Post on 28-Jul-2015
© FvL 2015 - page 1 Fred van Leeuwen– Managing IT Relationships
Improve Business-IT Alignment
By Implementing Strong Relationship Management
Raising IT-image, Boosting Value-Creation
By Fred van LeeuwenInventor of the Bridge-approach, connecting IT to Business
The Webinar Will Start Shortly
© FvL 2015 - page 2 Fred van Leeuwen– Managing IT Relationships
Housekeeping
• Slides will be available on our SlideShare page, link will be emailed to you
• Recording of the webinar will be available to download, link will be emailed
• Take the time to complete post-webinar survey that will pop up at the end
• You can type your questions throughout the session• Time will be allocated in the end for the speaker to
address your questions
© FvL 2015 - page 3 Fred van Leeuwen– Managing IT Relationships
About The Speaker
Fred van Leeuwen is an international authority in the field, who consults with clients for practical IT improvement on a daily basis. He has written thought-provoking publications on the subject and has lectured on nearly all the continents, sharing his experiences with IT Directors, CIOs and other board members.
Fred is a much sought-after speaker and author. His latest publications include a book on improving the IT function and articles on IT governance and on the role of the board in IT value generation.
© FvL 2015 - page 4 Fred van Leeuwen– Managing IT Relationships
Session content
• Why IT Relationship Management?• Goals & KPI’s• Aligning with the IT Governance• Good and bad RM practices• Organising it, competency requirements
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Why? Lack of vitamin R
Strategiclevel
Structurelevel
Operationslevel
• governance principles• architectures• plans: objectives & resources
mechanisms for:• communications• planning & contracting• execution & control
specific events:• contract renewal• project request• change request• routine request• fault
We deal with content: ... while neglecting relation:
stakeholders did:
• not agree to content• agree by mouth, but not by heart• agree, but misunderstand
participants in the process:• each their own pressures• no idea what their counterpart is faced with• from different planets• stuck in us-them mode
© FvL 2015 - page 6 Fred van Leeuwen– Managing IT Relationships
Why? Amidst all IT improvement actions, lowering the Bridge is a Quick
Win
Lowering the bridge = Developing the IT department’s Emotional Intelligence
the IT organisationclients& board
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Objectives
Objectives for the IT Relationship Manager:
Provide real added value (IT value / cost ratio)
Ensure the desired image of the IT Dept
Achieve ‘commercial’ KPI-s• volume (revenue/margin, or simply cover cost)• apply the whole service portfolio• have market position
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Business Governance (after Mintzberg)
Mintzberg’s Proto-Types:1. The Simple Structure2. Machine Bureaucracy3. Professional Bureaucracy4. Divisional structure5. Adhocracy
Whatever Business Governance you work in, it is crucial to:• Deliver real business value• Ensure a positive image of the
IT dept• Be aligned
© FvL 2015 - page 9 Fred van Leeuwen– Managing IT Relationships
IT GovernanceVarious ways to organise the internal market
1. IT dept has the internal monopoly. Business depts have no authority to buy external IT services, except through the IT dept.
2. The IT dept has the right to offer. Business depts can choose to contract external IT services by themselves, provided they give IT dept the opportunity to offer as one of the competitors.
3. Use of the IT dept is optional. Business depts have the authority to contract IT services the way they want, as long as they obey the company’s IT Strategy & -Architecture.
In case 3, the IT dept should -in its turn- have the right to sell its services to external customers as well.
In case 2, this could be the case.
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Fred van Leeuwen– Managing IT Relationships
Bad and good RM practices
Dont’s:• Having a dedicated RM dept or RM job title.• Teethless RM.• RM handling all communications in the Relationship.• The client is always right.
Do’s:• RM should be a role, not a job title.• RM should be IT MT member (or similar status)• Service Mgrs obliged to act, when RM so requires• RM mode of operation is situation dependent.• Client = King, as long as he behaves like a king!
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Fred van Leeuwen– Managing IT Relationships
Focusing communications
business organisationIT organisation
CIO
IT director
IT strategic staff
service manager
relationship mgr.
innovation leader
custom project ldr
standard project ldr
operator
helpdesk
Board member
strategic staff
BU director
BU info manager
BU MT member
superuser• contractor• functional owner• expert user
user
outputs
approved strat. & struct. contentproposed strategic level contentproposed structure level content
service contract
new designimplemented change
executed job
recovered fault
resolved user problemd o i n g t h i n g s
o r g a n i s i n g t h i n g s
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Fred van Leeuwen– Managing IT Relationships
Situation dependent modes of operation
business organisationIT organisation
CIO
IT director
IT strategic staff
service manager
relationship mgr.
innovation leader
custom project ldr
standard project ldr
operator
helpdesk
Board member
strategic staff
BU director
BU info manager
BU MT member
super-user• contractor• functional owner• expert user
user
RM modes of operation:
• communicating• managing comm’s process• contracting• securing performance
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Fred van Leeuwen– Managing IT Relationships
Organising RM roles in the IT Mgt Team
CIO orIT Director
Mgr IT Operations
Mgr of CIO-Office
Mgr IT Infras
Mgr IT Apps
FacilitiesHRM
CEO
BU Mgr Real Estate
BU Mgr Retail
BU-Mgr Leisure
Finance
11
2
3 4 5 24 5
3
13
all IT ServicesRM ensuring all IT services contribute towards
desired IT-image within real Estate.Mgr Op’s is empowered over his colleague MT-
members who are providing their services.
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Fred van Leeuwen– Managing IT Relationships
Conclusions
1. RM, if done well, has an immediate positive impact.
2. Internally, RM is ambassador of the client.
3. It only works, when the whole IT organisation is committed towards client service.
4. RM needs excellent communication skills, sufficient content knowledge (business and IT).
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Fred van Leeuwen– Managing IT Relationships
Thank You