Enterprise Content Management Business ValueSubmitted by: Safa Al-Nashmi, TPL Specialist I (Inf. Technology), Corporate Information Technology GroupOver the years, the CorporateInformation Technology Group(CITG) at KOC has madesignificant investments in astrong IT portfolio of innovativeand world-class informationtechnology solutions andservices that help achieve greaterefficiency and productivity whichaid the <strong>Company</strong>’s strategicbusiness objectives. In thecurrent competitive environment,the need for better managementof all the organizationalresources, especially IT, requirescomprehensive assessmentof their contribution to theorganization performance. Whilesome projects will truly generatea fiscal return on investment,others will only generategoodwill, or in other words,better service and improvedcustomer satisfaction. Whetherthe value added is fiscal orimproved service is somethingthat the <strong>Company</strong> shouldrecognize at the onset.Some of the questions thatshould be asked before makingany investment into a possibleIT project include: What valuedoes the project bring to the<strong>Company</strong>? Should the projectbe undertaken if the cost tocreate, implement and maintainis greater than the value/savingsreturned to the <strong>Company</strong>? Is theproject true to the objectivesand overall strategy of theorganization? Does the serviceobtained from the projectsupport the organizationalSafa Al-NashmiTPL Specialist I (Inf. Technology), CorporateInformation Technology Groupmission? How can we use thisproject to reduce costs andincrease effectiveness?Looking for a way to answerthese important questionsand be effective in deliveringresponsible IT solutions andservices to KOC users, aconceptual framework has beenestablished by CITG in orderto judge the business valueoutcomes of enterprise (IT)projects. It has been developedby synthesizing the extantliterature on IT business value,IT services and process design.The framework provides a setof financial measurements andseries of tools for evaluating ITproducts, services, and supportso as to ascertain their businessbenefits. This frameworkboosts CITG ability to measureIT initiatives and facilitatesdecisions on investment thatbring the most value to theorganization.The custom-made frameworkwas used as a part of theCITG basic decision-makingprocess to evaluate one of itsmost critical initiatives calledEnterprise Content Management(ECM). The result of applyingthis framework to the ECMprogram highlights the expectedbusiness value and expectedtechnical value, associated,where possible, with realfinancial benefits, in addition tothe Return on Investment (ROI),financial benefits and cost savingof the ECM initiative. Theseresults could be used by theorganization and managementto understand and “judge” thevalue of the ECM program andwhether or not it is needed forimproving the organization’sperformance.What is ECM?Enterprise Content Management(ECM) as defined by the ECMassociation AIIM (Associationfor Information and ImageManagement) as “The strategies,methods and tools usedto capture, manage, store,preserve and deliver contentand documents related toorganizational processes.”Looking at KOC Group processesand activities, ECM can bedescribed as the bond that linksthe contents of the businessprocesses across the organizationwith the necessary controls andsecurity.16October - December 2012
Figure 1: ECM Strategy at KOCToday, the idea of managing KOC Groups’ business processes andcontent is not enough. Managing the complete lifecycle of content,from creation to disposal, and managing the complexity of thedata and information which results from isolated applications areunderstood as the two main challenges that the <strong>Company</strong> shouldlook at in order to achieve its strategic objectives.ECM Business Case and BVA ApproachThe preliminary step in this exercise was to identify a suitablebusiness case for further investigation. Among many candidate cases,the “Burgan Development Drilling Wells Process” was the mostapplicable case for its direct relation to KOC core business.Figure 2: High-levelflowchart of BurganDevelopment DrillingWells Business ProcessThe diagram illustrates a "birds-eyeview" of the process and portraysthe major stages to identify anddrill the necessary number offuture wells required to meet the<strong>Company</strong>’s strategic productiontarget, including conductingstudies, identifying appropriatewell locations and drilling andconnecting the wells to therespective GC.To achieve more accurate andcredible results, CITG had tolook at business value from thecustomer’s viewpoint. Therefore,in-depth inquiries into the BurganDevelopment Drilling WellsProcess had to be conductedby an internal task force teamwhich was formed to achieve thisobjective. Key members of theteam included, in addition to ECMBVA domain experts from IBM,selected members from CITG andbusiness owners from differentareas, represented by TL FieldDevelopment (SK), TL GeneralProjects, TL Production Operations(EK) and TL HSE (S&EK). Theywere all very committed andsupportive and have contributedimmensely towards successfullyachieving the objectives of thisexercise.Several meetings, interviews,workshops and conference callswere held in order to obtain asmuch information as possible andgain a deeper understanding of thepotential business value that willbe realized from the ECM program.Activities included:• Fully comprehending theinformation intensive businesschallenges across the BurganDevelopment Drilling WellsProcess (the current state businessproblems, the drivers for changeand goals and benefits of FutureState environment).October - December 2012 17