Question

Which of the following is the first step in implementing Val IT?

Multiple Choice

• Forming programs of IT investments

• Making specific IT investments

• Recognizing problems with prior IT investments

• Assessing the readiness to change

• None of these is the first step

Answer 1

First step in implementing Val IT is Making specific IT investments.

Val IT is a governance framework that can be used to create business value from IT investments. It consists of a set of guiding principles and a number of processes and best practices that are further defined as a set of key management practices to support and help executive management and boards at an enterprise level.

Implementation of Val IT has three steps:

1. Value Governance: Establishing overall governance framework, including defining the portfolios required to manage investments and resulting it services, assets and resources.

2. Portfolio management: Establishes the strategic direction for the investment, desired characteristics of the investment portfolio.

3. Investment management: Defining potential programs based on business requirements, determines whether they are worthy of further consideration, develops and passes business cases for candidate investment programs to portfolio management for evaluation.

Principles of Val IT include:

1. IT-enabled investments will be managed as a portfolio of investments.

2. IT-enabled investments will include the full scope of activities that are required to achieve business value.

3. IT-enabled investments will be managed through their full economic life cycle.

4. Value delivery practices will recognize that there are different categories of investments that will be evaluated and managed differently.

5. Value delivery practices will define and monitor key metrics and will respond quickly to any changes or deviations.

6. Value delivery practices will engage all stakeholders and assign appropriate accountability for the delivery of capabilities and the realization of business benefits.

7. Value delivery practices will be continually monitored, evaluated and improved.