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© GamingWorks© GamingWorks
Business & IT Alignment
From theory to practice
The number 1
SUCCESS or
FAIL factor for
ITSM
© GamingWorks
Business & IT alignment trends
Why we keep failing
The top ABC BITA issues
A case using a simulation as ‘enabler’ – how to get the business engaged and create buy-in
AND commit to improvements...
IT an enabler? ….or a chain around the neck!
The increasingImportance of
IT….
© GamingWorks
Business & IT productivity
IT and Business alignment
Business agility &
speed to market
Business process
management & reengineering
IT cost, reliability & efficiency
and security
Increasing impact
ITSM as a strategic capability
Growing importance,
& dependency
Poor ability to execute
CobIT
ISO27..
20..
ITIL
Prince2
PMIDevOps
ISO38..
BiSL
KT
Togaf
Scrum Agile
CIO needs:
Nr 5: Leadership developmentand staff training
IT Transformation“….from Internal focus to outside-in, business focus and a Customer and Service culture…….”
Trends shaping the Future of ITSM
© GamingWorks
The increasing importance of IT......
© GamingWorks
Strategic Assets
People
Our IT peopleare becomingCritical assets forBusiness growth and continuity
…you mean HEis a Critical Asset?!!Boy are we indeep Doo Doo !...
…you mean HEis a Critical Asset?!!Boy are we indeep Doo Doo !...
…you mean HEis a Critical Asset?!!Boy are we indeep Doo Doo !...
ITSM a Strategic Asset!
© GamingWorks
The NEED to engage the business….
ITSM as a STRATEGIC Asset
Business & IT Integration……
Engage with the business…
Effective ITSM cannot
happen without the business!
2nd largest reason for ITIL fail in Forrester report.29% Lack of business involvement or interest
Q?19961996
OGCITIL
Book
OGCITIL
Book
Understanding
&
Improving
Understanding
&
Improving
1996
OGCITIL
Book
Understanding
&
Improving
© GamingWorks
The bad news….
Alignment still an issue
80% of business managers stated the importance
of IT in delivering Value in terms of lowering costs,improving productivity, acquiring and retainingcustomers
Only 15% of IT leaders said they were aligned.
Top 3 in Luftmans investigation
Understanding of IT by the business
Building Business skills in IT
Business & IT change management
IT solutions & Projects
70% IT Projects over Time, Budget orfail to deliver value
ITSM a Strategic Asset!
© GamingWorks
A SERVICE
is a means of
delivering
VALUE to customers by
facilitating OUTCOMES
customers want toachieve withoutthe ownership of
specific
COSTS & RISKS.
ITIL® Service Strategy, TSO
Why are we going wrong?
Q?
© GamingWorks
Experiential learning, Learning by DOING
Translating Theory intoPractice
Knowledge:
Expertise and skills acquired through
experience or education;
the practical or theoretical undertanding of a subject.
How can we effectively train people?…..and confront them with ABC?
© GamingWorks
Using a simulation to address BITA
Using a simulation as a PILOT project.
Forrester
Pilot initiatives. Business & IT
working together focusing ondelivering value.
Bringing Business & IT people
together
Confront each other with attitude and
behavior
Working together to find a solution
Better understanding of each other
Agree improvement actions and
ownership
Customer wanted to raiseITIL maturity to level 3.
More aligned to business
Develop more business awareness & skills in IT
Show business value of
ITIL
© GamingWorks
A Business & IT alignment case experience
Business Manager
IT Management
BusinessSimulation
Game Leader
CEO
Supplier
© GamingWorks
Business IT
Noboby has a
Shared view of
Value, OutcomesCosts & Risks
They both
know the
BITA trends and why they
are here…
© GamingWorks
Lack of ownership/initiative
for bridging the gap.
Lack of trust
Who’s job
Is it to break
Through this?
© GamingWorks
Business Strategy
Not shared or Communicatedin time or clearly
You need to
ensure we can
sell Pizzasover the web
and achieve
our superbowl
targets
IT doesn’tUnderstand
what this meansto them or how
they can contribute
The businessforces its prioritychanges through
© GamingWorks
No Business priority & investment mechanism.
What delivers the most value?
© GamingWorks
Meanwhile…..
We need to make
Changes…….
Disks, servers, knownerrors, bugs,
throughput, speedTransactions, backbone….
…faster,newer, more powerful..
IT is busy looking
at the infrastructureIT
Infrastructure
What Planet doesIT come from?
What language
do they speak?
Businessmanager
It is unable to make
the business case
for it’s changes
No link to BusinessValue, Outcomes, Costs or Risks
© GamingWorks
Inability to translatetechnology opportunities into
Business opportunities
400 US Govt agencies estimated$25 billion waste
125 UK CIOsestimated 3.5
Billion wasted
© GamingWorks
IT tries to plan all
the business changes….
low business involvement& testing…
Change
calender
IT supportIT changes not made
…capacity fills….
…impact of poor changes felt…..
IT is firefighting and
forgets the business…
Business is unawareand not involved
‘Just like reality’ said the CIO and the business
© GamingWorks
Lack of operational
fit & engagement
82% in a survey saidthey were losing money
Because of testing
failures….
© GamingWorks
Increased incidents &outages…..
Infrastructure not maintained IT Support
IT Reports
IT metrics are
internally focused…
no relationto business .
Why am I
losing money?
What happenedto my strategy?
Businessmanager Business value
and outcomesnot achieved
© GamingWorks
Lack of shared view
on strategy alignment& realization
© GamingWorks
0 5 10 15 20 25
Higher IT costs
Delays in deploying IT solutions
Higher operating costs
Threats to business continuity
Lost business opportunities
Poor IT investment decisions
Decreased staff productivity
Damaged business reputation
Solutions don't meet business needs
Dissatisfied customersWhat is the
impact of all
This worst practice?
© GamingWorks
SLM to focus not only on BRM but willtranslate into IT understanding and capability
CAB – more advisory role ‘Impact assess with
business’ – balance decisions on VOCR
Process managers – pragmatic approach to
CSI – improvements focused on VOCR
More investment in Problem management asresult of ‘Agile’ Project focus
Deploy Service portfolio management to help
business and IT gain better understanding andhelp prioritize
Customer take-aways
• Current programwrong focus
• Big change inattitude…..
WOW! I didn’trealize!...
• Shared goalsand commitmentto deploy
• Better understandingof each other
© GamingWorks
Making ITSM as a STRATEGIC Asset
Effective ITSM cannot
happen without the business!
2nd largest reason for ITIL fail in Forrester report.29% Lack of business involvement or interest
Taking the first step……….
© GamingWorks
What if we(you) do nothing?
Is this the your
Business & IT alignment
Strategy?
© GamingWorks
What can you do?‘Knowledge translated into changed behavior,
to generate outcomes’
Lets make Monday
the 1st National
‘GO & meet a USER day’
Ask everybody in your IT org, what is definition of a
Service…then tell them in the context of YOUR organization
Invite business to come and present to IT
Use interactive sessions with business. Such as ABC workshop or use a simulation – explore, change attitude, agree behavior change.
Start showing, marketing V,O,C,R gains – build TRUST &
CREDIBILITY
Send EVERYBODY in IT into business for 1 day, then have
them present findings to team – V,O,C,R?
© GamingWorks
The FUTURE is
YOUR’S to decide….
