Dianne Wyllie, Brocade: Transforming the Annual Planning Process

Case Study:Transforming the annual planning process

Dianne Wyllie

January 2014

© 2013 BROCADE COMMUNICATIONS SYSTEMS, INC. COMPANY PROPRIETARY INFORMATION 2

Corporate Strength Product Excellence

Execution SuccessTechnology Relevance

BrocadeToday

• Founded in 1995

• Headquartered in San Jose, CA

• $2+ Billion in annual revenue

• Operating in 160 countries

• 4,500+ employees

Solutions levered to key technology trends:

• Cloud

• Virtualization

• Mobility

• SDN

• Leading Ethernet fabric solution

• Leading 16 Gbps SAN

• Comprehensive campus LAN portfolio

• Advanced 100 GbE Routing

• Expanding presence in Ethernet market

• Continued leadership in SAN

• Thought leadership in software networking

Transforming the annual planning process


Introduction

People, Process and Technology

Technology

People - Governance process

Process

Portfolio Planning

Resource Management

Application Portfolio

Lessons Learned

Technology


Technology: Where We Started and Tools In Use Today

• IT LCM methodology - process, templates, deliverables, activities …

• IT Project Center on SharePoint - collaboration, repository … plan to

integrate in future

• Hyperion for resource BUDGETING

• Oracle for tracking purchases to a Project

• Microsoft Project – Standard … moved to Project PROfessional

• Implemented Project Server 2010

Project Server is providing incremental functionality to the tools we use today

© 2013 Brocade Communications Systems, Inc. Company Proprietary Information 6

People


Previous – Two Tier model

Governance Model – Reconfigured

Business Unit Planning, Project Prioritization and Selection

IT Project

Prioritization

Steering

Committee

Sets priorities for IT/Business area

initiatives for the functional area

Recommend IT initiatives for Steering

Committee approval

Monitors project progress and resolve

issues/conflicts within a functional area

Forum varies per functional group

Review and approve “corporate” IT initiatives

Status review of key investments/projects/ initiatives

Exec Staff and one or more delegates; Meets quarterly


IT 3 Tiered - Governance Model

Business Unit Planning, Project Prioritization and Selection

IT Business Council

IT Exec Steering Committee

Sets priorities for IT/Business area

initiatives for the functional area

Recommend IT initiatives for Business

Council cross functional prioritization

Monitors project progress and resolve

issues/conflicts within a functional area

Forum and frequency varies per functional group

Align annual IT investments/priorities with business

investments/priorities

Review and approve “corporate” IT initiatives

Provide course correction for any changes to the above

Status review of key investments/projects/ initiatives

Major policy/process change review

Exec Staff only – no delegates; meets quarterly

Review functional roadmaps to insure

cross-functional understanding

Prioritize projects across functions and

recommend to IT Exec Steering Committee

Forum for IT Business Architecture Reviews

Review status of corporate initiatives

Communicate the above to their respective functional

organizations; Change leader

One representative from each function; meets quarterly


Process


Objectives of Enterprise Project and Portfolio Management

• Optimization – Allocate resources to maximize the value of the portfolio

• Balance – Achieve a desired balance of projects via a number of

parameters such as risk, short-term vs long-term, return

• Strategy Alignment – Ensure that the portfolio of projects reflects the

Brocade’s objectives and that the breakdown of spending aligns with the

Brocade’s strategic priorities

• Prioritization – Obtain the right number of projects to achieve the best

balance between the pipeline of resource demands and capacity of

resources available.

• Feasibility - Ensure the project goals and proposed projects are

achievable given the projects already in flight

Manage the IT Portfolio to ensure PREDICTABLE DELIVERY to the Business


12

Enterprise Project Management (EPM) Capabilities

Project Lifecycle & Governance

Portfolio Selection

Capacity Planning

Resource Mgmt.

Financial Mgmt.

Project Tracking

Portfolio & Project Reporting

Team Collaboration

Project Scheduling

ManagePlanGovernance & Portfolio Management

Resource Management

Program & Project Management

Create Select

Demand Mgmt.

Roles & Security

© 2013 Brocade Communications Systems, Inc. Company Proprietary Information January 2014

Delivering the Investments Right75% 100%

66%

100%

0%

Portfolio Management

Pro

ject

Man

ag

em

en

t

50%Value Realized

50 % Value Lost


Portfolio and Project Management

• Established Strategic Drivers and "impact (outcome) statements"

• Conducted Pairwise Comparison to set Priority

• Created Project Proposals and Business Council presented to the team

• Scored Projects within each Business Function

• Reviewed Ranking for each Business Function, and modified as needed

• Reviewed data for consistency and completeness; edited where appropriate

• Compiled summary/rollup, reviewed and adjusted in Business Council

meetings

Process Review


Strategic Drivers - Example with Impact Statements

Customer Advocacy:

Improve Customer Experience and Product/Service Quality

Develop stronger customer loyalty by enhancing the quality of service and experience of external customers. Relentless pursuit of

World Class Customer Satisfaction, Product Quality, and an engaging online experience.

