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MIS-49100
METHODOLOGIES OF
PROJECT DEVELOPMET
 Capstone course that guides student to emphasize various methodological approaches
to software acquisition, development, testing, and implementation, and understand
relevance of methodologies to Capability Model Theory, interdependence of phase
deliverables, quality control techniques and methods, and tools for testing
MIS Learning Outcomes
 Capability Model Theory
 Dynamic Capabilities.
Methodologies of Project
Development
3
 The Methodologies of Project Development is a
Capstone course that guides students to emphasize
various methodological approaches to software
acquisition, development, testing, and implementation,
and understand relevance of methodologies to
Capability Model Theory, interdependence of phase
deliverables, quality control techniques and methods,
and tools for testing.
 This capstone course is the primary assessment
strategy for the adult campuses. This capstone course
in the MIS major provides an opportunity for students to
integrate and synthesize key concepts and theories
through an analysis and evaluation of the impact of
human events on the past and present. Student
Cognitive Learning Outcomes for the Bachelor
of Arts in Management of Information Systems
4
1. Acquire, comprehend, organize, and apply
knowledge within the major area.
 Apply fundamental systems development
principles using current technologies that can be
used to develop business programs.
 Apply current and industry-accepted techniques
for analyzing and designing systems.
 Apply knowledge of the management role of
telecommunication networks in firms.
To demonstrate intellectual growth and
competence, the student will:
Cognitive Learning Outcomes for the Bachelor
of Arts in Management of Information Systems
5
2. Analyze and evaluate knowledge within the
major area.
 Analyze modern methods of database analysis,
design, and implementation to analyze, design,
and build business databases using current tools.
 Analyze the roles of a manager, the nature of
leadership, managerial styles, and relationship of
styles when coping with internal and external
demands.
 Integrate concepts of empowerment, teams, total
quality, and organizational redesign to deal
effectively with end-users.
Cognitive Learning Outcomes for the Bachelor
of Arts in Management of Information Systems
6
3. Solve problems presented by the major field.
 Analyze and evaluate computer information system
problems and propose solutions and improvements that
address efficiency, feasibility, creativity, and value
reference.
 Analyze project management methods, techniques, and
tools to help firms meet their strategic objectives.
 Evaluate the functions and responsibilities of individuals
and departments to improve structure and functioning of
complex organizations or systems.
4. Demonstrate oral and written competence in the
major field.
Affective Learning Outcomes for the Bachelor
of Arts in Management of Information Systems
7
5. Describe the significance and value of the major in
meeting the needs of a global community.
 Demonstrate awareness of global and cultural differences
in business environments with respect to the domestic
firm.
 Examine both the detrimental and beneficial impacts of a
technologically-based society on the individual, society,
and the global community.
6. Exhibit behaviors indicative of continued learning
in the field.
 Continue personal and professional development by
reviewing current literature and trends, participating in
professional associations, attending conferences and
seminars, and/or sharing knowledge and experience with
Practice
8
5. Describe the significance and value of the major in
meeting the needs of a global community.
 Demonstrate awareness of global and cultural differences
in business environments with respect to the domestic
firm.
 Examine both the detrimental and beneficial impacts of a
technologically-based society on the individual, society,
and the global community.
6. Exhibit behaviors indicative of continued learning
in the field.
 Continue personal and professional development by
reviewing current literature and trends, participating in
professional associations, attending conferences and
seminars, and/or sharing knowledge and experience with
Processes
An ability or capacity a business has to deliver value to customers and /
or shareholders.
Business
Capability
People
Physical
Assets
A set of related business processes, people, and physical assets that deliver
value directly to customers, or are needed to run the business.
Practice
Two Types of Capabilities
Capabilities that deliver value
directly to external customers
Capabilities that deliver value to
shareholders, or are needed to
operate the business
Operational
Customer-Facing
Characteristics of Business
Capabilities
• More detailed than strategy elements; less detailed than
business processes
• Hierarchical: capabilities can be represented at
multiple levels of abstraction
• Illustrate relationships between people, processes, and
physical assets
• Managed as assets
Bottom Line: Capabilities allow companies to create
sustainable competitive advantage through
unique combinations of people, processes, and
physical assets
Uses for Business
Capabilities
• Visualize consequences of strategy
• Impact to existing capabilities
• Missing capabilities
• Capabilities no longer needed
• Manage ongoing operation of a capability
• Evaluate impact of changes in planning assumptions on costs &
benefits
• Forecast investments in increased capacity
• Support merger & acquisition activity
• Evaluate capabilities of acquisition target(s)
• Identify integration synergies
• Identify capabilities to be lost through divestiture
• Manage investments across the portfolio of capabilities
Capabilities in
Context: Strategy to
Results
Strategy
Environment
Results
Business
Capabilities
Creates needs for
Generate
Affects
Influences
Measured by
Strategy to Future
Business Model
Results
People
Processes
Future Business
Model
Required
Business
Capabilitie
s
Busine
ss
Strateg
y
Planning Scenarios
(3 – 5 year horizon)
Operatin
g
Model
Physic
al
Asset
s
Four “Easy” Steps
Step Deliverable(s)
1. Develop the
capability hierarchy
• Scope statement
• Capability hierarchy
2. Identify key
relationships
• Association matrices
3. Develop utilization
models
• List of demand sources: what
generates utilization?
