ANSWER

The Purpose Alignment Model aids in prioritizing requirements and guiding investment decisions by rating requirements (which may be capabilities, processes or tasks) along two dimensions:

• whether it creates market differentiation or contributes to the value proposition
• whether it is critical for ongoing operation of the organization

The rated requirements are then organized into four quadrants:

• Differentiating quadrant – includes requirements that rate highly on both dimensions. These requirements offer the most value to the organization.
• Parity quadrant – includes requirements that are low in market differentiation, but high for organization operations. Examples include personnel management, asset management, finances (accounts payable and receivable), etc.
• Partner quadrant – includes requirements that rate highly in market differentiation, but lower for organization operations. An alternative approach to acquiring capabilities in this quadrant is an outsourced or partnership model.
• Who Cares quadrant – includes requirements that have low ratings on both dimensions. Requirements in this quadrant could potentially be removed from scope, as they offer minimal value to the organization.

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Sandy Lambert
Business Architect
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