A Portfolio Management Process & Structure for UCLA

Committee on IT Infrastructure (CITI) May 27, 2008

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CITI Portfolio Management Process

CITI Agenda and Objectives

Agreement on the basic framework for a UCLA IT portfolio management structure and process
Use Disney model Major elements and objectives
Set long range vision Portfolio management is a phased, iterative, on-going process

Agreement on initial steps and schedule

More detailed plan in June meeting Kinds of resources and commitments

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CITI Portfolio Management Process

Important Distinctions -- Governance, Project Management and Institutional Portfolio Mgmt

Governance
Strategic Direction Prioritization Institutional Investment Portfolio

Project Management, Development & Maintenance

Project Control Schedules & Deliverables Costs & Accountability Successful implementation

Institutional Portfolio Management

Balancing and diversifying investment decisions among academic, research and administrative Alignment with campus strategic plan and long-term requirements
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CITIs Agreement to Portfolio Management

UCLA IT Project Governance Overview
Option to fast track a project then circle back to governance 1
Projects are identified through the Annual Strategic Planning Process and as they arise (Ad hoc).

3
Project Classes 2-5 are added to the Campus IT Portfolio.

5
Project moves along its specific path through the IT Governance Process.

2
OIT creates a Project Bio for every project and each project is classified. Human Interaction (OIT, ITMG) is the first filter: Does project need outside funding? How is project aligned with strategic direction? What is the project motivation (is there a legal mandate?) What is the end user impact of the project? Is there a reason to fast track? Will the project be controversial?

Class 2 Projects are logged in the IT portfolio but just stay on the radar

Governance entities participate according to their role in the process.

6 4
Depending on the governance process triggers, a full or light PCD is created.

The specific governance path for each project is determined by a classification review.

Class 1 Projects go ahead no additional IT Governance required.

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IT Governance Graphical Overview v23-P1133-03-09-06

Preliminary Data on Campus Applications

An initial cut of a consolidated list of campus applications was recently developed from the following sources:
2003 Data Center Data Gathering Study 2007 PII Interviews 2005 Disaster Recovery Study List of ISIS Supported System

The data compiled is incomplete and requires formal validation and further refinement This initial effort resulted in some preliminary data that when validated can become useful information to form the basis of an institutional view of IT applications, systems and services
31 Dean and Vice Chancellor Areas 525 distinct campus applications (excluding medical enterprise) and counting
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List of Campus Applications from Preliminary (Unvalidated) Data

Preliminary List of Campus Applications

Administration + AIS CTS Libraries Other External Affairs UNEX OIT College Student Affairs Academic Units College 4% OIT 9% Libraries 9% External Affairs 4% Other 1% Student Affairs 9% CTS 12% Academic Units 23% Admin + AIS 25%

N=525

UNEX 4%

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Sample Information from Preliminary Data

Some examples of system summary:
Reporting/documentation - 13 systems Data and directories - 25 systems Email/Calendaring - 32 systems Web/Portal services - 35 systems Time keeping - 8 systems

Other noticeably repeated applications / systems

Financial accounting Registration Course Management Systems Project or Initiative Management systems Inventory

"The purpose is not to just centralize but to have the information to ask the right questions"
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Disneys IT Strategy and Governance Model

Media Techonology and IT Governance in Harmony at Disney and it seems to be working well!
Media Technology Board
MT Strategy IT Needs

Alignment Team

CIO Board

Media Asset Management Media Security/DRM Media Transport High Definition Video
IT Strategy

Product Development & Creative Media Technology Product Facing

Information Technology Internal Facing

Source: Presentation by Jeff Mirich, Enterprise Architect & CIO at Disney Studios

UCLAs Programmatic IT and IT Infrastructure

(Modified from Disney Studios model)

FCET, IDRE CSG/CAOs

Research & Educ. Strategy

ITPB OIT

CITI CSG / CAOs

IT Needs Business Processes Instructional Campus Applications Common Infrastructure Research Support & Infra.

