- IT and the business are often misaligned because business value is not well defined or communicated.
- Decisions are made without a shared perspective of value. This results in cost misallocation and unexploited opportunities to improve efficiency and drive innovation.
- IT exists to provide business value and is part of the business value chain. Most IT organizations lack a way to define value, which complicates the process of making value-based strategic business decisions.
- IT must link its spend to business value to justify its investments. IT doesn’t have an established process to govern benefits realization and struggles to demonstrate how it provides value from its investments.
- Pursue value, not technology. The inability to articulate value leads to IT being perceived as a cost center.
Impact and Result
- Ensure there is a common understanding within the organization of what is valuable to drive growth and consistent strategic decision making.
- Equip IT to evaluate, direct, and monitor investments to support the achievement of organizational values and business benefits.
- Align IT spend with business value through an enhanced governance structure to achieve cost optimization. Ensure IT visibly contributes to the creation and maintenance of value.
Embed benefits realization into your governance process to prioritize IT spend and confirm the value of IT.
This course makes up part of the Financial Management Certificate.
- Course Modules: 4
- Estimated Completion Time: 2-2.5 hours
- Featured Analysts:
- Valence Howden, Research Director, CIO and Enterprise Architecture
- James Alexander, SVP of Research and Advisory, CIO Practice
Onsite Workshop: Maximize Business Value From IT Through Benefits Realization
Onsite workshops offer an easy way to accelerate your project. If you are unable to do the project yourself, and a Guided Implementation isn't enough, we offer low-cost onsite delivery of our project workshops. We take you through every phase of your project and ensure that you have a roadmap in place to complete your project successfully.
Module 1: Understand Business Value
- Establish the business value statement.
- Understand the importance of implementing a benefits realization process.
Key Benefits Achieved
- Unified stakeholder perspectives of business value drivers
- Establish supporters of the initiative
Understand what governance is and how a benefits realization process in governance will benefit the company.
- Stakeholder buy-in on benefits realization process
Discuss the mission and vision of the company, and why it is important to establish the target state prior to defining value.
- Understanding of interrelations of mission, vision, and business value drivers
Brainstorm and narrow down organization value drivers.
- Final three prioritized value drivers
- Completed business value statement
Module 2: Incorporate Benefits Realization Into Governance
- Establish the intake, assessment and prioritization, and output and monitoring processes that are involved with implementing benefits realization.
- Assign cut-over dates and accountabilities.
- Establish monitoring and tracking processes.
Key Benefits Achieved
- A thorough implementation plan that can be incorporated into existing governance documents
- Stakeholder understanding of implemented process, process ownership
Devise the benefits realization process.
- Benefits realization process incorporated into governance documentation
Establish launch dates, accountabilities, and exception handling on processes.
- Actionable plan to implement benefits realization process
Devise compliance monitoring and exception tracking methods on the benefits realization process.
- Reporting processes to ensure the successful delivery of the improved governance process
Module 3: Ensure an Accurate Reference of Value
- Implement a process to ensure that business value drivers remain current to the organization.
Key Benefits Achieved
- Align IT with the business and business to its environment
Determine regular review cycle to reassess business value drivers.
- Agenda and tools to assess the business context to verify the accuracy of value
Determine the trigger events that may cause off-cycle revisits to value.
- List of possible trigger events specific to your organization
Devise compliance monitoring on value definition.
- Reporting processes to ensure the continuous adherence to the business value definition