ExtremeProject… …fully resolves multiple causes of customer

dissatisfaction

OR …fully resolves multiple causes of

product/service quality

StrongProject… …fully resolves one cause of customer

dissatisfaction

OR …fully resolves one cause of product/service

quality

Moderate

Project… …partially mitigates multiple causes of

customer dissatisfaction

OR …partially mitigates multiple causes of


LowProject… …partially mitigates one cause of customer

dissatisfaction

OR …partially mitigates one cause of product/service

quality

None

Project… …does not resolve or mitigate causes of

customer dissatisfaction

AND …does not resolve or mitigate causes of



Business Drivers Prioritization – Pairwise Comparison

Customer

Advocacy

Revenue

Enablement

Innovation Operational

Excellence &

Increased

Gross Margins

Manage /

mitigate Risk

High

Performance

Culture

Customer Advocacy More important More important Much more

important

Extremely more

important

Extremely more

important

Revenue Enablement More important Much more

important

Much more

important

Extremely more

important

Innovation More important Much more

important

Equal

Operational Excellence &

Increased Gross Margins

Equal

Manage / mitigate risk

High Performance

Culture

Is [Business Driver on the left] more / equally / less important than [Business Driver on top]?


Brocade.com Product & Solution Redesign

Project Name Functional Area/ Owner Timeframe Status

Brocade.com Product &

Solution Redesign

Global Communications/

John O’Donoghue

2Q – 3Q FY13 Concept

Description Update the taxonomy and content of the product and solution pages on Brocade.com to

improve conversion of visitors to leads.

Business problem The current taxonomy and information architecture no longer matches our portfolio, having

been implemented two years ago. This is leading to a sub-optimal presentation of our

products/solutions to our customers and we’re missing opportunities for increased lead

generation from the website.

Potential Solution New information architecture and page templates

Business Value Category Demand Creation

Anticipated ROI Increase in leads generated from Brocade.com visitors

Dependencies/Stakeholders Product Mgmt/Mktg participation; decision on taxonomy (method of displaying product and

solution categories based upon the end customer view) and design of wireframe/template

options required prior to IT work commencing

Vendor Involvement TBD

Marketing - 1H FY13

November 12, 2012© 2012 Brocade Communications Systems, Inc. CONFIDENTIAL—For Internal Use Only 73

Marketing Response & Lead Integration


Aprimo-SFDC Integration Marketing Operations/ Shari

Horton

4Q FY12 – 1H FY13 In Flight

Phase 1 – BRD in process

Description Provides an automated synchronization of accounts, contacts, leads, activities, and opportunities

between Aprimo (Marketing Automation Platform) and SFDC.

Business problem Today, lead data is manually pushed from Aprimo to SFDC by our data services vendor and

account/contact data is only pushed to Aprimo quarterly. These processes cost approximately

$160K/year in operating expense, limit sales visibility into account activity, and introduce delay into the

sales process.

Potential Solution Implement an API to link Aprimo and SFDC; align data fields to allow for synchronization. Provides view

of early stage lead activity and contacts to Sales (within SFDC) and provides customer lifecycle data for

purchase propensity analysis.

Business Value Category Demand Creation; Productivity/Cost Reduction

Anticipated ROI Reduce quarterly data services fees by $40K; increase in pipeline of 5%

Dependencies/Stakeholders Sales Operations/Field Sales, Field Marketing, Demand Generation

Vendor Involvement Yes – Aprimo and Catapult Data Services

Marketing - 1H FY13


Each Business Unit

Presented Project Proposals

to Business Council

Installed Base Analytics


Installed Base Analytics Marketing Operations/ Alex

Fleming

4Q FY12 – 1H FY13 In Flight

Phase 1 – BRD in review

Description Consolidates end customer purchase data from existing applications (SFDC, Oracle, POS)

and provides a reporting/query environment for accessing this data.

Business problem Each system gives a partial view to end user purchase data. We are missing opportunities

for increasing revenue to our existing customer base due to the difficulty and lack of

scalability in the current adhoc manual data collection and cleansing process.

Potential Solution Data repository of consolidated customer purchase information that can be queried by

Marketing and Sales analysts and acts as a data feed to SFDC/Sales 360.

Business Value Category Demand Creation

Anticipated ROI Increase in sales to existing accounts of approximately 10%

Dependencies/Stakeholders No dependencies/Various stakeholders across the company

Vendor Involvement No

Marketing - 1H FY13



Marketing

Project Name Fiscal Year Customer

Advocacy

High

Performance

Culture

Innovation Manage Risk Operational

Excellence

Revenue

Growth

Installed Base Data FY13 H1 Low Moderate Low Strong Low Strong

Marketing Response and Lead Integration (Aprimo-SFDC ) FY13 H1 Moderate Low None Strong Moderate Low

Brocade dot com Product and Solution Redesign FY13 H1 Strong Low Low Strong None None