IT Enabled Research Integrated Student Scholarly Interaction

Campus Data Resources

IT Strategy

Research, Education, DecisionDecision-Making

Information Technology Program Facing

Information Technology Internal Facing

Disneys Institutional Approach to Portfolio Management

Business Processes
EXTEND & LINK Suppliers Employees Customers

GOVERN & MANAGE IT INVESTMENT rationalize, leverage, maximize, aggregate

Application Portfolio
ERP Collaboration

Enterprise Architecture cannot succeed without a governance structure to promote and fund the common interest

Publishing

CRM

ARCHITECT & INTEGRATE simplify, standardize, modularize, integrate

Infrastructure
Platforms Network

Enterprise Architecture is the Glue that holds Applications and Infrastructure to a common destiny

Core Services

Infrastructure Management

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Disneys Cross Reference Across Business Units Identify Leverage Opportunities and Cost
WDW DLR WDI DLP Total ABC Network ESPN ABC Cable ABC Radio ABC TV stations BVTV WDTVI Total BVG DCP DCP Intl DDM Disney Pub. Merch. Lic. Disney Store Total BVI BVHE Intl BVHE NA Filmed Ent. Total Corporate Tomorrowland Total Grand Total Create & manage products, services, media Mark et produ cts & servi ces Sell produ cts & servi ces Perfo rm order mana gement Mana ge suppl y chain ops Mana ge & supp ort cust. Plan & mana ge perfo rmance Manag e financ es & accntg . Mana ge huma n resou rces Mana ge Infor mation resou rces Mana ge physi cal asset s Mana ge supp ort servi ces

Media Networks

TP&R

Governance of IT investment can be aligned around business process owners.

DCP

This analysis reveals costs by business process and informs where the IT investment is focused, business unit cross reference reveals leverage opportunities
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Corp

Studio

Disneys Cross Reference Across Business Units Identify Leverage Opportunities and Cost
Level 0 processes
Create & manage products, services, media
Perform research & design

Market product s& service s

Perform market analysis Develop marketing plan Implement marketing plan

Sell product s& service s

Develop sales plan & quotas Perform sales

Perfor m order manag ement

Capture orders

Manage supply chain ops

Manage & support cust.

Establish & manage customer relationships Manage customer interface infrastructure Provide information & training Manage customer inquiries Manage service & support delivery

Plan & manag e perfor mance

Monitor external environ-ment Create & manage business plan Evaluate business results Initiate & manage improvement s

Manage finances & accounti ng

Process financial trans-actions Plan & manage budgets Manage cash & liquidity Analyze & report results Plan & manage taxes

Manage human resourc es

Establish & administer HR policies & employee data Manage employee recruiting & training Manage compensatio n & benefits Administer health, safety & security programs Manage labor operations

Manage Informa tion resourc es

Create & manage enterprise architecture Create & manage infrastructur e& operations Provide & manage software solutions Provide user support & training

Manage physic al assets

Acquire physical assets Maintain physical assets Dispose of physical assets Maintain facilities operations

Manage support service s

Provide legal services Provide security & safety Perform admin. functions Perform project management Manage shareholders

Plan

Level 1 processes

Prototype products Create/manage product/ service /media information Manage product/ service/medi a lifecycle

Manage orders

Source

Make

Unique / Differentiating
Deliver Return BxB Marketing Marketing Automation Campaign Mgmt. Point of Sale Catalog Order Mgmt. Online Sales Merchandise Advertising/ Licensing Billing Mgmt. Reservations Licensing Ticketing Order Mgmt. Credit Card Processing Contract Mgmt. Supply Chain Planning Warehous e Mgmt. Supply Chain Mgmt. Food & Beverage Supply Chain Customer Relationship Mgmt./ Call Center/ Customer Service Guest Data Guest Claims

Manage 3rd party obligations Operationa l Data Store Forecastin g& Planning Operationa l Reporting

Non Differentiating
Procure goods & services Manage employee communications Manage employee & community relations Perform risk management

