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Enterprise Business Analysis Capability - Strategic Asset for Business Alignment and Driving Innovation Alan McSweeney http://ie.linkedin.com/in/alanmcsweeney

Enterprise Business Analysis - Strategic Asset for Business Alignment and Driving Innovation

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Introducing the concept of Enterprise Business Analysis as a strategic resource to achieve business and IT alignment. Alignment means being able to draw a straight Line from business strategy through to delivered and operational solutions implemented to respond to businessn. Business and IT Alignment requires more than just relationship management – it requires actual engagement by IT with the needs of the business.

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  • Enterprise Business Analysis Capability - Strategic Asset for Business Alignment and Driving Innovation

    Alan McSweeney

    http://ie.linkedin.com/in/alanmcsweeney

  • Enterprise Business Analysis

    Introducing the concept of Enterprise Business Analysis as a strategic resource to achieve business and IT alignment

    May 11, 2015 2

  • Business Objectives

    Business Operational

    Model

    Enterprise Architecture

    Solution Implementation

    and Delivery

    Management And

    Operations

    Business Processes

    And Analysis

    Required Operational

    Business Systems

    Business Strategy

    Business Systems Design/

    Selection

    Business IT Strategy

    IT Function Strategy

    Required Operational Processes

    Required Infrastructure

    Business Systems

    IT/Support Systems Design/

    Selection

    Business Solution Delivery In Context

    May 11, 2015 3

    Solution Portfolio

    Solution Portfolio

    IT Function Structure

    And Processes

  • Business Solution Delivery In Context

    Solution delivery needs to be a continuum from business strategy to operational and managed solution

    Solution delivery needs to work in the context of business changes and the need for the business to respond to changes

    May 11, 2015 4

  • Business Objectives

    Business Operational

    Model

    Enterprise Architecture

    Solution Implementation

    and Delivery

    Management And

    Operations

    Business Processes

    And Analysis

    Required Operational

    Business Systems

    Business Strategy

    Business Systems Design/

    Selection

    Business IT Strategy

    IT Function Strategy

    Required Operational Processes

    Required Infrastructure

    Business Systems

    IT/Support Systems Design/

    Selection

    Business IT Requirements And IT Alignment

    May 11, 2015 5

    Solution Portfolio

    Solution Portfolio

    IT Function Structure

    And Processes

    Business Solution Design And Delivery

    IT Function Underlying Solution Delivery And Operation Enablement

    Structure

    Business Needs

    Market Changes

    Regulatory Changes

    Customer Requirements

    Organisational Changes

    New Products/ Services

    Competitive Pressures

  • Business IT Requirements And IT Alignment

    May 11, 2015 6

    Business Needs

    Market Changes

    Regulatory Changes

    Customer Requirements

    Organisational Changes

    IT Function Underlying Solution Delivery And Operation Enablement

    Structure

    Business Solution Design And Delivery

    Alignment

    New Products/ Services

    Competitive Pressures

  • Business Objectives

    Business Operational

    Model

    Enterprise Architecture

    Solution Implementation

    and Delivery

    Management And

    Operations

    Business Processes

    And Analysis

    Required Operational

    Business Systems

    Business Strategy

    Business Systems Design/

    Selection

    Business IT Strategy

    IT Function Strategy

    Required Operational Processes

    Required Infrastructure

    Business Systems

    IT/Support Systems Design/

    Selection

    Business Solution Delivery In Context

    May 11, 2015 7

    Solution Portfolio

    Solution Portfolio

    IT Function Structure

    And Processes

    Alignment Means Being Able To Draw A Straight Line

    From Business Strategy Through To Delivered And

    Operational Solutions Implemented To Respond To

    Business Needs

  • Dimensions Of Changes

    May 11, 2015 8

    Business Needs

    Market Changes

    Competitive Pressures

    Organisational Changes

    New Products/ Services

    Regulatory Changes

    Customer Requirements

    Business Needs

    Market Changes

    Competitive Pressures

    Organisational Changes

    New Products/ Services

    Regulatory Changes

    Customer Requirements

    Business Needs

    Market Changes

    Competitive Pressures

    Organisational Changes

    New Products/ Services Regulatory

    Changes

    Customer Requirements

    Pace And Impact of Business Changes

    Increasing

  • Business IT Requirements And IT Alignment

    Means Having an IT function with an underlying delivery-oriented structure,

    attitude, approach, intention

    Being able to analyse and define business requirements associated with business changes

    Being able to analyse and define business processes associated with business changes

    Being able to define and design business solutions that deliver requirements and processes

    Rebuild the fragmented and disjointed conversation between business and IT

    Business and IT Alignment requires more than just relationship management it requires actual engagement by IT with the needs of the business

