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BainBPRApproachKaiA.SimonViktoraInstitute1GeneralaspectsBainusesfivekeysuccessimperativesforBPRprojects.TheapproachusedbyBain&Co.alsodiffersfromthedefinitionoutlinedbytheearlyadvocatesHammer&Champy.Hammer&Champy’sdefinitionTheradicalredesignofbusinessprocessestoachievedramaticimprovementsincriticalmeasuresofperformance,suchascost,quality,capital,service,andspeed.Bain’sdefinitionTheholisticredesignandoptimizationofabusinesstoachievefullpotentialandbuildstrategiccompetitiveadvantage.ThisincludestheradicalredesignofcoreprocessesaswellastheapplicationoftheentireBaintoolkitofperformanceenhancingtechniques.ThedefinitionofHammer&Champyisfocusingtheaspectofbusinessprocessperformanceimprovementinquantitativeterms.ConductingaBPR-projectwiththisdefinitionasstarting-point,thetargetedimprovementswouldprimarilybedefinedintermsofquality,cycle-timeandcostefficiency.TheBaindefinition,ontheotherhand,takesawiderperspectiveandincludestheaspectofstrategiccompetitiveadvantageinanexplicitway.2Reengineeringprinciples•Topmanagementsponsorship.Seniormanagementisobligedtoprovideaninspirationalvisionoftheultimategoaltobeachieved.Thisincludestheslaughterof”sacredcows”,allowingthereengineeringteamtoexploreallopportunities,eventhosethatmightimplyare-considerationofthecompany'sbusinessscopeandstrategy.Also,theremustbeaclearandearlycommitmenttotheresultsthataredevelopedduringtheinitiativeinordertogivethenecessarycreditabilitytotheeffort.•Strategicfoundation.Thebusinessofthecompanymustbeclearlydefined.Consequently,anybusinessimprovementeffortmustdepartfromare-considerationoftheorganization'sbusinessscope,visionstatementandoverallstrategy.Theresultofthisinitialphasemustinformtheidentificationofbusinessprocessesandcustomerrequirements.•Comprehensivechangemanagement.Thegoalsofthechangeinitiativemustbecommunicatedextensivelythroughouttheentireorganization.Thechangeeffort,leadbytheprojectteam,hastoshowearlyachievements,thatprovidemomentumtotheoveralleffort.•Rightandleft-brainedthinking.Breakthroughideas,andradicalandcreativedesignmustbecombinedwithasystematic,deliberateandconservativeimplementationofthedesignedprocesses,organizationalstructuresandtechnologicalcomponents.•Aligningorganizationalcomponentsthroughinvestments.Informationtechnologythatsupportsthenewprocessesisanecessaryinvestment.Thecompensationandrewardstructuremustbealignedwiththeneworganizationalform,whiletrainingandeducationmustbeprovidedtoenhanceindividualandorganizationalskills.3TheroleofITEventhoughBainisnotdirectlyinvolvedinsystemsdevelopmentforclients,recentdevelopmentsine-businesshavenotpassedunnoticed.Asaconsequence,Bainhasdevelopedamodelforevaluatingstart-upcompaniesinthee-businesssectorandtakenontheroleofbusinessincubator.Initsclientprojects,Bainconsiderstechnologyasamediumthatofferssignificantopportunitiestoenhanceservice,reducecosts,andachieveadifferentiatedbreakthroughinthewayacompanydevelopsanddeliversitsproducts,orservices.ThechangeteamforBPRprojectsinwhichBainisinvolvedistypicallystaffedwithexperiencedITpeoplefromtheclientcompanyandfacilitatedbyaseniormemberofBain’stechnologypractice.ThispersonisresponsibleforcoordinatingtheIT-relatedactivitieswithintheproject.Generally,BainisnotinvolvedindevelopingITsolutions,leavingthisparttopartnersspecializinginthisfield.Appropriatepartnersareselectedandrecommended.Thetechnologicalguidanceiscoveredbyafourstageapproach,whereeachstageconsistsofanumberofactivitieswithvaryingBaininvolvement.BainrunstheITaspectsofaprocessimprovementprojectthroughacyclesimilartotheonebeingusedfortheorganizationalandprocesselements.IdentificationofpotentialbreakthroughtechnologyInthisinitialphaseoftheITimprovementcycle,theinvolvementofBainisrelativelyhigh.EithertheactivitiesaredirectlycarriedoutbyBainpersonnel,orstrongsupportisgiventoclientpersonneldoingtheworkwithregardtoresearch,analysisandmethodology.•Indepthunderstandingofcustomers.Inordertoidentifytechnologyopportunities,itisnecessarytogainasoundunderstandingoftheroleandexpectationsofcustomersandtheirinterfaceswiththecompany.Italsoincludestheconsiderationoftheelectronicvaluechainasawhole,insteadofinvestigatingandimprovingitselementsindividually.•Knowledgeofleadingedgetechnologyandapplications.AhighpaceofdevelopmentintheITareaconstantlyoffersnewtechnologiesandapplicationareas.Theselectionofcutting-edge,yetsustainable,technologysolutionsrequiresadeepknowledgeofleadingapplicationsandemergingtechnologies.•BPRsurveyofcomparablefirms.InordertoexplorethepotentialforgainingstrategicadvantagethroughIT,asurveyorinvestigationofcomparablefirmsisconductedandtheresultsarebenchmarkedagainstthecompany.Comparablecompanies,inthiscontext,doesnotonlymeanfirmsinthesameindustry,butcanincludeorganizationswithsimilarprocessesorcustomers.DetaileddescriptionoftechnologicalrequirementsAlsointhisphase,theinvolvementofBainpersonnelishigh.Thespecificationsaredevelopedinthereengineeringteam,consistingofclientpersonnelandconsultants,wheretheconsultantstakeresponsibilityforthemethodologicalapproachandthestructuringofresults.•Defi