Application examples

Media Asset Mgmt. Broadcast/ Traffic News Room

Labor Financial Document Forecasting, Transactions Mgmt. Scheduling, & Authenticatio Budgeting Deployment n TimeTracking Reporting and Tools Compensatio n General HR Recruiting

Asset Mgmt Costume Mgmt Project Mgmt. Legal Risk Mgmt

Front of House
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Back of House
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UCLA Business Processes

-- Level 1.0 for UCLAs Four Core Processes -Level O Processes Level 1 Processes
Educate Students
1.1 1.2 1.3

Conduct & Manage Research

Provide Patient Care

1.4

Participate in/ Develop Community/ Public Service

Manage Industry Partnerships

Set Degree / Certification Requirements 1.1.1 Develop Curriculum

1.1.2

Document & Maintain Identify Opportunities Federal Compliance

1.2.1 (23) 1.2.9 (33)

Present / Publish Research Results 1.2.17

Perform Community Needs Assessment

1.3.1

Deliver Surgical / Invasive Care

1.3.8

1.4.1

Devise and Monitor Remedial Education 1.1.3 Programs Deliver Education

1.1.4

Document & Maintain Prepare Internal Manage Intellectual Non-Federal Forma & Protocols Property/ Compliance (29) 1.2.2 Patents/Licensing/ 1.2.10 Technology Transfer Conduct Research Prepare Proposals (38) 1.2.18 1.2.18 & Incur Costs
1.2.3 (16) 1.2.11

Define & Develop Continuum of Care

1.3.2

Deliver Emergency Care

1.3.9

1.4.2

Manage University-School Partnerships (1)

Perform Care Management

1.3.3

Deliver Ambulatory Care

1.3.10

Manage Community Development

1.4.3 (1)

Prepare & Submit Goldenrod

1.2.4

Perform Clinical Trials

1.2.12

(13)

Coordinate Research Parks/ Joint Ventures

1.2.19 (3)

Evaluate Effectiveness of Care (Plan & 1.3.4 Provided) Manage Population-Based Risk 1.3.5 Deliver Inpatient Care
1.3.6

Deliver Home Care

1.3.11

Devise & Monitor Continuing Education 1.1.5 Programs Administer Student Eval. of Course / 1.1.6 Instructor Manage Outreach Activities
1.1.7 (1)

Review, Sign, & Submit to Funding Agency

1.2.5

Invoice Funding Sponsors

1.2.13

Management of Data
1.2.20 (13)

Manage Affiliation Agreements

1.3. 12

Negotiate Award
1.2.6

Prepare & Submit Financial Reports

1.2.14. (13)

Institute Quality Control (7) 1.2.27 Measures

Manage Patient Care Network

1.3.13 (1)

1.2.7

Set-Up Award

Close Out Awards

1.2.15

Deliver Diagnostic & Therapeutic Care 1.3.7

Ensure Ethics (Policies, Procedures, Subject Testing)

1.2.8 (14)

Collect Accounts Receivable

1.2.16

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Cross Reference Across Business Units Identify Leverage Opportunities and Cost
Create & manage products, services, media WDW DLR WDI DLP Total ABC Network ESPN ABC Cable ABC Radio ABC TV stations BVTV WDTVI Total BVG DCP DCP Intl DDM Disney Pub. Merch. Lic. Disney Store Total BVI BVHE Intl BVHE NA Filmed Ent. Total Corporate Tomorrowland Total Grand Total TP&R $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $xx.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x Market products & services $x.x Sell products & services $xx.x $x.x $x.x $xx.x $x.x $x.x Perform order management Manage supply chain ops Manage & support cust. Plan & manage performance $x.x $x.x $x.x $x.x $x.x $x.x Manage finances & accntg. Manage human resource s $x.x $x.x $x.x $x.x $x.x $x.x Manage Information resource s $x.x $x.x Manage physical assets Manage support services To be categ orized Total

