Sunday, January 15, 2012

IT branch is out of shape write down

Vitch of é of reporter Antoine Gour, Stuart Scantlebury and Wolfgang Thiel



Editor's note



Are you the part that still regards IT branch as a service? If be if, the development latent capacity of IT branch perhaps is ignored by your company place.



If you are the whole world the presiding information officer of some large company, you can be aware of exquisitely, because IT permeates flow of product, service, business, client increasingly,channel of experience, pay is mixed the other respect of business, IT branch will provide IT service for specific business section only no longer, it handles a series of internal business even. Itself more resembling is section of a business, and rather than supports function purely.



Not only the part is in produce change, the structure of IT branch also is changing ceaselessly. Bostonian advisory company (BCG) thinks, because the company expands dimensions to handle more and more tasks ceaselessly, IT branch more resembling is a factory, among them professional group specializations with respect to what resemble a factory run like mechanical center. Accordingly, IT branch will devote oneself to to achieve professional skill of Gao Shuiping and utilization rate, create pair of winning situations thereby: Small unit cost and high quality serve.



Come so, will raise taller requirement to CIO: How " design business " , each departments that head IT branch and company -- the connection that business section, function branch and area maintain close, well-advised CIO needs to consider.



What kind of is the IT organization after 10 years? Whether to still exist? Whether is the bag outside IT met finally is will current IT organization cut for simple contract administration? Of business flow outside whether can bag business use what come to executive enterprise from some application system and technology all sorts of business flow? Whether will the employee of company business function develop new applied system thr dvd discovery best buy ough all sorts of network services, eliminate business of a lot of traditional application development thereby?



Is your IT organized whether provide a brand-new service support for business section? Or IT is organized more resembling is advisory company, transition of the design that is business flow, design of the product, innovation, business is business strategy even make provide assistance? Also or does the help in the business that IT organization blends in certain domain completely make complete solution?



IT organization: Forward new pattern develops



If you are a whole world some presiding information officer of big company (CIO) , you will discover IT organization is in tremendous change was experienced inside a few years in the past. The most possible is, the centralized degree that IT organizes, outside bag rate and complex degree have increase, but the use of cost is more effective at the same time. Compare with before a few years, the product that IT organization offers and service are phyletic more diversity: Although IT operation basically still makes manageability application system around the tradition, be like the input of order and financial account, but they also begin to provide other service, if control assembly room of equipment of company phone dog stairs best buy system, mobile phone, wireless information, video, faction (group of employee, project, client and supplier) , tool of information of data storehouse, data set city, business is waited a moment. Your organization may use Web2.0 technology to provide content for the client even, begin gregarious network and intellectual government.



IT organization provides IT service for specific business section only no longer, it handles a series of internal business even -- be in company of most large whole world at least is such. Itself more resembling is section of a business, and rather than supports function purely. If same home is demand of contented and different consumer to provide the company of product kimono Wu, IT organization uses global solution hard, satisfy the requirement of section of many in-house business with economic means.



The organization is in the IT of a well-known company to go up to differ with business section with the practice of supplier contact with very few. Its IT group needs to manage a few dog crates large strong large, old period outside bag project -- deploy is purchased professionally and firm management technique, these technologies once all the time by the company purchase an expert to use.



Not only the part that IT organizes produces change, its structure also is changing ceaselessly. Because the company expands dimensions to handle more and more tasks ceaselessly, IT is organized more resembling is a factory, among them professional group specializations with respect to what resemble a factory run like mechanical center. These professional groups have each from nominally different, include ability center, outstanding center and technical tower. Although the name has each,differ, but the professional skill that IT organization devotes oneself to to realize Gao Shuiping and utilization rate, create pair of winning situations thereby: Small unit cost and high quality serve.



This kind of new pattern is IT organization, offerred a series of advantages finally for the enterprise, the performance that includes to perfect and dependability, get better specialization skill, mix in information of the conformity between the enterprise better function and capable to use share service center and outside the dimensions of charter flight compose will reduce cost.



The pressure of executive challenge and mode itself



However, the executive existence of this mode a few challenges. The biggest challenge includes:



★ comes true double win outside bag



The enterprise often complains outside package company did not fulfil obligation according to agreement, and outside package company shows some former trading to be put in the problem and they are in be out of pocket.



★ matrix manages



Business manager complains the matrix management of IT is too intricate, they must wait with business client manager, ability center director and project manager with all possible means contact with; And a certain person that makes IT branch very hard medium is responsible to acceptance.



