Strategic Use of IT
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Strategic Use of IT: a presentation for the Aspiring Entrepreneurs Programme (AEP49) of FATE Foundation to help position Information Technology as a strategic tool with far-reaching effects which should be considered early and often in the life of any new business.
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Strategic Use of IT
- 1. 1 Strategic Use of Information Technology Presented by: Aide Ojigbede Microsoft Partner/CEO, Vicinity Limited © 2013 Vicinity Limited www.vicinitylimited.com October2013 Aspiring Entrepreneurs Programme
- 2. 2 IT is too important to be left to IT professionals
- 3. 3 This Presentation will show… how IT can improve competitiveness how to align IT resources with business how to use IT resources to lower cost or add value how IT can help you become more responsive to customer needs and industry trends…
- 4. 4 This Presentation will discuss… the cost of adopting new IT technology measuring the value of new IT with examples of successful adoption
- 5. 5 What can IT do for you?
- 6. 6 In an IT-enabled business strategy…
- 7. 7 IT Workloads… Enterprise Resource Planning (ERP) Customer Relationship Management (CRM) Productivity – Personal, Communication, Collaboration Line of Business (LOB) Online – e-business/e-payments, social networking, digital marketing Research – sites, blogs, wikis, surveys, polls…
- 9. 9 Dynamic Fully automated management, dynamic resource usage , business linked SLAs Microsoft IO Model Guides the Journey Rationalized Managed and consolidated IT Infrastructure with maximum automation Standardized Managed IT Infrastructure with limited automation Basic Uncoordinated, manual infrastructure Microsoft Optimization Model Providing the “How do you get there from here?”
- 10. 10 The Value of Optimization
- 11. 11 “Companies that manage their IT investments most successfully generate returns that are as much as 40% higher than those of their competitors.” – Jeanne W. Ross, Peter Weill, “Six IT Decisions Your IT People Shouldn’t Make,” Harvard Business Review Per PC Costs Drop Business Value of Optimization Increased Servers Managed by FTEs Lower IT Labor Costs Per Server/Year
- 12. 12 How to start?
- 13. 13 2005 Core Infrastructure Model 2011 Core Infrastructure Model Data Protection and Recovery Desktop, Device, and Server Mgmt Identity and Access Management Security and Networking Storage Data Center Management & Virtualization Networking Server SecurityDatacenter Services Client Services Client Security Client Management & Virtualization Identity & Security Services Information Protection & Control Identity and Access IT Process & Compliance IT Process & Compliance
- 14. 14 2006 Business Productivity Infrastructure Model2011 Business Productivity Infrastructure Model Business Intelligence Enterprise Content Management Collaboration Unified Communications Enterprise Search Collaboration Project Management Portals Social Computing Workspace Unified Communications Voice IM/Presence Conferencing Messaging Enterprise Content Management Process efficiency E-Discovery Information Management Enterprise Search Interactive Experience and Navigation Information Access Reporting and Analysis Analytics and Data Mining Report Generation and Distribution Dashboards Content Creation Interoperability Multi Device Support User Accessibility Authoring
- 15. Basic Standardized Rationalized Dynamic Servers are generic Best Practices Generated and Consumed IncreasedOperationalEfficiency LessTotalCostofOwnership Recognition of Workloads Measurement and Service Level Agreement Management User/Role Specific Service Oriented Management Where is your organization? Can best practices be learned from other IT environments? Where Are You?
- 16. 16 You can select from a vertical and horizontal solution catalogue with predefined business best practices Define the desired level of delivery per business driver, based on a 3 phase approach Perform the optimization assessments Perform a gap analysis between the current capabilities to the required by the phase selected as the goal Build a capability level roadmap for the short term as well as the long term Use the architectural guides to assure you can coordinate the adoption of these technologies to drive the short and long term business goals Bridging the Business Drivers to IT
- 17. 17 What We Need to Do
- 18. 18 Local Concerns: Power is Critical… Immediate steps should be taken to implement a stable datacentre power protection infrastructure to prevent avoidable damage to the Server(s) and networking equipment in the server room.
- 19. 19 Local Concerns: Connectivity Issues Determine what services are essential for your business and find a provider and plan which will enable the required services. Investment in redundant connections should be considered.
- 20. Next Steps The Infrastructure Optimization Journey 4. Review and tune with your IT team on an ongoing basis 3. Build a multi-year plan with that maps to your business priorities 2. Prioritize and identify capability gaps required to support your business 1. Assess your IT capability against the models
- 21. 21
- 22. 22
Editor's Notes
- Introduce self briefly, describe relationship with MS and general background of presentation.
- Technology is only purchased to help achieve the primary objective whether that is making a profit, helping the community or running a government. IT must contribute to the bottom line. Even if the business is IT, the IT used must still be geared towards the primary objective. The primary objective is set by people, carried out by people, for the benefit of people.
