Info-Tech Research Group1 CIO's changing role in an environment of the Cloud and Outsourcing The CIO’s Shrinking (?)Empire While IT continues to be important, is the IT Department becoming less important? February 29, 2012 Presenter: Andy Woyzbun

Info-Tech Research Group2 Is IT’s role changing (diminishing?) “Do you agree or disagree: In five years, a standalone IT department will no longer exist in our company?”

Info-Tech Research Group3 IT’s role is likely diminishing “Do you agree or disagree: In five years, a standalone IT department will no longer exist in our company?” In a Sept 2006 global survey by the Economist Intelligence Unit CEO & board members41% agree; 41% disagree IT Execs37% agree, 61% disagree

Info-Tech Research Group4 Our Objective A realistic revised target role for IT (and the CIO) given ◦ The Forces of Change you see ◦ Your Current Capabilities ◦ The Organization’s current attitude to IT

Info-Tech Research Group5 IT is delivering less of the overall IT function The 4 Forces of Change (the Apocalypse?) Centralization of IT functions (if you are in a subsidiary) – you lose responsibilities The Cloud –– you lose control Further Outsourcing – you lose staff Shadow IT – you lose involvement

Info-Tech Research Group6 While the 4 Forces may be friends to the organization, they may not be yours How are the 4 Forces Your Enemy? Where do you care and why? ◦ Reduced scope of responsibility? ◦ Reduced control? ◦ Reduced staff? ◦ Reduced involvement?

Info-Tech Research Group7 Resistance may be futile, but you must survive the occupation Ways that you can continue to provide value given the forces Which of these work (and when)? ◦ Shared Services Initiatives ◦ Centres of Excellence ◦ The Broker Model ◦ The CIO as Innovator ◦ Other …

Info-Tech Research Group8 You win if you are the provider. The Shared Service Initiative Is this working for you? If you are the provider, what do you need to do well? What if you are not the provider?

Info-Tech Research Group9 Becoming the organizational expert. The Centre of Excellence Is this working for you? How do you become seen as the expert? What do you need to do well?

Info-Tech Research Group10 “The IT department should act as the service broker, the entity that provides services to the business and sources these services from a variety of providers.” The Broker Model Is this working for you? How do you provide real value, beyond that of a purchasing department? How do you extend your role beyond being an order handler?

Info-Tech Research Group11 “The real value of IT is in leading business transformations – enabling business to exploit the technological advances” “ IT should amplify the enterprise” Gartner The CIO as Innovator Is this working for you? If you have not already contributed to leading transformation, can you start now? How?

Info-Tech Research Group12 “CIOs cannot allow their desire to be more strategic to prevent them from seeing and planning for the eventuality of the role of IT” Food for Thought

Info-Tech Research Group13 What’s the consensus? Summary What are the inevitable forces IT faces? Which of the forces should we worry about and why? How should we plan to change? How do we get Management to let us control the change?