The ICT Strategic plan execution toolbox
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1 The ICT Strategic plan execution toolbox
2 Agenda Elements of an ICT strategic plan Processes and roles needed to deliver on an ICT strategic plan Tools to support the effort needed to deliver on an ICT strategic plan Questions
3 Elements of an ICT strategic plan
4 Traditional approach to ICT implementation Closing the Gap Strategic Initiative Lag Solution design lag Data Applications Infrastructure New Idea
5 Traditional system implementation approaches typically lead to costly infrastructure spaghetti Corporate network & infrastructure services Data Application Technology IT costs that exceed the benefit they deliver Rising IT costs without increasing benefits One or more major project failures Long delays in the delivery of new systems Fractious relationships between IT and business leaders System disasters Difficulty recruiting and retaining top IT talent Source
6
7 ICT-Enabled Business Agility Definition: the use of existing IT and business process capabilities to rapidly generate new business value while limiting costs and risks. The key to agility is reuse. Agility leads to profitable growth. The Agility Paradox: more digitized and standardized business processes and platforms tend to make a parliament more agile. A platform for agility simultaneously enhances parliament s ability to launch new products, increase efficiency, redesign a business model, and span boundaries. ICT Strategic plan must drive to ICT-Enabled business Agility
8 Key Elements for an ICT strategic plan execution Architecture Planning and Design Senior executive oversight Enterprise architecture guiding principles Enterprise architecture artifacts Process owners Full-time enterprise architecture team Project Management Project methodology Post-implementation assessment IT program managers Business leadership of project teams IT Funding Business cases Centralized funding of enterprise apps Infrastructure renewal process IT Steering Committee Standards Management Architects on project teams Technology research & adoption process Architecture exception process Formal compliance process Centralized standards team Center for Information Systems Research 2008 MIT Sloan CISR Ross Management practices within each practice set are statistically significantly correlated with each other. All four competencies are significantly correlated with architecture benefits.
9 Building ICT execution Competencies in Stages Business Silos Standardized Technology Optimized Core Business Modularity Business Cases Project Methodology Legend Architecture Planning & Design Project Management IT Funding Standards Management * Items are statistically significantly related to architecture maturity they are associated with greater value in later stages. Evolution Architects on Project Teams IT Steering Committee Architecture Exception Process* Formal Compliance Process* Infrastructure Renewal Process* Centralized Funding of Enterprise Applications* Centralized Standards Team Process Owners* Enterprise Architecture Guiding Principles* Business Leadership of Project Teams* Senior Executive Oversight* IT Program Managers Enterprise Architecture Graphic* Post-Implementation Assessment* Technology Research and Adoption Process* Full-time Enterprise Architecture Team Center for Information Systems Research 2008 MIT Sloan CISR Ross Source: Enterprise Architecture as Strategy: Creating a Foundation for Business Execution, J. Ross, P. Weill, D. Robertson, HBS Press, 2006.
10 An ICT Strategy Execution Officer Senior executive accountable for the definition, design, implementation, and, in some cases, use of a firm s digitized process platform. In most organizations, the CIO is assuming this role, shifting the IT organization from enabler to leader.
11 Digitized process platform IT as an Enabler offering IT Capabilities IT as a Leader offering a platform for innovation
12 The Role of the SEO Enterprise IT & Process Governance Ongoing Operations/ Continuous Improvement Project Design & Implementation Designs Platform Builds Platform Components Leverages Platform
13 Responsibility 1: ICT and Process Governance Ensure clarity among senior executives about platform design. Establish a clear ICT governance structure Coordinate demands for enterprise change projects, most of which involve IT implementations. Establish priorities for change projects based on multiple criteria: Organizational readiness Contribution to platform Ability to use platform Expected benefits Work with senior executive team which either makes investment decisions or approves SEO recommendations.
