WHY COMPANIES STRUGGLE WITH IT STRATEGIC PLANNING

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1 WHY COMPANIES STRUGGLE WITH IT STRATEGIC PLANNING AND HOW TO FIX IT B L A K E A B D E L L A M I N N E S O T A I T S Y M P O S I U M O C T O B E R 2 3, Sponsored by:

2 KEY OBJECTIVES IT Strategic Planning Understand why we struggle Learn tools & techniques to be more effective Address your questions Call out Leave box for session blake with techniques you will put into practice!

3 MY EXPERIENCES Technology Director of Application Development & Infrastructure Director of operations that leveraged technology Business Planning Strategy Development Managed Strategy Execution (PMO) Director of Strategic Planning Lead Small Business Development Center Company Size Multi-billion to Very Small Call Experienced out box for with blake large and small organizations, within and outside IT

4 Ongoing Process KEY DEFINITIONS Strategy Strategic Planning Process A Decision about future course & direction Understands Current State That guides actions in achieving goals Implements the Roadmap Achieving Business Goals & Objectives Defines a Descriptive Future State To Create competitive advantage & longterm value Develops a Rolling Plan of Action Defines Strategies to Guide Actions Call Make out sure box you for are blake clear on how your organization defines these terms

5 EXAMPLES OF STRATEGY From high touch to self service IT services support model From IT as a provider of all services to IT as a broker/partner of services Deploy cloud solutions where greater service levels, reliability, security and consistency are achieved at a similar or lower overall cost Call Remember out box for we blake are talking major course and direction decisions

6 WHAT S YOUR STRATEGIC PLANNING SITUATION? Is it important to your organization? Do you have a process? Does your organization do it well? How do you know? Is the plan effectively executed? Do you realize the full benefits articulated in the plan? Call out box If some for blake of your answers are no, you are not alone

7 TODAY S IT REALITIES $ Spend Trillions on IT Majority of spend for Keeping Lights On Faced with Increasing backlogs Perceptions of IT On their own agenda Slow to respond Constraining A cost to manage Call out IT is not box seen for blake in the most favorable light in many organizations

8 TODAY S IT STRATEGIC PLANNING REALITIES 3% % of CIO s that feel IT and business strategies are fully aligned Corporate Executive Board 2 January 13, 2013 Computer Weekly.com Call out box Many for organizations blake struggle with IT Strategic planning

9 IT Planning Business Planning REASONS FOR INEFFECTIVE IT STRATEGIC PLANNING Independent Events Focus on deploying technology Strategy Development Strategy Execution Lack process, enabling tools, & right skills Fail to emphasize strategy execution Call Are out box any for of these blake reasons you would use for your organization?

10 IT Planning Business Planning PLANNING EFFORTS ARE INDEPENDENT EVENTS IT not asked to participate IT doesn t engage business Lack a common language Lack a common process Results in IT not supporting business (not doing the right things) Not leveraging IT capabilities (not doing things right) Independent Events Call Independent out box for disjointed blake plans lead to inefficient and ineffective plans

11 LACK PROCESS, TOOLS, OR SKILLS TO BE EFFECTIVE STRATEGIC PLANNERS Process too complex Treat as event, not a process Fail to engage right skills Lack tools to communicate About the business About technology Strategic intention Lack tools to measure progress towards ultimate objectives People Tools Process Call Lack out of box process, for blake tools, and skills result in inefficient, ineffective plans

12 BELIEVE TECHNOLOGY OR ARCHITECTURE PLAN IS THE STRATEGIC PLAN Puts focus on technology rather than enabling business capabilities Fails to engage the business in meaningful way Takes more than technology for success Call out box Technology-only for blake plans are dismissed by the business

13 FAIL TO RECOGNIZE IMPORTANCE OF STRATEGY EXECUTION Strategy Development Strategy Execution Poor execution more common than poor strategy Don t address capabilities to execute Don t make plans easily understood Don t integrate with other plans (financial, operational) Don t tie to area and personal goals/objectives Call Without box capabilities for blake to execute, plans unlikely to meet expectations

14 Business Planning WAYS TO BECOME MORE EFFECTIVE AT IT STRATEGIC PLANNING Simplified process, enabling tools, right skills Strategy Executio n Strategy Developme nt Converged Business & Technology Planning Emphasize Execution Focus on enabling business capabilities Call By out focusing box for on blake these areas, overall plan effectiveness will increase This work is licensed under a Creative Commons Attribution-ShareAlike 3.0 Unported License.

