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the evolution of the CIO &


the changing business of IT
gar@inpiringarchitects.com
@aspiringarc

so what
business
are you
in?

survival & evolution
Agenda: the evolution of the CIO & the changing business of IT

17:30 – Setting the scene
18:00 – Intro (3)
18:03 – Review the agenda (2)
18:05 – Business Model Canvas
Intro & Research
(20-25)

Business Modelers:
Envision, Discover, Design
FACILITATOR & GUIDES:
manage the process & explain
the tool

Have fun doing it!

GET COFFEE & START WORK
18:35 – Make 2-3 teams (1)
18:36 – Business Model
Workshop (45)
19:21 – Teams playback (15)
19:36 – Q&A (15)
19:51 - CLOSE

Draw, scribble, imagine, experiment
Everyone participates no-one dominates
No invalidation if you have a different
idea share it
Don’t be afraid
Be active & alert

• 
• 

Discover a new tool
Get a glimpse at
the future
what business are you in?
who are your customers?
How do you deliver you sell/deliver
your products & services?

What’ your relationship with your
s
customer?
what products & services
do you ‘sell’?
Who do you pay?
Who pays you?
What do you do?
What do you use?
“If you want to teach people a
new way of thinking, don't
bother trying to teach them.
Instead, give them a tool, the
use of which will lead to new
ways of thinking.”
― Richard Buckminster Fuller
but first some background

Peter Weill
MIT CISR
Chair &
Snr Research Scientist 	


Jeanne Ross
MIT CISR
Director &
Principal Research Scientist 	


Stephanie Woerner
MIT CISR
Research Scientist 	


http://cisr.mit.edu/locker/WeillWoernerMISQE2013FutureofCIO.pdf 	

http://cisr.mit.edu/blog/documents/2012/08/16/2012_0801_customer-facingdigitization_woernermcdonaldweill.pdf/
THE BUSINESS
I expect
•  hi-quality
•  cost-effective
IT Services
THE INFLUENCERS
e2e digitization
experience is everything
reve

e ge
nu


t io n
nera


ices
er v

ed s
shar

ess
proc
z
e bi

im iz
nce
opt
e
peri
x
er e
sto m
e2e 
cu
itize
d ig

ons
i
erat
e op
erse
ov

goals
let’s meet the characters
1508 CIOs - 60 Countries

44%

Joe
‘order-taker’

36%

10%

10%

John
‘facilitator’

Tony
‘optimizer’

Angela
‘experience-shaper’
‘Joe’
IT Services (Order Taker) CIO
Managing IT Organization
INFRA | APPS | PROJECTS
Concerns: Cost, Risk, Service levels


Performance Measure
Mixed overall performance
Lower return on equity
Increase sales from existing products

44%

Increase price competition
& impact on profitability
‘The Dinosaur Farmer’
‘John’
Embedded (Facilitator) CIO
Business Strategy
INFRA | APPS | PROJECTS
Concerns: Non-IT focused
process optimization, new product/service dev
reg. compliance, risk, investment prioritization


36%

Performance Measure
Better ROIC
‘Tony’
Enterprise Process (Optimizer) CIO
External focus, customer oriented
CUSTOMERS | SUPPLIERS | USERS | EMPLOYEES | GOVERNMENT
Concerns: Relationship management, alignment


10%

Performance Measure
Profitability (net margin %)
‘Angela’
External Customer (Experience-shaper) CIO
External focus, customer oriented
CUSTOMERS | SUPPLIERS | USERS | EMPLOYEES | GOVERNMENT
Concerns: Shaping services, creating experience, vertical integration


Performance Measure

10%

Innovation
(sales from new products / 3 years)
Who are your customers; what’ your value proposition….
s

Business Model Workshop
Spotify Business Model Example
http:/
/www.businessmodelsinc.com/freedrives-paid-the-business-model-ofspotify/

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IT Business Models & The 4 Faces of the CIO

  • 1. the evolution of the CIO & the changing business of IT gar@inpiringarchitects.com @aspiringarc so what business are you in? survival & evolution
  • 2. Agenda: the evolution of the CIO & the changing business of IT 17:30 – Setting the scene 18:00 – Intro (3) 18:03 – Review the agenda (2) 18:05 – Business Model Canvas Intro & Research (20-25) Business Modelers: Envision, Discover, Design FACILITATOR & GUIDES: manage the process & explain the tool Have fun doing it! GET COFFEE & START WORK 18:35 – Make 2-3 teams (1) 18:36 – Business Model Workshop (45) 19:21 – Teams playback (15) 19:36 – Q&A (15) 19:51 - CLOSE Draw, scribble, imagine, experiment Everyone participates no-one dominates No invalidation if you have a different idea share it Don’t be afraid Be active & alert •  •  Discover a new tool Get a glimpse at the future
  • 4. who are your customers?
  • 5. How do you deliver you sell/deliver your products & services? What’ your relationship with your s customer?
  • 6. what products & services do you ‘sell’?
  • 7. Who do you pay? Who pays you?
  • 8. What do you do? What do you use?
  • 9. “If you want to teach people a new way of thinking, don't bother trying to teach them. Instead, give them a tool, the use of which will lead to new ways of thinking.” ― Richard Buckminster Fuller
  • 10.
  • 11. but first some background Peter Weill MIT CISR Chair & Snr Research Scientist Jeanne Ross MIT CISR Director & Principal Research Scientist Stephanie Woerner MIT CISR Research Scientist http://cisr.mit.edu/locker/WeillWoernerMISQE2013FutureofCIO.pdf http://cisr.mit.edu/blog/documents/2012/08/16/2012_0801_customer-facingdigitization_woernermcdonaldweill.pdf/
  • 12. THE BUSINESS I expect •  hi-quality •  cost-effective IT Services
  • 14. reve e ge nu t io n nera ices er v ed s shar ess proc z e bi im iz nce opt e peri x er e sto m e2e cu itize d ig ons i erat e op erse ov goals
  • 15. let’s meet the characters 1508 CIOs - 60 Countries 44% Joe ‘order-taker’ 36% 10% 10% John ‘facilitator’ Tony ‘optimizer’ Angela ‘experience-shaper’
  • 16.
  • 17. ‘Joe’ IT Services (Order Taker) CIO Managing IT Organization INFRA | APPS | PROJECTS Concerns: Cost, Risk, Service levels Performance Measure Mixed overall performance Lower return on equity Increase sales from existing products 44% Increase price competition & impact on profitability
  • 19. ‘John’ Embedded (Facilitator) CIO Business Strategy INFRA | APPS | PROJECTS Concerns: Non-IT focused process optimization, new product/service dev reg. compliance, risk, investment prioritization 36% Performance Measure Better ROIC
  • 20. ‘Tony’ Enterprise Process (Optimizer) CIO External focus, customer oriented CUSTOMERS | SUPPLIERS | USERS | EMPLOYEES | GOVERNMENT Concerns: Relationship management, alignment 10% Performance Measure Profitability (net margin %)
  • 21. ‘Angela’ External Customer (Experience-shaper) CIO External focus, customer oriented CUSTOMERS | SUPPLIERS | USERS | EMPLOYEES | GOVERNMENT Concerns: Shaping services, creating experience, vertical integration Performance Measure 10% Innovation (sales from new products / 3 years)
  • 22. Who are your customers; what’ your value proposition…. s Business Model Workshop
  • 23.
  • 24. Spotify Business Model Example http:/ /www.businessmodelsinc.com/freedrives-paid-the-business-model-ofspotify/