symposium 2015 : business relationship management as as a role, a discipline, and an organizational...
TRANSCRIPT
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Business Rela+onship Management as a Role, a Discipline, and an Organiza+onal
Capability
Presented by Svetlana Sidenko MsC (Admin) PMP® , ITIL® Expert, CGEIT® ITSM®, ISO 20000 Management Consultant TIPA® Lead Assessor, COBIT® 5, ISO 27002 PRINCE2® Practitioner, Certified Process Design Engineer(CPDE) ®, Change Management Registered Practitioner President of IT Chapter www.itchpater.com
BRM Discipline: Introduc+on
• The BRM Discipline rests on solid research-‐based founda8ons verified and enhanced over a decade of successful implementa8ons in leading organiza8ons across the world.
• Proven to be equally effec8ve for shared services including
Human Resources, Finance, Legal, external service providers and others, BRM prac8ces have enjoyed widespread adap8on in IT.
To start with: short survey about YOUR organiza+on…. 1. Is IT critical to the success of YOUR business?
A. Yes
B. No
2. Is the business in YOUR organization able to effectively and efficiently communicate what they need?
A. Absolutely, at all times
B. Yes, most of the time
C. Hmmm…Sometimes
D. No, never
3. Is YOUR IT department getting enough information in order to support strategic business needs?
A. Certainly, always.
B. Usually we are informed sufficiently
C. Often we do not get sufficient information or learn about business initiatives at the last minute
D. We struggle. Business never gives us enough of information
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To start with: short survey about YOUR organiza+on….(con+nued)
4. Is business in YOUR organization seeking IT help outside of YOUR IT organization?
A. Yes
B. No
5. If the business needs support and is not getting help internally, business is getting frustrated with it’s own IT department. Business must get help elsewhere. In YOUR organization, do they:
A. Utilize outside resources
B. Hire their own IT resources to perform the work they need
C. Use their budget to purchase services from unauthorized providers (“Shadow IT”)
D. Outsource IT to global or local providers
E. All of the above
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Signs of broken business and IT rela+onship
Interpersonal problems
“Us” and “them” mentality
“Blame game” and finger pointing
Defensiveness
Non-constructive criticism from both sides
Failure of both IT and business team members to communicate critical information
IT is not invited to important business meetings
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• Interpersonal problems
• “Us” and “them” mentality
• “Blame game” and finger pointing
• Defensiveness
• Non-constructive criticism from both sides
• Failure of both IT and business team members to communicate critical information
• IT is not invited to important business meetings
Results : failure to reach expected business outcomes
Inevitable shiK
Today, with the pervasive and ‘user friendly’ nature of IT, and available access to global sourcing opportunities, IT functions and capabilities are converging with the business and the Business Relationship Management has to help pave the way for inevitable shift.
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Let’s start with Business Rela+onship Management Year 2005: ISO/IEC 20000 defined Relationship Management as a process of “…establishing and maintaining a good relationship between the service provider and the customer…”
Year 2011: ITIL® 2011 Service Strategy defines Business Relationship Management as “…the process that enables BRMs to provide links between the service provider and customers … »
Year 2012: CobiT® 5 defines “Manage the Relationship” Process as a formalized and transparent way of ensuring common “focus on achieving a common and shared goal of successful enterprise outcomes … using …common language and a willingness to take ownership and accountability for key decisions”
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Business Rela+onship Management Ins+tute BRMI Incorporated in March 2013 with a mission to:
“Define, inspire, value, and promote the key traits of effective Business Relationship Management”
This mission is fulfilled through:
A learning community of BRM professionals
A Wiki collaboration platform
BRM Interactive Body of Knowledge™
Professional BRM training, development and certification
BRM research and publications
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BRM as a Role, a Discipline and Organiza+onal Capability
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• As an Organizational Capability BRM is everything it takes, both visible and behind the scenes, that makes producing a good or providing a service possible, meaning having people with the right competencies to play the roles required by defined processes, and armed with useful tools, all backed by management systems that create incen8ves for performance and improvement.
• As a role, the Business Rela8onship Manager is a connector and translator between a provider organiza8on and a business unit
• As a discipline, Business Rela8onship Management embodies knowledge, skills, behaviours that foster value-‐producing rela8onships between a provider and the business units they serve
Business Rela+onship Management defini+on
“Business Relationship Management stimulates, surfaces and shapes business demand for a provider’s products and services and ensures that the potential business value from those products and services is captured, optimized and recognized.”
Source: BRMI Ins8tute
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BRM metaphors
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Typical BRM role
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Sits at intersec8on of service provider and business partner
S8mulates, surfaces and, shapes business demand for maximized value
Member of both business and provider management teams
The “House of BRM”
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The ‘‘roof’ protects the integrity of the BRM role
The ‘pillars’ define the BRM space in terms of Core Disciplines
The ‘founda8on’ supports the execu8on of the role
Aspects to consider…
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It takes two to tango
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"It takes two to do the trust tango-‐the one who risks (the trustor) and the one who is trustworthy (the trustee); each must play their role”
-‐Charles H. Green, The Trusted Advisor
You can sail on a ship by yourself, Take a nap or a nip by yourself. You can get into debt on your own, There are a lot of things that you can do alone! But ...It takes two to tango! Al Hoffman and Dick Manning, 1952
Business Demand Maturity and Provider Supply Maturity
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A tool for calibrating supply and demand maturity, and BRM role!
