ANALYISIS OF EFFECTS OF BUSINESS PROCESS REENGINEERING ON HARAMAYA UNIVERSITY PERFORMANCE

Abstract

Organization has been facing with different environmental dynamics, making it necessary for it to reinvent itself in order to be strategically competitive. One of the channels available for this process is the Business Process Re-engineering. The purpose of the study is to analyze of the effects of BPR on Haramaya University performance. The study used mixed method approach for triangulation purpose. A cross-sectional data was collected at HU during 2018/2019 fiscal year for this study. The study used stratified random sampling method and 316 samples were randomly selected, 217 academic staffs and 99 administrative staffs were randomly selected from the two strata using proportional to size. Quantitative data were analyzed using both simple descriptive and advanced statistical methods. Multiple regressions were used to establish the relationship between the university performance and factors affecting the university performance including BPR factors. The qualitative data were analyzed using thematic analysis. The result from descriptive analysis indicated that the implementation of BPR in the university did not bring the desired change. The mean rating response is ranging between 2.8-2.69 which is close to the moderate value mean that the effect is moderate. Factor analysis was conducted to estimate the score for the construct variables that was in regression analysis. The strengthen of each factor was tested using Cronbach Alpha test only one factor failed to pass the test and not used in the regression analysis. The regression result indicated that BPR success factors like change management, management commitment and IT support have significant effect on the organizational performance measured by services improvement dimension at 1 %, 10 % and 5 % significance level, respectively. Similarly, effective communication as a proxy for the leadership affects organizational performance significantly at 1 % significant level. The qualitative result also confirming the quantitative result most of the key informants indicated that the effect of BPR was not as expected initially by the management. Therefore, based on the findings, the study recommended the top management should increase their commitment for the proper implementation of BPR. The university should increase the investment in IT infrastructure and improve the communication of top management with its employee to improve the Haramaya University services delivery to its customers