Category Business of IT Archives - Page 2 of 2 - Differentis

Managing the Business of IT (2/4)

By Mark Helme

Date 13 April 2010 Tags

If your business is IT how do you judge your place in the market?

Last time we talked about needing an IT equivalent of a chart of accounts – and suggested that you needed a matrix to represent the cost of resources by activity (and vice versa) if you were serious about understanding what costs money.

There is much more we could say about the cost structures – what drives cost and how they operate – which become essential when you are contemplating change (new development, retiring applications, re-platforming services, or outsourcing).

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Managing the Business of IT (1/4)

By Mark Helme

Date 19 March 2010 Tags

Cynics, according to Oscar Wilde, know the cost of everything and the value of nothing. What about CIOs?

Dick Nolan and Dave Norton, founders of their eponymous IT strategy firm in the 1970’s were the first people we knew who talked of IT as being a business within a business, when CIOs began to seek seats on the Board, but as they pointed out, CIOs often lack a language to talk about their business.

Operations could talk about throughput, efficiency, quality, investment and maintenance; HR could talk about turnover, pay, management succession, and compliance; Finance could talk about cash flow, the P&L, and tax, and so on. But when the CIO talks of incidents and upgrades and operating systems, the room goes silent. What CIOs need, said Nolan, was an “IT Chart of Accounts” that would allow them to describe what they provided.

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Smart Management of IT in a Recession

By David Marsh

Date 19 October 2009 Tags

Information Technology is only a small portion of corporate costs and since the last recession it has become cheaper but more embedded in the business.

A general prescription to “cut discretionary IT spend” across the company is perhaps unwise (if understandable). It’s much better to take a careful look at the IT portfolio and cut the least attractive elements, rather than decelerate or stop sound IT investments that could yield value quickly.

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CIOs face major transformation

By Mark Helme

Date 19 August 2009 Tags ,

Over the last 40 years, Information Technology, and the ways in which it has been deployed and managed have gone through several discontinuous eras in which significant changes to the business model and IT leadership have been made.

They are discontinuous because they did not grow naturally out of the previous era, but emerged often due to the development of some new technology that was not predicted. The next era we are seeing will also require a dramatically different approach and rethink.

Will businesses and CIO’s be prepared and able to rise to the challenge of this major transformation? What’s changing and why?

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