Sunday, April 07, 2002
Tarrani-Zarate Model: Organization and Core Processes. This entry will refer to illustrations, each of which will open in a separate window. The first illustration is a quick view of the Porter Value Chain, from Michael Porter's classic, Competitive Strategy.
Basically, the value chain is comprised of direct value-adding activities and support activities. A common business ratio, called the tooth-to-tail, is the ratio of workers who produce and those who provide support or management. The leaner organizations, of course, have more producers than supporters and managers. This is why self-directed work teams add value.
There is another value chain at work, and it is called the Management Information Value Chain. This value chain maps the capture or creation of data, and its transformation into information upon which decisions and actions can be based. Kate Hartshorn has written about this in many of her entries that deal with competitive intelligence and business intelligence. The management information value chain is where IT can prove its value because we provide the systems that capture, store, transform and compute the data and information, and present it to the business.
Our role, and a major factor that plays into the way the Tarrani-Zarate Model is structured, is the juxtapositioning of service delivery, and the value chains. Service delivery comprises the core processes of our model, depicted in focused service delivery, and forms the basis for an Information Services and Support Value Chain.
If you examine the simplified version of our model you'll see that service and applications delivery are connected to the foundation, which is the subject of this entry.
The organizational structure that we have developed from the above is an idealized set of resources and processes. This is our model's foundation, and it contains all of the core processes as well as organizational workflow for both service and application delivery.
I've briskly and tersely covered a lot of territory and am going to step back and allow the information I've provided to sink in. In my next entry I'll go into more detail about the core processes and out rationale for the organizational structure.