How can you prioritize changes based on business impact?

In my opinion, any change could be a system change, process change is always a challenge. Challenge, because of certain practices people are used to, fear of doing something new, fear of adapting or learning and last but not the least is to avoid risk. But as they say "Change" is inevitable with the growing technological change and in the world where everyone is racing towards achieving that goal efficiently. Any change has its own impact (Cost, Process etc), but if properly planned the impact can be reduced if not completely eradicated. I think one most important point to consider is the backout plan. If you have a backout or contingency planned, then for any change the impact can be reduced.

Understanding the organization's business goals and objectives , Assess the potential impact of each proposed change on the business. Consider factors such as revenue, customer satisfaction, compliance, and operational efficiency , Identify the critical IT systems and services that are essential for day-to-day business operations, Perform a Business Impact Analysis to evaluate the consequences of a disruption to specific business processes , Assess the risks associated with each change , Ensure clear communication with all stakeholders regarding the prioritization of changes, finally IT operations can effectively support the organization's strategic objectives while minimizing risks and disruptions.

The impact on the business should take precedence in any project, task, or idea. Unfortunately, urgency is frequently prioritized, often at the expense of considering the long-term consequences. The pressure to achieve results is frequently applied without a clear understanding of why a particular action is necessary. Such conduct occurs in dysfunctional workplaces, don't be one.

After t assessing urgency and the direct impact of any change, you must also review the available resources and the potential downstream affects it may have. There are limited resources, be it time, personnel, cost, etc. Any change can and will affect all of the resources. Any changes needed must be clearly communicated to all parties involves. A simple change that only takes one day could throw off schedules by months for other projects due to availability. It is important to consider all factors, as todays urgent project may undermine an already open projects timeline if not carefully considered. In some cases, the less urgent process must take priority due to the other constraints.

I’ve found helpful to first define and clearly understand the objectives and strategy path of the business to then put in a punch list all the changes and organizing those accordingly to that path. If your changes are more than 3 at your list (most times they are), apply the “rule of the three” by doing the 3 first running all the change management sufficiently, so then to go with other 3 accordingly. Following that path you be able to provide more value accordingly to business needs, and you’ll define direction to your team members about what to do first (FIFO).

Complexity of business environments at times get underestimated leading to unrealistic expectations for timelines, thoroughly reviewing dependencies and risks holistically can help correctly prioritize changes.

Considering dependencies and risks is a vital step in prioritizing changes in IT operations. Dependencies outline how changes relate to other IT components, processes, or stakeholders, while risks highlight potential uncertainties and threats. Analyzing these factors is crucial as they can significantly alter the impact and urgency of a change. A change intertwined with numerous dependencies or a complex approval process might be deprioritized compared to a more straightforward, independent change. This thorough evaluation ensures that the prioritization of changes is not only based on their inherent characteristics but also on their broader context within the IT ecosystem.

When prioritizing changes, it is important to identify and assess the risks of each change. It helps organizations to develop a plan for mitigating the risks and to avoid costly mistakes. Risks can be financial, technical, or operational. Financial risks can include increased costs or lost revenue. Technical risks can include system failures or performance issues. Operational risks can include disruptions to business processes or customer service. Impact, probability, severity, and mitigability are some factors to consider for dependencies and risks.

This alignment not only enhances business outcomes but also ensures IT operations are in sync with business objectives, driving efficiency, reliability, and innovation. Utilizing frameworks like the MoSCoW method helps categorize changes based on their necessity and impact, ensuring resources are allocated to changes that are critical to success. This strategic approach ensures that IT changes are not made in isolation but are integral to achieving broader business objectives.

Aligning with business strategy and goals should be step on here. If the project or task doesn't align with a business strategy or goal, it should not be urgent (or done at all). Plenty of things can be impactful, but for a task or project to have lasting, strategic impact - the kind you want in a company - it needs to be aligned out of the gate. If you prioritize it before you assess its alignment with where the business is going, have you really prioritized well?

What are the most important goals for the organization to be considered as success? Did the changes make an impact on what the organization has identified and prioritized in order to achieve its business goals? It's also important to communicate the priorities to all the teams and stakeholders to align everyone on the most important goals and to ensure that everyone is working towards the same objectives.

Reviewing and adjusting priorities is essential in change management, acknowledging its dynamic nature. Regular evaluations of impact, urgency, dependencies, risks, and alignment ensure that priorities remain relevant and effective. Stakeholder feedback and expectations are integral, necessitating transparent communication and responsiveness. Utilizing tools like dashboards or reports aids in tracking performance and outcomes, highlighting areas for improvement. This iterative process ensures that change management is proactive, adaptive, and aligned with both stakeholder needs and organizational objectives.

Best practices are valuable in providing guidance on how to initiate and conclude tasks effectively. However, they are sometimes rigidly followed to the point where companies dictate a strict adherence to these practices, leading to confusion and incorrect assumptions. It's important to learn from best practices but also to adapt them to your specific needs and utilize what makes sense for your particular situation. Flexibility in applying these practices can lead to more effective and tailored solutions.

Following the best practices and standards is a good reference point but shouldn't be viewed as the end all be all. Having the understanding of the standards may be used as a starting point to discuss how best to move forward.

Priorities can shift dependent on the business impact of various tasks or initiatives. This includes assessing elements like as income creation, customer happiness, resource allocation, and overall strategy objectives. Businesses can modify their priorities to focus on activities that deliver the most substantial advantages or address major difficulties by regularly re-evaluating these criteria.

What brings value should always be considered above anything else. When everyone operates with their own agendas, siloed behaviors become common, and assumptions run rampant. This only leads to negative outcomes, such as burnout and disappointment, which can erode your workforce. When everything is treated as a priority, the result is often that nothing of real value is accomplished.

Always start with the why. Why is this important to us? Why should we do this thing? If the answer is not clearly aligned with where you are going as a business, stop and reassess.

Asking the right "Why" questions when there are changes to the original plan is essential to staying the course. Changes are the only constant thing in life, so organizations must consider their adaptability to changes. Think of changes as the ebbs and flows of the business world.