Business Process Re-engineering Implementation and Organizational Performance: the Case of Kenya Revenue Authority

Abstract

The study sought to establish factors for successful implementation of business process reengineering initiatives and determine the impact of the success factors on the performance at Kenya Revenue Authority. Emphasis was on the following research objectives; to establish the factors for successful implementation of business process reengineering initiatives in KRA and to determine how business processes reengineering initiatives have impacted on KRA’s performance. Primary data was collected through questionnaires distributed to the different management cadres of KRA. Stratified random sampling was used to select 110 target respondents. Data collected was analyzed by using frequencies, percentage, mean, standard deviation and regression analysis, and then presented using tables, and charts. Results of the study indicate that Kenya Revenue Authority implemented business process reengineering initiatives in its operations. From the findings of the study, the respondents agreed unanimously that key among the drivers for BPR was involvement of the customer/stakeholder which had the highest rating. The performance dimensions which are improved by BPR include; customer service, process turnaround time, cost reduction, improved technology, competitiveness and revenue growth. The study’s major limitation was that the targeted respondents were all employees of KRA, due to limited resources and time constraint only employees based in Nairobi (Head Office) were considered. In conclusion, on the whole there was a positive impact on the performance of KRA due to implementation of reengineering initiatives. Thus, other organizations should not fear implementing radical changes which affect the entire organization, as BPR can lead to overall improved performance.