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 Alexandra Bleitz  Matthew Clabaugh  Mingjie Li  Choong Kwan Kang 1.

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Presentation on theme: " Alexandra Bleitz  Matthew Clabaugh  Mingjie Li  Choong Kwan Kang 1."— Presentation transcript:

1  Alexandra Bleitz  Matthew Clabaugh  Mingjie Li  Choong Kwan Kang 1

2  General information about CIOs  Issues facing CIOs  Demographics of CIOs  Turnover rate among CIOs  Business and people skills needed for CIOs  CIO Interviews (4)  CIO Panel Discussion 2

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4 IT ManagementTechnologyPersonal effectiveness Aligning IT and business goals Integrating/enhancing existing systems Shortage of time for strategic planning IT enabled process movement Ensuring data security and integrity Overwhelming back log of requests Business continuity/risk management Business IntelligenceInadequate budget N=568 Source: 5 4

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6  Men outnumber women in all IT 4-to-1  Men represent 85% of IT Leaders, while women represent 15%  The number of female IT leaders are on the decline. Source: 5, 11, 18 N=568 6

7  Many have had degrees in computer science, software engineering, or information systems.  There is a growing demand for leaderships skills, business knowledge, interpersonal skills and strategic foresight which has taken precedence over technical skills.  Critical skills cited by current CIO’s include communicating effectively, Strategic thinking/planning, the ability to lead and motivate staff. Over half of respondents cited management/leadership skills as their primary strength. N=568 Source: 5, 17 7

8  The Federal CIO council developed a list of “high-level competencies” that CIO’s need. Which are to be put to use in selected institutions that train up-and-coming CIO’s.  The final list came to 549 learning objectives in 12 categories.  Concepts included behavioral principles, theories of motivation, visionary leadership, building expertise, performance assessment and retention. Source:17 8

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10  2006 5 years  2005 4 years and 11 months  2004 4 years and 7 months Average State CIO tenure length 26 months Average UK CIO tenure length 3 years 10 N=568 N=50 + N=350 companies Source: 5, 14, 15

11  Acquisitions and mergers  Not fitting into company culture  Groomed techie not used to management  State CIOs not the right party for the job after election (Steve Kolodney, Washington State)  Can’t overcome challenges  Poor performance  Developing role (unstable)  Don’t always know what is required 11 Source: 1, 15, 16, 19

12  Resume building  Jump from job to job  Fix it uppers  Habitual resource fighting  Fight for money to acquire programs  Constantly justify budget  CIO Jeff Loyett at a top law firm 12 Source: 1, 9, 16

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14 Communication/leadership/management skills 52% Business and/or industrial knowledge/experience20% Project management skills/project execution skills12% Deep knowledge of technology 10% Turnaround/change management skills7% N=568 Source: 5 14

15 Ability to communicate effectively71% Strategic thinking and planning51% Ability to lead/motivate staff 50% Understanding business processes and operations43% Ability to influence change in others34% Understanding industry trends and business strategy15% Negotiation skills13% Through knowledge of technology options12% Technical proficiency10% N=568 Source: 5 15

16  Spartan Light Metal Products  CIO Chris Franks  Build-A-Bear  CIO Dave Finnegan  Marvell Asia Pte Ltd  IT Director Vincent Chee  Samsung Heavy Industries  IT Director Boohyung Kim 16

17  Privately held company founded in 1967.  Vision for the future: “The Global Value Leader in Light Metal Technologies- Through Engineered Solutions and Competitive Costs.”  Working with a wide range of manufacturers, from automobiles and trucks to power tools, electronic components and many more. 17

18  1100 Employees  4 business locations: Plants in: Mexico, Missouri; Sparta, Illinois; and Hannibal, Missouri Corporate Office: At Geyer Road in St. Louis, Missouri  Revenues greater than $200 Million  Doubled in size in the past 7 years Spartan Light Metal Products Inc. 18

19  The leading, and only international, company providing a “make your own stuffed animal” interactive retail-entertainment experience 19 Source: 7

20  Major products are the bears but make over 30 different styles of animals with variety of clothing, shoes, and accessories 20 Source: 7

21  Founded in 1997 by Maxine Clark  IPO in 2004  Stores:  Retail (company owned): 293  Franchised (international): 41  Employees:  Full time: 1200  Part time: 5700 Source: 7 21

22  Families with children ages 3-12  Grandparents  Aunts and Uncles  Teen girls with boyfriends 22 Source: 7

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24  Founded -- 1997  Size of MAPL-- 253 employees  Locations of MAPL-- Singapore, one sales representative office in China  Products of MAPL --Chips  Chips for Datacom and Storage.  Datacom includes Wireless, Printer, Video and etc. 24

