Sustainable IT Architecture
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Assess your Information System
Using the IS Rating Tool to measure the Intrinsic Value of your IS Assets
Related links: What is valorization of Information Systems? (Find out what are Intrinsic Value, Business Value and Use Value of IS),
IS Rating Initiative (Find out the IS Rating Tool).
Using the IS Rating Tool to measure the Intrinsic Value of your IS Assets
Related links: What is valorization of Information Systems? (Find out what are Intrinsic Value, Business Value and Use Value of IS),
IS Rating Initiative (Find out the IS Rating Tool).
To measure the Intrinsic Value of your IS, you should take into consideration first your Data, second your Business Rules and then your Processes. The IS Intrinsic Value is not reliant on the quality of the company’s working procedures (Use Value) nor the quality of the Business-IT alignment (Business value). The Intrinsic Value tackles the quality of your Data, Rules and Processes regardless of your organization and your market. Every IS Asset based on Data, Rules and Processes is gauged through three facets: Mastering Knowledge, Mastering Governance features and Mastering IT.
Understanding the Intrinsic Value and the IS Rating Matrix.
The left figure presents the IS Rating Matrix showing how each IS Asset should be managed through its Knowledge, its Governance and its Technology. The scope dealing with the knowledge management is gauged with help from Enterprise Architecture outcomes targeted to Data, Rules and Processes.
The governance scope is focus on a list of functions required to manage Data, Rules and Processes such as Version management, Authoring, Traceability, etc. This is not the quality of working procedures or processes applied to deliver IS projects, conduct changes and relationships between Executives, Business Users and IT department. Indeed, this is not the IS Use Value but the IS Intrinsic Value. Every IS Asset should have a set of governance features to enforce Data Governance, Rules Governance and then Process Governance.
At last, the technology facet is based on the ability to enforce the linking value of MDM with BRMS and BPM, as established with the ACMS IS Foundation (Agility Chain Management System).
The left figure presents the IS Rating Matrix showing how each IS Asset should be managed through its Knowledge, its Governance and its Technology. The scope dealing with the knowledge management is gauged with help from Enterprise Architecture outcomes targeted to Data, Rules and Processes.
The governance scope is focus on a list of functions required to manage Data, Rules and Processes such as Version management, Authoring, Traceability, etc. This is not the quality of working procedures or processes applied to deliver IS projects, conduct changes and relationships between Executives, Business Users and IT department. Indeed, this is not the IS Use Value but the IS Intrinsic Value. Every IS Asset should have a set of governance features to enforce Data Governance, Rules Governance and then Process Governance.
At last, the technology facet is based on the ability to enforce the linking value of MDM with BRMS and BPM, as established with the ACMS IS Foundation (Agility Chain Management System).
For each cell of this matrix, the IS Rating Tool provides a set of questions to assess its intrinsic value. The left figure highlights the Data Governance rating sheet.
A mark is computed for each cell and a final consolidated rating is established for the three types of IS Assets (Data, Rules and then Process). A mark is a Performance Level Percentage translated to a letter from A to D according to this scale:
A: >=90%
B: >=50% and <90%
C: >=10% and <50%
D: <10%
Example of a company using the IS Rating Tool
to conduct a multi-year IS plan
This IS plan is aimed at improving traceability and agility of systems to enforce a better business-IT alignment. With help from a better data and rules governance based on MDM and BRMS, this company has decided to decrease its level of hard-coding software for the benefit of business repositories associated with effective business governance functions: version management, authoring of data and rules, auditing, history management and traceability, overseeing of master data and key business rules in real time, etc.
Note: the last row (gray) of the IS Rating matrix establishes the three consolidated marks for Data, Rules and Processes respectively.
The first use of the IS Rating Tool raises
a consolidated mark CCB
This company has a huge risk in Data management (C) and Rules management (C). Its ability to well manage its Processes (B) doesn’t prevent this company from facing a serious IS crisis because of a data and/or business rules loss of control. More precisely, according to its detailed IS rating outcomes, we have to study why its data knowledge is so poor (only 5% = D)? From this first rating, the company’s stakeholders should demand detailed information describing the IS plan to manage data and rules risks.
Once this plan will be delivered, a further IS rating will be done to gauge the IS improvement. May be, this company could decide to raise its data consolidated mark to the "B" level within a year and then attain a "BCB" rating which would be reassuring for its stakeholders.
