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Relationship between turnaround and bpr

shilpi (student) (774 Points)

30 March 2017

What is the relationship between Turnaround strategy and Business process reengineering?

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A turnaround is the financial recovery of a company that has been performing poorly for an extended time. To effect a turnaround, a company must acknowledge and identify its problems, consider changes in management, and develop and implement a problem-solving strategy.

Business process reengineering (BPR) is the analysis and redesign of workflows within and between enterprises in order to optimize end-to-end processes and automate non-value-added tasks

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shilpi (student) (774 Points)
Replied 30 March 2017

Don't you think BPR is one of the part of Turnaround?Analysis of business processes contribute to turnaround.

shilpi (student) (774 Points)
Replied 30 March 2017

Hence can say Turnaround scope is large than BPR.Air India adopted turnaround strategy very beautifully .And now Air India has started earning profits

Suresh Pai S (Tax Consultant) (1029 Points)
Replied 31 March 2017

@ shilpi

As aamir said

BPR is not a part of turnaround strategy. Turnaround starts when the company realises that it is performing poorly. Hence it needs to acknowledge its own limitations.

When a BPR strategy is adopted the firm is already performing well. But still looking for massive improvement and growth thereby.

You get me?

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CA Gopal Somani (Consultant) (2057 Points)
Replied 31 March 2017

"BPR is a strategy based on aspiration. BPR is about proactively working with an organization to change their business infrastructure (people, processes, technology, culture, etc.) to not only survive, but to thrive in today’s rapidly changing business space.

BPR is typically driven by rapid growth (the need for scalability), mergers and acquisitions (integration of operations), pre/post IPO (transformation to an operating company) or restructuring to improve organizational effectiveness and operational efficiency.

Turnaround, however, is a strategy often driven by desperation. Turnaround is about working with an organization from a reactive perspective to change their business infrastructure to enable the organization to survive – long enough to enable a shift from desperation to aspiration. "

You can check more details below -

https://content.inteqgroup.com/business-process-reengineering-vs-business-turnaround

Please let me know if you have further questions

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