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Reality bites LPD2010 Silvius
 

Reality bites LPD2010 Silvius

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Presentation on the reality of Business IT Alignment on the \'Landelijke Praktijkdag Functioneel Beheer\', March 23rd 2010

Presentation on the reality of Business IT Alignment on the \'Landelijke Praktijkdag Functioneel Beheer\', March 23rd 2010

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Reality bites LPD2010 Silvius Reality bites LPD2010 Silvius Presentation Transcript

  • Reality bites De realiteit van business IT alignment A.J.Gilbert Silvius Lector Business, ICT en Innovatie
  • Gilbert Silvius
  • Hogeschool Utrecht
  • Kenniscentrum InnBus
  • Reality bites De realiteit van business IT alignment A.J.Gilbert Silvius Lector Business, ICT en Innovatie
  • In what business is this company?
  • In what business is this company?
  • In what business is this company?
  • It’s just getting interesting! Impact op Business hoog laag Jaren ’60 ’70 ’80 ’90 ’00 ‘10 Automatisering Informatisering Transformatie
  • ICT als bron van innovatie Bedrijfsmiddelen Bedrijfsprocessen Bedrijfsmodel Bedrijfsstrategie
  • En we zijn nog niet klaar!
  • De vraag ook niet Growing Flat Declining Help enable growth! Help improve margins! Help reduce fixed and variable costs! Company revenue IT budget IT demand
  •  
  • Does alignment pay-off?
  • Kans of kopzorg?
  • Vraag
    • Hoe zou je de alignment tussen business en IT verbeteren?
  • Why is alignment still an issue?
    • Géén tweerichtingverkeer
    • Géén ‘silver bullit’
    • BIA is multidimensionaal
    • Geen instrumentarium om verbetering te plannen en te monitoren
  • Jerry Luftman Business IT Alignment Maturity
  • Maturity of the Business IT Alignment process Alignment gap Initial / Ad-Hoc Process Committed Process Established/Focused Process Improved/Managed Process Optimized Process
  • Business IT Alignment Maturity Variables Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria
  • Business IT Alignment Maturity Variables Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria Processen Structures Capaciteiten Visies / Gedrag
  • Business IT Alignment Maturity Variables Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria
  • Luftman 2007
  • Question
    • How does Alignment relate to Business Performance?
    Does alignment matter?
  • Alignment matters!
  • Alignment matters! Strategic Alignment Maturity makes a significant contribution to company performance. SAMs impact on company performance is .34. This is a very good validation of the relationship between SAM and company performance.
  • Question
    • How does Alignment relate to Strategy?
      • To Business Strategy
      • To IT Strategy
    Does strategy matter?
  • Relationships?? Business Strategy IT Strategy Business IT Alignment capability
  • Business Strategy Operational Excellence Product Leadership Customer Intimacy Operational Excellence Emphasis on efficiency and reliability, price leadership, cost control and supply chain optimization. Product Leadership Emphasis on continuing product development, innovation, fast time-to market and high margins. Customer Intimacy Emphasis on customer service, responsiveness, tailoring products and services to individual customer needs.
  • IT Strategie (Visie)
    • Conservative
    • IT saves costs
    • Proven technology
    • Efficiency orientation
    • Essential
    • IT essential in realising strategy
    • New technologies
    • Effectiveness orientation
    • Innovative
    • IT as competitive edge
    • Experimental technologies
    • Innovation orientation
    • Business
    • IT is business
    • All technologies
    • Service orientation
    Perception of external impact of IT high low high low Perception of internal impact of IT
  • Relationships?? Business Strategy IT Strategy Business IT Alignment capability
  • Strategies combined
  •  
  • Strategie geeft Alignment
  • Business IT Alignment
  • Business IT Alignment Maturity Variables Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria
  • Wat is belangrijk?
  • Wat is belangrijk?
  • Wat te doen? Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria Verdiep je in de business (maar andersom ook!) Wees transparant Creëer stuur- mogelijkheden Creëer betrokken-heid Creëer een effectieve architectuur Ontwikkel de kwaliteit van medewerkers
  • Reality bites De realiteit van business IT alignment A.J.Gilbert Silvius Lector Business, ICT en Innovatie
  • What we know
    • Algemeen
    • BIA is multidimensionaal (processen, structuren, capaciteiten en visie)
    • Géén ‘silver bullit’
    • Kan bij alle business strategieën
    • Het levert op!
  • What we know
    • Wat helpt?
    • Tweerichtingsverkeer
    • Visie en (IT) strategie
    • Transparantie en stuurmogelijkheden
    • (Business) kennis in IT
    • IT kennis in de business
    • IT architectuur
    • Procesvolwassenheid in IT én business
    • Cultuur heeft invloed
  • Kijk uit voor bestuurders! Basistype Kenmerken Hypocriet Verklaart de IT belangrijk te vinden, ontkracht dit geloof door zijn handelen Weifelaar Accepteert aarzelend het strategisch belang van de IT. Wil echter niet zelf betrokken raken bij de IT-vraagstukken Atheïst Vindt de IT niet belangrijk. Verkondigt die overtuiging in het openbaar Fanaat Vindt de IT van strategisch belang. Beschouwd zichzelf als een autoriteit op het gebied van IT Agnost Geeft toe dat de IT van strategisch belang is. Moet daar steeds opnieuw van overtuigd worden Koning Accepteert dat de IT strategisch belangrijk is. Benoemt de best denkbare CIO en trekt zich dan terug Gelovige Gelooft dat de IT een strategisch voordeel kan bieden. Benadrukt die overtuiging door zijn dagelijkse optreden
  • What we don’t know
    • Nog niet goed onderzocht
    • BIA in MKB
    • Multibusiness IT alignment
    • Effect van outsourcing
  • Vragen??