Measuring Value

In the age of software and digital products, more and more companies are trying to shift away from viewing IT as a cost center. And, while this is positive news, it’s important that technology organizations not misinterpret this to believe they have carte blanche to invest wherever and however they choose. IT may no longer be viewed as a cost center, but it is still an investment the company is making. And like any investment, one must see what kind of return is being made on that investment to decide whether to keep investing (at the same or different levels).

This paper is for digital technology organizations across industries that are finding it difficult to articulate the business value realized from digital and/or DevOps transformations beyond the initial investments of the change. Organizations may find past progress at risk and future opportunities evaporating if they cannot clearly articulate the return on their budgeted investment.

Technology leaders at all levels struggle with this challenge, especially in organizations that are shifting from a project-based to a product-based model for internal IT. The problem many face is the struggle to connect the dots between the work being done and the business outcomes the organization is seeking. It is not easy for technology teams to clearly communicate the relevance of their work to an organization’s strategic mission, especially in language that resonates with their business counterparts.

In this paper, we provide practical guidance on ways to align technology outcomes to business value, communicate effectively with business partners, and avoid the traps that can derail these conversations.