14 Effective ICT Governance ICT governance is specifying the decision rights and accountability framework to encourage desirable behaviors in the use of ICT Effective ICT governance requires a significant amount of management time and attention Well-designed ICT governance arrangements distribute ICT decision making to those responsible for outcomes Research shows that organizations implementing effective ICT governance to support their business strategies realize superior results Source: IT Governance: How Top Performers Manage I/T Decision Rights for Superior Results By: Peter Weill and Jeanne W. Ross
15 ICT Governance Must Address What decisions to make Who should make the decisions How to make and monitor the decisions Source: IT Governance: How Top Performers Manage I/T Decision Rights for Superior Results By: Peter Weill and Jeanne W. Ross
16 Tools and roles needed Senior executive oversight Enterprise guiding principles Process owners Business cases ICT Steering Committee Technology research & adoption process Formal compliance process Centralized standards team
17 ICT Governance Structure Models Model 1: For small organizations where a single tiered central steering committee, chaired by highest level executive, can effectively govern IT deployment for entire organization Model 2: For medium size organizations that have two to four operational divisions that are highly dependent on IT resources
18 ICT Governance Structure: Model 2 Governance Committee (ITGC) Chaired by Secretary or appointed official Meets bi-monthly or quarterly Defines IT governance structure Sets decision parameters for committees Approval board for IT business policies Includes steering committee chairs Includes senior IT executive Administrative Steering Committee eservices Inter/Intranet Services to Members Steering Committee Procedural Steering Committee IT Steering Committees (ITSC) Chaired by appointed official Meets bi-weekly or monthly Plan/prioritize division projects Management level participants
19 Important ICT Governance Factors Ideally, your highest level governance committee should be chaired by the Secretary General/Clerk Active involvement by the highest level of organization management Committees should be chaired by business executives
20 Important Governance Factors cont Committees should be organized around key business operations or divisions rather than IT operations Formalized business based methodology for prioritizing IT projects
21 ICT Governance Practices Example: Project Priority Matrix Priority Business Drivers WT A B C D Score Return on Investment 6.0 > 30 % 6.0 > 20 % 4.5 > 15 % 3.0 > 10 % 1.0 Efficiency Gains - One-Time Savings - Annual Savings > $500K 6.0 > $250K 4.0 > $100K 2.0 < $100K 0.0 Marketing Impact - Improves Customer Service - Provides New Service High 5.0 Medium 4.0 Low 2.0 Indirect 1.0 Scope of Impact - Multi-Department - Single Department > or = > or = > or = = Business Risk: - Key IT Resources - Implementation Timeline Hi/Long 5.0 Lo/Long 4.0 Hi/Short 3.0 Lo/Short 1.0
22 Responsibility 2: Project Design/Implementation Ensure disciplined, effective project methodology. Engage all key stakeholders early and often. Provide expertise on process design. Provide oversight and/or support of change management.
23 Key tools, processes and roles Project methodology Post-implementation assessment IT program managers role Business leadership of project teams Architects on project teams Architecture exception process Senior executive oversight Process owners involvement
24 Project methodology 24
25 Project success factors Stakeholder involvement Executive management support Clear statement of requirements Proper planning Realistic expectations Smaller project milestones Competent staff (internal and external) Ownership Clear vision and objectives Hard working and focused staff
26 Post-implementation assessment Source gartner research
27 Summary of Maturity Model and Actions for Improvement Characteristics Recommended Actions Critical Success Factors Level 5: Innovating Experimental application projects in portfolio Processes to quickly kill losing experiments and help winners succeed Routinely monitor process to guard against complacency Balanced qualitative and quantitative benefits review in place Level 4: Optimized Level 3: Defined Level 2: Repeatable Level 1: Ad Hoc Clear business accountability for investment process Investment decisions based on business value Resources managed based on skills and their proficiency level Formal project management methods Formal portfolio management Project actuals consistently tracked Formal demand and supply mapping is conducted at the resource pool level PMO exists Rudimentary measurements Consistent project management processes Inventory and rudimentary portfolio management Single-project-oriented tools No portfolio Prioritization primarily political Informal dialogue on business needs Project budgets set, not estimated Status only known at milestone level Create embedded processes to ensure continuous improvement Get comfortable with innovative, experimental projects Make risk management a formal competency Move responsibility for PPM investment decision processes to the business Make application PPM part of overall capital planning process Establish accurate project time recording Collect skills and proficiency information for resource management Assign responsibility for PPM, usually to PMO Create a PMO to standardize project management methods Establish measures to demonstrate improvements PPM can be facilitated by IT, but ownership must be in the business Focus on continuous improvement, business value and efficiency Change behavior, from punishing time reported over budget to rewarding accuracy PMO builds relationships and technologies at a portfolio level, not a project level Source gartner research
28 To get to level 2: Level 2: Repeatable Create a project management office to standardize project management methods Establish measures to demonstrate improvements
29 Symptoms Level 2: Repeatable PMO exists Rudimentary measurements Consistent project management processes Inventory and rudimentary portfolio management Single-project-oriented tools
30 Actions: Level 2: Repeatable Establish accurate project time recording Collect skills and proficiency information for resource management Critical success factors Change behavior, from punishing time reported over budget to rewarding accuracy
31 Responsibility 3: Ongoing Operations Provide enterprise services, usually as a shared services organization. Accept accountability for continuous improvement of the platform. Ensure that the enterprise is driving value from the platform.
32 Key Tools, processes and roles Architecture exception process Formal compliance process Centralized funding of enterprise apps Infrastructure renewal process Enterprise architecture artifacts Full-time enterprise architecture team
33 Where parliaments can collaborate At the Business level: ICT strategic plans Shared ICT business services Information: Common information structure standards Debates, Bills, Motions, Questions, Petitions, Information management policies and practices Technology platforms: A parliamentary shared private cloud Application platform: Shared Record keeping applications
34 Where parliaments can collaborate and share. Enterprise guiding principles Business cases ICT Steering Committee model and structures Technology research & adoption process Formal compliance process Centralized standards team Project methodology Post-implementation assessment Infrastructure renewal process
35 Questions me for any other question Tel.:
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