This case describes the process of POSCO's massive management innovation, and analyzes how both the implementation of the process innovation and the introduction of ERP & SCP system affects the organizational change at POSCO. In recent years, a number of companies have introduced the massive process redesign programs such as BPR and PI, and have redesigned their business processes accordingly. However, the results are mixed at best. Why most of the business redesign efforts have produced such disappointing results? One of the main reason is that the companies typically maintain a traditional functional structure and few have fundamentally changed the way they run their organizations. The combination of integrated processes and fragmented organizations have created confusions and conflicts, undermining performance. They simply need a new process-oriented organizational structure. This case intends to help students understand the key issues of the corporate-wide management innovation programs, and how those process-oriented management innovations should lead to the fundamental organizational redesign aiming at the introduction of process-based structure.