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Improving Value Focus Amidst Uncertainty

Challenge #1 – Lack of Transparency
  • Setting priorities involves complicated evaluation
  • How do we define ‘Value’?
  • What variables and assumptions are part of the evaluation?
Action #1 – Make the Hidden Visible
  • Build a mind map construct to visualize the key drivers to achieve strategic goals
  • Identify the key drivers to use in the prioritization model
  • Weight how important each criteria is relative to the others
Result #1 – Alignment & Transparency
  • Aligned organization
  • Clarity of focus
  • Empowered teams
  • Ability to ‘tune the dials’ as conditions change
Challenge #2 – Hyper-focus on the Result
  • Initiatives labeled with the result from the business case (i.e. the “$10M new revenue” project)
  • Leaders focused on schedule and cost (i.e. We need to launch by July 1!)
Action #2 – Focus on Value Variability
  • Shift the POV to focus more on the value drivers
  • Test key assumptions / hypotheses early and often
Result #2 – Stop Doing the Wrong Thing Sooner
  • Learn quickly when the “$10M net new revenue” project is actually the “$2M net new revenue” project
  • Learn quickly when cost to deliver grows to a point where a different option should be pursued
Challenge #3 – Certainty Bias
  • “We know what is needed”
  • Executing “the plan”
  • We don’t know what we don’t know
Action #3 – Frequently Vet Assumptions
  • Where are your assumptions most likely to shift?
  • Ensure execution includes ‘early and often’ check of assumptions to minimize end result variability
Result #3 – Improved Value Delivery
  • Ability to optimize focus
  • Evaluate and pivot to work on the most valuable options