Information Systems for Business

Module 4
Module 4: Agenda
Business Process Reengineering
Change Management
Systems Development*
Systems Building Approaches*
Business Value of Information Systems
* Discussed by Mr. Sendhil Manian, Accenture

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

2

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

3
What is a Process?
A specific ordering of work activities across time and space,
with a beginning, an end, and clearly identified inputs and
outputs: a structure for action.

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

4
What is a Business Process?
A group of logically related tasks that use the firm's resources
to provide customer-oriented results in support of the
organization's objectives

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

5
BPR
The fundamental rethinking and radical redesign of
business processes to achieve dramatic improvements in
critical, contemporary measures of performance, such as
cost, quality, service, and speed


- Michael Hammer
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

6
Key Words
Fundamental
Need to understand why an organization does what it does
question all of the rules and assumptions that exist
Radical
Radical redesign means disregarding all existing structures and
procedures, and inventing completely new ways of accomplishing
work. Reengineering is about business reinvention, begins with
no assumptions and takes nothing for granted.
Dramatic
Not looking for marginal or incremental improvements or
modification
Goal is dramatic improvements in performance.
Processes
Focus on the way the organization adds value through cross-
functional business processes
Move away from function view; task based thinking
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

7
Key
Fundamental
Why do we do what we do?
Ignore what is and concentrate on what should be.
Radical
Business reinvention vs. business improvement
Dramatic
Reengineering should be brought in when a need exits for heavy
blasting.
Companies in deep trouble.
Companies that see trouble coming.
Companies that are in peak condition.
Business Process
a collection of activities that takes one or more kinds of inputs and
creates an output that is of value to a customer.


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

8
BPR is NOT
Automation
Downsizing
Outsourcing




D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

9
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

10
BPR Versus Process Simplification
Process Reengineering


Radical Transformation
Vision-Led
Change Attitudes & Behaviors
Director-Led
Limited Number of Initiatives


Process Simplification


Incremental Change
Process-Led
Assume Attitudes & Behaviors
Management-Led
Various Simultaneous Projects


(Source Coulson-Thomas, 1992)
Reengineering & Continuous
Improvement --Similarities

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

11
Reengineering Continuous Improvement
Similarities
Basis of analysis Process Process
Performance measurement Rigorous Rigorous
Organizational change Significant Significant
Behavioral change Significant Significant
Time investment Substantial Substantial
Reengineering & Continuous
Improvement --Differences

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

12
Reengineering Continuous Improvement
Differences
Level of change Radical Incremental
Starting point Clean slate Existing process
Participation Top-down Bottom-up
Typical scope Broad, cross-functional Narrow, within functions
Risk High Moderate
Primary enabler Information technology Statistical control
Type of change Cultural and structural Cultural
TQM BPR
Level of change Incremental Radical, breakthrough
Starting point Existing process From scratch
Freq. of change Continuous One-time
Imp. Time Moderate Long
Risk involved Moderate High
Primary enabler Statistical control IT
Type of change Cultural Cultural/Structural
Expected imp. Moderate Significant
Top mgmt. Moderate Very high
Role of IT Low Very high
Focus on Process imp. Profit max.
Investment Low, high High, low
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

13
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

14
Why Reengineer?
Customers
Demanding
Sophistication
Changing Needs
Competition
Local
Global
Change
Technology
Customer Preferences
Why organizations dont Reengineer
Complacency

Political Resistance

New Developments

Fear of Unknown and Failure

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

15
Performance
BPR seeks improvements of
Cost
Quality
Service
Speed

BPR is mainly a business-driven initiative, but it certainly
will have a strong technology component.

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

16
BPR strategy requires a business consulting approach coupled with
technology expertise to realize the competitive advantage.

Technologies like the Internet permit and promote 'self-service'
transactions and provide ready access to all kinds of information
needed to make informed choices.

So tech savvy enterprises that are able to leverage technology for
bettering their business processes can benefit from BPR faster.

