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Process Innovation through IT |
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Hammer and Champy explain how information technology holds the promise of process innovation. They show that the true value of technology does not lie in its ability to improve existing business processes, but rather in its ability to allow the development of entirely new processes. They argue that technology should be used to transform processes by minimizing delays, hand-offs between workers and non-value adding work. In its most powerful application, new information technologies allow generalists to do the work of specialists. This is how new technologies can help companies to tap the brain power of each and every employee, making decisions part of everyone's job.
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Hammer, Michael,. Champy, James. Reengineering the Corporation: A Manifesto for Business Revolution. Harper Business. New York. 1993.
This pioneering work by Michael Hammer and James Champy was the first to introduce the business community to the discipline of business process reengineering. Having coined the term "reengineering", Hammer and Champy define it as "the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service and speed."
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The authors use four case studies to demonstrate the principles of reengineering. They show how the implementation of new information technologies and the application of discontinuous thinking can help companies transform collections of uncoordinated corporate functions into coherent business processes. Major themes include a process perspective which identifies employees as customers of and suppliers to other employees inside their company, as well as the reduction of non value adding work. A basic framework for reengineering is provided.
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