Use of Business Value Stories as monetized, plain language knowledge base to enable strategic business change decisions.

1. The Power of Storytelling
to
Manage Business Change
Diane Alexander
Knowledge Enablement Partner Resources, LLC

2. “The only thing constant in life is change.”
~ Francois de la Rochefoucauld (French author of the Maxime, 1665)
How do we effectively manage change?
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3. To Manage Change Effectively – Need Knowledge
• A powerful way to know your business is to tell the business story
• Stories  very effective in sharing knowledge throughout history
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4. What can stories tell us?
• Business stories can be used to communicate:
– Problems to overcome
– Envision new opportunities
– How it really works
– Must haves to operate
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5. Get the story from multiple perspectives
• Executive perspective
• Management
• Operations line functions, Administrative
• Customer-facing (Sales, Customer Service)
• Knowledge workers
• Your customers (complaints are a great source)
• Suppliers, Partners, Vendors, Regulators
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6. Get the story from multiple functions
• Sales / Marketing
• Product Production / Logistics / Maintenance
• Finance / Human Resources / Supply Chain
• Risk / Compliance / Legal / Audit
Get the story across the business silos
• If you are doing your job, you actually don’t know what the
effect is on other people’s jobs
• “Seeing” across business silos takes knowledge
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7. • Business Value Stories are rich in knowledge, example template:
When this happens, a <person in role, algorithm> in this
<organization, location> performs this <service, procedure> using
this < information, resource> producing that <information, product>;
and this happens having these <risks, defects, inefficiencies,
benefits, opportunities> valued at this <cost, time, risk value,
customer satisfaction, revenue opportunity>.
• Format of business stories can vary – should be in the writers own
words in plain natural language.
Business Value Stories
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8. • When a customer calls to change their address, they often have to call
multiple times to make the change for all their financial products held at the
bank. They make one call, and then discover new mailings with their prior
address and need to call another product group.
• When making a delivery for high-value, weather-sensitive goods, sometimes
the delivery department does not make an appointment as expected with the
customer, and the goods are left at the customer premises outside and are at
risk for damage or theft.
• In performing preventive maintenance to paint pipes for corrosion control,
sometimes pipes in a geographic territory are not painted according to the
maintenance schedule, and may not be noticed until over a year overdue.
This can cause need to repair or replace corroded pipes, and be at risk for
regulatory violations.
Example - Initial Business Stories
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9. • When scheduling truck transportation for a shipment to a Just In Time
manufacturing plant in Mount Pleasant, Pennsylvania, about 6% of the time,
transportation is scheduled to the wrong plant which is 400 miles away from
the other manufacturing plant in a different Mount Pleasant, Pennsylvania.
• If the shipment was received, then this results in the need to schedule a different
truck to pick-up the shipment from one plant and then deliver to the other at a cost
that averages $600.
• If the shipment is rejected, then need to request that the driver divert and deliver
the shipment to the other plant, resulting in an additional charge of $400.
• There is also a 40% risk that our percent of business will be reduced from 30% to
15% from this major customer.
Example Business Story -- monetized
This scenario was happening with a major customer; sales and executives were unaware of
the problem.
Had the problem continued, a major revenue source could be lost and management would
be faced with a crises.
Truck dispatch did not have all the information to know how serious the problem was.
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10. • People providing the story  tell what happens
• A group of related stories are analyzed to understand the problem
and define the requirements.
• Artificial Intelligence Semantic technologies can be used to ”read” and
interpret common themes and problems.
• The solution should be designed once a core group of stories are
collected
• Business stories tell the Who, What, When, Where, and How
• Business stories define the “Why”
• Avoid assuming the solution before understanding the problem
Business Value Stories -> Business Knowledge

11. • Business Value Stories can help identify what change projects are
needed.
• Monetized business stories contain the information needed to
prioritize efforts across the enterprise. They are business cases.
• Prioritization based on business value is simpler than other project
scoring techniques with criteria that can be interpreted differently by
each group.
• Enabling projects may be needed first in sequence to obtain the
envisioned business value – these can be part of a project program
• Value of Risk – can be a significant business case driver
Identify and Prioritize Projects
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12. • Business Value Stories aligned to your project are a good way to
define project scope and have it clearly understood.
• Gather stories from a broad group of internal and external
stakeholders to strengthen confidence in completeness of scope.
• Higher scope confidence = higher cost confidence = higher schedule
confidence
Business Value Stories –> Define Project Scope
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13. • Project scope text is also a knowledge base of what is changing in
your business.
• AI Semantic technologies can be used to tie together change defined
in project scope -> and align projects to business value captured in
business stories.
• Project scope text knowledge aligned with business story knowledge
can be analyzed to identify related or redundant projects.
• Knowledge gained by collecting additional business stories can be
leveraged to manage change of on-going project portfolio priorities ->
enables business agility
Projects can be linked to Business Value Stories
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14. • Business Value Stories form a business textual knowledge base
• Business Value Stories that address common themes occurring in
different organizations across the enterprise can be identified and
grouped to determine a combined total value for solving an enterprise-
wide issue. People doing their job do not know what everyone else is
doing in the organization, and hence the illusion of “silos”
• Otherwise, approving a project based on a business case for an
individual organization can be difficult to justify.