25  Year of 2003 (Feb 02~Jan 03): US $278 million  Year of 2004 (Feb 03~Jan 04): US $605 million  Year of 2005 (Feb 04~Jan 05): US $934 million  Year of 2006 (Feb 05~Jan 06): US $1,303 million  Year of 2007 (Feb 06~Jan 07): US $1,785 million 25

26  Founded August 5, 1974  10,565 employees  Located in Seoul, Korea  8 overseas branch offices  1 manufacturing subsidiary 26

27  By providing ships and facilities that are safe, environment- friendly, economical and convenient, the company is able to satisfy any and all customer demands for quality. 27

28  Major products:  Commercial, Industrial ships, Cruise and Ferries  Offshore platforms  Digital business  Construction and Engineering 28

29  Sales: $635,169,072  Total Assets: $898,918,471  Capital Stock: $115,493,703  Profit: $212,500,000 29

30 Spartan’s Chris Franks Build-A-Bear’s Dave Finnegan Marvell’s Vincent Chee Samsung’s Boohyung Kim Education:Bachelor of Science in Mechanical Engineering Bachelor of Science in Information Technology Bachelor of Science in Engineering Masters of Science Bachelor of Science in Engineering Work History: Design Engineer Sold computer systems and hardware Developed own company using computers for design and development Information Systems Manager (1990-1996) Systems Engineer/Project Manager (1996- 1999) Director of Inbearmation (1999) Worked in IT department for MAPL Promoted from within to IT Director (2006) Worked in IT department for Samsung Promoted from within to IT Director (2006) 30

31 CEO Vice President of Human Resources Human Resources Chief Financial Officer FinanceDirector of ITIT Division Chief Operations Officer Plant Managers Plants 31

32 CEB: Maxine Clark CWB: Paul Bundonis CMB: Teresa Kroll COB: Scott Seay CFB: Tina Klocke CIB: Dave Finnegan Weekly meetings with CFB CEB CEB and CFB All C-level officers 32

33 Senior IT Director of Marvell CEO of MAPL Financial Controller Sales Director Operation Director R&D Director IT Director 33

34  Reports to the CEO and Executive Director of Management Support  Meet formally twice a month  Usually only sees him during formal meetings 34

35 Spartan’s Chris Franks Build-A-Bear’s Dave Finnegan Time spent on various projects varies from day to day Handles the main (large) IT projects Small size of staff (10) requires his personal help on IT projects Strategic involvement Weekly meetings-Lots of them. Basically spends all his time in meetings and on large IT projects 35

36 Marvell’s Vincent Chee Samsung’s Boohyung Kim Time on projects60%25% Time Training10%5% Time on Maintenance30%5% Time on Management Support X65% 36

37  Started in 2000 as the first director of IT.  10 people on staff that maintains operations at four facilities across the state.  Tech support at each facility  Server and Network Administrators (Manager)  Software development and Programmers  Department handles email, ERP, purchased programs (integration), all hardware resources (servers, laptops, telecommunications, etc), and Special resources for the engineers who develop designs. 37

38  Reports to CFO whom is seen frequently  Meetings are scheduled quarterly with CEO  Yearly IT budget in the range of $2 million  Project costs vary from $5k-$15k  Responsibility of IT decisions:  < 100K: IT monarchy  > 100K: IT Steering Committee (Business Monarchy) 38

39  CIB (Chief InBearmation Bear) is the head  40 employees  Handles:  Service desk (24/7 support)  Contracts with suppliers  Computers, mainframes, routers, servers, etc 39

40  Dave determines the budget each year and then gets approval from the CFB  There is no predetermined range for the budget such as 5% of Revenues  Dave determines what IT projects to invest in then takes it to other C level officers to look at/approve 40

41  Employees: 16 in MAPL and around 50 for Marvell WorldWide  Budget: 1% of revenue of Marvell  Year of 2007(Marvell): US $2,238 million  IT project cost: determined by whether it is a software upgrade/enhancement done internally or by consultants or an equipment upgrade.  Average length of IT projects: 3 to 6 months  IT Projects investment decisions made by CEO and Senior IT Director together 41

42  Employs 31 people and an additional 65 through partnerships  Budget: $20 million  General Expenses: $14.7 million  Investment: $5.3 million  Budget planned every August by the IT department  Reviewed within the department and discussed with financial department 42

43  IT Projects:  Average cost: $200,000~300,000  Average length: Less than 1 year  CIO mainly decides on what projects to invest in but also depends on the size of the investment 43

