ICT in Business ICT Strategy Part 3a: Understanding the present situation Bas Kruiswijk Leiden University, April 2010

Analyzing the application portfolio ICT assessment Categorize the application portfolio by quality and importance Portfolio analysis Categorize applications as “Strategic”, “High potential”, “Key operational” and “Service” Analysis of project portfolio Which current or planned projects contribute to solving issues found in the assessment / portfolio analysis ICT opportunityscan Which technological opportunities contribute to solving issues found in the assessment / portfolio analysis

ICT Assessment Key questions Which information systems (applications) are in place or planned What is their strategic importance What is their operational importance What is the end-user quality What is the quality in terms of maintenance What are the exploitation costs

ICT Assessment Importance Strategic What is the contribution of an application to specific strategic goals? Does the application support the organization in realizing the business strategy? Operational What is the contribution of an application in the support of the primary and secondary processes? Does the primary process depend on the application? How critical is the application to the primary process?

ICT Assessment Quality End-user Quality of the information (accurate, complete, timely, precise, verifiable) Quality of the application (reliable, effective, efficient, robust) Maintenance Flexibility Maintainability Testability Portability Connectivity Reusability Extendability Is the application up-to-standards?

+ + - - - + + - + - + - ICT Assessment Importance vs. quality Invest Healthy Ignore Service 2 6 + 3 7 2 5 Importance 6 3 Strategic 1 1 5 - 7 4 - 4 - + + - Operational Quality Quality Exploitation costs Information system + 4 < 1 Million 1 = Personnel 2 = Sales 3 = Finance 4 = Salary 5 = Project 6 = Procurement 7 = Production 5 6 1 – 2 Million Use 7 1 Source: Software Engineering Research Centre (SERC) 2 3 - > 2 Million - + Maintenance

Portfolio analysis Strategic High potential Applications that are critical to sustaining future business strategy Applications that may be important in achieving future success Applications on which the organization currently depends for success Applications that are valuable but not critical to success Key operational Support Source: McFarlan

Portfolio analysis Classifying the applications (1) Questions (for every application (component)); If the development succeeds will it… OR Is the application delivering benefits that… Result in a clear competitive advantage for the business? Enable the achievement of specific business objectives and/or critical success factors? Overcome known business disadvantages in relation to competitors? Avoid foreseeable business risks becoming major problems in the near future? Improve the productivity of the business and, hence, reduce long term costs? Enable the organization to meet statutory requirements? Provide benefits not yet known, but may result in a) or b)?

Portfolio analysis Classifying the applications (2) Result in a clear competitive advantage for the business? Enable the achievement of specific business objectives and/or critical success factors? Overcome known business disadvantages in relation to competitors? Avoid foreseeable business risks becoming major problems in the near future? Improve the productivity of the business and, hence, reduce long term costs? Enable the organization to meet statutory requirements? Provide benefits not yet known, but may result in a) or b)? High potential Strategic Key operational Support a) Yes b) c) d) e) f) g)

Example portfolio classification example for manufacturing company Strategic High potential * Direct marketing and telesales ** Advertising and promotion-campaign man. ** Sales forecasting ? Customer Relationship management ** E-procurement ? On-line customer specification system ** Product tracking ? Product profitability analysis ** Data warehouse / customer analysis * Product database / Inventory management * Order processing, dispatch, invoicing * Production control * Purchasing materials () Costing systems () Sales analysis * Warehouse management * Wholesaler EDI * Payroll and personell systems * Ledgers (AR/AP) * General ledger and budgetting * Office systems () Purchasing – General * Samples management Key operational Support * Existing system () Existing system needs improvement ** Planned system ? Potential system

Support of business processes Bottlenecks and blind spots Maintenance costs Flexibility (future changes) Blind spots Lack of support of business processes Possible improvements Different applications supporting the same business processes Achieve efficiency by integration or improvement of applications

