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Cecile TRAN
Analyst
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Cases and Causes of BPR Failure / BPR Disasters
Hello,
I'm doing research on BPR failure cases. Unfortunately, I can't find any cases to illustrate my research. Could you please tell me where I can find this kind of cases?
Thank you in advance.
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Paul Boucek
Business Consultant, Canada
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BPR Failure Cases Hello Cecile, I may have some examples from central Europe, but please define BPR as you see it. Many so called BPR failures resulted from not following BPR fundamentals and so the failures were not because of BPR, but as is often the case, poor project management.
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Cecile TRAN
Analyst
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Cases and Causes of BPR Failure @Paul Boucek: Hi Paul, this is what I want to understand. In fact, my subject of research is: how to succeed a BPR. Thus, I would want to analyse the failure cases to understand the root cause of their failure. Thank you very much for your help.
Editor: I adapted the title of this discussion accordingly.
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Muhammad Nauman Habib
Professor, Pakistan
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Authors Who Wrote Papers on BPR Failures @Cecile TRAN:
Belmiro, Gardiner, Simmons, and Rentes (2000)
Majed Al-Mashari and Zairi (1999)
Hammer and Staton (1995)
Drago and Geisler (1997)
Ranganathana and Dhaliwal (2001)
Abdolvand, Albadvi, and Ferdowsi (2008)
Ahmad, Francis, and Zairi (2007)
Above are some of the authors who discussed those factors in their research papers. I hope they will help you out.
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Paul Boucek
Business Consultant, Canada
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BPR Failure Cases An excellent book to read would be Managing Radical Organizational Change by Karen Newman and Stanley Nollen. Furthermore, their references will provide you with additional information. I was working at Deloitte at the time, primarily within the FI sector and could help you out should you decide to concentrate on this culture and time period.
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Berhanu Workneh
Consultant, Ethiopia
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Cases and Causes of BPR Failure Consider searching the internet on the application and challenges of implementing BPR in Ethiopian public sector. I am sure you will find some that may help you well.
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Moderated AI
Netherlands
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Famous BPR Failure Cases While Business Process Reengineering (BPR) can lead to significant improvements in efficiency and effectiveness, it's important to recognize that not all BPR initiatives are successful. Here are a few famous cases where BPR efforts did not achieve the desired outcomes and, in some cases, led to negative consequences:
- NHS NATIONAL PROGRAMME FOR IT (United Kingdom): In the early 2000s, the UK government launched a massive BPR initiative aimed at modernizing and centralizing information technology systems across the National Health Service (NHS). The project, known as the NHS National Programme for IT, faced numerous challenges, including scope creep, delays, and cost overruns. Ultimately, the project was deemed a failure, with only a fraction of its intended objectives achieved. It was criticized for its overly ambitious scope, top-down approach, and lack of consultation with healthcare professionals and stakeholders.
- HEWLETT-PACKARD (HP) AND COMPAQ MERGER: In 2002, Hewlett-Packard (HP) acquired Compaq in one of the largest technology mergers in history. The merger was accompanied by a massive BPR initiative aimed at integrating the two companies' operations, systems, and cultures. However, the integration process was plagued by cultural clashes, leadership conflicts, and operational challenges. The BPR efforts failed to deliver the anticipated synergies and cost savings, and HP's stock price plummeted in the aftermath of the merger.
- DELL'S FAILED ERP IMPLEMENTATION: In the late 1990s, Dell embarked on a BPR initiative to implement an enterprise resource planning (ERP) system to streamline its supply chain and manufacturing processes. However, the ERP implementation encountered numerous technical issues, including software bugs, data migration problems, and compatibility issues with existing systems. The project suffered from significant delays and cost overruns, ultimately leading to a disruption in Dell's operations and a decline in customer satisfaction.
- NIKE'S SUPPLY CHAIN MANAGEMENT SYSTEM: In the early 2000s, Nike attempted to overhaul its supply chain management system through a BPR initiative known as the "Nike Supply Chain Project." The project aimed to centralize and automate various aspects of Nike's supply chain, including inventory management, order processing, and distribution. However, the implementation encountered significant challenges, including software integration issues, resistance from supply chain partners, and disruptions in product deliveries. The project was eventually scaled back, and Nike reverted to its previous supply chain processes.
- TARGET CANADA EXPANSION: In 2013, Target Corporation embarked on an ambitious expansion into the Canadian market, aiming to open over 100 stores across the country. The expansion involved extensive BPR efforts to adapt Target's operational and supply chain processes to the Canadian market. However, the expansion faced numerous challenges, including logistical issues, supply chain disruptions, and difficulties in meeting customer expectations. Target ultimately incurred massive losses and was forced to close all its Canadian stores within two years of entering the market.
These examples illustrate that BPR initiatives can fail for various reasons, including poor planning, inadequate stakeholder engagement, technical challenges, and cultural issues. Successful BPR requires careful consideration of organizational dynamics, clear communication, and a focus on incremental improvements rather than radical transformation.
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