Frameworks and perspectives
Various frameworks can help change how an organisation perceives — and more importantly, measures — value. Change, however, is the key word.
One way of tackling the issue is from a governance level, taking the Val IT framework and applying it from a business perspective.
“Instead of calling it ‘IT governance’, it should be the ‘governance of IT’. That puts the right emphasis on it, “ IBM’s Harrison says.
Another approach, which is advocated by Capability Management, is that of Value Delivery Management.
“Value delivery management comes down from strategy and asks, ‘how do we execute and implement strategy by getting value out of our projects?’” Simms says.
Gill adds: “Because of the business perspective, it allows a broader set of metrics to be established.
“Value is only one concept and it is affected by change. Change is through projects. No projects, no change. No change, no value.
“It sounds subtle, but it’s quite an important difference to mainstream thinking about what value is.”
Read Part one of CIO Australia's IT value series.
Part two - the problem with the business case.
Part three - calculating value.
Download the joint research by Capability Management and the CIO Executive Council.