One of the first challenges for ABIG’s top management was to prioritize the BPR initiatives. The voice of the customer served as the foundation for establishing which specific business processes would be first for analysis. A survey was mailed to the top executive of each of the 50 highest revenue volume clients. Each top executive was asked to consult with his/her internal areas for a more accurate view of their expectations and perceptions of ABIG in regard to all their business activities.
After receiving a written response from each client’s top executive, an ABIG executive followed up with a visit to each client location. This process allowed ABIG to better understand the issues and demonstrate to the clients that the company was serious about listening to their needs and addressing their issues. The issues of ABIG’s clients became the basis for BPR objectives:
An informative sales process, where clients’ problems were clearly defined and addressed;
Courteous and professional service at every point of contact with the client;
A single point of contact for all service-related and planning issues;
Hassle-free installations of new programs;
Minimum effort on negotiating contracts with clients;
Greater accuracy in the content of contractual arrangements; and A “knowledge worker” culture.
A project team was organized with representatives from sales, market- ing, operations, legal, and administration. Three full-time sub-teams were developed to address the core processes of sales, contracting, and client set-up. About three-quarters of the sub-team members were employees with full-time functional jobs. They were temporarily removed from their normal jobs and assigned to the sub-team for periods of time throughout the BPR phases. The other part of the sub-team, made up of members from the administration department, served as internal consultants and facilitators.
With the aid of outside consultants, sub-teams were assigned leaders.
Project plans and timelines were developed for each sub-team. The administration department was responsible for overseeing all BPR projects and communicating the progress to executive sponsors. Sub-team leaders submitted weekly reports to the administration area outlining accomplish-
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ments, issues, and milestones. With the assistance of the consulting com- pany, the three sub-teams progressed through the remaining BPR stages.
AS–IS Stage
During this stage, each sub-team met with various stakeholders and participants of the core process. Through various interviews and meetings with representative stakeholders, the sub-team members collected standard operating procedures, documented process flows, reviewed departmental training programs, obtained organizational charts, and determined resource allocations. A thorough analysis of the collected information allowed the sub-team to develop preliminary, high-level, cross-functional process flows for each core process.
Validation of the high-level process flows was a critical step in this phase. Meetings were held with representatives from sales, marketing, and other areas participating in the core processes. As feedback was received, the sub-team modified the process flows and obtained more detailed information on the lower level processes. This iterative process took approximately 6 months, with the end result documented as cross- functional AS–IS process flows and current resource allocations for each core process. The sub-team also developed an extensive “wish list” from the stakeholders interviewed through this phase. The results of this phase were measured by the following criteria for each of the thr ee core processes:
1. Hand-offs 2. Queues
3. Cycle Time (in calendar months) Figure A.1 BPR Stages
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TO–BE Stage
All AS–IS perspectives were put aside to develop a vision for the company of the three core processes under study: sales, contracting, and client set- up. The sub-team used the feedback received from the AS–IS meetings and the survey responses from the clients to develop a draft vision statement. Through an iterative process with various stakeholders and executive management, the final vision was completed in approximately 3 weeks:
Vision
Analyze a prospect’s needs, present a strategic and profitable marketing plan, and install needed products and services com- pletely, accurately, and on time.
Use technology to create a seamless flow of information between our customers and our people. This will be accomplished through open communications and a networked environment. Data will be captured and stored electronically, decision-making will be computer aided and client data will be stored in our online corporate database.
Provide personalized account representation to exceed our cus- tomers’ needs and expectations. We will have the right people do the right activities at the right time.
With the vision in mind, the sub-teams proceeded to design the new TO–BE processes. Functional members of the sub-teams were replaced with new ones, to maintain objectivity and new perspectives. Creativity, open-mindedness, and analytical ability were among some of the traits sought when selecting new members for the sub-team. At times, several negotiations took place with the candidates’ management to allow full- time participation for this phase.
Another 6 months were spent designing new and innovative processes.
Systems analysts aided in the design of new technology that would facilitate the new processes. Creativity exercises were used to encourage a continuous flow of new ideas. Known organizational culture constraints were not considerations during the development of the TO–BE process to avoid limiting the potential of the new process designs.
Again, validation meetings were held with many stakeholders, includ- ing SBU management and executive management, since their buy-in and support were critical for the future implementation of the TO–BE pro- cesses. In some cases, modifications were made to incorporate new
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business trends and customer needs. The process improvement goals in terms of percentage reduction for the TO–BE process were established (see Table A.1).