• These can only be identified if stories from different organizations are
collected.
Business Value Stories -> Traverse Business Silos
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15. • Business stories from customers can be used to identify and prioritize
product feature changes or new products.
• Identifying the right product changes or business process
improvements based on customer stories is a powerful tool.
• These can be used to explain the opportunity to investors and your
company.
• Sales and other teams can be engaged to define these stories for
customers that they touch. Similar stories from many customers is
compelling for change.
• This is your Voice of Customer.
Focus on the customer story to prioritize product
change and internal change
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16. • Profile your data
• Assess data quality
• Assess if you have enough of the right kind of data to make a change
project feasible (very important for decision support, AI, Machine
Learning types of projects)
• Define process and data capability improvement projects needed for
success with strategic change projects
• Refine your project prioritization to:
• Identify inexpensive “quick wins” to deliver business value feasible
with current data capability
• Define data capability (type of data and quality) required to deliver
successful strategic change
• Add projects in the sequence to improve process and data capability
prior to launching expensive strategic projects that are destined to fail
Evaluate Data Capability  Refine Project Priorities
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17. Business Value Stories  Extract knowledge
When this happens, a <person in role, algorithm> in this
<organization, location> performs this <service, procedure> using
this <information, resource> producing that <information, product>
and this happens having these <risks, defects, inefficiencies,
benefits, opportunities> valued at this <cost, time, risk value
customer satisfaction, revenue opportunity>.
Business
Metrics
Information
Needs
Role in
Process
Event to
Start Process
Organization
and Location
Process Business
Case
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18. • Business Value Stories  abstract up to create requirements, Agile
stories
• Business Value Stories provide context for your Agile stories
• Well understood requirements lessen re-work during the project
• If a project starts by first gathering requirements / writing Agile
stories, these risk becoming solution-oriented too early. The problem
might be assumed and not well understood.
• Business Value Stories  transform well to test scenarios
• Knowledge can be extracted from stories to build out the business
models
• Business Value Stories are a form of textual business knowledge
Business Stories –> Knowledge  Quality
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19. • A set of business stories dealing with person names….
• When establishing a new account with an established customer, the business banker did not
know the legal name of a key customer that used a nickname in all news stories and press
interviews, and lost a deal to sell additional product due to a poor customer interaction.
• When reaching out to a customer to sell additional products, the sales team only had access
to the customer legal name, providing less personal service by not using the preferred name
and not getting x% of new business.
• Requirements Statement: Provide an ability to record and access
alternate names for a customer (legal, preferred, alternate)
• Agile Story: As a customer-facing employee, I need to be able to record
and access alternate names for a customer (legal, preferred, alternate)
• The value for each requirement / agile story is the sum of value from the
group of supporting business stories.
Business Value Stories –> Abstract up to define
Requirements and Agile Stories
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20. Business Value Story Knowledge can improve:
• Business Term Definitions
• Business Rules
• Identify and Define Processes
• Process Flow
• Process Details
• Data Models / Data Dictionary
• Risk Analysis
• Test Scenarios (created from business stories by adding design for
new technology and process change)
• Business Management Metrics
• Business Operating Procedures
• Software Requirements / Agile Stories
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21. Getting the story
• Top management support is a must – gathering business stories
usually is a change for organizations
• Gather a small group of business stories from top management across
all business functions. Bring them into a workshop to educate them
on the process and have them write two stories during the workshop.
• Have the executive team send the example stories out to other
persons with the request to have them write business stories about
what they experience
• Communicate out executive support periodically
• This effort can be low touch and quick if it runs as an email chain
letter. Each layer in the organization is sending the story request with
examples to a trusted group of people.
• The project team may also need to interview people to get initial
stories. A single leader can also start the process to document
stories themselves.
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22. Refine the story
• Gather other facts to obtain frequency and cost of scenarios.
• Ask questions to the author of the story to get more details.
• Obtain information from other functions in the organization to help
refine value statements.
• Legal, Compliance, Audit
• Risk (also review against Risk Type Taxonomy for new stories)
• Finance, Human Resources
• Vendor Management, Supply Chain
• Logistics
• Information Security
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23. Do detective work to find the story
• Read through existing procedures to find other scenarios that should
be covered.
• Examine reports for business information concepts that should have
stories.
• Look around at work areas to identify any sticky notes, reference
lists  these can be a sign that a process can be improved.
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24. Validate with business that you have the whole story
• An information concept list and a process list is a good tool to
identify any additional stories that are needed.
• Taxonomies organize lists into hierarchical structures, ontologies
go beyond taxonomies to handle a full set of relationships among
all concepts and processes.
• Business stories can be to enhance the completeness of
information concept and process lists.
• Engage business partners to review, add, correct and delete
relevant business processes and information concepts.
