Question 11 Essays

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Reengineering is the analysis and redesign of the business processes or workflows to achieve major gains in cost, service, or time. It is considered as the process of improvement approach. Michael Hammer described the importance of reengineering process by explaining the seven principles of reengineering. These principles are following:
1. Organize around outcomes, not tasks: Create a person’s job around an objective, goal, or outcome instead of a single task or series of tasks.
2. Have those who use the output of the process perform the process: With computer-based information systems, processes can now be reengineered so that the people who need the result of the of the process can do it themselves.
3. Subsume information-processing work into the real work that produces the information: People or departments that produce information can also process it for use instead of just sending raw data to others in the organization to interpret.
4. Treat geographically dispersed resources as though they were centralized: With modern information systems, companies can provide flexible service locally while keeping the actual resources in a centralized location for coordination purposes.
5. Link parallel activities instead of integrating their results: Instead of having separate units perform different activities that must eventually come together, have them communicated while they work so that they can do integrating.
6. Put the decision point where the work is performed and build control into the process: The people who do the work should make the decisions and be self-controlling in other words leave the decision at the place where the work is performed.
7. Capture information once and at the

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