Professional Documents
Culture Documents
Chapter 8
Operations Consulting and
Reengineering
DEFINITIONS
• A consultant is someone who knows 100,000
position to make love in but doesn’t have a girl
friend.
• A consultant is someone who takes the watch off
your wrist and tells you the time.
OBJECTIVES
• Operations Consulting Defined
• Operations Consulting and the 5 P’s
• Hierarchy Within a Consulting Organization
• Stages of Operations Consulting
• Operations Consulting Tool Kit
• Reengineering
Operations Consulting
Defined
• Operations consulting involves assisting
clients in developing operations strategies
(i.e., product leadership, operational
excellence, customer intimacy, etc.) and
in improving production (and service
delivery) processes.
Finders
Who find new business Partners
Employee surveys
Data Gathering
Plant tours/audits
Work sampling
Flow charts
Organizational charts
Bottleneck analysis
Computer simulation
Statistical tools
Decision trees
Balanced scorecard
Stakeholder analysis
Implementation
Responsibility charts
Reengineering
Defined
• Reengineering is defined as the fundamental
rethinking and radical redesign of business
processes to achieve dramatic improvements in
critical, contemporary measures of performance
such as cost, quality, service, and speed. As a
engineering discipline, reengineering can be applied
to any process in manufacturing and service
businesses, education, and the government.
• Business process reengineering (BPR) is focused on
reengineering business processes.
Principles of Reengineering
Question Bowl
Reasons for the boom in consulting include
which of the following?
b. Globalization
c. Very inexpensive
d. Existing managers don’t know what they
are doing
e. All of the above
f. None of the above
Answer: a. Globalization
Question Bowl
According to David J. Collis’s research on the
consulting industry, which of the following
companies made the most money?
b. PricewaterhouseCoopers Consulting
c. KPMG Consulting
d. IBM
e. McKinsey & Company
f. Accenture
Question Bowl
In the hierarchy of a typical consulting firm
who are at the top of the organizational
pyramid?
b. Minders
c. Finders
d. Grinders
e. Binders
f. None of the above
Answer: b. Finders
Question Bowl
Which of the following are some of the major
strategic and tactical areas where
companies typically seek operations
consulting?
b. Plant
c. Parts
d. Processes
e. People
f. All of the above
Answer: e. All of the above (The five P’s also
include Planning and control systems.)
©The McGraw-Hill Companies, Inc., 2004
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Question Bowl
Using the “Stages in the Operations
Consulting Process”, what stage follows
the “Implement Changes” stage?
b. Sales and proposal development
c. Analyze problem
d. Assure client satisfaction
e. Present final report
f. Develop systematic performance
measures
Answer: c. Assure client satisfaction
Question Bowl
Which of the following are a part of the
“Operations Consulting Tool Kit” that
apply to the category of “Problem
Definition”?
b. Bottleneck scorecard
c. Employee surveys
d. Flowcharts
e. Statistical tools
f. None of the above
Answer: b. Employee surveys
Question Bowl
Which of the following are a part of the
“Operations Consulting Tool Kit” that
apply to the category of “Data
Gathering”?
b. Decision trees
c. Employee surveys
d. Flowcharts
e. Statistical tools
f. None of the above
Answer: c. Flowcharts
Question Bowl
Which of the following are a part of the
“Operations Consulting Tool Kit” that
apply to the category of
“Implementation”? Answer: e. None of
b. Organization charts the above (These
c. Gap analysis tools actually
d. Five forces model should include
e. Computer simulation Responsibility
f. None of the above Charts and Project
Management
Techniques.)
©The McGraw-Hill Companies, Inc., 2004
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End of Chapter 8