No business will ever reach the goal of “business and IT alignment”. Let me explain.
The goal of perfect alignment is unachievable because of the dynamic nature of business. Every organization operates in an ecosystem and is affected by the forces at play in it. Economy, industry, competitors etc. are all players in this ecosystem who are continuously evolving. Similarly, knowledge and tools – such as information technology - are also continuously changing. To remain competitive i.e. maintain differentiation, every organization must adapt in response to the actions and activities of others in its ecosystem. Organizations that do not adapt lose their competitive edge over time and disappear.
Add to this the changes in an organization’s internal environment – structure, skills, finances, personnel, knowledge, core competency etc. – and now one has a potent mix of forces that demand change in response.
This continuous change is the cause of perpetual misalignment.
It takes time to understand the impact of the actions of others. It takes time to take action. While you are reacting, the world is not stationary – it is throwing more stuff your way. By the time you are done, you are out of alignment. To be precise, while you are taking action, you are out of alignment!
Till we have perfect predictive modeling and instant systems, no organization will ever be in perfect alignment. The best one can do is to move “toward” alignment i.e. moving in the right direction.
Do not let this discourage you from pursuing business and IT alignment! It is a worthy goal to pursue. Indeed, it is a critical one to pursue. You might never reach alignment but you can take steps to get ever closer.
This requires a process.
Often, we ignore the fact that business and IT alignment is a process. This process does not have a starting point nor does it have an end. It is a series of “learn and do” cycles that incrementally get towards alignment.
Crafting a Vision for IT (Monday, August 21, 2006) What is the purpose of a vision statement for IT? This article examines how a vision can accelerate the business value generated by an IT Organization.
IT Strategy: IT Cannot be a Profit Center (Friday, September 08, 2006) IT Strategy: Of late, there is a lot of emphasis on IT ROI. While this is commendable, extending this argument to convert the IT Organization into a profit center is taking it to another extreme. For example, are HR, finance, and marketing profit centers? Why not?
IT Value Mapping (Friday, September 08, 2006) Why do some IT organizations create unprecedented shareholder value, while others earn the contempt of their business leaders? It is no secret that aligning IT with business improves IT ROI, what is often in doubt is how to make it happen. Can you say with certainty that your IT is aligned with business? Can you prove it? If improving IT ROI is an imperative for you, read on. This paper will show you how to improve ROI by 10% or more…and
IT Strategy Course (Friday, September 08, 2006) At the end of the day, most business leaders agree that alignment is critical, but they don't know how to achieve that goal. This course discusses the challenges of aligning IT with business in depth and presents a differentiated approach and framework.
IT Strategy Blog (Friday, September 08, 2006) My views on IT Strategy
IT Strategy Framework (Monday, September 25, 2006) IT Strategy requires a process and a framework. The former provides the steps and the latter the toolkit. Together they help an organization get to an IT Strategy that maximizes IT ROI. This article addresses the latter.
Managing IT Course (Friday, September 29, 2006) Whether you are a CxO or a programmer, getting the "big picture" on IT is critical to your success. But getting your arms around IT without a structured proven framework is like boiling the ocean. The Managing IT For Shareholder Value online training course solves this problem by explaining in detail where and how IT can add value to your business. This is the critical first step to bring your IT efforts in line with your business needs.
What is IT Strategy? (Saturday, October 14, 2006) There are many definitions of IT Strategy. Which one is true?
Why IT ROI doesn't matter? (Friday, November 03, 2006) Does IT ROI matter? Great many intelligent people are spending sleepless nights and countless dollars calculating IT ROI. The author argues that they are wasting their time and shareholder dollars!
Putting IT Strategy in Context (Wednesday, November 08, 2006) Often, the emphasis is on creating an IT Strategy. Before you do, understand the context of IT Strategy i.e. what is its role and scope.
IT Strategist's Dilemma (Saturday, December 09, 2006) Every strategist faces the "stay the course" or "cut and run" choice, at least once in their careers. How do you decide which course is the correct one? More, importantly, is this even a correct or complete set of choices?
IT Strategy Template (Friday, January 12, 2007) Enclosed is a simple template to create an IT Strategy for your organization. This is intended to be the starting point not a definitive or exhaustive workbook on creating an IT Strategy.
