Business Capability Mapping

What is Business Capability Mapping: Art, Science or Magic?

Business Capability Mapping (BCM) has become essential for understanding and modeling an enterprise’s fundamental building blocks. Despite this growing acceptance, many businesses grapple with the essence of BCM and its modus operandi. Is BCM a precise science with stringent rules? Or is it a unique art form reliant on the business architecture team and the organization’s unique structure and culture? Perhaps it’s some elusive magic that operates mysteriously in the background? This article aims to demystify these concepts, delivering a comprehensive understanding of BCM and its role in business management.

Defining Business Capability Mapping

Business Capability Mapping is a conceptual framework that helps identify, analyze, and leverage a company’s inherent abilities to deliver value. It refers to the process of delineating the abilities of a business that allow it to execute strategies and deliver value to customers. Unlike processes focusing on the ‘how,’ BCM focuses on the ‘what.’ It involves capturing the fundamental abilities that the organization must possess to achieve its business goals, regardless of how these abilities are achieved.

Business Capability Mapping: Science, Art, or Magic?

BCM as a Science

Business Capability Mapping can be seen as a science in its analytical and systematic approach. The method includes explicit procedures and techniques for mapping a company’s capabilities, including establishing a capability model, cataloging capabilities, aligning capabilities with strategy, and identifying gaps.

BCM’s science lies in its logical structuring. Typically, the capability model begins with high-level capabilities and then breaks them into more specific, granular ones. A scientific approach is also applied when aligning capabilities with the organization’s strategic goals, which often involves quantifying capabilities and making informed decisions based on data.

BCM as an Art

Conversely, Business Capability Mapping can also be seen as an art that requires creativity, flexibility, and subjective judgment. This ‘art’ manifests most clearly when cataloging capabilities. While there are established practices for how to go about this, there is considerable room for interpretation. The ‘art’ is in understanding the nuances of the business and its strategic direction and then applying that understanding to design a capability map that accurately reflects the organization.

Furthermore, the ‘art’ of BCM also arises when aligning the organization’s culture and structure. While scientific principles can guide this process, the nuanced understanding of the firm’s culture and structure, the stakeholder needs, and the specific dynamics of the industry necessitates artistic judgment.

BCM as Magic

While it may appear magical when a well-executed BCM drives substantial value and business transformation, it’s not the result of some mysterious force. Instead, the ‘magic’ of BCM can be attributed to aligning business capabilities with strategic objectives, which can lead to a significant competitive advantage. The magic is in the outcomes – improved operational efficiency, better strategic alignment, clearer communication of business strategy, and a robust foundation for making investment decisions.

Navigating the Complexities of Business Capability Mapping

Despite its potential to drive significant business value, implementing Business Capability Mapping is challenging. These complexities are scientific (related to methodology) and artistic (related to interpretation and application).

Scientific complexities often arise from establishing a capability model that adequately represents the organization’s capabilities. In practice, this involves determining the right level of granularity for the capabilities and maintaining consistency across the organization. On the other hand, artistic complexities may involve understanding the nuances of the business and its strategic direction to capture its capabilities accurately.

Organizations can leverage a blend of best practices (the science) and situational judgment (the art) to overcome these complexities. For instance, a robust approach might involve initially adopting an industry-standard capability model, then adapting it to suit the unique needs and nuances of the organization. Similarly, while cataloging capabilities, organizations can start with standard definitions but then tailor these to fit their strategic direction.

Business Capability Mapping, while intricate, is neither a pure science nor an art form, and it’s certainly not magic. It is a fusion of both science and art. The science lies in its systematic approach, use of analytical techniques, and adherence to established principles. The art lies in its requirement for interpretation, understanding of nuances, and flexible application.

The ‘magic’ of BCM is not in its execution but in its outcomes. It can drive substantial value, align business and IT, facilitate strategic planning, and enable more informed decision-making when effectively implemented. With the right blend of science and art, Business Capability Mapping can be a powerful tool for enabling business transformation.