Opinion by Thought Leaders
Read the latest opinions from tech & business pros across the globe.

Why CIOs Need to Prioritize Their Resources for the Business

 

Priority alignment: this should be a focus of any CIO looking to grow a business. Indeed, the adaptive CIO must set clearly-defined roles for each branch of the department, especially important as it pertains to the role of CIO vs. IT manager. In essence, CIOs need to be focused on helping the CEO with the company's strategy and let their IT managers handle the back-office work.   As CIO puts it, the IT department has to help the business make more money; as CIO, you must remained focused on the business rather than concerning yourself with providing the computer, the network or the server. This is what the IT Manager's role is, and you're paying him/her handsomely to do that. By clearly defining those roles and sticking to them: this is the only effective way to grow a business. Otherwise, resources are wasted, not to mention time and money.

The Path to Alignment

Sure, digital transformation has begun placing more and more demands on the CIO position -- a role that has undergone am impactful shift over the years from maintaining a stable portfolio of back-office technology to crafting ways that technology can bring in more money for the company's bottom line. But progress has been slow.   For many years, CIOs worked toward a goal of closely coordinating IT projects and overall strategy with business processes, with a recent Public CIO survey saying that executives still report IT-business alignment as their #1 IT management concern.   A shift is afoot. Another survey -- Deloitte's 2019 Global CIO Survey -- revealed that the two top expectations for CIOs are, in this order, to:

  • Align with the business
  • Transform business processes
  • Achieve IT operational excellence

Based on these findings, experts say the two kinds of CIOs needed in the future include a “business co-creator” CIO who devotes a majority of his or her time to driving business strategy or encouraging change, and a "change instigator" who acts as a leader in technology-enabled business transformation.

Still, the CIO is always at a perpetual inflection point, spinning plates in the air, as they face opposing functional and strategic priorities. On one hand, CIOs are called upon to be more active in all business decisions, as competition demands more transformative, innovative solutions for clients and customers. On the other hand, IT is responsible for maintaining most of the functional yet essential aspects of tech strategy, such as security and data management. Just one wrong step, like a data breach, and it's game over.

The plates the CIOs are spinning are getting greater in number yet faster and smaller in size. How can CIOs and IT manager stay in their respective lanes in order to properly grow the business?

Continue reading
  22 Hits
  0 Comments
22 Hits
0 Comments

CEOs Must Invest in Digital Transformation

 

Does your company have a digital boss? What we mean by that is, do you have a leader on board who can easily leverage new technology advancements in order to grow your business? In today's business climate, this "luxury" is no longer an option. In fact. Raconteur says that "data is the new oil." They both generate substantial wealth and power global economies, but one crucial way in which they differ is their longevity. Oil is a finite fossil fuel, meaning it will come to an end at some point. Data, by contrast, is infinite. Just take this example: within the next couple of years, 40 zettabytes of new information will be created, translating to four million years of HD video.

So, then, it's a no-brainer that CEOs must make significant investments in digital transformation. Indeed, it's a strategic imperative for any business that wants to surge ahead rather than just limp along. Digital resources are taking on a new importance, making them serious contenders as asset classes that are well worth the investment. The big challenge, then, is to blend the strengths of the old with the opportunities of the new, requiring tech-savvy CIOs to dive into and own the data themselves to interpret, analyze and align.

A Climate of Exponential Digital Growth

Think the Industrial Revolution was a frenzied pace of advancements and breakthroughs? Well, it was -- then. But it pales in comparison to the exponential pace of digital transformation now. The next decade alone will bring furious growth into many sectors, from 3D printing and neuroscience to digital telepresence and cryptocurrency, points out New Scientist. Therefore, it's not really a choice to embrace technology enablement; rather, it's mission-critical to the survival of every company. CIOs and CEOs don't necessarily have to be tech experts themselves; however, they must have a clear appreciation of how technological advancements will redefine their business models, operational processes and customer experience engagement, says CIO.

How Industries are Evolving

From retail and banking to media and healthcare, new technologies are injecting themselves into all sectors -- in many cases, pushing out traditional companies through the leveraging of digital advancements. There is no more room for ignorance. Just look at the Blockbusters and Borders of the world that failed to migrate into new territory as smoothly as icons like Netflix, Amazon, Google, Airbnb and Zappos.

So, what are these relatively new entrants into traditional industries doing right? They have been able to build market share fast by:

Continue reading
  6848 Hits
  0 Comments
6848 Hits
0 Comments

CIO value proposition: Negotiating key IT vendor contracts

 

While it's important for CIOs to provide a strategic advantage and to work on creating a partnership mentality, one area that needs to be smartly managed are those cumbersome and expensive vendor contracts.

We've talked about how CIOs can bring value to the organization through flexibility, business capability, strategic advantage and the development of a partnership mentality. Companies nowadays are measuring the value of their IT departments and their services, comparing their company's technology and capability to others' technology acumen and agility. Are they creating benchmarks as a result of those outcomes? While it's important for CIOs to provide a strategic advantage and to work on creating a partnership mentality, one area that needs to be smartly managed are those cumbersome and expensive vendor contracts.

Before you negotiate a key vendor contract, you need to have developed the right vendor management strategy; failure to do so can result in a dysfunctional relationship that can negatively impact your business, according to The Balance. While you need to be prepared to play hardball, you must also value your vendor and build a strategic partnership that is mutually beneficial for both parties. Although you want to be the hero and negotiate a rate that boosts the company's bottom line, you don't want to go too far and turn your vendor off. And you REALLY don't want to cut corners on service, which can hurt your business and cause an eventual breakdown of the relationship.

So, how can you negotiate key IT vendor agreements so as to benefit your company as well as preserve the vendor relationship?

Recognizing the value

In terms of IT buyers, strategic partners are vendors that have not only provided effective delivery of systems and services, they have gone one step further to become transparent, responsive and trusted collaborators for generating value for the enterprise -- consistently. Vendors who fail to achieve this competitive advantage will only have price to fall back on, bringing them too far down the competitive ladder. The "mutual win" can be put at risk if the most strategic vendor relationships are not pursued strongly.

Continue reading
  58 Hits
  0 Comments
58 Hits
0 Comments