Application Portfolio Management Strategies that Accelerate Digital Transformation

Webinar

Arjo van OostenGlobal Director Digital

Execution Practice, Mendix

@arjovanoosten

Rod WillmottInnovation Specialist & Fast

Track Director, LV=

@rwbdjr

Presentation Review Discussion PointsInsights From:

Digital Execution: an introduction

Selecting your first project

Definitions

DIGITAL

TRANSFORMATION:

The (re)alignment & investment in

technology & business models to more

successfully engage digital users at

every point in the user lifecycle

DIGITAL EXECUTION:

A set of best practices to realize your

digital goals

Digital Execution – Technology is NOT the Biggest Challenge

Source: Gartner, Insights From the 2016 Gartner CIO Agenda Report

People

Process

People

Process

People

Portfolio

Platform

First Time

RightProcess

Software ‘Lives’

PeopleBusiness & IT

Collaboration

PlatformOpen

Innovation Platform

PortfolioThink Bi-Modal IT

Digital Execution: Focus on the 4 Ps

StartStart Small and

Celebrate Success

Structure

Scale

Formalize Processes, Portfolio, Team &

Strategy

The Digital Enterprise

Think Big, Start Small

FOCUS:

Gain the

confidence to start

your Digital

Execution

FOCUS:

Find, prioritize and

create solutions that

deliver value & support

your strategic goals

FOCUS:

Drive and scale

innovation to achieve

and sustain

leadership

Digital Execution: an introduction

Selecting your first project

EXPERIENCES(your application)

INFLUENCE

resultsattitudes drive behaviors deliver

H.E.L.M.E.T. : Discovery of Accelerators and Decelerators

H E L

M E T

HIGH LEVEL

LEADERSHIP

COMPELLIN

G

EVENT

LOCATIONS

MINDSET &

METHODOLOGYENTERPRISE

IT LANDSCAPE

TALENT

Health Insurance

CRM

Car Insurance Bank Accounts

Customer

Portal

Internal

Portal

Mobile

AppPhone Email

Postal

Service

Customer Employee Call Center Account Manager Insurance Partner

Financial System DMS BI

Declare Manage Reporting Fraud detection

Roles

Channels

Primary Functions

Secondary Functions

IT landscape

Define Your Business Function Model

Systemsof Differentiation

Extend core systems

Systems of Innovation

Enable new ways of working

Systems

of Record

Modernize legacy systems

Selecting Digital Acceleration Initiatives

Business Considerations: Technical Considerations:

Time to market is important (opportunity costs)

Continuous changing requirements (even after delivery)

Unclear business requirements before delivery

A combination of

A data driven,

user friendly application

working on multi device / mobile

with workflow,

and data integrations

* most boxes should be checked

Selecting Digital Acceleration Initiatives

Core Adjacent Disruptive

More Than One Type of Innovation

Road to the Perfect 1st Initiative

Does the initiative meet

the majority of business

characteristics?

PERFECT

FIT

Does it meet the majority

of technical

characteristics?

Can you initially

work towards an

MVP?

FIT

Is it a system of

innovation or

differentiation?

PROJECT WHAT IS IT AND WHAT DOES IT SOLVE #USERS

1

2

3

4

5

Starting Point: Your Top 5 First Initiative Ideas

• Goal of the first app is to create adoption, acceptance and proof of building your digital acceleration capability

• Example:

• Proving Business and IT collaboration

• Proving development acceleration

• Unexpected high-impact feature

• Solving a real problem of business users

• Proving ROI on a program level

• MVP can go live in 30-60 days

Step 1: Validate First Success Focus (Wow Factor)

Step 2: Validate an Achievable Business Function Model

Health Insurance

CRM

Car Insurance Bank Accounts

Customer

Portal

Internal

Portal

Mobile

AppPhone Email

Postal

Service

Customer Employee Call Center Account Manager Insurance Partner

Financial System DMS BI

Declare Manage Reporting Fraud detection

Roles

Channels

Primary Functions

Secondary Functions

Registers

Step 3: Validate the Minimum Viable Digital Use Case

Current Situation:Our incident management processes today are paper-based, with no immediate access to safety

systems, and capturing of incidents is delayed.

Description of the Idea (“we believe”):Mobile incident management enables anyone to capture initial information related to incidents,

near misses, or any safety observation from anywhere at any time.

Enabled by:Connecting existing safety

systems together in one new

app that alerts stakeholders

when an incident or near miss

occurs

What Will It Solve:The problem that stakeholders

now only rely on reactive

monitoring instead of proactive

management of risks.

What Are the Affected

KPIs:• Increased reporting capture,

and accuracy

• Decreased time to response

• Increase safety culture.

Step 4: Validate Complexity vs. Exposure

Complexity

High Complexity,

High Exposure

Low Complexity, High Exposure

Low Complexity, Low Exposure

High Complexity,

Low Exposure

Example: automating manual processes

Example: integrate multiple systems / single view across systems

Example: lead generation app, customer engagement

Example: customer self-service portal

Exposure

Business Unit Company

Internal

External

• Should be size “S” (as MVP delivery)• Functionality expected (MVP)

• Integrations

• Parties involved (interdepartmental, integrations)

• Architecture impact (SOA, CBA)

• Governance (cross regional, foreign, cross BU)

Step 5: Validate the Right T-shirt Size

PROJECT WHAT IS IT AND WHAT DOES IT SOLVE #USERS

1

2

3

4

5

Your Top 5 Portfolio Apps with a (Perfect) Fit

Which one is the best candidate?

Download the on-demand webinar to learn more about expertly prioritizing

your digital initiatives.

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