Organization’s Need of the Day – Business Process Improvements
Today the need of the hour is for the Organizations to be competitive and embracing new methods, processes, to keep changing continually to ensure future growth and survival. It is only those Organizations that have been responsive to the need for continuous change and those that have been able to keep reviewing themselves with reference to the environment and changing that have managed to transition successfully and grow.
Early on every Organization focused on its production processes, product and product quality. Ensuring product quality was the job of the Quality Specialists and the Management’s involvement was perhaps limited to embracing a quality policy and practices. However with the changes in the world encompassing Information Technology revolution, globalization and other factors, the entire concept of carrying on business has undergone a 360 degree change.
The legendary Organizations like IBM, Hewlett-Packard, Xerox & GE etc have reinvented themselves to focus on Customers and also to focus on improving internal business processes thus reinventing the entire Organization. This has resulted in creation of new culture in the Organizations. The way that the Organization perceives and values its processes, people, systems and all other inputs has changed along with their commitment and value proposition to the Customers too.
End of the day what do all these changes mean to the Organization?. Those Organizations that have been successful in evolving as new entities and focusing on their business processes have built long term profit streams and added profitability to the Company while those that did not meet with the need for change have fallen behind in the race.
Management experts in America and Europe are very worried for the fact that the Japanese, Taiwanese, Koreans and not to forget the Chinese and Indians have taken over their manufacturing as well as services sectors. Some consider this to be the fault of the American and European Organizations and their management who did not see the winds of change and did not choose to push themselves to change. The Japanese managed to invade the automobile markets in the US by introducing quickly new adaptations, new designs and enhanced customer experience as well as expectations, while the American companies fell behind in terms of adapting to changes. Even in the service sector, Indian Companies have managed to outperform by adapting to the needs, by building business and delivery models that are tuned to customer satisfaction and internally the organizations are built and thrive on continual change of business processes.
Therefore it is very clear that every Organization needs to work on improving its business process all the time and this is not the responsibility of the line or function managers but the responsibility of the CEOs who drive the Organizations.
Business process improvements yield overall benefits in all areas and functions of an Organization. It helps build reliable business processes that can withstand growth, high volumes and pressures as well as changes in the market and environment. BPI helps reduce costs and improve the bottom line. It helps improve manufacturing processes, overhaul supply chain as well as help increase the market share and build the Organization’s reputation. Besides, BPI helps build Organizational culture, boos employee morale as well as build a fit and responsive Organization. More importantly BPI helps identify what and where the Organization needs to focus, which areas to concentrate on, where to maximize investments as well as build leaner structures that are highly competitive and flexible.
source:www.managementstudyguide.com