体育电竞投注

<acronym id="6ckow"><small id="6ckow"></small></acronym><acronym id="6ckow"><small id="6ckow"></small></acronym><acronym id="6ckow"></acronym>
<rt id="6ckow"><small id="6ckow"></small></rt>
<tr id="6ckow"><optgroup id="6ckow"></optgroup></tr>
<acronym id="6ckow"><small id="6ckow"></small></acronym>
<rt id="6ckow"><small id="6ckow"></small></rt>
<rt id="6ckow"><small id="6ckow"></small></rt><acronym id="6ckow"><small id="6ckow"></small></acronym>
<acronym id="6ckow"><center id="6ckow"></center></acronym>
<rt id="6ckow"><center id="6ckow"></center></rt>

The Community Blog for Business Analysts

Digital Business Analysis
Digital Business Analysis

The Value Chain of Digital Business

Nowadays, companies like Audi and HSBC, use IT systems in everything they do. Does that make them to be IT companies rather than banks? Most would probably agree that HSBC is a bank, just as Audi is a car manufacturer. But what about digital banks such as Chime or companies offering digital products? In digital companies, most of the employees work with developing software. Are they not, therefore, IT companies? No, they are not but their primary activity is software development.

Porter, in introducing his famous value chain model, divided the activities of a company in primary and support activities. The primary activities are those that are of utmost importance in adding value and giving the company a competitive advantage. Support activities, on the other hand, are those that support the primary activities to make them more efficient.

In Porter’s Value Chain, the primary activities consist of inbound logistics (managing inbound input from suppliers), operations (the processes that convert the input to products), outbound logistics (getting the products to the customers), marketing and sales (selling the products), and service (management of post-sell activities). Porter’s value chain has a heavy emphasis on movement of products. In the value chain, technology, including software and software development, is a supporting activity.

The software development process of digital companies has moved from being a support activity to become a primary activity. The software development process has become so permeated the value chain that they are inseparable. Just as a car manufacturer seeks to continuously improve their manufacturing processes, digital companies must continuously improve their software development processes. Failing to do so, can result in lagging in an ever-competitive business environment and that threaten their very existence.

How does the value chain of a digital company look like? Digital companies do not have raw materials and components to be managed with inbound logistics. Rather, they have to consider what product feature to develop or what improvement opportunity to realize. Such decisions are taken based on, for instance, data on user behavior, competitor’s offerings, and trends. The inbound logistics of all these ideas are managed as a strategic portfolio, involving strategic business analysis. When decision has been taken to realize an idea, traditional business analysis commences. The business analysis serves to provide sufficient basis, based on for instance, feasibility and financial viability, to take a decision. If a positive decision is taken, the feature becomes an item for the software development process. With the new feature in production, data is gathered and used as input for product service such as bug fixes and minor improvements. Marketing and sales remain the same for the digital as in the original value chain.

The Value Chain for Digital Companies

In light of this context and value chain, two observations can be made.

Many software development processes begin when the IT team has been given a set of user stories to develop. Although analysis is part of the value chain, it is treated as a separate function. One way this is expressed, is that most developers use Jira for tracking issues whereas the business analyst do not. If one seeks to improve the value chain – the process beginning with an idea until the final output is evaluated – one must collect data and track all parts. Otherwise, the improvements will be confined to just one part of the value chain. No matter how efficient that part is, the end result still suffers.

Some digital companies apply agile methodology but only for their software development. When the agile methodology is confined to the IT department, the organizational structure of the company holds the benefits of agile hostage. Digital companies need agility across all parts of their value chains. By restricting agile methods to pure software development, the benefits of agile business analysis are restricted.

In short, by re-thinking the value chain of digital companies, opportunities for data-driven improvement of idea-to-service process, resulting in better agility and efficiencies. 

Fredrik Milani
Lecturer of Information Systems
University of Tartu

fredrik.milani@ut.ee

see-https://babook.cs.ut.ee/

This entry was published on Dec 03, 2019 / Digital Business Analysis. Posted in Business Process Management (BPM) . Bookmark the Permalink or E-mail it to a friend.
Like this article:
  2 members liked this article

Related Articles

COMMENTS

Rich Anderson posted on Friday, February 14, 2020 1:48 AM
You might want to have a look at the IT4IT standard from the Open Group. They have developed a value chain model for IT that could also serve as a proxy for a company producing digital products. They have also defined a reference architectecture that describes the application services and data stores that automate the IT Value Chain. This is way more than just "Agile", but rather something more like Lean manufacturing for IT. Highly recommended.
Only registered users may post comments.


Blog Information

? What is the Community Blog and what are the Benefits of Contributing?

? Review our Blog Posting Guidelines.

? I am looking for the original Modern Analyst blog posts.





Modern Analyst Blog Latests

Jarett Hailes
Jarett Hailes
As we start a new year many of us will take the time to reflect on our accomplishments from 2012 and plan our goals for 2013. We can set small or large goals. goals that will be accomplished quickly or could take several years. For 2013, I think Business Analysts should look to go beyond our traditional boundaries and set audacious goals. Merriam-...
2 Responses
Howard Podeswa
Howard Podeswa
Recently, I was asked by the IIBA to present a talk at one of their chapter meetings. I am reprinting here my response to that invitation in the hope that it will begin a conversation with fellow EEPs and BAs about an area of great concern to the profession. Hi xx …. Regarding the IIBA talk, there is another issue that I am considering. It's p...
15 Responses
Adrian M.
Adrian M.
Continuing the ABC series for Business Analysts, Howard Podeswa created the next installment titled "BA ABCs: “C” is for Class Diagram" as an article rather than a blog post. You can find the article here: BA ABCs: “C” is for Class Diagram Here are the previous two posts: BA ABCs: “A” is for Activity Diagram BA ABCs: “B” is for BPMN
1 Responses
Copyright 2006-2020 by Modern Analyst Media LLC
<acronym id="6ckow"><small id="6ckow"></small></acronym><acronym id="6ckow"><small id="6ckow"></small></acronym><acronym id="6ckow"></acronym>
<rt id="6ckow"><small id="6ckow"></small></rt>
<tr id="6ckow"><optgroup id="6ckow"></optgroup></tr>
<acronym id="6ckow"><small id="6ckow"></small></acronym>
<rt id="6ckow"><small id="6ckow"></small></rt>
<rt id="6ckow"><small id="6ckow"></small></rt><acronym id="6ckow"><small id="6ckow"></small></acronym>
<acronym id="6ckow"><center id="6ckow"></center></acronym>
<rt id="6ckow"><center id="6ckow"></center></rt>

彩qy8的网

怎样开通九州体育账户

中博的彩首页

彩福彩票

豪胜彩票平台

金福彩票网

澳门皇冠赌场官方网站

直播足球的网站

狗博集团首页娱三乐