Solution Evaluation. Chapter Study Group Learning Materials

Transcription

1 Chapter Study Group Learning Materials 1

2 2015, International Institute of Business Analysis (IIBA ). Permission is granted to IIBA Chapters to use and modify this content to support chapter activities. All other rights reserved. 2

3 Study Session Schedule Session Date Chapters Topics 1 Jan 25 1 & 2 Introduction and BA Key Concepts 2 Feb 15 3 Business Analysis Planning and Monitoring 3 Mar 15 4 Elicitation and Collaboration 4 Apr 12 5 Requirements Life Cycle Management 5 May 17 6 Strategy Analysis 6 Jun 14 7 Requirements Analysis and Design Definition 7 Jul Sep 13 9 Underlying Competencies & Perspectives 9 Oct Techniques 10 Nov 1 11 Jeopardy Game and Mock Exam 3

4 AGENDA (6:00 6:20) Review of Chapter 7 RADD (20 minutes) (6:20 6:45) introduction and 8.1 Measure Solution Performance (25 minutes) (6:45 7:10) 8.2 Analyze Performance Measures (25 minutes) (7:10 7:35) 8.3 Assess Solution Limitations (25 minutes) (7:35 7:45) Break (10 minutes) (7:45 8:10) 8.4 Assess Enterprise Limitations (25 minutes) (8:10 8:35) 8.5 Recommend Actions to Increase Solution Value (25 minutes) (8:35 8:50) Group practice (15 minutes) 4

5 INTRODUCTION Chapter 8 of BABOK v3 Consists of tasks performed to: Determine how the performance of a solution will be assessed Assess solution performance to understand value delivered Investigate solution issues that may be leading to poor performance Investigate issues external to the solution that may be leading to poor performance Identify actions that can be taken to increase the value delivered by a solution 5

6 INTRODUCTION 6

7 INTRODUCTION 7

8 INTRODUCTION - APPLYING THE BUSINESS ANALYSIS CORE CONCEPT MODEL Core Concept Change Need Solution Stakeholder Value Context Usage in Recommend a change to either a solution or the enterprise in order to realize the potential value of a solution Evaluate how a solution or solution component is fulfilling the need Assess the performance of the solution, examine if it is delivering the potential value, if not determine why Elicit information from the stakeholders about solution performance and value delivery Determine if the solution is delivering the potential value and examine why value may not be being realized Consider the context in determining solution performance measures and any limitations within the context that may prohibit value from being realized 8

9 8.1 Measure Solution Performance 9

10 8.1 MEASURE SOLUTION PERFORMANCE Purpose Define performance measures. Evaluate the effectiveness of a solution in relation to the value the solution brings. Description Determines the value of a newly deployed or existing solution. Measurement depends on the solution: context and how the organization defines value. Solutions are evaluated based on: Exist: built-in performance measures Not exist: BA works with stakeholders to determine and collect the measures that will best reflect the performance of a solution. 10

11 8.1 MEASURE SOLUTION PERFORMANCE Description Performance may be assessed through the following: key performance indicators (KPI s) Project goals and objectives Process performance targets Tests for a software application 11

12 8.1 MEASURE SOLUTION PERFORMANCE 12

13 8.1 MEASURE SOLUTION PERFORMANCE Business Objectives Measureable results that the enterprise wants to achieve. Provides a benchmark against which solution performance can be assessed. 1. Inputs Implemented Solution (external) A solution (or component of a solution) that exists in some form: Operating solution Prototype Pilot or Beta 13

14 8.1 MEASURE SOLUTION PERFORMANCE 2. Elements Define Solution Performance Measures Business analysts determine if current measures exist, or if methods for capturing them are in place. Business analysts ensure that any existing performance measures are accurate, relevant and elicit any additional performance measures identified by stakeholders. Business goals, objectives, and business processes are common sources of measures. Performance measures may be influenced or imposed by third parties such as solution vendors, government bodies, or other regulatory organizations. 14

