Rajender is writing a series of blogs to introduce the Value Management Platform (VMP). The current blog provides an introduction to VMP and its features in relation to the VDML specification.
In the next few blogs I will address the following topics:
VDML in an app: working with plans, phases and alternatives
VDML in an app: creating and capturing participant networks
VMDL in an app: capturing value streams and competencies
VDML in an app: playing with values
VDML in an app: assessment and decision making with plan values
In today’s competitive world enterprises need to constantly innovate their Business Models to survive in the market. This requires continuous Business Model Planning to transform the business (business models) to stay competitive and achieve their objectives as set by their vision.
But there isn’t a tool available in the market that can make this possible. Firstly the tool should be able to capture the Enterprise design and over and above that be able to provide support for transform it with an actionable plan.
OMG has come up recently with the specification to capture the enterprise design, the Value Delivery Modeling (VDML) spec. VDML is a standard modeling language for analysis and design of an enterprise (or an Eco-system of them) with particular focus on the creation and exchange of value. This is first industry standard, that can be applied across all verticals, that provides and abstraction of enterprises appropriate for business executives, along with representation of supporting details (activities, roles and capabilities) useful for business operations, and thus fills the gap currently existing between strategic planning and business operations. So this can be used to effectively capture the enterprise, and used as a basis for transformation. Business Motivational Model (BMM) specification on the other hand provides the schema or structure for developing, communicating and managing business plans.
So any solution that is an amalgamation of VDML and a subset of BMM or concepts of it for managing plans, should be good enough to handle the problem at hand.
Value Management Platform (VMP) from VDMBee is the first implementation of VDML specification that is now available in the market. It combines in its implementation the concepts of BMM for planning purpose along with VDML to provide a solid platform to continuously do Business Model Planning. As any solution in this space requires being able to handle measurements, that can be used as inputs for analysis and planning, VMP also internally implements Structured Metrics Meta-model (SMM) for defining measures to quantify values.
VMP provides the following features that enables innovation of business:
Design the plan for transformation of your business that enables the Enterprise to reach its objectives in terms of values, which can be quantified.
A plan can be broken down to multiple phases that are time bound and be able to specify and track objectives by phase.
Each phase can have multiple alternatives to support what-if kind of analysis and choosing the best alternative based on which alternative best satisfies the objectives set.
VMP implemented the following features, as supported in VDML:
Model multiple business models as an Eco-system.
Model complex business networks and collaborations. VMP supports collaboration participants which can be an Enterprise or Market segment or an Individual.
Model responsibilities of roles in collaborations.
Model collaborative business relationships. Model exchanges of value propositions between business entities, and further the values delivered by these value propositions.
Support a perspective of value-driven business design by focusing on the activities and flow of deliverables (partially supported) that produce products or services and the delivery of both tangible and intangible values, that are crucial for analysis of the business models and planning for changes in models to improve on the quantified values.
Values are supported by SMM implementation for quantifying them in different scenarios. This basically provides an embedded calculation engine for calculating values that are based on other values. Among others, it supports direct measures of value collective measures for measurement of cause-effect in the context of value aggregation, as well as grades and rankings to measure recipient satisfaction with value.
Model value streams, basically activities done by the roles in order to pursue the value propositions delivered and also capture the values created by these activities.
Model capabilities deployed by activities.
Model satisfaction on values delivered to end customers and external stakeholders as well as internal customers or an enterprise entity.
Provide rich plots/graphs for visualizing value improvements across phases and alternatives of plans to enable decision making.
The VDMbee Value Management Platform is extendable with new, to be developed modules. In the future VDMbee want to provide modules to support the discovery phase (refer to VDMBee approach), which will help users to capture information of AS-IS and TO-BE situation of the selected Product/Market combinations.
The data captured in the VDML model can be used to generate requirements for the design of business processes or even can directly generate business processes. Our primary focus for new modules will be on creating more detailed views to support Enterprise Design in finer details. Also the statistical performance and contribution of value by activities include cost, quality and duration, throughout the VDML model is a good source of Business benefits. The VDML model also takes simulation into account, so there is lot more that can be extended on top of the current data captured in VMP.
In the next few blogs, I will address VDML in an app: working with plans, phases and alternatives
Rajender Mudigonda ( of VDMbee) (connect on linkedin: Raj)