- An IT-enabled Business strategy gives a competitive advantage, enables process innovation and operational excellence, as well as opening new markets and channels Business strategies and business concerns must drive the decisions and priorities for IT investment. IT strategy must cover technology, applications, capabilities and governance. IT capabilities must enable innovative and competitive business strategies and deliver business efficiencies.
- IT touches nearly every facet of business endeavour now and the applications of IT are growing daily. ERP: Software to support business processes, track business resources and commitments made by the business across all departments. CRM: Software to organize, automate, and synchronize sales, marketing, customer service and technical support for managing interactions with current and future customers. LOB: Software for specific industries or businesses. There are thousands of these, from the simple to the amazingly complex, for almost any type of business you can imagine. Productivity: Tools, traditionally available singly or bundled, to accomplish the most common tasks on PCs to get work done Online: Many productivity and LOB apps have now joined these. They are also increasingly mobile Research: From the free to the paid, web-based or on-premise, server or stand-alone, these have always been a staple of computing
- Just like with business, IT prescribes adherence to best practice as a means to advancement and attainment of desirable goals. Best practice for business IT prescribes an overall strategic plan (or Roadmap) for the introduction, implementation and operation of technology as it relates to an organizations’ core business. The plan is typically based on a model of IT capabilities and business value as it relates to overall business performance. The position of the organization on the model is determined by current IT capacity and utilization. We use a Maturity Model based on Microsoft’s but modified for the Nigerian space (e.g. greater consideration for power and connectivity). Infrastructure Optimization measures your IT maturity across several capabilities, determines the overall level of your IT and comes up with processes for improving it until it is at it’s possible best. The overall plan is often called your IT Roadmap. It identifies short-term and long-term targets. Monitoring and measuring is a continuous process.
- Primary Message: Outline the process of Optimization and the direction customers need to take to reach optimization Level 1 Basic - Reactive, Ad Hoc, Problem Driven - "Avoid Downtime" The Basic IT infrastructure is characterized by manual, localized processes, minimal central control, non-existent or un-enforced IT policies and standards regarding security, backup, image management and deployment, compliance, and other common IT standards. There is a general lack of knowledge regarding the details of the infrastructure that is currently in place or which tactics will have the greatest impact to improve upon it. Overall health of applications and services is unknown due to a lack of tools and resources. There is no vehicle for sharing accumulated knowledge across IT. Customers with Basic infrastructure find their environments extremely hard to control, have very high desktop and server management costs, are generally very reactive to security threats and have very little positive impact on the ability of the business to benefit from IT. Generally all patches, software deployments, and services are provided high touch and high cost. Customers benefit substantially by moving from this type of Basic Infrastructure to a Standardized Infrastructure helping them to dramatically reduce costs through: developing standards, policies, and controls with an enforcement strategy mitigating security risks by developing a “defense in depth” posture – a layered approach to security at the perimeter, server, desktop and application levels automating many manual and time consuming tasks adopting “best practices” (ITIL, SANS, etc.) aspiring to make IT a strategic asset rather than a burden Level 2 Standardized - Reactive, Stable IT, Request Driven, Change Management and Planning - "Keep it running" The Standardized infrastructure introduces controls through the use of standards and policies to manage desktops and servers, how machines are introduced to the network, the use of Active Directory® to manage resources, security policies, and access control. Customers in a Standardized state have realized the value of basic standards and some policies yet are still quite reactive. Generally all patches, software deployments and desktop service are provided through medium touch with medium to high cost. However, they have a reasonable inventory of hardware and software and are beginning to manage licenses. Security measures are improved with a locked down perimeter, internal security may still be a risk. Customers benefit by moving from this Standardized state to a Rationalized state with their infrastructure by gaining substantial control over the infrastructure and having proactive policies and processes that prepare them for the spectrum of circumstances from opportunity to catastrophe. Service Management is a concept and the organization is taking steps to recognize where to implement it. Technology is also beginning to play a much larger role moving toward a Rationalized infrastructure by becoming a business asset and ally rather than a burden. Level 3 Rationalized - Proactive, Accountable, Increased Monitoring, Formal Change Management, SLAs - "Quality Driven" The Rationalized infrastructure is where the costs involved in managing desktops and servers are at their lowest and processes and policies have matured to begin playing a large role in supporting and expanding the business. Security is very pro-active and responding to threats and challenges is rapid and controlled. The use of Zero touch deployment minimizes cost, time to deploy and technical challenges. The number of images is minimal and the process for managing desktops is very low touch. They have a clear inventory of hardware and software, and only purchase those licenses and computers they need. Security is extremely pro-active with strict policies and control from desktop to server to firewall to extranet. Customers benefit on a business level by moving from this Rationalized state to a Dynamic state. The benefits of implementing new or alternative technologies to take on a business challenge or opportunity far outweigh the incremental cost. Service Management is implemented for a few services with the organization taking steps to implement more broadly across IT. Customers contemplating the value of Dynamic state generally are looking for their IT infrastructure to provide business advantage. Level 4 Dynamic - Proactive, Optimising Costs and Quality, Agile, Self Assessing and Continuous Improvement - "Taking the Lead" Customers with a Dynamic infrastructure are fully aware of the strategic value their infrastructure provides in helping them run their business efficiently and staying ahead of competitors. Costs are fully controlled, integration between users and data, desktops and servers, collaboration between users and departments is pervasive and mobile users have nearly on-site levels of service and capabilities regardless of location. Processes are fully automated, often incorporated into the technology itself allowing IT to be aligned and managed according to the business needs. Additional investments in technology yield specific, rapid, measurable benefits for the business. The use of self provisioning software and quarantine-like systems for ensuring patch management and compliance with established security policies allows the dynamic organization to automate processes, thus improving reliability, lowering costs and increasing service levels. Customers benefit from increasing the percentage of their infrastructure that is Dynamic by providing heightened levels of service, competitive and comparative advantage and taking on bigger business challenges. Service Management is implemented for all critical services with service level agreements and operational reviews established.
