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DEFINING AND ALIGNING PROCESS GROUP

The Defining and Aligning Process Group consists of the processes performed to investigate and evaluate the viability of initiating a new product, making changes to an existing product, or retiring a product; it also includes defining scope and aligning products, portfolios, programs, and projects to the overall organizational strategy. Within the Defining and Aligning Process Group, analysis is conducted to investigate a current business problem or opportunity of significance to the business. An assessment of the current internal and external environments and current capabilities of the organization is performed to identify any organizational capability gaps that might impede the business from achieving its strategic goals and objectives. The culmination of the analysis conducted within the Defining and Aligning processes is applied to formulate a set of viable solution options, any one of which, if pursued, would enable the organization to address the business need and support the organization's strategy and objectives.

A critical part of the work performed within the Defining and Aligning Process Group is to support creating the business case. The business case provides justification to pursue a solution and some form of enterprise change to address the business need. The results of the analysis performed in the Defining and Aligning Process Group provide essential information used by the business to initiate portfolio components, programs, and projects to realize strategy, satisfy business objectives, and increase the value delivered by existing or new portfolios. These activities typically involve supporting the business with the development of the business case by leveraging the knowledge gained when defining the business need and analyzing the current and desired future state. Business case assessment, approval, and funding activities are performed prior to the initiation of the resulting portfolio component, program, or project.

Much of the business analysis work performed within the Defining and Aligning Process Group is leveraged within portfolio and program management. When reviewing portfolios, portfolio components are evaluated to check that performance is as expected and continues to support the organization's strategy and objectives. Programs are typically reviewed to confirm that they reflect the current and most accurate profile of the intended outcomes, that outcomes are in line with business strategy, and that any documents associated with the program, such as its business case, charter, roadmap, risk strategy, and benefits realization plan, are up to date. A concept may be approved for a limited time with limited funding to develop a business case for further evaluation. The business case is then revisited during the portfolio and program review processes. Additionally, this analysis serves as input into the development of the charter and as the foundation by which scope is established for a portfolio component, program, program phase, project, or project phase. A business case may need to be revised after an initiative has started. Business case modifications occurring at this point will result in business case reviews at the portfolio, program, and project levels. Revisions may be initiated for many reasons, including changes to product risks and scope. Adjustments to the portfolio are considered to optimize value as necessary.

The Defining and Aligning Process Group also includes a process, Evaluate Solution Performance, which assesses the business value of a product or a segment of a product. Like all processes, there is no implied sequence for when Evaluate Solution Performance is conducted. This process not only supports the other processes within the Defining and Aligning Process Group, but also may be used at any time when solution evaluation can provide insights. When an evaluation reveals that a gap exists between the expected value and the current value, there may be a problem or opportunity that begins the Defining and Aligning cycle of problem/opportunity identification all over again.

Table 2-1 depicts the relationship among the processes that are within the Business Analysis Defining and Aligning Process Group and portfolio management.

Table 2-1. Relationship Between the Business Analysis Defining and Aligning Process Group and Portfolio Management

^A For the business analysis processes, the numbers in parentheses refer to the section numbers for the processes that appear in The Standard for Business Analysis; the other numbers refer to the sections in The PMI Guide to Business Analysis.

Table 2-2 shows the relationship between the Defining and Aligning Process Group in business analysis and the Initiating Process Group in project management. The key connection point is the work to identify stakeholders. This activity is important prior to project initiation to obtain a sense of which stakeholders can help in defining the business need and identifying associated risks; this work is revisited by project managers during project initiation to obtain a sense of the stakeholders who will be involved in the project. Organizational or project needs may determine how stakeholder identification and management is best performed. Because business analysis and project management both rely on the results of stakeholder identification, there should be a high level of collaboration between roles.

^A For the business analysis processes, the numbers in parentheses refer to the section numbers for the processes that appear in The Standard for Business Analysis; the other numbers refer to the sections in The PMI Guide to Business Analysis.

2.1 IDENTIFY PROBLEM OR OPPORTUNITY

Identify Problem or Opportunity is the process of identifying the problem to be solved or the opportunity to be pursued. The key benefit of this process is the formation of a clear understanding of the situation that the organization is considering to address. If the problem or opportunity is not thoroughly understood, the organization may pursue a solution that does not address the business need. The inputs and outputs for this process are shown in Figure 2-1.

2.2 ASSESS CURRENT STATE

Assess Current State is the process of examining the current environment under analysis to understand important factors that are internal or external to the organization, which may be the cause or reason for a problem or opportunity. The key benefit of this process is that it provides a sufficient understanding of the existing state of the organization, providing context for determining which elements of the current state will remain unchanged and which changes are necessary to achieve the future state. The inputs and outputs for this process are shown in Figure 2-2.

2.3 DETERMINE FUTURE STATE

Determine Future State is the process of determining gaps in existing capabilities and a set of proposed changes necessary to attain a desired future state that addresses the problem or opportunity under analysis. The key benefit of this process is the resulting identification of a set of capabilities required for the organization to be able to transform from the current state to the desired future state and satisfy the business need. The inputs and outputs for this process are shown in Figure 2-3.

2.4 DETERMINE VIABLE OPTIONS AND PROVIDE RECOMMENDATION

Determine Viable Options and Provide Recommendation is the process of applying various analysis techniques to examine possible solutions for meeting the business goals and objectives and to determine which of the options is considered the best possible one for the organization to pursue. The key benefits of this process are that it validates the feasibility of proposed solutions and promotes the best course of action for executives and decision makers to meet the business goals and objectives. The inputs and outputs for this process are shown in Figure 2-4.

2.5 FACILITATE PRODUCT ROADMAP DEVELOPMENT

Facilitate Product Roadmap Development is the process of supporting the development of a product roadmap that outlines, at a high level, which aspects of a product are planned for delivery over the course of a portfolio, program, or one or more project iterations or releases, and the potential sequence for the delivery of these aspects. The key benefit of this process is that it creates shared expectations among stakeholders for the deliverables and the potential order in which they will be delivered. The inputs and outputs for this process are shown in Figure 2-5.

2.6 ASSEMBLE BUSINESS CASE

Assemble Business Case is the process of synthesizing well-researched and analyzed information to support the selection of the best portfolio components, programs, or projects to address the business goals and objectives. The key benefit of this process is that it helps organizations scrutinize programs and projects in a consistent manner, enabling the decision makers to determine whether a program and/or project is worth the required investment. The inputs and outputs for this process are shown in Figure 2-6.

2.7 IDENTIFY STAKEHOLDERS

Identify Stakeholders is the process of identifying the individuals, groups, or organizations that may impact, are impacted, or are perceived to be impacted by the area under assessment. The key benefit of this process is that it helps determine whose interests should be taken into account throughout the business analysis–related activities. The inputs and outputs for this process are shown in Figure 2-7.

2.8 EVALUATE SOLUTION PERFORMANCE

Evaluate Solution Performance is the process of evaluating a solution to determine whether the implemented solution or solution component is delivering the business value as intended. The key benefit of this process is that the analysis provides tangible data to determine whether the solution that the business has invested in is achieving the expected business results and serves as an input to decisions about future initiatives. The inputs and outputs for this process are shown in Figure 2-8.