IT战略规划科尔尼

Text: 14-point Times New Roman with 70 percent Wingdings square bullet,100 percent Times New Roman round bullet (Alt 0149),100 percent Times New Roman em dash bullet (Alt 0151),100 percent Times New Roman en dash bullet (Alt 0150),A.T.Kearney 1/8510Color/,39,Major (30 Point),IT Strategy,February 24, 2000,Case Study of a Recent Client Experience,Rob Trollinger, Principal, Dallas,Chris Wisler, Manager, Alexandria,Kimberly Brown, Associate, Alexandria,Todays discussion,Background of Company,Company IT Overview,Cause for Action,IT Strategy Approach,Application Architecture,Technical Architecture,Establish the IT Program Office,Organizational Effectiveness and IT Alignment,Summary,Background of company,Began in 1909 as a partnership between an innovative chemist and a businessman,Pioneering work in leather tanning,Best known for expertise in acrylic chemistry,Essential component to detergents, diapers, cell phones, industrial coatings, and more,50 manufacturing, research, and technical facilities worldwide,Sales in 100 countries, totaling $4 billion annually,Company A,Company B,Company A announced their intended merger with Company B in 1999,1848, founding,Largest and most recognized business for a particular consumer product,Major supplier of basic inorganic chemicals derived from salt,Essential ingredients in CDs, newspapers, magnetic tapes, sports equipment, and more,36 mining and processing facilities, 68 chemical manufacturing, research, and technical facilities worldwide,Sales total $2.5 billion annually,Drive the short-term value,Exceed the markets expectations,Integrate the Organizations as Seamlessly as Possible,Develop and communicate a shared strategic agenda,Define organization structures, key business processes and technology platform/architecture,Select leaders and staff positions,Develop metrics and budgets,Integrate the business,Integrate day-to-day operations,Position for the future growth,Achieve Business Value Goals as Quickly as Possible,Achieve $200 million of savings within 12-18 months (running rate by 2001),Ensure customer retention,Corporate Center rationalization,Administrative overhead reduction,Sourcing/Procurement savings,Product line and operations rationalization,Manufacturing productivity and supply chain improvements,Reduction in technology costs,The focus of the integration was to quickly achieve operational synergies while combining the organizations to support top line revenue growth,A.T. Kearney was asked to structure, drive and manage the entire integration process for what would become one of the largest specialty chemical companies,Latin America and Asia-Pacific Region Operations:,10% of sales,20 manufacturing facilities,10 distribution sites,North American,Region Operations,60% of sales,60 manufacturing facilities,230 distribution sites,(1),While the potential source of the synergies were somewhat clear, smooth and timely integration of the two companies was less assured,Challenges,Some manufacturing processes and technologies were incompatible between the two companies,Combining two companies with both direct product overlap,Acquiring company was more of a “intermediates producer” and the acquired company was more of a “formulator”,Significant facilities consolidation opportunities,Distribution consolidation and improvement required changing the business model and the mindset,Standard lead times,Standard service levels,Significant customer overlap,Significant EH&S issues needed to be addressed, competing away scarce capital resources,European Region,Operations:,30% of sales,40 manufacturing facilities,60 distribution sites,After an accelerated integration program, the merger was deemed a success by the CEO as well as the analyst community,“By the end of 3Q, the new company had achieved cost reductions of $100MM on an annualized basis, three months ahead of schedule.” ,Morgan Stanley Dean Witter,“Already, the company has achieved a $100MM annual run rate in cost savings ahead of schedule” ,Janney Montgomery Scott,“The integration process is running smoothly and in fact better than expected achieving a $100 MM lower run rate” ,J.P. Morgan Securities,“The integration efforts continue to track ahead of plan” ,Deutsche Banc Alex Brown,“Considering the steep increase in raw material costs, the new company was able to meet expectations with its rapid integration of the acquired companys operations” ,Brown Brothers Harriman,Perspective,External Focus,Internal Focus,Incremental,Transforming,Value,Creation,(P/E Ratio),New Business ModelNew SegmentsNew TechnologiesAcquisitions,Share GainTechnology ImprovementGeographic ExpansionPortfolio Management,Work RedesignSupply ChainOperating Excellence,2-3% Sales,Growth,4-5% Sales,Growth,6-8% Sales,Growth,Following the integration, the CEOs Agenda is to double the rate of growth while maintaining high levels of profitability,Cost improvement, customer