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Why is it so hard to transform a business area with IT as a catalyst?In this blog, I’ll take a look at the top challenges to an IT-led business transformation – and the top 10 ways to be successful: CHALLENGE #1 Business is not engaged. CIO told to transform the business and improve overall business performance. What is the Core Issue? Business unit leadership does not align with CIO. Does not view IT as strategic. Has their own “shadow IT” or, to use another term in place at some companies, “Business-led IT.” EMC Best Practices: CIO must identify and implement 2-3 top priority areas to provide IT as a Service to the business units. In this way, CIO can “prove” to the business units that IT can provide value on a cost-effective basis. This would be the stepping stone to engaging with the business unit for strategic initiatives. CHALLENGE #2 Business wants Big Data Analytics and is going to a niche player without involving IT. What is the Core Issue? Same as above. EMC Best Practices: CIO should point out that 1) almost every Big Data project requires data from IT systems, and 2) if every BU took this approach, data silos would be created. Instead, CIO should adopt a Data Lake approach with analytic tools to provide sandboxes for business units to achieve their desires. CHALLENGE #3 Business wants to transform – by going directly to a cloud provider for PaaS – not involving IT. What is the Core Issue? Same as above. EMC Best Practices: Same as the best practices advice for item 1. Implement ‘self-service’ and hybrid cloud technologies to allow IT to be a broker between the business and various cloud providers. This enables CIO to exert governance, security, and other policy controls, not to mention financial discipline. CHALLENGE #4 Business wants to transform but has no resources to spare to design the new operating model. What is the Core Issue? Business is resource constrained. EMC Best Practices: CIO uses IT business analysts familiar with the specific process area to drive transformation with review and approval by business unit leadership. In addition, CIO may use outside resources (for example, EMC Professional Services skilled in both IT Transformation and relevant Industry processes) to supplement transformational teams. CHALLENGE #5 IT wants to lead a business transformation but has no resources to spare. What is the Core Issue? IT is resource constrained. EMC Best Practices: CIO may use outside resources (for example, EMC Professional Services skilled in both IT transformation and relevant industry processes) to supplement IT teams. CHALLENGE #6 IT wants to lead a business transformation but doesn’t have change management skilled resources. What is the Core Issue? Same as above. EMC Best Practices: Same as above. CHALLENGE #7 Business wants minimal changes as part of the transformation. What is the Core Issue? Business believes that new systems should not change the way the current processes operate. EMC Best Practices: True transformation change requires a fresh look at how a business area operates. CIO should sponsor innovation sessions jointly with the business to discuss. Change is the only constant in business. CHALLENGE #8 Business wants one “big bang” implementation of the new operating model. What is the Core Issue? Business want to quickly get the pain of change completed…e.g. ‘tear the bandage off fast’. EMC Best Practices: Can you spell ‘RISK’? CIO to work with the business to implement transformational change in manageable ”chunks” to effectively reduce risk. CHALLENGE #9 Business has no funding for transformational projects. What is the Core Issue? Funding is always an issue. EMC Best Practices: CIO should partner with business unit leaders to prioritize funds. See also next item. CHALLENGE #10 IT has no funding for transformational projects. What is the Core Issue? Perhaps too much of the IT budget is going to systems maintenance, rather than ‘Improve the business’. EMC Best Practices: Consider EMC’s IT Transformation Workshop and benchmarking service to review what your peers in the industry are doing, compare your metrics to the industry bests, and learn techniques to free up funds for transformational projects. Keep these in mind as you drive forward with IT-led business transformations! Next Up: Network Function Virtualization – Myth or Reality? I hope you will join me and will pass on the link to your friends and networks. Please … subscribe, send me feedback, and check back for the next installment. If nothing else, I promise the Travel Tips will be extremely useful! Today’s Travel Tip: Must See Sights and Favorite Gifts to bring back from International Travel – Part 2 – EuropeTypically, I am asked, “You’ve traveled to X. I am going there…what should I see and what should I bring back?” The following is by no means exhaustive but what I consider the top sights and unique gifts representative of the countries I have visited. Generally these gifts are readily available throughout the country as well as in the airport for last-minute shopping. For the Americas, see last month’s blog. Here, we’ll cover Western Europe:
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