Monday, February 2, 2009

IT and Business Alignment

A google search for alignment brings up many definitions. The two I like best are "place in a line or arrange so as to become parallel or straight" and "be or come into adjustment with", from Princeton's wordnet search.

These definitions best suit the need and the process of IT and business alignment, because often times cool toys take us in a direction that differs from the business and to get back on track requires adjustments. There is no quick overnight fix and the problem may not lie solely within IT.

See if you recognize this scenario:

The business is complaining about there being too much time between sales and product delivery. The executive team is demanding a company-wide ERP solution to help reduce that time. The IT department chooses an ERP system that fits into their current infrastructure and integrates with other critical systems.


Sound like success? Well, what if the problem wasn't a lack of system integration. What if the problem was process related. The problems compound from there. Now you have an ERP system that is not meeting the needs of the business. The time from sale to implementation is now increasing because of the introduction of a new complex system that now adds to the problem.

This is just one example of how IT and business can become unaligned. So how do you fix the problem?

First, proactive solutions. 1. Set realistic expectations. Make sure the business and the IT department understand that technology is not the solution to everything. Process must be fixed first. 2. Avoid shinny objects. In other words, avoid distractions. Stay focused on tools that will meet the business objective at the best possible cost to the business.

Then reactive solutions. 1. Gain a clear picture of the business strategy. Understand where IT fits into the strategy and tie IT investments to business strategy. 2. Eliminate waste. Evaluate IT processes and cut back where necessary. 3. Change attitudes. Add business skills to the IT training curriculum. Help everyone understand business need. Develop effective end user training to get the maximum benefit from IT investments. Build trust between IT and the business. 4. Change the business where it is needed. It's easy to assume all the responsibility for change in the IT department, but IT needs to take its seat at the business table and lead process improvement as well as sound decision making. Speak up when technology is not the right solution don't be afraid to say so.

So, be proactive when you can head problems off before they start and align IT investments with business strategy. Do it right the first time and all will be happy. If you have to react make sure you understand the problem, eliminate wastes, change attitudes, and change the business.

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