service and retention and e-business have been identified as key areas of focus,Rapid assimilation of acquisitions with limited additional financial staff,Global shared services,IT provides a strategic advantage in support of growth initiatives,Target Capabilities,Global processes and metrics,Interim information on sales, profitability and cost of operation,Automation of routine processes and transactions,Financial staff is aligned with the business,Continuous launch of service offerings that cannot be easily matched by competitors,Quality built into an automated processes,Humans manage the relationship not transactions,Integrated supply chain network (S&OP process) across multiple enterprises,Inventory commitment using production, sales and balances,Ability to reach customers globally without a local presence,Growth / Agility,Strategic Imperative,Cost Improvement,Customer Service & Retention,e-Business,NewCos business strategy will place additional demands on the entire organization,Company IT Overview,Finance/ Back Office,Demand Planning,Supply Chain & Customer Service,Human Resources,Client/Server,(Windows NT or Unix),High-level Processes,Integrator,SAPIS,General Ledger,Order History (Focus DB),Transportation Management,Railmax,Manufacturing,Planning,Transport Safety,Ordering,Teserac,(HR),Infinium,HR,Financial Reporting,Other HR/Payroll Systems,Manufacturing,Quality Systems,Current transactional systems are complex, reside on multiple platforms and are integrated through a network of interfaces,AS/400,Mainframe,Intrinsic manual processes result in a high cost effort that cannot support the speed of todays e-business environment,Growth / Agility,Strategic Imperative,Lack of automation prohibits additional workforce leverage,Systems are running out of physical capacity,Incremental improvement mindset limits strategic development,Observed Key Theme,Cost Improvement,Customer Service and Retention,e-Business,Focus is on reconciling balances and correcting errors and not root cause error prevention,Processes (especially billing) are manually intensive,Global processes are desirable but difficult to implement consistently,Transaction systems are becoming increasingly difficult to maintain,Special customer requirements and services (e.g.SOMI) are implemented but at a relatively high cost,Inspection of errors protects/ masks the customer from errors inherent in the system,Manual intervention presents a barrier,Business information is not easily assimilated,Quality of global customer information is suspect,Roughly 72% of the IT budget is spent on maintaining current service levels and infrastructure,To maximize business value, we need to shift the spending from maintenance to business development and long term IT support and infrastructure,Percent of IT Spending by Category,IT Support & Infrastructure,2%,Maintenance,72%,Business Development,19%,Non-discretionary,7%,Functions,Current,Limited,Point Source Solutions,Point Source Best of Breed Suite,or,Legacy Systems,Proposed,A future vision of the enterprise architecture must seamlessly and efficiently integrate core business processes in an e-business environment,Evolving Strategy:,AIM, Microsoft,IBM,AS/400,NT, ?,Compaq,Compaq,Digital, IP, Exchange,SAP,JDE,PeopleSoft,Standardized,Low Cost,Mixed after merger,Oracle,Processes of Strategic Value and Competitive Advantage,Operations and Transaction Processes (Low Cost),Infrastructure,Data,Middleware,Planning,ISM,Optimization,CRM,HR / Payroll,Mainframe,Mid-range,Client/Server,Desktops,Laptops,Voice/Data, Networks, Email,App. Interface,Data Mgmt,Customer Facing e-Business Solutions,PRISM / Supply Chain Systems,Procurement Logistics,Manufacturing,Operations,Order,Billing,A/R,A/P,G/L,Reporting,Middleware,Cause for Action,Information Technology Strategy,Exploitation of current product & customer base through geographic expansion, new services & cross selling,Extension of the traditional supply chain beyond current customer and supplier base,Formation of partnerships and alliances,Adoption of new value chain models exploiting todays technology,Global management and measurement processes,Continuous cost improvement,Possible Business Unit Response,Acquisitions,Shared Services,Globalization,e-Business,Continued industry consolidation,Supply Chain Value Nets,Business Model Revolution,Pace of Technology Change,Key Business Change Drivers,Information technology must reinvent itself to develop capabilities that deliver substantial business value at the pace of todays business environment,Align and Support,An updated IT strategy is necessary to align the organization and its service offerings to business unit requirements and operating models,Corporate Agenda,IT Strategy Alignment,68%,Revenue Growth,11% Return,on Net Assets,Assume leadership role in design & implementation of customer enabled processes to promote scalability,Leverage e-business