Title: Government Business Process Transformation: From Automation to Paradigm Shift From Localized Exploit
1Government Business Process Transformation
From Automation to Paradigm Shift From
Localized Exploitation to Business Scope
Redefinition
Dr. Cletus K. Bertin E-Government Sectoral
Development in Caribbean States Charting an
Agenda for Action Commonwealth Network of
Information Technology for Development
(COMNET-IT) Workshop February 10th -12th, 2004
Castries, Saint Lucia
2Presentation Outline
- Range and Levels of IT-enabled Change
- Drivers for Business Process Transformation?
- Process Transformation the Eastern Caribbean
Tourism Sector - Organisational Lag From Technological
Innovation to Process Innovation
3(No Transcript)
4Range of Organizational Change
- AUTOMATION Using technology to perform current
tasks more efficiently effectively - RATIONALIZATION OF PROCEDURES Streamline
Standard Operating Procedures eliminate
bottlenecks - BUSINESS REENGINEERING Radical redesign of
processes to improve cost, quality, service
maximize benefits of technology - PARADIGM SHIFT
5 PARADIGM SHIFT
- PARADIGM a Complete Mental Model of how a
Complex System Functions - A Paradigm Shift Involves
- Rethinking the Nature of the Business,
- Overhaul of the Organization
- A Complete Reconception of How The System Should
Function
6 RISKS REWARDS
7Levels of Organisational Transformation
8(No Transcript)
9Levels of Organisational Transformation
10Levels of Organisational Transformation
11Levels of Organisational Transformation
12Business Process Redesign
- Reengineering of key processes to derive the
organizational capabilities for competing in the
future - Benefits from IT functionality cannot fully be
realized when superimposed on current business
processes, however integrated they may be
13Levels of Organisational Transformation
14Business Network Redesign
- Elimination of activities where the focal
organization may not have the required level of
competence - Exploration exploitation of sources of
competence in the larger business network (beyond
what is available within the focal organization)
15Business Network Redesign
- Redesign of the nature of exchange among
participants in a business network through
effective deployment of IT capabilities - Exploiting the IT function to learn from the
extended network, as well as to enhance
coordination and control
16Levels of Organisational Transformation
17Why TransformWhy Reform?
- Fundamental question what is the reason for
business process redesign? - Is it to rectify current deficiencies or to
create capabilities for tomorrow? - Characterised as seeking efficiency and
enhancing capacities, respectively.
18Efficiency vs Capacity?
- Enhancing capacity, as opposed to Seeking
efficiency - Catalyst for more substantial meaningful
organisational change - The driver being business processes
eventually, intellectual capital, relationships
and cooperation
19Efficiency vs Capacity?
- As opposed to being driven by technological
infrastructure and software applications. - The approach needed for successful BPR process
redesign is enhancing capacity. - This entails the creation of strategic
capabilities for future competition increased
collaboration
20Enhancing Capacity
- Starts with the articulation of business scope
and the corresponding logic for business network
redesign, in order to specify which business
processes need to be redesigned and under what
guiding conditions
21Levels of Organisational Transformation
Seeking Efficiency
Enhancing Capacity
22Why Tourism?
23Why Tourism?
Source Forrester Research, 2002
24Why Tourism?
- Average contribution of visitor expenditure to
GDP for the OECS - 45 - Approximately three (3) million jobs
- Generated US37.4 billion in economic activity in
2001 - Thirty one percent (31) of the regions gross
domestic product (GDP) - The Caribbean is the most tourism dependent
region in the world (World Travel and Tourism
Council, 2002).
25Conception-Reality Gap Analysis
26(No Transcript)
27(No Transcript)
28Tourism
- The difficulty lies in different levels of
understanding and appreciation for technology
within the organisationthis is needed to enable
a greater degree of transformation, to take it to
the next levelbut not everyone is ready for that
higher level of change
29 Management
- Top-down management reinforces fear, distrust and
internal competition and reduces collaboration
and cooperation - It leads to compliance, but a high capacity to
change requires commitment
30 Structure Gaps
- Bureaucracy has been design to resist change
(Waterman, 1990). - It is necessary for establishing consistency and
stabilitybut hierarchies make the free exchange
of knowledge more difficult and thus, limit the
organisational capacity to change. (Gretzel, Yuan
and Fesenmaier, 2000)
31Qualitative Data
- Top management, while acknowledging that the
Internet is necessary, do not fully grasp how it
should be integrated into current programmes
32(No Transcript)
33Organizational Lag
- Process innovations in organisations tends to lag
behind Technological innovations - Technological innovations
- are more observable
- have higher trialability
- are perceived to be relatively more advantageous
and less complex than administrative innovations.
34Organizational Lag
- Between administrative innovation and
technical innovation - Between technological innovation and process
innovation - Technological innovation is an enabler of process
innovation.
35Organizational Lag
36Recommended Reading
Reinventing Government in the Information Age
International Practice in IT-enabled Public
Sector Reformby Richard Heeks (Editor)
37Recommended Reading
- Bajjaly, S. (1999), Managing Emerging
Information Systems in the Public Sector, Public
Productivity and Management Review, volume 23,
number 1, pp. 40-47. - Bellamy, C. and Taylor, J. (1994), Exploiting
Information Technology in Public
Administration-Towards the Information Polity?
Public Administration, volume 72, Spring, pp.
1-12. - Benjamin, R. and Levinson, E. (1993), A
Framework for IT-Enabled Change, Sloan
Management Review, Summer. - Butler, R. (1994), Reinventing Government A
Symposium, Public Administration, volume 72,
summer, pp. 263-270. - Grint, K. (1994), Reengineering History Social
Resonances and Business Process Reengineering,
Organization, volume 1, number 1, pp. 179-201. - Halachmi, A. (1996), Business Process
Reengineering in the Public Sector Trying to get
another frog fly?, National Productivity Review,
Summer, pp. 9-18.
38Recommended Reading
- Halachmi, A. and Bovaird (1997), Process
Reengineering in the Public Sector Learning Some
Private Sector Lessons? Technovation, volume 17,
number 5, pp.227-235. - Venkatraman, N. (1994), IT-Enabled Business
Transformation From Automation to Business Scope
Redefinition, Sloan Management Review, Winter
73-87. - Willcocks, L.P. and Mark, A.L. (1989), IT
Systems Implementation Research Findings from
the Public Sector, Journal of Information
Technology, volume 4, number 2. - Willcocks, L.P. Carrie W. and Jackson S. (1997),
In Pursuit of the Reengineering Agenda in Public
Administration, Public Administration, volume,
winter, pp. 617-649. - . www.e-devexchange.org
39(No Transcript)