running it like a business – sample implementation plan
DESCRIPTION
Running IT Like a Business – Sample Implementation Plan. Top-down/Bottoms Up - A Data-Focused Approach -. Balanced Scorecard. Top-down provides: Mission, Vision and Value Scorecard/dashboard for overall performance Strategy development/communication Strategic metrics. - PowerPoint PPT PresentationTRANSCRIPT
20 April 2023/Unclassified 1Copyright BAE Systems 2010
Running IT Like a Business – Sample Implementation Plan
Element Content Responsibility Schedule 1 2 3 4 5 6 7 8
Single Statement Vision
Theme; Value Proposition; To Be Vision
Value Chain Diagram As Is vs Interim vs To Be; Visual business portrayal
Balanced Scorecard Flow from Org Goals; cascaded down with metrics template; 1 pgr format
Dashboard Systematized version of BSC
Process Maps More detailed value chain maps; detailed quarterly at mgmt reviews; internal and linked with contractors
Process Improvement Events
Prototype followed by full organizational deployment
Training/Staffing Plan
Base on activity skills gap analysis with ABM and current training program
Customer Communication Model
Customer content plan; include visions and improvement potential
SLA’s Initially develop interim report card; link with Vision; internal/external customers
Service Catalogue What’s being provided, quantification and metrics; simple & detailed versions
updates
2nd level
template working version
plan detailed maps
pilot
prototype updates
plan implementation
initial version
template
template completed
reviews
update
20 April 2023/Unclassified 2Copyright BAE Systems 2010
BalancedScorecard
ActivityAnalysis
ABM in concert with a scorecard yields
significant benefits*
– ABM supports improvements in operational efficiencies, whereas a scorecard supports a change in strategy
– Scorecards without activity-based models rely on error-prone allocations
* North American Survey reported in CMA Management
Top-down provides:• Mission, Vision and Value• Scorecard/dashboard for overall
performance• Strategy development/communication• Strategic metrics
Bottom-up provides:• Quantified activities, services, outputs• Unit & overall costs and consumption for
SLAs/chargebacks• Best practices & benchmarks comparisons• Operational metrics, target costs,
outsourcing comparisons and budgeting• Process maps and NVA• Process improvement initiatives and ROI• Workload/staffing rqmnts & responsibilities
Top-down/Bottoms Up- A Data-Focused Approach -
20 April 2023/Unclassified 3Copyright BAE Systems 2010
Example Activity Analysis Outputs
Budget or Ledger ViewFinancial Reporting, Budget Submittal, Corporate Financial Performance, Strategic Planning
Operational Metrics, Data for Operational Management, Operational Planning, NVA, Business Case Development, Benchmarks, Balanced Scorecard, Capacity Management, Employee Tasks/ Training Requirements
ABC/M View
Business Unit or Services ViewService Level Agreements, Chargebacks, Outsourcing Studies, Best Practices, Target Costing, Profitability, Driver Based Budgeting
20 April 2023/Unclassified 4Copyright BAE Systems 2010
Cost Driver Analysis of Non-Value Added Activity
Non-Value Added
Questionable
QuestionableNon-Value Added
Questionable
Questionable
Imp
ac
t
Ease of Implementation
LowHanging
Fruit
Don’t Bother
NVA/ProcessAnalysis
Lean Six SigmaImp
ac
t
Ease of Implementation
LowHanging
Fruit
Don’t Bother
NVA/ProcessAnalysis
Lean Six Sigma Cost Driver Analysis allows you to develop and map process improvement and transformation ideas
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Key Operational Performance Measures
Activity Cost Quality Time
Maintain Desktops $ to Maintain % Availability # Hrs to Maintain
Maintain Laptops $ to Maintain % Availability # Hrs to Maintain
Provide HelpDesk
Services
$ for Ticket % Resolved
# of Problems
# of Requests
Response Cycle Time
Maintain Network and
Printers
$ to Maintain % of Time Network is
Available
# Hrs to Maintain
Perform Moves,
Adds, and Changes
$ for Action % on Time # Hrs per Action
Resolve User
Problems
$ per Problem
# of Hrs Spent
User Survey Results
% Resolved
# Hrs Expended
Enterprise Level
(Total)
$ Average Cost/User % Network Available Cycle Time on Issue
Resolution
20 April 2023/Unclassified 6Copyright BAE Systems 2010
Sample Format
20 April 2023/Unclassified 7Copyright BAE Systems 2010
Linking Top-down With Bottoms-up
Top-Level Scorecard
Functional Area ABC/M Analyses
Strategic ObjectivesOverall Metrics/Performance
Operational Plans• Functional Scorecard• Improvement Initiatives• Costed products,
services and activities