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Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
Keynote hanssassenburg-2confcmmiportugal
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Keynote hanssassenburg-2confcmmiportugal

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Keynote: IT Portfolio Management: …

Keynote: IT Portfolio Management:
From Chaos to Transparency to Improvements - Dr. Hans Sassenburg (SBO / SEI)

Published in: Business, Economy & Finance
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  • 1. Portugal IT Portfolio Management:From Chaos to Transparency to Improvements Dr. Hans Sassenburg Software economist SBO / SEI 2012-07-06, Coimbra
  • 2. For Nienke! 2 2
  • 3. 3 3
  • 4. ContentsStep 1: InvestigateStep 2: Create TransparencyStep 3: Establish Improvements 4 4
  • 5. First Orientation: CTO Perspective Low impact on High business value Failure rates Frequent schedule and budget overruns 5 5
  • 6. First Orientation: PM Perspective Too many small, Poor data on low-value projects and projects portfolio Bad project prioritization 6 6
  • 7. First Orientation: Consultant Perspective Root Causes Symptoms Consequences Too many Low impact small, on low-value business Lack of projects value qualified resources Frequent Bad schedule and project budget prioritization overruns Immature management process Poor data on High projects and Failure portfolio rates 7 7
  • 8. ContentsStep 1: InvestigateStep 2: Create TransparencyStep 3: Establish Improvements 8 8
  • 9. Farming in the Swiss Alps … 9 9
  • 10. Livestock Management Food Market Veterinary Breed surgeon Acute Meat diseases Milk Pricing Buy Medicine Eggs Farm out Chronic Regulations Labour diseases 10 10
  • 11. Dimension 1: Type Food Market Veterinary Breed surgeon Acute Meat diseases Milk Pricing Buy Medicine Eggs Farm out Chronic Regulations Labour diseases 11 11
  • 12. Dimension 2: Value Food Market Veterinary Breed surgeon Acute Meat diseases Milk Pricing Buy Medicine Eggs Farm out Chronic Regulations Labour diseases 12 12
  • 13. Dimension 3: Risk Food Market Veterinary Breed surgeon Acute Meat diseases Milk Pricing Buy Medicine Eggs Farm out Chronic Regulations Labour diseases 13 13
  • 14. Dimension 4: Health Food Market Veterinary Breed surgeon Acute Meat diseases Milk Pricing Buy Medicine Eggs Farm out Chronic Regulations Labour diseases 14 14
  • 15. Dimension 5: Cost Food Market Veterinary Breed surgeon Acute Meat diseases Milk Pricing Buy Medicine Eggs Farm out Chronic Regulations Labour diseases 15 15
  • 16. In SummaryFor livestock management a set of 5 dimensions can bedistinguished:- Type- Value- Risk- Health- CostQuestions:1. Can this be applied to IT Portfolio Management?2. If yes, how can it be visualized in a powerful way? 16 16
  • 17. Question 1:Can IT Portfolio Management learn from livestock management? 17 17
  • 18. Yes!Livestock management IT Portfolio ManagementType (buy, breed, farm out) Asset type (make, buy, outsource)Value (meat, milk, eggs) Value (to the business)Risk (market, pricing, regulations) Risk (market, pricing, regulations)Health (acute, chronic diseases) Quality (reliability, maintainability)Cost (food, vet, medicine, labour) Cost (infra, helpdesk, labour) 18 18
  • 19. Question 2: How can transparency be visualized?Any creative ideas how to picture a portfolio with each element characterized by 5 dimensions? 19 19
  • 20. What about this?Dimension VisualizationAsset type Name: M(ake), B(uy), O(utsource)Value Y-axisRisk X-axisQuality Colour: Green -> Orange -> RedCost Size 20 20
  • 21. Example “Status Quo” Question:value What would be the ideal case? M1 B1 M2 B2 M4 M3 O2 O1 O3 risk 21 21
  • 22. Challenge …The most unknown dimension is probably quality, in this casebeing the reliability and maintainability of each IT-assetStrangely enough, it is the dimension that can be calculatedin an automated way, using the appropriate technology 22 22
  • 23. Tiobe Software BV (www.tiobe.com) 23 23
  • 24. ContentsStep 1: InvestigateStep 2: Create TransparencyStep 3: Establish Improvements 24 24
  • 25. Roadmap Development1. Assess current IT portfolio (5 dimensions)2. Choose approach – Fixed budget – Desired/required business value3. Establish strategy for next 3-5 years4. Identify measures for each asset5. Develop operational plan for coming year6. GIG 25 25
  • 26. Possible Measures Measure Clarification Keep Asset has value and performs well, no changes neededAsset has value, but ownership must be transferred Improve Asset has value, but needs improvement(s) like higher quality, lower risk and/or reduced cost Transfer: Phase-out Asset has no value, phase it out Replace Asset has value but cost and/or quality are so high that replacement is a better option than improvement Invest Asset has value, which can even be increased 26 26
  • 27. Example “Roadmap” Strategic goals: - Remove low value - Reduce high risk - Improve low quality - Reduce high cost 2012 2015 Avoided area Avoided area 27 27
  • 28. Example “Operational Plan 2013”value Invest Transfer + Improve M1 B1 Replace … Improve M2 B2 … M4 … Phase-out … M3 O2 O1 O3 risk 28 28
  • 29. Implementation … Remember … The only one who likes change is a wet baby ... 29 29
  • 30. Finally: Leadership Required … 30 30
  • 31. For Hans! 31 31

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