What is the impact of globalization on business process re-engineering? (700 words)
Globalization brought change, and Information Technology is one of the significant changes that have changed the businesses are conducted in the modern-day world. As Magdalena indicates in the article, re-engineering the business process causes a change in organizational functions. Changes that occur helps to make work more comfortable for the employees, ensure the services offered meet the customers’ needs, and the business will be able to achieve profitability. The author introduces a “rhombus model” to explain the economic process, and organizational changes brought about by re-engineering the business process. The three key aspects that influence businesses today and competition, customers, and change. Kohli indicates that the old economic organization looks like a new organizational structure. Digital technologies have been one of the biggest influences in bringing organizational change by changing how clients, customers, and businesses communicate. Businesses today are now focused on meeting the customers’ needs and adding value to them. It’s the truth as competition has gone a notch higher, and for one to survive, they need to re-engineer their businesses. Some key elements I noted that the “rhombus model” has changed include job structure and decision making.
Business process re-engineering has also brought about a change in features. One of the features that Magdalena indicates has changed has been the decision-makers. In the past, those in managerial positions were the ones who used to make all the decisions while the employees were the implementers. As Azmat indicates, employees are presently allowed to make decisions that have helped bring changes to customer service and change the lifecycle of businesses. Another feature that has changed is the combination of jobs and reducing checks and control. Information Technology has made this possible as some of the tedious works that used to be done in businesses in the past, such as record keeping, has been made easier.
The best subtopic that the author looks at in the article was the role that information technology was playing in re-engineering the business process. I support her opinion that having a strong interaction between the information system and business process re-engineering can benefit all the parties. When IT is implemented into the business processes, work will become more comfortable, and changes will be seen that will help an organization to achieve its mission and vision. Underusing Information technology will also negatively affect the businesses, hence ensuring change. IT brings process innovation which in the business setting is used to identify problems that exist and how they can be solved without affecting the normal functioning of other processes. What Ashok states in his article is what Magdalena reiterates by emphasizing that IT introduction in the business is used to improve the existing processes. I support her argument that first, the company should establish the best technology to implement as not all will work to give the needed results. If the wrong technology is selected and applied, changes will be achieved to transform the business process re-engineering, but no desired results will be obtained. Some of the implications that information technology brings, such as information-based orientation, process-based orientation, customer-based orientation, and the need for skills from a specialist, are essential things businesses need to consider first to be successful.
By looking at organization learning, the author helps the reader to understand how vital impacting knowledge to the business can improve in re-engineering the business process. Magdalena notes that expertise and computer network are essential in running businesses. Learning in organizations can take place through individual, organizational and collective learning. When the employees and all the stakeholders in the business can acquire knowledge, they will be able to think of how they can improve processes. In current businesses, the employees are the decision-makers, and when decision-making in an organization is effective, all the processes will improve. Employees understand the business process, the needs of the customers, and what can be done to make the business more efficient. Re-engineering the business process by incorporating organizational learning will improve the processes. Making the process of learning a routine will help the business be ahead of its competitors. Magdalena has done an excellent job analyzing the essential aspects that help make business process re-engineering a success. Businesses will continue to face challenges if the processes are not changed. Re-engineering the business process helps improve efficiency, establish and meet the customers’ needs, and make the business achieve its mission and vision.