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Exploring the management of IT in the North East of
                    England


          Is there an IT ‘attention deficit’?
 How can we help organizations realize the strategic
                  potential of IT?
Outline of this session

• The research – drivers and outline

• Findings
   – Strategic contribution of IT
   – Insights into the current IT capability of organizations
   – Key issues and themes

• Making a difference: next steps
The research: drivers for the study


• Continued IT innovation: pervasive impact and strategic
  opportunities
• General evidence of a serious IT attention (& skill) deficit
• To develop the role / contribution of the CIO and IT function
• To contribute to business performance by developing a stronger
  capability to realize the strategic potential of IT
The research: outline of the study

• Short questionnaire

• Dec 2009 / Jan 2010

• 117 responses
   – 55% from Board level management
   – 75% senior business & IT management
   – 78% of respondents have head office in North East
STRATEGIC CONTRIBUTION OF IT
Benefits being realized from investments
                  in IT




  % of responses
Contribution of IT to strategic objectives




      % of responses
Contribution of IT to strategic objectives




     % of responses
% of IT projects successful in realizing
                benefits




     % of responses
INSIGHTS INTO THE CURRENT IT
CAPABILITY IN THE NORTH EAST
There is a CIO who is a full member of
    the senior management team




    % of responses
There is a CIO who is a full member of
    the senior management team




    % of responses
IT is a major topic at senior management
              team meetings




      % of responses
Key issues considered by the senior
        management team




 % of responses
Senior management are effectively
    engaged in the IT strategy




% of responses
IT are engaged from the very beginning
         of a strategic initiative




    % of responses
The IT vision is clearly aligned with the
            corporate vision




  % of responses
Senior business and IT managers speak
          the same language




   % of responses
The senior management team has
expertise in IT strategy and project
              delivery




    % of responses
Leadership development activities address
  business manager engagement in IT
    strategy and project sponsorship




   % of responses
WHAT ARE THE KEY ISSUES?
Key points (Note – IT is critical to business
                                           in 94% of responses)


Statement                                                              %
There is a CIO / IT Director who is a full member of the senior       45%
management team
The senior management team takes action to obtain information         27%
on IT trends and business opportunities enabled by IT
The ‘ IT vision’ is clearly aligned with the corporate vision         40%
Senior business and IT managers speak the same language               29%
The senior management team has expertise in IT strategy and           35%
project delivery
Leadership development addresses business manager                     27%
engagement in IT strategy and project sponsorship

                                     % agree / strongly agree
Success factors: contributing to
                                realization of benefits from IT

•   High quality training, support and encouragement
•   IT people understanding the business
•   Business people understanding the potential use of IT
•   Business sponsorship
•   Alignment with business objectives
•   Clear goals
•   Engagement at all levels – from earliest opportunity
•   Communication
•   Openness to new ideas
•   Resource allocation
•   Technical and change skills                       Direct from the free
                                                        text responses
Barriers to realization of benefits from IT


•   Time to implement systems
•   Short term investment horizon
•   Resistance to change
•   Lack of business engagement
•   IT is regarded as a cost
•   Lack of training
                                                  Direct from the free
•   Lack of vision                                text responses
•   Skills shortages
•   Lack of clear priorities
•   Inability of IT professionals to communicate with non IT managers
Exploring three key areas….
MAKING A DIFFERENCE: NEXT STEPS
Three priority areas

1. Establish a programme of action to increase the benefits
   realized from existing systems and information

2. Develop the role of the CIO and IT leadership team to make a
   greater strategic contribution.

3. Develop an ‘IT savvy’ business leadership team.
What are the specific opportunities?

What would we like to know?


EXPLOITATION OF EXISTING SYSTEMS
AND INFORMATION
Exploit current systems and information




Knowledge        Improve
  worker          existing
productivity    capabilities


                Benefits
 Information     focus to
management        service
               management
Exploitation: ITDF workshop

• The key challenge from the survey: realizing benefits from
  current systems and information.

• The opportunity: a workshop session to share ideas and
  opportunities with colleagues
    – The workshop will tackle a number of key themes based on the
      discussion on 15th June and the interests of participants
    – There will be input on good practices



• Timing and format: 9.00am - 1.00pm on 17th Sept 2010 at
  Durham Business School (breakfast from 8.30 & lunch at 1.00)
Three priority areas

• Establish a programme of action to increase the benefits
  realized from existing systems and information



• Develop the role of the CIO and IT leadership team to make
  a greater strategic contribution.

• Develop an ‘IT savvy’ business leadership team.



What can we do to tackle these areas?
Aligning the role of the CIO to the
                                      strategic contribution of IT
IT Director                 IT supply. Technical focus.

Evangelist CIO              Changing mindsets about information.
                            Identifying sources of competitive advantage.

Innovator CIO               Delivering opportunities for securing advantage.
                            Raising profile of IT as a business partner.

Facilitator CIO             Empowering and enabling the business with
                            information capabilities.

IT Director (II)            IT supply orientation. Develops agile
                            infrastructure.

