1 / 35

Technology Business Management

Technology Business Management. What, Why, How and the state of the industry. Joel A Manfredo Managing Director, Acies Consulting 8-Aug-2013. Technology Business Management. Background. Gartner Trends. 10 Critical Tech Trends For The Next Five Years

keely
Télécharger la présentation

Technology Business Management

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Technology Business Management What, Why, How and the state of the industry Joel A Manfredo Managing Director, AciesConsulting 8-Aug-2013

  2. Technology Business Management

  3. Background Gartner Trends 10 Critical Tech Trends For The Next Five Years Organizational entrenchment and disruption Software-defined networks Bigger data and storage Hybrid cloud services Client and server architectures Internet of things IT appliance madness Operational complexity Virtual data centers IT demand Top 10 Strategic Technology Trends For 2013 Mobile device battles Mobile applications & HTML 5 Personal Cloud Internet of Things Hybrid IT and Cloud Computing Strategic Big Data Actionable Analytics Mainstream In-Memory Computing Integrated Ecosystems Enterprise App Stores

  4. Background … Source: “Building the IT Brand: Impacting the Front Office and Beyond”, Meehan & McMullen, Gartner Executive Programs, October 2011 Source: ComputerWeekly.com, August 2012 Source: 37 Signals, Feb., 2011

  5. Background

  6. Background 1. Understand Business Satisfaction with the IT Satisfaction Scorecard 2. Demonstrate Business Demand with the IT Capacity Scorecard 3. Manage Business Stakeholders with the Stakeholder Satisfaction Scorecard Source: “CIO Business Vision”, Info~Tech Research Group, Jun 2013

  7. Technology Business Management Focused On Running IT As A Business Definition A practical, applied discipline for maximizing the value of the IT services investment portfolio by enabling technology leaders and their business partners to collaborate on business aligned decisions. Relying on transparency, TBM defines a foundation for managing supply and demand by enabling financial and performance trade-offs needed to optimize run-the-business spending and improve change-the-business investments.

  8. The TBM Council • TBM Council Mission: COLLABORATECreate a network of technology executives who are passionate about the Council’s mandate and will openly share their points of view and key learnings EDUCATE Synthesize, publish and promote a cross-industry framework and practical tools used to establish TBM as a professional management discipline BENCHMARK Create openly available benchmarks for technology leaders to assess their adoption of the TBM framework and work products

  9. The TBM Council CIOs Establishing TBM as Standard “To serve equally our members and our profession by synthesizing TBM best practices into a professional and recognized discipline for technology leaders.” TBM Book TBM Index TBM Framework TBM Summits TBM Framework TBM Summits

  10. TBM Framework Developed by TBM Council board and principal members Emphasizes optimization of investment portfolio (Run the Business vs. Change the Bussiness)

  11. TBM Disciplines • How do I create and sustain a performance-driven culture that continuously improves value delivery. 5 5 • How can we confidently translate business expectations into an accurate technology plan, in turn safely reducing excess capacity? • How can we use transparency to alter behavior and drive cost and quality trade-off decisions with our business partners? 3 4 4 3 2 1 • How can we get meaningful perspectives of our technology costs, investments, capacity and performance? • What adjustments can we make to our organization to more effectively manage the supply and demand of our services? 1 2 Find the TBM Index at http://bit.ly/TBMindex

  12. TBM Disciplines • OVERARCHING GOAL: Optimize run-the-business costs and better fund change-the-business investments. 5 • How can we continuously improve the unit cost of our technologies and services while keeping cost and quality in proper balance? • How can we enable our business to “pivot” more quickly to differentiate offerings, exploit market-driven innovations, and capitalize on new opportunities? 1 4 5 1 2 3 4 • How can my business partners and I be sure that we’re investing enough in the right projects and services? • How can we better focus our time and resources on the services, applications, technologies and vendors that drive the most value? 2 3 Find the TBM Index at http://bit.ly/TBMindex

  13. TBM Index Scoring Approach Based on the scoring model, organizations can be classified as Level I, II or III maturity: • Level I: 0-31.1% Organizations with some services defined/published, GL-based cost management, basic allocation of costs, annual baseline budgeting, etc. • Level II: 31.2%-81.5%Those with some higher-level services defined/published, mostly GL-based cost management, more advanced allocation of costs, annual budgeting with quarterly or monthly forecasting and reviews, etc. • Level III: 81.6%-100%Those with complete portfolio of services defined/published, more mature costing of services, consumption-based allocation to business partners, demand-based budgeting, service choices, etc. Scores are captured by industry

  14. TBM Index Average Scores (Large Companies) 69% 52% 40% 36% 64% 47% 69% 50% 61%

  15. TBM Index Average Scores (Large Companies) 69% 52% 40% 36% 64% 47% 69% 50% 61%

  16. Another Way of Looking at TBM Engineering & Operations Deliver and support products and services on-time and on-quality Marketing (Office of the CIO) Understand your market, define your unique value proposition and strategy Finance Enable effective resource planning and governance to meet business goals and objectives Product Management (Service Owners) Sales / Account (Business Relationship) Management Define and manage products/services to profitably satisfy customer needs Work with customers to understand their needs, position the right products/services and ensure their success

  17. Primary Driver behind TBM Nine times in ten, CIOs tell us their biggest reason for adopting TBM is the need to free up resources for innovation.

