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Business Reengineering

he organizations.Reengineering will be looked at later on in details.3.3.1DownsizingThis is eliminating the number of employees particularly those in middle management.This has been due to the arrival of a global market place, information technology and intense competition, which has caused companies to reevaluate middle management activities to determine just what value, is being added to the companys products and services.The result of this scrutiny along with continuous improvement in information processing technology has been a major cause of downsizing. Nowadays, job cuts or reductions are not an alarming phenomenon.Most of companies in the Kenya corporate sector are undergoing through this scenario both those in the service as well as manufacturing industry. Mass retrenchments are the order of the day from banks in Nairobi Central Business Districts to manufacturing concerns in Industrial area and to rural agricultural industries.3.3.2.Self ManagementThis has been a direct outcome of downsizing.Cutbacks in the number left those that remained with more work to do. The result was that they had to give up a good measure of control to workers and they had to rely on the workers to help out.Spans of control traditionally thought to maximize fewer than ten people, have become much larger due to information technology leading to a lot of delegation to lower levels.This delegation includes empowerment through self-managed work groups. The result is that major decisions can be handled at operating levels. This is evident in American oriented service companies.3.3.3.OutsourcingThis one has also arisen from downsizing.This simply means obtaining work previously done by employees inside the company from sources outside the company.Managers have found that as they attempt to restructure the organization particularly if they do so from a business process orientation, numerous activities can often be found in their company that is not strategica...

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