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Value-Driven BPM and SOA
Lessons Learned from a Leader in Marketing Services
Mike KavisChief Technology Officer
Jimmy ChouManaging Consultant
Agenda
Business Landscape1
The Project2
Initial Lessons Learned3
Success?4
Additional Lessons Learned5
Questions & Answers6
Business Landscape
80
100
120
140
160
180
200
220
1996 1997 1998 1999 2000 2001 2002 2003
Company revenues
Distribution store penetration
Other measure
Historical revenue growth was driven by adding distribution stores…
Other measure
Other measure
Other measure
Other measure
$(M)
0
20
40
60
80
100
1935 1945 1955 1965 1975 1985 1995
Channel’s share peaked here…
…dropped substantially by 2004
%
…but, the primary distribution channel was losing share of its consumer’s pockets
2004
Company founded near the peak…
Legacy technology Complex legacy technology and processes
For illustration purposes only
Overworked Frustrated
“The operations are the same as they were 20 years ago.”
– Customer
“$50 million opportunity!”– Sales
The Project
• Strategic
• Operational
• Financial
Project Objectives Across Three Dimensions
…nothing magical about the objectives. The key was that the objectives and measures of success were all business and customer oriented.
Top Down
Outside In
Bottoms Up
Value
• Business strategy
and objectives
• Future state vision
• 9 Voice of customer
interviews
• Detailed current
state process analysis
• 34 SME interviews
Business Portfolio
Alignment
Gap Analysis & New
Profitability Model
Opportunity Prioritization
“Forward Thinking with Alignment” “Build the Right Thing”
Project Approach
Key findings…
Changes, Decisions
Initial Lessons Learned
Focus on Value
Business and IT Alignment
Success?
Not so fast. It’s still a long road ahead…
Sell this guy!
Cover governance early
"People don't hate change, they hate how you are trying to change them" –Michael T. Kanazawa
Additional Lessons Learned
Success requires a Great Leader and Great Execution
Reassess Incentives
Re-Evaluate the Organization
Same People+
Same Process+
New Technology=
Same Mess
Reassess Incentives
Communicate all the time,
using the right communication vehicle for the right audience
Questions & Answers
