Benefits Realization ensures that projects deliver the forecasted benefits identified in a business case or project charter. The reality is that many projects fail to deliver benefits because they rely on technology rather than manage business change. Benefits cannot be achieved unless they are measured and managed. The concept of Benefits Realization was first introduced in the book, The Information Paradox, by John Thorp and other IT professionals at Fujitsu. Benefits Realization has since become a business benefits-focused IT methodology adopted by organizations for business transformation. Benefits Realization is used to help organizations make better business and technology investments, turn those investments into tangible results, and overcome the dreaded “information paradox.”
Many organizations trying to optimize its processes and systems use a method called Benefits Results Chain, which entails building models which link the initiatives required to deliver expected benefits. In developing a Benefits Results Chain, business participants test the assumptions and business change tactics to make sure that all the steps are in place and can be measured by ensuring the benefits will be achieved. The Benefits Results Chain ideally considers the input from key benefit stakeholders. Workshops are held to gain consensus on three topics: 1) The Vision and Benefits to be achieved, 2) Current business problems and issues, and 3) Changes required to achieve benefit.
IT Architects provides a service to develop a Benefits Realization Plan. The plan will drive the prioritization and development of Benefits Results Chains for target areas (business and functional) within your organization. IT Architects will provide a Benefits Realization Framework that will guide the benefits realization efforts through a 7-phased approach (at the program or enterprise level):
1. Reconcile Business Case Benefits
2. Define Benefit Ownership
3. Develop Benefits Task Plan
4. Capture Baseline Measures
5. Deploy Change Initiatives
6. Prepare Go Live Activities (Assign benefits accountabilities; Monitor adoption of new practices)
7. Post Go Live Benefits Tracking (Conduct post-implementation measurements and update Benefits Realization notebook; Analyze variances and recommend corrective actions)
