The CIOs Agenda In Turbulent Times By Tariq Elsadik


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  • Imagine, you are there right now in front of this raging bull… What do you think is going to happen? What are your choices?
  • Talking about Risk will not be complete without mentioning the GFC… what a rush? Although there are reports that suggest that the economy is starting to pick up, there are still some that say, the worst is still to come…With the benefit of hindsight, the global financial crisis of 2008-09 and the aftermath thereof have shown us that it is becoming increasingly complex to oversee and manage a plethora of interconnected risks that have the potential to devastate organizations overnight
  • What is the clear message here?In April the SEC said that they will announce a new set of measures and control to address this issue. Why, because we are humans and humans are, by nature, greedy… What happened will happen again, its just a matter of time. The question is, will we be ready for it next time!
  • So yeah, we are seeing winds of change alright. What is different about it right now is that it seems to be Global. But change is the only Constant we know of isn’t it? So why panic. I mean think about it for a sec…if we know it is inevitable, why does it seem that we are always caught by surprise?Big Bang… Seldom works. Break it up into pieces and things start to happen… KISSIf it doesn’t work the first time, try something new. And in the process you will discover. How many accidental discoveries have we humans made? As long as change is expected, its okay… but when it is not, we panic. Perhaps that is our nature. Perhaps that’s what we need to be able to innovate. Nobody said it better than Einstein….
  • So, how is the world of a CIO changing?Well, let’s start with Budgets first….well, it should come as no surprise. Resources in this climate is scarce.Transformation is always challenging because it has to deal with People, Process and Culture. This is about behavior.External catalysts may appear unexpectedly without warning. These include fundamental changes in the business climate as a result macroeconomic events (e.g. the recession or is it Depression we live in)Oh, if you are wondering about that character on the top there, and the title of this slide, it’s from a book that I had read a while back that deals with Change. In fact, this book is arguably, the #1 best selling book on change. Written by Dr. Spencer Johnson
  • The Discipline of Market Leaders written by : Michael Treacy and Fred WiersemaOperational Excellence customer proposition is simple: low or lowest price and hassle-free service Wal-Mart, McDonalds – ToyotaProduct Leadership offer products that push performance boundaries - Example Mercedes Benz Intel, Nike, 3MCustomer Intimacy is about delivering what specific customers want -Airborne Express, Hotels
  • The CIOs Agenda In Turbulent Times By Tariq Elsadik

    1. 1. The CIO Agenda in Turbulent Times<br />CIO Middle East Strategies<br /> Tariq Elsadik <br />CGEIT, CISA, CISM, CISSP, MBCS, BS7799 LA, EFQM LA, ISO 20000 Consultant<br />Chief Information/Excellence Officer<br /> <br />
    2. 2. The Scene<br />Opportunities<br />Approach<br />The Challenge<br />
    3. 3. What would you do when you are confronted with …<br />
    4. 4. 2007 – 2009 Global Financial Crisis<br />According to the IMF<br />The Global economic slowdown is so severe that the world economy will contract for the first time in 60 years<br />
    5. 5. Slide 5<br />Don’t just panic, chart your course of action<br />
    6. 6. Driven by greed…<br />
    7. 7. The Winds of Change have blown indeed…<br />Change is the only Constant<br />Change isn’t only about the Big things, but about a series of little things<br />Change is disruptive but at the same time presents opportunities<br />The Whole of Science is nothing more than a refinement of everyday thinking<br />
    8. 8. The Scene<br />Opportunities<br />Approach<br />The Challenge<br />
    9. 9. the<br />main<br />challenge<br />
    10. 10. “<br />INSANITY: doing the same thing over and over again and expecting different results<br />Albert Einstein<br />”<br />think outside-of-the box<br />
    11. 11. IT / Business Culture<br />Every organization has an alignment culture between the business and IT, and each is as unique as the organization itself. It can be: <br />collaborative or argumentative, <br />structured or unstructured. <br />An integral part of the business planning and operational processes or added on to as an afterthought. <br />It can be ingrained or it can be reactive<br />Slide 11<br />
    12. 12. Come to terms with the Business View<br />The Value Question: Do we have?<br /><ul><li> A clear and shared understanding of the expected benefits
    13. 13. Clear accountability for realizing the benefits
    14. 14. Relevant metrics
    15. 15. An effective benefits realization process</li></ul>The Strategic Question: Is the investment?<br /><ul><li> In line with our vision
    16. 16. Consistent with our businesses principles
    17. 17. Contributing to our strategic goals
    18. 18. Providing optimal value, at affordable cost, at an acceptable level of risk</li></li></ul><li>Come to terms with the IT View<br />The Architecture Question: Is the investment?<br /><ul><li> In line with our architecture
    19. 19. Consistent with our architectural principles
    20. 20. In line with other initiatives</li></ul>The Delivery Question: Do we have?<br /><ul><li> Effective and disciplined service management
