How to reengineer and change management in business

Enterprise management reengineering is process reengineering. Enterprise management should be process-driven management, consistent implementation of process management, and management of the more appropriate enterprises, indeed, in the daily management process, timely correction of the process, adaptation, so the process of such enterprises tend to be more adaptive, process setup and operation is much more scientific, but this does not mean that they do not need to re-engineer the process. If the customer's needs and the market has changed dramatically, the enterprise's business model to achieve fundamental change, the process must be reengineered. The purpose of process reengineering is also to implement process management by sorting out and streamlining corporate and industrial processes. Only in the process optimized enterprise, the realization of process-oriented, the implementation of process management can become a reality.

Common modes of process reengineering

Michael Hammer's four-stage model

While Michael Hammer has not systematically summarized the methodology of process reengineering, some scholars have summarized a four-stage model for him through the study of his work, based on an in-depth understanding of Michael Hammer's concepts.　The first stage, to determine the reengineering team: produce reengineering leaders, appointed process facilitator, appointed reengineering general manager, if necessary, the formation of the steering committee, the organization of the reengineering team.　Stage 2, seek reengineering opportunities: select the business processes to be reengineered, determine the sequence of reengineering processes, understand customer needs and analyze the process.　The third stage, redesign the process: hold a redesign meeting, using a variety of ideas and methods to reconstruct the process.　The fourth stage, start reengineering: explain to employees the reasons for reengineering, prospect publicity, and implementation of reengineering.

Joe Peppard and Philip Rowland's Five-Stage Model

Stage One, Create the Environment. Divided into six sub-steps: establish a vision; get the support of the relevant management; develop a plan, training; identify the core processes; establish a project team and designate the person in charge; on the vision, goals, the need to reengineer and reengineering plans to reach **** knowledge.　The second phase, process analysis, diagnosis and redesign. Divided into nine sub-steps: set up and train the reengineering team; set the process reengineering results; diagnose the existing process; diagnose the environmental conditions; look for reengineering benchmarks; redesign the process; according to the new process to consider the existing personnel team; according to the new process to consider the existing level of technology; the new process design program to test.　The third stage, the redesign of the organizational structure. Divided into six sub-processes: checking the human resources situation of the organization; checking the technical structure and capability situation; designing a new organizational form; redefining positions and training employees; organizing job transfers; and establishing a sound new technical infrastructure and technical applications.　Phase 4, Pilot and Conversion Phase. Divided into six sub-processes: select the pilot process; set up the pilot process team; identify customers and suppliers to participate in the pilot process; start the pilot, monitor and support the pilot; test the pilot and listen to feedback; determine the sequence of conversion, and organize the implementation in order.　The fifth stage, realize the vision. Divided into four sub-processes: evaluate the effectiveness of process reengineering; let customers perceive the benefits of process reengineering; tap the effectiveness of the new process; continuous improvement.　Generally speaking, the five phases should be sequentially advanced, but, according to the enterprise's respective situation, the five phases can be advanced in parallel with each other, or cross. So the five phases are not a locked linear process, but a constantly regenerating process that intermingles and advances in a circular fashion.

William J. Kettinger's six-stage model

William J. Kettinger and others in the investigation of 33 consulting firms in the implementation of process reengineering in the enterprise's practical experience, summarized the process reengineering of the six stages of the 21 tasks.　The first stage, conceptualization. Includes four tasks: get the commitment of managers and management vision; find process reengineering opportunities; recognize the potential of information technology/information systems; select the process.　Phase II, Project Initiation. There are five tasks: notify shareholders; establish a reengineering team; develop a project implementation plan and budget; analyze customer needs external to the process; and set performance goals for process innovation.　The third stage, analysis and diagnosis. Including two tasks: describe the existing process; analyze the existing process.　The fourth stage, process design. Including four tasks: defining and analyzing the initial scheme of the new process; establishing the prototype and design scheme of the new process; designing the human resource structure; analysis and design of information system.　The fifth stage, process reconstruction. Includes four tasks: reorganization of the organizational structure and its operating mechanism; implementation of information systems; training of staff; switching between the old and new processes.　The sixth stage, monitoring and evaluation. Including two tasks: assess the performance of the new process; shift to continuous improvement activities.

