Uncertainty is
certain, that is the maxim of today and reality for all of us individually as
well as for enterprises. A repeat of the economic downturn of a few years back
or worse, that is the question everyone is pondering over. When the sentiment
is down, the first casualty is perceived risky innovative propositions. People
withdraw into their anxieties and work to keep status quo. Any remotely
disruptive thought is beaten black and blue unless inaction threatens
existence.
So what does it do to
the IT budget and the CIO who is being challenged to do more with less and find
resources to create efficiency ? How can operating expense be lowered when a
large chunk of the allocation is to paying license fees and annual charges for
the large systems ? Cloud may shift some capital expense but does not take away
the payout for license and support. Can the business critical solutions be
shifted to open source ?
Even if the shift to
open source was possible for some processes, the core ERP systems are the ones
that will be resisted by the users; be it HR or Finance, they do not want to
shift away from already stable (take that with loads of salt considering the
patches that continue to make the system unstable) and comfortable systems. The
big vendors know that such a shift is almost impossible and continue to hammer the
proverbial nails into corporates with increases year on year. So what is the
way out for the CIO ?
In a CIO forum I met one
of the thought leaders who has and would make it to every list globally. He ran
a discourse on change that IT brings about in an enterprise. He talked about some
of the change projects being executed by many global enterprises pertained to
reducing expenses across the board led by IT. Mandated or democratically agreed
to, these were being resisted by layers across the enterprise. He preached
top-down and bottom-up collaboration to “sell” the ideas along with
existentialist discussions. If we did not do this, then the sky would fall upon
us.
It was nothing new as
CIOs use this strategy quite well to garner buy-in for most projects. It is
another matter that measurement of the impact is rarely done a few years later
as the business context has changed, or we have moved to another crisis, or the
people who made the case no longer exist in the company. Push ahead and ye
shall be rewarded he expounded. Maybe I have become a cynic after trying this
so many times to believe that it would still work in the current business
environment.
I believe that
irrespective of support levels across the enterprise, the CIO should continue
to engage with the stakeholders to have them share the pain before embarking on
the journey to create colossal change or transformation of the IT landscape.
Finding business allies will be difficult, but the journey in solitude is a
sure way to achieve martyrdom. After all we all live under the same sun but
have different horizons. So lead the way, but make sure that there are others
along with you, not following you.
The words that stayed
with me a long time were “the cultural response was resistive, sometimes
proactively resistive”. Hasn’t the world always been the same for the CIO ?
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