★ set invests first step



A lot of companies establish proper processing pattern hard, so that ensure,IT and many business domain invest first step to reach consistent.



★ innovates



Before 5 years in going 10 years, the specific target of most organization is to cut IT cost, but the kind that business section causes to cannot close with innovate and be being achieved below a lot of circumstances uses IT.



CIO hopes overcome these problems and they adjust a few problems in new pattern through 10 years of time of future. Of course, they should continue forward more successful executive effort. But they also should realize mode itself faces constant pressure. This kind of pressure basically comes from 3 respects:



★ is attracted very hard and persuade right talented person to stay.



The company is included outside be being transferred as a result of day-to-day operation and software development work, a lot of employee that IT organizes also are gone by move. The other employee that stay often is gifted new role, the member that if contract manager, manufacturer concerns,division of manager, performance manager, framework and strategy are engineered. All these roles are crucial to IT organization, but not be all these employee have skill and motivation to be competent successfully their new role, this makes the company must groom afresh or from personnel of exterior invite applications for a job.



The technical content of ★ product, service and flow increases.



The technology that did not come 10 years evolves to also will be opposite current IT business pattern brings enormous pressure. Of business flow and content of the IT in the product that offers a client and service occupy increase than will continueing. In the information intensive such as bank, insurance and telecommunication industry, this trend will as far as possible much flow implements automation in the round.



The system includes outside ★ evolve.



IT hardware and software firm, system is compositive business, outside company of the package outside including technological process of company, telegraphic company, business and the ability that other serves a provider are in in the near future inside will rapid development. As a result of India, China, Brazil, Poland and Romania outside package company emerges in endlessly, once perplexed a client to be mixed in EDS, IBM dust the issue that the choice makes between Sen Zhezhi becomes all the more is difficult. (Vietnam, before after company of the package outside the low cost of Russia country and Africa appears, the option that the client includes a company external is more hard. ) to these the supplier has test and verify, choice and integrated service will become have challenge sex more and time-consuming.



Unless CIO takes action quickly, otherwise IT organization will be mixed in business section professional outside in wrapping the crack between the company, live. If produce this kind of sit dog stairs uation really, this will be the significant loss of IT organization and whole company, also will make the company loses benefit to use IT distinctive, the precious opportunity that crosses business perspective.



Transition of 5 crucial strategies



Most IT organization makes sure he won't be changed by the brim conditionally. Normally each branches of they and enterprise -- business section, function branch and area are having close connection. Well-advised CIO can use this one condition to create enormous value for business, achieve protection to enlarge the effect of oneself part even during this.



hans wilhelmFor this, CIO must take the lead the transition that heads IT organization. This need pays close attention to 5 crucial strategies:



The part of ● redefine IT and limits



● carries out normal product government technological process, as consumable and industrial product company in that way



● uses a variety of operation pattern, be like center of factory, innovation and advisory company pattern, and rather than is onefold mode



● arouses IT group. Arouse passion, attract, persuade to stay and incentive talent



● and business are companionate company of the package outside mixing establishs accredit relationship



Let our one by one analyse afore-mentioned strategies.



The part of redefine IT and limits. CIO and whole IT organization are transforming to harmonious part from get rig most popular selling dog stairs ht on the job. IT organization is engaged in traditional sense going up rarely " business is run " activity, develop applied program for instance, manage data center, network and help desktop; Companies of these the package outside working to be transferred. In the meantime, IT organization also begins to use outside supplier to be engaged in a lot of " business changes " activity, especially software development.



The activity that coordinates these suppliers is not easy thing. If why IT is used in business and this need design adopts necessary step to ensure carry out this one design. The presiding information officer that serves as coordinator must understand all sorts of activities:



How does ● understands demand for service and help manager decision use IT to achieve competitive advantage and operation efficiency



● develops target framework and formulate information, application and technical strategy



The solution that ● makes spent likelihood much in the organization certainly



● design is shared (also should design when necessary distinctive) solution, it is in the high level the Communist Party of China is enjoyed at least



The ● design, organization network that make and runs outside supplier and compositive business, this will achieve these solutions



● monitors the performance of the network and improve continuously



Arrive from doer the change of coordinator is very necessary, if hope to be able to live and develop quickly,all IT are organized, they must hold to this. But, the concept of part of IT of the redefine in be not all CIO to be able to be in an enterprise. Because IT permeates flow of product, service, business, client increasingly,channel of experience, pay is mixed the other respect of business, CIO must be in " design professional work " it is the play on flow of executive key business even more dominant action. Graph 1 revealed IT organization how to come in the definition inside the company and him fixed position through all sorts of plan.



