Moving ITBI From

1
From Reactive to Proactive
Moving IT/BI From Reactive to Proactive
in Process Performance Improvement
2

From Reactive to Proactive

• FACTS
• 92 of Senior Managers report critical or
  important need to improve performance management
  (The Economist, Price Waterhouse Coopers)
• Less than 35 of Senior Managers base decisions
  on internal corporate data (EDI research paper)

3

From Reactive to Proactive

• What is BIs role?
• Show potential optimal intersections of sales,
  marketing, finance, and supply chain functions
• -or-
• Decision makers resource for managing
  performance improvement
• Getting the right information
• To the right people
• For the right decisions

4

Moving IT/BI From Reactive to Proactive in
Performance

• Objectives
• How to move IT from a system/data management
  organization to a
• leadership role in enterprise performance
  improvement.
• How to move BI from a marketing role to a
• strategic initiative driver

5

From Reactive to Proactive

• Enterprise Performance Improvement optimizing
  the capabilities and efficiencies of the
  organizations strategic processes toward
  maximizing customer loyalty, market demand,
  efficiencies, and profit.

6

From Reactive to Proactive

• BI / IT is the logical leader for enterprise
• performance improvement.
• BI/IT is unique in its
• Capabilities
• Context of knowledge
• Perspective

7

From Reactive to Proactive

• Strategic processes are the key to performance
• improvement
• Produce and/or deliver key products and services
• critical to competitive position
• Cross functional / enterprise wide
• link to the strategic objectives
• How customers see the organization
• Strategic processes are abstract.
• They are best understood with metrics.

8

From Reactive to Proactive

• Enterprise performance improvement
• Links improvement efforts to and facilitates
  accomplishing strategic objectives
• Is enterprise wide, internal and external, in
  scope and breadth
• Links all functional groups and all levels to
  profitability and execution of strategy
• Is systemic in nature

9

From Reactive to Proactive
The steps

• ID the strategic processes
• Link the processes to strategic goals and
  objectives
• Define enterprise metrics for the processes
• ID existing and missing metrics
• Tie existing intelligence information to the
  processes
• Build a data model for each process

• Create missing metrics
• Identify critical performance improvement
  processes
• Form a Performance Improvement Campaign Team
• Map and analyze the process
• Locate key improvement areas
• Form tactical teams around improvement areas
• Design and test changes
• Implement changes and verify gains
• Enhance the BI data base

10

From Reactive to Proactive

• Step 1. ID the strategic processes
• Produce and/or deliver key products and services
• critical to competitive position
• Cross functional / enterprise wide
• link to the strategic objectives
• How customers see the organization

11

From Reactive to Proactive

• Step 2. Define enterprise metrics for the
  processes
• Full scope
• Quality, cost, productivity
• Reflect the strategic goals and objectives

12

From Reactive to Proactive

• Step 5 Tie existing intelligence information
• to the process and design reporting metrics
• What is useful and what is not, the right
  information for the strategic objectives
• Structuring and organizing the data, the right
  detail for the right people
• The Goal performance improvement, getting the
  right information to the right people for the
  right decisions

13

From Reactive to Proactive

• Step 8 Identify critical performance
• improvement processes
• What is useful and what is not
• Structuring and organizing the data
• Getting the right information to the right people
  for the right decisions

14

From Reactive to Proactive

• 15. Enhance the BI data base
• Refining what is useful and what is not
• Building from the experience
• Creating an efficient performance improvement
  tool.