Hi Basav,
I finally figured out what you were asking.
If I understand the DZ family, which I don't use (so someone correct me if there is another way), then this is what you need to do:
If the bootloader is in protected flash, then the only way to replace it is to do a mass-erase of the entire flash. That needs to be done from ram. The steps would be:
1) You need to create a new application that the old bootloader is able to load into the flash. That application would contain an image of the new bootloader, plus additional programming support firmware.
2) That application, when it runs, would copy the programming support firmware and the new bootloader image into ram.
3) The programming firmware, running in ram, would mass-erase the flash.
4) The programming firmware, still running in ram, would copy and program the new bootloader into flash.
5) The programming firmware would then set the appropriate protection bits.
6) The new bootloader would then be started in the usual way, whatever that is, to load new application firmware.
Does that sound right?