IPMT Guidance v1

Business Transformation and IT

© Copyright IBM Corporation 2009

IPMT Operations and Tiers Management System

August 4th, 2009Gem Mitchell / Tom Deegan / Frank Benintende

© 2005 IBM Corporation



Objectives of this Presentation

Audience

– IPMT coordinators

– Initiative leads; solution leads

– SPMs, asset owners

– Deployed Portfolio Managers

At the completion of this material you will

– Recognize the characteristics of a well-defined, well-managed Initiative

– Understand how to use Initiative tiers in Initiative governance

– Build competency to govern by Initiative and to ensure Initiatives meet their business goals• Oversee Initiative and Solution health using Initiative Topsheet and health indicators• Monitor Initiative progress in delivering business value• Follow through on accountability for realizing intended value from Initiative

investments– Ensure clear understanding of decision-making structure, authorities and accountabilities

– Use BTMT and Cognos reporting capabilities to communicate status with management

– Understand IPMT compliance requirements

– Understand the 2010 Fall Plan process and timeline

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IPMT Training Topics

BOLD Organization Overview

Initiative Tiers and the IPMT

Managing by Initiative

Tiers Management System and Operating Principles

Roles related to the IPMT

The IPMT Review– Health Indicators– Using Cognos with BTMT

Compliance requirements

Value of Transformation by Initiative

Fall Plan Process and Calendar– Financial Business Intelligence– 2010 Reporting

Appendix- additional information

Page 3



© Copyright IBM Corporation 2009Page 4

Tiers in Initiative Management

Pre BOLD Post BOLD

Tier 1

(selected Tier 2s)

EIT

Highest Strategic Importance, business value and investment

CIO OT


Tier 2 PTE IPMT

Cross-process, cross-enterprise, strategic

TE/Run IPMT

Common consistent process based

Tier 3 BTE IPMT

Business Unit specific

PPR*

Process based, integrated worldwide view, consolidated funding through the Transformation or Run executive

Tier 4

Eliminated as an option for 2010 Funding

Geo specific management system; tactical

*For organizations with large portfolio’s of initiatives, the role of the Program Portfolio Manager is being increasingly used to provide oversight to sets of related (EPF) initiatives. For organizations with smaller portfolios, the IPMT will provide that role.

Tiers are used to align management oversight and accountability with the relative strategic importance of initiatives. The BOLD Consolidation provided the opportunity to streamline tiers in Initiative Management in BTMS

•BOLD Tiers Simplification from four to three, is being deployed throughout the CIO

•Goals–More effective management oversight and accountability–Greater financial transparency and improved portfolio management–Alignment of Tiers and management system (reviews) with financial reporting requirements


5 © Copyright IBM Corporation 2009

Finance, Supply Chain & Technical Support

Processes P. Scorza

Global Workforce and Web Process Enablement

C. Sormilic

GISP Process Name

Opportunity to Order

Kathy Colucci*

Order to Cash Barbara Martin*

Hardware Product Management Transformation

Mark Dunham

Incentives Karen Salinaro

Services Labor Management Transformation

Joanne Olsen

•GISP and EPO•** Partial Ownership

Updated 7/30

We have had the opportunity to simplify BTMS Tiers and Initiative Management as a result of the consolidated organization

EPF Level 1 Processes EPO

1.0 Idea to Market (Develop)

Alan Ganek

Rod Adkins

Colleen Arnold

Liz Smith

2.0 Market to Opportunity Buell Duncan

3.0 Opportunity to Order Kathy Colucci*

4.0 Order to Cash (Customer Fulfilment) Barbara Martin*

7.0 Manage Client Relationship Dan Bennewitz

8.0 Manage Sales & Channels Kathy Butler

4.0 Order to Cash (Plan to Deliver) Barbara Martin

5.0 Support Paul Loftus

9.0 Procure to Pay John Paterson

11.0 Manage Financial Res Carlos Passi

6.0 Develop Strategy /Execute Mike Giersch

10.0 Manage Human Resources Joe Severi

12.0 Manage BT/IT Susan Watson

13.0 Manage Business Support Pat Toole**

14.0 IBM Global Financing Mark Andrews

GISPTransformation ExecEPO

Client Facing & Order Management Processes

S. Calta

IBM Global FinancingJoe Kaschak




All IPMTs in the new organization will implement the new Tiers structure

ITD

C. SweeneyAS

P. Howard

CIO

Finance

Geos

HRBusiness Operations

Enterprise Integration

BT/IT Geography Integration

Communication

GBS Integration

GTS/IGF Integration

SWG Integration

Blue Harmony

S. Watson

B. Greiner

J. Horan

Application & Infrastructure Service Management

L. Gordon

T. Lostaglio

S. McMillan

L. Potter

F. Capstick

B. Gibson

H. Babcock

M. Sader

Client Facing & Order Management Processes S. Calta, Jr.