44 Spartan LMPBuild-A-BearMarvell Asia Pte Ltd Samsung Heavy Industries Employees10401631 Budget≈$2 millionNot specified1% of Revenue $20 million Project Costs$5K-$15KVaries $200K~300K Project LengthVaries≈1 year3-6 months≈1 year ControlReports to CFO Reports to Senior IT Director Reports to CEO Project Decisions Depends on level of spending All decisions made by CEO and Senior IT Director Depends on level of spending 44

45 Spartan’s Chris Franks Build-A-Bear’s Dave Finnegan Marvell’s Vincent Chee Samsung’s Boohyung Kim People skillsDiplomacy: Every department wants a piece of IT Able to align IT strategy to business values Business mind Good mix of technology skills Business Focus: need to look at valued added Create an environment that encourages individual creativity and ownership IT technical mind A good understanding of how the business works Communication skills View change as an opportunity Communication skills 45

46  Getting people to understand the value of IT  Getting adequate resources for IT projects. Getting projects done in reasonable amount of time.  User Security. Security for processes within the company. Solutions: Greater involvement with top business managers to demonstrate value added and provide results. Stay vigilant. Staff has to understand new risks. 46

47  Bandwidth: wants to quicken implementation timelines and overall speed  Security: privacy, identity theft, worms, viruses, etc.  # of projects: Build-A-Bear is a growing company so have many concurrent projects Solutions: Bandwidth: Automate as much as possible, add staff where needed, prioritize projects Security: quarterly reviews, best practice sign off, and external audits Number of projects: try to increase completion speed, but mainly learn to deal with it 47

48  System Outages,  Application performances,  Stability of rollout projects Solutions: System and Application early warning monitoring tools. Stringent application testing process Load simulation 48

49  PI: President Identity  ERP: Enterprise Resource Planning  KMS: Knowledge Management System Solutions: BPM: Business Process Management 49

50 Spartan’s Chris Franks Build-A-Bear’s Dave Finnegan Marvell’s Vincent Chee Samsung’s Boohyung Kim Getting people to understand value of IT BandwidthSystem Outages PI Acquiring adequate resources for projects SecurityApplication performances ERP User securityNumber of projects Stability of rollout projects KMS Which challenges fall under which category: IT management, technology, or personal effectiveness? 50

51  Finding several redundant activities and consolidating programs.  Creating the IT division and overcoming support and staffing issues.  Currently having standard decisions for IT basics. What he would change:  Would have put together a 5-year plan sooner and pressed harder for resources. 51

52  Dave was in charge of acquiring a UK company  Two years prior to inking the deal, Dave was in London testing to see if the company would be a good fit not only for IT but the entire company  Very strategic Role 52

53  Smooth process of ERP establishment on schedule, expected to open in January of 2008.  Managed 400 task force personnel involved in the ERP project  Acquired project management technology and skills through the ERP project 53

54 Spartan LMPBuild-A-BearMarvell Asia Pte Ltd Samsung Heavy Industries The company is running smoothly with no support calls coming in Helping the business to grow and ultimately be more profitable Getting information to people when they need it The ability to lead a team (not just IT people) Real business results: adding value to the company Customer satisfaction: making sure the company runs smoothly Customer Satisfaction Increased worker productivity Innovation Achieving results as scheduled in the project planning stage 54

55 Spartan’s Chris Franks Build-A-Bear’s Dave Finnegan Marvell’s Chee Vincent Samsung’s Boohyung Kim PerceivedTacticalStrategicTacticalStrategic ActualTacticalStrategicTacticalStrategic 64% of CIOs believe that their role is strategic 36% of CIOs believe that their role is tactical 56% of CIOs said that a significant part of their job is strategic planning Source: 5 N=568 55

56 CIOs Present: Ellen Watson: St. Louis University Jim Tom: University of Missouri St. Louis Andrew D. Orstadt: Washington University Larry Haffner: Webster University Hosted By SIM St. Louis 56

57 Ellen Watson: – Librarian/Cataloger – Professor – Dean of Librarians – Integrated Infrastructure and Content Jim Tom: – Mostly Research Background – Analyst – Chief Application Officer – 3 years at UMSL 57

58 Andrew D. Orstadt: – 8 years experience as CIO in construction – Analyst – Hired to organize and save money, worked at Washington University for 1.5 years Larry Haffner: – Worked in higher education all of his career – Has worked at Webster for 5 years – His role is anything to do with technology 58