Rui Mingjie and Yuan Anzhao's seven-phase model

In China, Rui Mingjie and Yuan Anzhao have earlier studied the steps of process reengineering, and they believe that it should include seven phases and 31 sub-steps.　The first stage, set the basic direction. Divided into five sub-steps: to clarify the strategic objectives of the enterprise, the target decomposition; the establishment of the re-engineering process organization; set the starting point of the transformation process; to determine the basic policy of process reengineering; to give the feasibility of process reengineering analysis.　The second stage, the status quo analysis. Divided into five sub-steps: analysis of the external environment of the enterprise; customer satisfaction survey; analysis of the status of the current process; the basic assumptions and objectives of the transformation; the success of the transformation of the judgment criteria.　The third stage, to determine the reengineering program. Divided into six sub-steps: the creation of process design; process design program; transformation of the basic path to determine; set the sequence of work and focus; publicity process reengineering; staffing.　The fourth stage, problem solving program. Divided into three sub-steps: select the near future should be resolved; develop a plan to solve this problem; set up a new team responsible for implementation.　The fifth stage, develop a detailed reengineering work plan. Divided into five sub-steps: confirmation of work plan objectives, time, etc.; budget plan; responsibility, task decomposition; supervision and assessment methods; specific action strategies and plans.　The sixth stage, the implementation of the reengineering process program. Divided into five sub-steps: the establishment of the implementation team; training for participants; mobilize the whole staff to cooperate; new process pilot start-up, inspection; full-scale implementation of the new process.　The seventh stage, continue to improve the behavior. Divided into three sub-steps: observation of the process operation status; with the intended transformation goals of comparative analysis; the shortcomings of the amendment to improve.