Global Workforce-Web Process Enablement

C. Sormilic

P. Toole

Finance, Incentives, Supply Chain, & Tech Spt Processes

P. Scorza

Run Transform Business Units GeographiesInnovation

Innovation Programs

F. Legoues

Enterprise Process Owners

By Process

Updated 4/16

IBM Global Financing

Joe Kaschak

Page 6

© 2005 IBM CorporationPage 7

Tiers in Initiative Management- Before/After BOLD Consolidation

Pre BOLD Post BOLD

Tier 1

(selected Tier 2s)

EIT


CIO OT


Tier 2 PTE IPMT

Cross-process, cross-enterprise, strategic

TE/Run IPMT

Common consistent process based

Tier 3 BTE IPMT

Business Unit specific

PPR*

Process based, integrated worldwide view, consolidated funding through the Transformation or Run executive

Tier 4Eliminated as an option for 2010 Funding

Geo specific management system; tactical

*For organizations with large portfolio’s of initiatives, the role of the Program Portfolio Manager is being increasingly used to provide oversight to sets of related (EPF) initiatives. For organizations with smaller portfolios, the IPMT will provide that role.




Page 7

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Tiers have been redesigned to leverage management system involvement and align financial reporting

Tier

Financial threshold

($ total investment)*

Highest level of Reporting Review

Business Case requirement

Cross-TE/Run prioritization

Financial analysis DB

1 >$5M CIO OT EISC & OT Full business case 100% BTAPEX

2

<$5M

and

>$0.5M

IPMT

Self-assessment against EISC

criteria

Cost / Benefit analysis100% via

streamlined methodology

Separate variant of BTAPEX

3 <$0.5M PPR

Self-assessment Prioritization only Bottom 10% only none

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IPMT and Initiative Management Tiers and Operating Principles

Tier Summary

Initiative Tier Selection

Guidelines

Highest Level of

ReportingManagement System

ExpectationsReporting

ReqtsDeliverables and Reviews Required

Tier 1 Highest Investment generally $5M or greater total investment over 5 year time horizon

IPMTAdditionally EI SC and CIO OT Periodic Reviews

Led by the initiative lead Performance reviews by CIO OT Supports OT / SLT Strategic priorities Significant impact to the company/ Sr VP would

say ‘yes’ we need to address Warrants some protection from business as

usual budget challenges Must be advocated by multiple EPO Team

members Business Direction from CIO and EPO Businesses share the benefits Must leverage SOA+, BPM, VR

Detailed reviews by CIO OT, EI SC and IPMT with updates to the OT

Status of initiative health: business value, cost, schedule, risk, process, architecture, adoption/utilization, and standards.

Validation of direction based on business environment dynamics

Detailed Business Case required in BT/APEX

Fall Plan Topsheet

Full Business Case

Self-evaluation against EI SC Criteria

EI SC transformation review

BTMT Initiative Record

Cognos reporting

Tier 2 Less than $5M and great than $500K IPMT Led by initiative lead May assign initiative lead or Init level solution

lead (determined by size and complexity) Owned by (TE) Supports an enterprise priority at the TE level

and EPO specific priorities Degree of rigor and phase-end reviews

determined by the initiative lead and unit architecture team

Businesses share the benefit Significant impact to the company Must leverage SOA+, BPM, VR

Detailed reviews by IPMT Status of initiative health: business value,

cost, schedule, risk, process, architecture, adoption/utilization, and standards

Validation of direction based on business environment dynamics

Fall Plan Topsheet

Cost/Benefit Analysis$4.9M-$500K

Self-evaluation against EI SC Criteria


Cognos reporting

Tier 3Under $500K total investment Program Portfolio

Manager with Finance/Ops

Portfolio Review with IPMT as needed

Short term initiatives- Led by initiative leads assigned by PPMs

Project coordination rather than project management

Outcomes are short term strategic or tactical upgrades to deployed portfolio

Program Portfolio Manager ensures alignment to Tier 1&2 objectives

Quality, Cost, schedule

Below $500K, budget process is sufficient


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© 2005 IBM CorporationPage 10

The basic process remains the same, where the IPMT, PPM and Initiative and Solution Leads must work together to deliver transformation results

Plan Implementation

Plan Implementation

Measure and Close

Measure and Close

Implement Initiative

Oversee projects

Implement Initiative

Oversee projects

PDTL

Oversee Initiative

Init

iati

ve M

an

agem

ent

Monitor value realized

Complete Initiative Definition

Complete Initiative Definition

Assign Initiative Lead


So

luti

on

D

evel

op

men

t

SPM

SPM

SPM

Manage projects E2EManage projects E2E

Concept Plan Develop Qualify Rollout




Business Transformation Management Tool (BTMT)