MyBrocade Registration Redesign FY13 H1 Moderate None Low Strong None None

MyBrocade Improvements FY13 H1 Moderate Low Low Moderate Low None

Core Team and Launch Collaboration (Sharepoint 2010) FY13 H1 None Moderate None Strong Low None

Omnifind Search Upgrade FY12 Strong Low None None None None

Brocade Portal Strategy FY13 H2 Moderate Low Low Low Low None

Website Performance Improvements FY13 H2 Moderate None Low None None None

Briefing Source Integration with SFDC FY13 H1 Low Low None Low None None

Brocade Communities Improvements FY13 H1 Low None None Low None None

WWW Performance Optimization FY12 Low None Low None None None

Internal Sales Portal Evaluation FY13 H2 None Low None None Low None

FlightDeck Single Sign-on FY13 H2 None None None Low None None

And, then scored them

and presented back to

Business Council


Portfolio Scenario – “what if’s” Develop different scenarios and select an optimal mix for the portfolio

Manual adjustments

allow consideration

of other factors


Project Proposal Summary

FY12 Carryover 9 9

FY13 Planning 44 45 89

Moved to RFE 10 10

Totals 9 54 45 108

FY12 FY13

First Half

FY13

Second Half Total

*


Impact Measures Analysis

January 2014 © 2013 Brocade Communications Systems, Inc. Company Proprietary Information 20

Projects contribution to Strategic Value

• Roadmap Projects: strategic, cross-

functional projects formally selected for the

IT portfolio and monitored by the IT Steering

Committee

• Non-Roadmap Projects: local projects that

use the IT project Life Cycle Management

(LCM) process to manage

• Request for Enhancements (RFE): small ad-

hoc business requests for continuous

improvement/growth

• Keep the Lights On (KTLO) Support: ongoing

maintenance activities allocated an overall

budget for the year

Resource Management – Capacity PlanningKTLO/RFE workload is planned using Resource Plans with named resources


• Roadmap Projects: strategic, cross-

functional projects formally selected for

the IT portfolio and monitored by the IT

Steering Committee

• Non-Roadmap Projects: local projects that

use the IT project Life Cycle Management

(LCM) process to manage

• Request for Enhancements (RFE): small

ad-hoc business requests for continuous

improvement/growth

• Keep the Lights On (KTLO) Support:

ongoing maintenance activities allocated

an overall budget for the year

Enterprise Project Types (EPTs)Each project corresponds to one of four main work types

• Medium Effort (>6 weeks)

• Detailed Schedule

• PMO Review

• Single Work Order

• Ad Hoc Intake

• Minor Effort (<6 weeks)

• Resource Allocation

• Multiple Work Orders

• Ongoing Activities

• Allocated budget

• Resource Allocation

Roadmap Project

Non-Roadmap Project

KTLO Support

RFE Work

• Strategic Projects

• Major Effort (long term)

• Detailed Schedule

• IT Governance


Resource Management – Resource UtilizationResource workload and availability can be assessed in the Resource Center

View by Resource

or by Project

Check/Uncheck

selected items

Adjust the

time scale


Application Portfolio Management (APM)APM enables organizations to understand, control and optimize their application

portfolio in alignment with Business and IT Objectives and in integration with Project

Portfolio Management.


APM Maturity Levels

Pilot focus

Optimize Business AlignmentBusiness Drivers alignment, priorities, process support

Level I

Level II

Level II

I

Level IV

Build an Application Inventory Application identity and basic information

Gain Financial Control Detailed application-level costs budgeting and tracking

Assess the Application Portfolio Risk, Operational Performance, Architectural Fit

APM provides multiple

perspectives to provide

visibility, gain control and

optimize the application

portfolio

FoundationalReporting, BI

SharePoint Collaboration


IT Supported Business Application Portfolio Metrics

'COTS' for "Commercial Off-the-Shelf" and used as is (typically endpoint apps);

'Custom' for custom-developed or customized apps; and

'OTB' for "Out of the Box", configured, not customized, a "vanilla" installation

On Premises or Hosted

Application Type

Does not include IT applications/tools required to develop, install, support, or monitor

Does not include individual application modules,

e.g., individual Oracle modules, GL, AR, AP, etc are not counted



Lessons Learned

ChallengesWhat went well

•Portfolio Management - Brocade was “ready”

•Execs interested in knowing “what we were not doing”

•Moved to a new model from “siloed” prioritization/allocation

•New BU Council worked well

•All business organizations were involved in “Fiscal Planning” at the same time

•Resource and Project Management implementation

•Modeled our work types to capture capacity/demand

•Training materials

•Application Portfolio

•Single source of truth – governed thru Change Control and Project Roadmap

•Used successfully for managing tech stack upgrades (JRE, IE, etc.)

Lessons Learned

Challenges and Going forward

•Portfolio Management

•New Management

•Resource and Project Management implementation

• Change management and training ongoing

•Many different project manager skill levels

•Need consistency in how manage “work”/use project

•Projects are always at different phases – requires “retraining” and ongoing coaching

• Integrate existing SharePoint Project Center with Project Server (with SharePoint 2013 Upgrade)


Thank you
