Business process re‐engineering projects in Finland: An evaluation of change management in 21 large Finnish organizations

Most of the 50 largest organizations in Finland have undertaken business process re‐engineering (BPR) projects during the last five years. This study concentrated on business process re‐engineering projects in 21 large Finnish organizations. Of the 21 organizations interviewed, six represent manufacturing industry, seven large public institutions or enterprises, and eight belong to the trade and services sector. The objectives of the study were to shed light on BPR projects in large Finnish organizations in terms of their scope, focus and adopted change management practices. Respectively, a threefold conceptual framework was developed for the study. The findings of the study show that the firms in the trade and services sector have undertaken very comprehensive BPR initiatives. BPR projects in the public sector have been slightly more limited. Manufacturing companies seemed to have the most limited approach to BPR. In change management, all studied organizations identified questions related to change navigation as the most important problem area in the actual management of the BPR projects. On the other hand, management involvement was clearly perceived as the area where the organizations’ capabilities were the strongest. As to the preconditions for a successful BPR project, four major conclusions can be drawn on the basis of the study. First, the broader the projects are in terms of scope and focus, the better the overall results. Second, strong management involvement is a basic requirement for a BPR project to succeed. Third, change navigation is the most critical area of concern, clearly differentiating successful BPR projects from the less successful ones. It is also the area where organizations encounter the greatest problems in BPR project implementation. Fourth, personnel involvement, as well as training and development projects, play a supportive role in BPR and are usually handled quite well in the organizations.