Initiative Lead

(IL)

IPMT

Manage Initiative

Select Initiatives Release Funding

Select Initiatives Release Funding

Solution Lead

(PDTL or SPM)


PPM


Oversee Initiative

Page 10 © 2005 IBM Corporation






IPMTs focus on Initiatives and their business results, providing strategic leadership for the portfolio and leaving the tactical decision-making on projects to the PPMs and Initiative leads

Role of the IPMT

• Use Program Portfolio Managers as required by the size and scope of the IPMT to provide business and technical integration across a set of similar initiatives and other duties as assigned

• Input to strategic business transformation planning

• Review and approve Transformation Roadmap

• Assign ILs to participate in Initiative Definitions with EPOs

• When funded, authorize IL to begin Initiative execution

• Oversee individual Initiatives - progress, health, issues, risks, dependencies, value accrual

– Review Initiatives on agreed schedule and provide feedback to IIMs

– Assist in resolving issues, conflicts, risks, dependencies

– Take corrective action, spot duplication or unnecessary spending

– Adapt to changes in financial or business climate

– Monitor business results achieved

• Ensure investments achieve promised business results and stay in strategy / goal alignment

• Leverage best practices

• Monitor operational spending on deployed portfolio for effectiveness and strategic alignment

• Communicate status of transformation efforts

Portfolio Initiative Project

IPMTBusiness Results

Oversight

IL InputBusiness Results

Oversight

SL or SPM InputBusiness Results

Who’s Accountable

IPMT Overall performance of strategic BT investments

Optimal use of BT resources

Transformation Roadmap meeting strategic needs

Effective and efficient support of the business process by the deployed portfolio

PPM and/or

Initiative Lead (IL)

Overall performance of assigned Initiative investments

Optimal use of Initiative resources

Initiative execution addressing strategic capability and goals

Solution Lead or SPM)

Delivering on project commitments

Quality and compliance to standards

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Roles involved in IPMT OperationsRole Summary of Responsibilities Competency Required

IPMT ChairDescribe and carry-out mission, scope, objectives of IPMT in support of IBM EPO strategy

Establish membership criteria, form/restructure IPMT

Determine IPMT operating model, management system

Chair sessions, ensure appropriate representation and participation, actively lead decision-making

Ensure compliance with BTMS

Use of Initiative tiering

BTMS compliance requirements

IPMT Members

Maintain focus on getting the most value from investments, balance between optimizing EPO and enterprise objectives, level of risk

Contribute to decisions on Initiative funding & investment priorities representing own organization’s stakeholders

Monitor Initiative health, recommend or take action

Review status of Initiatives and share within own organization

Influence Initiative outcome

Elements of a well-defined / managed Initiative

Measuring performance / realized value & adjusting when opportunities arise or business conditions change

Initiative Topsheet and Health Indicators

Patterns/causes of value erosion, what to look for to pre-empt trouble

Program Portfolio Manager

Provides recommendations and advice to the TE regarding strategy, initiative management and application portfolio management for their assigned initiatives/programs

Provides Portfolio oversight, integration and prioritization for a subset/collection of related initiatives/programs

Elements of a well-defined / managed Initiative

Measuring performance / realized value & adjusting when opportunities arise or business conditions change


Patterns/causes of value erosion, what to look for to pre-empt trouble

Specific knowledge of EPO areas they support

IPMT Coordinator

Support IPMT operations (meeting schedule/agenda, action item tracking, member pre-briefs, minutes)

Maintain IPMT member roster, identify coverage issues, track attendance

Coordinate IPMT communications, capture/report on decisions/outcomes

Support transformation planning process

Initiative tiering


BTMS compliance requirements

Initiative Leads (IL)

Lead Initiative definition and review with IPMT stakeholders

Once funded, establish cadence of Initiative reviews with IPMT

Review Initiative with IPMT as required

Accountable for tracking and demonstrating Initiative value attainment and adoption

Ensure projects are meeting Initiative objectives

Executive communications


Initiative Definition and Management processes

Solution Development phases and BTMS compliance requirements

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Health indicators, give visibility into the overall condition of an Initiative.

