Chapter 1 – Perspectives
The 5 × 7 Business Technology Strategy
The 5 × 7 Business Technology Strategy is a consulting practice which aims to help the organizations to optimize their technology investments. Going through the strategy I found that some of the steps can be particularly effective. Segmenting the operational and strategic layers of business will surely help in effective management of resources. Decentralization and private hosting of the website will also help in the daily and easy upgrade to the website. One of the steps which I feel the most important is assessing the present as well as future security threats and being prepared to handle them effectively. The above three steps are the most important part of the strategy and help the company to optimize their technology investments.
Revisiting the “IT Doesn’t Matter” Argument
The “IT Doesn’t Matter argument” argues that since the technology playing field is now leveled as informatics technology is becoming more and more commoditized giving equal access to all the companies, the technology’s strategic impact is negligible and doesn’t matter. However, this argument cannot be farther from the truth. The argument falters as it does not differentiate between operational technology and strategic technology. Yes, the operational technologies are becoming more and more commoditized, but this only provides companies with more opportunities to free themselves operational responsibilities (by outsourcing) and focusing more on strategic technology. Now companies can make use of their time and resources to use IT creatively for furthering their strategic plans. The better they use is the bigger strategic advantage they will gain over their competitors.
Ten Things IT Should Tell Management
Ten things IT should tell management takes a funnier shot at explaining an important discussion; what should IT say to convey its importance to the management? The ten things are funny but not very effective in my opinion. Although argument can be made that, the ten things were supposed to just counter the silly article published by Wall Street Journal (Ten things Your IT, 2007), I believe that the silliness should have been best argued with the seriousness of the issue.
Ten “New Rules” for IT
The ten ‘New Rule” for IT seems to touch upon some important points. I do believe that it is now easier and more viable to rent software than going through the whole process of buying and implementing it. Companies should put its fear down and focus more on using digital products and going digital. Going digital and outsourcing has its risks but the benefits weigh way more than the risks.
Ten Questions for Everyone
Ten questions for everyone focus on one of the most important points when it comes to the integration of technology; the cost involved and the return of investment. Asking the question will help a company decipher their total expenditure on technology and help them to understand whether they are spending less or more than their competitors in the same field, the areas in which they are spending and whether such expenses are required or not.
Still Too Many Dollars
The segment focuses on expenses pattern of the businesses when it comes to technology. Considering the reports from various agencies, the business world spends way more than what is required. This has resulted into the segmentation of the business world. One which totally avoid spending on technology and one which considers it as a necessary evil and spends a lot more than required. Both the world needs to understand that technology is necessary but not an evil. Businesses will have to judiciously utilize their resources and spend them on what is required and not on everything in the name of technology.
Preparing for the Tsunami
This segment focuses on the changes the technology companies are going under and will go under in future and how to cope with these changes effectively. Companies will consolidate through acquisition and mergers, the software will develop as a service, the stigma against Open Source software will go down, a surge in wired and wireless communications will happen. These are few among the many changes the author mentioned. Looking back one can say that, this exactly has happened. The companies which were flexible and worked on the preparations mentioned have survived and the ones which did not prepare are no longer in operation.
IT’s All about Processes
Does Any of This Sound Familiar?
This describes a discussion between the CEO, CFO, CTO, and other top level executives with a facilitator (Author in this case) regarding the problems involved with the adoption of technology in the business. Although I have never been to a board meeting, the conversation does feel like something which might have happened before in some other circumstances. The language is a bit too informal to my taste.
Markets, Pills, and Timing
That Was Then, This Is Now
Here author talks about the market crash which occurred in the 1990s due to over spending on the technology. I do not think a company should base its decision of acquiring new technology on a past event. I agree with the author’s take on this matter. The crisis taught companies to be more careful with their investment. Today, adoption of new technology has become a necessity for any company. If they are prudent with their decisions, there is a very less probability that the 1990s will repeat itself.
Trends That (Really) Matter
Here author tells the companies to focus more on the trends that really matter and not waste their time in keeping up with unnecessary news. A company should focus more on the macro trends such as regulatory trends, supply-chain trends, sourcing trends, architecture trends etc. and not on the trivialities such as new version of the SAP or Microsoft office. I think the author has made a great point here. The macro trends help us to gauge the future of technology and business. It will help a company to keep track of the trends and to be prepared for any upcoming changes.
What They’re Doing
Here author talks about the plans of some of the CIOs of fortune 500 companies, to generalize what actually was going inside a CIO’s mind. Most of the CIO’s plans revolved around optimization, cost-effectiveness, creative sourcing and acquisition and management of standard technology layers. I feel this line of thinking is a step in the right direction. But only wishful thinking cannot be enough. Until the plans are converted into actions nothing fruitful can come out of it.
Business Technology Trends to Worry about
Collaborate/Integrate: What to Do about Business Technology
Collaboration and Integration is a necessity for any business to succeed. The same stands true when it comes to business technology. Until and unless all the arms of business technology collaborate with each other it will result in implementation failure. Integration is as necessary as collaboration. Application and internet integration will help in the real-time transfer of data and also in making the process more automated.
Strategy, Anyone?
What are your biggest takeaways from this chapter?
My biggest takeaways from this chapter will be the establishment of the fact that Informatics Technology is as important and relevant today as it was ever. The only thing we have to change is our thinking when it comes to implementation of the technology. As an IT manager, one should not blindly crumble under the market pressure and invest in any form of technology but should analyze his company’s requirements and invest in only those technology ventures which are useful for his company. An IT manager should always keep an eye on the macro trends of the market and be prepared for any unforeseen changes. Lastly, an IT manager should always focus on the integration of its resources and make the process as automated as possible for taking the most out of its technology investments.
How long did this assignment take you to complete?
It took me one day to complete this assignment.
References
Andriole, S. J. (2009). Best practices in business technology management. Boca Raton: Auerbach Publications.
