The document discusses moving IT organizations from an "inside-out" to an "outside-in" mindset. An outside-in mindset means understanding the business needs and concerns, and working together as partners rather than dictating solutions. This leads to better quality systems, shorter development cycles, and higher customer satisfaction. The document recommends IT leaders focus on communication, relationship building, and influencing change rather than just management and control. It also suggests reorganizing IT teams around business processes rather than skills or platforms to better serve customers.

1. Removing the “I” from IT
“An outside-in look at IT as a Customer Service organization”
Keynote Speaker:
Lorenzo C. Hines, Sr.
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CIO Summit 2015

2. Opening An Outside-in Look At IT
November 2015
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3. The CIO Role – Past and Present An Outside-in Look At IT
• Past – CIOs reported to the COO/CFO (had not
meaningful power)
• Was expected to just keep the lights on
• Present – CIOs are now beginning to have a seat at
“the Big Table” with the other C-level executives
• Expected to be innovative
• Expected to increase revenue/sales/customer base
• Expected to help increase market share
• This plays a significant role in the mindset of the IT
team
• The systems are not IT’s, they are the business
• IT does not own the systems, we are just the keepers
• We are partners with and consultants to the business, not the overseer of
the business
November 2015
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4. The Numbers Don’t Lie An Outside-in Look At IT
The Numbers Don’t Lie
• $1.9B in implemented projects go unused annually
• 27% of all projects are not fully utilized by the biz
• 37% of business system users say IT implements
projects without consulting them/their department
• 62% of business system users say they feel like IT
exists in a bubble
• 57% of business system user wish IT would
communication more/better
• 35% of IT executives say they do not consistently
deliver key projects on time
November 2015
*Derived from PEW Research May 2015
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5. Food For Thought An Outside-in Look At IT
November 2015
"We can't solve
problems by using the
same kind of thinking we
used when we created
them."
- Albert Einstein
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6. Management / IT Disconnects An Outside-in Look At IT
November 2015
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• Disaffection with IT
– Lack of rapid evolution to technology trends that effect the
business
– Platform “pacing” problems
– Awareness of outsourcing trends and shadow technology
– Profitability pressures
• Renewed interest in IT
– Organizational size and complexity
– Competitive pressures
– Regulatory influences

7. Definition: Inside-Out Mindset An Outside-in Look At IT
• A “We-will-tell-you-what-is-best-for-you” value
proposition
• Broadcast a message to the business that we
know best
• Subconsciously, push-based thinking
November 2015
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8. Problems with inside-out thinking An Outside-in Look At IT
For the Business—
• I (the business) have to do all the work to connect to and
with IT
• I (the business) am the problem and IT is here to save me
• I (the business) do not know what is best for me even
though I am the one that uses the system everyday
For the company—
• Departments are not working together which causes:
• Lost opportunity to leverage company knowledge
• Business units to spend less time on customers and more time on systems issues
• Lost opportunity to increase revenue and customer base
• Increased finger pointing when issues come up
• Individuals working harder than necessary because of lack of team work
• Decrease in employee moral
• Take longer to get new products to market
• Waste and inefficiencies add cost to the system
November 2015
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9. Definition: Outside-In Mindset An Outside-in Look At IT
• A “We-understand-your-concerns; lets-work-
together-to-make-it-better” value proposition
• Broadcast a messages that IT is your partner, not
your impediment to success
• Consciously pull-based thinking
November 2015
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10. The Benefits of Outside-In Thinking An Outside-in Look At IT
For the business—
• IT helps me opt in or opt out (and I appreciate
that)
For the company—
• Our message really stands out; people are listening
• Better quality systems and shorter development
cycles
• Higher margins in solving their problems
For IT—
• More gain with less pain
November 2015
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11. Results of Becoming Business-Driven IT Organization An Outside-in Look At IT
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Increased overall customer satisfaction scores by 20%
Increased issue resolution satisfaction rate to 95%
Reduced process defects by 40% for major account
Established a Customer Loyalty Index for Ricoh leadership
Improved customer experience based on feedback from call
center employees
Reduced employee frustration by empowering employees to
have a voice
The Results of Ricoh’s Change in Philosophy
Source: June 15, 2014 “Study conducted by Ricoh Company Ltd”, Forrester report.

12. Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report

13. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report
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14. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report
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15. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report

16. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report

17. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report
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18. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report

19. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report
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20. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report
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21. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report

22. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report

23. 2016 Technology Trends An Outside-in Look At IT
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Source: October 5, 2015 Gartner Group Report

24. An Outside-in Look At IT
Success in this new world will only occur
when we have a change in our mindset
November 2015
New Customer-Driven Technology Age
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25. Top 10 IT Success Drivers An Outside-in Look At IT
November 2015
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26. Leading & Managing An Outside-in Look At IT
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27. Leading & Managing An Outside-in Look At IT
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IT Leadership vs. Management
• Two entirely different concepts …
• Leadership qualities …
– Vision
– Communication & personality
– Relationship building
• IT has a seat at the senior management table
• Can influence the company’s ecosystem
– Cost side focus
– Economy driven
– Driven by thoughtful investment
• Can sell innovation and new ideas
• Does NOT emphasize IT management
Leadership
Identifying change and influencing others
to change
Management
Execution and control

28. IT Departments Must Evolve An Outside-in Look At IT
November 2015
Source: October 5, 2012 “The Evolution of IT Leadership”, Forrester report.
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29. Grouping the Remaining 9 Drivers … An Outside-in Look At IT
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30. Building the Right IT Organization … An Outside-in Look At IT
November 2015
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31. Building the Right IT Organization … An Outside-in Look At IT
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• Elimination of organization by platform, skill set, etc.
• Process-based work – organizing IT resources around
cradle-to-grave business and IT processes
• Adoption of strategic sourcing model …
– Not to save money
– Rather, to offload select IT effort of a low strategic focus
– Helps IT to be more agile & responsive to the firm
• Embed a portion of remaining IT into the Practice
Groups
• Remainder of IT assumes the following roles:
– Participation in Demand-Side IT functions
– Management of IT processes
– Liaison with sourcing and embedded resources
– Primary focus on business and practice innovation
New IT Organization Trends …

32. Building the Right IT Organization … An Outside-in Look At IT
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Illustration of New IT Model …
Business
Innovation
Delivering
Change
Supporting
Infrastructure
Outsourced to
External Service
Providers
Embedded in
the Practice
Groups
Traditional IT
Responsibilities
Source: The Gartner Group

33. Communicating IT Performance … An Outside-in Look At IT
November 2015
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34. Communicating IT Performance … An Outside-in Look At IT
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Perception vs. Reality of Value
• Two stories about value
• Who has a better grasp on value:
– The motorist or the rancher?
– The engineer or the company?
• The value of an IT-based initiative can only be
effectively measured if:
1. The business case for its IT Portfolio inclusion agreed to the
value measurements “up front”
2. The measurements are actually taken and assessed
3. A feedback loop is created for the IT Governance Council

35. Communicating IT Performance … An Outside-in Look At IT
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Perspectives on Value & Benefit …
• Measurements must be practical
• Plain and simply communication along three lines:
– Technical benefit (in pedestrian terms)
– Business benefit (top or bottom line oriented)
– Shareholder benefit (client business volume, profit per
shareholder, etc.)

36. Communicating IT Performance … An Outside-in Look At IT
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• Two sets of IT performance indicators or scorecards
• Vetted by IT Governance Council
• Type 1: IT indicators might include:
– Basic operational performance statistics
– System availability measures
– IT support performance indicators
– Service level effectiveness
– Delivered projects index (on-time, on-budget)
– IT cost ratios (function of P&L)
• Type 2: Business value indicators (tied to Business Maxims)
IT Performance Dashboard Concept …

37. An Outside-in Look At IT
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Summary of Action Items to Consider …
• Tune the focus of your IT leadership (vs. management)
• Take a fresh pass at understanding the firm’s business
• Initiate Business & IT maxim preparation efforts
• Identify IT initiatives where Business & IT maxims converge
• Recast your firm’s governance model
• Prepare and evolve a living IT Portfolio
• Repurpose the IT organization with above in mind
• Implement ITIL (or something like it)
• Extend risk management outside the IT boundary
• Measure and communicate the value of IT on a perpetual basis

38. An Outside-in Look At IT
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39. An Outside-in Look At IT
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40. An Outside-in Look At IT
November 2015
CUSTOMER CENTRIC TECHNOLOGY SERVICES
Outside-In: Revolutionary Customer First Thinking For The Next Generation Of IT
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Lorenzo C. Hines, Sr.
Lorenzo@LorenzoHines.org
(469) 879-0406