    May 11, 2015 9

  • Business Analysis And Business Operating Environment

    May 11, 2015 10

    Business Strategy

    Business

    Objectives

    Changes In Products/ Services

    Changes in

    Organisation

    Process Changes

    Merger/ Acquisition/ Divestment

    Regulatory Changes

    Market Changes

    Competitive Pressure

    Changes In IT Solutions To

    Enable Business Change

    New Products/ Services

    Customer Requirements

  • Business Strategy

    Business

    Objectives

    Changes In Products/ Services

    Changes in

    Organisation

    Process Changes

    Changes In IT Solutions To

    Enable Business Change

    Business Analysis Across Business Operating Environment

    May 11, 2015 11

    Enterprise Business Analysis

    Functional Business Analysis

    IT Business Analysis

    Business And IT Alignment

  • Levels Of Business Analysis And Business Analyst

    May 11, 2015 12

    Functional Business Analyst Understand business objectives and solution functional requirements Analyse, define and optimise business processes Understand products and services provided and associated processes and solution Assist with the optimisation of the solution portfolio Participate in optimisation of organisation structure of business function

    Enterprise Business Analyst Assist with translation of business strategy to business objectives Ensure IT solution delivery is aligned with business strategy and business objectives Assist with optimising IT solution delivery activities Contribute to solution delivery governance Support optimisation of organisation structure

    IT Business Analyst

    Gather and analyse business requirements Map and document the business processes Assist with the creation of solution functional specifications

  • Business Strategy

    Business

    Objectives

    Changes In Products/ Services

    Changes in

    Organisation

    Process Changes

    Changes In IT Solutions To

    Enable Business Change

    Business Analysis Across Business Operating Environment

    May 11, 2015 13

    Enterprise Business Analysis

    Functional Business Analysis

    IT Business Analysis

    Strategic Tactical

  • Effective Business Analysis Prevents Discontinuity And Fragmentation

    May 11, 2015 14

    Local Fragmentation and Discontinuity

    Organisation Wide Fragmentation and Discontinuity

  • Levels Of Business Analysis And Business Analyst

    May 11, 2015 15

    Functional Business Analyst

    Enterprise Business Analyst

    IT Business Analyst

    Greater Business Analysis

    Capability Delivers Greater

    Effectiveness

  • Preventing The Bumpy And Uncomfortable Journey From Business Strategy To Execution And IT Solution Delivery

    May 11, 2015 16

    Business Strategy

    Business

    Objectives

    Changes In Products/ Services

    Changes in

    Organisation

    Process Changes

    Changes In IT Solutions To

    Enable Business Change

  • What IT All Too Frequently Delivers

    May 11, 2015 17

    Lack of response to business needs

    Slow and costly solution delivery

    High solution maintenance and operation costs

    Fragile solutions with many manual workarounds

    Excessive and duplicated development effort and

    operation

    Duplicated and costly investments in many solutions

    Siloed applications with lack of integration

    Poor return on investment

    Too little, too late, not what was wanted or

    needed

    Business Needs

    Market Changes

    New Products/ Services

    Regulatory Changes

    Customer Requirements

    Organisational Changes

    Competitive Pressures

    The IT Funnel of Fragmentation

    and Discontinuity

  • Integrated Approach To Business Analysis Optimises Delivery, Removes Friction And Creates Effective Linkages

    May 11, 2015 18

    From

    To

  • IT Does Provide Competitive Advantage

    IT does really provide competitive advantages to organisations

    Business really does need IT to operate and grow

    Business can and does bypass the IT function if it does not listen to the business and deliver solutions that enable delivery of business objectives

    The business will look elsewhere for the necessary IT solutions

    The consequence will be a fragmented and balkanised IT solution landscape that is costly to operate and support