                   From ongoing work by Prof Joe Peppard at Cranfield
Building the IT leadership capability:
                           a project at Newcastle University

• Initial assessment

• 5 * 1-day workshops introducing the benefits toolkit and building
  skills (25 people – business & IT)

• Apply the ideas in ‘real-time’ to specific projects

• Follow up activity to work with 5 key projects

• Provide a foundation for a new approach to ‘business as usual’
Building the IT leadership capability:
 a project at Newcastle University
Attention Deficit Survey Summary 15 June 2010

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Attention Deficit Survey Summary 15 June 2010

  • 1. Exploring the management of IT in the North East of England Is there an IT ‘attention deficit’? How can we help organizations realize the strategic potential of IT?
  • 2. Outline of this session • The research – drivers and outline • Findings – Strategic contribution of IT – Insights into the current IT capability of organizations – Key issues and themes • Making a difference: next steps
  • 3. The research: drivers for the study • Continued IT innovation: pervasive impact and strategic opportunities • General evidence of a serious IT attention (& skill) deficit • To develop the role / contribution of the CIO and IT function • To contribute to business performance by developing a stronger capability to realize the strategic potential of IT
  • 4. The research: outline of the study • Short questionnaire • Dec 2009 / Jan 2010 • 117 responses – 55% from Board level management – 75% senior business & IT management – 78% of respondents have head office in North East
  • 6. Benefits being realized from investments in IT % of responses
  • 7. Contribution of IT to strategic objectives % of responses
  • 8. Contribution of IT to strategic objectives % of responses
  • 9. % of IT projects successful in realizing benefits % of responses
  • 10. INSIGHTS INTO THE CURRENT IT CAPABILITY IN THE NORTH EAST
  • 11. There is a CIO who is a full member of the senior management team % of responses
  • 12. There is a CIO who is a full member of the senior management team % of responses
  • 13. IT is a major topic at senior management team meetings % of responses
  • 14. Key issues considered by the senior management team % of responses
  • 15. Senior management are effectively engaged in the IT strategy % of responses
  • 16. IT are engaged from the very beginning of a strategic initiative % of responses
  • 17. The IT vision is clearly aligned with the corporate vision % of responses
  • 18. Senior business and IT managers speak the same language % of responses
  • 19. The senior management team has expertise in IT strategy and project delivery % of responses
  • 20. Leadership development activities address business manager engagement in IT strategy and project sponsorship % of responses
  • 21. WHAT ARE THE KEY ISSUES?
  • 22. Key points (Note – IT is critical to business in 94% of responses) Statement % There is a CIO / IT Director who is a full member of the senior 45% management team The senior management team takes action to obtain information 27% on IT trends and business opportunities enabled by IT The ‘ IT vision’ is clearly aligned with the corporate vision 40% Senior business and IT managers speak the same language 29% The senior management team has expertise in IT strategy and 35% project delivery Leadership development addresses business manager 27% engagement in IT strategy and project sponsorship % agree / strongly agree
  • 23. Success factors: contributing to realization of benefits from IT • High quality training, support and encouragement • IT people understanding the business • Business people understanding the potential use of IT • Business sponsorship • Alignment with business objectives • Clear goals • Engagement at all levels – from earliest opportunity • Communication • Openness to new ideas • Resource allocation • Technical and change skills Direct from the free text responses
  • 24. Barriers to realization of benefits from IT • Time to implement systems • Short term investment horizon • Resistance to change • Lack of business engagement • IT is regarded as a cost • Lack of training Direct from the free • Lack of vision text responses • Skills shortages • Lack of clear priorities • Inability of IT professionals to communicate with non IT managers
  • 25. Exploring three key areas…. MAKING A DIFFERENCE: NEXT STEPS
  • 26. Three priority areas 1. Establish a programme of action to increase the benefits realized from existing systems and information 2. Develop the role of the CIO and IT leadership team to make a greater strategic contribution. 3. Develop an ‘IT savvy’ business leadership team.
  • 27. What are the specific opportunities? What would we like to know? EXPLOITATION OF EXISTING SYSTEMS AND INFORMATION
  • 28. Exploit current systems and information Knowledge Improve worker existing productivity capabilities Benefits Information focus to management service management
  • 29. Exploitation: ITDF workshop • The key challenge from the survey: realizing benefits from current systems and information. • The opportunity: a workshop session to share ideas and opportunities with colleagues – The workshop will tackle a number of key themes based on the discussion on 15th June and the interests of participants – There will be input on good practices • Timing and format: 9.00am - 1.00pm on 17th Sept 2010 at Durham Business School (breakfast from 8.30 & lunch at 1.00)
  • 30. Three priority areas • Establish a programme of action to increase the benefits realized from existing systems and information • Develop the role of the CIO and IT leadership team to make a greater strategic contribution. • Develop an ‘IT savvy’ business leadership team. What can we do to tackle these areas?
  • 31. Aligning the role of the CIO to the strategic contribution of IT IT Director IT supply. Technical focus. Evangelist CIO Changing mindsets about information. Identifying sources of competitive advantage. Innovator CIO Delivering opportunities for securing advantage. Raising profile of IT as a business partner. Facilitator CIO Empowering and enabling the business with information capabilities. IT Director (II) IT supply orientation. Develops agile infrastructure. From ongoing work by Prof Joe Peppard at Cranfield
  • 32. Building the IT leadership capability: a project at Newcastle University • Initial assessment • 5 * 1-day workshops introducing the benefits toolkit and building skills (25 people – business & IT) • Apply the ideas in ‘real-time’ to specific projects • Follow up activity to work with 5 key projects • Provide a foundation for a new approach to ‘business as usual’
  • 33. Building the IT leadership capability: a project at Newcastle University