$x.x $x.x $x.x $x.x $x.x

$x.x $x.x $x.x $x.x

$x.x $x.x $x.x

$x.x

$x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x

$x.x $x.x

$x.x $x.x $x.x $x.x $x.x $x.x

$x.x $x.x $x.x $x.x $x.x

$x.x $x.x $x.x $x.x

$xx.x $x.x $x.x $xx.x $xx.x $xx.x $xx.x $x.x $x.x $x.x

Media Networks

$x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $xx.x $x.x $x.x $xx.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x

$x.x

DCP

$x.x $x.x $x.x

$x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x

Non Differentiating
$x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $xx.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $xx.x $xx.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $xx.x $x.x $x.x $x.x $x.x $x.x $x.x $xx.x $xx.x $x.x $x.x $x.x $x.x $xx.x $x.x $xx.x $xx.x $xxx.x $x.x $x.x $x.x $x.x $x.x $x.x $xxx.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x $x.x

$x.x $x.x $x.x

$x.x $x.x $x.x $x.x $x.x $x.x $x.x $xx.x $xx.x $xx.x

Studio

$x.x $x.x $x.x $x.x $x.x $xx.x

$x.x $x.x $x.x $x.x $x.x $x.x

$x.x

$x.x

Corp

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Value of Disneys Portfolio Management Process

Outcome of As-Is Analysis
Revealed costs by business process Informed the governance structure where the IT investments are focused Revealed leveraging opportunities for IT services that cross business units Created a basis for developing the technology decision framework
Identifying emerging, core and declining technologies for non-differentiated services / applications Identifying specialized technologies as defined, justified, and unique business case for differentiated services

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Overview of Proposed Process

Understand the Existing Environment As Is Validate & Refine Summary of Findings Define new IT Portfolio Management Model Conduct Gap and Capacity Analysis Define Objectives, Priorities and Process Metrics

Define information and analysis needs Collect information and data using normalized data / industry process classifications and models Interviews Baseline research Benchmarking Surveys Focus groups Develop an understanding of the problems and issues Level set on the definition, upper and lower limits, and parameters regarding value, cost and risk 1/19/2012

Summarize key findings Present initial findings to executive management Obtain concurrence on priorities and direction Seek additional data and information

Develop the guiding principles and key objectives of a new IT portfolio management process

Identify specific gaps that exist between the results of the assessment and the desired state as defined in the IT PM Model Assess capacity / capabilities to determine if adequate resources are currently available to address the gaps Identify options / resource requirements if current resources are lacking

Develop a list of priorities and focus areas to allocate resources Evaluate importance and urgency of each key element Assure that defined objectives are traceable to business strategy Develop a plan that identifies the IT PM charter and communications plan

CITI Portfolio Management Process -- WORKING DRAFT--

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Step One
Understand the Existing Environment As Is Validate & Refine Summary of Findings Define new IT Portfolio Management Model Conduct Gap and Capacity Analysis Define Objectives, Priorities and Process Metrics

Define information and analysis needs Collect information and data using normalized data / industry process classifications and models Interviews Baseline research Benchmarking Surveys Focus groups Develop an understanding of the problems and issues Level set on the definition, upper and lower limits, and parameters regarding value, cost and risk 1/19/2012

Summer 2008 WORKING DRAFT--Process CITI Portfolio Management --

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Information is Available to Begin

Existing and available resources / documentation for the three building blocks
Business Processes
Documentation of UCLAs core mission processes (4) and major supporting processes (15) by Coopers & Lybrand Study

Application Portfolio
Preliminary list of applications, systems and servers (with 847 line items)

Infrastructure
UTIPP / UTIPP 2 Reports 2001 / 2005 OIT White Papers on Developing a Campus IT Strategy and Architecture

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CITI Endorsement
Agreement with the basic framework & objectives for IT portfolio management Agreement to do as-is analysis
Define information needs
Categories/thresholds for collecting applications information What information will be collected in first iteration

Define Level 1 processes

Facilitated session Subgroup of CAO

Agreement to review and approve a detailed plan at CITIs June meeting

Consult CITI subgroup Summer start Integrate with IT planning and cost review

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