Process Re-engineering Steps Design

Process Re-engineering Steps Design centered on the change of the operating model The above phases of the model said to have been from different sides of the more perfect and exhaustive design and description of the steps of the process of re-engineering, all to do, the process of re-engineering the enterprise should be not a low win rate. However, if you rely on the operational model of change to drive process reengineering, the steps need to make some adjustments. The author under the guidance of his mentor, Professor Huang Weiwei, the use of this idea, in an enterprise process re-engineering attempts, from the short-term operational situation, the effect is good. According to the experience of the pilot in the enterprise, the author will take the operating model change as the center of the process reengineering steps are summarized in five paragraphs and twenty steps, which can be relatively clear and specific description of the enterprise process reengineering course.　The first stage, the preparatory stage. The task is to build a team and lock the target.　The first step is to establish the organization. In the top management of the enterprise to establish a process reengineering work led by the helmsman of the enterprise to promote institutions, and give full authorization, directly to the top management of the enterprise is responsible for, and the establishment of regular progress reports and additional authorization system.　The second step is to set benchmarks. Through a comprehensive analysis of existing and potential competitors, the enterprise selects one or more than its own strong and catching up with the growth advantage of the enterprise, as a benchmark enterprise.　The third step is to identify the target. In today's highly market-oriented, customer demand presents diversified and personalized characteristics, any one enterprise, even if it is ranked as the top of the world's top 500, it is impossible to dominate the market, it is impossible to meet all the customer needs. Enterprises can only try their best to pursue the maximization of the target customer base, however, it is always limited. To survive, enterprises must know clearly to which customers they need to serve in order to obtain the maximization of economic and social benefits. Therefore, it is necessary to refer to the benchmark enterprise, re-identify the target market, analyze the enterprise customer source, the focus of the analysis includes: the loyalty of the existing customer base, the characteristics of the lost customers and the reasons for the loss, the growth of potential customers and **** characteristics, customer demand, the possibility of meeting customer demand, for customers to distinguish the importance of the degree. Only to find the most important and most valuable customer groups, business strategy to put the target.　The second stage, self-examination stage. The task is to systematically diagnose and determine the symptoms.　The first step, self-test strategy-oriented. Comparison check for various types of customers at all levels of demand satisfaction rate and rate of satisfaction, according to the gap to check the existence of strategic orientation problems, and the strategic orientation of the enterprise to adjust.　Step 2: Self-inspection of business model. Promote business model transformation based on the adjusted strategic orientation of the enterprise. According to American scholar Margherita's point of view, business model is not fixed, a successful business model represents a "better way" compared with the existing business model, and it should be adapted with the changes of the environment and the development of its own competitiveness, and sometimes this adjustment may even be a revolutionary restructuring. According to Prof. Huang Weiwei, if there is an asymmetry between enterprise capability and customer value, the capability-value dilemma will appear, which is manifested as capability exceeding customer value or capability failing to meet customer value requirements. To solve the dilemma of capability exceeding customer value, it is necessary to change the current business realization model and help related enterprises in the value chain to establish a profit model. With the evolution of the market and the diversification of needs, the business model that companies have endured to grow and survive can no longer help them generate profits and sustain growth. In order to survive and grow, enterprises must improve or abandon outdated business models as soon as possible, cater to market and customer needs, and promote business model transformation.　The third step is to self-check the operation mode. The operation mode is the specific embodiment of the business model, but also to promote and ultimately realize the key to business model adjustment or restructuring. According to the direction and characteristics of business model transformation, we should conduct a thorough adaptive diagnosis of the existing operation model to determine the crux of the problem.　Stage 3: Design stage. The task is to create the environment and design the program.　The first step is to convert the mode of thinking. Process reengineering to successfully promote, must be initiated at the beginning of the early elimination of organizational resistance to change. You can publish the results of the previous stage of self-examination and diagnosis, the organization of process reengineering may form resistance to the staff and the main participants to the benchmark enterprise visit, the whole staff warning, crisis education, using the organization of the discussion, essays, speeches, seminars, pens, and other effective ways, from top to bottom, ideological infiltration, conversion of the workers' mental model, enhance the workers' ability to withstand, and promote the transformation of corporate culture, and gradually form a new core values, create an innovative atmosphere, build an innovative culture, and eliminate opportunities for organizational resistance to energy aggregation. Unify the ideological understanding of the employees, dispel their worries, and identify with the new vision of the enterprise. Form a strong field effect force in the organization to support the change.　The second step is to design the operation mode. Surrounded by a culture of innovation, conduct an all-employee mobilization, bottom-up, to guide employees to give full play to the spirit of enthusiasm and originality. Focusing on the wisdom of the masses and the judgment of the top management, the whole staff participates and designs, and selects a new operation mode for the enterprise that is compatible with the business model according to the new business model that adapts to the needs of the customers and the market.　The third step is to diagnose the existing process. Compared with the newly selected operation model, we hire external experts to participate in the internal process reengineering promotion team, and encourage all employees to fully participate in the diagnosis of existing processes, process efficiency and effectiveness assessment, determine the crux of the problem, and identify redundant processes and marginal areas.　The fourth step is to design the reengineering program. Organize internal and external experts, based on systematic diagnosis, refer to the experience and practice of process reengineering in benchmark enterprises, and redesign the enterprise processes and promote the implementation plan of process reengineering centered on the new operation mode.　The fourth stage, the implementation stage. The task is to take the lead and vigorously implement.　