Climbing maturity levels
Credibility = Expertise + Trust
The elements of trust: Similarity Prolonged positive interactions Appropriate behaviour (in business partner’s eyes) Consistent behaviour – do what you say you will do!
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Trust can be earned Not by expertise alone…
We view as experts those we trust
But we don’t necessarily trust experts!
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…But by relationship management
Ac8ve listening
Crea8ng posi8ve interac8ons with business partners
Helping business partners become self-‐sufficient
Teaching and coaching
Responding well in difficult business partner encounters
Avoiding defensiveness
By building a mul8year capability roadmap and delivering or showing results against that roadmap
Broken rela+onship can be repaired In case if the problem is in lack of business partner trust due to prior bad IT experience…
But they may not tell you that – it’s hard to diagnose….
Can’t be resolved by saying “it wasn’t me”
Can’t be resolved by improving technical performance
You must build back the relationship:
Start small;
Have positive interactions;
Give help and jargon-free information;
Locate near your business partners and see them often.
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The Strategic Partnership role Partnership gets a lot of hypocrisy:
We want to be loved for what we’re doing now
We want them to change, not us
We want them to give it to us; we don’t want to earn it
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Strategic Partners con8nuously looking for opportuni8es to add value by:
Seeing opportuni8es that business partners don’t see or want to see
Selling the business partner on the opportuni8es
Knowing when to cajole
Knowing when to confront
Knowing when to give in
In short, by political behaviour
Business Rela+onship Management Competencies
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BRM DNA™
Develop
Nurture
Advance
Rela+onship Maturity
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Essen8al Role of Service Management
The BRM role in prac+ce
Seniority – and level of business executive with whom the BRM partners.
Purpose – especially in the balance of focus between supply (the view from the Provider out to the Business Partner) and demand (the view from the Business Partner back to the Provider).
Title – e.g. Business Partner Director, Account Manager, etc.
Supply side focus – e.g. IT, HR, Finance, Line of Business, etc.
Demand side focus – e.g. Line of Business, Business Process, Geography.
Team size – from sole practitioner to leader of a team of 10+.
Numbers of BRMs per enterprise – from 1 to 100s.
Career trajectory – often moving from major project or program management role to leadership role in Provider domain (e.g. to CIO).
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Varies widely from organization to organization…!
Common BRM repor+ng and organiza+on structures
Reporting relationships
• Solid line to Provider lead, dotted line to Business Partner lead
• Dotted line to Provider lead, solid line to Business Partner lead
• Some BRMs report to Provider Strategy and/or Architecture lead, PMO, etc.
BRM staff
From none (BRM as individual performer)
To multi-level
• BRM Lead
• BRM Manager
• BRM Analyst
To small supply team (e.g., mini-CIO organization, ‘Shadow’ provider organization)
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With many variations!!
How The BRM role aligns with Business Partners
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BRMs are typically organized by Business Unit or Business Process!
Rela+onship Manager career paths Gartner predicts that the percentage of IT personnel dedicated to relationship management and change leadership functions will reach nearly 20 percent by 2016.
Diane Morello, “IT Professional Outlook, 2012 to 2016: Prepare for a Future Unlike the Past”
Optimally, BRMs have the role as a full time position
Heads of provider organizations (e.g., CIO) fill the BRM role for the enterprise as a part time role
Where Do Successful BRMs Come From?
• ITSM
• Business Analysis
• Portfolio Management
Business background, with provider acumen, or provider background with business acumen?
• Both
What types of career progression are available to the BRM?
• Path to CIO or head of provider function
• Path to Business Leader
• Path to Shared Services Relationship Manager
• Representing a broad set of shared services such as HR, Finance, and Facilities
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The Skills Framework for the Informa+on Age (SFIA) SFIA defines 96 professional IT skills, organized in 6 categories, each of which has several subcategories. It also defines 7 levels of attainment, each of which is described in generic, non-technical terms
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In conclusion…some important points BRM is critical organizational capability
The BRM role can be tactical or strategic – but not both
Provider supply maturity is the key factor in determining type of BRM role
Not all BRMs in an organization will be of the same type
Business units that have greater maturity will look to the BRM role to be more strategic
Those units with less maturity will look for tactical help from the BRM
Business demand maturity is a factor in determining how the BRM role is deployed
ITSM plays essential role is growing the Relationship Maturity
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To learn more about Business Rela+onship Management
BRMI Interactive Body of Knowledge
http://brminstitute.org/
Concepts
Processes
Templates, Forms, Diagrams
Community Support
BRMP® Foundation Certification course - 3 days + exam
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–Bertie Charles Forbes, founder of Forbes magazine!
“If you don't drive your business, you will be driven out of business…”
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