15 8.1 MEASURE SOLUTION PERFORMANCE 2. Elements Define Solution Performance Measures Type and nature of the measurements are considered when choosing the elicitation method. Type of solution performance measures depend on the value being measured: Quantitative Measures: Numerical, countable, or finite, usually involving amounts, quantities, or rates Qualitative Measures: subjective and can include attitudes, perceptions, and any other subjective response Can be both depending on the value being measured 15

16 8.1 MEASURE SOLUTION PERFORMANCE 2. Elements Validate Performance Measures Helps to ensure that the assessment of solution performance is useful. Business Analysts validate the performance measures and any influencing criteria with stakeholders. Performance measures should align with any higherlevel measures that exist within the context affecting the solution. The sponsor, or any stakeholder with decision-making authority, decides which measures are used to evaluate solution performance. 16

17 8.1 MEASURE SOLUTION PERFORMANCE 2. Elements Collect Performance Measures Business Analysts may facilitate discussions to estimate the qualitative measures/value realized by a solution by consulting with stakeholders knowledgeable about the operation and use of the solution. Business Analysts may consider the following when collecting quantitative performance measures: Volume or Sample Size: an appropriate sample size is selected. Too small may lead to inaccurate conclusions. Larger samples may not be practical to obtain. Frequency and Timing: frequency and timing with which measurements are taken may have an effect on the outcome Currency: measurements taken more recently tend to be representative than older data 17

18 8.1 MEASURE SOLUTION PERFORMANCE Change Strategy Strategy used or in use to implement the potential value. 3. Guidelines and Tools Future State Description Boundaries of the proposed new, removed, or modified components of the enterprise, and the potential value expected from the future state. Requirements (validated) A set of requirements that have been analyzed and appraised to determine their value. Solution Scope Solution boundaries to measure and evaluate. 18

19 8.1 MEASURE SOLUTION PERFORMANCE Acceptance and Evaluation Criteria Used to define acceptable solution performance. Benchmarking and Market Analysis Used to define measures and their acceptable levels. 4. Techniques Business Case Used to define business objectives and performance measures for a proposed solution. Data Mining Used to collect and analyze large amounts of data regarding solution performance. 19

20 8.1 MEASURE SOLUTION PERFORMANCE Decision Analysis Used to assist stakeholders in deciding on suitable ways to measure solution performance and acceptable levels of performance. 4. Techniques Focus Group Used to provide subjective assessments, insights, and impressions of a solution s performance. Metrics and Key Performance Indicators (KPIs) Used to measure solution performance. 20

21 8.1 MEASURE SOLUTION PERFORMANCE Non-functional Requirements Analysis Used to define expected characteristics of a solution. 4. Techniques Observation Used either to provide feedback on perceptions of solution performance or to reconcile contradictory results. Prototyping Used to simulate a new solution so that performance measures can be determined and collected. 21

22 8.1 MEASURE SOLUTION PERFORMANCE Survey or Questionnaire Used to gather opinions and attitudes about solution performance. Use Cases and Scenarios Used to define the expected outcomes of a solution. 4. Techniques Vendor Assessment Used to assess which of the vendor s performance measures should be included in the solution s performance assessment. 22

23 8.1 MEASURE SOLUTION PERFORMANCE Customer May be consulted to provide feedback on solution performance. 5. Stakeholders Domain Subject Matter Expert Person familiar with the domain who can be consulted to provide potential measurements. End User Contributes to the actual value realized by the solution in terms of solution performance. May be consulted to provide reviews and feedback on areas such as workload and job satisfaction. 23

24 8.1 MEASURE SOLUTION PERFORMANCE Project Manager Responsible for managing the schedule and tasks to perform the solution measurement. This role may not be required for operational solutions. 5. Stakeholders Sponsor Responsible for approving the measurements used to determine solution performance. May provide performance expectations. Regulator Internal or external group. Dictate or prescribe constraints and guidelines in solution performance measures. 24

