Trends & Information

This section includes some sections from articles about reengineering and project planning. Topics include BPO, corporate universities, BPR, reengineering myths, and small business on the net. 

Business Process Outsourcing (BPO)

Business Process Outsourcing (BPO) comes from the traditional, IT based outsourcing contract. Companies such as IBM and Electronic Data System are now in the market for HR, accounting, etc. The biggest problem with these arrangements is that of confidentiality. Benefits of BPO include a focus on core competencies, improved customer service through access to specialized skills, predictable, flexible cost structure, increased accountability, greater management focus on strategic issues. On the flip side you risk the loss of control, failure to achieve promised improvements, corporate culture may be affected, any outside relationship can deteriorate, degrades job security and growth for internal company employees. For example IBM’s Global Services division is now in the business of procurement of indirect sales or goods (online buying and billing of non-production products such as office supplies and telephone services) for UTC (aerospace manufacturer). IBM will do this by using its Lotus Notes based online procurement system that IBM utilizes internally. UTC is hoping to cut costs by utilizing IBM’s existing technology rather than building their own. Maybe there is such a need for specialized knowledge in a specific area at your company that could be filled by using a BPO?

"IT Outsourcing Extends Its Reach Into Mainline Business Functions" by Martin LaMonica. InfoWorld July 13, 1998 Volume 20 Issue 28 p 61.

Small Business Embraces the Internet

http://www.idc.com

U.S. small businesses accessing the Internet increased dramatically from 19.7 percent in 1996 to 41.2 percent in 1998. Small businesses are overwhelmingly accepting the Internet as critical to the operation and management of their business, enabling them to compete much more equitably with larger, well-established companies. The embrace of the Internet by small businesses confirms a significant opportunity for new information technology products and services. IDC's new study, U.S. Small Business on the Internet, shows Internet usage among small businesses gaining momentum with penetration forecast to approach 4.3 million small firms by 2001.  

Corporate University Xchange, Inc.

http://www.corpu.com

Corporate University Xchange, Inc. is a NY corporate education and research firm committed to sharing knowledge and best practices on the topic of corporate universities. This company offers consulting and symposiums – how to implement a corporate university at your company, Annual Survey of Corporate Universities – including the best practices of 100 corporate universities world wide. They also have a Learning Officer Xchange (corporate officers in the education dept.) – which uses these leaders knowledge to form a benchmarking forum. Their web site allows you to sign up for a free monthly news letter on corporate universities but you have to pay for the Annual Survey report which is pricey. An alternative to this is the founders latest book Corporate Universities: Lessons in Building a World-Class Work Force, by Jeanne C. Meister, McGraw-Hill, which uses the 1998 and previous years research as its basis.

10 Reengineering Myths

http://www.dtic.mil/c3i/bprcd/index.htm

This site describes the ten myths and the realities concerning reengineering. If you cannot view this site from the direct link than go through the Library at the Electronic College of Process Innovation at under the BBR knowledge page.

What is BPR and how does it differ from other management techniques?

BPR is a management discipline applied by functional managers to redesign Department of Defense’s ( DoD's) processes, organizations and culture. The redesign approach can be either continuous process improvement or large-scale innovation, and it may rely on the application of modern technology. DoD's BPR Program includes a structured methodology for conducting reengineering projects.

Business Process Improvement (Reengineering) Handbook of Standards and Guidelines by Integrated Product Team for Information Technology Services http://www.dtic.mil/c3i/bprcd/index.htm