TBM (Technology Business Management) Groundwork/ Foundational Work
The Situation
The CFO was looking to deal with the following issues :
- Business stakeholders did not have a good visibility into their IT costs
- IT teams were not able to provide a quick and detailed view of TCO ( total cost of operation) for a system or systems
- Lack if visibility of costs across segments/ pillars resulted into poor portfolio management decisions
- Cost reporting was not structured and granular enough to make informed decisions on IT investments
Hence the CfO decided it might be a good idea to implement the TBM framework. They wanted to create an initial view and a blueprint that can be evangelized within the organization.
The Task
Understand the current ITFM.
Create a basic outline of the TBM taxonomy.
Provide recommendationS and a roadmap for further implementation.
The Action / Approach
- Conducted a problem space analysis i.e. understood the current portfolio management and cost practices.
- Created a TBM taxonomy baseline with definitions and guidelines for cost pools etc.
- Created a roadmap and a blueprint for implementation.
The Result
- Helped create the blueprint for TBM implementation.
- Provided clear recommendations for optimizations.
- Identified gaps and problem areas – these will lead to $ savings in the future.
- Built a roadmap for implementation.
- Created a structure that will provide greater visibility into IT costs/ investments.
- Provided levers for the business leadership to make informed decisions regarding the IT portfolio.
- Provided improvement suggestions to the Portfolio Management function including a move away from Project toward Products.
Focus In On: Responsible for Digital Business Transformation
New Areas of Value:
Increased credibility, confidence and influence across the business
Successful, timely delivery of evidence-based digital transformational outcomes; beyond digitisation
Improvements around:
The IT function is not aligned to the digital business strategy and vision
Lack of clarity around existing operating model, internal business ecosystem or cross-functional teams
Cynicism, lack of buy-in and resistance to change
Lack of agreement of transformation governance and stakeholder understanding leading to a fragmented approach
Conflict between perception and reality of digital skills, tools, methods and talent required and available
Lack of exec sponsorship and ownership
Lack of availability of the right people at the right time across both business and technology areas
