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Review of Key IdeasSystems Analysis Requirements DeterminationSystems DesignLogical Vs. Physical DesignSystems Development MethodsSDLC, Prototyping,OORequirements GatheringBPR METHODOLOGYDevelop Business Vision and Process ObjectivesIdentify Processes to Be RedesignedUnderstand and Measure Existing ProcessesIdentify IT Levers(DB,ES, Telecom, Integration)Design and Prototype“ BPR Principles”Based on Hammer, M.. Reengineering Work: Don't Automate, Obliterate. Harvard Business Review, July-August, 1990, pp. 104-112. Organize around Outcomes, not tasksInsurance Case ManagerHave those who use the output of the process perform the processPurchasing Using Prenegotiated ContractsSubsume Information Processing Work into the real work that produces InformationFord’s Accounts Payable“BPR Principles”Treat Geog. dispersed resources as though they were centralizedHP PurchasingLink Parallel ActivitiesProduct Design, Bank ProductsPut decision points where work is performed and build control into the processInsurance Decisions DB and ESCapture Information once and at the sourceEDIBPR Success and Failure+/-Senior Management CommitmentRealistic ExpectationsGrowth and Expansion contextEmpowered and Collaborative WorkersAppropriate people participating full-timeBudgetTo DoPilot ProjectsMindset ChangeInvolve IS , HR, and othersHuman RengineeringGroup Leader MeetingPrice Control SystemThe Tatsumaki ProgramThe Draft SystemThe HangenImproving Knowledge Work ProcessesKnowledge WorkKnowledge-Know-what, Know-how, Know-why, and self-motivated creativityAcquisition, creation, packaging, or application of knowledgeTacit and explicit knowledgeExamples: product development, advertising copy development, order configuration, new business development, R&D, systems developmentChallenges to Traditional Process RengineeringTraditional Processes –specific ordering of work activities across time and place with clearly identified inputs and outputsKnowledge Work Processes-Variety and uncertainty in inputs/outputsUnstructured and individualized work rulesUnclear measuresWorker autonomyVariability in performance across individuals and timeMay require different types of IT supportKnowledge OrientationsKnowledge Creation –finding existing knowledgeCreating new knowledge –R&D, advertisingPackaging knowledge –publishingApplying knowledge –auditingReuse of knowledge –product development, software developmentKnowledge Improvement ContinuumHire good people and leave them alone vs. do work differentlyFocus: inputs and outputs vs. activitiesEvaluation: long term vs. short termParticipation: broad vs. narrowCommitment: Persuasion vs. Mandate…Redesign Strategies for Knowledge WorkChange Knowledge byReducing or creating reusable units of knowledgeImprove knowledge by changing the physical location of where and with whom people workUse technology to bolster knowledge work byCreating knowledge bases and other IT applicationsDocument management systems (http://www.documentum.com)Value Innovation in the Electronic EconomyLearning Objectives:Understanding the organizational and IT management implications of the electronic economyUnderstanding different types of IT applications and how they can be used to reengineer business processes (routine as well as knowledge intensive processes)Electronic Economy QuizT/F about managing business1. The middleman role will change to value addition2. Physical goods will be supplemented by movement of electronic info3. Value chain vs. network or web of relationships4. Non-pricing based differentiator5. May not be effective. It depends6. Outsourcing may reduce competitive advantage7. You could deploy a partly tested application and modify8. Incremental functionality is OK if you can mange integrationExampleshttp://www.harbinger.com(EDI)http://www.bofa.com/(PC Banking & Marketplace)http://www.liveperson.com(Customer Service)www.rfid.org
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