New BTMT Initiative Top

Sheet

Initiative Health Scorecard

Risk Schedule Cost Value ProcessAdoption/ Utilization

Architecture Standards Overall

YR G

Health Indicators

– Dynamically reflect the state of an Initiative

– Represent critical factors affecting success– Common between an Initiative and its associated solutions– Consistent across all Initiatives regardless of tier– Specific evaluation criteria for an Initiative and for each phase

of a project Initiative Health Scorecard

– Eight health indicators plus an overall health indicator

– Available on the BTMT Initiative topsheet

– Each indicator defaults to worst case of any associated project

– Initiative Lead can override default

– Health of associated solutions also available on topsheet

Using Health Indicators

– Aid in assessing the well-being of an Initiative

– Provide better “headlights” for troubled projects

– Early warning allows corrective action to be taken in timely fashion

Criteria available in

backup

YR G

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Cognos Reporting

Objectives:

– Showcase IBM's Cognos Business Intelligence

– Use BTMT / Cognos Automated Reporting to:• Effectively reduce the overhead in IPMT preparation and reviews• Support CIO OT and EODT reporting requirements

– Automation of two reports for BTMT / IPMT Reporting: Initiative Top Sheet & Initiative Detail

– Identify additional requirements for future releases

Benefits:

– Reduce the dependency of manually creating Symphony Charts at the IPMT level

– Reports are generated “On Demand” – Used for lower level project reviews – detailed report

• Fully Encapsulated HTML Posted in Standard IPMT Teamroom– Batch Job for easy of consolidation – Allows for swift movement through multiple Initiative Top Sheets– Allows for backup if Cognos online reports became unavailable – Allows for point in time stamped reports (e.g. What was shown to IPMT vs what the

report indicates now) – Enforces the use of BTMT as the trusted source, the timely updating of BTMT data, and

compliance to the Corporate Instruction 129

– Proactively drove the source system (BTMT) data clean up

– Consistent format across CIO

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•BTM T – C ognos Autom ated R eporting- “The Basics”

BT M T Fields are the source for the roll up reporting in the C ognos form at- Fie lds that drive inc lus ion/exc lus ion of data within the report

Ensure that BT M T In itiative data is ready for use by C ognos

- F ree fo rm text des c riptions mus t be C lear and C onc is e and A c c urate due to s pace limita tions .

- F or the report to be generated the R eport to C IO as key initia tive flag s hould be s et to yes . S o lutions s hould ro ll up to initia tive indica ted in o rder to be s een in the initia tive deta il report

- If any o f your hea lth indicators a re in a non-G reen S tatus then you mus t have at leas t one D ependency, Is s ue or R is k identified and the flag s et to “R eport to M gmt” - C urrently report to E IT (change planned 5/8)

- T o generate the T O P s heet Inves tment and B enefit line items in the upper right hand corner o f the top s heet report you mus t have the firs t M etric as s oc ia ted with the initia tive s pec ifica lly labe led 'Inves tment' and the s econd M etric as s oc ia ted with the initia tive s pec ifica lly labe led 'B enefit'. O ther metrics can fo llow. T his will a llow the S Q L and C ognos s o lution to pars e the data and conform to quadrant fo rmatting on the top s heet.

A couple of O perational C ons iderations mus t be kept in m ind- K eep in mind that updates to the D B 2 trans action tables will appear in the report each morning at 8 am as we

are us ing s taging tables to s hie ld the B T M T trans action tables fo r performance reas ons .

- A s this is a pilo t fo r the IP M T reporting, there will be a requirement to provide the current S ymphony materia ls to s upport the O T . T he intent is however to leverage the T op S heet report in a iding in that effort.

- F ormatting T ip - "M onthly P rogres s R eport", "A ccomplis hments P as t 30 D ays ", "M iles tones and D e liverables N ext 30 D ays " you can us e an * to fo rce a carriage return fo r lis ts a fter the firs t line . (N o ̂in firs t line)

Page 15




C ognos Top Sheet exam ple

T E A ss ignme nt v ia B T M T R o le s

Inve s tm e nt B e ne f i t s f i r s t two M e tr ic s in B TM T C o nf ide n t ial page

B efo re U pda ting C urren t S ta tu s M ust m ove cu rren t s ta tu s to P rev ious in

B T M T

In itia tive D escrip tion L atest S ta tus and C om m ents

C om m itm en ts in B T M T C ou ld be a t In itia tive o r S o lu tion L evel

Issues R isks and D ependencies in B T M T C ou ld be a t In itia tive o r S o lu tion L evel

Accom plishm en ts T h is M on th in B T M T

* C auses C arriage R etu rn

In itia tive L ead

Page 16




Compliance will check for the following to ensure that a Business Unit and their IPMT are following Initiative Management

1.1 Are there no active solutions remaining in the BTMT Fastpath Placeholder Initiative?

1.2 Is a review of the tier 1 and 2 initiatives conducted by the IPMT in a regular cadence at least 3 times per year?

For health indicators with a status other than green, does the reviewing body require and approve corrective action plans during the review?

