Better Information Management for Improved Productivity
1. Presented April 27, 2011
Better Information Management
for Improved Productivity,
Even Across Time Zones
In association with: Presented by:
2. About AIIM
AIIM is the community that provides education, research, and best
practices to help organizations find, control, and optimize their information.
As a neutral and unbiased source of information, AIIM serves the needs of
its members and the industry through the following activities:
Market Education Peer Networking
Professional Development Industry Advocacy
Learn more about AIIM at www.aiim.org
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3. About AIIM
www.aiim.org Join the conversation now at
www.aiim.org/community
For intelligent
focusing on ERM, Capture,
information management
Enterprise 2.0 & SharePoint
www.aiim.org/training www.aiim.org/members
Check out your member benefits
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4. AIIM Presents:
Better Information Management for Improved
Productivity, Even Across Time Zones
Peggy Winton – Vice President, AIIM
Nathaniel Palmer – Principal and Chief BPM Strategist, SRA Int’l
Michael Theis – Solution Development Representative, Iron Mountain
In association with: Presented by:
5. Introducing our Featured Speaker
Nathaniel Palmer
Principal and Chief BPM Strategist, SRA Int’l
Executive Director,
Workflow Management Coalition
Editor-in-Chief, BPM.com
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6. Information Volumes
“The summation of human experience
5 exabytes of new information is being expanded at a prodigious rate,
growing at 30% annually and the means we use for threading
through the consequent maze to the
Print, film, magnetic, and optical
momentarily important item is the
storage media same as was used in the days of
92% of the new information was square-rigged ships.”
stored on magnetic media, mostly in
hard disks. Bush, V. “As we May Think,” The Atlantic Monthly, July 1945
30% Growth Rate
5 exabytes = 500,000 Library of 2,500
Congress print collections.
This is what 30%
The United States produces about 2,000
annual growth
40% of the world's new stored looks like.
information 1,500 Doubles every
2.64 Years
US is under 5% of world population)
33% of the world's new printed 1,000
information
500
50% of the information stored on
magnetic media.
0
Source: Lyman, Peter and Hal R. Varian, "How Much Information” 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
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7. The Cost of Access Latency
Business Business-relevant
Value Event occurs
Value lost
through Event-Related
latency Information
Found
Analysis of
information Action taken
Data Analysis Decision
Latency Latency Latency Time
Infrastructure
Latency
Reaction
Time
Source: Adapted from zur Muehlen, M. (2008) and Hackathorn, R. (2002)
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9. Prioritizing Process
Improvement Candidates
The key evaluation criteria used during an analysis: Strategic Importance - how core should the
process be to the business and Process Performance - how well is this process executed
Strategic Importance Process Performance
• How well should the process differentiate the • How well is the process performed - using success metrics
Differentiation Quality
business from it’s competitors? determined by our company?
• How key is the process in supporting key • How well does the process support business goals?
elements of differentiation in the marketplace? • Does this process spawn other issues/problems in related
• How pivotal is this process to the business processes?
success?
• How important is the process in the overall • How much does it cost in resources, material, systems, and
Supply Chain Cost
execution of the Supply Chain? time to complete the process?
• How does process directly impact the • How does this compare to internal and external common
relationship with suppliers? practices?
• Are costs just a cost of doing business vs inefficiency?
• How important is the process in the support of
Demand Chain
the Demand Chain? • Is the process executed in an efficient manner consistently?
Efficiency
• How important is process to customer • Does this process involve redundant tasks?
satisfaction and loyalty? • Are there practical improvements that are evident in the
process?
• What is the relative competitive value created • How well can the process respond to changes to your
Competitive Responsiveness
from the execution of this process? business internally (e.g. changing workforce) and externally
Value
• Can the process provide a competitive (e.g. managing customer needs)?
advantage?
• Does this process lend itself to innovative
Innovation • How well is knowledge captured, stored, and shared within
improvements? Knowledge
• Can this process help drive or support the process?
Management
innovation in the company? • How well is knowledge utilized by process executors?
• How critical is internal specific knowledge to the • How well is the IT component of the process executed? Are
Knowledge IT
process? there bugs, need for workarounds?
Requirements Infrastructure
• How specialized is this knowledge? • Is the IT infrastructure utilized to its full capability?
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11. Improvement Starts at Home:
Picking the Right Internal Process
Start With Processes That Lack Rigid Definition
and Offer Broad-Reaching Exposure
Why hasn’t it already been addressed?
Seek Manual, Paper-Intense, Ad Hoc, Inconsistency
How many forms/documents are involved?
Ensure Substantial Value to Existing Objectives
Do changes map directly to
key organizational objectives
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12. Common IM Project Pitfalls to Avoid
Failure to line up executive sponsorship
Avoid the path of least resistance
Caving in to history rather than focusing on the future
Change is necessary to optimization
Getting stuck in “analysis paralysis”
Go with good enough and then fine tune from there
Focusing on “seconds saved” rather than building ROI
around tangible business benefits
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13. Today’s Information Management
Reality
IM Offers Significant Payback Possibilities
Market Has Matured but Still in Early-Majority Stage
Everyone Is Still Learning (Few Invest in Education)
Deploy It & They Will Come….? Change Management!
