Process Improvement vs. Process Re-engineering:

Often, the terms "process improvement" and "process engineering" are used interchangeably, though the two terms are far from synonymous.

Process Improvement, which is often associated with total quality management (TQM) or Continuous Quality Improvement(CQI), refers to programs and initiatives that emphasize incremental improvement in work processes and outputs over an open-ended period of time. In contrast, Process Reengineering, also known as business process redesign or process innovation, refers to initiatives which are intended to achieve radically redesigned and improved work processes within an established time frame.

The table below compares both approaches, and may be helpful in determining which approach is most suitable for your organization's needs:

Variable Process Improvement Process Re-Engineering
Level of Change Required Incremental Radical
Starting Point Existing Process Clean Slate
Frequency of Change One-time or Continuous One-time
Time Required Short Extended
Participation Bottom-Up Top-Down
Typical Scope Narrow Broad
Risk Low-Moderate Moderate-High
Primary Enabler Statistical Control Information Technology

Source: Davenport, T.H. (1993). Process Innovation, Harvard Business School Press, Boston, MA.

Technology applications are often the driver for process re-engineering. Carefully developing a process which integrates functions and assimilates the needs of end-users is vital towards ensuring that software, hardware, transition and training dollars are fully leveraged. Often, this vital step is skipped by technology firms, to the detriment of the final outcome.

Similarly, the need for process design or reengineering may be predicated by a new service offering (e.g. Emergency Department Fast-track), expanding capacity to accommodate growth, or a desire to measuably improve the performance of an existing process. Regardless of your current process objectives (improvement or reengineering), The Crossroads Group consultants can help you ensure that your organization's operational side is achieving desired performance objectives.