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Two Speed IT
The document discusses the concept of 'two-speed IT,' which aims to balance the rapid innovation of technology with the stability of traditional IT operations. It outlines a framework for managing competing technology demands, emphasizing the importance of understanding the technology lifecycle rather than speed alone. Key steps include translating stakeholder requests into meaningful mandates and recognizing the risks associated with segregating operational and innovative technology functions.
Two Speed IT
- 1. Two Speed IT SteveWales | 4.14.17
- 2. My Goals forToday What is Two Speed IT? A recent history of IT management theory Practical application Next month
- 3. Technology Management Theory New approaches all the time Agile: 2001 – geared toward faster innovation in development of business solutions In contrast to the traditional long-cycle Waterfall model Two Speed IT: 2012 An answer to implementing the Agile model for faster innovation on business systems While still maintaining longer-cycle stability for IT Operations and Infrastructure Disruption Virtualization of IT infrastructure: servers, data storage, PCs, network Consumerization of IT: the Gmail / iPhone / Facebook experience at work Cloud / Online / Software-as-a-Service (SaaS) / Infrastructure (IaaS)
- 4. IT Stakeholders’ CompetingDemands Produce new innovative, strategic technology- based capabilities. Do so with reduced resources.
- 5. A Theoretical Solution:Two Speed IT Proposes IT not attempt to resolve the tension between the two ideas Instead, lump all technology into one of two broad buckets Operational technology Innovative technology Separate entities Do this, and Operations won’t slow down Innovation Innovation investments won’t inflate Operations’ budgets
- 6. Two Speed ITModes Mode 1: Programs and projects related to core system maintenance, stability or efficiency Require specialized engineers/administrators and traditional, slow-cycle development There is less need for business involvement Mode 2: Programs and projects that help innovate or differentiate the business Require a high degree of business involvement, fast turnaround, and frequent update A rapid path - or ‘fast lane’ - to transform business ideas into applications.
- 7. Operational vs. Innovative,examples Operational Network, servers, data storage, databases Selecting, deploying, managing (health monitoring) and replacing/retiring PCs, phones, voice and data (Internet) services Information Security, both external and internal protection Help Desk, Infrastructure and Application maintenance teams Innovative Business systems: ERP, Product Design/Development, Sales/Marketing Customer-focused Business process improvement: efficiency efforts, systems integration, reducing time to discover new information insights through better use of data Business analysis, design, coding, testing, and custom software deployment teams
- 8. Sounds simple andelegant, but… the risks Operations & Infrastructure Can Become Second-Class Citizens Operations costs money, while Innovation delivers cool new systems and services Operations faces damage to reputation, recruitment efforts, and morale Operations budget reduction to pay for the technology requests that excite stakeholders Shadow IT is Encouraged When IT is asked to reduce budgets, business makes technology investments without IT IT becomes isolated within the role of service maintainer, instead of stewards of creativity Technology Change Becomes Superficial and One-Off Separating innovation from the rest of IT may result in no action being taken We may not produce real change – And Operations can hinder Innovation Absent holistic vetting and governance of new systems and services we may produce solutions which don’t fit into existing environments
- 9. A Two-Speed Five-StepFramework to Do More With Less Step 1: Stop Taking “Two-Speed” Requests at Face Value Step 2: Translate Competing Requests into Meaningful Mandates Step 3: Think Technology Lifecycle, Not Technology Speed Step 4: Make the Technology Lifecycle Real Step 5: Use the Lifecycle to Frame New Needs
- 10. 1. Stop Taking“Two-Speed” at Face Value Reconsider the competing mandates Produce new innovative, strategic technology-based capabilities. Do so with reduced resources. Taken at face value, these requests are without context or strategic intent It’s IT’s job — now, and always — to: 1. Listen 2. Dig in to uncover what stakeholders are really asking for 3. Translate needs into meaningful technology strategy and development
- 11. 2. Translate CompetingRequests into Meaningful Mandates How does the demand to do more with less stand up to scrutiny? Produce new innovative, strategic technology-based capabilities. Taken at Face Value: IT’s stakeholders want us to invent the next iPad. The Reality: It’s unlikely we’ll have the budget, time or R&D competency to develop truly first-ever technology. Nor is that what we really often desire. Translation: You want us to continually scan the external landscape and be aware of what’s applicable to your business context. To have a process for vetting these capabilities and determining what will truly drive business benefit.
- 12. Translate Competing Requestsinto Meaningful Mandates Do so with reduced resources. Taken at Face Value: The company want to slash IT budgets. The Reality: Organizations are spending more on technology than ever before. But there are certain types of technology they are allocating these increased budgets toward, and others they want to spend less on. Translation: We see basic technologies all around us becoming cheaper and easier to use. We need to “consumerize” basic technologies like Internet, network connectivity, user support, etc.
- 13. Not new: IThas always faced this mandate Keep up with new tech, make it work flawlessly and ever cheaper. “Whether you call it legacy versus emergent systems, Brownfield versus Greenfield deployments or sustaining versus disruptive technologies, the dichotomy between old and new or maintenance and development has been around since the dawn of IT.” – Forbes, 2015 The speed of technology changes requires IT to be more proactive than ever before, and more present with stakeholders. IT leaders can not afford to remain in the server room – we must get in front of the issue to demonstrate the real value of IT.
- 14. 3. Think TechnologyLifecycle, Not Speed No piece of technology is only a core operational system, or only an innovative differentiator. They start out as innovative differentiators and eventually become core operational systems. “Mode 1” and “Mode 2” don’t describe two fundamentally different types of technology They describe two different points within a single lifecycle that all pieces of technology move through.
- 15. The Technology Lifecyclevs. Speed Keeps the IT group whole, allowing shared importance and contribution for every member of the team. Opportunity for a mature, ongoing discussion of technology introduction and investment that will provide lasting value. Adds flexibility and specificity to your technology definitions, and acknowledges each technology’s unique needs at each point in its lifecycle. Allows embedding technology across the entire enterprise Instead of applying it only to the function that requested it Leveraging investments and benefits across multiple shared functions
- 16. A Lifecycle Definition LifecycleStage Description Developing First funding through proof, test, and pilot – moderate to high investment Newly Implemented Within first year of go-live. Hyper-care is still in place. Investment ongoing and additional features and capabilities are released – highest investment Steady State The technology has shifted to maintenance mode, with occasional upgrades. Longest period of the lifecycle – investment shift from Capital Expense to Operating Expense Mature Peak efficiency. Support and maintenance may be outsourced. Patches and upgrades are closely managed. – low investment Retire Actively planning to sunset the system. Overlap with the replacement system. –zero investment
- 17. Next month Step4: Make the Technology Lifecycle Real Step 5: Use the Lifecycle to Frame New Stakeholder Needs Moving from Awareness to Action
- 18. Credits A two-speedIT architecture for the digital enterprise | McKinsey & Company Two Speed IT: Not as sexy as it Sounds | Rain Partners The End of Two-Speed IT | The Boston Consulting Group The myth of two-speed IT | CIO Two-Speed IT: Why It Ultimately Fails | Forbes DevOps and right-speed IT | Deloitte University Press