Carry out normal product government technological process. Bao Jie is celebrated with its remarkable brand government ability. Each subordinate brands, cleaner of floor of washing powder of the be soiled that be like discard, Swiffer has respective brand manager to be in charge of a brand whole lifecycle, include an idea survey of definition, market, products plan, price, make, cent is sold, investment return rate and the abidance that the brand blazes new trails and improve process. Business of treasure clean whole world serves a ministry (GBS) also inducted this one brand to manage philosophy. GBS has government 85 " product " brand manager, these products include employee service and business development solution to wait. Undertake administrative through regarding the service as the brand, GBS helps treasure clean employee achieve efficient cooperation, promote the product more quickly to the market, make professional work of more well-advised real time decision-making.



The IT of group of the 2nd big insurance organizes Germany to offer the IT product that carries end for business colleague, these products have a definition with business term and include all sorts of relevant support faculty. Among them a product cries " the workbench of insurance business " , by a configuration perfect computer, LAN is mixed WAN interface, bear sell application system, right client account records receive and necessary function makes other. Business section with " package " terms of payment acquires this product, and need not all the second number that knows lead plane CPU, put number thousand occupy or the cost that data circuit place requires.



Graph 2 it is pair of IT product citing -- portable computer serves. Like noticing the structure of this product resembles making a product please, have fittings, child fittings and outside buy component. Main in other product part has very tall repeated usage to spend normally.



When defining a product, IT organization should select a few products as far as possible, satisfy great majority demand for service at the same time. Standardization conduces to an enterprise using dimensions economy effect and learning curve, ensure roll out a function outstanding, cost the product with cheap, reliable function.



Product management pattern asks to undertake bold and resolute to the organization change. The most important is, must allocate manager of a product for every product, responsible government includes the whole product lifecycle that notional research a the most popular selling dog crates large nd development exits to the product.



Use a variety of operation pattern. Organization of a lot of IT embraces promising to ensure can forecast the operation mode that gender, efficiency optimizes with quality. Be in for example application development domain, a lot of organizations are in to " applied factory " means is stood by, execute strict methodology, and the ability maturity model that system of a shirt-sleeve and optimal practice, height is changed and specializations.



This means can bring huge profit, agree with a lot of activities, particularly applicable height is standardized and make mistake the domain with extremely high cost. But the innovation that if IT organizes hope and business section joint development,promotes by IT, so this kind of kind may be not certain be successful. Another more the mode that accepts favour of branch of business research and development suits this kind of job more. Manager of research and development often likes to say " often should be defeated, should fast be defeated " . This philosophy and 6 Xigema is formed bright contrast. Latter allows every 295, 000 times ability makes mistake.



Because this IT organization should consider at the same time with operation of two kinds of mode -- the means of factory and research and development. Mix in thematic park of Dishini for instance go vacationing village, IT organization moves with two kinds of means at least: Software project and innovation partner. Most employee uses traditional software project pattern to handle business application demand, for instance meal service, hotel is booked and labor management. And new technology ministry of Dishini (NTG) , a small department that forms by 15 people about, run according to the means of venture capital firm, dedicated let new technology change at creation the way that the client learns.



Pass the clasp with business section partner, NTG built PhotoPass technology, this is the photograph memory that in Dishini thematic park offers for the client and sale service, can produce income to flow. Use PhotoPass, spread all over the Dishini that is in a park cameraman takes next pictures for the guest, store existence server, receive on the website by guest proper motion.



Arouse IT group. In the most formidable challenge that faces in CIO future, among them one is solved namely how be attracted and keep is outstanding the talent's problem. When infantile tide generation ages gradually, this one challenge is increasingly serious. First-rate means arouses hard namely existing employee. The possibility that these getting that incentive employee leaves his post is little, their m dog crates large anufacturing efficiency also can rise greatly, can offer more the client of high quality serves, the profit that is a company brings larger contribution. Beyond question, the working team that horizontal excessive of a passion, achievement feels intense is one of weapons of optimal invite applications for a job that the company can find.



But how does the enterprise arouse successfully IT employee? The answer has two: Clear performance system and appropriate incentive mechanism.



Performance system includes target of target, performance, ask duty make, evaluate and rising standard. What incentive mechanism points to is all sorts of methods that make employee throw the job actively, the cooperative relation of as the mission feeling that if be opposite,organizes, other as the organization personnel, longing that lets a director feel proud and approve award every year. Graph 3 introduced organization of 14 helps IT to establish appropriate performance system and incentive mechanism " interpose method " .



