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Q. Describes the Reengineering Business Process?
One of the most significant implementations of competitive strategies is Business Process Reengineering (BPR). A fundamental rethinking as well as radical redesign of business processes to achieve dramatic improvements in quality, cost, speed and services. thus BPR combines a strategy of promoting business innovation with a strategy of making major improvements to business processes. Consequently that a company turn into a much stronger and more successful competitor in the market place. Therefore reengineering questions all assumptions about "the way we do business. It focuses on the how also why of a business process so main changes can be made in how work is accomplished. BPR therefore moves far beyond mere cost cutting or automating a process to make marginal improvements.
It allocates costs based on the price elasticity of demand. Yet higher the elasticity (elastic), the lower the charge of fixed costs when allocated amongst products.
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