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IT and Business Processes

IT can enable change in business processes in two ways. Taking a functional perspective, IT can optimize expertise and avoid redundancy across marketing, sales, accounting, and other departments. Taking a process perspective, IT can help identify information redundancies, communication gaps, and other issues that create organizational inertia. However, both perspectives also have disadvantages like potential handoff problems or losing sight of the bigger picture. There are two general approaches to changing processes - incremental tweaks or radical change aiming for major breakthroughs in a short time.

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110 views1 page

IT and Business Processes

IT can enable change in business processes in two ways. Taking a functional perspective, IT can optimize expertise and avoid redundancy across marketing, sales, accounting, and other departments. Taking a process perspective, IT can help identify information redundancies, communication gaps, and other issues that create organizational inertia. However, both perspectives also have disadvantages like potential handoff problems or losing sight of the bigger picture. There are two general approaches to changing processes - incremental tweaks or radical change aiming for major breakthroughs in a short time.

Uploaded by

elliotttate
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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How does IT enable change?

IT & business Processes


How to transform business processes effectively

Operations

Marketing
C-level
Accounting

Sales
Well defined competencies
1. Organization can optimize expertise

2. Avoid redundancy in expertise


Advantages
1. Functional Perspective 3. Easier to benchmark with other organizations

4. Well defined roles

1. Information Redundancies

2. Communication Gaps

3. Organizational inertia Adaptability to change... reception to change


Disadvantages
Two perspectives
4. Handoffs between functions can
create problems

5. Lose sight of the bigger picture

Interrelated, sequential set of activities


IT and business that turns inputs into outputs
processes
There's a beginning and an end

Inputs and outputs There can be multiple of each

Set of activities
2. Process Perspective
Set of activities to asses effectiveness

Verify the invoice Pay the vendor


Create and send purchase order Receive good
Procurement Receive requirement for good
Examples

Choose process to improve


Choose a metric to measure it
Enable the personal involvement process
to make changes
1. Incremental
Make tweaks

Two approaches to changing business processes Total quality management


Examples TQM
Six Sigma

Goal: make a rapid, major breakthrough

2. Radical Change Major improvement in a short time frame


Aspects
Challenge old assumptions

Test Review.mmap - 2/8/2011 - Mindjet

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