Is the status of previously assigned corrective action items reviewed at each meeting?

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Transformation by Initiative increases the opportunity of transformation success, allows for greater synergy and alignment with business strategy, and enables higher returns

Goals Higher and more

rapid return on investments

Greater synergy and business strategy alignment

Better odds of success

Goals Higher and more

rapid return on investments

Greater synergy and business strategy alignment

Better odds of success

Maximizing potential value– Easier to stay on course and manage to the end result with an overall view of the Initiative– Better visibility into progress on commitments and accrued value of an Initiative– Shift in executive dialog from cost to value and closing the loop– Change in emphasis from project management to realizing full value potential – Focus on accurately describing, anticipating and measuring value during/post deployment – Informed trade-offs to maximize value when business conditions change or opportunities arise– Single focal point (PPM, IL) clearly accountable for delivering results

Faster deployment, earlier payback– Flexibility for Initiative leadership to customize plans, manage risk based on Initiative characteristics– Removal of constraints on project plans and workload associated with DCP reviews

– Streamlined solution development and coordination at Initiative level

Reduced cost – Less overhead, less overlap, less rework, more effective resource usage

– Elimination of non-strategic projects by associating all project investments to an Initiative

Minimized upstream and downstream impact of changes, project delays – Tighter control of dependencies between related projects – Improved collaboration and integration between related projects

Faster problem resolution with better “headlights” – Better visibility to Initiative /project health with early warning problem detection & consistent indicators – Common standard health indicators including new focus areas such as process, adoption/utilization

Better integration across related solutions– End-to-end, enterprise view– Leadership continuity from definition to results and consist management across related projects– More cohesive schedules, deliverables– Single voice to stakeholders for expectation management– Enhanced collaboration between project teams




2010 Fall Plan Calendar

Page 19




1. Training for the IPMT coordinator

2. Roles/Responsibilities of an IPMT

3. Characteristics of a good Initiative

4. Initiative and solution relationships

5. Overview of IPMT reviews, Team, and Initiative Lead R&R during Initiative Management

6. BTMT Initiative Topsheet

7. Initiative Health Indicator criteria




Program Portfolio Manager/Executive

Purpose– Provides recommendations and advice to the TE regarding strategy, initiative management and application portfolio

management for their assigned initiatives/programs– Provides Portfolio oversight, integration and prioritization for a subset/collection of related initiatives/programs

Roles and Responsibilities– Prioritizing and reprioritizing initiative requirements for the subset/collection of related initiatives and programs

within the TE area• Provide input to the TE on the consolidation of EPO, BU and Geo requirements for their Initiatives/Programs• Identify cross-EPO dependencies and gaps related to initiative portfolio for EPOs assigned• Identify cross-TE dependencies and gaps needed to achieve overall BT/IT objectives within Portfolio area• Evaluate & recommend initiative priorities to achieve TE/EPO strategy and integrated roadmap• Develop integrated view of business cases for the TE for EPO areas assigned and provide input to overall IT strategy

– Manage BT/IT transformations for the Initiatives assigned • Assign Initiative Leads • Conduct timely Program Portfolio Reviews to address the following

– Review and take corrective action to address individual initiatives/programs progress, status, compliance to standards, including results of architecture review council meetings and issues

– Ensure individual initiatives/programs progress against approved business cases, identify gaps, take corrective actions, and track to closure, drive value realization and identify / address barriers

– Outlook and budget matching for IT spend– Monitor and optimize initiative portfolio performance for Initiative Portfolio– Financial and BTMT data integrity

• Communicate initiatives/programs progress and status to the IPMT and individual member constituents (Geos/BUIEs )• TE/Run maintains Fastpath budget for legal/mandatory items in the Geos

– Establish & maintain TE/EPO service model for the assets in their portfolio • Define, measure and track customer sat /TE performance metrics/BC-value attainment for EPO areas assigned• Approve ongoing maintenance and support for the assets associated with their area; ensure Non-strategic spend

process is followed; Partner with Run organization regarding ITSM• Manage compliance to ASCA, Corporate Stds and Instructions

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Initiative reviews enable stakeholders to gain greater visibility into an Initiative as a whole, its health and progress toward objectives, and optimize investment performance.

What to look for Review Initiative progress and what has changed since the last review

– What has deployed? Which projects have been launched? advanced a phase? – What projects are on the critical path? Has this changed? Have all solutions deployed?

Assess conditions using Initiative Health Indicators – If an indicator is red/yellow, what’s the impact on promised value within the expected timeframe?– What actions are being taken on red/yellow indicators to get to green?– Are there projects on the critical path that are red/yellow? What is plan to green?– What actions by the IPMT are recommended / warranted on issues, dependencies, risks?– Are there recognizable patterns that result in value erosion, cost increases, delays? How can you

anticipate / plan for them?

