ICT in Business

ICT StrategyPart 3a: Understanding the present situation

Bas Kruiswijk

Leiden University, April 2010

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Analyzing the application portfolio

• ICT assessment– Categorize the application portfolio by quality and

importance• Portfolio analysis

– Categorize applications as “Strategic”, “High potential”, “Key operational” and “Service”

• Analysis of project portfolio– Which current or planned projects contribute to

solving issues found in the assessment / portfolio analysis

• ICT opportunityscan– Which technological opportunities contribute to

solving issues found in the assessment / portfolio analysis

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ICT AssessmentKey questions

• Key questions– Which information systems (applications)

are in place or planned– What is their strategic importance– What is their operational importance– What is the end-user quality– What is the quality in terms of

maintenance– What are the exploitation costs

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ICT AssessmentImportance

Strategic• What is the contribution

of an application to specific strategic goals?

• Does the application support the organization in realizing the business strategy?

Operational• What is the contribution

of an application in the support of the primary and secondary processes?

• Does the primary process depend on the application?

• How critical is the application to the primary process?

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ICT AssessmentQuality

End-user• Quality of the information

(accurate, complete, timely, precise, verifiable)

• Quality of the application (reliable, effective, efficient, robust)

Maintenance• Flexibility• Maintainability• Testability• Portability• Connectivity• Reusability• Extendability

• Is the application up-to-standards?

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ICT Assessment

Invest Healthy

Ignore Service

Importance vs. quality

Importance

Qu

ali

ty

+

+-

-

Quality

Use

Maintenance

+

+-

-

Importance

Strategic

Operational

+

+-

-Exploitation costs

< 1 Million

1 – 2 Million

> 2 Million

Information system

1 = Personnel2 = Sales3 = Finance4 = Salary5 = Project6 = Procurement7 = Production

6

4

6

52

1 5

7

3

2

1

21

4

6

5

37

3

4

7

Source: SoftwareEngineering ResearchCentre (SERC)

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Portfolio analysis

Strategic High potential

Applications that are critical to sustaining future business strategy

Applications that may be important in achieving future success

Applications on which the organization currently depends for success

Applications that are valuable but not critical to success

Key operational Support

Source: McFarlan

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Portfolio analysisClassifying the applications (1)

• Questions (for every application (component)); – If the development succeeds will it…

OR– Is the application delivering benefits that…a) Result in a clear competitive advantage for the business?b) Enable the achievement of specific business objectives

and/or critical success factors?c) Overcome known business disadvantages in relation to

competitors?d) Avoid foreseeable business risks becoming major problems

in the near future?e) Improve the productivity of the business and, hence,

reduce long term costs?f) Enable the organization to meet statutory requirements?g) Provide benefits not yet known, but may result in a) or b)?

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Portfolio analysisClassifying the applications (2)

a) Result in a clear competitive advantage for the business?b) Enable the achievement of specific business objectives and/or critical success factors?c) Overcome known business disadvantages in relation to competitors?d) Avoid foreseeable business risks becoming major problems in the near future?e) Improve the productivity of the business and, hence, reduce long term costs?f) Enable the organization to meet statutory requirements?g) Provide benefits not yet known, but may result in a) or b)?

High potential

Strategic

Key operational

Support

a) Yes

b) Yes

c) Yes

d) Yes

e) Yes

f) Yes Yes

g) Yes

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Example portfolio classificationexample for manufacturing company

Strategic High potential

* Direct marketing and telesales** Advertising and promotion-campaign man.** Sales forecasting? Customer Relationship management

** E-procurement? On-line customer specification system** Product tracking? Product profitability analysis** Data warehouse / customer analysis

* Product database / Inventory management* Order processing, dispatch, invoicing* Production control* Purchasing materials() Costing systems() Sales analysis* Warehouse management* Wholesaler EDI

* Payroll and personell systems* Ledgers (AR/AP)* General ledger and budgetting* Office systems() Purchasing – General* Samples management

Key operational Support

* Existing system() Existing system needs improvement

** Planned system? Potential system

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Support of business processesBottlenecks and blind spots

• Bottle-necks– Support of business process– Maintenance costs– Flexibility (future changes)

• Blind spots– Lack of support of business processes

• Possible improvements– Different applications supporting the same

business processes– Achieve efficiency by integration or

improvement of applications

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Analysis of project portfolioCurrent or planned projects

• Current plans for the future– What are the ongoing or planned projects

(new applications or renewal of existing ones)

• Key questions – will these projects…– Resolve bottlenecks– Fill-in blind spots– Take advantage of technological

opportunities

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Technological opportunities

• How can ICT contribute to resolve the bottle-necks and fill-in the blind spots?

• How can ICT contribute to the realization of business goals?