25 8.1 MEASURE SOLUTION PERFORMANCE Solution Performance Measures Measures that provide information on how well the solution is performing or potentially could perform. 6. Outputs 25

26 8.2 Analyze Performance Measures 28

27 8.2 ANALYZE PERFORMANCE MEASURES Purpose Provide insights into the performance of a solution in relation to the value it brings. Description Interpret and derive meaning on measures collected from 8.1 Measure Solution Performance. Business Analysts require a thorough understanding of the potential value that stakeholders hope to achieve with the solution. Analyze by considering the variables: Goals and objectives of the enterprise Key performance indicators (KPIs) Level of risk of the solution Risk tolerance of both stakeholders and enterprise Other stated targets 29

28 8.2 ANALYZE PERFORMANCE MEASURES 30

29 8.2 ANALYZE PERFORMANCE MEASURES Potential Value Describe the value that may be realized by implementing the proposed future state. Can be used as a benchmark against which solution performance can be evaluated. 1. Inputs Solution Performance Measures Measures and provides information on how well the solution is performing or potentially could perform. 31

30 8.2 ANALYZE PERFORMANCE MEASURES 2. Elements Solution Performance vs. Desired Value Business Analysts examine the measures previously collected to assess the solutions ability to help stakeholders understand the solution s value: High performing solutions may contribute a lower value than expected Low performing, but potentially valuable, solutions may be enhanced to increase its performance If the measures are not sufficient to determine solution value, the business analysts can either collect more measurements or treat the lack of measures as a solution risk. 32

31 8.2 ANALYZE PERFORMANCE MEASURES Risks Performance measures may uncover new risks to solution performance and to enterprise. Identified and managed like any other risks. 2. Elements Trends A large enough sample size or collected data over a sufficient time period. Business analysts consider the time period when the data was collected to guard against anomalies and skewed trends. Pronounced and repeated trends are noted. 33

32 8.2 ANALYZE PERFORMANCE MEASURES 2. Elements Accuracy Essential to the validity of the analysis. Business analysts test and analyze the data collected by the performance measures to ensure their accuracy. Results of performance measures should be reproducible and repeatable. Performance Variances Difference between expected and actual performance. Considered when analyzing solution performance. Root cause analysis may be necessary to analyze the causes of the significant variances within a solution. 34

33 8.2 ANALYZE PERFORMANCE MEASURES Change Strategy Strategy used or is in use to implement the potential value. 3. Guidelines and Tools Future State Description Boundaries of the proposed new, removed, or modified components of the enterprise, and the potential value expected from the future state. Risk Analysis Results Overall level of risk and the planned approach to modifying the individual risks. Solution Scope Solution boundaries to measure and evaluate. 35

34 8.2 ANALYZE PERFORMANCE MEASURES Acceptance and Evaluation Criteria Used to define acceptable solution performance. Degree of variance from these criteria will guide the analysis of that performance. 4. Techniques Benchmarking and Market Analysis Used to observe the results of other organizations employing similar solutions when assessing risks, trends, and variances. Data Mining Used to collect data regarding performance, trends, common issues, and variances from expected performance levels and understand patterns and meaning in that data. 36

35 8.2 ANALYZE PERFORMANCE MEASURES Interviews Used to determine expected value of a solution and its perceived performance from an individual or small group s perspective. 4. Techniques Metrics and KPIs Used to analyze solution performance, especially when judging how well a solution contributes to achieving goals. Observation Used to observe a solution in action if the data collected does not provide definitive conclusions. 37

36 8.2 ANALYZE PERFORMANCE MEASURES Risk Analysis and Management Used to identify, analyze, develop plans to modify the risks, and to manage the risks on an ongoing basis. 4. Techniques Root Cause Analysis Used to determine the underlying cause of performance variance. Survey or Questionnaire Used to determine expected value of a solutions and its perceived performance. 38