Analysis of project portfolio Current or planned projects Current plans for the future What are the ongoing or planned projects (new applications or renewal of existing ones) Key questions – will these projects… Resolve bottlenecks Fill-in blind spots Take advantage of technological opportunities

Technological opportunities How can ICT contribute to resolve the bottle-necks and fill-in the blind spots? How can ICT contribute to the realization of business goals? ICT Opportunity scan Analysis of ICT Trends

Few specialists (laboratory) ICT opportunityscan Market potential Let it grow Use Email Workflow management Virtual reality Mobile communication Investments Be aware Explore Portals Web enabling Few specialists (laboratory) Quantum computing Prototype Proven Maturity

IT Trends Market growth Cash generation ‘Question marks’ ‘Stars’ Mobile internet Web services ASP Virtual reality e-CRM PSA ADSL Bluetooth SCM HLT UMTS Jini XML Business Intelligence .NET / J2EE Linux P2P high e-Commerce W-LAN e-Business Smartcards Market growth VoIP Voice Portals e-Payment SAN OO PDA’s Internet WAP low Mobile telecom Network computer Intranet HTML Warehouses ERP DNS DSS/EIS/MIS Groupware Middleware Source: IT Trends Institute, Trends in IT 2002 Based on Boston Consulting matrix Call Center CASE / 4GL EDI DIS email ‘Dogs’ low high ‘Cash cows’ Cash generation

Gartner’s Hype cycle Source: Gartner Group

Example 1

Managementrapportage Verantwoordingsrapportage Hanze portaal Leren opbouwen portfolio Student Volg Onderzoeken uitvoeren leren kwalificeren primair proces Onderwijslogistiek Onderzoeksmanagement Opdracht- formulering besturen onderzoeks vraag haalbaarheids check instroom planning Opleverings- resultaten Managementrapportage Verantwoordingsrapportage Ketenportaal uitvoering toetsing uitstroom planning uitvoering Managementportaal relaties beheren personeel beheren faciliteiten beheren beschikbaar stellen studenten beheren student- gegevens onderwijs- aanbod beheren content beheren kennis financiën beheren projecten beheren project- gegevens ondersteunen bedrijfsvoering beheren kernregistraties samenwerken (conferencing, forum chat) zoeken kantoorautomatisering mail en agenda archivering documentmanagement Middleware identificatie authenticatie autorisatie Infrastructuur monitoring logging

Managementrapportage Verantwoordingsrapportage Hanze portaal BB intranet OWA Hanze.nl opbouwen portfolio Leren Student Volg Onderzoeken BB Elo Progress Kengetallen- site STAD uitvoeren leren kwalificeren DOP BB CS primair proces ACTO Progress WWW WRB Onderzoeksmanagement Onderwijs logistiek Syllabus+ Progress stage Indato Opdracht- formulering SNAP EFJ besturen onderzoeks vraag haalbaarheids check Question Mark Perception instroom BB Group- tool ontwikkeling planning ADS- ORGMEMBER Managementrapportage Oplevering resultaten Verantwoordingsrapportage Ketenportaal uitvoering toetsing uitstroom ACTO StageQ planning uitvoering Managementportaal Kengetallen- site STAD relaties beheren Verlof Alumni personeel beheren HPA faciliteiten beheren Questor beschikbaar stellen studenten beheren student- gegevens onderwijs- aanbod beheren content beheren kennis Multivers HSA MS-CMS financiën beheren Officenet projecten beheren project- gegevens Dashboard Caso Humannet Accra Voorlichting- systeem Uren registratie DOP Multivers ondersteunen Uur 400 Mentor OMR Moveon WINIBW bedrijfsvoering Multivers PMF P&O Edukaat Planon FMS Dashboard- Web MS-Project Progress beheren BB CS DVS Chipnet FAK-E Trinicom Fuwasys Hanzetel kernregistraties Video- conf samenwerken (conferencing, forum chat) zoeken BB search kantoorautomatisering MS office Maggie printers Mavim BB ewo mail en agenda Outlook DECOS archivering document management BB CS MSN Google mini Mavim Web Middleware ADS-IMPORT O- bestanden RPDB LanDesk identificatie authenticatie autorisatie Active Dir Registratie MAC adressen Infrastructuur monitoring logging Topdesk

