Product Reengineering Benefits

With the evolving technologies, product reengineering is required. This is because of the changes which have been taking place in the market preference for both products and services. This has posed a stiffer competition resulting in a considerable threat to the existing product lines of business. So as to reinvent the business strategies and also stay a head of the competition, there is need for the reengineering system.

Product Reengineering Benefits

Product Reengineering is led by a growing user experience needs, technology ecosystems, and stakeholders around it. Through the reengineering process, the overall performance of the system needs to be upgraded urgently. In fact, the product performance gives out an opportunity for effectively studying the existing product. In addition to that, it lowers the total cost of improved quality, ownership and faster deployments with measurable outcomes.

Major projects where product re engineering was done 

  • It is a connection center for a telecom operator

The customer service of VAS Company has been facing major inefficiencies in terms of customer care solution and legacy provision. This has lead to operational issues. Nevertheless, the product was not able to scale up to the performance requirements and the constantly growing subscriber base. Fortunately the Product Reengineeringen hances the performance by thrice the number of times. Moreover, it tripled the number of concurrent users handling capacity. As a result, users were comfortable as they used to work on the existing system. The customer service now works under offline and online models so that it can minimize point failures to zero. Hence, the reengineering system has been deployed successfully across multiple customers and geographical boundaries.

  • NBFC reengineering of operation software

NBFC Company is a very large firm which is involved in selling of financial instruments which is similar to that of rural masses and recurring deposits. They normally undertake this duties through network of agents and branches by assessing the integrity of its agents as well as controlling the collection schedules of the agents and reconciling the centrally managed core systems of the organization. In addition to that, the NBFC system has been controlling the collection schedules through the use of imaging technology. For the whole process to be performed, it takes a longer time in order to complete the transaction’s reconciliation at the centrally managed core system of the organization.

In order to minimize the long transactions, the company had to use reengineering process. As a result, it improved the long term transaction times to close to real time transaction settlements.

Currently, the reengineering system of the company supports about 25 million accounts, executes transactions which is worth $5Billion a year and manages 1,000 field agents.

Product Reengineering Methodology 

For the system to be effective there is a process which is followed. Even though the method and strategies of every company differs, there is a unique business reengineering which follows some guidelines The following is detailed information about the phases in which the reengineering system follows:


The process first identifies the objectives of the clients. Moreover, it seeks out so as to understand the expectation of the clients and where the current processes have succeeded or fall short.

The system also creates and builds a strategic plan which uses the driven objective so that it can formulate the mission or vision statements of what is to be achieved at the completion of the production reengineering process.


This is the second step of the production reengineering process. The main objective of this methodology is to process the models and build the activity. This will assist in understanding the current process. Hence, it will assist in avoiding the changes witch will not be viable to the solutions.

Another thing which the system does under analysis is the identification of inefficient processes. This is a stage where questions which relates to what and who prevents certain processes from achievement of the desired results.

The system also identifies value increasing processes. This is an activity based costing(ABC) which offers the ground works that shows the process with value and the ones which should be reengineered.


This is the third step of the reengineering process. The system enables the labeling of bench marks. It can also compare the processes with that of the peers so that it can gain ideas for improvements. The bench markers don’t have to be the competitors. But, it can come from organizations which are outside the industry.

The design process involves validating of the incoming process. The design process also requires stimulations in order to analyze cost and time factors. The comparison with the current models will also express ABC gains. While designing, the system re-examines the findings of the analysis. This will offer the best possible scenarios and selection of the implementation methods.


The reengineering system begins training and initiating the prototype. As a result, plans are developed for the transition of the reengineering process.

The implementation process also assists in the engagement of stakeholders. In fact, it will prepare the company for effective changes and enacting efforts which gains full support of those involved in the business process reengineering efforts. Rapid and full implementation is also done. This is very important since it will result in the success if the BPR which is a smooth and seamless transfer between To-Be and current processes.


The reengineering system constantly measures the changes. Thus, progress of action and results are monitored through the examination of the customer’s reception, supplier’s responds, and employee’s attitudes.

Also, new processes are enhanced. Thus, seeking of the continuous improvements in the performance processes by use of total quality management as a measurement tool is done.


The reengineering process is very vital for businesses. Usually, it can be met without any resistance. However, the corporate culture and norms can prevent user from fully embracing the necessary changes. With business reengineering process, all the stakeholders and the business owners will benefit. This is because the system works in increasing focus on the customers. Apart from that, it advocates handwork and basic changes in the optimization of the performance of the company. Product Reengineering operates continually while pressing for improved results in the business world.



Mark is the Lead Author & Editor of Spectechular Blog. Mark established the Spectechular blog to create a source for news and discussion about some of the issues, challenges, news, and ideas relating to Product Management.