Advanced Features Rarely Used Early in Deployment
Externalities Gaining on Internal Issues
Taxonomy & Info Architecture Key to Success
Like All IT Investments, IM Must Be Profitable
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14. ROI Focus: IM Cost-Cutting Benefits
Increased Search & Retrieval Efficiency
Reduced Content Maintenance Costs
Lower Customer Transaction Costs
Reduced Rework & Manual Entry
Reduced Fine & Penalties
Reduced Infrastructure Costs
Reduced Paper Production & Shipping Costs
Reduced Printing & Distribution Costs
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15. ROI Focus: IM Business Benefits
Risk Management & Regulatory Compliance
Faster Time-to-Market for Products & Services
Brand Management & Consistency
Improved Email Handling
Intellectual Property Management / Knowledge Management
Increased Disaster Recovery Support
Increased Customer Satisfaction
Faster Response to Commercial Opportunities
Compliance Audit, eDiscovery and Litigation Support
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16. Benefits Summary for Centralized IM
Examine a combination of Hard Dollar Benefits, realized as direct & measurable
cost reductions; Soft Benefits, realized in terms of operational & enterprise options
& opportunities; & Strategic or Operational Benefits
Hard Dollar Benefits - result in fewer dollars actually being spent,
money that can be allocated elsewhere or saved entirely
Soft Benefits - yield bottom line improvement or
operational flexibility, but impact is challenging to quantify in
dollars or to pinpoint in operations
Strategic or Operational Benefits - some IM impacts & benefits
support strategic or operational goals that are corporate priorities
& whose benefits are not tracked or quantified
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17. Benefits Summary for Centralized IM
A Reduced Printing & Distribution Costs G Compliance Audit Support
B Lower Customer Transaction Costs H eDiscovery and Litigation Support
C Reduced Fine & Penalties I Knowledge Management
D Reduced Document Processing Costs J Universal Document Index & Search
E Reduced Search Costs K Disaster Recovery Support
F Reduced Infrastructure Costs L Improved Email Handling
HARD DOLLAR SOFT BENEFITS
BENEFITS E L
F D
I G
B
A
HIGH MED LOW IMPACT
C
J H
1
K
1 Governance, Risk and Compliance 2 3
2 Unification of Communications
3 Enforcement of Corporate Policies
STRATEGIC & OPERATIONAL
BENEFITS
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18. IM Payback Best Practices:
Pharmaceutical Example
Background
• Leading global pharmaceutical organization
• Geographically dispersed drug development teams
• Minimal sharing of information assets between groups
• Numerous departmental & decentralized respositories
• Significant duplication of efforts due to recent M&A activity
• Highly regulated environment
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19. IM Payback Best Practices:
Pharmaceutical Example
Goals
• Decrease the amount of redundant work being
performed within the organization
• Allow for geographically dispersed teams the
ability to collaborate online
• Provide single point of access to all research
related materials
• Decrease time spent on searching for required
information
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20. IM Payback Best Practices:
Pharmaceutical Example
Financial Highlights
• Capital Expenditure $847,622
• Payback in years 0.7 years
• ROI (3 years) 458%
• NPV (5 years) $5,851,128
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21. Summary
Use ‘Quick Wins’ to Build Creditability & Win Sponsorship
Avoid the Path of Least Resistance -- Spend the Time Necessary
to Develop a Visible and Measurable Business Case
Start By Focusing on “What” & “When” -- Not “Why” & “How”
Engage Stakeholders in Defining Their Roles in the
Process & to Reduce Resistance to Change
Focus On Defining Measurable Outcomes to Support
Higher Level Goals & Objectives
Look for Well Understood Use Cases to Validate
Assumptions & Model ‘Real World’ Work Conditions
But Do Not Waste Time Trying to Define the ‘Perfect’ Scenario
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22. Questions
For Questions or Otherwise to Discuss
Information Management, Workflow,
or Business Process Management, Contact:
Nathaniel Palmer
nathaniel_palmer@sra.com
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23. Introducing our Sponsor
Michael Theis
Solution Development Representative
Iron Mountain
In association with: Presented by:
24. The Effects of Inefficient Processes
is the percentage of Global 2000 companies who reported
81 that they were concerned with simply finding all of their
contracts when they needed them.*
is the amount of productivity lost per person per year
$14k because workers can't find the data to do their jobs. *
is the percent of annual costs PriceWaterhouseCoopers
2% estimated companies could save by eliminating
inaccuracies and non-compliance through improved
contract management.
* Kirk Krappe and Gopi Kallayil. “Contract Management is More Out of Control Than You Think.” Journal
of Contract Management. April 2003.
* IDC Canada. (Cited in many web postings, we do not have the original report or source.)
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25. Improved Efficiency Leads to
Greater Productivity
In our world of information management, your success
depends on two things:
1. You need to increase collaboration and knowledge
management so that people can do their jobs better and
2. You need to improve the findability of and access to
business documents — regardless of their format
In association with: Presented by:
27. Customer Case Study:
Parker Hannifin
Customer Challenges:
To cost-effectively manage a decentralized national purchasing card
program and eliminate highly manual, paper-based processes.
““Our biggest challenge was one of
accessibility. We had the procedures in
place to maintain the documentation
required for audit compliance, but
accessing the information was time
consuming, expensive and inefficient,”
- Jason Lance, Tax Analyst at Parker
Hannifin.
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28. Customer Case Study:
Parker Hannifin
The Solution:
Input Process Image Store Access
DIGITAL RECORD
CENTER® FOR
IMAGES
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29. Customer Case Study:
Parker Hannifin
Solution Benefits:
Increased visibility into P-Card expenditures
Elimination of temporary workers
Reduced risk and storage requirements
Solution Results:
$30,000 net savings annually
60-70% reduction in the average cost per audit request
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30. Thank you!
Looking for more Information? Go to:
www.storeaccessmanage.com
Call: 1-800-899-4766
Email: michael.theis@ironmountain.com
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31. Upcoming Webinars
May 4th
The Dynamic Document: Save Time & Achieve Communication
Goals
May 5th (Thursday Case Study)
Paper-free Order Processing to Complete Your E-Vision (with
Moen Inc.)
Register Today at
www.aiim.org/webinars
Or check out our Webinar Archive at
www.aiim.org/WebinarArchive
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