THREE PHASES OF BUSINESS ALIGNMENT
Business alignment is the process of ensuring that programs and projects drive business results and is important to key stakeholders. Achieving business alignment requires programs to be positioned for success, and then, evaluated accordingly.
There are three phases to business alignment as shown in the model presented as Figure 1. This is our classic “V-Model” first published in 1994 (Phillips, 1994). The phases shown include:
- Needs assessment
- Development of program objectives
- Program evaluation
Needs Assessment: The First Phase of Alignment
Initial alignment occurs when stakeholder needs are identified, which begins with potential payoff of opportunities or problems. These payoff opportunities represent an organization’s opportunity to make money, save money, and/or avoid costs. Some payoff opportunities are obvious, while others are not. Through the analysis process, five additional levels of needs are identified. These include the business needs, performance needs, learning needs, preference needs, and input needs. As each lower level of need is met the achievement of the higher level need becomes plausible. Preference needs and input needs are the solutions with which the stakeholder needs at the higher levels will be met. By going through the needs assessment process as described in this article, an appropriate program or project can be identified.
