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Chapter 9 • Organizational Change and Business Process Reengineering  247


              Organizational Project Management Maturity Model (OPM3)


                 Knowledge  Prepare for Assessment: Learn and understand the value of system implementation
                      best practices



                 Assessment  Perform Assessment: Evaluate the current state of organizational project management skills

                      and abilities against "best practices", identifying strengths and weaknesses.




                      Plan for Improvement: Prioritize project management areas by building on current
                      strengths and developing weakness.
                 Improvement  Implement Improvements: Based on the plan, apply the requisite organizational changes

                      to increase the organization’s implementation abilities.

                      Start the cycle over: After a set period of time reexamine the organization’s skills and
                      abilities to see if the improvements have taken hold.



             FIGURE 9-1 Organizational Project Management Maturity Model.



               •OPM3 mitigates operating costs by keeping projects aligned to business strategy. Scalable
                 by size and maturity, OPM3’s diagnostic capabilities can guide any organization to
                 improved performance.

            BUSINESS PROCESS CHANGE

            As mentioned earlier, BPR is often used as the reason to move from legacy systems to an integrated
            ERP. To fully utilize the ERP, the BPR results need to be incorporated into the ERP implementation
            scope and plan and continually measured to understand the effectiveness of the new processes.

            Business Process Reengineering
                 Business process is defined as “a set of logically related tasks performed to achieve
                 a defined business outcome.” 7
                     A process is “a structured, measured set of activities designed to produce a
                 specified output for a particular customer or market. It implies a strong emphasis on
                 how work is done within an organization.” 8


            7  Davenport, T. H., and Short, J. E. (Summer, 1990). The New Industrial Engineering: Information Technology and
            Business Process Redesign. Sloan Management Review, 11–27.
            8  Davenport, T. H. (1993). Process Innovation: Reengineering Work Through Information Technology. Boston, MA:
            Harvard Business School Press.
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