Business Strategy and Accounting Basics
Which is the approach of fundamentally reviewing and redesigning business processes, without taking current procedures or organization as given, in order to achieve a company's goals?
- ABPO
- BERP
- CBPR
Show answer and explanation
Answer: C. BPR
BPR (business process reengineering) rebuilds business processes from the ground up, without taking current ways of working as given, to dramatically improve cost, quality, service, speed and so on. It is often carried out together with the introduction of information systems, based on the idea that simply transferring current work as it is into a system has little effect. BPO means outsourcing part of the business to specialized outside companies, and ERP is the concept, or the software for it, of integrating and managing information on core business functions such as sales, production, accounting and human resources.
- A. BPO (business process outsourcing) means entrusting the processing of work such as general affairs and accounting to specialized outside companies.
- B. ERP (enterprise resource planning) is the concept, or software, for integrating information on core business functions and using management resources effectively.
- C. Correct. It is the approach of fundamentally reviewing and redesigning business processes.
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