37 8.2 ANALYZE PERFORMANCE MEASURES Domain Subject Matter Expert Identifies risks and provide insights into data for analyzing solution performance. 5. Stakeholders Project Manager Responsible for overall risk management and may participate in risk analysis for new or changed solutions in a project. Sponsor Identifies risks, provide insights into data and the potential value of a solution. Make decisions about the significance of expected versus actual solution performance. 39

38 8.2 ANALYZE PERFORMANCE MEASURES Solution Performance Analysis Results of the analysis of measurements collected. Recommendations to solve performance gaps. Leverage opportunities to improve value. 6. Outputs 40

39 8.3 Assess Solution Limitations 43

40 8.3 ASSESS SOLUTION LIMITATIONS Purpose Determine the factors internal to the solution that restrict the full realization of value. Description Identifies the root causes for under-performing and ineffective solutions and solution components. Closely linked to the task 8.4 Assess Enterprise Limitations. Focuses on the assessment of the internal factors that is limiting the solution s value or potential value. 44

41 8.3 ASSESS SOLUTION LIMITATIONS 45

42 8.3 ASSESS SOLUTION LIMITATIONS Implemented Solution (external) An existing solution. May or may not be operational (i.e. prototype). Must be in use in some form to be evaluated. 1. Inputs Solution Performance Analysis Results of the analysis of measurements collected. Recommendations to solve for performance gaps. Leverage opportunities to improve value. 46

43 8.3 ASSESS SOLUTION LIMITATIONS Identify Internal Solution Component Dependencies Business analysts identify solution components which have dependencies on other solution components, and determine if any of those limit solution performance and value realization. 2. Elements Investigate Solution Problems Performed to identify the source of the problem. Conducted when the solution is consistently or repeatedly producing ineffective outputs. Business analysts identify problems by examining instances where the outputs from the solution are below an acceptable level of quality or where the potential value is not being realized. 47

44 8.3 ASSESS SOLUTION LIMITATIONS 2. Elements Impact Assessment Business analysts review identified problems to assess the effect they may have on the operation of the organization or the ability of the solution to deliver its potential value. Determine the severity of the problem, the probability of the reoccurrence of the problem, the impact on the business operations, and the capacity of the business to absorb the impact. Business analysts identify which problems must be resolved, mitigated, or which accepted. Include additional quality control measures, new or adjusted business processes, or additional support for exceptions to the desired outcome. Risk assessment is specific to the solution and its limitations. 48

45 8.3 ASSESS SOLUTION LIMITATIONS Change Strategy Strategy used or in use to implement the potential value. 3. Guidelines and Tools Risk Analysis Results Overall level of risk and the planned approach to modifying the individual risks. Solution Scope Solution boundaries to measure and evaluate. 49

46 8.3 ASSESS SOLUTION LIMITATIONS Acceptance and Evaluation Criteria Used to indicate the level at which acceptance criteria are met or anticipated to be met by the solution. To identify criteria that are not met by the solution. 4. Techniques Benchmarking and Market Analysis Used to assess if other organizations are experiencing the same solution challenges and, if possible, determine how they are addressing it. Business Rules Analysis Used to illustrate the current business rules and the changes required to achieve the potential value of the change. 50

47 8.3 ASSESS SOLUTION LIMITATIONS Data Mining Used to identify factors constraining performance of the solution. 4. Techniques Decision Analysis Used to illustrate the current business decisions and the changes required to achieve the potential value of the change. Interviews Used to help perform problem analysis. Item Tracking Used to record and manage stakeholder issues related to why the solution is not meeting the potential value. 51

48 8.3 ASSESS SOLUTION LIMITATIONS Lessons Learned Used to determine what can be learned from the inception, definition, and construction of the solution to have potentially impacted its ability to deliver value. 4. Techniques Risk Analysis and Management Used to identify, analyze, and manage risks, as they relate to the solution and its potential limitations, that may impede the realization of potential value. Root Cause Analysis Used to identify and understand the combination of factors and their underlying causes that led to the solution being unable to deliver its potential value. 52