The technology for enabling this is no longer 'cutting edge'-it is quite
mainstream


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

17
Origin of BPR
FW Taylor - Scientific Management
Frederick Herzberg - Job Enrichment
Deming et al - Total Quality Management and Kaizen
Peters and Waterman - In Search of Excellence
Porter - Value - Added Analysis

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

18
Key features
Systems Perspective
Global Perspective on Business Processes
Radical Improvement
Integrated Change
People Centred
Focus on End-Customers
Process-Based

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

19
Process Based
Added Value
BPR Initiatives must add-value over and above the existing
process

Customer-Led
BPR Initiatives must meet the needs of the customer
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

20
Radical Improvement
Sustainable
Process improvements need to become firmly rooted within the
organization

Stepped Approach
Process improvements will not happen over night they need to be
gradually introduced
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

21
Integrated Change
Viable Solutions
Process improvements must be viable and practical

Balanced Improvements
Process improvements must be realistic
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

22
People-Centred
Business Understanding

Empowerment & Participation

Organizational Culture
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

23
Focus on End-Customers
Process improvements must relate to the needs of the
organization and be relevant to the end-customers to which
they are designed to serve
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

24
In nut-shell

Fragmented
Functional-based
Inefficient
Costly
Slow
Integrated
Process-Oriented
Standardized
Customer-focused
Competency-centered
Business Process
after BPR
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

25
Radical transition
Sync with the global market changes

Cost reduction
Cycle time reduction
Improvement in quality, customer service and other business
objectives
Improving operation
Increase productivity
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

26
Basic Characteristics of BPR
Process Innovation and reinvention
Enterprise Process
Performance Improvement
Increased Economic Growth
Higher competitive bar
IT as central enabler
50-75 % failure rate
High risk, high return venture
Significant reduction in cycle time across process
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

27
Some objectives for BPR initiative
Standardizing business objectives
Elimination of organizational and technical bottlenecks
Improvement of quality information
Replacement of out-of-date procedures and systems
Integration of business process
Reduction in stand alone systems and interface
Covering areas previous neglected
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

28
Enterprise Redesign Principle
Capture data once, at the source
Geographically dispersed centralized resources
Parallel Activities
Decision making decentralized
Information management in real time
Processes are integrated across entire value chain
Development of business alliances
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

29
Accounts Payable function
500 people
Most work on mistakes between

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

30
Purchase
Orders
Receiving
Documents

Invoices


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

31

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

32
Long cycle times, declining sales

Applied BPR to create cross-functional teams supported by
functional units for product development
Cross-functional teams control all aspects of product development
design production - marketing

First pilot teams failed
Sabotaged by existing organization.

TI Reorganized around teams
Cut launching time by one-half
more profit
4 times the ROI

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

33
Approaches in BPR Imp.
Clean Slate reengineering

Technology enabled reengineering


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

34
Technology Enabled Reengineering
A particular technology (or portfolio of technologies) is chosen
as a tool to facilitate reengineering.
Thus, reengineering choices are a function of the technologies
chosen.
The technology drives the reengineering.

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

35
Clean Slate Reengineering
Process design starts with a clean slate
Also referred to as starting from scratch or green field.
Theoretically, no limits

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

36

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

37
Clean Slate Technology Enabled
Not constrained by tool Focus on ERP best practices
Not limited by best practices as
defined by vendor
Tools help structure reengineering
process
Retain competitive advantages Tools focus reengineering
Not subject to vendor changes Process bounded, thus easier
May be only way to implement
advanced technology
Know design is feasible
May have unique features where best
practices inappropriate
Greater likelihood that cost, time
objectives met
Agility Software available
Who should use ???
Depends on
Firms Size
Available Resources
Time Pressure
Strategic Gain
Uniqueness of solution

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

38
Stages of BPR Implementation
Phase 1: Plan BPR implementation
Phase 2: Indentify opportunities for BPR in existing system
Phase 3: Develop a blue-print of the existing process
Phase 4: Develop an improvement plan
Phase 5: Implementation
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

