Keyword

Cost, benefit, re-engineering, business process, Nigerian banks

Abstract

This paper focused on analyzing the costs and benefits of Business Process Reengineering (BPR) in Nigeria drawing on a sample of ten (10) banks in Port Harcourt. The paper was intended to ascertain the worthiness of BPR projects in the banks. Two research questions (what are the benefits of BPR? and what are the costs of BPR?) and one hypothesis (there is no significant difference between the benefits and costs of BPR), guided the study. The result showed that there is a significant and positive difference between the benefits and costs of BPR. Consequently, it was concluded that BPR is a worthwhile exercise in Nigerian banks since the findings showed that the benefits outweighed the costs. Based on this, it was recommended that: BPR should never be carried out for the mere sake of it rather, it should be preceded by strategic planning, which addresses leveraging IT as a competitive tool; such an exercise should place the customer at the center of the re-engineering effort. This can be achieved by concentrating on re-engineering fragmented processes that impact negatively on customer service; for a successful BPR, there must be recourse to corporate culture while constant communication and feedback should not be ignored; to achieve maximum result from a BPR, it must be effort of the organization members and not that driven by a group of outside consultants or sections of the organization; a specific time frame between three to six months should be designated for any BPR proj


Full Text : PDF

References
  1. Abrahamson, E. (1996). Management fashion. Academy of Management Review. 21, 254-285.
  2. Carter, P. (1995). Business Process Reengineering: An Introductory Guide. Retrieved on May 6, 2014 from http://www.teamtechnologv.co.ukm 
  3. Champy, J. (1993). Reengineering Management. New York: Harper Business Books.
  4. Counter, H. (2002). Business Process Reengineering Now. Retrieved on May 6, 2014 from http://www.butex.com/bpr.htm 
  5. Davenport, T. & Short, J. (1990). The New Industrial Engineering: Information Technology and Business Process Redesign. Sloan Management Review. Summer, pp 11—27
  6. Davenport, T. (1990). Process Innovation: Re-engineering work through information technology. Boston: Harvard Business School Press.
  7. Drucker, P. (1972). Work and Tools. in Kranzberg, W. & Davenport, W.H. (eds), Technology and Culture. New York
  8. Dubois, H. F. W. (2002). Harmonization of the European vaccination policy and the role TQM and reengineering could play, Quality Management in Health Care, 10(2): pp. 47-57. “PDF”
  9. Greenbaum, J. (1995), Windows on the workplace, Cornerstone Goldratt, E.M (n.d). Theory of constraints. Retrieved on May 6, 2011 from
  10.  http://en.wikipedia.org/wikiltheorvofconstraints 
  11. Hammer, M, & Champy, J. (1993). Re-engineering the Corporation. New York, NY:  Harper Business Publisher.
  12. Hammer, M. (1995). Reengineering Work: Don’t Automate, Obliterate. Harvard Business Review, July/August, pp. 104-112.
  13. Goldratt, J. R. (1985). How Re-engineering Transforms Organizations to Satisfy Customers. National Productivity Review, December 22, Pg. 45.
  14. Kapoor, C. (2010). Benefits of Business Process Re-engineering. Retrieved on October 18, 2014 from http://benefltof.net/benefits-of-brr/ 
  15. Keh, F.J (2011).Cost Benefit Analysis. Retrieved on October 18, 2014 from 
  16.     http://mgt.about.comlcs/monev/alcostbenefit.htm 
  17. Lloyd, T. (1994). Giant with Feet of Clay? Tom Lloyd Offers a Contrasting View of Business Process Re-engineering. Financial Times, December 5 ; Pg. 8.
  18. Ponzi, L. & Koenig, M. (2002). Knowledge management: another management fad?, Information Research, 8(1).
  19. Process Re-engineering Training Manual. Commerce, TX: Center for Excellence, 1994.
  20. Pryor, M.G, & Pryor, D.W (1994). Process Re-engineering as a Quality Strategy. Israel Society For Quality Proceedings, November 1994, 681—696.
  21. Pryor, M.G. (2011). Business Process Re-engineering. Encyclopedia of Management. Retrieved on May 6, 2011 from http://www.enotes.com/managementencyclopedia
  22. Taylor, F. (1911). The Principles of Scientific Management. New York: Harper & Row.
  23. Weicher, M., Chu, W.W., Lin, W.C., Le, V. & Yu, D. (n.d). Business Process Reengineering: Analysis and Recommendations. Retrieved on June 23, 2014 from
  24.  http://www.netlib.com/files/bprl.ydf