Establishing 'Making it Happen' as a 'Formal & Predictable' Discipline

Maximizing on what you have	Customer Value-Maximization

Execution-MiH ENCYCLOPEDIA → Execution Making-it-Happen → SECTION - 'Value' management →

CHAPTER -

End-to-End Investment-Maximization

This chapter talks about making prudent & hard-nosed investments, ensuring that investments are tracked and monitored and once investment is made, extract value out of it. This chapter provides methods on investment prioritization, investment decisioning, investment application, investment benefit extraction and investment benefit value.

Topics

Investment Prioritization

Investments are not always needed to be governed by the cost-benefit analysis. In spite of all the diligence and care, CBAs can end up being mis-representative for calibrating the true value of an investment. It partly has to do with the in-ability to quantify every benefit into quantified terms. Cost-benefit also does not take into considerations the closeness of the investment to the money-making machine and core business priorities.

Investment Decisioning

This page talks mostly about the un-conventional aspects of taking investment decisions, which collectively have come to be recognized as being more practical and hard-nosed in today's era of economic uncertainty. This includes aspects like impact-analysis of not investing, competition and industry comparison, long-term vs short-term application, etc....

Investment Application

Once you have taken an investment decision and committed some amount of money, your sharpness to make the best of it has still many more steps to go. A given bucket of money budgeted for investment can be applied in different phases, a periodic review of the investment in terms of its relevance and ensuring that at the time of signing of the Cheques the enterprise is taking a look at the next level of details to review the actual spend needed.

Maximizing Investment Benefit Extraction

This has been covered in more detail in the chapter of maximizing-what-you-have. There are two levels of investment-benefit-extraction. The first and basic level is to ensure that all the upsides mentioned at the time of the investment decision by the investment owner, are actually achieved. An organization has to have tracking mechanisms, whereby it should be able to report on the benefits projected vis-a-vis actual benefits. Second level is to go beyond achieving the expected benefits. An enterprise should look at the ideal or maximum benefit it can make out of an investment.

Maximizing Investment Benefit Tenure

For how long an organization can take juice out of its IT applications, assets and other resources. Many organizations are trapped in the legacy trap, where everything which is of previous generation is considered legacy. At the same time, an organization has to be prudent in doing a dispassionate analysis on eliminate vs. upgrade vs. maintain decision on the existing asset. The only caution to take in this is not to underestimate the value, which an existing asset can bring in and not to overestimate the value of the new acquisition.