• Cross-check the information concepts against the processes. Each
data element should be used/created in a process, each process
should have a set of input data and output data
• Check that you have business scenarios to cover the in-scope
information concepts and processes.
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25. Business Stories and Information Concept Framework
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Stories are about real things that happen, or what you want to happen
(the Who, What, When, Where, Why and How)
Concept Framework Building Blocks
Product (what) Rule (why, when) Party (who)
Resource (what) Process (how) Location (where)
Relationships between all Concepts exist
Resource
Rule
Product
PartyLocation
Process
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26. Sample business information concepts
Product (what)
• Product Name
• Product Package Deal
• Goods, Services
• Product Materials
• Product Ingredients
• Product Inventory
• Product Model, Design
• Industry Classification
• Financial Services
• Product Price
Rule (why, when)
• Contract, Agreement
• Laws, Regulations
• Policy, Business Rules
• Decision, Projects
• Standard, Guideline
• Industry Best Practices
• Customer Preference
• Account Terms
• License
• Unit of Measure, Time
Party (who)
• Person, Role
• Market Segment
• Organization, Committee
• Department
• Company
• Industry Association
• Syndicate
• Representative
• Regulator
• Computer Agent
Resource (what)
• Materials, Supplies
• Data, Computers
• Equipment
• Vehicle, Furniture
• Facility, Building
• Real Property
• Funds
• Container, Rail Car
• Pipe, Cable
• Worker Apparel
Process (how)
• Process Name, Description
• Procedure
• Function
• Algorithm Logic
• Methodology
• Project Process
• Reaction Plan
• Control, Monitor, Assess
• Metric, Threshold
• Residual Risk
Location (where)
• Address
• City
• County, State, Provence
• Postal Code Region
• Latitude, Longitude
• Store Aisle, Shelf
• Building Floor, Suite
• Room Number
• Country, Continent
• Metro Statistical Area
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27. Business Stories with Process Framework
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• Coverage of business stories can be checked against a process framework
• A Process Framework is built by applying process types to each concept
Concept Framework Building Blocks
Product (what) Rule (why, when) Party (who)
Resource (what) Process (how) Location (where)
Multiply by Process Types
Asset Life Cycle Forecast, Plan, Acquire, Transform, Maintain, Retire
Operational Transact, Assemble, Monitor, Inspect, Alert, Assess, React
Business Life Cycle Incubate, Launch, Grow, Optimize, Sustain, Exit
Business Change Cycle Decide Strategy, Model Business, Change, Operate, Analyze
AI-Enabled Capabilities Recommend, Listen, Speak, Read, Write, Decide, Find, See
EQUALS = Business Process Framework  check business story scope coverage
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28. Sample business processes defined within framework
• Design Product
• Forecast Product Sales
• Close Sales Agreement
• Quote Product Price
• Book Logistics Arrangement
• Create Project Plan
• Acquire Office Furniture
• Design Factory Layout
• Assemble Product
• Inspect Pressure Valve
• Alert for Inventory Level
• Order Materials
• Create Advertisement
• Assess Regulation Impact
• Discard Equipment
• Sponsor Charity Event
• Approve Company Policy
• Determine Insurance Need
• Package Product to Ship
• Monitor Brokerage Trades
• Determine Defect Cause
• Answer Customer Call
• Send Privacy Notice
• Define Process
• Prepare Tax Filing
• Record Data Source
• Monitor for Security Breach
• Retire Product Line
• Install Software Upgrade
• Pay Insurance Claim
• Detect Credit Card Fraud
• Resolve Fraud Alert
• Audit Accounting Procedure
• Maintain Vehicle
• Purchase Supplies
• Recommend Claim Approval
• Recognize Facial Features
• Analyze Customer Complaints
• Register Insurance Broker
• Find Warehouse Item
• Determine Staffing Level Need
• Hire Employee
• Test Software
• Assess Operational Risk
• Negotiate Contract
• Find Medical Research
• Research Patents
• Determine Facility Location
• Determine Training Needs
• Train Employees
• Optimize Truck Route
• Decide Credit Approval
• Model Information Meaning
• Build Website
• Collect Payments
• Analyze Market Risk
• Deploy Software Change
• Create Press Release
• Join Industry Association
• Pay Invoices
• Prioritize Proposed Projects
• Decide Business Change
• Open New Store
• Analyze Market Potential
• Review Architecture
• Close Project
• Propose Budget
• Measure Performance
• Sell Business Facility
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29. Start writing your business story
• Work with your leadership team to write business stories from all
functional areas, expose main problems and opportunities.
• Alternatively, you can start this effort by yourself as you encounter issues
• Business stories should be solicited from all-levels of management and
operations organizations and functions. Use the initial set of stories from
the leadership team as an example.
• Update your strategic project portfolio with a quick triage of what to
improve, with priority on functions with significant expected business
benefits, inexpensive “quick hit” benefit projects, projects that are
feasible with current data capability, projects to improve process and data
capability.
• Populate business model information as change projects uncover
business information.
• The value of the business model will grow over time and enable business
analytics to support effective strategic change decisions.
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