Monday, November 29, 2010

Are you micro-apping ?

Mobile data services brought about email as the first (and probably still the biggest) killer application on the mobile. This is the opportunity that created Blackberry and its many competitors; almost all focusing on creating a better email experience for the corporate user.

Browsing was at best a chore with the small screen, and unwieldy websites struggled to fit on to the small screens. Corporate IT and the CIO were, and continue to be under pressure to enable business processes on the same handset that earlier provided email.

The same users demanded their personal emails on the handset that expanded the market to consumers, albeit in a small way, until iPhone came to the party and changed the smartphone market. Consumerization of IT ensured that corporate suits wanted the iPhone, while a large segment of consumers (who were earlier fringe data users) became a large force. This created an industry around micro-applications that did inane stuff at times, but mostly enabled the smartphone user with earlier unimaginable capabilities. Competing platforms played catch, while zillions of applications sought favor spanning across categories like utilities, travel, education, entertainment, productivity, and finance.

IT organizations on the other hand, continued to work on large projects with reducing timelines and budgets. Enterprises using and deploying monolithic applications have advertently compared the facile microapps with the clunky screen-based complex navigation to conduct business operations. Small applications made their way to corporate phones, largely enabling road warriors and pushing information to the real-time executive not that it changed business decisions in a big way. Sales force enablement was the quick (and in many cases the only) derived win. Another disruption arrived with the tablet demanding attention with better capabilities than the phone.

It is evident that the era of large applications as the primary interface to business process is on the wane. IT is expected to create mobile enabled micro-process automation. Its starting point may be on the fringes with quick tactical workflow approvals, graduating to complex processes on tablets. CIOs should be exploring options that are able to use the existing infrastructure with microapps.

With multiple competing mobile operating environments, transportability of applications will remain a challenge in the mid-term, but that should not restrict attempts. The multitude of form factors and devices that a corporate user now possesses, also poses a conflict of choice. Scan the various app stores, and endeavor to find a set of applications that may find favor within the enterprise. Security will of course remain a red flag as this trend gains momentum. So the CIO has to work with other CXOs to define “acceptable

Tuesday, November 23, 2010

Lists I don't want to see in 2011

It is that time of the year when everyone starts creating lists — of priorities, challenges, opportunities (which hopefully also get budgets allocated), new technologies, and so on. Everyone from analysts, researchers, academics, CEOs, CIOs, publications and anyone who has an opinion contribute to the increasing top three, five, ten (or in some cases a random number) based on their comfort of things that are a must do, must watch for, avoid, don’t even think about it, failures, every possible happening, news, people, the list is endless. I am tired

A lot of these are thought up while on the keyboard, some have inane research to justify, a few are meaningful too. CIOs and IT folks love these, and watch them like religion. Or hate and ignore them because the lists only add to the existing chaos. Adding to these is a set that creates lists for internal and/or external consumption.

Over the years, I tracked lists from major IT research houses and publishing companies to ascertain their alignment with what I planned to do. Like with every list (and that applies to horoscopes too), I found that the alignment varied from 10% to 80%. If you put together a list of current buzzwords, hype curve technologies, magic quadrants, waves, or similar research, you are bound to get a few that will resonate with the personal and corporate agenda.

Now the differences are always explained in context of industry, geography, size of company, maturity in the IT adoption curve; you could also include sun spots, solar or lunar eclipses, global warming, or any other metrics that you can think of. So why does everyone continue to invest significant resources, time and manpower towards the creation of such lists? My belief is that they need to pin up something on their (and others) soft boards, put in presentations, or just publish them for others to marvel at.

Reality is that the lists created by surveys and research are self-fulfilling, based on the asked questions. If a list (of say 10 items) is presented and the respondents are asked to prioritize them, that’s what you will get. Rarely does anyone ask for respondents to fill in 10 blank rows with what their priorities may be. That would be chaotic and statistically not tenable in a report, but would make interesting reading.

So here is my list of lists (and it is not 3,5,10 that I do not wish to see in 2011.
  1. Top 3,5,10 priorities/opportunities for the CIO/IT organization
  2. Top 10 technologies to watch out for
  3. Top (pick a number) business priorities/challenges
  4. Top (pick a number) challenges for the CIO/IT organization
If you have any others, do put in your comments. If you love the lists, enjoy them, or if you are cynical of them, join the party. However, if you are indifferent about these and have achieved a nirvana state, can I enroll as your student?

Tuesday, November 16, 2010

Justifying IT budgets and the bicycle stand syndrome

A long time back during a budget meeting, one of my CEOs narrated a story (or maybe a fable) on Boardroom discussions on budgets. This story has stayed with me for a long time, and the memory was refreshed last week in a discussion with some industry leaders. Here’s the story:

In the Board meeting of a large and successful company with multiple manufacturing plants, two agenda items were tabled; first to discuss $400 million investment in a new manufacturing facility, and the second the layout including employee amenities of the same manufacturing plant. The second agenda item was unusual for the board to discuss, but found its way into the chambers since the Employee Satisfaction Index at one of the older plants was low. The financial proposal was tabled by the Head of Manufacturing, with added guidance from the CFO. The resolution was passed unanimously, and done with, in about half an hour.

However, the discussion on amenities took almost two hours — with the longest time spent on the location, structure and type of the bicycle stand. Everyone had an opinion, and disagreements continued until the Chairman of the Board decided to put the debate at rest by appointing a committee headed by the HR Head to review other plants (including those of competitors) and table the recommendations in the next meeting.