Look out for Initiative challenges– Stakeholders involvement in change management– Understated requirements or scope creep– Investment growth with no increase in benefits– Conflicting stakeholder priorities or objectives– Cultural transformation, resistance to change – Linkage between process transformation and IT

Examine Initiative finances– What is overall budget, funding allocated to projects, actual vs. planned expenses, forecast?– At what point is the Initiative business case exposed?– Should we pull the plug or downsize the Initiative?– What is our exit strategy? How should we redirect Initiative funding?– Are business conditions changing? How can we focus spending on the right priorities?

Focus on the Initiative bottom line (bus value, metrics, strategy)– What are key business drivers and value needed / derived from the Initiative?– Are we measuring business value against identified targets? – Are performance metrics in line with expectations? Are they trending up/down?– Are we getting acceptable value from the investment – can we get more?– Are we optimizing performance of an EPO vs. the enterprise at large?– What are the long-term prospects for the Initiative? Does it still align with business strategy?– Are we ready to close the Initiative? Reset the cadence?

How can we leverage success/experience of one project / Initiative into the next?

PortfolioPortfolio

InitiativesInitiatives

ProjectsProjects

Pro

cess

Tran

sfor

mat

ion

Information Technology

Organization/ C

ulture

Multiple Perspectives of IPMT Oversight

Sample IPMT Agenda

Administrative Topics

Initiative Review

Initiative Recap/Status

Health Scorecard

Issues, Risks, Dependencies

Financial Summary

Value Metrics

Action Items

Sample IPMT Agenda

Administrative Topics

Initiative Review

Initiative Recap/Status

Health Scorecard

Issues, Risks, Dependencies

Financial Summary

Value Metrics

Action Items

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The IPMT is accountable for the overall performance of strategic BT investments within the portfolio: process changes, culture changes, user satisfaction, value realization

Integrated Portfolio Management Team (IPMT)

The IPMT: The focus of IPMTs will be directed to initiatives and their collective business results providing an enhanced strategic leadership role for its portfolio and leaving much of the tactical decision-making on solution projects to the IL leading the Initiative

Responsibilities Structure & Membership

• Input to strategic business transformation planning

• Review and approve Transformation roadmap

• Assign IIMs to undertake Initiative Definition

• Review, select and approve Initiative Definitions

• When funded, authorize IIM to begin Initiative execution

• Oversee individual Initiatives – progress, health, issues, risks, dependencies, value realized

• Review Initiatives on agreed schedule and provide feedback to IIMs

• Assist in resolving issues, conflicts, risks, dependencies

• Take corrective action, spot duplication or unnecessary spending

• Adapt to changes I financial or business climate

• Monitor business results achieved

• Ensure investments achieve promised business results and stay in strategy/goal alignment

• Leverage best practices and encourage innovation

• Monitor operational spending on deployed portfolio for effectiveness and strategic spending

• Scoped to specific portfolio of BT investments and deployed assets aligning to a key corporate strategy or enterprise process

• Chaired by Transformation or Run Executive

• Restricted to executives with major stake in transformation plus AS and Finance

• Required when a strategic capability or portfolio is enterprise-wide or fundamentally cross-organizational and funding is shared

• Optional when capabilities and portfolio primarily contained within a single BU and transformation is self-funded. The PPM performs IPMT responsibilities where no IPMT exists

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Initiative Lead• Ensure all dependencies, issues, risks resolved • Coordinate all project deliverables and dependencies• Ensure all metrics and baselines are in place to track value• Ensure process and organization changes are planned / executed• Report Initiative health (and project health) and status to IPMT• Make recommendations on scope, schedule, cost changes based onbusiness needs

Team Members• Execute projects • Track and report project health using indicators• Ensure projects are on track for key commitments• Inform Initiative lead of project dependencies, issues and risks• Manage project dependencies, issues and risks

Initiative Lead• Execute and controlWork• Gain commitment andFunding from IPMT

Team Members• Define process changes, org changes,architecture, data,business case, commitments, KPIs• Timeline, deploymentstrategy

Initiative Lead:• Report on valueattainment as projectsdeploy.• Ensure corrective action Is taken if needed• Monitor adoption

Team Members• Track metrics in support of Key Performance Indicators• Perform root cause analysis if value is notbeing achieved

Initiative Definition

Value Realization

The IPMT must be involved end to end

IPMT commits and funds the Initiative that most strongly support strategy and will deliver the most results to the business

Review What are we doing?

Periodic Initiative reviewson Initiative health andprogress toward Initiativecommitment

ReviewHow are we doing

IPMT monitors value attainment

ReviewHow did we do?

