A Roadmap to Success
Unraveling the Power of Benefit Mapping
Foreword
I got the comment about last week’s article that, in essence, it would have said that a good project manager would always keep an eye on the benefits.
I agreed wholeheartedly 😇. Ultimately, it is that simple. However, I wouldn't write a newsletter about structured visual thinking methods if I didn’t believe visuals could help clarify this thought and communicate it to others.
The Benefit Mapping Method discussed in today's article is all about precisely that: visualise the structure of any change initiative, whether it is a project or an agile approach, and use the diagram to communicate better. The terminology leads to a simple diagram structure that makes underlying assumptions visible. The diagram will support the conversation about the change initiative. It will lead to a shared pool of meaning for all stakeholders. And that is ultimately the benefit of this method.
Benefit Mapping: A Comprehensive Introduction
In today's ever-evolving business landscape, organisations are constantly looking for methods to help them achieve their strategic objectives. One such technique that has gained prominence is 'Benefit Mapping'. It provides a clear structure to visualise (via Benefit Breakdown Structure) and realise the potential advantages of various business changes. Let's delve deeper into what Benefit Mapping entails and how it hinges on Strategic Objectives, Benefits, Business Changes, and Enablers.
1. Strategic Objective: The North Star
In any organisation, a Strategic Objective is the ultimate goal or a set of goals the organisation strives to achieve. It represents the long-term vision of where the company wants to go with an initiative in terms of market position, profitability, customer satisfaction, or any other metric deemed crucial for its success. These objectives can be broad, like 'Becoming a market leader in the next five years' or specific, like 'Increasing online sales by 15% in the next financial year'.
Write these down. As so often, there is a superpower in making thoughts visible that would otherwise often end up as unspoken assumptions.
2. Benefits: The Milestones on the Journey
While a strategic objective sets the direction, how do we measure our progress along the way? That's where 'Benefits' come into play. Benefits are tangible or intangible positive outcomes (see previous articles) that accrue to an organisation due to specific business changes. They act as the signposts confirming that you're on the right path towards your strategic objective. For instance, an increase in customer retention rate, a rise in sales, or an enhancement in operational efficiency can all be classified as benefits.
Agreed(!) Benefits are, therefore, what should be discussed much more in a project. A benefit is agreed upon if you find a stakeholder that signs up for this particular benefit (I wrote more about this here). Benefits are the tangible frame for the next two layers: Business Changes and Enablers (see below). Think of the agreed benefits as the End and the Business Changes and Enablers as the Means to achieve project success.
Agreed benefits should be connected to the relevant objectives. Why would you aim at the benefits if you cannot connect them? Again, make assumptions visible and trigger discussions. It would be best if you achieved a shared understanding for all stakeholders.
3. Business Changes: The Path to Benefits
Now that we have set our sights on the strategic objective and understood the benefits, the question arises - how do we achieve these benefits? This is answered by implementing 'Business Changes'. These are modifications or transformations in the way an organisation operates. Business changes can be:
- Process-Oriented: Changes in operational procedures, like adopting a new sales strategy.
- People-Oriented: Changes affecting the workforce, such as training programs or organisational restructuring.
- Technology-Oriented: Implementation of new systems or tools.
Be specific about each business change. Each business change is expected to deliver one or multiple benefits which cumulatively contribute to achieving the strategic objective.
4. Enablers: The Tools to Facilitate Change
Change can only be realised with the right tools, be they physical, technological, or conceptual. 'Enablers' are factors that facilitate the implementation of business changes. For instance, a new software application can be an enabler for improving data analytics. Similarly, a change management workshop might be the enabler for smoothly transitioning to a new organisational structure.
If you want, and I highly encourage this, then break down the enablers to a level of detail that allows people to understand the project’s complexity. This means that enablers are dependent on other enablers. But don't try to model all the details upfront. The understanding of the initiative will change over time. But drill down for those enablers that the project is working on.
Mapping It All Together
Benefit Mapping is essentially about drawing connections:
- Linking Strategic Objectives to the Benefits that signify their achievement.
- Connecting Benefits to the Business Changes that will bring them about.
- Tying Business Changes to the Enablers that will make these changes feasible.
Be aware that the change initiative is typically only providing the enablers. The receiving organisation must act according to the business changes to achieve the benefits.
Using a tool like Vithanco, you can easily put it all together and draw a simple-to-understand diagram that reflects the shared understanding of the change initiative. Imagine this diagram to reflect the structure of your change initiative. Imagine how the clear lines would flow from an enabler to a benefit, setting the context for that enabler.
Organisations can gain a clear picture (pun intended!)) of the journey ahead by visually representing these connections in a Benefit Breakdown Structure. They can prioritise actions, allocate resources efficiently, and ensure that every step taken is in sync with the overarching strategic objective.
Conclusion
Benefit Mapping is not just about creating a visual diagram but understanding the intricate relationships between objectives, benefits, changes, and enablers. It is a mindset to structure communications around change initiatives. By adopting this technique, organisations can navigate the complexities of business transformation with clarity and confidence. The Benefit Breakdown Structure, after all, is a guide to the treasure – and in this case, the treasure is the realisation of strategic objectives and, of course, benefits along the way.
Bonus
I visualised the key concepts of this article via a Concept Map. Does it help?
A bigger version of this diagram can be found here.