39
Key Steps
Select The Process & Appoint Process Team
Understand The Current Process
Develop & Communicate Vision Of
Improved Process
Identify Action Plan
Execute Plan
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

40
Implementing a BPR Strategy
Select the Process & Appoint Process Team
Two Crucial Tasks

Select The Process to be Reengineered

Appoint the Process Team to Lead the Reengineering Initiative
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

42
Select the Process
Review Business Strategy and Customer Requirements

Select Core Processes

Understand Customer Needs

Dont Assume Anything
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

43
Select the Process
Select Correct Path for Change

Remember Assumptions can Hide Failures

Competition and Choice to Go Elsewhere

Ask - Questionnaires, Meetings, Focus Groups
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

44
Appoint the Process Team
Appoint BPR Champion

Identify Process Owners

Establish Executive Improvement Team

Provide Training to Executive Team
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

45
Core Skills Required
Capacity to view the organization as a whole

Ability to focus on end-customers

Ability to challenge fundamental assumptions

Courage to deliver and venture into unknown areas
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

46
Core Skills Required
Ability to assume individual and collective responsibility

Employ Bridge Builders
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

47
Use of Consultants
Used to generate internal capacity
Appropriate when a implementation is needed quickly
Ensure that adequate consultation is sought from staff so that
the initiative is organization-led and not consultant-driven
Control should never be handed over to the consultant

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

48
Understand the Current Process
Develop a Process Overview
Clearly define the process
Mission
Scope
Boundaries
Set business and customer measurements
Understand customers expectations from the
process (staff including process team)
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

49
Understand the Current Process
Clearly Identify Improvement Opportunities
Quality
Rework
Document the Process
Cost
Time
Value Data
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

50
Understand the Current Process
Carefully resolve any inconsistencies
Existing -- New Process
Ideal -- Realistic Process


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

51
Develop & Communicate Vision
Communicate with all employees so that they are aware of
the vision of the future

Always provide information on the progress of the BPR
initiative - good and bad.

Demonstrate assurance that the BPR initiative is both
necessary and properly managed
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

52
Develop & Communicate Vision
Promote individual development by indicating options that are
available

Indicate actions required and those responsible

Tackle any actions that need resolution

Direct communication to reinforce new patterns of desired
behavior
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

53
Identify Action Plan
Develop an Improvement Plan

Appoint Process Owners

Simplify the Process to Reduce Process Time

Remove any Bureaucracy that may hinder implementation
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

54
Identify Action Plan
Remove no-value-added activities

Standardize Process and Automate Where Possible

Up-grade Equipment

Plan/schedule the changes
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

55
Identify Action Plan
Construct in-house metrics and targets

Introduce and firmly establish a feedback system

Audit, Audit, Audit
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

56
Execute Plan
Qualify/certify the process
Perform periodic qualification reviews
Define and eliminate process problems
Evaluate the change impact on the business and on customers
Benchmark the process
Provide advanced team training

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

57
Software/Technology Selection criteria
Strategy fit
Technology
Change management
Risk involved
Implementation time
required
Business functionality and
integration
Vendor credentials
Flexibility
Cost
Upgradeability and
maintenance
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

58



To develop a AS_IS or TO_BE chart for describing the existing
process and improved process, the following notions are used
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

59
BPR Symbols
Business Process Flowchart Symbols
An Activity


A Document



A Decision



Data (input as outputs)
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

60
Business Process Flowchart
Symbols
A Predefined Process


The Start of a Process


The End of a Process


Representing a Relation
Start
End
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

61
Business Process Flowchart
Symbols
Continuation of the process at the same page
at an equal symbol with the same number. Used
when a relation arrow crosses another relation arrow


Off-Page Connector - Process will continue on the
next page



Integration Relation - A relation to another module is
identified and described

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

62
Data Flowchart Symbols
An Activity


A Document



A Decision



Flat Data File (input as outputs)
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

