Business process reengineering (BPR) involves fundamentally rethinking and radically redesigning business processes to achieve dramatic improvements in critical performance measures like cost, quality, service and speed. It focuses on how work is done, moving away from functional silos to a process view that cuts across organizational boundaries. BPR aims for breakthrough goals through fundamental changes that question existing structures and procedures, taking nothing for granted. Key steps in BPR include selecting processes for reengineering, understanding the current process, developing a vision for an improved process, identifying an action plan, and executing the plan. Common challenges include not making changes radical enough, over-reliance on the existing process, and failure to gain organizational commitment.