Denis Plumpton
Denise Plumpton, chairman of The Corporate IT Forum

You can connect IT and the boardroom

Aligning your department and the business doesn't have to be an idle fantasy

Written by Denise Plumpton

Why is aligning IT with the business such a persistent topic? Why do we never hear about human resources (HR) or finance aligning themselves with the business? What are IT departments and chief information officers (CIOs) doing differently that it remains as an issue to be resolved?

IT is still seen by many chief executives as (a) optional, (b) a thorn in the side, (c) a necessary evil, (d) not a fundamental part of the business. But it?s probably the one thing that would stop the business if it ceased to work The conversation every CIO has in mind for his chief executive but will never actually say is: 'Let's see which of us can stop the business first. I'm going to switch off the IT. What are you going to do?'

Why is there a problem? Core business is seen as some or all of the processes around 'design, make, sell, deliver, service'. Chief executives recognise that money is key and that they are dependent on people - this brings finance and HR onto the top table. Whereas, in many organisations, information and technology are still seen as non-essential to running the business - 'nice to have if we can afford it'. This is blatantly not the case. The same chief executives state publicly that IT gives them competitive advantage. So what's going wrong?

IT people still talk in jargon; are perceived to hide behind the technology when things aren't going to plan; are introspective - focusing on infrastructure security, and performance. Most of the CIOs I meet are captivated by the latest developments in data storage and network switches, and have progressed through the ranks of technology rather than through business analysis or project management. Let's face it - look at the direct mail you receive as a CIO. What proportion is from hardware or equipment vendors, inviting you to trial their products, or attend their technical seminars and exhibitions? How much is business-focused, such as project definition and delivery?

The reality is that many CIOs and IT directors have moved through several companies and sometimes several industry sectors, bringing real benefits in experience and understanding to each new company as they progress. But, sadly, this results in IT people feeling that they are first and foremost 'an IT person', and only secondly 'an employee of XYZ'. Any other member of staff would probably state firstly that they are 'an employee of XYZ' and secondly that they are 'working in this business function at present'. That's a real mindset differential that has to be overcome. IT is seen as a profession and this seems to work against it in the business world.

CIOs need to take a positive interest in their business and come up with value propositions for improving business operations. These need not be technological solutions - in fact it would be better if, in the first instance, they change the way people work (business processes) or the way they use the existing tools and technologies. IT departments are in unique position in the business. They are a central point, common to all business functions, seeing the breadth of opportunities for improvement and able to identify where two or more areas are experiencing the same challenges. IT can ensure that the whole is greater than the sum of the parts.

So how does a CIO overcome the problems?

  • Don't whinge
  • Don't wait to be invited to participate in strategy meetings; ensure you are networking with the key business directors so that you at least get first hand information about the business strategy and direction
  • Do use this information to formulate a business value proposition which you can deliver
  • Do be prepared to deliver and to be measured on results - you'll be invited to the party when people understand what you are bringing to the table
  • Do focus on business issues and leave the technology management to your more junior managers who are more than capable

Or, just admit that you're happier with technology and focus on delivering the best of that. But don't then complain when you are presented with solutions to implement and external resources are brought in to manage all the new projects.

Denise Plumpton is chairman of blue-chip user group The Corporate IT Forum (Tif) www.tif.co.uk

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