1. © 2012 NTT DATA, Inc. NTT DATA Corporation Requirements Prioritization

2. © 2012 NTT DATA, Inc. This training material will help the trainees in understanding the following topics: What is Requirement Prioritization? Why Prioritize Requirements? How to Prioritize Requirements? Requirement Prioritization Techniques. Learning Objectives

3. © 2012 NTT DATA, Inc. Introduction to Requirements Requirement Analysis Pre-Requisite

4. © 2012 NTT DATA, Inc. I.What is Requirement Prioritization? II.Why Requirement Prioritization? III.How to Prioritize Requirements? IV.Prioritization Parameters V.Inputs to Requirement Prioritization VI.Prioritization Techniques VII.Advantages & Limitations VIII.Appendix Agenda

5. © 2012 NTT DATA, Inc. What is Requirement Prioritization From the above diagram it is clear that there are more requirements and very few resources, as a result only some of the essential requirements get implemented due to time and budget constraints, hence prioritization is a necessity. Few Resources More Requirements Requirement prioritization is a decision process used to determine the relative importance of requirements.

6. © 2012 NTT DATA, Inc. Why Prioritize Requirements Minimize risk - most important or high risk requirements are implemented earlier. Risk Not all requirements can be implemented within a given budget, resources and time. Constraints Requirements elicited during sessions may not be of equal importance. Some requirements are mandatory, some desirable and some optional. Importance Ensure the project focuses on the most important requirements for the system primarily and have a common understanding among the stakeholders. Focus

7. © 2012 NTT DATA, Inc. The process of prioritization is an activity of arranging requirements in the order of importance from which requirements will be taken up for implementation. The elicited requirements are prioritized in collaboration with the stakeholders. The recommendation ratings for each criteria should be given with the reason to help the Stakeholder/Client/SME approach a well defined rating. E.g.: In HML technique High, Medium, Low are the recommended ratings. Stakeholders have different parameters to rate requirements -The Business Analyst should facilitate stakeholders to approach ratings with the same line of thought. How to Prioritize Requirements Prevalent Methods of Prioritization Must Have, Should Have, Could Have and Won’t Have Essential, Conditional, Optional High, Medium, Low MoSCoW Prioritization Scales HML ECO

8. © 2012 NTT DATA, Inc. Common Prioritization Parameters Prioritization of requirements based on cost benefit analysis of their relative value to the organization. The most valuable requirements will be targeted for development at the earliest. Business Value Prioritization selects requirements which have the highest risk of project failure. Business Risk Prioritization selects the requirements that are easiest to implement. Implement- -ation Difficulty Prioritization focuses on requirements that can be easy to develop and have high chances of success. Likelihood Of Success

9. © 2012 NTT DATA, Inc. Common Prioritization Parameters Prioritized requirements must be implemented in order to meet regulatory or policy demands imposed on the organization. Policy Compliance Prioritize requirements that may not be of high value but supports other high-priority requirements. Relationship Prioritize requirements that require the stakeholders to reach consensus on which requirements are a must, should, could and won’t. Stakeholder Agreement Prioritize requirements based on time sensitivity. Urgency

10. Copyright © 2012 NTT DATA, Inc.10 Inputs to Requirement Prioritization Requirement Prioritization Inputs Requirement Prioritization Inputs The business case states the key goals and measures the success of a project or organization, and the priorities should be aligned with relevant goals and objectives. Business Case Serves as an alternative to the business case if no business case has been defined. Business Need Any requirement may be prioritized at any point in its lifecycle. Prioritization of requirements consists of requirements that have been stated by stakeholders. Requirements Defines the process that will be used to prioritize the requirements. Requirement Management Plan Requirement Management Plan The list of stakeholders, annotated with their levels of authority and influence are considered when determining the participation of stakeholders in prioritization. Stakeholder

11. © 2012 NTT DATA, Inc. Prioritization Techniques MoSCoW Analysis Requirement that must be satisfied in the final solution so that the solution can be considered a success. These requirements are a must have. Very high priority for project. They are non negotiable and must be a part of the final solution in order to consider the solution to be successful. High-priority item that should be included in the solution if it is possible. This is often a critical requirement but not strictly necessary. High-priority requirements critical to the success of project. May not be time critical or necessary for the current delivery. Requirement that is considered desirable but not necessary Desirable requirements of lesser priority. Nice to have capabilities in the solution. Doesn’t affect anything else in the solution. To be included if time and resources permit. Requirement that stakeholders have agreed will not be implemented in a given release. Requirements are of least priority will not be implemented in a given solution release. May be considered for inclusion in a future release (future requirements that stakeholder would like to have). Could be omitted from the solution altogether. Must M Wont W Could C Should S

12. © 2012 NTT DATA, Inc. Example of MoSCoW Analysis Let us consider a simple example which we are used to in day to day life; To prepare a simple burger, the most important ingredient is the patty along with the slices of bun. The choice of the fillings like spinach, cheese, vegetables are optional.. So if we have to prioritize the simple burger? IngredientsMoSCoW Meat PattyMust Slices of BunMust SpinachShould Cheese, CucumberCould Vegetable filling like Onion, tomato Wont Must Should Could Wont

13. © 2012 NTT DATA, Inc. Prioritization Techniques Time boxing and Voting Time Boxing  Prioritize requirements for investigation and implementation based on allocation of a fixed resource.  Project team is allocated a fixed time or fixed amount of money. It starts with all the eligible requirements with assigned duration or cost. Remove the requirements in order to meet the calendar dates or budget limit. ALL IN ALL OUT It starts by adding the requirement(s) with assigned duration or cost to the calendar or budget. Stop when the calendar dates are met or budget limit is reached.  Allocate a fixed number of resources (votes, play money, or other tokens) to each participant to distribute among proposed features or requirements.  Requirements that receive the most resources will be investigated or developed first. Voting Common Approaches

14. © 2012 NTT DATA, Inc. Prioritization Techniques HML & ECO A common approach to prioritization is to group requirements into three priority categories. Scales must be subjective and imprecise. Everyone involved must agree on the meaning of each level in the scale used. HML & ECO Scale. HML A mission critical requirement required for current Release. High Supports necessary system operations required but could wait until a later release if necessary. Medium A functional or quality enhancement would be nice to have someday if resources permit. Low ECO The product is not acceptable unless these requirements are satisfied. Essential Would enhance the product, but the product is still accepted even though it is absent. Conditional Functions that may or may not be worthwhile. Optional

15. © 2012 NTT DATA, Inc. Example of ECO Analysis Let us consider a simple example which we are used to in day to day life; To prepare a simple burger, the most important ingredient is the patty along with the slices of bun. The choice of the fillings like spinach, cheese, vegetables are optional.. So if we have to prioritize the simple burger? IngredientsECO Analysis Meat PattyEssential Slices of BunEssential SpinachConditional Cheese, CucumberConditional Vegetable filling like Onion, tomato Optional Essential Conditional Optional

16. © 2012 NTT DATA, Inc. Advantages & Limitations Advantages Limitations

17. 17Copyright © 2012 NTT DATA, Inc. Appendix

18. © 2012 NTT DATA, Inc. 18 1.First Things First: Prioritizing Requirements by Karl E. Wiegers 2.www.processimpact.comwww.processimpact.com 3.http://www.hashbangcode.com/blog/moscow-requirements-gathering-and- estimates-599.html References

19. This document contains confidential Company information. Do not disclose it to third parties without permission from the Company.© 2012 NTT DATA, Inc.