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How to Improve your process for developing business requirements

By Ed Fenwick
Vice President, Insurance Practice

There is little debate and a high level of agreement these days that new technology and old processes will not yield the desired business results.

Here’s the question we are hearing increasingly: Should we implement the technology around existing processes, learn and understand what the technology can do, and then redesign the processes and adapt the technology? In other words, where is the proper home for process redesign in the technology implementation life cycle?

The “install now, redesign later” approach is often fostered by technology vendors. They propose this approach for several reasons. They want to get to the “installed” state ASAP, book the revenue and move on. Their sales and marketing are often built around the theme of “our solution is plug-n-play with built-in industry best practices templates.” The fundamental problem with the “install now, redesign later” approach is that it’s almost certainly going to kill any economic benefit of implementing the technology.

Going through two development cycles—one to get it installed now and one later to adapt the redesigned processes—is an almost certain ROI killer for most technology initiatives.  While this approach is often fatal to an acceptable ROI, there is often plenty of support for it from within the organization.  Management teams often fight the budget wars for several years to get funding for a given technology. As a result, they want the shortest path to implementation once the green light is given to proceed.

An even bigger motivation for this approach has its roots in the inefficient and ineffective process that most organizations have for implementing technology. The process generally yields poorly developed requirements which yield poorly developed solutions—with the result being delayed implementation and poor business results. Adding redesign to that faulty process can seem to be a needless risk.

The solution and the proper home for process redesign can be found in your organization’s requirements development process. Improving this process is critical to optimizing the benefits of any technology initiative. Here are some key aspects of a business requirements process that can efficiently and effectively incorporate process redesign:

bulletBusiness requirements definition starts with defined business processes, both the as-is and the to-be.
bulletStandard tools and methodologies are used to define both the business processes and the requirements. The methodologies and tools need to be model-oriented; words alone cannot properly convey the proper detail and context of any process or requirement.
bulletCosts, benefits and other key operating metrics are attached to the business processes and the requirements are managed closely at each stage of the technology initiative, not just at the beginning and end.
bulletUser-acceptance testing is derived from the business requirements and is thoroughly tested.  An organization that has a business requirements development process with the above characteristics can easily answer the question of when to redesign business processes. They do it as part of the development effort with no additional risk, delays or costs.


If you would like to know more about how your organization can improve its process for developing business requirements, send me an e-mail at ed_fenwick@renolan.com.