“IT VALUE MANAGEMENT”:
ABSTRACT by Luis Leamus, Senior Vice President, META Group

IT Forum Seminar, Tuesday October 5, 2004

Great IT professionals, recognizing their role, are executives that are capable of creating a vision, developing support for the vision, and then executing the supporting plans — most of which have heavy technology components. In that context, successful decision makers must focus on three key areas:

  • Value management
  • Change management
  • The business impact of technology

Most IT executives yearn for a value position that places them as an equal and respected member at the business planning and execution table. In reality, the majority of IT organizations today remain saddled with the perception that the role of technology is solely to drive out costs. Furthermore, high-performing CIOs use the proven processes of analysis, pattern creation, and communication to create a portfolio that accurately reflects the business needs to balance value and risk tradeoffs.

The session ‘IT Value Management’ will introduce the value management framework and discuss how it is optimally instituted with a portfolio management approach. In the end, the goal is to ensure that the IT organization is focused on the right activities for business success.

Laying the Foundation
We believe the reason why IT organizations have failed to deliver on the promise of technology is rooted in one shortcoming — lack of a cohesive and shared vision of its value. The vision must incorporate both the business value of technology and information, and effectively apply both. The presentation will focus on creating the foundation to enable that vision.

The Value of IT
Caution: You're working in a "perception" zone. Understand how perceived credibility — and perceived dependence on information and innovation — pre-determine the IT organization's value position and, therefore, its range of accepted activities. Learn the value management process that actively manages those perceptions to move to the appropriate value position … and do the right things.

  • Leverage the Credibility/Dependency Window as a strategic planning/communication guide and self-assessment tool
  • Determine how value is understood by your stakeholders
  • Understand the value management process to ensure proper categorization and capture/ communication of IT value
  • Assess your own strengths and weaknesses in delivering on your value promise

IT Portfolio Management
One of the most effective methods for categorizing and communicating value is through portfolio management. We will present IT portfolio management as one proven means for proper balancing of risk and value.

  • Managing IT products/services as investments — demanding a "return" on quality, functionality, and availability
  • Forging a partnership between IT and business executives that facilitates value-based discussions
  • Implementing short- and long-term strategies/tactics to ensure proper IT portfolio management (selective cost-cutting, transformational investments, etc.)
  • Illustrating a short portfolio management exercise

Relationship Management
Relationship maturity and strength are often reflective of value positioning. We will help you understand how to evaluate the health of a relationship, determine if your portfolio of relationships aligns appropriately, and learn how to customize communications based on the relationship's value level.

  • Using relationship management as the cornerstone of value communications
  • Committing to the process of marketing: Communications plans, annual reports, brand development
  • Building sensing mechanisms to ensure continual realignment of value messages
  • Sorting out the convergence — and differentiation — of the CxO roles.

In keeping with the spirit of a learning community, all members and seminar attendees are expected to refrain from sales pitches and promoting goods and services.


If you request more assistance feel free to contact us.