The first step, local pilot. Selected pilot units, local pilot, the implementation of the program and the new process for experimental verification. Taking into account the high risk of process reengineering, local pilot generally do not choose the core process, usually selected auxiliary processes, in the quicker results, the staff base is good, managers in place to recognize the core process does not form a fatal impact of the process section of the test. In order to more comprehensively verify the scientific nature and adaptability of the implementation program, you can choose to test multiple points at the same time, or carry out long-term tests, multiple rounds of repeated tests. Through the test, to obtain a more complete, high credibility of the original verification data and related information.　The second step is to improve the program. According to the analysis of the information collected from the pilot, as well as the verification of the expected goals of the program, the design of the program should be improved and revised, the expected goals should be adjusted, and the order and focus of the program implementation should be determined. Because the re-engineering of the mainstream processes, especially the core processes involved in the re-engineering of a wide range of implementation requires a certain transition and adaptation, during which the enterprise is often forced to stop or reduce production, any accidents, may bring great risks to the enterprise. Therefore, in the formal program preparation, usually should be designed contingency plans to improve the enterprise process reengineering risk resistance.　The third step, communication. In the process of process reengineering to promote the process, it is necessary to establish communication channels. Process reengineering program involves all organizations and all employees of the interests and power to adjust, the program should be introduced before the extensive and full exchange of communication with all employees, to obtain the majority of people's understanding and support. Although the front-line employees do not have much decision-making power, but their enthusiasm, emotions and group value orientation, but it is entirely possible to influence and influence a department or even an organization's decision-making, to obtain their support, can effectively weaken the management of the interests of the damaged personnel, departments to launch the possibility of resistance to the cluster. Before the program is transferred to the implementation, but also for the whole staff to carry out stratified training and publicity and education, so that all up and down understand why and how to reengineering, what they need to do.　The fourth step, the power model change. Implementation stage, the first thing is to remove barriers to the original organizational structure for rapid change, the rapid adjustment of managers, the power to redistribute, for process reengineering to lay a good organizational foundation.　The fifth step, the old and new process switching. Although process reengineering should be promoted steadily, can not take risks, but once the conditions are ripe, the need to fully promote, and must be quick and decisive, decisively complete the synchronization of the old and new process switching, abolition of the old and establish a new one. If the transition period is set too long, the old and new processes are prone to fight, intertwined contradictions, difficult to resolve.　The fifth stage, the tuning stage. The task is to improve the standardization, continuous improvement.　The first step, process tuning. In the operation of the new process, it is necessary to uninterruptedly adjust the adaptability between it and the new mode of operation, through the short-term mode, to adapt to each other. One of the most important tasks in the process tuning stage is to invite important customers and key stakeholders to participate in the evaluation of the new process, and based on the results of the evaluation, to participate in the improvement of the new process to improve the design. This will not only enhance the adaptability of the process to the expectations of important customers and key stakeholders, but also improve the adaptability of the new process by understanding their changing needs in a more comprehensive and timely manner. And more importantly, it can improve the recognition and influence of the new process in customers through communication, so that customers can get psychological satisfaction.　The second step, informationization follow-up. Many people believe that the first information technology means, and then promote process reengineering. Take a step back, at least should be synchronized with the information technology and process re-engineering, mutual support. I believe that information technology should not be early line, premature implementation of information technology, may be outdated processes in some of the practices through modern information technology means cured. Because there is no process re-engineering before the implementation of information technology, can only be an information description of the existing process, some of the shortcomings of the existing process may also be hidden through the information technology package, to the later process re-engineering to bring a great deal of inconvenience, affecting the effect of process re-engineering. Moreover, after the process re-adjustment and optimization, information technology needs to do a lot of supporting adjustment work. If after the process re-engineering, streamlining and optimization of the process, timely follow-up information technology construction, will effectively play the efficacy of the new process.　The third step, the evaluation system to follow up. After process reengineering, the inertia of the start of new processes and the staff's sense of excitement, pride may drive the normal operation of the process for a period of time. However, in the long run, the normal operation of the process must rely on salary pull. After the process reengineering, if the performance evaluation system is not adjusted accordingly, the salary is not linked to the process performance, the new process can not be maintained. After the full implementation of process reengineering, to redesign the process performance, the size of the overall process contribution rate and the degree of coordination of the process as the main focus of the assessment of the new performance appraisal system, and according to the new performance appraisal system, before the elimination of the inertia of the new process, the timely introduction of a new pay system to achieve the effective pull of the process.　The fourth step, standardize the process. After the introduction of the new process, it is necessary to carry out planned promotion, so that the value chain related enterprises, customers, stakeholders know, care about, and give timely assessment. After a period of cyclic operation and repeated corrections and improvements, gradually mature and stable, widely recognized by the internal and external aspects of the enterprise, to formal process management documents, charts and other corporate standards in the form of its standardization, that is to say, the new process is relatively solidified as a period of time as the standard.　The fifth step, process follow-up. Customer demand is constantly changing, the market pattern is constantly adjusting, enterprises also need to constantly adjust their business model, mode of operation, and at the same time, to diagnose the process at any time, find problems, provide improvement advice for decision-making reference.　Sixth step, continuous improvement. Process reengineering is not once and for all, but a cycle, step by step process. Enterprises should be based on the diagnosis of the situation, the process of repeated refinement, continuous improvement.