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Professionalizing Business Analysis Breaking the Cycle of Challenged Projects IIBA Greater Boston Ch

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Title: Professionalizing Business Analysis Breaking the Cycle of Challenged Projects IIBA Greater Boston Ch


1
Professionalizing Business Analysis Breaking
the Cycle of Challenged ProjectsIIBA Greater
Boston Chapter MeetingJanuary 2008
2
Agenda
  • The Problem with Projects
  • Enter the IIBA
  • Exponential growth
  • The BA Body Of Knowledge
  • Certified BA Professional
  • Enter the Business Analyst
  • The BA Role Past and Future
  • Managing Projects for Value
  • Emerge the BA CoE
  • Benefits
  • Implementation Considerations
  • Summary Breaking the Cycle of Challenged Projects

3
The Problem with Projects
  • Too large
  • Too complex
  • Take too long
  • Almost always involve a significant IT component
  • Constant pressure to deliver
  • Faster
  • Better
  • Cheaper
  • Riddled with risk
  • Unproven technology
  • Outsourced, global teams
  • Enterprise-wide implementations

4
The Past a Dismal Record
5
The Present Still Troubling
Nearly ? of all projects fail or run into
trouble.
6
The Cost of Failure
80-145 billion per year is spent on failed and
cancelled projects
  • 25-40 of all spending on projects is wasted as
    a result of rework (Carnegie Mellon)
  • 50 are rolled back out of production (Gartner)
  • 40 of problems are found by end users (Gartner)

Source surveys by the The Standish Group
International
7
What Have We Learned About Project Failure?
  • Projects are too big and too complex
  • Big projects fail more often
  • Projects are not iterative
  • Traditional PM has higher failure rates
  • Adaptive PM methods are emerging
  • Requirements are ambiguous
  • 60-80 of project failures attributed directly
    to requirements
  • Business involvement inadequate
  • Business alignment questionable
  • Business value not the focus

8
21st Century Projects
  • Virtually all organizations of any size are
    investing in large-scale transformation of one
    kind or another
  • Contemporary projects are about adding value to
    the organization through
  • Breakthrough ideas
  • Optimizing business processes
  • Using information technology (IT) as a
    competitive advantage
  • I think the 21st century will be the century of
    complexity.
  • Professor Stephen W. Hawking, PhD

9
Why so Much Complexity?
  • Initiatives are often spawned by
  • Mergers or acquisitions
  • New strategies
  • Global competition
  • Emergence of new technologies
  • The need to drive waste out of the business
  • Most changes accompanied by
  • Organizational restructuring
  • New partnerships
  • Cultural transformation
  • Downsizing or right-sizing
  • Enabling IT systems
  • Others implement new lines of business and new
    ways of doing business (e.g., e-business)

10
The Nature of Project Complexity
Source The Standish Group International
11
Project Complexity, continued
12
The New Project Leadersare Strategy Executors
  • In the past, PMs were primarily implementers of
    solutions
  • Narrow orientation focused on technical
    implementations
  • Skills narrow focused on budget, schedule, specs
  • Role undergoing major transformation due to new
    business realities
  • Effective project management tantamount to
    effective business management
  • Skills broadened, encompassing all aspects of
    business management
  • Business Analyst role professionalizing
  • Project leadership teams emerging

13
How Well Do We Execute Strategy?
  • Studies indicate that less than 10 of strategies
    successfully formulated are effectively executed
  • 85 of executives spend less than one hour per
    month on strategy
  • 95 of the workforce dont understand their
    organizations strategy
  • 60 of organizations do not link strategies to
    the budget
  • 70 of organizations do not link strategies to
    incentives
  • Source David Norton, Project Balanced Scorecards
    a Tool for Alignment, Teamwork and Results.
    ProjectWorld The World Congress for Business
    Analysts Conference Proceedings, November 2005

14
How Does It Work?
Business Results
Strategic Goals
Business Case
Project Performance
Strategic Focus
15
Enter The IIBA (www.theiiba.org)
16
Critical IIBA Information
  • Vision
  • To be the worlds leading organization for
    business analysis professionals
  • Mission
  • To develop standards for the practice of business
    analysis and for the certification of its
    practitioners
  • History
  • Inaugural meeting October 2003
  • First Annual General Meeting, March 2004
  • Draft of version 1.4 of the BOK, October 2005,
    1.6, July 2006
  • Version 2.0 available to the membership by
    February 2008