63
Data Flowchart Symbols
Manual Data Item


A Database File


Representing a Relation


Continuation


Off-Page Connector
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

64
Rules For Data Symbols
Rules For Data Symbols
Start
End
Generate
Purchase
Order
OK?
Yes
No
Symbol used to identify the start of a business process

Activities must be described as a verb

Decisions have only two possibilities (Yes & No)


Crossing lines are not allowed

If one side of the decision has no further processes
defined this symbol has to be used
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

66
Rules For Data Symbols
Purchase
Order
Posting
of Bonus
I
A
Continuation symbol within the same number must be
present twice on the same page

Name the document

Off- Page Connector is used to continue a process at the
next page or to let the process to flow over at the
previous to the next page. If more than one is needed
use A, B, C, D

Name the data
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

67
Rules For Data Symbols
Sub-Process
Delivery
BC 4.04
Predefined Processes always have a relation to level and
stream by a number in the line below a sub-process
description
A predefined process must be described in a different
flowchart. To make the relation clear between the
predefined process and the belonging flowchart a unique
alpha numeric number should be assigned to this
predefined process.


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

68
BPR Best Practices
Combine multiple tasks and assign a single point of
contact for each process.

Allow workers to make decisions. Avoid decision
hierarchies that require workers to go through layers of
management for decisions about the work they are
doing.

Perform process steps in their natural order. Rather than
following a linear sequential set of tasks, perform
process activities as needed, sometimes in parallel.


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

69
Risks in BPR
Advocates report failure rates of 50% to 70%
Sutcliffe [1999] reviewed difficulties
Employee resistance to change
Inadequate attention to employee concerns
Inappropriate staffing
Inadequate technologies
Mismatch of strategies used and goals
Lack of oversight
Failure of leadership commitment

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

70
Common Problems.
Process under review too big or too small
Reliance on existing process too strong
The Costs of the Change Seem Too Large
BPR Isolated Activity not Aligned to the Business Objectives
Allocation of Resources
Poor Timing and Planning
Keeping the Team and Organization on Target
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

71
Business Process Management
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

72
Concept of BPM
Includes methods & tools to support design, analysis,
implementation, management & optimization of operational
business processes.

Extension of workflow management: documents, information
& activities flow between participants according to existing
process models & rules.

Consists of activities performed by businesses to optimize &
adapt their processes.

Consist of designing, analyzing, implementing, managing &
optimizing a process for effectiveness & efficiency.
I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

73
D
e
c
e
m
b
e
r

1
2

74
Business process management cycle. (Kettinger, Teng and Guha, 1997)
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

75
Steps to create a BPM Strategy
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

Business Process Modeling
Referred to as business process mapping.

Includes techniques & activities used as part of larger business
process management discipline.

Similar to drafting a blueprint for a house.

Must create a blueprint of how company works now & will
after implementation.
76
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

Measuring Processes
Six Sigma methodology to manage process variations that
cause defects & to systematically work toward managing
variation to prevent those defects.

TQM management strategy aimed at embedding awareness
of quality in all organizational processes.

ISO key is development of plan to prevent non-conforming
process from being repeated.
77
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

78
Evolution of BPM software tools.
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

WHY ??
Integrate people, technology, & organizational culture


To Respond to rapidly changing technical & business environment
and customers needs to achieve Big performance gains

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

79
3 / 4 Cs of Organization Re-engineering Projects
The 3Cs of organization
Re-engineering:

The 4Cs of effective
teams:

- Customers
- Competition
- Change
- Commitment
- Cooperation
- Communication
- Contribution
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

