Redesigning the Business Process Quiz

REDESIGNING THE BUSINESS PROCESS QUIZ 5

Redesigningthe Business Process Quiz

Redesigningthe Business Process Quiz

Advantagesand disadvantages of Reengineering

Thisis a process which involves redesigning of business process with theaim of improving its performance in various areas especially incustomer satisfaction (Kaplan Financial Limited, 2012).

Advantages

  • Increases cost advantages, hence making organizations competitive both in the short and long-run.

  • Gives customer oriented services.

  • Help to simplify the organizational activities by reducing the unnecessary processes.

  • Helps to perceive how best activities can be carried out and or improved.

  • Improve the company’s competitive position by reducing its production cost.

  • Helps to improve production by offering a wider perspective into production (Kaplan Financial Limited, 2012).

Disadvantages

  • The process is extremely demanding and needs the participation of the whole staff as well as management in the long term

  • In most cases, the activities are not redesigned but rather automated

  • If done frequently it may interfere with the performance of the employees who may feel that their jobs and positions are threatened (Kaplan Financial Limited, 2012).

Advantagesand disadvantages of downsizing

Downsizingentails reducing the number of employees within a company’sdepartment to save labor cost and business resources (Root,n.d).

Advantages

  • It lowers the company’s high cost of business operations.

  • Leads to sale of assets priory used by the retrenched employee to raise more money for the company.

  • Reduces wastage on resources used to pay employees who have little productivity for the company.

  • The exercise helps the remaining employees to be more focused and results oriented.

Disadvantages

  • Over burdening your employees with work and raises cost incases you need to re-employ

  • It kills the morale of the employees as they worry about who will go and who will be left,

  • The company risks a law suit which may be expensive and bad to the image of the company, in case some employees feel they were unfairly targeted.

Advantagesand disadvantages of Rightsizing

Rightsizingentails a gradual reduction of the staff to improve efficiency asopposed to mass retrenchment. According toQuinn, (2011) itsadvantages are

  • It keeps the employees constantly productive

  • It raises the efficiency as well as effectiveness of the firm’s productivity through quality service delivery.

  • Helps the company to bring new ideas constantly as they give old employees early retirement to control huge salaries

  • Helps in maintaining constant assessment of staff, phasing out the poor performers.

Quinn,(2011) citesdisadvantages as

  • Employees are under constant pressure and may reduce their productivity

  • Company may lose high scale talents to other organizations with dissimilar plan.

Advantagesand disadvantages of time sizing

Itinvolves using accumulated vacations and unpaid leaves to reduce thecost of production as opposed to staff retrenchment (Gonsalves,2002). This regulates the number of employees at a given period onthe payroll.

Advantages

  • It is applicable across all levels of management with proper management and agreement.

  • A company retains all its employees and maintains its fiscal budget to manageable level.

  • Promotes teamwork and gives the staff a sense of belonging, thus the need to sacrifice for the company’s greater good

  • Employees may take the leave to reinvigorate and bring back fresh ideas upon return

Disadvantages

  • Push the employees to look for alternative jobs to supplement the lost time during unpaid leaves.

  • May not improve quality as the employees’ job security may discourage competitiveness which increases productivity (Gonsalves, 2002).

References

Gonsalves,S. (2002). Time-sizingbetter than downsizing.Available at

http://www.seattlepi.com/news/article/Time-sizing-better-than-downsizing-1098958.php

KaplanFinancial Limited (2012). Whatis BPR?.Available at

http://kfknowledgebank.kaplan.co.uk/KFKB/Wiki%20Pages/Business%20Process%20Re-engineering%20%28BPR%29.aspx

Root,G. (n.d). Advantagesand Disadvantages of Downsizing a Company.Available at

http://smallbusiness.chron.com/advantages-disadvantages-downsizing-company-18713.html

Quinn,T. D. (2011).&nbspTheimplementation dynamics of continuous improvement throughout thecorporate hierarchy based on lean SIX SIGMA at DTE energy by TimothyDavid Quinn&nbsp(Doctoraldissertation, Massachusetts Institute of Technology).