Functionele kwaliteit van de applicaties Hanze portaal BB intranet OWA Hanze.nl opbouwen portfolio Leren Student Volg Onderzoeken BB Elo Progress uitvoeren Kengetallen- site STAD leren kwalificeren DOP BB CS primair proces ACTO Progress WWW WRB Onderwijs logistiek Syllabus+ Onderzoeksmanagement Progress stage Opdracht- formulering SNAP Indato EFJ besturen onderzoeks vraag haalbaarheids check Question Mark Perception instroom BB Group- tool ontwikkeling planning ADS- ORGMEMBER Opleverings resultaten Managementrapportage Verantwoordingsrapportage Ketenportaal uitvoering toetsing uitstroom ACTO StageQ planning uitvoering Managementportaal Kengetallen- site STAD relaties beheren Verlof personeel beheren HPA faciliteiten beheren Questor beschikbaar stellen Alumni studenten beheren student- gegevens HSA onderwijs- aanbod beheren content beheren kennis MS-CMS financiën beheren Officenet projecten beheren project- gegevens Multivers Dashboard Caso Humannet Accra Voorlichting- systeem DOP Multivers Uren registratie ondersteunen Uur 400 Mentor ACTO Moveon WINIBW bedrijfsvoering Multivers PMF P&O Edukaat Planon FMS Dashboard- Web Progress beheren BB CS MS-Project DVS Chipnet FAK-E Trinicom Fuwasys Hanzetel kernregistraties Video- conf samenwerken (conferencing, forum chat) BB ewo zoeken BB search kantoorautomatisering MS Office Maggie printers mail en agenda BB CS Mavim Outlook DECOS archivering documentmanagement MSN Google mini Mavim Web Middleware ADS-IMPORT O- bestanden RPDB LanDesk identificatie authenticatie autorisatie Active Dir Registratie MAC adressen Infrastructuur monitoring logging Topdesk

Technische kwaliteit van de applicaties Hanze portaal BB intranet OWA Hanze.nl opbouwen portfolio Leren Student Volg Onderzoeken BB Elo Progress Kengetallen- site STAD uitvoeren leren kwalificeren DOP BB CS primair proces ACTO Progress WWW WRB Onderwijs logistiek Syllabus+ Onderzoeksmanagement Progress stage Indato Opdracht- formulering SNAP EFJ besturen onderzoeks vraag haalbaarheids check Question Mark Perception instroom BB Group- tool ontwikkeling planning ADS- ORGMEMBER Opleverings- resultaten Managementrapportage Verantwoordingsrapportage Ketenportaal uitvoering toetsing uitstroom ACTO StageQ planning uitvoering Managementportaal Kengetallen- site STAD relaties beheren Verlof Alumni personeel beheren HPA faciliteiten beheren Questor beschikbaar stellen studenten beheren student- gegevens HSA onderwijs- aanbod beheren content beheren kennis MS-CMS financiën beheren Officenet projecten beheren project- gegevens Multivers Dashboard Caso Humannet Accra Voorlichting- systeem DOP Multivers Uren registratie ondersteunen Uur 400 Mentor ACTO Moveon WINIBW bedrijfsvoering Multivers PMF P&O Edukaat Planon FMS Dashboard- Web MS-Project Progress beheren BB CS DVS Chipnet FAK-E Trinicom Fuwasys Hanzetel kernregistraties samenwerken (conferencing, forum chat) zoeken BB search Video- conf BB ewo kantoorautomatisering MS office Maggie printers mail en agenda Outlook DECOS archivering document management BB CS Mavim MSN Google mini Mavim Web Middleware ADS-IMPORT O- bestanden RPDB LanDesk identificatie authenticatie autorisatie Active Dir Registratie MAC adressen Infrastructuur monitoring logging Topdesk

Business processes - Applications