It's not just IT, it is Your Brand (Monday, January 22, 2007) When we talk about "business and IT alignment", we often forget about the elephant in the room - the impact of IT on brand. This article discusses the connection and provides examples of how IT can help or hurt your brand.
Start smart. Your first step could make your journey! (Monday, February 05, 2007) More often than not, "first impressions" make all the difference. Your opportunity to make this critical "first impression" on an IT Strategy project is with the "kick off" communication. Are you hitting it spot on? Or, are you busily creating a disaster for yourself and your organization?
Part II: Start smart. Your first step could make your journey! (Monday, February 12, 2007) Last week we looked at the importance of the IT Strategy "kick off" communication and the 5 questions it must address. This week, we will discuss each of the 5 questions and how to answer them for success!
7 Signs of Trouble in Paradise (Monday, February 26, 2007) Ever wonder what happens when business and IT are not aligned? Well, like most other things in life, there are symptoms of misalignment. Monitoring them and analyzing them can help you avert disaster.
Buzzword: Business Model (Monday, March 12, 2007) "Business model" has to be the king of buzzwords. "Strategy" is not far behind but there is something about business models that makes it more powerful! This article tries to demystify the term.
Part II: A Framework for IT Value (Monday, April 09, 2007) Last week, we lay the foundation for a discussion on IT Value. This week, we look at specific areas where IT creates value.
Part IV: A Framework For IT Value (Monday, April 30, 2007) Last week, we discussed the cost dimension of IT Value. This week, we will discuss the time to market dimension.
Painting the Picture of Change (Wednesday, July 25, 2007) In my previous article I discussed “The Human Side of Change ,” outlining three simple, yet powerful steps to bring humanity back into the change equation. This article expands on the first of these concepts, Painting the Picture of Change.
Avoiding the Alignment Trap (Sunday, September 09, 2007) Alignment is an issue but are you focused on the right strategy to fix it?
Bridging the Business and IT Gap (Monday, November 05, 2007) Can the business and IT Gap be bridged easily? Here are some best practices
Enabling the Strategy Focused Organization (Monday, January 14, 2008) Is IT Value compromised because of the strained relationship between business and IT? How can the CIO overcome this challenge?
Measuring eGov ROI (Tuesday, February 05, 2008) An interesting discussion on eGov ROI. Lessons learnt can be applied to business. Good read!
IT Strategist as a Race Car Driver? (Tuesday, February 12, 2008) Learning from Mario Andretti sounds like fun but what has that got to do with IT Strategy? Read on!
Influences on IT Strategy (Monday, March 03, 2008) Excellent overview of IT Strategy and things that have an influence on its outcome. Must read!
IT Strategy For Business Value (Monday, March 10, 2008) The paper presents a framework for developing an IT Strategy for business value.
IT Strategy Framework with SOA (Monday, March 10, 2008) A very good presentation that takes IT Strategy to solutions architecture using SOA. Good read!
Developing an IS/IT Strategy (Monday, March 17, 2008) A very good presentation on developing an IT Strategy. Must Read!
A Framework for Developing IT Strategy (Monday, March 17, 2008) A very good discussion on developing IT Strategy including detailed steps and explanations. Must Read!
IT Strategy for the Law Firm (Monday, March 17, 2008) A presentation on the challenges facing CIOs at law firms and how to create an IT Strategy to overcome them.
Managing for Shareholder Value in difficult times (Monday, June 02, 2008) Is there "managing" to anything else? Read this excellent discussion on how everything in an enterprise should be managed.
The History and Future of Value Management (Monday, July 07, 2008) An excellent presentation on measuring and managing "value" - discusses various frameworks. MUST READ!
A Framework for Strategic IT Alignment (Monday, September 15, 2008) Is IT Alignment a strategic weapon to gain competitive advantage? Duh! But do you know to what extent information intensity affects competitive advantage? Hmm...
The Strategy Cycle (Friday, October 24, 2008) Often, the talk about the connection between Business and IT Strategy does not translate into action. At other times, IT Strategy is devised in isolation. This is a good discussion on the big picture of strategy in an organization - soup to nuts framework to connect ALL the organizations strategic processes, people and technology. Good Read!
DAM/VAM: A Structured Methodology for Developing and IT Strategy (Monday, November 17, 2008) Demand and value assessment methodology is a structured approach to quantifying the demand for and the value from IT investments. This guide provides a step-by-step approach to implementing DAM/VAM. Excellent Read!