    May 11, 2015 19

  • Business Objectives

    Business Operational

    Model

    Enterprise Architecture

    Solution Implementation

    and Delivery

    Management And

    Operations

    Business Processes

    And Analysis

    Required Operational

    Business Systems

    Business Strategy

    Business Systems Design/

    Selection

    Business IT Strategy

    IT Function Strategy

    Required Operational Processes

    Required Infrastructure

    Business Systems

    IT/Support Systems Design/

    Selection

    Preventing The Balkanisation Of IT Solution Landscape

    May 11, 2015 20

    Solution Portfolio

    Solution Portfolio

    IT Function Structure

    And Processes

    If This Is Not In Place

    External Suppliers

    External Suppliers

    External Suppliers

    Then The Business Functions Will Look To Bypass

    The IT Function

    External Suppliers

  • Business Objectives

    Business Operational

    Model

    Enterprise Architecture

    Solution Implementation

    and Delivery

    Management And

    Operations

    Business Processes

    And Analysis

    Required Operational

    Business Systems

    Business Strategy

    Business Systems Design/

    Selection

    Business IT Strategy

    IT Function Strategy

    Required Operational Processes

    Required Infrastructure

    Business Systems

    IT/Support Systems Design/

    Selection

    Preventing The Balkanisation Of IT Solution Landscape

    May 11, 2015 21

    Solution Portfolio

    Solution Portfolio

    IT Function Structure

    And Processes

    External Suppliers

    External Suppliers

    External Suppliers

    Leading To A Disconnected And

    Disintegrated Solution Portfolio

    External Suppliers

  • Enterprise Business Analysis

    A highly capable business analysis function is a key enabler of business change

    Identifier of solutions to business problems

    Driver of solution innovation and renovation

    Assist the business to address its challenges

    Business and IT alignment is a continuous process

    Assists in bridging the gap between the business and IT

    Mediates between the business and IT

    Ensures that IT is relevant to the business

    May 11, 2015 22

  • Business Strategy

    Business

    Objectives

    Changes In Products/ Services

    Changes in

    Organisation

    Process Changes

    Changes In IT Solutions To

    Enable Business Change

    Business Analysis Across Business Operating Environment

    May 11, 2015 23

    Enterprise Business Analysis

    Functional Business Analysis IT Business Analysis

    Siloed Business Analysis

    Collaboration And Sharing Across Organisation

    Functions

    Organisation-Wide Analysis Capability With Consistent,

    Repeatable Processes

  • Business xNovation

    May 11, 2015 24

    Business Strategy

    Business

    Objectives

    Changes In Products/ Services

    Changes in

    Organisation

    Process Changes

    Changes In IT Solutions To

    Enable Business Change

    Innovation

    Renovation

  • Business xNovation

    Businesses need to: Innovate introduce new into the organisation

    Renovate update and modernise existing services, products and offerings and support systems and processes

    Enterprise Business Analysis can play a central role in successfully driving xnovation through the business through to IT

    May 11, 2015 25

  • Business Objectives

    Business Operational

    Model

    Enterprise Architecture

    Solution Implementation

    and Delivery

    Management And

    Operations

    Business Processes

    And Analysis

    Required Operational

    Business Systems

    Business Strategy

    Business Systems Design/

    Selection

    Business IT Strategy

    IT Function Strategy

    Required Operational Processes

    Required Infrastructure

    Business Systems

    IT/Support Systems Design/

    Selection

    Business And IT Alignment Runs Both Ways

    May 11, 2015 26

    Solution Portfolio

    Solution Portfolio

    IT Function Structure

    And Processes

    Business and IT alignment means managing expectations

    between both parties

  • Business And IT Alignment Runs Both Ways

    An effective Enterprise Business Analysis capability within the IT function means that IT call sell itself to the business

    May 11, 2015 27

  • Business And IT Alignment Runs Both Ways

    IT needs: Enterprise Architecture that supports and enables solution

    delivery and operation

    Enterprise Business Analysis function that provides a comprehensive view of business processes, solution portfolio, business requirements

    Enterprise Business Analysis function that speaks the language of both business and IT and can act as a translator between both parties

    May 11, 2015 28

  • Enterprise Business Analysis Capability

    Without Enterprise Business Analysis Capability Siloed operation Inconsistent and fragmented operation Inconsistent and limited results No focus on overall business strategy Limited collaboration and sharing of knowledge and experiences

    With Enterprise Business Analysis Capability Consistent solution analysis process and approach with predictable

    results Collaboration across organisation Business knows it is being listened to and that commitments will be met Effective knowledge management Analysis governance and standards Enable business respond to changes quickly and effectively

    May 11, 2015 29

  • It Is Not About The Project It Is About The Solution

    The IT project exists to deliver a solution that meets the requirements of the business and that is usable, operable, supportable, maintainable and cost-effective

    The focus needs to change from project management to solution delivery

    The individual business solution exists within the context of a portfolio of business solutions

    The solution requirements functional what it must do and non-functional usability, performance, supportability, maintenance, reliability, availability must be delivered on

    Effective solution delivery requires effective business and IT alignment

    May 11, 2015 30

  • It Is Not About The Project It Is About The Solution

    Capable and effective enterprise-wide business analysis means the focus will remain on the solution rather than the project

    A solution can only be regarded as successful if, over its lifetime, it delivers the defined business results to all its participants subject to schedule and budgetary constraints

    May 11, 2015 31

  • Solution Is Not Just Functionality

    Solution success needs to be assessed against functional and service/operational factors: Usability Operability Supportability Maintainability Security Integration Performance Reliability Integratability

    Enterprise Business Analysis capability ensures that complete view of solution exists from the start

    High probability of success is embedded into solution design from the start

    May 11, 2015 32

  • Solution May Not Just A Single Application

    May 11, 2015 33

    External Manual

    Interaction

    External Manual

    Interaction

    External Manual

    Interaction

    External Manual

    Interaction

    Extended Application(s)