49 8.3 ASSESS SOLUTION LIMITATIONS Survey or Questionnaire Used to help perform problem analysis. 4. Techniques 53

50 8.3 ASSESS SOLUTION LIMITATIONS Customer Ultimately affected by the solution. Has an important perspective on the solution s value. May be consulted to provide reviews and feedback. 5. Stakeholders Domain Subject Matter Expert Provides input into how the solution should perform and identifies potential limitations to value realization. 54

51 8.3 ASSESS SOLUTION LIMITATIONS 5. Stakeholders End User Uses the solution or a component of the solution. Contributes to the actual value realized by the solution in terms of solution performance. May be consulted to provide reviews and feedback on areas such as workload and job satisfaction. Regulator A person whose organization needs to be consulted about planned and potential value of a solution. This person s organization may constrain the solution, the degree to which actual value is realized, or when actual value is realized. 55

52 8.3 ASSESS SOLUTION LIMITATIONS 5. Stakeholders Sponsor Responsible for approving the potential value of the solution. Responsible for providing resources to develop, implement and support the solution. Responsible for directing enterprise resources to use the solution. Responsible for approving a change to potential value. Tester Responsible for identifying solution problems during construction and implementation; not often used in assessing an existing solution outside of a change. 56

53 8.3 ASSESS SOLUTION LIMITATIONS Solution Limitation Description of the current limitations of the solution including constraints and defects. 6. Outputs 57

54 8.4 Assess Enterprise Limitations 60

55 8.4 ASSESS ENTERPRISE LIMITATIONS Purpose Determine how factors external to the solution are restricting value realization. Description Identifies root causes and describes how enterprise factors limit value realization. Enterprise limitations may include factors such as culture, operations, technical components, stakeholder interests, or reporting structures. Assessment may be performed at any point during the solution cycle and the assessment activities are similar and require the same skills. Assessment may occur on a solution component during its development or on a completed solution prior to full implementation. Assessment may occur on an existing solution that is currently working within an organization. 61

56 8.4 ASSESS ENTERPRISE LIMITATIONS Description Note that solutions operate across various organizations within an enterprise, and therefore have many interactions and interdependencies. Solutions may depend on environmental factors that are external to the enterprise. 62

57 8.4 ASSESS ENTERPRISE LIMITATIONS 63

58 8.4 ASSESS ENTERPRISE LIMITATIONS Current State Description Current internal environment of the solution including the environmental, cultural, and internal factors influencing the solution limitations. 1. Inputs Implemented (or Constructed) Solution (external) An existing solution. May or may not be operational (i.e. prototype). Must be in use in some form to be evaluated. Solution Performance Analysis Results of the analysis of measurements collected. Recommendations to solve for performance gaps. Leverage opportunities to improve value. 64

59 8.4 ASSESS ENTERPRISE LIMITATIONS 2. Elements Enterprise Culture Assessment Enterprise culture is defined as the deeply rooted beliefs, values, and norms shared by the members of an enterprise. While these beliefs and values may not be directly visible, they drive the actions taken by an enterprise. Business analysts perform cultural assessments to: Identify whether or not stakeholders understand the reasons why a solution exists Ascertain whether or not the stakeholders view the solution as something beneficial and are supportive of the change Determine if and what cultural changes are required to better realize value from a solution. 65

60 8.4 ASSESS ENTERPRISE LIMITATIONS 2. Elements Enterprise Culture Assessment Involves evaluating the extent to which the enterprise culture can accept a solution: Cultural adjustments are needed to support the solution Assessment is used to judge the enterprise's ability and willingness to adapt to these cultural changes Business analysts evaluate internal and external stakeholders to: Gauge understanding and acceptance of the solution Assess perception of value and benefit from the solution Determine what communication activities are needed to ensure awareness and understanding of the solution 66