59 Ellen Watson, SLU: – 110 full time employees, 45 decentralized IT workers Jim Tom, UMSL: – 80 full time employees, 50 student workers Andrew D. Orstadt, Washington U.: – 140 full time employees, 50-60 student workers for structure, customer service, and running data centers Larry Haffner, Webster: – 65 full/part-time staff including specialized faculty, 50 student workers. 59

60 Ellen Watson, SLU: – Not as much innovation. – SLU wants to be an early follower, not on the cutting edge. – Buys technology 99% of the time Jim Tom, UMSL: – Push ourselves to look at innovation, as well as if the “trains are running on time”. – Encouraged online courses. Use a laddering approach to encourage use of new technologies. – Bring in professionals from Sysco and Intel to learn about high performance computing. 60

61  Andrew D. Orstadt, Wash. U.:  Focus on progression of lifestyle, organizing and centralizing for the right reasons.  Create an environment that can embrace change.  Larry Haffner, Webster U.:  Has no research of any kind  Has more input in the university’s strategic direction. Ex: maintaining several sites. 61

62 Larry Haffner, Webster: – Technology mistakes – Personnel Mistakes, building an effective staff – Political Mistakes: understanding what battles you can’t win and how to communicate Ellen Watson, SLU: – Governance is a big issue. Managing “who decides” Jim Tom, UMSL: – Every faculty member thinks they’re an expert – Building a management team that can function independently – Too much work, not enough people 62

63 Problems: – Universities cannot compete with industrial salaries – Predominantly have entry level positions – Have to train as if they are going to stay Some solutions: – Organized unsystematic processes to make solutions routine. People were fixing things differently each time. – Trying to offer flexibility and increase interest, which has created less structure. Result: Plan for 5 year maximum turn-over 63

64 Story from Ellen Watson:  Listserv was hacked into and taken over late during the night  No one on the networking team was answering their calls and Ellen was forced to shut down the listserv  Hundreds of angry emails flooded her inbox from angry users who believed they were entitled to have the listserv available.  An issue often faced by CIOs 64

65  Any Questions? 65

66 1. Alexander, Steve, “As the door turns,” Computerworld, 1998; vol 32, 8, pp. 73. 2. Business Editors, “The Changing Role of the Chief Information Officer” Business Wire, p.1, Nov 23, 1998 3. “Chief Information Officer.” Wikipedia: The Free Encyclopedia. 9 October 2007. 4. Chris Franks, Director of IT at Spartan Light Metal Products Inc., interviewed in person by Alexandra Bleitz, September 21, 2007. 5. CIO Magazine’s “2007 State of the CIO Survey” CXO Media Inc, 2007., viewed N=568 6. Dave Finnegan, CIB of Build-A-Bear, interviewed by phone by Matthew Clabaugh, October 4, 2007. 7., viewed on October 18, 2007. 8., viewed on October 18, 2007. 9. Jeff Loyett, Director of Management Information Systems of Electric Potter Signal Company, interviewed in person by Matthew Clabaugh, September 13, 2007. 10. Jennifer McAdams, “7 Common Obstacles” Computerworld, Vol.4, lss.50, p.40-42, Dec 11, 2006 11. Kolbasuk McGee, Marianne. “IT’s Gender Gap” InformationWeek. Manhasset: Nov 21, 2005., Iss. 1065; pg. 75, 1 pgs 66

67 12. Levinson M., “CIO and CEO: How to Work with Your Boss” CIO Magazine, Oct 1, 2004. 13. Luftman J., and Mclean E., “Key Issues for IS Executives,” MIS Quarterly Executives, Vol. 5,2,2006, pp.81-99. 14. McKenna, Brian, “CIO tenures shorter than their projects,” Computer Weekly, Sutton: Jul 10, 2007. pg. 5, 1 pgs N = 350 companiesComputer WeeklyJul 10, 2007 15. PERLMAN, Ellen, “Topside Turnover: CIOs are among the most endangered of species, and that’s a problem not only for them but also the governments they serve,” Governing, Congressional Quarterly, April 2007. N = 50+ 16. Preston, Robert, “CEO, CIO Turnover Is Just Part of E-Transformation,” InternetWeek, Iss. 841, 2000, pp. 9. 17. Prewitt, Edward and Schneider Traylor, Polly Elements of a CIO education October 21, 2002. 18. Sheila Greco Associates, 2006-2007 “Women in Technology Study”.Jun 6, 2007 19. Surmacz, Jon, “Turnover is Expensive”, June 15, 2004, viewed October 18, 2007. viewed October 18 20. Walsh, Katherine, “Business Alignment: Find the Right IT Metrics,”, October 1, 2006. 21., viewed October 18, 2007. 67

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