– ICT Opportunity scan– Analysis of ICT Trends

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ICT opportunityscan

Market potentia

l

Few specialist

s (laborato

ry)Prototype

Proven

Investments

Maturity

Let it grow Use

Be aware Explore

Quantum computing

Virtual reality

Workflow management

Email

Portals

Web enabling

Mobile communication

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IT Trends

Cash generation

Market growth

Source:IT Trends Institute,Trends in IT 2002Based on BostonConsulting matrix

Mobile internet

Virtual realityPSABluetooth

UMTS Jini.NET / J2EE

HLT

P2PW-LAN

Voice PortalsVoIP

ASPe-CRM

SCM

Web services

XML

ADSL

Business Intelligence

Linuxe-Commerce

e-Business

SAN e-PaymentSmartcards

WAP

Network computer

DNS HTML

Groupware

EDI

OOPDA’s

Mobile telecom

Internet

IntranetWarehouses ERP

DSS/EIS/MISMiddleware

Call CenterDIS

email

CASE / 4GL

‘Question marks’ ‘Stars’

‘Dogs’ ‘Cash cows’low high

low

high

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Gartner’s Hype cycle

Source: Gartner Group

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Example 1

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OnderzoekenLeren

Hanze portaal

Infrastructuur

kantoorautomatisering

Ket

enpo

rtaa

lM

anagementportaal

bedrijfsvoering

leren kwalificeren

kernregistraties

mail en agendaarchivering

documentmanagement

samenwerken(conferencing, forum

chat)zoeken

identificatieauthenticatieautorisatie

monitoringlogging

Middleware

Ver

antw

oord

ings

rapp

orta

geM

anagementrapportage

primair proces

onderzoeksvraag

haalbaarheidscheck

uitvoeringOpleverings-resultaten

opbouwenportfolio

StudentVolg

Onderzoeksmanagement

studenten

beherenstudent-

gegevens

faciliteiten

beherenfaciliteiten

personeel

beherenpersoneel

onderwijs-aanbod

beherenonderwijs-

aanbod

content

beherenkennis

financiën

beherenfinanciën

relaties

beherenrelaties

beheren

Opdracht-formulering

planning

onde

rste

unen

best

uren

uitv

oere

n

projecten

beherenproject-

gegevens

beschikbaar stellen

instroom planning

uitvoering toetsing uitstroom

Onderwijslogistiek

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OnderzoekenLeren

Hanze portaal

Infrastructuur

kantoorautomatisering

Ket

enpo

rtaa

lM

anagementportaal

bedrijfsvoering

leren kwalificeren

kernregistraties

mail en agendaarchivering

document management

samenwerken(conferencing, forum

chat)zoeken

identificatieauthenticatieautorisatie

monitoringlogging

Middleware

Ver

antw

oord

ings

rapp

orta

geM

anagementrapportage

primair proces

opbouwenportfolio

StudentVolg

studenten

beherenstudent-

gegevens

faciliteiten

beherenfaciliteiten

personeel

beherenpersoneel

onderwijs-aanbod

beherenonderwijs-

aanbod

content

beherenkennis

financiën

beherenfinanciën

relaties

beherenrelaties

beherenonde

rste

unen

best

uren

uitv

oere

n

projecten

beherenproject-

gegevens

beschikbaar stellen

instroom ontwikkeling planning

uitvoering toetsing uitstroom

Onderwijs logistiek

Video-conf

BB ewo

MSN

BBsearch

O-bestanden

RegistratieMAC adressen

ActiveDir

Maggieprinters Outlook BB CS DECOS

Topdesk

LanDesk

HSA Alumni Multivers Questor

Accra

BB CS

WINIBW

MS-CMS

Urenregistratie OMR

Planon

Chipnet

Caso

HPA Verlof

PMFP&O

Mentor

Dashboard

Mavim

Hanze.nl OWA BB intranet

BB Elo

EFJ

Progress

Edukaat

RPDB

Mavim Web

Dashboard-Web

Moveon

ACTO

Kengetallen-site STAD

Kengetallen-site STAD

Uur 400

Humannet

Fuwasys DVS

Hanzetel

MS office

Googlemini

Trinicom

Multivers

Voorlichting-systeem DOP

Progress

SNAP

Officenet

Multivers

FMS

FAK-E

onderzoeksvraag

haalbaarheidscheck

uitvoeringOpleveringresultaten

OnderzoeksmanagementOpdracht-formulering

planning

