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The paradox of IT – Innovator vs. risk manager January 14, 2008 

One of the interesting issues in the modern Information Technology space is the conflict between those who have access to new technologies & ideas on how to use them and those who are focused on operational excellence and keeping things running to perfection. It can be easy for the corporate information technology function to fall into a role similar to corporate treasury or legal and focus on protecting the status quo. Some say that the majority of IT organizations are in this mode. Protecting the current environment is important to business success, but should it be the core role of IT?

All the operational processes like ITIL concentrate on the organization knowing what’s in the environment and managing changes to it. They reduce unnecessary variation. Unfortunately, since managing change is hard, these processes can also stifle change when used improperly. Rigor can be confused with rigidity. These processes should enable the channeling of innovation and the alignment of the business and technology.

Individuals within the IT organization should have greater access and insight into the business implications and value of new technology. Look at any report on the CES conference and there is no shortage of ideas on implications of technology on organizations. As the goals of the business are incorporated into the IT planning activity, this insight can be put to good use.

One of the ways to make this mental transition is to understand the value delivered to the organization by activities like technology planning and the initiatives it defines. Are the corporation’s business initiatives and the technology initiatives aligned and supporting each other? Since businesses change, we should expect a certain level of technological change to support it. As technologies churn (with the release of new versions…) new capabilities are available and those should support new business activities as well. 

What is the role of the business organizations in IT governance? If their expectations are to keep the systems running and don’t bother me with technological change --IT probably doesn’t really matter. Finding out what is the basis of that perspective should be important to any IT organization.

I was talking with some folks from another company the other day and they described an Innovation program they were starting up. When I asked some basic questions about the alignment between the business and the IT innovation activities, they said it was “important and part of their culture”.( I always get a little worried when I hear words like that – it’s kind of like when a realtor says a house is “well maintained”.) But when I asked about the metrics and how the leadership was involved in managing the innovation churn, they said the leaders were not really involved and the project reported relatively far down in the leadership chain. That sounds like the road to on-going frustration, not innovation.

There are opportunity costs to stay still. We must actively choose the problems we want to live with.

Charlie Bess
EDS' Next Big Thing Blog

Posted January 14, 2008
Categories: General

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