61 8.4 ASSESS ENTERPRISE LIMITATIONS Stakeholder Impact Analysis Provides insight into how the solution affects a particular stakeholder group. 2. Elements Business analysts consider: Functions, Locations, and Concerns Functions: the processes in which the stakeholder uses the solution, which include inputs a stakeholder provides into the process, how the stakeholder uses the solution to execute the process, and what outputs the stakeholder receives from the process Locations: geographic locations of the stakeholders interacting with the solution. If the stakeholders are in disparate locations, it may impact their use of the solution and the ability to realize the value of the solution Concerns: the issues, risks, and overall concerns the stakeholders have with the solution. This may include the use of the solution, the perceptions of the value of the solution, and the impact the solution has on a stakeholder s ability to perform necessary functions. 67

62 8.4 ASSESS ENTERPRISE LIMITATIONS 2. Elements Organizational Structure Changes Assess how the organization s structure is impacted by a solution. Business analysts would consider the following: Use of a solution and the ability to adopt a change can be enabled or blocked by formal and informal relationships among stakeholders Reporting structure may be too complex or too simple to allow a solution to perform effectively The organizational hierarchy supporting the solution is a key activity. Informal relationships within an organization, whether alliances, friendships, or matrix-reporting impact the ability of a solution to deliver potential value 68

63 8.4 ASSESS ENTERPRISE LIMITATIONS 2. Elements Operational Assessment Determines if an enterprise is able to adapt to or effectively use a solution. This identifies which processes and tools within the enterprise are adequately equipped to benefit from the solution, and if sufficient and appropriate assets are in place to support it. Business analysts consider the following: Policies and procedures Capabilities and processes that enable other capabilities Skill and training needs Human resources practices Risk tolerance and management approaches Tools and technology that support a solution 69

64 8.4 ASSESS ENTERPRISE LIMITATIONS Business Objectives Considered when measuring and determining solution performance. Change Strategy Used or in use to implement the potential value. 3. Guidelines and Tools Future State Description Boundaries of the proposed new, removed, or modified components of the enterprise, as well as the potential value expected from the future state. Risk Analysis Results The overall level of risk and the planned approach to modifying the individual risks. 70

65 8.4 ASSESS ENTERPRISE LIMITATIONS Solution Scope The solution boundaries to measure and evaluate. 3. Guidelines and Tools 71

66 8.4 ASSESS ENTERPRISE LIMITATIONS Benchmarking and Market Analysis Used to identify existing solutions and enterprise interactions. 4. Techniques Brainstorming Used to identify organizational gaps or stakeholder concerns. Data Mining Used to identify factors constraining performance of the solution. 72

67 8.4 ASSESS ENTERPRISE LIMITATIONS Decision Analysis Used to assist in making an optimal decision under conditions of uncertainty. Used in the assessment to make decisions about functional, technical, or procedural gaps. 4. Techniques Document Analysis Used to gain an understanding of the culture, operations, and structure of the organization. Interviews Used to identify organizational gaps or stakeholder concerns. 73

68 8.4 ASSESS ENTERPRISE LIMITATIONS Item Tracking Used to ensure that issues are not neglected or lost and that issues identified by assessment are resolved. 4. Techniques Lessons Learned Used to analyze previous initiatives and the enterprise interactions with the solutions. Observation Used to witness the enterprise and solution interactions to identify impact. 74

69 8.4 ASSESS ENTERPRISE LIMITATIONS Organizational Modelling Used to ensure the identification of any required changes to the organizational structure that may have to be addressed. 4. Techniques Process Analysis Used to identify possible opportunities to improve performance. Process Modelling Used to illustrate the current business processes and/or changes that must be made in order to achieve the potential value of the solution. 75

70 8.4 ASSESS ENTERPRISE LIMITATIONS 4. Techniques Risk Analysis and Management Used to consider risk in the areas of technology, finance, and business. Technology: if the selected technological resources provide required functionality. Finance: if costs could exceed levels that make the change salvageable. Business: if the organization will be able to make the changes necessary to attain potential value from the solution. Roles and Permissions Matrix Used to determine roles and associated permissions for stakeholders, as well as stability of end users. 76

