ABSTRACT
Business process reengineering, a term coined by Ham m er [1990], is the m anage rial paradigm that m any businesses need to radically change the organizational structure of a business process and the pol icies and m ethods by which the process operates in order to achieve significant im provements. It is an alternative to "contin uous im provem ent," w hich aims to incre m entally improve existing outdated struc tures w ithin the process, leaving the fundam ental fram ework of the process in tact. Process reengineering, in contrast, emphasizes the overall im provem ent of a process with respect to its quality, cost, and efficiency. Process sim ulation model ing allows us to observe the work flows within a service process in their entirety. We can thus easily identify key service functions and subsequently improve, con solidate, or dissolve them through process reengineering.