standing up a business capability management office: a

The Business Architecture Summit

STANDING UP A BUSINESS CAPABILITY

MANAGEMENT OFFICE:

A REPORT FROM THE FIELDTODD SICARD

BUSINESS CAPABILITY MANAGEMENT DIRECTOR, BLUE CROSS BLUE SHIELD OF MINNESOTA

12/06/2018THE BUSINESS ARCHITECTURE SUMMIT 1

ABSTRACT

Blue Cross Blue Shield of Minnesota has newly created a team of three to perform capability management

functions for the enterprise. Since April 2019, this team has worked to define & introduce themselves, develop

baseline models & practices, and gain traction & deliver value. Through the progress forward, there have been

wins, misses. Using MN's experiences as a touchpoint, this will be an interactive session sharing experiences

and lessons learned.

Laugh, cry, cringe, and cheer - but most of all - learn!

OUR CORPORATE CONTEXT

New concept of a “Stella Health” umbrella with an overarching mission

Fundamental, underlying technology swap & pivot

Company’s been changing operational platforms for the past few years

Accumulating business & technical debt

New leadership

New strategy

OUR SCENARIO

New department / new role / new team / new leaders / new players

All players have both industry and company experience (WHEW!)

Some corporate experience with a capability model, mappings, and roadmaps

…but that’s all entangled with "feelings"

Corporation isn’t yet sure where we fit / how we fit / when we fit / why we fit

…and sometimes we're not that far ahead of them!

THIS. IS. INTERACTIVE.

LET’S PRACTICEINTERACTIVE PRACTICE #1: TELL ME SOMETHING I DON’T KNOW

INTERACTIVE PRACTICE #2: BE PROFOUND IN TEN WORDS OR LESS

INTERACTIVE PRACTICE #3: LET ME FLIP TO THE NEXT SLIDE & MOVE ON


OUR OWN DOG FOOD:

People Process Technology InformationKey

Performance Indicators

PEOPLE

Collaboration & boundaries

IDEASGood Better Best

Strategy Office

Business Leaders

Cap Mgmt

SME’s

Finance

Corp Dev

Risk Mgmt

EMPO

IT

HR

Vendor Mgmt

Vendors

People Process Tech Info KPI’s

CAPABILITY PROCESSPeople Process Tech Info KPI’s

Understand direction and

expected outcomes.

Identify the core and

supporting abilities that are

needed.

Find the gaps in each

capability’s current readiness

for the end state.

Evaluate each capability’s

strategic placement, size, and

gaps.

1. Engagement outline

2. Solution model w/

minimum viable product

(as needed)

3. Target capability model

4. Impact to Enterprise

Capability Model

5. Raw assessment scores

6. Raw heat map & gaps

7. Raw assessment notes

8. Capability strategic

alignment

9. Capability weighting

10. Weighted heat map

11. “Key” gaps to MVP & ideal

12. Capability Roadmap

13. Build v. Buy

Recommendation

14. Capability Assessment

Summary

KEY POINT

WORK PRODUCTS

Determine 1) what gaps are to

be filled over time to achieve

interim and end states; 2)

which capabilities should be

internal.

UnderstandModel &

AlignAssess Analyze Roadmap

PROCESS: IDEA TO INITIATIVE


Idea

Strategy

Tactics

Clie

nt

& M

arke

tpla

ce

Idea

IdeaIdea

LOB / P&L

LOB / P&L

LOB / P&L

IdeaIdea

Tactics

Idea

Tactics FU

ND

ED

EX

EC

UT

ION

Miracle


TECHNOLOGY

Surveys: Teams Forms, Perceptix, Survey Monkey

Visualization: Visio & Access/Excel, Sparx

Metadata: Excel, Word

Model: Access, Sparx

Publishing: PowerPoint


INFORMATION

It is Known

Enterprise capability model &

metadata

Strategic goals & alignment

Gaps & marketplace demands

Existing investments

Existing assets: systems, data,

vendors, suppliers, etc.


It is Analyzed

Capability strategic alignment

Gap relative impact =f(readiness, relative size, strategic alignment)

Build v. buy

Roadmap: gap to state

It is Discovered

Scope, objectives, success criteria,

solution outline

Current, interim, and final states

Subject area capability models

Capability current state and gaps

Maturity v. Readiness

INFORMATION MODEL

Stella StrategyStella Strategy

Operating ModelsSolution Models

Interim States #2+Interim States #2+

Roadmap

Capability Increments


Business Goal(s)

End State


...what s needed when..

People

Process

Technology

Information

KPI s

...what we need to be able to do...

Interim States

Minimum Viable

Weighting & StratificationInter-Dependencies

Weighting & StratificationInter-Dependencies

Build v. Buy

Stella Strategies

Capabilities

Readiness Gaps

Current State

...what s needed for each state...

...the difference between current & future...

Execution



Initiatives, Programs, & Projects


KPI’S

% Senior leadership socialization, one-on-ones, etc.

# Engagements

$’s of scope within engagements

% Utilization prior to funding request

Demand v. capacity


What’s the value of a good decision, well informed?

What’s the value of a bad decision avoided?

NEXT STEPS

Take work where we can, provide actionable value and succeed

Continue to practice, learn, and mature ourselves

Develop our own capability model?

Models

Metadata

Assess

Analyze

APPENDIX


People

Skills

Training

Process

Effectiveness

Documentation

Optimization

Technology

Ease of Use

Meets Current & Future Needs

Information

Accessibility

Accuracy

Timeliness

Key Performance

Indicators

Defined

Meets Expectations

ReadinessAssessment

q Fully

q Mostly

q Some

q None

STRATEGIC ALIGNMENT


StrategicCapabilities

High value but little direct financial impact

Business NecessityCapabilities

Not seen driving financial performance or value

AdvantageCapabilities

Create differentiating distinctions and financial

performance

EssentialCapabilities

Drive financial performance but not value

Financial ImpactLower Costs / Higher Revenue

Val

ue

Impa

ctIn

tern

al a

nd

/or

Exte

rna

l2.1 This3.1 That

3.2 The Other

1.2 Must1.3 Gotta

1.4 It s the Law

Strategic

Necessity

Advantage

Essential

4.1 Cool4.2 Super Cool4.3 Hyper Cool4.4 Tesla Cool

4.5 SpaceX Cool

1.1 Optimize2.2 Squeeze

2.3 Spend to Save

Financial

Value

ROADMAP RADAR (TOGAF)


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