    21. 21. Competent and available technical and business resources to deliver the required capabilities</li></li></ul><li>Who Moved My Cheese?<br />IT Budgets are under increased Pressure<br />Nimble but…Transforming an organization is always challenging<br />Change Drivers … External= Urgent (Macro) vsInternal= More Time. <br />Expectations of service will not reduce, but support for investment, training, people development will.<br />Business / IT Alignment … is still very much an Open Issue <br />Passion to get things done and challenge the status quo<br />
    22. 22. The IS<br />
    23. 23. KnowThyValue-Proposition<br />The CIO span of influence and accountabilities have been changing and expanding. Yet, perhaps the greatest opportunity to be an invaluable strategic partner lies ahead <br />Operational Excellence Success Principles<br />
    24. 24. Market<br />Environment<br />Suppliers / Customers<br />Interact with<br />Business Services<br />Business<br />Environment<br />Governed by<br />Business Processes<br />Executed by<br />Business People<br />Applications<br />Processes<br />People<br />Infrastructure<br />Enabled by<br />IT<br />Environment<br />IT Services<br />Developed Through<br />AligningBusiness & IT Goals<br />Interaction <br />Flow<br />Enterprise Spread<br />
    25. 25. SMARTObjectives<br />Strategy for Success<br />BU Strategies<br />Co. / Unit<br />Vision / Mission / Business Goals<br />President / CxO<br />Objective: <br />Define a Set of Top Objectives to be cascaded throughout the organization<br />Alignment<br />Top Down / Bottom up<br />Leadership Layer<br />Objective: <br />Define set of Objectives relevant to strategy and cascade to relevant areas<br />Alignment<br />Top Down / Bottom up<br />Units<br />Objective: <br />Define set of Objectives relevant to strategy and cascade to relevant areas<br />Department 1<br />Department 2<br />Department n<br /> Tariq Elsadik- Slide 18<br />
    26. 26. Business Environment<br />Leadership Support<br />Business <br />drivers<br />Resources<br />Organization Culture<br />Business<br />Goals<br />Execution<br />Model/Tool<br />IT <br />Business<br />Strategy<br />Structure<br />Operating <br />Model<br />Learning & <br />Innovation<br />Feedback<br />IT<br />Value<br />Delivery<br />Value<br />Statements<br />(IT Goals)<br />Blueprint<br />Technology<br />Trends<br />Performance Measures<br />Risk Management<br />A Conceptual Delivery Model<br />Project-Based <br />All IT resources are centralized under a single reporting structure with centralized resource allocation (staffing). The organizational structure is built around resource pools. Line managers are replaced by resource managers.<br />Centralized<br />IT is centralized under a single enterprise CIO. All IT systems and budgets reside at the corporate level.<br />Decentralized<br />IT is decentralized by business unit, operating group, subsidiary, or geography. Each of these entities has its own CIO, IT organization, and IT budget. There is little or no attempt to coordinate across units or with corporate. Corporate IT supports the corporate HQ staff and perhaps some enterprise wide applications.<br />Federated<br />IT takes on a hybrid structure. A centralized IT organization supports all infrastructure and enterprise wide applications, usually in a shared services environment. Individual business units maintain their own applications development organizations and budgets for BU- specific systems.<br />Source: Forester Research - 2005<br />Decision Making Process<br />Reduce costs<br />Sustain market share<br />Improve customer satisfaction<br />Grow revenue<br />Enablenew products and/or services<br />
    27. 27. The Scene<br />Opportunities<br />Approach<br />The Challenge<br />
    28. 28. GARTNER : “Meeting the Challenge – The 2009 CIO Agenda<br />As enterprises face a challenging economic environment, IT spending budgets will be essentially flat with a planned increase of 0.16 percent in 2009, according to results from the 2009 CIO (1,527) survey by Gartner<br /> Tariq Elsadik- Slide 21<br />
    29. 29. Global Survey on IT Governance<br />Realizing the Real Problems<br />Take Home: When all aspects of the problem are taken into account, the most important <br /> problems are:<br />Staffing Issues<br />Service Delivery<br />Proving the Value of IT<br />
    30. 30. Practices that returned the most value<br />Observation: It is clear that the most pragmatic/practical practices are indeed the most popular.<br />
    31. 31. Organizations use well known Frameworks<br />What (IT governance) solutions/frameworks do you use or are you considering using?’<br />
    32. 32. Investment Decisions<br />
    33. 33. The Scene<br />Opportunities<br />Approach<br />The Challenge<br />
    34. 34. Remember me?<br />
    35. 35. Slide 28<br />How do we approach IT Governance?<br />To<br />From<br />
    36. 36. Make IT happen<br /> Tariq Elsadik- Slide 29<br />
    37. 37. Make IT happen<br /> Tariq Elsadik- Slide 30<br />
    38. 38. Words of Wisdom<br />Mindsets have shifted!<br />No one said it better than a C-level business executive from the travel and entertainment industry:<br />“I do not want IT solutions to be just about productivity and efficiency gains. If we are notproductive and efficient at this point, we are in the wrong business. <br />I need my IT colleaguesto be real business partners and bring solutions that will enable our company to win newbusiness, convert more prospects to customers, increase our market share, and get into thenew markets. <br />I need IT to be a true business partner, not a cost centre.”<br />
    39. 39.<br />