Initiative Management

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The Initiative Lead will communicate to the IPMT about the Initiative Health through both the Initiative and Solution Health Indicators. They are calculated, but the Initiative Lead can override them. (REDO SCREEN SHOTS)

The Initiative Health Indicators default to a roll-up of the solution health indicators (default to worst case).

The Initiative Lead has the option to change the Initiative Health indicator, if the solution is not on the critical path.

There are very specific criteria of what each health indicator should represent.

It is good practice to update the comments section when overriding a calculated health indicator

The Initiative’s Overall Health is calculated from all the Initiative’s health indicators. (defaults to worst case) The Initiative Lead can override the calculation to the reflect the health of the Initiative.

This page does not contain complete information, and is a composite of important fields

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What is the health of the Initiative Cost / Investment?

Green Yellow Red

The actual investment is not greater than what was approved

Actual investment is over plan but < 10% over plan,

Actual investment is > 10 % over plan

The forecasted budget is less than or equal to of original BC estimate

The forecasted budget does not exceed 10% of original BC estimate

The forecasted budget is greater than 10% of original BC estimate

Original budget has not been cut or has been challenged but will still be able to deliver original requirements or the business has agreed to reset the requirements

Budget has been challenged or is being underrun 5-10%, and the Initiative will not deliver some non-critical requirements

Budget has been challenged > 10%, and the Initiative will not deliver critical functional requirements

All projects in the critical path are green for cost/investment health in the current phase

Projects on the critical path are yellow for the cost/investment health in the current phase

Projects on the critical path are red for the investment in the current phase

If the answer to any statement is yellow or red, the health indicator must be yellow or redPage 26




What is the health of the Initiative’s Business Value?

Green Yellow Red

BC hard and soft benefits have remained the same or increased

Business Case hard and soft benefits has been diminished by <10% or business case is exposed because of increased costs, project delays, funding cuts, scope changes or benefit reduction

Business case is longer valid because of increased costs, project delays, funding cuts, scope changes or benefit reduction

Scope is as defined, has been agreed to by all stakeholders, and all dependencies are interlocked

Scope has decreased to meet schedule and cost, but all critical functions are being delivered

Scope has decreased to meet schedule and cost, but not all critical functions are being delivered

The Initiative’s Key Performance Indicators have been determined and agreed to by L1 process owners and there is a plan in place to track them

The Initiative’s KPIs have been determined, but there is no plan in place to track them

The Initiative’s KPIs have not been determined

Key Performance indicators for deployed solutions are on track to meet targets

Key Performance Indicators for deployed solutions are not on track to meet targets, but there is a plan in place to remediate

Key Performance Indicators for deployed solutions are not on track to meet targets, but there is no plan in place to remediate

All projects in the critical path are green for business value

Projects on the critical path are yellow for business value in the current phase

Projects on the critical path are red for business value in the current phase





What is the health of the Initiative's schedule?

Green Yellow Red

Schedule has been agreed to by all stakeholders, and all dependencies are interlocked

Schedule has moved to the right, but minimal impact on value delivery or dependencies

Schedule has moved to the right, has impacted value and/or dependencies on this Initiative

All projects in the critical path are green for schedule health in the current phase

Projects on the critical path are yellow for schedule health in the current phase

Projects on the critical path are red for schedule health in the current phase





What is the health of the Initiative’s risk?

Low Medium High

All risks have been identified with effective mitigations that will not impact cost or schedule

Potential risks have materialized but impacts to Initiative are being contained.

Potential risks have materialized and are significantly impacting the Initiative

All projects in the critical path are low for risk health in the current phase

Projects on the critical path are medium for risk health in the current phase

Projects on the critical path are high for risk health in the current phase

If the answer to any statement is yellow or red, the health indicator must be yellow or red

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What is the health of the Initiative’s process transformation?

Green Yellow Red

To-Be Process requirements have been identified and stakeholders and the L1 process owners agree to the changes required

Some of the stakeholders and process owners agree to the process changes, or some may have conflicting priorities to the process changes, but plans are in place to address the other process owners or the conflicting priorities

To-Be process requirements have not been validated with the stakeholders or process owner, or the process owner does not agree to the changes required, or the process owners have unresolved conflicting priorities

The L1 process owners agree with the process performance targets of the to-be process

Some of the L1 process owners agree with the to-be process perf. targets and plans are in place to address the others

The L1 process owners do not agree with the process performance targets of the to-be process

All the necessary enablers to process change are identified and in progress including: IT changes, bus. rules, management system changes, skills and training, org. / roles, and culture

Some of the necessary enablers to process change are identified and plans are in place to address the others

Inhibitors exist that threaten the success of the process changes, or enablers have not been identified.