technologies,Develop data mining techniques to leverage customer information leading to increased sales,Institute a program management approach,Profitable & Sustainable Growth,Operational Excellence,Post-Merger Integration,Continuous design of new processes and service offerings to promote customer intimacy and service excellence,Implement low cost high availability infrastructure,Simplify company and customer compliance with regulations,Continue migration to Company As applications,Rapid deployment of new processes and technologies to enable cost initiatives,Rapid application development and deployment,E-business strategy,Corporate Objectives,Linking the strategy to the CEO agenda reinforces ITs commitment to be a high value service partner,Business Strategy,IT Strategy,Business,Mission,Scope,Competencies,Governance,IT Mission,Architecture,Competencies,Governance,Alignment,Align the IT organization to meet business unit requirements of the new Company,Develop and communicate the application and technical architecture direction,Replace the current technical “roadmap” with a comprehensive and specific deployment flight plan depicting timing for replacing applications and technologies and implementing process/ service changes,Implement a program management process to determine IT investment priorities & set IT direction,The IT strategy aligns with business strategies to define matching priorities, complementary capabilities, and compatible organization dynamics,IT Strategy Outcomes,IT Strategy Approach,The IT Strategy is comprised of an IT vision, strategy and deployment plan that will enable rapid delivery of cost effective IT products and services,Gap to Close,Compe-tencies,Archi-tecture,Gover-nance,IT - Future State,Compe-tencies,Archi-tecture,Gover-nance,Deployment Plan,Compe-tencies,Archi-tecture,Gover-nance,Business Strategy,Strategy Development Process,IT Strategy Deliverable,Syntheses,IT Strategy,IT Vision,Core Competencies,Application & Tech. Architecture Direction,Self Funding Investment Plan,Governance Processes,Deployment Strategy and Timing,Filter/Prioritize,Corporate Strategy,Business Unit Strategies,Boundaries from Executive Council,A new CIO was brought in to champion the effort while becoming the IT Change Agent,IT - Current State,A set of guiding principles will allow us to “rethink” the current way of doing business as we progress our strategy development process,The applications and technical infrastructure must be aligned with business strategies and create substantial shareholder value,IT will focus its energy on competencies that are results driven and add significant business value,Our goal should be to deliver project results in half the time and half the cost (time to market is essential),IT budget will be owned and driven by the business for discretionary projects,The organization will adopt a virtual and collaborative approach to address business problems,The future state will drive our strategy design; how we do things today may influence our future but there are no sacred cows,We must provide significant growth opportunities for our people to attract and retain a highly skilled and motivated staff,We will share clear, unified communications at every level led by IT Leadership Team,Four parallel workstreams will contribute to development of the IT vision, strategy and deployment plan,Organizational Effectiveness and IT Alignment,Establish the IT Program Office,Application Architecture,Technical Architecture,How should the organization be aligned to the businesses?,What competencies should be developed to meet the challenges of todays business climate?,What specific application suite will best meet transaction processing requirements?,What platform(s) is most effective for the chosen application suite?,How should we support the companys e-business requirements?,What process is required to prioritize and manage the IT portfolio?,How should IT best involve senior management and the broader organization in the IT process?,IT Strategy Project,Application Architecture,The applications architecture will result in an ERP “backbone” vendor selection and provide guidance and direction for all other applications,All Applications,Customers,Suppliers,Package selected,Impact assessment,Direction / value proposition,Define Needs,Overall guiding principles / rules apply,Technical,DecisionSupport,Customer Relationship Management,Enterprise Resource Planning (ERP),Supply Chain,CollaborativeComputing,Application Options,Vendor 1,Vendor 2,Vendor 3,Vendor 4,Vendor 5,Vendor 6,Technical Options,Database x,y,z,Op System,Computer,Consensus with team,Publish application architecture solution set,Publish impact analysis,Alternatives,Decision/ Result,The application architecture team is following a structured analysis process that test vendor solutions against our decision criteria,Evaluation Criteria,1,Hypotheses/ Criteria Test