BENEFITS BENEFITS MANAGEMENTMANAGEMENT

USE OF ITUSE OF IT

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Benefits ManagementBenefits Management

Different benefits Different benefits management approachesmanagement approaches

Active Benefits Active Benefits Realization(ABR)Realization(ABR)

Benefits ManagementBenefits Management

Benefits ManagementBenefits Management

Benefits ManagementBenefits Management

Staff involvementStaff involvement

Active Benefits Realization(ABR)

ResponsibilitiesResponsibilities

The processThe process

stakeholder’s involvement stakeholder’s involvement

The process consists of seven The process consists of seven major activitiesmajor activities

Benefits ManagementBenefits Management

Productionof pictures

Initializationof project

Agreementto proceed

Review andlearning

Evidencecollection

Systemdevelopmen

t

Developmentof updated

pictures

Future/Maintenance

project

AbandonProject

-Formativereview

- Variance- Determinetrade-offs

- Determination ofbusiness

opportunity- Validatedopportunity

- Determinations ofprimary

stakeholders- Opportunity/solution lexicon

Development of:Business picture,Financial picture,Project picture

Involving primarystakeholders

ABR process (Remenyi & Sherwood-Smith, 1998)

Benefits ManagementBenefits ManagementBenefits Management duty is to make sure Benefits Management duty is to make sure

that desired business change or policy that desired business change or policy outcomes have been clearly defined, are outcomes have been clearly defined, are measurable, and provide a compelling measurable, and provide a compelling case for investment – and ultimately to case for investment – and ultimately to ensure that the change or policy outcomes ensure that the change or policy outcomes are completely achieved.are completely achieved.

Next table-Next table-OGC Benefits Management - Roles and OGC Benefits Management - Roles and responsibilities (OGC, 2008)responsibilities (OGC, 2008)

People involved Role and responsibilities

SRO – senior responsibleowner

Owns the Benefits Management Strategy and is responsible for Benefits Realization Plan

Program Manager Oversees / prepares the Benefits Realization Plan and ensures it is aligned with Program Plan and Business Case

Program Office Responsible for tracking and progress-chasing benefits, calling reviews and communicating results

Business Change Manager Realizing benefits; Agreeing profile, impact analysis, quantifying, riskassessment

Project Manager Defining benefits in PID(project initiation document), for achieving main objectives(time, quality and costs

Assurance/validation Usually carried out by third party individuals not directly involved in theBusiness Change Program

Benefits Management process (OGC, 2008)Benefits Management process (OGC, 2008)The benefitsmanagement

strategy

The benefitsrealization

plan

BenefitsIdentification

Optimizingthe mix ofbenefits

Reviewing andmaximizing

benefits

Realizing andtrackingbenefits

The benefits management The benefits management strategystrategy

The benefits management The benefits management strategystrategy

The benefits realization planThe benefits realization plan

Benefits Management Benefits Management identifying and prioritizing tangible identifying and prioritizing tangible

and intangible benefitsand intangible benefitsgenerating ownership of and generating ownership of and

commitment to the benefits from commitment to the benefits from business stakeholdersbusiness stakeholders

developing measures and quantifying developing measures and quantifying benefit opportunitiesbenefit opportunities

implementing an on-going benefits implementing an on-going benefits tracking and reporting process etc.tracking and reporting process etc.

Benefits ManagementBenefits Management

Information and Communication Information and Communication Technology (ICT)Technology (ICT)

The processThe process

Benefits ManagementBenefits Management

Benefits ManagementBenefits Management

Benefits ManagementBenefits Management

CharacteristicsCharacteristics

ProductSelectionAppraisal

Initializationof project

Agreementto proceed

Review andlearning

Brainstorming stageEvidencecollection

SystemDevelopment

Developmentof updated

product

Future/Maintenance

project

APPROVED

Formativereview of the

selectedproduct

Start of VE

Determination ofbusiness opportunityValidated opportunity

Determinations ofprimary stakeholders

ETC

Development of BusinessPlan

Financial Feasibility study,Project plan

Involving primarystakeholders

Adoption of Supply chainManagement

Internationalcompetitors

Nationalcompetitors

DISAPPROVED