80
BPCL
Ashok Sinha: IT has been crucial to BPCL not just for achieving this goal, but also on an overall
basis. It all began in 1988 when we restructured the organization. In order to make our structures
work, we had to do a relook of all our processes, and streamline and embed them in our ERP
system. Two years after we implemented the ERP, we revisited it and changed everything to get
into the next level of ERP systems.
Later, we used the existing infrastructure and processes as a stepping stone to bring into effect
another phase of business process reengineering. The focus of such reengineering was to figure
out whether our structures and processes were properly aligned, so that they ultimately help us
serve our customer better. Here, IT continues to be a business enabler, as it continuously gives us
inputs on how we can do things better. To be able to come up with progressive ideas and inputs
regularly, which affect business positively and keep all processes and other projects in sync, we
have started a project called Aryabhat Our IIS (Integrated Information System) team that
comprises both business and IT experts, and the ERP Competency Center contribute to Project
Aryabhat
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

81
BPR - Summary
Reengineering is a fundamental rethinking and redesign of
business processes to achieve dramatic improvements

BPR has emerged from key management traditions such as
scientific management and systems thinking

Rules and symbols play an integral part of all BPR initiatives
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

82
Spectrum of Change
Automation
Rationalization of
procedures
Reengineering
Paradigm shift
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

83
Automation
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

84
refers to computerizing
processes to speed up the
existing tasks.
improves efficiency and
effectiveness.
Rationalization of Procedures
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

85
refers to streamlining of
standard operating
procedures, eliminating
obvious bottlenecks, so that
automation makes
operating procedures more
efficient.
improves efficiency and
effectiveness.
Business Process Reengineering
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

86
refers to radical redesign of
business processes.
Aims at
eliminating repetitive,
paper-intensive,
bureaucratic tasks
reducing costs
significantly
improving
product/service quality.
Paradigm Shift
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

87
refers to a more radical
form of change where the
nature of business and the
nature of the organization is
questioned.
improves strategic standing
of the organization.
Change Management
Change Management
Implementing new business/IT strategy requires managing the
effects of major changes in key organizational dimensions such as
business
process,
organization structures,
managerial roles,
employee work assignments, and
stakeholder relationships
that arise from the deployment of new business information
systems
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

89
Implementation Challenges

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

90
Resistance and Involvement
53%
20%
15%
9%
3%
Obstacles
User Resistance to
sharing knowledge
Immaturity of
technology
Immaturity of
knowledge management
industry
Cost
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

91

Solving User Resistance Problems
Education and training
User involvement in organizational changes, IS development
End-user participation before new system is implemented
Involvement, commitment of top management
and all business stakeholders
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

92
People are a major focus of change management
Involve as many people as possible in e-business
planning and application development
Make constant change an expected part of the culture
Tell everyone as much as possible about everything, as
often as possible, in person
Make liberal use of financial incentives and recognition
Work within the company culture, not around it

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

93

New system
implementation
process
Acquisition
Conversion
Software
development
Documentation
Data
conversion
Testing
Training
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

94
Conversion
Parallel
Pilot
Phasing
Plunge
Cut-over
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

95
Crane Engg.
Difficulty in Changing Habits of Sales Persons
Fear of Windows and CRM
Sell Advantages to Sales Staff to Win Acceptance
Move From Product to a Customer Centered Approach
Requires Structural Changes Throughout All Aspects of the
Firm
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

96
Organizational Change Management
Measure
Motivate
Reward Performance
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

97
It emphasizes on education and training to help employee
understand the benefits of these changes to the company as a
whole- and to them personally


CIO Magazine (2005)
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

98
Involves analyzing and defining all changes facing the
organization, and developing programs to reduce the risks and
costs to maximize the benefits of changes
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

99
Change Action Plan
Change Sponsors
Change Teams

Encouraging Open Communications
Receiving Feedback
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

100
1. Involve as many people as possible in planning and
application development
2. Make constant change an expected part of the culture
3. Tell everyone as much as possible about everything
4. Make liberal use of incentives and recognition
5. Work within company culture
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

101
Change Management Process
One of the change management Model

Includes performance measurement and rewards to provide
financial incentives..
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

