Business Strategy Phase

Definition

Business Strategy Phase

the first phase of the business engineering cycle during which the development organization develops new strategies and architectures for all or part of the customer organization’s business enterprise

Goals

The typical goals of the Business Strategy Phase of a business engineering project are to:

• Reach a consensus regarding the new operating vision and mission of the reengineered business enterprise.
• Develop the associated new business strategies and architectures for the reengineered business enterprise.
• Develop a framework for deploying new business capabilities.
• Plan the implementation of (and transition to) this new reengineered business enterprise.

Objectives

To meet these goals, the typical objectives of the business strategy phase on a business engineering project are to:

• Analyze the customer organization, marketplace, relevant technologies, and user organizations to create a basis for reengineering the business enterprise.
• Develop a new vision of the reengineered business enterprise:
  • Strategic direction
  • Mission
  • Value proposition for users, shareholders, and employees
• Develop appropriate business strategies for dealing with:
  • New target markets and customer organizations
  • Appropriate new products, services, and associated pricing models
  • New delivery channels for these products and services
  • New or improved business capabilities to supply these products and services
  • New and updated applications to support these business capabilities
  • Relevant technologies to be used in these applications
  • New relationships with vendors and partners to support these business capabilities, applications, and technologies
• Develop initial new architectures (i.e., business model) for the reengineered business enterprise:
  • Business Object Model (BOM)
  • Business Process Model
  • Business Organizational Model
• Develop the business case for implementing the new business strategies and architectures:
  • Estimate the benefits.
  • Estimate the costs.
  • Estimate the required resources.
  • Estimate the required schedule.
  • Document the business case.
• Create a transition plan for successfully reengineering the business enterprise.
• Eliminate the highest project risks.

Preconditions

The following preconditions should typically be satisfied before the business strategy phase of a business engineering project can successfully begin:

• Representatives of the development organization and the customer organization’s sign the project contract and statement of work.

Postconditions

The business strategy phase of a business engineering project is typically complete when the following postconditions have been met:

• The customer organization has accepted delivery of completed analyses for:
  • Customer Organization
  • Competitive Marketplace
  • Technology Trends
  • User Organization(s)
• The customer organization has accepted delivery of completed strategies for:
  • New applications.
  • Digital branding.
  • Relationships with users, partners, and vendors.
  • Digital security.
  • Use of new technology.
• The following major stakeholders agree on the customer organization’s vision of the business being reengineered:
  • Customer Representative(s)
  • Project Manager
  • Technical Leader
• The customer organization has accepted delivery of an initial architecture for the reengineered business.

Milestones

The typical milestones of the business strategy phase of a business engineering project include:

1. Project Mobilized
   • Legal work products signed.
   • Plans made, approved, and delivered.
   • Initial teams staffed.
   • Facilities ready.
2. Analyses Complete including:
   • Competitor Brand Analysis Passed Inspection
   • Customer Analysis Passed Inspection
   • Customer Brand Analysis Passed Inspection
   • Market Analysis Passed Inspection
   • Technology Analysis Passed Inspection
   • User Analysis Passed Inspection
3. Business Vision Complete
   • Business Vision Statement Passed Inspection
4. Strategies Complete including:
   • Application Strategy Passed Inspection
   • Digital Brand Description Document Passed Inspection
   • Relationship Strategy Passed Inspection
   • Reuse Strategy Passed Inspection
   • Technology Strategy Passed Inspection
   • Security Policy Passed Inspection
5. Business Architecture Complete
   • Business Architecture Document Passed Inspection
6. Business Strategy Phase Complete including:
   • Business Strategy Phase Passed Audit
   • Business Strategy Phase Passed Review

The following figure illustrates the order and approximate timing of preceding business strategy phase milestones:

Work Products

During the business strategy phase, the following primary work products are typically produced and delivered during a business engineering project:

• Digital Branding Set:
  • Customer Brand Analysis
  • Competitor Brand Analysis
  • Digital Brand Board
  • Digital Brand Prototypes
  • Digital Brand Description Document
  • Digital Brand Communication Plan
• Security Set:
  • Security Policy
  • Security Audit Report
  • Security Risk Assessment
• Requirements Set:
  • Actor Cards
  • Use Case Cards
  • Class Responsibility Collaborator (CRC) Cards
  • Customer Analysis
  • Customer Stakeholder Profile
  • Market Analysis
  • Competitor Profile
  • Technology Analysis
  • User Analysis
  • User Profile
  • User-Task Matrix
  • Business Vision Statement
  • Glossary
• Architecture Set:
  • Business Object Model (partial)
  • Business Process Model (partial)
  • Business Organization Chart
  • Application Business Case
  • Application Strategy
  • Relationship Strategy
  • Business Architecture Document
  • Business Transition Plan
  • Reuse Strategy
  • Technology Strategy

