VWOA: MANAGING IT PRIORITIESMIS5801 – INFORMATION MANAGEMENT | PROF. RICHARD FLANNAGANTEAM # 3

Arias, HumbertoChaves, MarioSalazar, Diego

Business Process of Technology& Organization

Digital Business CouncilCategorize projects, assess inBusiness impact & goals alignment

Program Management OfficeAdministration of IT proposals

IT Steering CommitteeGuide and approve IT projectselection

Next Round GenerationIT project management program

Executive Leadership TeamExecute NRG program

VWOA CONTEXT & IT TEAM

NRG ELT

ITSC

PMO BPTO

DBC

Uwe Matulovic

1992Perrot10-year contract

1999VW AG GroupCreation GedasUSASetting up: “eBusiness teams”

2002Creation BPTO Department

Cutting-back IT employess

VWOA IT PRIORIZATION SWIM LANE DIAGRAM VWoA: Managing IT Priorities

Busi

ness

Uni

tsPM

ODB

C

START Calling Projects

Project presentation according to

criteria

Select TOP3 project

FINISH

Project

Workshop Project

Presentation

Grouping by initiatives and

define dependencies

Categorize by investment type

Categorize by application

type

Prioritize according

goals

Compile proposals

TOP3?Regroup into

5 goals portfolio

Goalaccouracy

YES

NO

ReviewProject

NO

Final Goals portfoliosYES Budget?

Final Approval

YES

NO

Lack ofparallelism

WHAT DID VWOA DID WRONG REGARDING THEIR PRIORIZATION METHOD? HOW DOES IT HAMPER INNOVATION?

• Too many people involved in the process

• Mid-level managers were not involved

• Process is NOT aligned with the available resources ($210MM > $170MM > $16MM)

• Innovation need freely available resources

• Funding requirement is unknown which impact on ROI calculations

• Could deplete found from other projects

• Complex+• Bureaucratic• Lack of proper communication• Template did not sell well the

project• Mid-level managers were not

involved• Idea promoters did NOT

participate in the discussions• Disorder on the project

discussion• Not realistic deliverable time• Diificult to validate project

strategic relevance

• Too many stakeholders involved in the process

• ELT members could hamper innovation process by imposing limits to people

• Projects that may have global impact were not funded

• Does NOT follow Next Round Growth (NRG) strategy

• Global Supply is ignored

RESOURCESAssets

PROCESSESWay of working

VALUESCriteria used to make decisions

QUESTIONS?MIS5801 – INFORMATION MANAGEMENT | PROF. RICHARD FLANNAGANTEAM # 3

Arias, HumbertoChaves, MarioSalazar, Diego