Some Things Never Change


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Just My Thoughts

  by - Michael Wood

It's time to rethink the way we approach IT. For too long IT has been allowed to exist dysfunctionally within the enterprise on many levels. From CIO relationships to fundemental understanding on how to plan, build and support the needs of the business IT has been allowed to be more art than science.... What follows are my thoughts on a variety of topics within the IT space.

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Some Things Never Change

Fresh off the presses via IT Business Edge - http://ct.itbusinessedge.com/dm?id=A2987EA1B93526CD8DA0817BF71D53EAEB24383DB858D7B7
"According to a Gartner report, approximately 65% of enterprise executives question the effectiveness of their IT investments in supporting their business goals and objectives. Even more telling is a recent IDC survey that found only 23% of IT professionals think their IT and business operations are in alignment. "

When will CIO's get it!.  Alignment isn't about cutting edge technologies, its about understanding the business from its root to its top, communicating, discovering true needs and expectations and then providing the operational and strategic information leveraging tools and technologies needed. 

Even now, when I talk to CIO's they don't drive their IT services from the overall business plan down.  They still work in silos, fail to take in the big picture except at the most intellectual and obtuse levels, and are still cost not benefit focused.

The numbers speak for themselves... After over 50 years IT is still in denial about its ability to deliver value to the Enterprise.

| Posted: July 23, 2007 11:01 AM | Permalink | Email Notifications: ON |


John Reiling says:

This is an age-old problem. I don't think it will ever go away, but we can try! I do not think that CIOs are necessarily ignorant of business needs any more than I have faith that CXOs are able to clearly envision new business paradigms driven by emerging technologies.



At least part of the problem stems from the fact that although the business needs to dictate or drive the technology, the opposite - that "technology drives the business" - also holds true to a large extent, at least in my opinion.



It is very true that many initiatives lose site of the business value. They are "neat", or "cool", or otherwise "exciting". In some cases, they provide experience in the latest technologies, which can then be parlayed into new opportunities on a personal basis. Yes, I agree, these need to be managed.



However, I think that technology is also a driver of business. Many businesses have been completely changed - for better or worse - due to technology advancements. We only need to look at the advances in customer service, supply chain, human resources, and a nearly infinite number of more specific applications that have changed the face of businesses and industries over time.



I think the better question is how to manage this so that the most value and the least waste is realized. What I would suggest is dividing up the possibilities for expenditures so that some portion is completely business need driven, and another portion is IT-driven. The percentages are up to the decision makers. It also might be beneficial to have some intermediate categories, also. But there could be rules for how money is spent, how much, for how long, expected results, oversight, and all else for each of these categories. This would ensure that the business gets its intended return for the money spent, and also that it does not miss out on the possibilities of what creativity and out-of-the-box thinking can produce.

_____________________

John Reiling, PMP


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Monday, August 27, 2007 6:02:49 PM EDT
Jaime Taylor says:

Yup, this is how it is more often then not. In my company things are most certainly improving in this area though. The projects that I am working on are business initiatives that require IT involvement rather then IT projects for the business. I pitched these projects this way when I went to the CIO and CEO for sponsorship and a Champion. I am not an IT guy but can play one in a pinch. I am a business process guy who relies on IT a great deal. I was able to convince them that even the ERP was not an IT project and the fact is it is not an IT project. After all, it is a business system, an enterprise system and not an IT system.



When I dug into this illogical operational relationship between the business and IT, I discovered that the business really was abdicating its responsibility forcing IT to set ridged and rather obstructive methods in place thereby abdicating their responsibility as well. This circular failure loop is what I have found to be the root cause, at least in my organization. Once I understood this, I was able to provide IT with all they needed when they needed it. I was able to apply simple logic and reasoning to get action from IT. I was able to control the processes that intersect with IT. I am now able to hold IT accountable to their agreements as they do with me. Emotion is replaced with professionalism and things get done.



The bottom line is that the business owns business process and IT supports that. If the business refuses or is incapable of owning its processes, that is not an IT problem. It is a business problem. When IT can’t or is incapable of owning their processes that is not an IT problem either. It too is a business problem and the business needs to fix it.



This is how I look at it. Is it a business problem when sales is not working? Is it a business problem when shipping is not working? Is it a business problem when customer service is not working? Well it sure as heck is a problem for the business if IT is not working just as it is in the other areas of the business.


Thursday, April 10, 2008 8:21:19 AM EDT
sncube says:

This is exciting. You know i want to do my MBA dissertation along the same are of IT as a business enabler to competitiveness. My struggle is now how to structure my research questions. Please help.

Wednesday, July 30, 2008 5:13:20 AM EDT
sncube says:

This is exciting. You know i want to do my MBA dissertation along the same are of IT as a business enabler to competitiveness. My struggle is now how to structure my research questions. Please help.

Wednesday, July 30, 2008 5:13:22 AM EDT
Michael Wood says:

What great comments to my blog. Thanks all. As a CIO for 9 years I found that indeed the disconnect between management and IT is a two way street. However, for IT to be an enabler the mindset must be focused on the business and the industry. CIOs and their key wizards need to become students of the industry they work within in order to envision how technology could be deployed to provide the enterprise with a sustainable and defensible competitive advantage.

Every company has access to the same technologies so unless the IT group is inventing stuff they must rely on insight and creativity to get a jump on the competition. No matter the technology it only has value to the company if it leverages and advances its ability to grow and compete. Alignment is everything!

Cheers

Wednesday, July 30, 2008 8:37:47 AM EDT

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