Alan Calder has a short post in his blog about a positive trend affecting IT organizations. He has the following quote from the Economist:
“…globalisation and increasing competition in markets worldwide is driving senior managers to demand a closer alignment of IT to business goals. The research indicates that 69% of senior IT and business executives expect the primary role of IT, traditionally cost efficiency, to be elevated to that of enabling revenue growth within three years.”
Alan goes on to say, however, that this is creating a fissure between CEOs and CIOs as "IT Managers are dragging their feet." I have also seen surveys from IDC that say the same thing. CEOs are growing increasingly excited and dependent on IT as a top line growth and innovation driver, but are also growing frustrated with IT's lack of responsiveness. In fact, in an IDC 2006 survey asking CEOs for their top priorities, "improving IT responsiveness" jumped from #7 to #4 this year. So, the good news is that the value of IT is getting more recognition. The bad news is that IT is not keeping up with the speed of action that the business demands.
I believe that improvements in IT governance will make a world of difference in improving IT's responsiveness. With a dynamic and direct link between business and IT goals, and with IT's ability to quickly and effectively make well informed decisions that balance benefits and risks IT will demonstrate it's ability to add top line value and its ability to do so on a timely basis.
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