71 8.4 ASSESS ENTERPRISE LIMITATIONS Root Cause Analysis Used to determine if the underlying cause may be related to enterprise limitations. 4. Techniques Survey or Questionnaire Used to identify organizational gaps or stakeholder concerns. SWOT Analysis Used to demonstrate how a change will help the organization maximize strengths and minimize weaknesses. Used to assess strategies developed to respond to identified issues. 77

72 8.4 ASSESS ENTERPRISE LIMITATIONS Workshops Used to identify organizational gaps or stakeholder concerns. 4. Techniques 78

73 8.4 ASSESS ENTERPRISE LIMITATIONS Customer Directly purchasing or consuming the solution. May interact with the organization in the use of the solution. 5. Stakeholders Domain Subject Matter Expert Provides input into how the organization interacts with the solution and identifies potential limitations. End User Uses the solution or a component of the solution. Users could be customers or people who work within the organization. 79

74 8.4 ASSESS ENTERPRISE LIMITATIONS 5. Stakeholders Regulator One or many governmental or professional entities that ensure adherence to laws, regulations, or rules; may have unique input to the organizational assessment, as relevant regulations must be included in the requirements. There may be laws and regulations that must be complied with prior to (or as a result of) a planned or implemented change. Sponsor Authorizes and ensures funding for a solution delivery. Champions action to resolve problems identified in the organizational assessment. 80

75 8.4 ASSESS ENTERPRISE LIMITATIONS Enterprise Limitation Description of the current limitations of the enterprise including how the solution performance is impacting the enterprise. 6. Outputs 81

76 8.5 Recommend Actions to Increase Solution Value 84

77 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Purpose Understand the factors that create differences between potential value and actual value, and to recommend a course of action to align them. Description Focuses on understanding the aggregate of the performed assessments (i.e. measure, analyze, determine causes of unacceptable solution performance) and identifying alternatives and actions to improve solution performance and increase value realization. Recommendations generally identify how a solution should be replaced, retired, or enhanced. Consider long-term effects and contributions of the solution to stakeholders. May include recommendations to adjust the organization to allow for maximum solution performance and value realization. 85

78 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 86

79 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Enterprise Limitation Description of the current limitations of the enterprise including how the solution performance is impacting the enterprise. 1. Inputs Solution Limitation Description of the current limitations of the solution including constraints and defect. 87

80 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 2. Elements Adjust Solution Performance Measures Analysis effort to identify and define more appropriate measures may be required. Applicable for cases where the performance of a solution is considered acceptable but may not support the fulfillment of business goals and objectives. Recommendations Recommendations often describe ways to increase solution performance, this is not always the case. Depending on the reason for lower than expected performance, it may be reasonable to take no action, adjust factors that are external to the solution, or reset expectations for the solution. 88

81 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 2. Elements Recommendations Examples of recommendations that a business analyst may make: Do Nothing: usually recommended when the value of a change is low relative to the effort required to make the change, or when the risks of change significantly outweigh the risks of remaining in the current state. It may also be impossible to make a change with the resources available or in the allotted time frame 89

82 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 2. Elements Recommendations Additional examples of recommendations that a business analyst may make: Organizational Change: a process and set of tools for managing attitudes about, perceptions of, and participation in the change related to the solution. Possible recommendations that relate to organizational change include: Automating or simplifying the work people perform. Relatively simple tasks are prime candidates for automation. Additionally, work activities and business rules can be reviewed and analyzed to determine opportunities for re-engineering, changes in responsibilities, and outsourcing. Improving access to information. Change may provide greater amounts of information and better quality of information to staff and decision makers. 90

83 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 2. Elements Recommendations Additional examples of recommendations that a business analyst may make: Reduce Complexity of Interfaces: interfaces are needed whenever work is transferred between systems or between people to improve understanding Eliminate Redundancy: different stakeholder groups may have common needs that can be met with a single solution, reducing the cost of implementation Avoid Waste: the aim of avoiding waste is to completely remove those activities that do not add value and minimize those activities that do not contribute to the final product directly 91