- IT is often looked at as a necessary evil by most Business Decision Makers (BDMs). This is a view which is supported by the fact that, at first, IT costs the business money but it is not clear exactly how, or rather how much, it contributes to success. However, as IT is aligned more closely with the business, the value that it brings can be more clearly perceived.
- Primary Message: Optimization has demonstrated clear cost benefits across server workloads and IT capabilities. The Spotlight on Costs study was commissioned by Microsoft as a blind study. The study was conducted by Hansa/GCR, an independent analyst firm, who collected the data used. Based on detailed analysis of six core server workloads, the study was designed to determine how server availability as well as per-server and per-user IT labor costs are affected by the adoption of core infrastructure best practices. Director-level or senior IT managers at 850 organizations were surveyed. Of these organizations, 162 organizations were selected for the study, based on their ability to provide rich data on best practice adoption and IT labor costs across multiple server workloads. Participating organizations were selected from a wide range of different industries with a range of between 1,000 to 300,000 PCs. Respondents were surveyed for information on IT staff size, budgetary responsibility, and technical knowledge of core server-related IT workloads to ensure that they qualified to participate in the study.
- 4/21/2015 8:20 PM
- 4/21/2015 8:20 PM
- Primary Message: Help enforce the need to assess the efforts the customer has taken towards optimization. Speaker: Spend time identifying actions the customer has taken towards optimization and identify steps the customer can take to continue their journey.
- Primary message: Outline how the customers can continue to drive towards optimization Speaker: By focusing on the business drivers through optimization, IT organizations can bridge the gap between business and IT. Based on the IO model and enterprise customer engagements over the last six years, Microsoft has developed proven process that enables an IT organization to develop an actionable roadmap that prioritizes and drives implementation of solutions that support the business drivers and strategies. There key six steps in the process. They range from information gathering, IT and business assessments and analysis, developing a roadmap, and architecting the solutions for delivery. Understand Business Drivers, Needs, and Challenges The initial step to getting started is understanding where you are at. In terms of bridging the gap, understanding the current business drivers and challenges will improve the quality of the remaining steps and probability of overall success. Define the Desired Business Capabilities to Deliver By focusing on the business capabilities that need to be delivered, IT is able to drive a roadmap and architecture toward a destination the business aspires to. Assess Current Capabilities Microsoft has worked with industry analysts like IDC and Gartner to fine tune compelling assessments that drill down on the current capabilities and the levels of maturity. Perform a Gap Analysis of Current versus Desired Delivery Because you know where you are at (Assess Current Capabilities) and where you want to go (Desired Business Capabilities), you now have a way of identifying the gaps and determining where emphasis needs to be focused in order to make it to your destination. Roadmap the Short-term and Long-term Capabilities and Delivery Developing a roadmap the provides explicit, actionable short-term and long-term solutions and projects allows the organization to not only convey the plan and get decision-makes on board, but also establishes the baseline for reporting progress. Build the Architecture for Specific Solutions The architecture for a solution is the overwhelming key to success in the enterprise optimization engagements that Microsoft has been involved in. When a solution is correctly architected based on the desired business drives, capabilities, and IT infrastructure, the outcome is known—otherwise it becomes a variable with little predictability.
- Central AV/Malware/IPS/Web Content Filter (Cyberoam) Central Backup / Disaster Recovery (SDS, Datto/Barracuda/Unitrends)
- CONCERNS: There is no surge suppressor installed in the in the datacentre. There is no network/telephone surge suppressor installed. There is no inverter The UPS installed presently in the datacenter is line-interactive. There is no Stabilizer installed to protect the UPS. There is no standard power distribution for the rack and associated data equipment. The power cabling and panels existing in the datacenter are not installed to meet IEEE standard and for future expansion. There is no raised floor installed to assist the power and data cable management. There is no standard fire protection system in the datacenter. The IT department supporting the datacenter has no centralized power distribution for their work stations. The cooling system in the datacenter is insufficient. There is no effective grounding system installed in the datacenter
- Internet access is still a major concern for most Nigerian small businesses. Reliability and bandwidth will be a challenge so you need to plan and provide for the best level of service that is practical.