103


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

104
Lewins 3-stage Change Process
Unfreeze
Change
(Re)freeze
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

105
Kotters Org. Trans. Model
Organizational Transformation Model
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

106
Sense of Urgency
Guiding Coalition
Create Vision
Communicate Vision
Empower others to act
Plan
Consolidate
Institutionalize
Other Models
Change Management Continuum Model

ADKAR Model

Kubler-Ross Model
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

107
Duke Energy
e-Team of Advocates Went Throughout Company Launching
Internet Initiatives
In 18 Months Team Had Saved $52 Million
Search for Other Activities for the Internet
New Team Launched Initiatives
Used Mantra Invest Little-Save Big
Launched Many Projects


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

108
Business value of IS
Information systems can be used in three ways to add value to
an organization
Automating / Informating / Strategizing


The value of IT is based on the contribution of technology
change/implementation to the business


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

109

Can IT provide real
business value?
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

110
The value metrics of IT
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

111
Right return from IT

< 1%
1% - 2%
2% - 3%
3% - 6%
6% - 15%
> 15%
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

112
Why not financial measures??
NPV, IRR, ROI estimates expected business value

Too many leading to inconsistency
Way beyond precision
Intangible benefits not captured
Future opportunities not accounted
Fail to incorporate risk



Hence..
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

113
BVI

TEI

Val IT

AIE
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

114

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

115

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

116

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

117

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

118
IT Governance Model
CMMI
COBIT
ITIL
ISO
PM
SS
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

119
IT - cost vs benefit
Cost Center ------ to ------ Strategic partner

Techno-centric ------ to ------ User-centric




D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

120
Thus business value can be defined as
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

121
Business Case
Identifying the value provided by an information system



Identification of benefits that the proposed information
system will bring to the organization
Automating benefits
Informating benefits
Strategic benefits



D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

122
Intels process of measuring IT business value
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

123
Productivity Gains
Easy to identify costs with developing an IS


Difficult to identify productivity gains
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

124
Productivity Paradox
It is often difficult to quantify tangible productivity gains from
the use of an information systems


As system based productivity increases, other forces can
simultaneously reduce gains


Unintended consequences of technology expenditures can
reduce system effectiveness

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

125
PP
Information systems may be used
in unintended ways
Web surfing
Junk mail
Games

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

126
Difficult ???

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

127
Measurement
Benefits difficult to quantify
Wrong things measured - efficiency
rather than effectiveness


Example: ATM
Strategic necessity

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

128
Time Lag
Benefits do not always occur at the
same time IS is implemented



Some IS/IT implementation requires
training
System must be integrated with
existing systems
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

129
Mismanagement
Bad business model cannot be
overcome by good information
system


IS implementation as temporary fix
Creation of unanticipated
bottlenecks
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

130
Redistribution
IS may redistribute the pieces of
the pie rather than make the pie
bigger


Increases in market share come at
the expense of the competitors
market share

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

131

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

132
Time Lags
Describes the difference in time from when the IT expenditure
was made and when the benefits are realized
One explanation for this lag is that it takes time for people to
become proficient at using new technology
Another explanation is that large systems take a long time to
fully implement and integrate - sometimes many years
Measurement Problems
The benefits of IT are difficult to pinpoint because firms may
be measuring the wrong things
Expected benefits are not always defined in advance, so they
are never seen (They must be identified to measure).
The biggest increases in productivity come from system
effectiveness but many metrics focus on system efficiency

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

133
Redistribution
IS may be beneficial to individual firms, but not for an entire
industry or the economy as a whole
Strategic information systems may help one firm increase its
market share at the expense of others (redistributing)
Expectations have increased as technology has become
prevalent. We forget the gains that have been realized.
Mismanagement
IS has not been implemented and managed well
Some believe that people simply build bad systems,
implement them poorly, and rely on technology fixes for
problems that require joint technology/process solutions
Inappropriate IS investments can mask or even increase
organizational slack and inefficiency
Making a Business Case
Difficult to quantify benefits
of IS
Money doesnt grow on
trees
Need to make a strong
business case - based on:
Faith
Fear
Facts