MS-Project

ADS-IMPORT

ProgressWWW

WRB

Indato

BB CS DOP

Progressstage BB

Group-tool

QuestionMark

Perception

Syllabus+

ACTO StageQ ADS-

ORGMEMBER

© Twynstra20

OnderzoekenLeren

Hanze portaal

Infrastructuur

kantoorautomatisering

Ket

enpo

rtaa

lM

anagementportaal

bedrijfsvoering

leren kwalificeren

kernregistraties

mail en agendaarchivering

documentmanagement

samenwerken(conferencing, forum

chat)zoeken

identificatieauthenticatieautorisatie

monitoringlogging

Middleware

Ver

antw

oord

ings

rapp

orta

geM

anagementrapportage

primair proces

opbouwenportfolio

StudentVolg

studenten

beherenstudent-

gegevens

faciliteiten

beherenfaciliteiten

personeel

beherenpersoneel

onderwijs-aanbod

beherenonderwijs-

aanbod

content

beherenkennis

financiën

beherenfinanciën

relaties

beherenrelaties

beherenonde

rste

unen

best

uren

uitv

oere

n

projecten

beherenproject-

gegevens

beschikbaar stellen

instroom ontwikkeling planning

uitvoering toetsing uitstroom

Onderwijs logistiek

Video-conf

BB ewo

MSN

BBsearch

O-bestanden

RegistratieMAC adressen

ActiveDir

Maggieprinters Outlook

BB CS DECOS

Topdesk

LanDesk

HSA

Trinicom

Multivers

Alumni Multivers Questor

Accra

BB CS

WINIBW

MS-CMS

Urenregistratie

ACTO

Planon

Chipnet

Caso

HPA Verlof

PMFP&O

Mentor

Dashboard

Mavim

Hanze.nl OWA BB intranet

BB Elo

EFJ

Progress

Edukaat

RPDB

Mavim Web

Dashboard-Web

Moveon

Kengetallen-site STAD

Kengetallen-site STAD

Uur 400

Humannet

Functionele kwaliteit van de

applicaties

Fuwasys DVS

Hanzetel

MS Office

Voorlichting-systeem

Googlemini

ACTO

SNAP

Officenet

Multivers

FMS

FAK-E

DOP

Progress

onderzoeksvraag

haalbaarheidscheck

uitvoeringOpleveringsresultaten

OnderzoeksmanagementOpdracht-formulering

planning

MS-Project

ADS-IMPORT

ProgressWWW

WRB

Indato

BB CS DOP

Progressstage BB

Group-tool

QuestionMark

Perception

Syllabus+

ACTO StageQ ADS-

ORGMEMBER

© Twynstra21

OnderzoekenLeren

Hanze portaal

Infrastructuur

kantoorautomatisering

Ket

enpo

rtaa

lM

anagementportaal

bedrijfsvoering

leren kwalificeren

kernregistraties

mail en agendaarchivering

document management

samenwerken(conferencing, forum

chat)zoeken

identificatieauthenticatieautorisatie

monitoringlogging

Middleware

Ver

antw

oord

ings

rapp

orta

geM

anagementrapportage

primair proces

StudentVolg

studenten

beherenstudent-

gegevens

faciliteiten

beherenfaciliteiten

personeel

beherenpersoneel

onderwijs-aanbod

beherenonderwijs-

aanbod

content

beherenkennis

financiën

beherenfinanciën

relaties

beherenrelaties

beherenonde

rste

unen

best

uren

uitv

oere

n

projecten

beherenproject-

gegevens

beschikbaar stellen

instroom ontwikkeling planning

uitvoering toetsing uitstroom

Onderwijs logistiek

Video-conf

BB ewo

MSN

BBsearch

O-bestanden

RegistratieMAC adressen

ActiveDir

Maggieprinters Outlook

BB CS DECOS

Topdesk

LanDesk

Alumni Multivers

Questor

Accra Officenet

BB CS

WINIBW

MS-CMS

Multivers

FMS

FAK-E

ACTO

Planon

Chipnet

Caso

HPA Verlof

PMFP&O

Mentor

Fuwasys

Dashboard

Mavim

Hanze.nl OWA BB intranet

BB Elo

ProgressWWW

EFJ

WRB

Indato

BB CS DOP

Progressstage BB

Group-tool

QuestionMark

Perception

Progress

Edukaat

RPDB

Syllabus+

ACTO

Mavim Web

Dashboard-Web

StageQ Kengetallen-site STAD

Kengetallen-site STAD

Uur 400

Humannet

DVS

Hanzetel

MS office

Trinicom

Multivers

Voorlichting-systeem

Googlemini

ACTO

SNAP

DOP

HSA

Moveon

Progress

opbouwenportfolio

Technische kwaliteit van de

applicaties

onderzoeksvraag

haalbaarheidscheck

uitvoeringOpleverings-resultaten

OnderzoeksmanagementOpdracht-formulering

planning

MS-Project

Urenregistratie

ADS-IMPORT

ADS-ORGMEMBER

© Twynstra22

Business processes - Applications