1. Webinar Agile Governance To Support Sustainable Business Agility Henry Peyret, Principal Analyst November 9, 2012. Please call in at 10:55 a.m. Eastern time

2. © 2012 Forrester Research, Inc. Reproduction Prohibited Agenda Agility versus speed Business need for agility clashes with IT governance The four principles of Agile governance using BCEA Recommendations 2

3. © 2012 Forrester Research, Inc. Reproduction Prohibited Agenda Agility versus speed Business need for agility clashes with IT governance The four principles of Agile governance using BCEA Recommendations 3

4. Agility versus being quicker Being quicker = The ability to make your car go faster and faster. But every direction change — even a small one — becomes more risky!!! Sustainable agility = The ability to make changes large and small, repetitively and continuously, without adversely affecting either the larger change context or the ability to make future changes. 4 © 2012 Forrester Research, Inc. Reproduction Prohibited

5. Agenda Agility versus speed Business need for agility clashes with IT governance The four principles of Agile governance using BCEA Recommendations 5

6. © 2012 Forrester Research, Inc. Reproduction Prohibited Enterprise strategy represents a compromise between three dimensions Source: April 14, 2011, “Updated Q2 2011: Assess Your Enterprise Agility” Forrester report 6

7. © 2012 Forrester Research, Inc. Reproduction Prohibited Governance idealGovernance reality Integrated governance model Stable business ecosystem Single stable strategy Integrated decision criteria Structured planning process Clear target state Complete, approved road maps Cohesive business & IT change programs Planned, measured business improvement Rapid business change Single stable strategy Multiple, changing strategies Fragmented decision criteria Clear target state Multiple target states Opportunistic projects No approved road maps Disconnected governance Wasted effort, program conflict, reduced control, greater risk 7 Governance ‘ideal’ versus reality Source: August 31, 2012, “Rearchitect Governance For Sustainable Business Agility” Forrester report

8. © 2012 Forrester Research, Inc. Reproduction Prohibited Agile governance encompasses a continuum from plan to operate Assess & plan Design Source & implement Operate & evolve Govern 8

9. © 2012 Forrester Research, Inc. Reproduction Prohibited Agenda Agility versus speed Business need for agility clashes with IT governance The four principles of Agile governance using BCEA Recommendations 9

10. © 2012 Forrester Research, Inc. Reproduction Prohibited Governance 1: Distribute governance responsibilities using “zoning” 3: Integrate decision- making criteria based on business outcomes 2: Use consistent models and practices at all levels 4: Integrate governance from planning thru to operations PlanDesignImplementOperate and evolve 10 The four principles of Agile governance Source: August 31, 2012, “Rearchitect Governance For Sustainable Business Agility” Forrester report

11. © 2012 Forrester Research, Inc. Reproduction Prohibited Zone your governance approaches using your business capability map Marketing Sales Customer service Product development Manufacturing Fulfillment Finance Human resources Legal & compliance Fully distri- buted governance Partially distributed — business unit leads Partially distributed — more central oversight Centralized governance Business capabilities assigned to governance zones based on agility and risk 11 Source: August 31, 2012, “Rearchitect Governance For Sustainable Business Agility” Forrester report

12. © 2012 Forrester Research, Inc. Reproduction Prohibited Use consistent models based on your business capability map Metrics and scorecards Reference architectures Business services 12

13. © 2012 Forrester Research, Inc. Reproduction Prohibited Capability scorecards integrate multiple business criteria Business capability CompetitionFinancialScalabilityAgilityRisks Product dev Average, not differentiated Adequate pricing positioning Adequate for 2 new products per year Poor, new product response is slow Product quality Cust. service High marks in survey High employee turnover drives cost AdequateProcess change is slow and costly Non-alignment of client service channels Sales Low conversion rate AdequateSales process notably slow at peaks Sales process change quickly but erratically Marketing Name recognition is strong Per-impact cost is high Adequate Manufacturing Not differentiatingCost ratio should be improved Adequate 13 Source: August 31, 2012, “Rearchitect Governance For Sustainable Business Agility” Forrester report

14. © 2012 Forrester Research, Inc. Reproduction Prohibited The 4th principle is probably the most difficult to achieve... Governance 4: Integrate governance from planning through to operations PlanDesignImplementOperate & evolve Governance 14 Source: August 31, 2012, “Rearchitect Governance For Sustainable Business Agility” Forrester report

15. © 2012 Forrester Research, Inc. Reproduction Prohibited Integrate governance across the continuum PlanDesignImplementOperate Focus— Initiatives— Projects— Applications— Systems Current practices Annual planning Strategy maps Business architecture PPM COBIT Requirements mgmt Agile and Lean Component models Target state architectures Solution architecture reviews Agile and Lean DevOps ITIL service management ChallengesMultiple strategies Changing strategies COBIT v5 EA involvement still vague. Changing project requirements Painful requirements gathering Operational risks are forgotten. Agile platforms hide risks. IT/business split of responsibilities varies. Product mgmt pace drives IT change mgmt. 1: Across these steps the same set of outcomes criteria should be used. 2: Use the same artifacts like business capability maps and OBS across the silos. 3: Benefit from collaboration and informal networks to become more agile. 15 Source: August 31, 2012, “Rearchitect Governance For Sustainable Business Agility” Forrester report

16. © 2012 Forrester Research, Inc. Reproduction Prohibited Agenda Agility versus speed Business need for agility clashes with IT governance The four principles of Agile governance using BCEA Recommendations 16

17. © 2012 Forrester Research, Inc. Reproduction Prohibited Assess & plan Design Source & implement Operate & evolve Govern Distribute governance using zoning based on capability and OBS agility and risk. Use capability and OBS definitions, reference architectures, and scorecards consistently in all governance zones. Use capability scorecards and agility metrics to provide a balanced view of all business outcomes, not just ROI. Use capability maps, scorecards, and OBS descriptors to connect COBIT, PPM, APM, and ITIL service management processes. Forrester’s business-centered EA serves Agile governance 17

18. Thank you Henry Peyret +33 68482 9551 hpeyret@forrester.com