Rebels and Puritans – Governing Technology-Driven Business Transformations

To deliver their best punch, most (if not all) business transformations involve in some shape or form advanced information technology. In fact, some of the most meaningful transformations are directly motivated by creative use of information technology (on-line selling, high-tech transactions with shared services, use of social media or global supply chain collaboration for new product development, etc.). However, maximizing the use of technology to transform business practices is not as trivial as it may seem at the onset of an idea. The devil is (as always) in the detail, while the patience runs thin as the window of the…

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A Dreaded “Leap of Faith”

Disconnected business and technology transformation frameworks haphazardly crossed by a dreaded “leap of faith” often results in a straight plunge into the twilight zone between business and technology. A number of standard bodies have undertaken initiatives to improve communications between business and information technology experts. As the two worlds (that is, business and IT) drifted apart during the “application explosion” of the nineties and “complexity explosion” of the Y2Ks, the communication gap between them became too apparent to neglect. Key dilemma arises: Should we close the distance by tugging “the intercontinental business cargo ship” to the “free-spirited technology cruise ship”,…

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Value Boundary Setting

Sophisticated competitive analysis methods easily get out of hand if they are not balanced with value chain thinking. Learning obtained by deep and comprehensive competitive analysis serves many purposes for the long term strategic roadmap, but overwhelming detail can obscure the common sense and often impede the execution focus. What history teaches us is the best defense is considered to be the one that takes advantage of the landscape. Thus, in day of old, most coveted fortification spots were the ones surrounded by water from at least two sides (three was the best choice), and preferably on elevated ground (so…

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How to Save $5 Billion

A colleague of ours from a well-known European-based technology company recently asked us to explain this statement from one of our presentations:  “With 6 industry-specific Value Reference Models distributed to the global marketplace the VCG envisions a potential savings of $5 billion in non-value added work.” VCG Methodologist Vasco Drecun and I provided this answer relative to a typical global customer case: 1)      For a company to do business process analysis and business needs assessment for Integrated Business Planning the right way, each company must pay at least $100K to firms like Oliver Wight, Delloitte, Accenture, etc. 2)     To capture the…

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Architects Wanted

Recently, I came across a number of discussions regarding the purpose and meaning of Enterprise Architecture at The Enterprise Architecture Network . Interesting discussions for sure, but my main problem with the large number of posts was that they were mostly introverted, debating the organizational structure of the EA, arguing for influence over governance of corporate assets, etc.… I don’t think that at this stage that it is critical to define Enterprise Architecture as a professional discipline within IT or other corporate function, as much as it is to clearly describe what it should do, and perhaps what it may not be able…

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Value Chain Blogging

The Value Chain Group has been in operation since 2004. The journey to date is amazing. Value Chain Group started with a enterprise-wide Value Chain Reference Model (VRM) and has grown, by real business experience, a compendium of value chain and business process content that is now the Business Process Transformation Framework (BPTF). The Value Chain Group’s Business Process Transformation Framework provides the value chain building blocks, the value chain segmentation practices and the integrated continuous improvement program to fully align the people, business process and technology integration for business.  The Integrated Continuous Improvement Methodology (ICIM) promotes consensus between the value chain partners…

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