• Utilization model over time
4. Develop financial
models
• Sources of benefits
• Sources of cost
• Cash flow statement
Develop the Hierarchy
Hierarchy:
tips
• Engage your business partner(s) to
identify starting scope
• Focus on breadth, not depth
• 3 – 5 levels of hierarchy is sufficient
• A capability should have more
than one supporting process
• Start with customer-facing
capabilities
• Make sure the team can explain how
the capability generates value /
benefits
• Use business partners’ language to
describe elements in the hierarchy
Identify
Relationships
• Document
relationships
between capabilities
and
• Strategy elements
• Organization units
• Business processes
• Physical assets
• People (roles)
Relationships:
tips
• Use association matrices to
find inconsistencies in the
capability model
• Capabilities not
connected to strategy
elements
• Strategy elements
with no capabilities
• Use numbers to measure
strength of relationship where
appropriate
Create Utilization
Model
• Identify sources of
demand
• Map demand to business
process utilization
• Map demand to
physical asset
utilization
• Develop
forecasting
assumptions
• Forecast utilization into
the future
Utilization Model:
tips
• Use assumptions to
discover stakeholder
expectations about
operation of capabilities
• The utilization model can
alert the team to parts of a
capability that won’t scale
with growth
• Business processes
• Physical assets
Create Financial
Model
• Identify
quantifiable
sources of
benefits
• Identify sources of
cost
• Create statement
of cash flows
Financial
Model: tips
 The financial model helps your stakeholders explain how a
capability converts benefits into cash
 Organizations frequently fail to account for process/labor
costs to operate a capability, artificially inflating the returns
on projects
Defining
Success
• Models help stakeholders see non-obvious
patterns, assess impact of change
• Models allow stakeholders to perform “what if”
analysis for different business scenarios
• Utilization and financial models focus
stakeholders attention on:
• Quantifiable benefits
• Ongoing operation of capabilities
Capabilities & Process
Management
• Capabilities are the “missing link” in the
strategy to results abstraction chain
• A single process may map to multiple
capabilities, each having unique or conflicting
requirements
• Demand and financial models provide top-
down ways to evaluate effectiveness &
efficiency of processes
References
Architecture & Governance Magazine Articles
Business Capability Modeling: Theory & Practice
http://bit.ly/mhJA8
Business Capability Modeling: Building the Hierarchy
http://bit.ly/8wtDpQ
Copyright

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MIS 49100 Week 1 Capability model theory - dynamic capabilities

  • 1. MIS-49100 METHODOLOGIES OF PROJECT DEVELOPMET  Capstone course that guides student to emphasize various methodological approaches to software acquisition, development, testing, and implementation, and understand relevance of methodologies to Capability Model Theory, interdependence of phase deliverables, quality control techniques and methods, and tools for testing
  • 2. MIS Learning Outcomes  Capability Model Theory  Dynamic Capabilities.
  • 3. Methodologies of Project Development 3  The Methodologies of Project Development is a Capstone course that guides students to emphasize various methodological approaches to software acquisition, development, testing, and implementation, and understand relevance of methodologies to Capability Model Theory, interdependence of phase deliverables, quality control techniques and methods, and tools for testing.  This capstone course is the primary assessment strategy for the adult campuses. This capstone course in the MIS major provides an opportunity for students to integrate and synthesize key concepts and theories through an analysis and evaluation of the impact of human events on the past and present. Student
  • 4. Cognitive Learning Outcomes for the Bachelor of Arts in Management of Information Systems 4 1. Acquire, comprehend, organize, and apply knowledge within the major area.  Apply fundamental systems development principles using current technologies that can be used to develop business programs.  Apply current and industry-accepted techniques for analyzing and designing systems.  Apply knowledge of the management role of telecommunication networks in firms. To demonstrate intellectual growth and competence, the student will:
  • 5. Cognitive Learning Outcomes for the Bachelor of Arts in Management of Information Systems 5 2. Analyze and evaluate knowledge within the major area.  Analyze modern methods of database analysis, design, and implementation to analyze, design, and build business databases using current tools.  Analyze the roles of a manager, the nature of leadership, managerial styles, and relationship of styles when coping with internal and external demands.  Integrate concepts of empowerment, teams, total quality, and organizational redesign to deal effectively with end-users.
  • 6. Cognitive Learning Outcomes for the Bachelor of Arts in Management of Information Systems 6 3. Solve problems presented by the major field.  Analyze and evaluate computer information system problems and propose solutions and improvements that address efficiency, feasibility, creativity, and value reference.  Analyze project management methods, techniques, and tools to help firms meet their strategic objectives.  Evaluate the functions and responsibilities of individuals and departments to improve structure and functioning of complex organizations or systems. 4. Demonstrate oral and written competence in the major field.
