DANYLIUK V. (2024) THEORETICAL AND PRACTICAL ASPECTS OF SUPPLY PROCESS RE-ENGINEERING ON THE EXAMPLE OF A PARTNER ORGANIZATION. Strategic Partnership in Business: Theory, Methodology, Practice / Edited by M.P. Sahaidak. Kyiv: KNEU. pp. 94-130.
DOI: http://doi.org/10.35668/978-966-926-502-9-5
Данилюк В.О. Теоретичні та практичні аспекти проведення реінжинірингу процесу постачання на прикладі партнерської організації. Стратегічне партнерство в бізнесі: теорія, методологія, практика : монографія / За заг. ред. М.П. Сагайдака Київ: КНЕУ, 2024. С. 94-130
DOI: http://doi.org/10.35668/978-966-926-502-9-5
THEORETICAL AND PRACTICAL ASPECTS OF SUPPLY PROCESS RE-ENGINEERING ON THE EXAMPLE OF A PARTNER ORGANIZATION
DANYLIUK Viacheslav, Cand. Sc., Associate Professor, Management Department, Kyiv National Economic University named after Vadym Hetman, Ukraine, https://orcid.org/0000-0001-7788-9029, Danyliuk.viacheslav@kneu.edu.ua
Abstract. The problem of redesigning the supply process is caused by the not optimal number of sub-processes, numer of participants, high order fulfillment delays and high supply costs. Business process reengineering is a strategic approach to managing an organization, which involves a thorough analysis, restructuring and optimization of business processes in order to ensure the effectiveness of the business organization. Product supply chain management is an important element of any organization's activity and significantly affects its profitability and competitiveness in the market. Supply chain process reengineering can help an organization reduce costs and improve customer service, which will have a positive impact on its reputation and market position. The expected results of such reengineering are: reduction of time for processing orders and delivery of products, which makes it possible to speed up processing and delivery of products and ensure more efficient use of the organization's resources, reduce the payroll; increasing the accuracy and correctness of product packaging, which allows reducing the volume of damaged products, as well as reducing the time required for packaging; reducing the number of delays in the delivery of products, which allows to ensure a higher quality of service and reduce the risk of negative impact of delays on the reputation of the organization.
The costs of implementing a supply chain reengineering project can range from 1% to 5% of the organization's total turnover. At the same time, it is also important to take into account the costs of purchasing technical equipment, software, personnel training, as well as possible costs of infrastructure changes. The costs of implementing a supply chain reengineering project can be justified by increasing the efficiency of the organization's activities, reducing the costs of supplying products, as well as increasing the level of customer satisfaction and the level of competitiveness of the organization.
Keywords: management, business process, reengineering, supply chain, distribution.
References
1. Diakonova A. K., Trishyn F. A., Korotych O. M. (2021) Reinzhynirynh biznes-protsesiv yak suchasnyi instrument uspishnoho rozvytku restorannoho hospodarstva [Reengineering of business processes as a modern tool for the successful development of the restaurant industry]. Ekonomika ta suspilstvo, no. 29, рр. 111–119. DOI: https://doi.org/10.32782/2524-0072/2021-29-28 (in Ukrainian)
2. Kryvoviaziuk I. V., Kulyk Yu. M. (2013) Reinzhynirynh lohistychnykh biznes-protsesiv i system yak osnova yikh samovdoskonalennia ta rozvytku [Reengineering of logistics business processes and systems as a basis for their self-improvement and development]. Ekonomika: realii chasu, no. 2 (7), pp. 87–94 (in Ukrainian)