    System Component

    System Component

    System Component

    External Component

    External Component

    External Component

    Core Application

    End To End View Of Solution

  • Solution May Not Just A Single Application

    May 11, 2015 34

    External Manual

    Interaction

    External Manual

    Interaction

    External Manual

    Interaction

    External Manual

    Interaction

    Extended Application(s)

    System Component

    System Component

    System Component

    External Component

    External Component

    External Component

    Core Application

    Limited View All Too Often Taken

  • Solution May Not Just A Single Application

    May 11, 2015 35

    System Component

    System Component

    System Component

    External Component

    External Component

    External Component

    Automated Process

    Automated Process

    External Manual

    Interaction

    External Manual

    Interaction

    Manual Process

    Manual Process

    External Manual

    Interaction

    External Manual

    Interaction

    Manual Process

    Manual Process

    Extended Application(s)

    Core Application

  • May 11, 2015 36

    Hierarchy Of Requirements From Enterprise To Solution

    Business Vision and Goals

    Business Strategy

    Business Objectives and Plan

    Programmes for Strategic Objectives

    Solutions

    Operation of Solutions

    Solutions delivered by programmes and projects

    cascade from business vision to ultimate operation and

    service delivery

    Solutions delivered by programmes and projects need to be aligned to the

    overarching business vision and goal

  • Solution Delivery Boundaries

    May 11, 2015 37

    Enterprise Architecture Defines the Solution Technical Boundary

    Business

    Data

    Technical

    Functional

    Implementation

    Management and Operation

    Solution

    Enterprise Business Analysis

    Defines the Solution

  • Solution May Not Just A Single Application

    Overall solution may consist of core application and integration points with existing applications

    Overall solution may operate with a mix of automated and manual processes in a structured or ad-hoc manner to deliver the required results

    Understanding the overall set of integration points and processes and their operation is crucial to successful results

    Need to see the entire picture to understand how a solution should operate Core system/application are just one part of this solution universe

    Unambiguous definition of processes is required

    Processes that are to be automated define the scope of the development and implementation work

    May 11, 2015 38

  • Extended Dimensions Of Overall Solution

    May 11, 2015 39

    Solution Core

    Application Functionality

    Solution Operational

    Characteristics

  • Enterprise Business Analysis

    All too often complete end-to-end view of the solution is not recognised or appreciated

    Enterprise Business Analysis enables the full scope of the solution and its operational framework to be understood, defined and scoped at an early stage

    A realistic end-to-end view maximises the likelihood of solution success All the functional and operational requirements are identified and

    quantified

    May 11, 2015 40

  • Achieving Alignment

    No doubt that business and IT alignment is necessary and worthwhile

    But What exactly does alignment mean?

    What are the goals of alignment?

    How can its success be assessed?

    What is needed to achieve it?

    May 11, 2015 41

  • Achieving Alignment

    Alignment requires enterprise-level commitment and decisions made at an enterprise-level

    Need enterprise business analysis context within which to operate

    Need enterprise business analysis framework where business model, objectives and processes are held

    May 11, 2015 42

  • Enterprise Business Analysis Capability Key Elements

    May 11, 2015 43

    Approach

    Consistent and repeatable

    approach to business analysis

    Quick and

    predictable results

    Top-down approach

    Framework

    End-to-end business

    definitions

    Cross-functional process view

    Business process

    inventory

    Teamwork

    Collaboration across and

    between teams

    Management commitment

    Mentoring and

    training

    Forum

    Quality assurance and control

    Information Management

    Tools and Techniques

    Governance and Management

    Information sharing and

    collaboration tools

    Information

    management processes

    Complete set of templates,

    artefacts, tools

    Consistent implementation

    and use

    Management commitment, funding and support

    Measurement and reporting

    Demand and resource management

  • Achieving Enterprise Business Analysis Capability

    Senior Commitment and Sponsorship Without this, the initiative will fail There must be a strong belief that the approach will work View that Enterprise Business Analysis represents a strategic asset Needed to overcome obstacles and setbacks

    Defined Vision Articulated goal of what is to be achieved

    Achievable Implementation Plan Financial and resource plan to achieve goals that is realistic and

    achievable

    Business Acceptance Target users of the service must accept the approach

    Skills and Experience Appropriately skilled and experienced team

    May 11, 2015 44

  • Summary

    Business and IT alignment needs real engagement and not just relationship management

    Enterprise Business Analysis capability provides a strategic approach to achieving business and IT alignment

    Projects Solutions

    Solutions Functionality

    Enterprise Business Analysis ensures a complete end-to-end view of solution delivery maximising success and return on investment

    May 11, 2015 45

  • May 11, 2015 46

    More Information

    Alan McSweeney

    http://ie.linkedin.com/in/alanmcsweeney