  • 7. Affective Learning Outcomes for the Bachelor of Arts in Management of Information Systems 7 5. Describe the significance and value of the major in meeting the needs of a global community.  Demonstrate awareness of global and cultural differences in business environments with respect to the domestic firm.  Examine both the detrimental and beneficial impacts of a technologically-based society on the individual, society, and the global community. 6. Exhibit behaviors indicative of continued learning in the field.  Continue personal and professional development by reviewing current literature and trends, participating in professional associations, attending conferences and seminars, and/or sharing knowledge and experience with
  • 8. Practice 8 5. Describe the significance and value of the major in meeting the needs of a global community.  Demonstrate awareness of global and cultural differences in business environments with respect to the domestic firm.  Examine both the detrimental and beneficial impacts of a technologically-based society on the individual, society, and the global community. 6. Exhibit behaviors indicative of continued learning in the field.  Continue personal and professional development by reviewing current literature and trends, participating in professional associations, attending conferences and seminars, and/or sharing knowledge and experience with
  • 9. Processes An ability or capacity a business has to deliver value to customers and / or shareholders. Business Capability People Physical Assets A set of related business processes, people, and physical assets that deliver value directly to customers, or are needed to run the business. Practice
  • 10. Two Types of Capabilities Capabilities that deliver value directly to external customers Capabilities that deliver value to shareholders, or are needed to operate the business Operational Customer-Facing
  • 11. Characteristics of Business Capabilities • More detailed than strategy elements; less detailed than business processes • Hierarchical: capabilities can be represented at multiple levels of abstraction • Illustrate relationships between people, processes, and physical assets • Managed as assets Bottom Line: Capabilities allow companies to create sustainable competitive advantage through unique combinations of people, processes, and physical assets
  • 12. Uses for Business Capabilities • Visualize consequences of strategy • Impact to existing capabilities • Missing capabilities • Capabilities no longer needed • Manage ongoing operation of a capability • Evaluate impact of changes in planning assumptions on costs & benefits • Forecast investments in increased capacity • Support merger & acquisition activity • Evaluate capabilities of acquisition target(s) • Identify integration synergies • Identify capabilities to be lost through divestiture • Manage investments across the portfolio of capabilities
  • 13. Capabilities in Context: Strategy to Results Strategy Environment Results Business Capabilities Creates needs for Generate Affects Influences Measured by
  • 14. Strategy to Future Business Model Results People Processes Future Business Model Required Business Capabilitie s Busine ss Strateg y Planning Scenarios (3 – 5 year horizon) Operatin g Model Physic al Asset s
  • 15. Four “Easy” Steps Step Deliverable(s) 1. Develop the capability hierarchy • Scope statement • Capability hierarchy 2. Identify key relationships • Association matrices 3. Develop utilization models • List of demand sources: what generates utilization? • Utilization model over time 4. Develop financial models • Sources of benefits • Sources of cost • Cash flow statement
  • 17. Hierarchy: tips • Engage your business partner(s) to identify starting scope • Focus on breadth, not depth • 3 – 5 levels of hierarchy is sufficient • A capability should have more than one supporting process • Start with customer-facing capabilities • Make sure the team can explain how the capability generates value / benefits • Use business partners’ language to describe elements in the hierarchy
  • 18. Identify Relationships • Document relationships between capabilities and • Strategy elements • Organization units • Business processes • Physical assets • People (roles)
  • 19. Relationships: tips • Use association matrices to find inconsistencies in the capability model • Capabilities not connected to strategy elements • Strategy elements with no capabilities • Use numbers to measure strength of relationship where appropriate
  • 20. Create Utilization Model • Identify sources of demand • Map demand to business process utilization • Map demand to physical asset utilization • Develop forecasting assumptions • Forecast utilization into the future
  • 21. Utilization Model: tips • Use assumptions to discover stakeholder expectations about operation of capabilities • The utilization model can alert the team to parts of a capability that won’t scale with growth • Business processes • Physical assets
  • 22. Create Financial Model • Identify quantifiable sources of benefits • Identify sources of cost • Create statement of cash flows
  • 23. Financial Model: tips  The financial model helps your stakeholders explain how a capability converts benefits into cash  Organizations frequently fail to account for process/labor costs to operate a capability, artificially inflating the returns on projects
  • 24. Defining Success • Models help stakeholders see non-obvious patterns, assess impact of change • Models allow stakeholders to perform “what if” analysis for different business scenarios • Utilization and financial models focus stakeholders attention on: • Quantifiable benefits • Ongoing operation of capabilities
  • 25. Capabilities & Process Management • Capabilities are the “missing link” in the strategy to results abstraction chain • A single process may map to multiple capabilities, each having unique or conflicting requirements • Demand and financial models provide top- down ways to evaluate effectiveness & efficiency of processes
  • 26. References Architecture & Governance Magazine Articles Business Capability Modeling: Theory & Practice http://bit.ly/mhJA8 Business Capability Modeling: Building the Hierarchy http://bit.ly/8wtDpQ