Business Engineering

1
Business Engineering

• Step-by-step procedures to design
• Notations that describe the design
• Heuristic solutions
• Measurable goals

2
Business Engineering

• Organize business for competition
• Apply engineering principles
• High risk, high return
• Organize by processes by consolidating related
  tasks

3
What is an organization

• A structure for grouping people and other
  resources to achieve a common purpose.

4
What is a Function

• A field of endeavor involving work of a similar
  nature, employing particular skills and knowledge.

5
Need for Business Engineering

• Customer is in control
• Customer is more finicky
• Competition is global

6
Business Engineering Risks

• Change process risk
• Soft factors
• motivation, commitment, leadership, etc.
• Technology risk
• Hard factors
• concrete methods, common language, formal
  framework

7
Business process

• Internal set of activities to support customer
• Usually invisible, unnamed
• Exist naturally

8
Business Process

• Specific ordering of work activities across time
  and place with a beginning, an end, and clearly
  identified inputs and outputs a structure of
  action (Davenport 1993)
• Outputs are products or services
• Interaction with external entity

9
Process by era

• Craftsworker
• work organized around a multiskilled individual
  who completed the process
• Specialist
• Division of labor and specialization
• Reengineering
• work organized around workflow

10
Customer oriented process

• Focus is individual customer
• Concentrate on value addition to customer not
  other parts of business
• When is a customer satisfied?
• How do processes relate to products?
• How do processes relate to services?

11
Formal process framework

• Process description
• specify every activity and deliverable
• Deliverables
• business models
• Integral EIS
• IT architecture strategy
• Business model to IS model mapping

12
Business-development process

• Gather information
• Develop a model
• Communicate the model
• Implement model
• Build IS to support process

13
Business Process Design

• Frame the process
• identify, set boundaries, goals
• Build As-Is model
• model current workflow, assess
• Design To-Be model
• model new workflow, assessment
• Develop use case scenarios
• system requirements

14
Process Owner

• Executive
• Defines the process
• Sets and monitors goals

15
Process Leader

• Recruits staff from functional units
• Builds teams of process operators
• report to Process owner

16
Resource Owner

• Takes care of his/her personnel
• Coordinates resources from process leaders
• Develops resources
• Manages trainees develops them
• Ensure appropriate compensation