Sample Essay on how Process Enterprises Really Work: Chapter Summary

In the article, the authors, Michael Hammer and Steven Stanton focus on highlighting the functionality of process enterprise. They place emphasis on how the process has manifested in different organizations, while also highlighting some dynamics pertaining the process enterprise. Re-engineering has increased organizations’ efficiency, increased employment and increased collaboration. However, the effective application of process enterprise is still affected by vertical units which concentrate all the power. The traditional vertical management negatively affects the horizontal processes implemented.

In the article, the authors highlight the success of some companies like Texas Instruments, IBM, Owens Corning and the like, how through redesigning and reengineering their organizations on the basics of core processes, have substantially benefited. Nevertheless, the authors insist that integrating the processes is barely the beginning, as with the case of Texas Instruments where using processes was not enough to guarantee success. The article insists that a change in the management structure is required to ensure successful integration of the process enterprise. Diversity is necessary when implementing the core processes since different customers requires different services anddifferent organizations require different designs. Creating a structure that supports the implemented process is paramount.

In the article, the authors recommend the changing from the traditional structure to the process enterprise to consider taking new approaches to compensation, leadership, performance measurement, infrastructure, training and the like. It is important for the company to be flexible even when changing to process enterprise to accommodate any changes that may occur in the future. In essence, the authors emphasize that the process enterprise for any organization is different to the other’s process enterprise.