2003
2007
17
IIBA Body of Knowledge
  • NOT a methodology and does not prescribe or favor
    a methodology
  • NOT a how to do manual focuses on the what
    and offers generally accepted techniques for
    consideration

18
How Far We Have Come
  • Worldwide Membership 6500
  • Chapters 80
  • Countries 60
  • CBAPs 200
  • BA World and World Congress of Business Analysis

2003
2007
19
Enter the Professional Business Analyst
  • Those organizations that are first to acquire and
    master Business Analysis competencies, and
    elevate them to a leadership role, will
  • React to and pre-empt changes in the marketplace
  • Align projects to business strategies
  • Flow value through the enterprise to the customer
  • Achieve competitive advantage

20
Typical Business Analyst
  • 40 years old
  • Well educated
  • Paid 78K per year
  • Hails from IT
  • More than 5 years experience performing BA
    functions
  • 36 gt 10 years
  • Analysis skills acquired on the job
  • Disturbingly, they report
  • Most of their projects do not deliver all
    requirements

Source The New Business Analyst A Strategic
Role in the Enterprise, November 2006 Evans Data
Corporation Research Study
21
Ambiguity in the BA Role
Conclusion there is a need for Business Analyst
competency and career path definition
Source The New Business Analyst A Strategic
Role in the Enterprise, November 2006 Evans Data
Corporation Research Study
22
Business Analyst Career Path
23
Alternative Business Analyst Career Path
24
Staffing Surveys Reveal Increasing Demand for
Senior BAs Who are Multi-Skilled
25
Business Analyst Organizational Placement
26
BA Role - The Past
27
BA Role The Future A Critical Role Throughout
the Project Life Cycle
28
Business Analyst Role - Study Period
  • The executive team cannot affect the transition
    to a strategy-focused organization alone
  • Information, process, tools and facilitation are
    provided by the Business Analyst to enable the
    organization to shift focus and activities to be
    strategy driven
  • Conduct analysis to inform the portfolio planning
    team
  • Create and maintain the business architecture
  • Conduct feasibility studies to determine optimal
    solution
  • Prepare the business case

29
Business Analyst Role - Implementation Period
  • Planning Business Analysis activities
  • Requirements elicitation
  • Requirements analysis
  • Requirements specification
  • Requirements validation verification
  • Requirements allocation and tracing
  • Requirements change management
  • Organizational change management

30
Business Analyst Role Managing the Business
Value
  • During the project life cycle
  • Once projects are funded, they must be managed
    throughout the project life cycle to ensure that
    the business case remains valid and continued
    investment in the project is still warranted
  • After solution delivery
  • Once the project delivers the new business
    solution, the Business Analyst ensures
    organizational measurements are in place
  • Actual benefits that are achieved vs.
  • Benefits promised in the business case
  • For solution enhancements

31
Business Solution Value
Value Benefits Costs to Develop, Operate and
Retire
Project Costs
Business Value
Deployment
Cost to Develop, Operate and Retire the Solution
32
Where do Exceptional Business Analysts Come From?
  • As with any leadership role, competency comes
    from
  • Acquiring education and training
  • Seeking mentoring and coaching
  • Leveraging organizational support
  • Setting up communities of practice
  • Jumping in headfirst to learn the discipline

33
Emerge the BACoE
  • Those organizations that are first to acquire and
    master Business Analysis competencies, and
    elevate them to a leadership role, will
  • React to and pre-empt changes in the marketplace
  • Align projects to business strategies
  • Flow value through the enterprise to the customer
  • Achieve a competitive advantage

34
Benefits of CoEs
  • Deliver strategic projects more effectively
  • Accuracy of cost estimates improved 25
  • Accuracy of schedule estimates improved 31
  • Project stakeholder satisfaction improved 9
  • Boosts productivity by ensuring priority projects
    get the most attention
  • Complete more projects on time and within budget
    with fewer resources
  • Allocate majority of resources to highest
    priority projects
  • Saved more than 3 million by reducing the number
    of small projects from 233 to 13
  • Deliver a return in three to six months

Source Santosus, Megan. Office Discipline
Why You Need a Project Management Office. CIO
Magazine, Jul. 1, 2003.
35
Increase in Value Over Time
  • The Longer You Have Them,The Better They Work

Source PMOs The Longer You Have Them, The
Better They Work, CIO Magazine, Jul. 1, 2003.
lthttp//www.cio.com/archive/070103/office_sidebar_
2.htmlgt (30 November 2004). CIO/PMI survey
36
CoE Implementation Considerations
  • Scope of disciplines PM, BA, SE, IT, QA
  • Organizational alignment and positioning
  • Organizational maturity
  • Implementation approach
  • Focus on value

