1.
Building Business Value From IT A Framework
kds@kdsnext.com, +91 9811771187, www.coeusage.com
www.cioleadingchange.com, www.emergententerprise.com

2.
3 Core Issues for IT Success
Organizational
Readiness
Structural, Cultural, Behavioral and
Technological State
Projects
What and How?
ERP, SCM, CRM, eCommerce
Technology
What and How?
DC, Cloud, Security, Network
Ideally, organizations should address three core issues when it comes to IT. IT projects
of significant importance need to assess the organizational readiness at one level and
the specific technology solutions at another.
Unfortunately, more often than not, organizations leave the organizational readiness
aspect unaddressed. More than 70% of projects fail due to this one reason. This should
addressed on priority before undertaking any major IT driven business solution.
Coeus Age brings a holistic approach of focusing on assessing the organizational
readiness in the form of the Business Value of IT Framework. The framework
can help an organization enhance its readiness for IT adoption.

3.
Business Value of IT Framework
Integrating the Three Layers of Organizational Existence
Source: Coeus Age
1
2
Cultural,
Structural,
Behavioral
and
Technological
3
Business
IT
Alignment
Strategic
Intent
Competitive
Environment
IT
Maturity
Core
Purpose
IT Impact on
Processes
Firm
Performance
Business
Capabilities
Customer
Needs
Organizational
3 Levers
Process Impact of IT
Context
of Business Value of IT
Operational Efficiency or Strategic Advantage
Layer 1
Deeper Reality
Layer 2
Surficial Manifestation
Layer 3
IT Consequences
Understand and
Change
Measure and Map
Plan and Achieve

4.
Layer 1- Deeper Reality (Understand)
7 Boxes to Look for Trouble- With or Without Theory
External
Environment
Core Purpose
of IT
Information
Leadership
Process
Capability
IT Maturity
Performance
Impact
People
Practices
Source: Coeus Age
Cultural
Envisioned Purpose of IT
Structural
IT Leadership, Governance
Behavioral
Human, Social and Relational
Technological
IT Mgmt., Infra., Apps, Skills

5.
7 Boxes of The Context
Box
Formal
Informal
Core
Purpose of
IT
What is the stated purpose for IT?
Does the organization want to move up the purpose maturity
scale?
Has the purpose been communicated clearly to all
organizational members?
Who all wants to move up, what is preventing them from doing
so?
Is there a conflict in open regarding the purpose of IT? Why there
is a conflict of views in regards to the purpose of IT?
Is the organization stuck?
Information
Leadership
What are the formally defined roles and
responsibilities with respect to IT?
Is information leadership adequate to meet the core
purpose of IT?
Where and why is the organization stuck?
How are decisions regarding IT taken?
What role does the CEO and other CxOs play in IT decisions?
How is the relationship between the CEO, CxOs and the CIO?
What the experience is of and what kind of actions the CEO, CxOs
and the CIO take? And why?
People
What is the agreement on the role of the CIO?
How do people use IT? Do they simply adhere or they also
What kind of skills are developed through trainings? consume information in their day to day life?
What really motivates the people on the ground to do what they
What are the formal ways of motivating people to
do?
do what is expected?
What is expected from people in regards with IT?

6.
7 Boxes of The Context
Box
Formal
Informal
Practices
What formal practices enable communication between
business and IT?
How do the informal ‘Information Leadership’ aspects
impact the practices?
What formal structural mechanisms, processes and
What kind of informal practices prevailing? Do they
practices exist at the top and at the broader organizational support or thwart the formal practices?
levels?
What do people do with the information system and what
What is the adequacy of these practices?
do they do with information?
IT Maturity
What kind of experience people have with IT? What
people do with IT and with information?
What formal IT management processes are practiced?
What is the adequacy of the IT skills required?
What specific IT competencies exist in the organization?
What is the adequacy of the IT, communications, storage
and security infrastructure?
What is the adequacy of the business applications in
terms of functionalities, breadth and integration?
Process
Capability
What strategic process capabilities are planned? What is
the rationale behind the decision?
How long have you been using the IT?
How are the learnings over time impacting IT infrastructure
maturity?
How is skill inventory built?
What is IT’s reputation?
What is the CIO’s control on IT Infrastructure Maturity?
What is the adequacy of IT budgets?
What unplanned capabilities have evolved over time, which
the organization is aware of?
What can be come unplanned capabilities, which the
organization is unaware of?
Performance
Impact
How is the performance impact of IT measures?
What capabilities are exploited strategically?
Is there a opinion difference between IT’s impact on
performance? Is the organization really aware how IT can
further impact performance?

7.
Layer 2 (Measure and Map)
Three Levers of Business Value of IT
Cultural
Envisioned Purpose of IT
Behavioral
Human, Social and Relational
Core Purpose of IT
Business IT Alignment
Structural
IT Leadership, Governance
IT Maturity
Technological
IT Mgmt., Infra., Apps, Skills
1
2
3

8.
3 Levers- The Dynamic Interplay (Map)
Map Your Organization
IT Purpose- transform at the
organization or the industry level
Value
Source: Coeus Age, 2013
IT Driven
4
06%
IT Purpose- informate down to
empower the larger organization
3
27%
43%
IT Purpose- informate up to
enhance the control by few at top
High
23%*
BIA
Low
2
IT Purpose- Automate the basic
processes to save human labor
IT Laggard
Low
ITIM
1
High
BIA- (Adequacy of) Business IT Alignment; ITIM- (Adequacy of) IT Infrastructure Maturity
* Figure represents % organizations at different levels of IT purpose. Based on a survey of 305 Indian Organizations
Time

9.
Building Block 3 (Plan and Achieve)
The Process Impact
EFORCE FRAMEWORK FOR ASSESSING THE IT IMPACT ON THE
ORGANIZATION
Performance
Competitive Edge
Organizational Capability
CE
OR
Functional Capability
F
Local Process Efficiency
E
Period
Source: Coeus Age

10.
Coeus Age Advisory Outcomes
Organizational IT
Readiness Assessment Report
This is the differentiator as it helps create
the right context for IT to provide value in
terms of performance
Project Specific Support
Technological Road Map
Coeus Age can help create a holistic
assessment report on your organization’s
reality and the need for change &
development.
It can help develop a change &
development plan and implement it by
involving the key stake- holders
Coeus Age can provide project specific
support in terms of functional document,
project management, vendor
management, training etc.
Coeus Age can provide support in
designing the IT architecture and
identifying the right technology to
support your business priorities

11.
Coeus Age Lead Consultant
Kapil Dev Singh
kds@kdsnext.com
+91 9811771187
www.coeusage.com
www.cioleadingchange.blogspot.in
Kapil has 20 years of experience, of which 16 years has been
in business research. He headed IDC, a research & advisory
major, in India for around 8 years.
Kapil has completed his PhD from MDI, Gurgaon with specific
focus on CIO role effectiveness. His broader area of research
was business value of IT. The Business Value of IT Framework
has been a result of his 5 years of rigorous research efforts
Kapil works closely with the senior management teams on the
issue of deriving business value from IT
Other Consultants’
Profiles can be
shared as and when
required, depending
on the nature of the
work involved
Kapil is an MBA and BE. He is also a lead auditor for ISO 9000,
a six sigma green belt and has basic orientation on PCMM.
Kapil is a certified Organization Development Consultant, he
was certified at the highest level of competency by the Indian
Society for Applied Behavioral Sciences
Kapil has been a regular speaker at various industry forums
and is widely quoted in the media.
He is also an avid blogger and writes regularly for the CIOs and
the CxOs