All projects in the critical path are green for process health (project level processes and perf. targets are aligned and integrated with the Initiative process design and the process enabler plans are on schedule)

Projects on the critical path are yellow for process health. (not all of the project level processes and perf. targets are aligned and integrated with the Initiative process design and / or some of the process enabler plans will not meet schedule) Plans are in place to resolve.

Projects on the critical path are red for process health. (the project level processes and perf. targets are misaligned and / or not integrated with the Initiative process design and / or the process enabler plans will not meet schedule)

If the answer to any statement is yellow or red, the health indicator must be yellow or red




What is the health of the Initiative’s Adoption/Utilization (culture) indicators?

Green Yellow Red

UCD has been engaged, and the solutions in the Initiative are evaluating, executing, and implementing the global UCD requirements and plans.

UCD has done an initial assessment, but has not been fully engaged

UCD has not been engaged for the Initiative, and there are not adequate funds for UCD

Pilots, prototypes, and proofs of concept are being used with appropriate global audiences to make changes based on user feedback

There are no pilots, prototypes or proofs of concepts currently planned, but plans are in place to use them.

There are no pilots, prototypes or proofs of concepts planned

Global Org Change/culture requirements have been defined and incorporated on schedule

Org change/culture requirements have not been fully identified, but there is a plan in place to do so

Org change/culture requirements have not been accounted for or are not on schedule, and there are not adequate funds or resource for org change

Education and Communication requirements have been identified for all key global audiences, and are being implemented on schedule

Education and Communication requirements have not been fully evaluated, but there is a plan place to do so.

Education and Communication is not being implemented on schedule to all audiences, and there are not adequate funds

Selected vendor solutions meet usability, globalization, and accessibility standards

The vendored selection meets some but not all usability, globalization, and accessibility standards.

The vendored solution does not meet usability, globalization, or accessibility standards

Geographies have signed-off on requirements Some geos have signed off, and there are plans in place to address the remaining

The geos have not signed off on the Initiative

Integrated testing has been planned for and executed in an environment that simulates the production.

Integrated testing has been planned for, but complete funding is not available.

There is no funding available for integrated testing in a production like environment, and there are no plans in place for additional funding

Post deployment adoption rates are being monitored and are meeting targets. The process has really been changed.

Post deployment adoption rates are being monitored and are not meeting targets, but there is a plan in place to correct

Post deployment adoption rates are either not being monitored, or being monitored and are not meeting targets, but there is no plan in place to correct

All projects in the critical path are green Projects on the critical path are yellow for adoption/utilization

Projects on the critical path are red for adoption/utilization

If the answer to any question is yellow or red, the health indicator must be yellow or red

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What is the health of the Initiative’s Standards?

Green Yellow Red

All applicable standards are known and are being complied to with no exceptions

Some exceptions are in place for non-critical standards (critical standards are security, privacy, accessibility, and ASCA)

There are critical standards that are not being complied with (critical standards are security, privacy, accessibility, and ASCA)

All projects in the critical path are green for standards

Projects on the critical path are yellow for standards in the current phase

Projects on the critical path are red for standards in the current phase

If the answer to any question is yellow or red, the health indicator must be yellow or red

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What is the overall health of the Initiative architectures?

Green Yellow Red

High confidence in meeting business value. Cost and schedule are on track to achieve business value.

Business Values has decreased. Cost and schedule are at risk, but recovery expected.

Value has decreased, unlikely to meet scheduled date, or spend over plan. Executive intervention required; business recovery not expected.

The business capabilities are being delivered as planned

All critical business capabilities are being delivered, but not all that were planned.

Some critical business capabilities are not being delivered.

All projects on the critical path are green in all Initiative health categories.

Some projects on the critical path are yellow in health categories, impacting the overall’s Initiative’s success.

Some critical projects are red in health categories, causing the Initiative to be red.

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What is the Initiative’s overall Health?

Green Yellow Red

High confidence in meeting business value. Cost and schedule are on track to achieve business value.

Business Values has decreased. Cost and schedule are at risk, but recovery expected.

Value has decreased, unlikely to meet scheduled date, or spend over plan. Executive intervention required; business recovery not expected.

The business capabilities are being delivered as planned

All critical business capabilities are being delivered, but not all that were planned.

Some critical business capabilities are not being delivered.

All projects on the critical path are green in all Initiative health categories.

Some projects on the critical path are yellow in health categories, impacting the overall’s Initiative’s success.

Some critical projects are red in health categories, causing the Initiative to be red.

BTMT will default the overall health indicator to the ‘worst’ color of the 7 categories of Initiative Health. The Initiative lead can change based on the guidance provided here.

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