Then, after a full year of work on data knowledge improvement, the company’s rating goes up to "BCB” (see the next rating card).
a consolidated mark CCB
This company has a huge risk in Data management (C) and Rules management (C). Its ability to well manage its Processes (B) doesn’t prevent this company from facing a serious IS crisis because of a data and/or business rules loss of control. More precisely, according to its detailed IS rating outcomes, we have to study why its data knowledge is so poor (only 5% = D)? From this first rating, the company’s stakeholders should demand detailed information describing the IS plan to manage data and rules risks.
Once this plan will be delivered, a further IS rating will be done to gauge the IS improvement. May be, this company could decide to raise its data consolidated mark to the "B" level within a year and then attain a "BCB" rating which would be reassuring for its stakeholders.
Then, after a full year of work on data knowledge improvement, the company’s rating goes up to "BCB” (see the next rating card).
The second use of the IS Rating Tool raises
a consolidated mark BCB
On the basis of this new rating, the company has a huge interest in improving its business rules management to reach a ‘B’ level rather than a poor ‘C’. The key factor to succeed seems to deploy a stronger approach in rules governance, as shown in its detailed IS rating outcomes (21% = C).
After delivering works on rules management, this company achieves this objective and attains a new rating "BBB" (see the next rating card).
a consolidated mark BCB
On the basis of this new rating, the company has a huge interest in improving its business rules management to reach a ‘B’ level rather than a poor ‘C’. The key factor to succeed seems to deploy a stronger approach in rules governance, as shown in its detailed IS rating outcomes (21% = C).
After delivering works on rules management, this company achieves this objective and attains a new rating "BBB" (see the next rating card).
The third use of the IS Rating Tool raises
a consolidated mark BBB
"BBB" is an excellent rating, very reassuring for all IS stakeholders. By analyzing its detailed percentage levels per IS assets (see its detailed IS rating outcomes) additional improvements can be identified to target the "AAA" level.
Don't forget, the rating can be established both at the scale of the whole IS but also within a smaller scope such as a subsystem, a software package, a subsidiary, a web application, etc.
a consolidated mark BBB
"BBB" is an excellent rating, very reassuring for all IS stakeholders. By analyzing its detailed percentage levels per IS assets (see its detailed IS rating outcomes) additional improvements can be identified to target the "AAA" level.
Don't forget, the rating can be established both at the scale of the whole IS but also within a smaller scope such as a subsystem, a software package, a subsidiary, a web application, etc.
A progressive path to leverage your IS Intrinsic Value and drive your Enterprise Architecture
As shown with this quick example, the IS Rating Tool is aimed at assessing:
- the effectiveness of your Enterprise Architecture,
- your ability to deliver the right business governance functions to IS Stakeholders,
- and your IT ability to take benefit from the linking value of MDM with BRMS and BPM.
Nowadays, there are no companies having a full AAA rating for every IS Asset based on Data, Rules and Processes. It is impossible to attain this rating in a one-step approach.
Furthermore, defining from scratch a road-map to deploy your Enterprise Architecture in compliance with data, rules and processes governance is not easy. This is the reason why the IS Rating Tool provides companies with a concrete approach to define a progressive path supporting a real IS restructuring.
Indeed, with help from the IS Rating matrix, you are able to define and explain your natural path to target the better IS Intrinsic Value in your context, based on a multi-year plan.
Beyond the Intrinsic Value, you should also tackle the Use Value and the Business Value of your IS with help from other methods and frameworks like CobiT and CMMi (see also here).
As shown with this quick example, the IS Rating Tool is aimed at assessing:
- the effectiveness of your Enterprise Architecture,
- your ability to deliver the right business governance functions to IS Stakeholders,
- and your IT ability to take benefit from the linking value of MDM with BRMS and BPM.
Nowadays, there are no companies having a full AAA rating for every IS Asset based on Data, Rules and Processes. It is impossible to attain this rating in a one-step approach.
Furthermore, defining from scratch a road-map to deploy your Enterprise Architecture in compliance with data, rules and processes governance is not easy. This is the reason why the IS Rating Tool provides companies with a concrete approach to define a progressive path supporting a real IS restructuring.
Indeed, with help from the IS Rating matrix, you are able to define and explain your natural path to target the better IS Intrinsic Value in your context, based on a multi-year plan.
Beyond the Intrinsic Value, you should also tackle the Use Value and the Business Value of your IS with help from other methods and frameworks like CobiT and CMMi (see also here).