3. Hvozd M.Ia. (2008) Katehoriia «Reinzhynirynh»ta yii vyznachennia u fakhovii literature [The category «reengineering» and its definition in professional literature]. Visnyk Natsionalnoho universytetu «Lvivska politekhnika» - Bulletin of the National «Lviv University Polytechnic». Issue 633. pp. 106–109 (in Ukrainian)
4. Ladonko L. S., Soloshyn L. S. (2015) X-inzhynirynh yak novyi napriam menedzhmentu zmin [X-engineering as a new direction of change management]. Naukovyi visnyk Polissia, no. 2(2). pp. 115–120 (in Ukrainian)
5. Lobza A., Shcherbina K. (2018) Rozrobka systemy otsinky personalu pidpryiemstva: realizatsiia pidkhodu KPI [[Development of the system for assessing the personnel of the enterprise: implementation of the KPI approach]. Molodyi vchenyi – Young Scientist, vol. 12 (64). pp. 291–295 DOI: https://doi.org/10.32839/2304-5809/2018-12-64-70 (in Ukrainian)
6. Prus Yu., Sosnina K. (2020) Diahnostyka yak instrument antykryzovoho upravlinnia pidpryiemstvom [Diagnostics as a tool for anti-crisis management of the enterprise]. Molodyi vchenyi – Young Scientist, no. 12 (88), pp. 159- 165. DOI: https://doi.org/10.32839/2304- 5809/2020-12-88-33 (in Ukrainian)
7. Naboka Yu. V. (2018) Biznes-seredovyshche: kharakterystyka, struktura, rozvytok, diahnostyka [Business medium: characteristics, structure, development, diagnostics]. Ekonomichnyi prostir, vol. 138. pp. 192– 200. DOI: https://doi.org/10.30838/P.ES.2224.231018.192.257 (in Ukrainian)
8. Davenport T. (1993) Process Innovation: Reengineering Work Through Information Technology. Boston: Harvard Business School Press. 352 p.
9. Sungau J, Ndunguru P, Kineme J. (2013) Business Process Re-engineering: The Technique to Improve Delivering Speed of Service Industry in Tanzania. IJM & P. No 1. Vol. 4. pp. 208–227
10. Lepeiko T. I., Kotlyk A. V. (2012) Protsesnyi pidkhid do upravlinnia konkurentospromozhnistiu pidpryiemstva: monohrafiia. [Process approach to managing the competitiveness of the enterprise : monograph.] Kharkiv: Vyd. Ed. KhNUE,. 316 p. (in Ukrainian)
11. Rozkoshna O.A., Honcharova M.L. (2011) Osoblyvosti formuvannia systemy reinzhynirynhu biznes-protsesiv [Peculiarities of the formation of the business process reengineering system]. Akademichnyi ohliad – Academic review. No 1(34), pp. 102–106 (in Ukrainian)
12. Oleksyn S. M. (2018) Vykorystannia benchmarkinhu v modeli reinzhynirynhu biznes-protsesiv optovoho pidpryiemstva [The use of benchmarking in the reengineering model of business processes of a wholesale enterprise]. Visnyk LTEU, no. 54, pp.120–125 (in Ukrainian)
13. Reinzhynirynh biznes-protsesiv. Available at: https://business.ua/uk/post/principi-reinzhiniringu-biznes-procesiv (accessed November 19, 2023) (in Ukrainian)
14. Reinzhynirynh biznes-protsesiv: perevahy ta nedoliky. Available at: https://wisdomplexus.com/blogs/business-process- reengineering-advantages-disadvantages/ (accessed November 27, 2023) (in Ukrainian)
15. Prodius O.I. (2016) Teoretychno-metodychni osnovy reinzhynirynghu biznes-procesiv [Theoretical and methodological bases for business process reengineering]. Ekonomika: realiji chasu (electronic journal), no. 6 (28), pp. 79−87. Available at: https://economics.opu.ua/files/archive/2016/No6/79.pd. (accessed November 12, 2023) (in Ukrainian)
16. Skurtol S.D., Parkhomenko L.A. (2016) Stvorennya ta zastosuvannya informacijnih sistem na pidpriyemstvah [Creation and application of information systems at enterprises]. Visnik Odeskogo nacionalnogo universitetu im. I.I. Mechnikova – Bulletin of Odessa National University І.І. Mechnikov, vol. 21, 5(47). pp. 219–222 (in Ukrainian)
17. Hammer M., Champy J. (2001) Reengineering the Corporation: A Manifesto for Business Revolution. Harper Business. 272 р.
18. Krupa K.V. (2011) Reinzhynirynh – hidna vidpovid na vyklyky otochennia [Reengineering is a worthy response to environmental challenges]. Aktualni problem ekonomiky, no. 10, pp. 443-446 (in Ukrainian)