15 Business Planning ESTABLISH IT STRATEGIC PLANNING AS AN INTEGRAL PART OF BUSINESS PLANNING Converged Business & Technology Planning Ask to participate If not, meet with business leaders to learn Key strategic objectives Impactful business benefits How they see IT enabling What concerns they have Ask others to review your plan Focus on enabling business capabilities Align operating plans Call out Integrate box for strategic blake planning so IT is part of the business plan

16 UTILIZE A SIMPLIFIED PROCESS, ENABLING TOOLS, AND PEOPLE WITH THE RIGHT SKILLS Planning should cover people, process and technology; answering What are current capabilities? What must the business be in order to succeed? What capabilities will enable success? What is roadmap to build capabilities? What must be done to ensure execution? People Tools Process Call Continually out box asking for blake and answering these questions keeps plan relevant

17 UTILIZE A SIMPLIFIED PROCESS, ENABLING TOOLS, AND PEOPLE WITH THE RIGHT SKILLS Make it a continual process Clearly and frequently communicating Realigning strategy and efforts Keep plan rolling Ensure people have skills Creative Promoting Make decisions and trade-offs Action oriented Availability is not a skill! People Tools Process Call Create out box an ongoing for blake process supported by people with the right skills

18 UTILIZE A SIMPLIFIED PROCESS, ENABLING TOOLS, AND PEOPLE WITH THE RIGHT SKILLS Leverage tools to enable effective communication Pictorial Roadmaps Maturity Models Services portfolio maps Physical, process, information flow diagram Plan on a page Strategy Maps Leverage tools to enable effective strategy development SWOT Analysis Maturity Model PEST Trend Analysis People Tools Process Call out Use box tools for to blake effectively enable the strategic planning process

19 EXAMPLES OF TOOLS Pictorial Roadmap Maturity Models Call out box Visual for tools blake are often effective communication tools

20 EXAMPLES OF TOOLS Maturity Level Descriptors Call out Describe box for blake levels of maturity in easy to understand terms

21 EXAMPLES OF TOOLS Portfolio Maps Physical, Process, Information Flow Supply Chain Entity Supplier R&D Sales Purch. Mfg Dist Cust Physical Flow Process Flow Information Flow Business Critical At Risk Business Critical Healthy Non-Critical At Risk Non-Critical Healthy Call out box for Use blake tools to explain simplicity or complexity

22 STRATEGIC PLAN IS ABOUT BUSINESS CAPABILITIES ENABLED BY IT Focus on enabling business capabilities Engages business in a way they understand Leverage IT capabilities as enablers Plan must Establish Vision Clarify path forward Address skills required Address resources required Align incentives Agility Scalability Security Service Business Capability Efficiency Dependability Mobility Call Strategic out box plan for as blake an enabler of business capabilities leads to success

23 PLACE EMPHASIS ON STRATEGY EXECUTION Strategy Execution Strategy Development Effectively communicate the plan Plan on a page Pictorial representation Establish metrics to track progress towards objectives Maturity Model Balanced Scorecard Assign accountability Project management Progress tracking Benefit realization Issue resolution Plan refinement Plan refresh Call With out capabilities box for blake to execute in place, plans become more effective

24 PLACE EMPHASIS ON STRATEGY EXECUTION Strategy Execution Strategy Development Ensure goals, objectives and outcomes cascade Synchronize strategic plan with other plans Financial Operational Human Resource Review plan on routine basis Progressing as planned? Assumptions still valid? Call With out capabilities box for blake to execute in place, plans become more effective

25 Business Planning EFFECTIVE IT STRATEGIC PLANNING Simplified process, enabling tools, & the right skills Strategy Executio n Strategy Developme nt Converged Business & Technology Planning Emphasize Execution Focus on enabling business capabilities Call By out focusing box for on blake these areas, overall plan effectiveness will increase This work is licensed under a Creative Commons Attribution-ShareAlike 3.0 Unported License.

26 Call out box for blake QUESTIONS & ANSWERS

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