Continuing my week in Las Vegas for the Data Center Conference 2009, I attended a keynote session on Service Management. There were two analysts that co-presented this session.
One analyst was the wife of a real CEO, and the other was the wife of a real CIO, so the two analysts explained that there was a langauge gap between IT and business. Use the analogy of a clock, business is concerned with the time shown on the front face is correct and ticking properly, but behind the scenes, the gears of the clock, represent IT, finance, supply chain and other operations.
Based on recent surveys, there is a 45 percent "alignment" between the goals of CEO and the goals of a CIO. CEOs are concerned about decision making, workforce productivity, and customer satisfaction. CIOs on the other hand are worried about costs, operations and change initiatives. Both CEOs and CIOs are focused on innovations that can improve business process. Service management strives to shorten the language gap between business and IT, by helping to drive operational excellence that benefits both CEO and CIO goals. Recent surveys found the key drivers for this are controlling costs, improving customer satisfaction, availability, agilty and making better business decisions.
Unfortunately, in this economy, the idea of "transformation" is out, and "restructuring" is in. In much the same way that employees have abandoned career development in favor of simple job preservation, companies are focused on tactical solutions to get through this financial meltdown, rather than launching transformation projects like deploying Service Management tools.
How much influence does the CIO have on running the rest of the business? Various surveys have found the following, ranked from most influential to least:
The bottom rank not only have little or no influence, but are at risk of losing their jobs. Evaluations based on a Maturity model finds many I&O operations in trouble, 11 percent taking some pro-active measures, 59 percent committed to improvement, and 30 percent aware of the problems.
IT Service Management tries to bring a similar discipline as Portfolio Management and Application Lifecycle Management. Why can't IT be treated like any other part of the business portfolio? What is the business value of IT? IT can help a business run, grow and even transform. IT can help consolidate and centralize shared services to help leverage resources and offer cost optimizations not just for itself, but for the business as a whole.
CIOs that can adopt IT Service Management can have a "Jacks or Better" chance for a seat at the executive table to help drive the business forward.
This week I am at the Data Center Conference 2009 in Las Vegas. There are some 1700 people registered this year for this conferece, representing a variety of industries like Public sector, Services, Finance, Healthcare and Manufacturing. A survey of the attendees found:
Plans for 2010 IT budgets were split evenly, one third planning to spend more, one third planning to spend about the same, and the final third looking to cut their IT budgets even further than in 2009. The biggest challenges were Powe
There are six keynote sessions scheduled, and 66 breakout sessions for the week. A "Hot Topic" was added on "Why the marketplace prefers one-stop shopping" which plays to the strengths of IT supermarkets like IBM, encourages HP to acquire EDS and 3Com, and forces specialty shops like Cisco and EMC to form alliances.
Day 2 began with a series of keynote sessions. Normally when I see "IO" or "I/O", I immediately think of input/output, but here "I&O" refers to Infrastructure and Operations.
Unlike other conferences that clump all the keynotes at the beginning, this one spreads the "Keynote" sessions out across several days, so I will cover the rest over separate posts.
This week I am blogging from beautiful Caesars Palace hotel in Las Vegas, Nevada to report on what I see and hear at the 28th annual Data Center Conference. Today was simply registration, which opened at 4pm, and I was able to get my conference backpack, badge, and details of the week.
Already, I can tell there will be more people here, and it looks like the economy is on the rebound versus last year. Here are my posts from 12 months ago when I attended this conference in 2008:
This year, we will have the IBM Portable Modular Data Center (PMDC) with XIV and iDataPlex inside, as well as several subject matter experts joining me at the solution center. Look for us in the "Hunter Green" shirts.
For those who want to meet me in person, there are two opportunities coming up in December.
I will be at both events in December, so feel free to contact me if you want to arrange a visit.
If you would like a bit of humor, check out my [IT Superstar" video], and yes, I do speak several languages including Portuguese.