New view on project and investment management in a more agile IT and agile Business environment

Dr Frank Stumpe

Historical review of IT investment management

3

Basic Investment Management on Scope, Timing, Resources and Quality

4

Speed of changes

Marked / Customer Large agility

PM-Methods Slow agility

The old principle to focus on “silos” and “over-the-fence management” is no longer valid. This management has led to the modern crisis (Otto Scharmer). “Today’s models are most likely to be outdated tomorrow”

(Osterwalder & Pigneur)

Business / Supplier Starting agility

5

Complex cybernetic investment management framework

Individual Core Process (ICP)

Organizational Core Process (OCP)

Interpreter Exterpreter

External Disturbance Internal

Disturbance

Target Core Process (TCP)

Targ

ets

Out

put

Human

Organization Technique

Reas

on fo

r exi

stin

g

Reas

on fo

r mea

ning

Basic

Rea

sons

Using agile IT-Program Management within financial industry

7

Handling the complexity

Involve your customer

Deliver value Think in alternatives

Deliver iterative

8

Budget envelop

Strong business participation is necessary

Open Projects

Priorities

Evaluation

Project definition

Functional design Costs Processing time

Delivery

Steering Committee

Case

10

Some facts of the case Case within financial industry Risk conservative, traditional, waterfall minded, etc. Controlled by regulators

Delivery in 5 iterations 2 short iterations for planning and design 3 longer iterations for agile delivery

loosely coupled IT and BUS

RFI/RFP design

Integration Bank core system

Package implementation

Integration

Web-portal

BUS Keep it running

Back-office benefits

Front-office benefits Full benefits

11

Some facts of the case Back-Office benefits Reduction of the processing time Efficiency in processing Higher Quality in service

Front-Office benefits Direct access to necessary information Support of their work on the field Increase involvements

BUS Keep it running

Back-office benefits

Front-office benefits Full benefits

Company value and mission

12

Summary

Steering should base on Business Case, contribution to Mission/Vision Statement and Basic reasons Involve representatives for each feedback loop in steering Try to integrate market trends and customers

Loosely coupled Business and IT during execution Ensure business continuity during execution Deliver both agile Business and IT

Build trust by management with a systematic approach Be aware about the elements of a system (Humans, Organisation, Technique) Manage individual and organisational processes and interactions