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BENEFITS BENEFITS MANAGEMENTMANAGEMENT
USE OF ITUSE OF IT
[email protected]://www.construction-productivity.co.ukhtt://www.construction-productivity.co.uk
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