There is an alternative view to this generally-accepted idea. The alternative is not an easy sell and it does not have a manual or boiler-plate procedures, however if done right via a well-defined strategic vision and proper execution can transform the IT department from a necessary cost-center, into a valuable resource for revenue generation.

The following are key areas that will help move an organization towards this direction:

• It is important to look at the 50-30-20 Principle
• Plan and execute based on the ARM Framework
• Do some introspection – See where we can improve internally within the department to streamline processes, eliminate waste and increase productivity
• Understand the client – The IT Department’s direct clients are the people it directly supports, and these are typically the other departments within the organization. It is critical to understand the role of each department to helping meet the overall mission of the organization, their individual needs and available resources are critical first step to helping these departments to streamline their processes, eliminate waste and increase their productivity
• As IT learns the overall workflow of the organization, it can help develop innovative solutions or approaches to further help the organization in the areas of revenue generation

For example, key innovations, process improvements and the right technology implementations can help enhance customer experience and help boost how the customer spend.

A more specific example: a slight adjustment in Internet Marketing strategy by implementing a very-cost effective open source Content Management and Lead Management System to work with a well-structured Search Engine Optimization and Web 2.0 and Social Media utilization strategy can help increase generated leads for the company and thereby increasing potential sales for the organization.

If effectively planned, executed and managed, even Information Security Management, which is primarily focused on ensuring the confidentiality, integrity and availability of the organization’s proprietary information can help the organization in potentially saving cost and increasing revenue. How? One immediate area that can be addressed is working with both marketing and product development departments on how to effectively enhance customer experience while effectively delivering a message that security and privacy is an important factor in how the organization does business. This concept is a little abstract; however, such effective and verifiable communication can build trust between the organization and its client and therefore can lead to more positive engagements with the client.

In summary, the approach to effective IT management involves understanding the organizational priorities and the needs and requirements of its stakeholders, a structured framework and an objective that sees IT beyond simply delivering services to the users, but more into helping the organization increase value to its shareholders.

• IT is about 50% people, 30% process and 20% product (technology)
• Success of any IT department depends upon the people within the department and the people it supports. There has to be buy-in to IT initiatives and that the department offers value to its customer base
• Processes (Procedures, Guidelines, Standards and Policies) should be aligned with overall business objectives to ensure that IT is not simply a cost center for the organization but also a value-add and integral part of overall revenue stream of the company. A key factor to ensure that there is alignment between IT and Business and that these processes support the objectives is buy-in from all the stakeholders within the organization
• Product or Technology is actually the least important aspect of the overall IT Infrastructure. Unless People and Process are clearly onboard and aligned with the overall objectives of the organization, no hi-tech solution can solve any underlying problems with the organization

Assess-Resolve-Manage (ARM) Framework

• Three-factor approach that I believe is important to meeting the 50-30-20 principle
• It is a life cycle that continually evolves and allows for continued flexibility and adaptability based on the needs of the organization and the willingness of the stakeholders to support the organizational objectives
• This is a three-legged stool principle that relies on the effective planning, execution and support of each “leg” to ensure that the stool remains stable and standing
• Each of the leg has underlying milestones or procedures depending upon the scope of the task or project
• Assess – it is necessary to do a full assessment and/or analysis of the task, concept and their requirements. This includes, but not limited to, project/task feasibility study, analysis of business objectives, needs assessment, risk assessment, gap analysis, cost v. benefit analysis and project scope assessment
• Resolve – Once assessment criteria is addressed and outcomes are accepted, resolution begins, this includes the start of fully defining project scope, addressing resource requirements, implementation, testing, configuration and change management.
• Manage – Management involves more than simply making sure the program or project works, maintenance or delivering it on time, on budget and within specification, but rather to truly provide value to the organization, effective management requires continually looking into improving and streamlining the processes involved. This is addressed via measurable objectives, effective analysis of results and development of benchmarks and metrics. As the process, evolves, we continue to go through the ARM principle.

Copyright © 2010 HDM Clariza, CISSP, PMP, CISM
All Rights Reserved

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Review

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