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  1. 1. Improving IT-Strategy-Alignment and Requirements Engineering with a Multi-Dimensional Business Value Workshop "Requirements Prioritization for customer-oriented Software- Development" RePriCo '10 Andreas Rusnjak, MBA Essen, 29.06.2010 Business Information Technology Christian-Albrechts-Universität zu Kiel, D-24118 Kiel aru@informatik.uni-kiel.de | http://www.bit.siamoa.net
  2. 2. About me Master Degree in Business Administration Diploma Degree in Economics Working Experience in Business Founding & Development • Jobscout24.de, flyerwire.de, scovilla.de, Caban AG, suryalogics GmbH, … Key Areas • Business Modeling • Strategy- & Business Development • Management of Critical Success Factors
  3. 3. Research: Big Picture Critical Success Vision Factors Strategies Requirements Tactics Engineering Project Management Business Process Company Management Success Business Value
  4. 4. Agenda • About Business Value • Failure of Software Projects • Multidimensional Business Value Model • Conclusion • Vision "ePoint"
  5. 5. ABOUT BUSINESS VALUE
  6. 6. Findings in Business Value Research • Little or no empirical Research in eCommerce BV • Useful Insights coming from IT-BV • "BV delivers an Advantage to an Organization" • Other terms • Net Present Value of after Tax-Cash-Flows • … broad Concept that refers to any Measures of Worth • Including • financial Aspects (e.g. income, costs, profit) • non-financial Aspects (e.g. market share, image, satisfaction) • BV = f(cost, time, functionality, quality) [MA08, PA08, TO07, WW03, Ag09]
  7. 7. Findings in Business Value Research • BV • … tends to be qualitative "quantitative on project level…" … measurement over the whole Organization is very difficult • … tends to be Subjective "I value something if it makes me feel good" • … sources of BV drive Requirements Prioritization "different people consider different things valuable" • … should be driven by the Vision of the Organization • … requiring Input from a Range of Stakeholder [RA09]
  8. 8. FAILURE OF SOFTWARE PROJECTS
  9. 9. Failure of Software Projects ca. 50 - 80%* of IT-Projects are failing! *partial or complete failures [Fr03]
  10. 10. Failure Factors of Software Projects Ambiguous Insufficient Poor Objectives Planning Communication Insufficient Different Ideals Unrealistic Leadership/ and Goals of Goals Management involved Stakeholder Unclear Stakeholder Incomplete References not adequately Requirements to Strategy involved [Mc09]
  11. 11. SPLIT BUSINESS VALUE INTO DOMAIN VALUES
  12. 12. Influence to Business Government Technology Company Competition Employees Environment Society Management Vision/ Supplier Customers Mission Shareholder Strategy/ Tactics Goals/ Objectives Processes/ Projects Success [RE09]
  13. 13. Linking Domain Values to Business Value Vision, Mission, Corporate Culture/ Governance, Strategic Domain Shareholder, Cooperation, Company Mergers and Acquisitions, Domain Value Government, Associations, etc. Stakeholder (e.g. Customers, Tactical Suppliers, Employees, Departments, Competitors, Environment Domain Domain Business etc.), Market, Trends, etc. Value Value Processes, Technology, Quality Management, Operative Domain Product Management, Technology Value Service, Fulfillment, Domain Architecture, etc.
  14. 14. First approach of a Meta Model
  15. 15. CONCLUSION
  16. 16. This model focuses failure factors … Ambiguous Insufficient Poor Objectives Planning Communication Insufficient Different Ideals Unrealistic Leadership/ and Goals of Goals Management involved Stakeholder Unclear Stakeholder References not adequately Incomplete to Strategy involved Requirements [Mc09]
  17. 17. … and can lead to • … a better IT-Strategy-Alignment • … a better performance measurement • … a better communication between stakeholder • … a better understanding of stakeholder's intentions • … more complete Requirements
  18. 18. Open Questions … • … there's no general formula for • Business Value • Domain Values • … and no structure to show Ideals/ Motivation Validation with Case Studys Discussions in Science Interviews with Domain Experts
  19. 19. VISION ePOINT
  20. 20. ePOINT • Enhanced Performance Oriented i* Notation Tool • Goal-oriented "Early" Requirements Engineering • Integration of Critical Success Factors • Integration of Multi-Domain Roles/ View • Strategic view • Tactical view • Development of a • Performance Indicator System • Domain-/ Business-Value System [Yu09]
  21. 21. Strategic Relationale Model "eTravel"
  22. 22. Thank you for your attention! QUESTIONS?
  23. 23. References [Ag09] Agile Alliance: The Impact of Agile Processes on Requirements Engineering; http://www.agilealliance.org/system/article/file/906/file.pdf (Access date: 18.11.2009) [Fr03] Freese, Robert: Project Success and Failure: What is Success, what is failure, and how can you improve your odds for success?; online from: http://www.umsl.edu/~sauterv/analysis/6840_f03_papers/frese/; (Access date: 27.06.2010) [MA08] Mahmood M.-A.; Gemoets, L.; Hall, L.-L.; Lopez, F.-J.; Mariadas, R. (2008): Measuring E-Commerce Technology Enabled Business Value: An Exploratory Research; International Journal of E-Business Research, Vol. 4, Issue 2, IGI Global; http://www.infosci-journals.com/downloadPDF/pdf/ITJ4209_ICYdW2bbcf.pdf (Access date: 07.09.2009) [Mc09] McLaughlin, Stephen: The imperatives of e-business: case study of a failed project; Journal Of Business Strategy Vol. 30 No. 1 (2009), Emerald Group Publishing Limited [Pa08] Patton, J.: Ambiguous Business Value Harms Software Products. In Software, IEEE, 2008, 25; S. 50–51 [RA09] Racheva, Z.; Daneva, M.; Sikkel, K.: Value Creation by Agile Projects: Methodology or Mystery? In Product-Focused Software Process Improvement, 2009, 32; S. 141–155 [RE09] Rusnjak, A.; El Kharbili, M.: On Leveraging Business Processes to deal with Critical Success Factors. Workshop on Business Process Modeling and Realization, Informatik 2009, Luebeck, Germany, 2009 [TO07] Tosic, Vladimir; Suleiman, Basem; Babar, Abdul: Specification of Business Value with and in Software Patterns; 2007; http://patterns-wg.fuka.info.waseda.ac.jp/SPAQU/proceedings/20-TosicSuleimanBabar-SPAQu07-Final.pdf (Access date: 18.09.2009) [WW03] Williams, Steve; Williams, Nancy: The Business Value of Business Intelligence, 2003; http://www.decisionpath.com/docs_downloads/BIJarticle.pdf (Access date: 17.09.2009) [Yu09] Yu, Eric: i* an agent oriented modelling framework; Toronto; from: http://www.cs.toronto.edu/km/istar/, 2009; Access date: 08.04.2009
  24. 24. BACKUP

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