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

134
Arguments based on beliefs
about:
Organizational strategy
Competitive advantage
Industry forces
Customer perceptions
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

135
Arguments based on the
notion that if system is not
implemented:
Company loses to a
competitor
Goes out of business
Arguments based on:
Data
Quantitative analysis
Indisputable factors
Business cases typically include both Recurring/Non-recurring and
Tangible/Intangible costs and benefits
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

136
Recurring vs Non-Recurring
Recurring - Ongoing costs or benefits identified in a
business case (IT staff to support system)
Non-Recurring - One-time costs or benefits identified in
a business case (software purchase)
Tangible vs Intangible
Tangible - Cost and benefits that are easily identified
(e.g. headcount or labor cost)
Intangible - Cost and benefits that are not easily
identified (i.e. increased customer service)

D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

137
Costs
All recurring and nonrecurring
costs related to the acquisition,
development, and deployment
of the systems project
Benefits
All recurring and nonrecurring
increases in revenue, reduction
in costs, and or increases in
organizational efficiency
Net Costs/Benefits
Benefits minus Cost
1. When creating an implementation plan for your business case, it
is generally advisable to do all of the following except?
a) Include people's names when assigning accountability for a task
b) Use specific due dates for each milestone.
c) Clearly describe you milestones


2. In which of the following situations would you prepare a
business plan instead of a business case?
a) To demonstrate the value a new product offering brings to the
organization
b) To decide how to prioritize projects within your group and which
ones to eliminate
c) To plan how your business unit will change over the next five
years to adapt to the competitive market
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

138
3. You've defined an opportunity and identified several viable
alternatives. Which of the following is the best strategy for
narrowing those options?
a) Eliminate any choices that are likely to be unpopular with a key
stakeholder
b) Eliminate elaborate, high-risk options
c) Eliminate the status quo option if it seems unlikely


4. Which of the following statements about the data gathering and
analysis phases of building your business case is accurate?
a) Much of the information you gather relies on making estimates
and assumptions.
b) All of the information you'll need can be gained by talking to
stakeholders.
c) The return on investment (ROI) should be the primary financial
driver for decision making.
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

139
5. You've analyzed your alternatives for pursuing a particular
business. What is the best next step?
a) Draft a high-level implementation plan
b) List the risks associated with each alternative
c) Identify a rationale for making a decision


6. Your colleague, Jack, has made a business case for a project that
requires help from outside consultants. He received approval for
the project, but the finance department never transferred
money for the consultants' fees to his budget. He most likely
failed to:
a) Establish who would be accountable for the project and get a
commitment from these individuals
b) Clearly identify the need to add money to his budget in order to
implement the project
c) Choose a feasible alternative


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

140
7. Which of the following is not good advice for presenting your
business case to decision makers?
a) Include all your calculations up front to show the depth of your
analysis
b) Be concise so your audience focuses on the most important
information
c) Tell a convincing story using descriptive language


8. Which of the following is the best definition of a business case?
a) A document that presents the rationale for justifying a decision
you've already made
b) A guide to how an organization or unit plans to navigate
successfully through its changing business landscape
c) A tool for identifying and considering multiple alternatives
before making a well-informed recommendation to support a
particular option


D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

141
9. You've defined the opportunity for your business case. What is
the best next step?
a) Generate a list of possible alternatives for addressing this
opportunity
b) Make a list of the business objectives that you think key
stakeholders will most likely support
c) Consider how this opportunity can help the company meet its
most important business objectives


10. True or False: You must be able to express each alternative's
potential impact in dollar amounts.
a) True
b) False
D
e
c
e
m
b
e
r

1
2

I
n
f
o
r
m
a
t
i
o
n

S
y
s
t
e
m
s

f
o
r

B
u
s
i
n
e
s
s

142