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Define Business Process
Organizational Structure ERP Systems Approached to Business Process Change
*Chapter 2
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Vision/mission [reason for existence]
Strategy [how to operationalize the mission?] Objectives
[achieve the objectives through business process]
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Michael Porter: Author and researcher in the field of organizational strategy Proposes 2 paths for org strategy:
◦ ◦ cost leadership – cheaper that competitors differentiation – uniqueness of product + service
5 steps to achieve strategy (Considine, 2010:47)
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However, strategic focus should not be internal only An organization should have a holistic image of the industry in which it operates Porter suggests 5 external forces that shape and influence industry (Considine, 2010:47) Strategy should be shaped by these forces as well
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What is a business process? Defined sequence of events to achieve objectives, Objectives operationalize the strategy Strategies are required to realize vision of the company
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Our focus…. e.g. business processes: Student Registration Online purchase Borrowing an artefact from library
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Define Business Process
Organizational Structure ERP Systems Approached to Business Process Change
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Two types of organization: Functional and Business Process Driven
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Functional Perspective
Frederick Taylor’s scientific management: ◦ Clearly defined tasks and roles for employees ◦ Create specialist employees in a narrow area ◦ Employees have no task awareness
“Humans are viewed as machines”
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© 2013 – A Singh - Dept of IT
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Benefits