Role of It in Business Process Change
By: jeyanthan • Research Paper • 3,184 Words • May 9, 2010 • 932 Views
Role of It in Business Process Change
Introduction
Business processes change is fundamental to an Organization's success in producing its products and services. For an organization to maximize its competitiveness, it needs to have processes which are together well designed and which Work efficiently. Segmenting tasks into blocks reduces the capacity of change and the organization difficulty that must be managed at any given moment. The development of IT in business process change (BPC) also creates how fundamental transformation with technology must be made with in the organization.
Through their straight impact on essential factors of production, information and knowledge, computing and communications technologies promise massive gains in levels of organizational production. It is only logical to conclude that innovative improvement in IT coupled with exponential increases in IT business enterprise within factories and companies will mainly certainly guide to large and general gains in organizational production. The variations have caused some to question the importance of IT savings, and my study will recommend that the practical relationship between IT and production is much more complex than the invented organization. ( Harmon P,2003)
Organization applied as Business Systems
Many special trends lead to the growing center on technology that began in the 1960s. Some resulted from the emphasis on systems current in the computer community. Today's importance on systems also arises out of modern work in companies. At the same time, still, many management theorists have contributed to the systems viewpoint. (Attewell.P, 1991) (Newell.S,and Sand Robertson,2009)
In core, the systems perception emphasizes that everything is connected to everything else and that it's often meaningful to replica businesses and processes in terms of flows and response circles. A simple business system diagram is shown in Figure 1.1.
Figure 1.1- A business entity as a system
The thought of treating a business as a technology is so simple, especially today when it is so ordinary, that it is hard for some to identify how important the thought in reality. It highlights that any given employee or division or activity is part of a larger entity and that ultimately those entities, working mutually, are justified by the results they produce. (Attewell.P, 1991)
The majority of big companies discovered the use of document workflow systems and the use of ERP systems to computerize at least for some business processes. The use of document Workflow and ERP systems represented a very diverse approach to process redesign than that advocated via BPR gurus of the early 1990's.Hammer had stated a total reconnect of complete value chains. Everything was to be reconsidered and redesigned to supply the company with the best possible new Business process. The workflow and ERP approaches in the company, on the other hand, focused on automating existing processes and replacing available, departmentally focused legacy systems with new software modules that were designed to work mutually. These business systems were narrowly focused and relied heavily on IT employees to put them in place. These technology systems are competitive advantage for current company's tactics. (Hammer, Michael, 1990) The marketing development of the company includes customer authorization, market study, and product mix decisions. This process obtains the most information possible on customer needs, preferences, and testing. IT that makes this process easy is computer assisted telephone interviews and consumer communication through the internet.
Michael E Porter's standard value chain
To create all this fragment more tangible, consider how it is applied to business processes change in the work of technology. The globe work for the present importance on absolute business processes change was put down by Michael E. Porter, Competitive tactic, but it's in Competitive Advantage that he lays out his observation of a value chain a complete gathering of all of the activities that are performed to design, produce, promote, distribute, and maintain a commodities display with the support of technology. (Hammer, Michael, 1990)
The outcome for communication technologies propose a connection with perceived efficiency development that is not improved by perceived business process change. These technologies improve the efficiency of information flow, but have apparently do not need process change. For instance, e-mail and teleconferencing systems are frequently used to facilitate formal and informal communication. However, the structure of processes may not have