Secondary Work Products

During the business strategy phase, the following secondary work products are typically produced and delivered:

• Management Set:
  • Contract
  • Statement Of Work
  • Management Plan
  • Work Breakdown Structure
  • Organization Chart
  • Job Description
  • Master Schedule
  • Component Schedule
  • Team Schedule
  • Budget
  • Status Report
• Configuration Managment Set:
  • Configuration Managment Plan
  • Change Request Form
  • Configuration Identification Report
  • CCB Meeting Minutes
  • Configuration Status Report
  • Configuration Audit Report
• Risk Managment Set:
  • Risk Management Plan
  • Risk Analysis
  • Risk Monitoring Report
• Quality Set:
  • Quality Plan
  • Audit Report
  • Inspection Report
  • Inspect Summary Rpt
  • Process Checklist
  • Endeavor Debrief Report
• Process Set:
  • Process Description
  • Conventions for each work product:
    • Guidelines
    • Templates
    • Content and Format Standards
    • Inspection Checklists
• Metrics Set:
  • Metrics Plan
  • Metrics Report
• Environments Set:
  • Project Environment Design Document
  • Engineering Environment
  • Integration Environment
  • Test Environment
• Training Set:
  • Training Materials
  • Training Plan
  • Training Schedule
  • Vendor Assessment

Teams

The following teams typically collaborate during the business strategy phase of an business engineering project:

• Project Team
• Management Teams:
  • Program Management Team
  • Project Management Team
  • Change Control Board
  • Configuration Management Team
  • Metrics Team
  • Quality Team
  • Training Team
• Strategy Teams:
  • Business Strategy Team
  • Digital Branding Team
  • Technology Strategy Team
• Inspection Teams:
  • Strategy Inspection Team

Activities And Tasks

The following business engineering activities and associated tasks are typically performed during the business strategy phase in an iterative, incremental, parallel, and timeboxed manner:

• Digital Branding Activity:
  • Customer Brand Analysis
  • Competitor Brand Analysis
  • Digital Brand Production
  • Digital Brand Documentation
• Requirements Engineering Activity:
  • Customer Analysis
  • Market Analysis
  • Technology Analysis
  • User Analysis
• Architecting Activity:
  • Business Object Modeling
  • Business Process Modeling
  • Business Case Development
  • Application Selection
  • Technology Partner Selection
  • Technology Vendor Selection
  • Security Policy Production
  • Technology Strategy Production
• Security Engineering Activity:
  • Security Policy Production

Administrative Activities and Associated Tasks

The following administrative activities and associated tasks are typically performed during the business strategy phase in an iterative, incremental, parallel, and timeboxed manner:

• Management Activity:
  • Cost Management
  • Communications Management
  • Delivery Management
  • Management Planning
  • Personnel Management
  • Relationship Management
  • Resource Management
  • Schedule Management
  • Scope Management
• Configuration Management Activity:
  • Configuration Management Planning
  • Configuration Identification
  • Version Control
  • Configuration Control
  • Configuration Status Reporting
  • Configuration Auditing
• Risk Management Activity:
  • Risk Analysis
  • Risk Control
  • Risk Identification
  • Risk Management Planning
  • Risk Monitoring
• Training Activity (primarily customers and users):
  • Training Planning
  • Training Needs Assessment
  • Training Vendor Selection
  • Training Materials Production
  • Training Scheduling
  • Training Delivery

General Engineering Activities and Associated Tasks

The following general engineering activities and associated tasks are typically performed during the business strategy phase in an iterative, incremental, parallel, and timeboxed manner:

• Process Engineering Activity:
  • Process Needs Assessment
  • Process Framework Extension
  • Process Framework Iteration
  • Process Construction
  • Process Tailoring
  • Process Documentation
  • Process Consulting
  • Process Mandating
• Quality Engineering Activity:
  • Quality Needs Assessment
  • Quality Planning
  • Quality Assurance
  • Quality Control
• Metrics Engineering Activity (produces size, cost, and effort estimates of following phases based on the requirements and architecture):
  • Metrics Needs Assessment
  • Metrics Planning
  • Metrics Collection
  • Metrics Analysis
  • Metrics Reporting
• Reuse Engineering Activity:
  • Endeavor Support
  • ReusableWork Product Certification
  • ReusableWork Product Evaluation
  • Reusable Work Product Identification
  • ReusableWork Product Preparation
  • Reuse Repository Production

Guidelines

• This phase may be used to reengineer an entire business enterprise or only a single area or business unit within a business enterprise.
• Some of the goals and objectives of this phases may be achieved on a limited, incremental, application-by-application basis by transfering many of its process components (e.g., work units, work products, and producers) to the initiation phases of the development cycles of its associated projects. This approach, however, has significant risks because it becomes very difficult to produce optimal overall strategies and business architectures on a limited tactical application level.