Another kind that explodes a group is to buil dvd discovery 3 d compressed the IT organization that change. Most organization has 67 layers class between employee of CIO and lowermost layer, average the member that every manager has 34 direct speaker only. To realize successful operation, IT organization must reduce these layer level considerably. Before long previously, the IT organization of company of an Europe high-tech is between the employee of CIO and lowermost layer still 7 arrive nine layer class, the in controlling extent number of the manager is personnel of 6 direct reports. The CIO of the company cuts an organization actively, final implementation runs a course 56 times, the number in controlling extent increases to 8. In this one process, the enterprise reduced cost through reducing middle-level government; More important is, raised decision-making rate greatly through reducing intermediate segment.



Flow is compressed another profit that turn is redefine important role. The manager can be an expert from director role move, groom division and personnel development division. They are managers not just, also be talent controller. The result is: The challenge increases, working diversity increases, the employee development opportunity with IT in-house organization is added greatly much.



Establ dvd discovery channel ish accredit relationship. IT organization needs to administer the constituent port of two kinds of keys: With the interface of the interface that the business section of the service works in the same place and outside service supplier. Pattern of management of break a contact is to build normally in " trade model relation " on, the mechanism that relies on such as to serve horizontal agreement, contract, performance to report or the court is solved will ensure a service. Trade model the relation does not have a problem to commercial service, but not quite sufficient to the high-end service that cannot define clearly beforehand. For success management high end serves, IT organization must establish accredit relationship with business associate and supplier.



The pattern that establishs accredit relationship special system. Can use following lever to promote cooperation (no matter be,still cooperate with the supplier with business associate, these lever are applicable) :



★ is promotional understand one another



Both sides understands each other more, cooperate more likely.



★ aggrandizement is integrated



The integrated mechanism such as the working plan of flow of committee, project or client manager, processing and combination conduces to solve the problem between both sides. For example, a company built the company that joins by business and IT controller to invest committee (EIC) . This committee is in charge of seeking the synergism that crosses business section, those who realize value of IT project business is the biggest change, ensure IT invests as first as the strategy of the company step to keep consistent.



★ increases power



If bilateral and joint force can't satisfy common cause, so the investment that increases power, be like money, authority or personnel. A Canada served a company to make circuit of strategy of a company, gift business section wishs to IT the control with greater respect counterpoises, gift the force with IT larger to business strategy organization.



★ is outspread " prospective shadow "



Because of what promote short-term performance decision-making can bring negative long-term effect normally, because this is built,ask duty it is very important to make. Ensure time of policymaker v/arc be on the throne is quite long, ability enjoys successful fruit, accept unsuccessful consequence only otherwise. For instance, the comprehensive strategy that bank of a North America was operation of section of business group, business, function branch, tiring-room and IT division system to decide 3 years. In the meantime, the bank still built implementation of the accrual after carrying out to dog mechanism, mix result and business section individual drive mechanism and connection of performance government mechanism rise.



★ enlarges mutually beneficial domain



Seek the way that encourages mutual help. Build both sides each other support, mutual beneficial is benign circularly. For example, the IT cost that a large company that has many business department built combination asks duty make: IT organization is in charge of achieving the target unit cost that IT serves, and business section is in charge of managing respective service wastage.



★ adjusts redound index



Ensure the performance index of one party and incentive mechanism won't park of will other one party 0 with the ahull position in game. The incentive mechanism with the performance index harmonious photograph of consideration and combination. Be in a company, the test to IT controller and award not just according to unit IT cost, also should mix according to business the quality of quality of totle drilling cost of the result of terminal client, IT, service and the cooperative relationship that establish with business colleague undertakes evaluating.



The IT organization of large company is in mouth of a branch road now: A road leads to smaller IT tissue, the member that serve as the harmony of many outside suppliers merely; Another road leads to the organization of the overall stylist of company business framework, perhaps assume the responsibility that business flow carries out even.



Be not all IT organizations to be on the 2nd road conditionally, and be not all enterprises to be necessary so do. But organic to thinking meeting and must so for the CIO that do, 5 afore-mentioned strategies are implementation this wishs scene the part transition that serves IT organization the supplier from support is true business associate, namely the only way of company core.



(Vitch of Antoine Gour é is Boston seeks advice from firm partner to hold a president concurrently, permanent Paris office; Stuart Scantlebury is senior adviser of Boston advisory company, permanent Boston office; Wolfgang Thiel is Boston seeks advice from firm senior partner to hold a president concurrently, office of permanent division grand. Office of permanent division grand..

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