Whilst preparing for a presentation titled the same name as this post, I came across a number of surprising statistics which I thought I would share.
The first was the discovery that in the UK we apparently invest something in the region of £100 billion per/annum on change related projects /programmes of work, but the returns earned by industry on the back of such a huge levels of investment are in fact negative.
That’s right industry as a whole loses on change related investments!
The exact figures concerning these negative returns run as follows:-
“Based on GDP the yield is about -6% “
“Based on Shareholder Value over 10 years the return – 4%”
These figures are quite astonishing.
Before we can start discussing the “How” we need to first workout the “What”. In the context of Benefits Realisation Management (BRM) what do we mean by the word “Measure” :-
A measure is a metric whose change in the desired direction helps to confirm that the related benefit or dis-benefit is being realised.
In other words a measure is the thing which will be tracked and monitored in order to establish when a benefit has been realised (for example the production cost value). It is not:-
- The actual value i.e. £ 3million
- The Target Improvement i.e. – 30%
- The means of measurement i.e. financial review
- The benefit i.e. reduced production costs.
Click Clarety Benefits Map Template to get your Visio download.
The completion of the attached template is an essential aspect of the Benefits Realisation Process for a project or programme of work. The completion of this document is all about defining WHAT (The Benefits Required) and the HOW (the Benefits Dependency Map) they are to be delivered through change. The map components requiring completion run as follows:-
To download please click > Benefits Log Template
One of the first stages in Benefits Realisation Management is to identify the benefits you want your project /programme to deliver, who will own them, and how they will be measured in terms of the target level of improvement required. To do this you need to identify your project /programmes stakeholders and complete, for each identified benefit, a Benefit Profile. I have created in a previous post a Benefit Profile Template for free download.
FREE Benefit Profile Template
Managing Successful Programmes (MSP) is really gaining traction these days as a Professional Programme Management Framework, even if its focus is on change management. The fact is that there is currently little else being offered by the management institutes which better explains the inner workings of “best practice” programmes of work. Sad but true :(