as
found in the case studies, we agree that IT is an enabler, beside being a driver and also
a major component of radical change. Al-Mashari and Zairi (1999) and McAdam (2003)
supported this view in their work which discussed that IT (enabling) and IT
(component) support the radical change project directly.
Project management
Project management is important in order to plan and manage the BPR to be
implemented (Al-Mashari and Zairi, 1999; Burlton, 2001). Previous discussions reveal
how employees should have adequate skills in making changes and doing tasks
assigned to them, which could be gained through a proper training and education
being given to them. Consequently, personal commitment from both leaders and
managers, and employees and team members is needed to make BPR projects attain
their targets. Most of the employees in the case PHEIs reported considerable experience
of project management techniques. Therefore, the employees in this organisation
normally were sent for training in order to get project management skills from outside
consultants. In the OD perspective, researchers such as Huber and Glick (1995), Bechtel
and Squires (2001) and Senior (2002) highlighted that training and education was
important for long-term benet, and it becomes crucial when radical BPR is involved.
We agree with this statement, which is absolutely true as the factor for long-term
benets, however, an organisational learning approach is also needed to share the
knowledge; if not, it will be meaningless.
Similarly, UW-Stout has implemented systematic project management with
adequate resources and emphasised the planning process. For example, in its new
degree programme design, a comprehensive implementation plan was embraced,
including such as programme goals and objectives, curriculum, faculty and staff
expertise, and resource/budget information.
From the discussions above, we realised the importance of project management in
BPR, therefore, which needs personnel skills, since without it the project might fail and
cannot be accomplished, and will waste money, efforts and other resources. Other than
that, in all three cases, the participants experienced that beside skill, full commitment
and support from those involved in projects, whether directly or indirectly, were also
important to deliver expected results, which is similar to Al-Mashari and Zairi (1999).
Adequate nancial resources
Financial resources are obviously important to move the initiatives, since without
enough funding any efforts would end meaningless and stagnant. Therefore,
budget allocations to BPR should be viewed as a long-term investment to get
favourable results which would give prot to the organisation (Kotnour, 2001).
The benchmark university, UW-Stout, implements effective capital and budget
planning processes and innovative methods of funding new technology plans to
Business process
reengineering
461
continually improve its physical facilities. This organisation was recognised as an
innovative organization in institutional budgeting and resource allocation and has a
strong link between budget and academic programme planning (UW-Stout, 2003, p. 8).
BPR involved a huge amount of money (Davenport, 1993b; Maull et al., 1995).
Parallel to this, it was realised from the discussions that, in order for BPR to happen
successfully, the organisation needs to have an adequate amount of funding therefore,
sufcient to implement change and to back up unpredictable circumstances or
uncertainty. Therefore, it is important to have proper budget planning for any
improvement initiatives.
Conclusions
In general, this research provides important lessons as a condition for success that is
drawn from the ndings of the case studies. The ndings of this research offer a
number of strong lessons for organisations anxious to improve their key processes.
Therefore, readers on the way to nd appropriate actions and practices of CSFs in an
organisation could benet from the ndings. We also highlight that OD perspective
should be taken into consideration on how to make successful management of change.
We believe that the OD approach is appropriate in order for the organisation to manage
change, thus it concerns a soft systems model for change and by allowing employees
access to acquire knowledge (Laiken, 2003). This is also in line with studies for instance
by Burke and Peppard (1995) and Hayes (2000) who identied certain criteria in this
approach, such as the emphasis on process, involving the whole organisation as well as
its parts, being participative, and having top management support and involvement.
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Appendix
The Appendix follows overleaf.
Corresponding author
Hartini Ahmad can be contacted at: hartini@uum.edu.my
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Figure A1.
Example of Decision
Explorer output of CSFs
(case 1: HEI-A)
1 CULTURE
2 guidance
3 value
4 conducive
workplace
environment
5 quality culture
6 develop over time
7 [education and
training] 8 'unity of thought,
unity of heart'
9 team building
effort
11 'what they want'
12 accept changes
13 togetherness
1 SYSTEMS
2 QA function
3 education and
training
4 appraisal
5 reward
6 IT and MIS
8 standard andv
specification
9 policy
10 skills
11 quality audit
12 quality policy
13 performance
14 awareness
15 computers
16 industrial
17 academic
19 practical
knowledge
20 verification
22 re-value
23 re-inspection
24 LAN
25 sample the
process
26 hardware and
software
(continued)
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466
Figure A1.
2 lead by example
3 work closely with
staff
4 stimulate ideas
for improvements
5 annual functions 6 family days
7 talk about
policies
8 talk about vision
9 changes need
10 inject ideas, get
ideas and feedback
11 informal
activities
12 initiate projects
13 identify who will
involve (the right
person)
14 commitment from
top management and
leader
2 [communication/
information]
3 adequate
infrastructure
4 adequate funding
9 [education and
training]
11 networking
15 laboratory
16 [project
management]
17 hardwares
18 softwares
19 reduce workload
20 process
improvements
21 reduce lead time
22 reduce costs
23 paperless
24 simplication
25 Solutions
1 CHANGE MANAGEMENT
1 INFORMATION
TECHNOLOGY
(continued)
Business process
reengineering
467
Figure A1.
2 [rules and
regulations]
3 small size
4 participative
5 less bureaucracy
6 introduce new
department - QA
7 [strategic
planning]
8 students
9 committee-based /
task-based
10 empowerment
11 cooperation
12 employees
14 [team building
effort]
15 cross functional
16 management team
17 programme
18 syllabus
20 to strengthen
22 across department
1 PROJECT MANAGEMENT
2 commitment
3 infrastructure
4 funding
5 report on the
issues
6 [change
management]
7 team building
8 improvement
projects
9 task/ activities
10 critical path
11 cost involved
12 task
responsibilities
13 facilities
1 STRUCTURE
(continued)
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468
Figure A1.
1 MANPOWER/ HUMAN
RESOURCES
2 existing staff
3 re-arrange
4 appropriate task
allocation/
distribution
5 clear job
specification and
description
6 skill people for
IT
7 incoming staff
8 appropriate
recruitment
procedures
9 training
1 EDUCATION &
TRAINING
2 awareness and
knowledge
3 PHEIs issues
4 emphasise on
technical skills
5 career development
6 BMI Issues
7 strategic planning
8 administrative
staff
9 technical
instructors
10 third party /
external consultants
11 identify
participants
12 National
Accreditation Board
13 Ministry of
Education
14 Private Education
Department
15 Others -
customers, economics
etc
16 realise
17 understand
18 initiate
19 importance of
making change
20 on-job / off-job
21 balance /
adequate base on the
needs
22 in-house trainer
23 IT skills
1 FINANCIAL
ALLOCATION
2 adequate and
prioritise
3 facilities
4 cost for
improvements
5 technology
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reengineering
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