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JUN 8, 2009 2:03pm ET

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IT Should be an Enabler to the Business

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Let’s start with my basic opinion: Information Technology [IT] is not the business, it is an enabler. That being said, there are businesses’ where Information Technology is the prime area of the business (Google, Microsoft, Sun, SunGard, etc), but the business process is different for each – and the intellectual property is what is valuable.

Intellectual Property [IP] is what a business owns (copyrights, patents, etc.) that makes it valuable.  We in IT are not commonly aware of the IP of our business – so we are not always aware of what drives or makes up the business.

By enabling the business, I am noting that the IT strategy, architecture and projects should be dictated by the business strategy, architecture and programs. I have to often seen a disconnect between these or that the IT strategy is driven by an IT project.

It is also my opinion that IT is perceived as not providing value to the organization. Why is this? Industry critics have noted that:

  • Inhibitor to corporate progress – IT systems cannot be changed fast enough to meet market demands, seize opportunity or comply with a new requirement.
  • Weak alignment between IT and business strategy – marked by an intractable language barrier.
  • Not strategically aligned – IT does not know or follow corporate strategy.
  • IT is almost never the source of innovations.
Harris Interactive recently polled 23,000 U.S. employees in key industries and functional areas and found that:
  • Only 37% said they have a clear understanding of what their organization is trying to achieve and why
  • Only one in five was enthusiastic about their team and the organization’s / corporation’s goals
  • Only one in five said they have a clear “line of sight” between their tasks and their team and organization’s goals
  • Only 15% felt that their organization fully enables them to execute key goals
  • Only 20% fully trusted the organization they work for
If a football team had these players on the field, the following would result:
  • Only 4 of the 11 players on the field would know which goal is theirs
  • Only 2 of the 11 would care
  • Only 2 of the 11 would know what position they play and what they are supposed to do
  • 9 players out of 11 would, in some way, be competing against their own team rather than the opponent
CIO’s today realize that IT provides an increasingly vital role in the delivery of business processes – including internet orders, business intelligence, applications integration (including master data management and customer data integration), data governance, and project management to name a few. The alignment of IT with the business happens with a common language implemented using architecture models (in this authors opinion).

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Comments (23)
I can see the point you are seeking, which seems to be there is a need for the corporate leadership to communicate its strategy and business plans throughout its organisation more effectively and then IT can be the enabler it should be.

This may be the case, but as IT is a part of the organisation and CIOs a part of the corporate leadership, is this not risking sounding like a reason for why IT is not an enabler rather than why it should be? IT needs to take a "can do" approach and find a way to interpret and be interpreted, which today IT teams almost universally fail to achieve. It is dependent on the IT profession to improve its performance and make its services enablers. When we (IT) take this responsibility and approach, then IT can be an enabler.

Posted by Ty S | Tuesday, June 09 2009 at 5:34PM ET
Good observations Robert. Obviously it takes more than one enterprise asset (Read IT maturity, Leadership Quality, Motivating culture, business process etc) to help business achieve success. Most enterprises have varying levels of capability in these and more frequently, different owners to drive them. There is nothing weaving these assets together. One aspect that can help bring these pieces together is a well designed performance management system. Most organizations have very poorly designed performance management systems that can cohesively tie these assets to its goals. To give a very simple example - Business says that the data in systems is bad and unreliable. When you think objectively, does it not mean "Business As Usual" has been executed without discipline and the sales guys given their incentives for creating the bad data to begin with? One plausible way to get all concerned stakeholders - IT and business together is not to isolate these responsibilities like "I will run the business the way I want, and you figure out how to make me competitive" - Hello, who in IT is a business strategist?
Posted by Nikhil D | Wednesday, June 10 2009 at 5:22AM ET
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