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Part - IV

The strategy, which JTF LTD. followed, is that they went for BPR before implementing ERP. They went about re-engineering included finance, procurement, materials, plant maintenance, and quality assurance. They were of the view that Best Practices can only be brought if effective and efficient BPR is carried out prior to ERP implementation. They were so serious about BPR that they hired Accenture for defining the re-engineered processes. The company realized that it's the end user who is most important. So Accenture also took the task of convincing the end-user of the processes' future benefits.

As the statement of the IT Head, JTF, goes, "If one goes for an ERP without BPR, there is a chance the company will miss out on a lot of benefits of BPR."
It clearly indicates importance the company gives to carry out BPR before ERP.

The benefits reaped by JTF, as indicated in the case, shows that ERP implementation preceded by BPR, has been fruitful for the company.

Case II

The second case if about the Baan implementation in a company called Eagle Ltd. The project started off with replacing the existing ERP system as the main objective. While trying to enrol sales for the full ERP and BPR programme, assembly employees and shop stewards were held at temporary distance while realizing a control and scheduling system. Programme encompassed a redesign of the overall business and further integration in crosscutting processes. But it turned into a strategy where they started off with BPR efforts, using Baan implementation as a tool.

In other words, they were using ERP implementation as a facilitator for BPR. But ultimately what happened was, the BPR agenda was incorporated in the formal strategy mainly and disappears largely afterwards. The ERP agenda, in contrast, seems rather strong for this purpose and is underpinned by the external communities (professional associations, IT-debate, etc). Eagle highlights the importance of a broad management coalition. Having a strong position in sales, finance or manufacturing is not enough.

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* Contributed by -
Vivek Gaurav,
Management Class of 2005,
NITIE, Mumbai.