Does alignment matter Feiten en fictie over de

Does alignment matter? Feiten en fictie over de afstemming van ICT en Business Drs. A. J. Gilbert Silvius MBA Lector Hogeschool Utrecht en principal consultant Van Aetsveld

Gilbert Silvius Koninklijke Militaire Academie Vlaardingen 2 kinderen Fender Precision Bass Erasmus Universiteit Koninklijke Landmacht MBA Getronics Synergie Consultancy Business ICT Alignment Universiteit . Leuven Utrechtse Ede Ondernemers Ph. D Academie Master of Informatics Afghanistan Does alignment matter? A. J. Gilbert Silvius . Projectmanagement 2027 Lector Business, ICT en Innovatie Katholieke 1963 . Bedrijfseconomie Aetsveld Master of Project Management

Lectoraat Business IT Innovatie Beroepspraktijk Wetenschap Does alignment matter? A. J. Gilbert Silvius Onderwijs

Does alignment matter? n Wat is Business ICT Alignment? n Problemen met BIA n BIA in de praktijk n BIA strategieën n Relatie Business strategie / IT strategie / BIA volwassenheid Does alignment matter? A. J. Gilbert Silvius

Does alignment matter? A. J. Gilbert Silvius

2004 De alignment belofte is niet waargemaakt! Menno van Doorn & Jaap Bloem (Sogeti/VINT) Does alignment matter? A. J. Gilbert Silvius

Does alignment matter? A. J. Gilbert Silvius

Business IT Alignment Does alignment matter? A. J. Gilbert Silvius

Klare taal? n Business IT Alignment n IT Governance n IT Planning n Information Planning n IT Service Management n IT Strategy Does alignment matter? A. J. Gilbert Silvius

Alignment? Does alignment matter? A. J. Gilbert Silvius

Alignment? n n n ‘fit’ (Venkatraman, 1989) ‘harmony’ (Luftman et al. 1993) ‘integration’ (Weill and Broadbent 1998) ‘linkage’ (Henderson and Venkatraman 1993) ‘bridge’ (Ciborra 1997) ‘fusion’ (Smaczny 2001) Does alignment matter? A. J. Gilbert Silvius

Vragen n Alignment: n Proces of Toestand? Weill and Broadbent (1998): ‘Alignment is a journey, not an event’ Does alignment matter? A. J. Gilbert Silvius

Vragen n Alignment: n n Proces of Toestand? Eenrichtingverkeer of wederzijdse beïnvloeding? Does alignment matter? A. J. Gilbert Silvius

n Wieringa et al. (2005): n n ‘the problem of matching IT services with the requirements of the business’ Poels (2006): n Alignment implies a ‘mutual influence’ between business and IT. Does alignment matter? A. J. Gilbert Silvius

Het Strategic Alignment Framework Vier afstemmingsperspectieven: 1. Strategierealisatie 2. Technologie potentieel 3. Concurrentiepotentieel 4. Service niveau Does alignment matter? A. J. Gilbert Silvius

Business IT Alignment is the degree to which the IT applications, infrastructure and organization, the business strategy and processes enables and shapes, as well as the process to realize this. Does alignment matter? A. J. Gilbert Silvius

Does alignment matter? n Wat is Business ICT Alignment? n Problemen met BIA n BIA in de praktijk n BIA strategieën n Relatie Business strategie / IT strategie / BIA volwassenheid Does alignment matter? A. J. Gilbert Silvius

Issues n A fuzzy target doel target start Does alignment matter? A. J. Gilbert Silvius

Issues n A fuzzy target n Alignment versus Economies of Scale Does alignment matter? A. J. Gilbert Silvius

Issues n A fuzzy target n Alignment versus Economies of Scale n Multiple businesses Does alignment matter? A. J. Gilbert Silvius

Does alignment matter? n Wat is Business ICT Alignment? n Problemen met BIA n BIA in de praktijk n BIA strategieën n Relatie Business strategie / IT strategie / BIA volwassenheid Does alignment matter? A. J. Gilbert Silvius

BITA in praktijk n Creëer overzicht en inzicht n Centraliseer inkoop n Centraliseer autorisatie van projecten n Ontwikkel standaarden n Rationaliseer assets Does alignment matter? A. J. Gilbert Silvius

Conclusie n n Business IT Alignment is niet een objectief methodologisch proces Business IT Alignment heeft een meer fuzzy context dan geïmpliceerd in de theorie IT afdelingen hebben eigen verantwoordelijkheid Business IT Alignment is in praktijk de subjectieve uitkomst van de interactie tussen actoren met soms tegenstrijdige verantwoordelijkheden Does alignment matter? A. J. Gilbert Silvius

Jerry Luftman Business IT Alignment Maturity Does alignment matter? A. J. Gilbert Silvius

Maturity of the Business IT Alignment process Optimized Process Improved/Managed Process Business Established/Focused IT Process Strategy / Organization Committed Process Initial / Ad-Hoc Process Alignment gap Does alignment matter? A. J. Gilbert Silvius

Business IT Alignment Maturity Variables Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Does alignment matter? A. J. Gilbert Silvius Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment

De sociale dimensie Does alignment matter? A. J. Gilbert Silvius Keen (1991) Key to alignment is relationships, not strategy

Does alignment matter? n Wat is Business ICT Alignment? n Problemen met BIA n BIA in de praktijk n BIA strategieën n Relatie Business strategie / IT strategie / BIA volwassenheid Does alignment matter? A. J. Gilbert Silvius

BIA strategies high Perception of external impact of IT low Business Innovative • IT is business • All technologies • Service orientation • IT as competitive edge • Experimental technologies • Innovation orientation Conservative Essential • IT saves costs • Proven technology • Efficiency orientation • IT essential in realising strategy • New technologies • Effectiveness orientation low high Perception of internal impact of IT Does alignment matter? A. J. Gilbert Silvius

Relationships? ? Business Strategy Does alignment matter? A. J. Gilbert Silvius IT Strategy

Business Strategy Product Leadership Operational Excellence Customer Intimacy Operational Excellence Emphasis on efficiency and reliability, price leadership, cost control and supply chain optimisation. Product Leadership Emphasis on continuing product development, innovation, fast time-tomarket and high margins. Customer Intimacy Emphasis on customer service, responsiveness, tailoring products and services to individual customer needs. Does alignment matter? A. J. Gilbert Silvius

Relationships? ? Business Strategy Business IT Alignment capability Does alignment matter? A. J. Gilbert Silvius IT Strategy

Business IT Alignment Maturity Variables Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Does alignment matter? A. J. Gilbert Silvius Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment

Relationships? ? Business Strategy Business IT Alignment capability Does alignment matter? A. J. Gilbert Silvius IT Strategy

Strategies combined Does alignment matter? A. J. Gilbert Silvius

Does alignment matter? A. J. Gilbert Silvius

Relationships? ? Business Strategy IT Strategy Not much relationship visible, but…. Does alignment matter? A. J. Gilbert Silvius

Relationships? ? Business Strategy Does alignment matter? A. J. Gilbert Silvius IT Strategy

Relationships? ? Business Strategy Does alignment matter? A. J. Gilbert Silvius IT Strategy

Relationships? ? IT Strategy Business IT Alignment capability Does alignment matter? A. J. Gilbert Silvius

Dual case study IT strategy Does alignment matter? A. J. Gilbert Silvius Business & IT alignment

Dual case study high Business Bank A Perception of external impact of IT low Innovative Conservative Essential Bank B low high Perception of internal impact of IT Does alignment matter? A. J. Gilbert Silvius

B vs A Does alignment matter? A. J. Gilbert Silvius

Conclusion offensive Innovative IT strategy Essential IT strategy defensive Conservative IT strategy low Does alignment matter? A. J. Gilbert Silvius BIA capability high

Does alignment matter? Feiten en fictie over de afstemming van ICT en Business Drs. A. J. Gilbert Silvius MBA Lector Hogeschool Utrecht en principal consultant Van Aetsveld

Relationships? ? Business Strategy Business IT Alignment capability Does alignment matter? A. J. Gilbert Silvius IT Strategy

Wat te doen? n Creëer een visie! n Bouw alignment volwassenheid Does alignment matter? A. J. Gilbert Silvius

Wat te doen? Communications Understanding of Business by IT Understanding of IT by Business Inter-/Intra-organizational learning Protocol rigidity Knowledge sharing Liaison(s) effectiveness Verdiep je in de business Creëer Wees stuurmogelijktransparant heden voor de business Value measurement IT Metrics Business Metrics Balanced Metrics Service Level Agreements Benchmarking Formal assessments/reviews Continuous Improvement Governance Business Strategic Planning IT Strategic Planning Reporting/Organization Structure Budgetary Control IT Investment Management Steering Committee(s) Prioritization Process Six IT Business alignment maturity criteria Partnership Business Perception of IT Value Role of IT in Strategic Business Planning Shared Goals, Risk, Rewards/Penalties IT Program Management Relationship/Trust Style Business Sponsor/Champion Creëer betrokkenheid Does alignment matter? A. J. Gilbert Silvius Scope & Architecture Traditional, Enabler/Driver, External Standards Articulation Architectural Integration: - Functional - Enterprise - Inter-enterprise Architectural Transparency, Flexibility Skills Innovation, Entrepreneurship Locus of Power Management Style Change Readiness Career crossover Education, Cross-Training Social, Political, Trusting Environment Creëer een Ontwikkel de effectieve kwaliteit van architectuur medewerkers

Wat te doen? n Creëer een visie! n Bouw alignment volwassenheid n Mensen maken het verschil Does alignment matter? A. J. Gilbert Silvius

Mensen maken het verschil Interventies die ertoe doen! n Herinrichten van ICT-functie vanuit externe oriëntatie n Stimuleren en initiëren van experimenten n Belonen van een multidisciplinaire teamprestatie n Instellen van ICT-awards n Iemand aanstellen als of (zich laten) ontwikkelen tot hybride CIO n Trainen van IT’ers: denken en praten in businesstaal n Job-rotation tussen business en IT n Optimaliseren service proces Does alignment matter? A. J. Gilbert Silvius Bron: Rob Poels

Vragen? ? Does alignment matter? A. J. Gilbert Silvius

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