Questions,2,Analysis,“Leverage / Synergy”,3,Evaluation and Decision Making,4,Compile evaluation criteria,Define “must meet” criteria,Assign criteria weightings,Develop test questions and hypotheses,Perform option analysis,Develop decision tree,Develop fact base to test hypotheses,Evaluate results against criteria and decision frameworks,Agree decision,Project Stage Gates,Key Project Check Points,The vendors will be evaluated against four pre-defined dimensions, each of which will be weighted by business stakeholders,Investment / Viability,Software and hardware costs,Bolt-on and interfaces costs,Implementation and conversion costs,Training costs,Financial status,Organizational strength,Vendor commitment,Embedded base / References,Market position,Customer support,Training,Cultural fit,Implementation resources,Implementation Risk,Functional Requirements,Supports process manufacturing,Order to cash,Financial,Reporting,Processing sequence,Ease of use,Strategic,Growth, agility,Customer service and retention,E-business,Cost containment,Vendor and product strategy,Technical Environment,Technical architecture,Administration services,Interfaces,Documentation and vendor support,Technical Architecture,The technical architecture workstream will develop a comprehensive environment to take advantage of new technologies and value added applications,Order To Cash,Financial,HR,Transactional,Planning,Forecasting,Optimization,Supply Chain,Manufacturing,Quality Control System,Manufacturing,EH&S,Legacy,Decision Support,Railmax,Windows,Local PCs,Intranet,Devices,Internet,Devices,Customer,Devices,Operating Environments,Databases,Middleware,Presentation,Payroll expenses,Orders,Inventory,TBD,TBD,Numerous,Orders,Inventory,Receipts,ATP,Transfer Orders,Orders,Inventory,Transactions,Carriers,Orders,Inventory,Orders,Accounts Receivables,DB2,Vendor,SQL,Server,Adapters for ERP & Legacy Systems (Data Management),Message Management Products,Application Programming Interfaces; Remote Procedure Calls; Request Brokers,Operational Data Stores,Orders,Inventory,Reference data,Journal entries, to maximize the information exchange internally and externally,What is the most viable technical platform(s) for the new Application portfolio?,What is the optimal middleware solution: ERP vendor-supplied, third party or both?,How much do ERP and middleware solutions minimize the effort of developing / maintaining interfaces?,Does the new technical direction adequately address standardization of data across the enterprise?,Will the new technical direction align with existing decision support and emerging e-business strategies?,What impact do these architecture decisions have on current technical skills and competencies?,What new developer tools and platforms will be required to support this technical strategy?,Deliverables,ERP Technical Architecture Roadmap,Outlines the hardware operating system and database platform selected for implementing ERP solutions,Middleware Tool Strategy,Defines the conceptual middleware solution and details the middleware product(s) required to implement the strategy,Decision Support Strategy,Defines the technical solution required to satisfy business requirements and leverage new related technologies and the companys IT strategy,Cost Saving Opportunities,Details cost savings in IT infrastructure costs and defines the impact on the structure of IT Infrastructure and Support,Key Issues,Establish the IT Program Office,Objective,Areas of Focus,Components,Program and Project Management,Communication,Involve business representatives,Perform day-to-day resource allocation,Program and project management,Integrate with capital planning and annual budgeting,Develop Vision Statement,Develop critical rules of engagement with roles and responsibilities to govern IT,Define communication audiences and what they need to know,Determine audiences, communication vehicles, timing,Develop a plan,Develop a program to expand executive awareness of IT initiatives and issues,Communicate to all areas and geographies,Create a framework for managing and allocating funds and resources,Define and deploy a common portfolio management framework,Develop metrics for the IT portfolio,Develop a procedure for funds and resource allocation,Integrate project approval procedures with Governance,Revise 2000 budget,Create “workbooks” that outline Project and Program management processes,Define metrics,Review and adopt tools,Establish quality reviews,Manage risk, scope and budget,Manage issues,Track benefits,Develop frameworks and checklists,Governance,Portfolio Management,The program office workstream will establish processes for portfolio management, governance, communications and program/project management,The portfolio management process starts with the overall corporate goals translating into portfolios of programs,Corporate Goals,Revenue Growth,RONA,Lower Operating Rate,High-level I