37
CoE Functions
38
CoE Maturity Model
39
BA CoE Implementation
40
Demonstrate Value
  • CoEs must deliver value to survive
  • Value is not templates, tools, methodology,
    processes, training these are means to driving
    value
  • Value is gaining efficiencies, achieving cost
    savings, increasing customer satisfaction,
    reducing time-to-market, increasing revenue and
    profit, reducing deficits, or increasing
    competitive advantage
  • Too many CoEs wrap their mission and existence
    around the services they provide instead of their
    impact on the business
  • Executives buy value
  • Source http//www.chiefprojectofficer.com/article
    /146

41
Start Small Transition to Complex Projects
Project Complexity Model
42
Focus on BA MaturityCompassBATM Maturity Model
Continuous Improvement
Strategic/ Enterprise Focus
  • Organizational BA practices
  • Continuous BA process tool improvement
  • Maturity assmt.
  • Requirement defect prevention
  • Individual BA practices
  • Knowledge skill assmt.
  • Professional development plans

Organizational Focus
  • BA Center of Excellence
  • Business architecture
  • Feasibility studies
  • Business cases
  • Portfolio mgmt.
  • Resource mgmt.
  • Benefits mgmt.
  • Quantitative BA process mgmt.
  • Requirement defect tracking

Project Centric
  • Requirements
  • Communication
  • Traceability
  • Risk Mgmt
  • Solution quality
  • Allocation
  • Assessment
  • Verification validation
  • Deployment strategy
  • Org. deployment readiness
  • Defined, integrated BA
  • Standards tools
  • Training program

Ad Hoc
  • Requirements
  • Planning
  • Elicitation
  • Analysis
  • Specification
  • Prioritization
  • Validation
  • Change Mgmt.
  • Informal, inconsistent processes
  • Unstable environment
  • Most projects do not deliver all requirements

43
Expect Challenges
  • PMs and BAs applaud their increased control
  • But loathe the accountability
  • Managers delight in the visibility into project
    progress
  • But scoff at the added level of communication
    needed to get things done
  • Executives like the deliberate assignment of
    responsibilities
  • But balk at the investment necessary to support a
    central resource
  • Source Dr. Donn Di Nunno CCP, CDP, IT Owes
    Much to PMOs.
  • 2005 Engineering, Management Integration, Inc

44
Breaking the Cycle of Challenged Projects
  • Core project leadership team
  • Collaboration vs. control
  • Iterative, adaptive solution development
  • BA maturity
  • Interdisciplinary CoE
  • Complexity management
  • Project Benefits/value management

45
Combining Disciplines Leads to Success
  • An elevated role for the Business Analyst
  • A great team core team leadership
  • Business analyst
  • Project manager
  • Business visionary
  • System architect/lead developer
  • Each taking the lead depending on the project
    needs
  • Determined to break the cycle of challenged
    projects

46
Traditional Project Team
Business Sponsor

Business Team End-users

Team Leads
BusinessVisionary
DevelopmentTeam


Project Manager
Architect
Test Manager
IT Architecture Team
Test Team
BusinessAnalyst




47
Core Project Leadership Team
Business Sponsor
Team Leads
DevelopmentTeam
Business Team End-users
BusinessVisionary
Test Team
Test Manager
Project Manager
IT Architecture Team
Architect
BusinessAnalyst
SMEs
48
Structure Projects to Reduce Risk and Complexity
Follow the Recipe For Project Success
Source The Standish Group International
49
Q and A
  • For Further Information
  • Kathleen B. (Kitty) Hass, PMP
  • Project Management and Business Analysis
  • Practice Leader
  • KHass_at_managementconcepts.com

50
Combining Disciplines Leads to Success
Incident and Problem
Change And Release
Configuration
Availability
Service Level
Service Cont.
Monitoring
Capacity
Cost
IT Operations ITSM/ITIL/COBIT
IT App Dev CMMI / Agile / Iterations
BA/PM BABOK / PMBOK
Breadth
Operations and Maintenance
Time
Test
Design
Requirements
Deployment
Construction
51
IIBA Definitions
  • Business Analysis
  • The set of tasks, knowledge, and techniques
    required to identify business needs and determine
    solutions to business problems
  • Business Analyst
  • Identify the business needs and help determine
    solutions to business problems
  • Responsible for requirements development and
    requirements management
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