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IT Performance Measurement Session #574 June 9,1999 8:00am

IT Performance Measurement Session #574 June 9,1999 8:00am. William Burke - Partner Innovative Corporate Solutions www.4ICS.com. Consulting Company Software/Hardware Independent Firm Client Base Insurance, Financial Services, Other Major Practices Document Management

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IT Performance Measurement Session #574 June 9,1999 8:00am

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  1. IT Performance MeasurementSession #574June 9,1999 8:00am William Burke - Partner Innovative Corporate Solutions www.4ICS.com

  2. Consulting Company Software/Hardware Independent Firm Client Base Insurance, Financial Services, Other Major Practices Document Management “Assisting the CIO” Innovative Corporate Solutions IT Performance Measurement Session #574

  3. IT Performance Measurement • Why Metrics Now • Business Metrics • Metrics Challenges • IT Metrics IT Performance Measurement Session #574

  4. Why Metrics Now? • Expense of Y2K • Intense competition • Growth of IT budgets • Bottom line orientation IT Performance Measurement Session #574

  5. Why Metrics Now? • Advances in technology • Enterprise-wide applications • E-Business initiatives • Business Process Redesign IT Performance Measurement Session #574

  6. IT Priorities • Aligning business and customer • Attracting, hiring and retaining staff • Strategic Planning • Preparing for Year 2000 • Managing external business partners • Funding for new initiatives IT Performance Measurement Session #574

  7. IT Performance Measurement • A successful metrics program will demonstrate the contribution and commitment of IT to the achievement of the business goals and objectives IT Performance Measurement Session #574

  8. Business Metrics • Financial • Internal Business • Innovation and Learning • Customer IT Performance Measurement Session #574

  9. Financial Metrics • Return on Investment • Cash Flow • Expense/Revenue IT Performance Measurement Session #574

  10. Internal Business Metrics • Time to Market • Quality • Cycle Time IT Performance Measurement Session #574

  11. Innovation and Learning Metrics • New product revenue • Retooling • Training and reskilling • New infrastructure • Organization changes IT Performance Measurement Session #574

  12. Customer Metrics • Customer retention • Customer acquisition • Customer satisfaction • Customer service • Quality • Market share IT Performance Measurement Session #574

  13. Metrics Challenges • Which metrics? • How many metrics? • How to use and not use? • How to interpret? • What action steps to take? IT Performance Measurement Session #574

  14. IT Metrics • Reasons • Types • Reporting • Methodology • Three Case Studies • Guidelines and Best Practices IT Performance Measurement Session #574

  15. Reasons for IT Metrics • Awareness • Validation • Credibility • Performance • Productivity IT Performance Measurement Session #574

  16. IT Metrics Types • Alignment with strategic plan • Quality • Productivity • Utilization • Customer Service • Financial IT Performance Measurement Session #574

  17. IT Metrics Reporting • Frequency • Analysis and trending • Action IT Performance Measurement Session #574

  18. IT Metrics Methodology • Interview Customers, Business and IT • Gather currently available information • Review the basic requirement checklist • Perform gap analysis • Develop working model • Evolve with Team • Request feedback constantly IT Performance Measurement Session #574

  19. Case Study - Mutual Life Insurance Company • Drivers • Process to develop • Reactions • Best Practices IT Performance Measurement Session #574

  20. Case Study -Commercial Insurance • Drivers • Process • Reactions • Best Practices IT Performance Measurement Session #574

  21. Case Study - Software Manufacturer • Drivers • Process • Reactions • Best Practices IT Performance Measurement Session #574

  22. Guidelines and Best Practices • Business and IT focused • Balanced • Definitions • Tools • Monthly data, quarterly distribution IT Performance Measurement Session #574

  23. Guidelines and Best Practices • Align with Corporate goals • Competitive data and benchmarks • Historical • Clear communication strategy IT Performance Measurement Session #574

  24. Keys to Successful IT Metrics • Develop with Business • Develop with Customer • Develop from the ground up with IT Staff • Involve IT Management Team • Present in Business Terms • Evolution vs. Revolution IT Performance Measurement Session #574

  25. Critical Success Factor • Commitment to the program IT Performance Measurement Session #574

  26. Questions? Thank you

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