Last week, the meeting with fellow CIOs and a few marketing heads veered towards budgeting and ROI. Snide remarks aside, the debate on how these distinct functions justify their million dollar proposals took an interesting turn. When the CIO presents a business case for an enterprise wide system that potentially benefits everyone but requires significant participation and change, it takes immense effort and documentation in order to get everyone to listen, review and agree. Multiple iterations are the norm, and a chain of signatures essential before the grant of even a tentative approval. Whereas, the CMO sails through in a jiffy citing brand building, customer touch and impact on sales, even when most of them are not necessarily attributable to the discussed campaign or idea.

Why is it so difficult for CIOs to get funding for new projects as compared to, say CMOs? The difference is, I would guess in many parts. To begin with, the language in which these proposals are put across. Another is the change that IT purports to create in a change-averse world. It could also be that marketing as a function always focuses on the end customer, while IT initiatives are predominantly inward focused (though that is changing fast now). The conversation initiated by CIOs when they connect to stakeholders and customers does find traction. So maybe peer learning has to be gained on how to pitch right the first time, every time, and win when every function is competing for the same precious resources.

Scott Adams (of Dilbert fame) in his unique manner put across the marketing formula, “It’s just liquor and guessing”. I have yet to find a good enough one on IT budgeting.

Monday, November 08, 2010

Communicating Success, Successfully

There is an old Hindi song “The peacock danced in the jungle, who saw it ?”; no one is the wise answer. Now what has this got to do with the CIO and the IT organization ? A lot !

IT is one of those functions whose absence is felt a lot more than its presence. Whether it is a simple email or internet access outage or the impact felt on the enterprise users when billing fails, or an invoice does not get created or printed. The ripples across the organization can be heard louder than the thunder on a wild stormy and rainy day. And what about small incremental development or changes that IT delivers everyday helping the business do some activity or task better, faster, cheaper, more efficiently ? Do these get to the eye (or ear) of the management teams ?

CIOs and IT organizations do a good job of communicating big project kick-offs with a lot of fanfare; the project plans and progress is tracked on some dashboard or report at regular frequencies. They are discussed in management review meetings and focus on timeliness or budget depending on the progress report. User and IT teams debate functionality within the review and steering committee meetings which typically see senior management participation wane as the project progresses. Other priorities take precedence and the resolution of conflicts or issues is left to the project team comprising of a few IT folks, vendor representatives and middle management users present as they are nominated to the project.

If all goes well even with some timeline or budget overrun, the project go live calls for some back patting, an email from the CXO (could be the CIO too) to announce that we are now operational with the new system. In rare cases the Post Implementation Review is conducted by the users or the CIO to validate the base case and benefit if any.

Now the IT organization apart from managing the operations also contributes continuous improvements to the small and large systems working with various internal functions and vendors (hardware, software, development partners, etc.) to address the ever changing needs driven by market forces, internal changes, or sometimes by customers. Many of these could be changes that create significant internal or external impact, but they are rarely on any report or dashboard, leave alone corporate announcements. These typically take away almost 30-40% (figures may vary by company and industry) of the total IT resources. They are deployed and forgotten, moving on to address the never ending pipeline of work.

CIOs should communicate these across levels to demonstrate the benefit, new or improved capability, cost reduction or avoidance they have enabled. To sustain the message of IT enabled sustained enterprise advantage, it is imperative that the users or the IT organization create the visibility. The beauty of the peacock with its feathers in a symmetric formation is to be cherished and enjoyed. If no one knows about it then “IT does not matter”.

Monday, November 01, 2010

Padding up the enterprise

Recently, I had an interesting discussion with a handful of global CIOs from Korea, Japan, Germany, India, USA and a few others. It centered on the pains, acceptance and way forward on the much flashed about computing device — across all seminars, airports, lobbies and any other place that you want to be seen with it. It has created a range of wannabe devices, been written about by every type of media, physical, internet, business magazines, newspapers, leisure, technology … Sigh, you get the point? I am referring to the Apple iPad.
The iPad has taken the IT world by surprise. It started off as a consumer device, and stormed into the corporate world — taking the CIOs literally on the wrong foot, just as they were getting comfortable with the iPhone. A CIO recounted the story of his team being given the task to connect a new shiny device to the corporate network; when no one had ever seen such a contraption. While the IT team was able to get it onto the corporate network within the stipulated 30 minutes (an unreasonable demand from the Chairman’s son), others have not been so fortunate, and have later discovered employees happily connecting to the WiFi network.

Driven from the top, the iPad has infiltrated every organization, giving a hard time to many CIOs. Sales and marketing organizations are creating business cases for deployment, while the evolving market is pushing newer competing devices. The applications landscape is catching up fast with enterprise software vendors getting there. Although challenges around security exist, new opportunities are vying to offer game changing business propositions that did not exist earlier.

The convenience of this tablet device scores over the conventional laptop, but is a long way before it replaces it totally. As manufacturers experiment with the form factor and features, one thing is certain, the iPad or equivalent is here to stay. Globally, the iPad has been successful in Pharmaceutical industry for detailing. Market researchers now use it for interactive discussions, even as it becomes a convenient add-on to the CXO, and an alternative to e-book readers, amongst others.

CIOs should move into proactive mode to embrace the inevitability of tablet computers within the enterprise. It is time to redesign processes with the new device rather than replace current devices for existing processes as the benefits may not be worth the effort. The iPad is disruptive technology, and thus deserves different treatment. Challenge the enterprise across layers to explore how it can create new possibilities that did not exist before.

The global CIOs without exception agreed that they have to deal with this surge. Some are approaching it using policy, while others are taking it head on. So don’t wait around to get beaten up by the business, as it may just bypass IT to serve their quest for innovation.

Over the weekend, one of the new entrants splashed the newspapers with a global simultaneous launch of another device. I am sure this Monday, the calls from various parts of the organization would have reached a cresendo.