84 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 2. Elements Recommendations Additional examples of recommendations that a business analyst may make: Identify Additional Capabilities: solution options may offer capabilities to the organization above and beyond those identified in the requirements. In many cases, these capabilities are not of immediate value to the organization but have the potential to provide future value, as the solution may support the rapid development or implementation of those capabilities if they are required (for example, a software application may have features that the organization anticipates using in the future) 92

85 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 2. Elements Recommendations Additional examples of recommendations that a business analyst may make: Retire the Solution: consider to replace a solution or solution component: technology has reached the end of its life, services are being insourced or outsourced, or the solution is not fulfilling the goals for which it was created. Some additional factors that may impact the decision regarding the replacement or retirement of a solution include: Ongoing cost versus initial investment: it is common for the existing solution to have increasing costs over time, while alternatives have a higher investment cost upfront but lower maintenance costs. Opportunity cost: represents the potential value that could be realized by pursuing alternative courses of action 93

86 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE 2. Elements Recommendations Additional examples of recommendations that a business analyst may make: Retire the Solution: Some additional factors that may impact the decision regarding the replacement or retirement of a solution include: Necessity: most solution components have a limited lifespan (due to obsolescence, changing market conditions, and other causes). After a certain point in the life cycle it will become impractical or impossible to maintain the existing component Sunk cost: describes the money and effort already committed to an initiative. This investment cannot be recovered, it is effectively irrelevant when considering future action. Decisions should be based on the future investment required and the future benefits that can be gained. 94

87 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Business Objectives Considered in evaluating, measuring, and determining solution performance. 3. Guidelines and Tools Current State Description Provides the context within which the work needs to be completed. Can be used to assess: Alternatives Better understand the potential increased value that could be delivered Help highlight unintended consequences of alternatives that may otherwise remain undetected 95

88 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Solution Scope Solution boundaries to measure and evaluate. 3. Guidelines and Tools 96

89 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Data Mining Used to generate predictive estimates of solution performance. 4. Techniques Decision Analysis Used to determine the impact of acting on any of the potential value or performance issues. Financial Analysis Used to assess the potential costs and benefits of a change. 97

90 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Focus Groups Used to determine if solution performance measures need to be adjusted and used to identify potential opportunities to improve performance. 4. Techniques Organizational Modelling Used to demonstrate potential change within the organization's structure. Prioritization Used to identify relative value of different actions to improve solution performance. 98

91 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Process Analysis Used to identify opportunities within related processes. Risk Analysis and Management Used to evaluate different outcomes under specific conditions. 4. Techniques Survey or Questionnaire Used to gather feedback from a wide variety of stakeholders to determine: If value has been met or exceeded If the metrics are still valid or relevant in the current context What actions might be taken to improve the solution 99

92 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Customer Directly purchasing or consuming the solution. May interact with the organization in the use of the solution. 5. Stakeholders Domain Subject Matter Expert Provides input into how to change the solution and/or the organization in order to increase value. End User Uses the solution or who are a component of the solution. Users could be customers or people who work within the organization. 100

93 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Regulator One or many governmental or professional entities that ensure adherence to laws, regulations, or rules. Relevant regulations must be included in the requirements. 5. Stakeholders Sponsor Authorizes and ensures funding for implementation of any recommended actions. 101

94 8.5 RECOMMEND ACTIONS TO INCREASE SOLUTION VALUE Recommended Actions Recommendation of what should be done to improve the value of the solution within the enterprise. 6. Outputs 102

95 HOMEWORK Think of performance measures used at your job, how do they align to the business objectives of the organization? If a measure does not align to the business objectives, how effective is the measure? How do you make sure that measures used are aligned with the objectives? How does your company collect qualitative measures? E.g., customer satisfaction, quality of service Please give an example. 103