Manage IT as a Business book cover

Manage IT as a Business

How to Achieve Alignment and Add Value to the Company

Many IT projects fail to deliver the benefits to the business that were promised. Yet IT managers and staff work hard to meet the needs of the business: Systems are put in place; network operations are reliable and stable. The cause is usually a misalignment of IT with the business. In this book, Bennet Lientz and Lee Larssen present over 200 specific, practical guidelines and steps that show how to: align IT and the business, develop methods that make IT more proactive in helping the business, more effectively manage vendors, avoid negative surprises, ensure that more projects are completed on time and within budget, among other things. The techniques in this book have been implemented in over 60 organizations around the world and in over 20 different industries, and the authors include several examples in each chapter to illustrate their points. Follow these proven recommendations to manage IT as a business that adds value to the company.

Audience
IT Directors, Managers, Consultants, and Staff

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Published: August 2004

Imprint: Butterworth Heinemann

ISBN: 978-0-7506-7825-4

Contents

  • IntroductionIssues with Information Technology and ManagementSome Past Attempts at Improving ITEfforts at Improving Business ProcessesA Brief Review of IT ManagementTrends and Challenges in IT GovernanceA Winning Approach to IT GovernanceBenefits of the ApproachOrganization of the BookAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for the IT OrganizationSummary2. IT Oversight and GovernanceIntroductionGeneral Purpose and Scope of OversightThe Role of Business ProcessesThe Missing Roles of IT Governance that Cause Business FailureModern Governance of ITModern Roles and Responsibilities of ITModern Roles and Responsibilities of Business UnitsIT Governance and Business Vision, Mission, and ObjectivesBenefits of Effective IT GovernanceAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for IT Oversight and GovernanceSummary3. Technology Assessment, Management, and DirectionIntroduction10 Myths about TechnologySteps in Technology ManagementAssess Your Current TechnologyIdentify and Track of New TechnologySelect the New TechnologyDevelop a Framework for Technology Implementation and Support Implement the New Technology Critical Success Factors for Technology ManagementAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for Technology ManagementSummary4. Develop the Strategic IT PlanIntroductionMeasure Current ITReview the Business Plans and Business DirectionDevelop the IT Strategic PlanRelate the Strategic IT Plan to the Business UnitsIT Planning GuidelinesGet the IT Strategic Plan and Action Items ApprovedResource Management and AllocationUpdate Your IT Strategic PlanAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for IT PlanningSummaryPart II: Manage the People and the Work5. Manage Risk and the Project PortfolioIntroductionWhere and How IT Projects OriginateAssess Current ProjectsProject Evaluation and SelectionComprehensive Resource AllocationSet Up a Winning ProjectDefine the Role of ManagementReport on the ProjectHold Project MeetingsImplement Collaboration in ProjectsTrack ProjectsAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for Risk and Project ManagementSummary6. Manage the IT StaffIntroductionEvaluate the Current StaffRecruit and Hire New IT EmployeesAllocate Personnel ResourcesBuild a Collaborative IT CultureMotivate IT EmployeesDeal with Personnel IssuesUpgrade Skills of Junior EmployeesAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for IT StaffingSummary7. Manage the WorkIntroductionCheck on Work InformallyAssess Your Methods and ToolsOrganize IT Work EffortsReview Work and Project MilestonesDeal with IssuesUse Lessons Learned EffectivelyDecide on the Approach for DocumentationIntroduce New Methods or ToolsAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for Work ManagementSummaryPart III: Direct and Coordinate IT8. Coordinate Business Unit ActivitiesIntroductionCollaborate on Defining the Roles of Business Units in IT Create Long Term Process PlansDevelop a Business Unit IT StrategyDefine and Support the Business Unit Role in ITProvide Effective End User SupportAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for User RelationsSummary9. Direct Outsourcing and Manage VendorsIntroductionSome Examples of Outsourcing Success and Failure Pursue an Organized Approach to OutsourcingDevelop an Overall Outsourcing Strategy Determine What is to Be OutsourcedPrepare for OutsourcingPrepare the Request for ProposalSelect the Right VendorsPlan and Execute the Transition of WorkPerform the Transition of the WorkManage the OutsourcingManage Multiple VendorsAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for OutsourcingSummary10. Communicate with ManagementIntroductionImplement Collaboration in Management CommunicationsUse Informal CommunicationsMake Formal PresentationsPresent the Overall Status of ITPresent the Status of an Individual ProjectAddress a Specific IssuePropose New WorkPresent an IT Budget Communicate with Business Unit ManagersAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for Management CommunicationsSummary11. Software Packages and System DevelopmentIntroductionEvaluate the Process and System and Determine RequirementsMake the Buy or Build DecisionEvaluate and Select the Software PackageImplement the Software PackagePerform Software DevelopmentCarry Out Data ConversionProduce Operations Procedures and Training MaterialsConduct the TrainingGain User AcceptanceAlignment of IT and the BusinessManage RiskExamplesLessons LearnedPerformance Measures for Packages and DevelopmentSummary12. Implementing Change in IT ManagementIntroductionImplement New Roles and Responsibilities for ITInstill Greater CollaborationMeasure What You Have, Do, and Where You Are GoingBecome Issues FocusedImplement More Dynamic Resource AllocationBecome Process OrientedAlign IT and the BusinessRedirect IT ResourcesDeal Effectively with Resistance to ChangeExamplesTactics for ImplementationPerformance Measures for ImplementationSummaryPart IV: Address Specific Challenges13. Personnel and Staffing IssuesIntroductionIT Staff Turnover is HighIT Morale is LowThere is Poor Communications between IT and UsersToo Much Critical Work Depends on the Same Few PeopleIT Staff Members Work in IsolationSupervisors Lack Management Skills14. Systems and Technology IssuesIntroductionThe Wrong Technology is SelectedThere are Integration Problems with the TechnologyThe Technology Does Not Deliver ResultsThe Technology Was Imposed on UsLegacy Systems Consume Too Many Resources and Are InflexibleThere is High Backlog of Work15. Management IssuesIntroductionManagement is Not Involved in ITSome Managers are Overinvolved with ITManagement Places Unrealistic Demands on ITManagement Falls under the Influence of VendorsManagement Changes DirectionMiddle Level Managers Resist IT Efforts16. Business Unit IssuesIntroductionThe Wrong Employees Are Assigned to IT Work and ProjectsEmployees Resist ChangeThere are Too Many Exceptions and WorkaroundsThere are Shadow Systems in the DepartmentSeveral Business Departments Do not Get AlongThere are Problems with the Business Rules and Policies17. Vendor and Outsourcing IssuesIntroductionVendor Performance is PoorThere is Substantial Turnover of Vendor StaffMultiple Vendors are FightingThe Vendor is Not Managing Their WorkThere is a Difficulty in Transferring Knowledge from the VendorThere are Problems in Vendor CommunicationsThe Vendor Has a Close Personal Relationship with a Senior ManagerAppendicesA. Magic Cross ReferenceB. ReferencesC. Web SitesIndex

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