Process innovation (business reengineering) refers to the performance of a process in a radically new way with the objective of achieving dramatic improve-ments in response time,quality,and efficiency.IBM Credit,for example,radically redesigned its credit approval process and reduces its tme for preparing a quote from seven days to one; similarly,Federal-Mogul, a parts manufacturer,used process innovation to reduce development time for part prototypes from 20 weeks to 20 days. Process creation refers to the installation of an entirely new process with the objective of meeting customer and financial objectives.Chemical Bank,for exam-ple,identified three new internal processes:understanding customer segments, developing new products, and cross-selling the product line. These new internal processes were viewed as critical by the bank’s management for improving the customer and profit mix and creating an enabled organization .It should be mentioned that process creation does not mean that it is new to the organization.For example,developing new products is a process common to many organizations but evidently was new to Chemical Banks.