  18. The CIO and Innovation CEO’s Hierarchy of IT Needs Creates New Industry Define New Frontier Extends Into New Businesses Expand the Business Increases Revenue CIO’s Innovation Sweet Spot Increases Efficiency Optimize Business Processes Decreases Costs Keeps Business Happy Support the Business Does Not Cost Much Does Not Embarrass Get Fundamentals Right Does Not Crash • Source: Innovation Strategy & Mandate Workshop Overview, Info~Tech Research Group, Jun 2013

  19. How much Money? IMPORTANT Source: “Determining the Right Level of IT Operational Spending”, Gartner EXP, October 2012

  20. Two Major Problems Components and Communication But what if the customer wants…

  21. Transparency Gartner Source: “Key Concepts in IT Financial Management: Funding, Costing, Pricing and Chargeback”, Gartner April 2012

  22. Transparency Chargeback or Show-back: Allocation Methods • Basic Allocation methods: • Subscription • Allocation • Usage Source: “Key Concepts in IT Financial Management: Funding, Costing, Pricing and Chargeback”, Gartner April 2012

  23. Transparency Chargeback or Show-back: Strengths & Weaknesses Source: “Key Concepts in IT Financial Management: Funding, Costing, Pricing and Chargeback”, Gartner April 2012

  24. Transparency Chargeback or Show-back Source: “Make a Smooth Transition to Service Pricing”, Gartner June 2012

  25. Transparency Chargeback or Show-back process-optimizing, and then, service-optimizing Source: “The Strategic Road Map for IT Service Optimization”, Gartner November 2012

  26. IT as a Service Gartner Source: “The Strategic Road Map for IT Service Optimization”, Gartner November 2012

  27. IT as a Service Source: “The Strategic Road Map for IT Service Optimization”, Gartner November 2012

  28. Service Pricing What does internet access cost? Hardware: • Redundant Firewalls • Redundant Routers • Redundant Core Switches • IPS / IDS Hardware • Monitoring (Orion) Servers • Content Filtering Appliances • Content Filtering Report Servers • DNS Servers Software: • Firewall Security Software licensing • Content Filtering Software licensing & Report Services • Orion Monitoring Software licensing • DNS Software (Unix and Wintel) • Data Center Facilities • Contracts: • Redundant Internet Service Providers: • TW Telecom • VPLS (this is a fail-over service) • IPS / IDS monitoring Service • Redundant WAN Circuit Contracts • Redundant Firewall Maintenance Contract (HW and SW) • Redundant Routers Maintenance Contract HW and SW) • Redundant Core Switches Maintenance Contract HW and SW) • Content Filtering Maintenance Contract • County ARIN IP and BGP AS Services • Depreciation: • Firewalls - Hardware and software Depreciation associated • Routers - Hardware and software Depreciation associated • Core Switches - Hardware and software Depreciation associated • Monitoring - Hardware and software Depreciation associated • Content Filtering - Hardware and software Depreciation associated • Other CEOIT Services: • Contracts & Procurement Management • Resource Management • Financial and Cost, Budget Analysis • Billing Processing • Labor: • Network Engineering Labor • Security Engineering Labor • Availability Management Analysis • Capacity Management Analysis • Incident Management (Service Desk) • Change Management • Management

  29. Service Pricing What does internet access cost? Hardware: • Redundant Firewalls • Redundant Routers • Redundant Core Switches • IPS / IDS Hardware • Monitoring (Orion) Servers • Content Filtering Appliances • Content Filtering Report Servers • DNS Servers Software: • Firewall Security Software licensing • Content Filtering Software licensing & Report Services • Orion Monitoring Software licensing • DNS Software (Unix and Wintel) • Data Center Facilities • Contracts: • Redundant Internet Service Providers: • TW Telecom • VPLS (this is a fail-over service) • IPS / IDS monitoring Service • Redundant WAN Circuit Contracts • Redundant Firewall Maintenance Contract (HW and SW) • Redundant Routers Maintenance Contract HW and SW) • Redundant Core Switches Maintenance Contract HW and SW) • Content Filtering Maintenance Contract • County ARIN IP and BGP AS Services • Depreciation: • Firewalls - Hardware and software Depreciation associated • Routers - Hardware and software Depreciation associated • Core Switches - Hardware and software Depreciation associated • Monitoring - Hardware and software Depreciation associated • Content Filtering - Hardware and software Depreciation associated • Other Services: • Contracts & Procurement Management • Resource Management • Financial and Cost, Budget Analysis • Billing Processing • Labor: • Network Engineering Labor • Security Engineering Labor • Availability Management Analysis • Capacity Management Analysis • Incident Management (Service Desk) • Change Management • Management 32

  30. Service Description Service Catalog Internet Service Provider

  31. Service Costing Service Pricing Direct Indirect Service Cost What are some of the types of costs in each “bucket”?

  32. Service Costing eBay example: Digital Service Efficiency http://dse.ebay.com/

  33. IT as a Service eBay example: Digital Service Efficiency http://dse.ebay.com/

  34. TBM Council Status

More Related