IT Business Models & The 4 Faces of the CIO

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[email protected] @aspiringarc so what business are you in? the evolution of the CIO & the changing business of IT survival & evolution

description

In this workshop we looked at the 4 faces of the CIO and the potential shape of IT organizations in the future.

Transcript of IT Business Models & The 4 Faces of the CIO

Page 1: IT Business Models & The 4 Faces of the CIO

[email protected] @aspiringarc

so what business are you

in?

the evolution of the CIO & the changing business of IT

survival & evolution

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Agenda: the evolution of the CIO & the changing business of IT

•  Discover a new tool •  Get a glimpse at the future

Business Modelers: Envision, Discover, Design FACILITATOR & GUIDES: manage the process & explain the tool Have fun doing it!

Draw, scribble, imagine, experiment Everyone participates no-one dominates No invalidation if you have a different idea share it Don’t be afraid Be active & alert

17:30 – Setting the scene 18:00 – Intro (3) 18:03 – Review the agenda (2) 18:05 – Business Model Canvas

Intro & Research (20-25)

GET COFFEE & START WORK 18:35 – Make 2-3 teams (1) 18:36 – Business Model

Workshop (45) 19:21 – Teams playback (15) 19:36 – Q&A (15) 19:51 - CLOSE

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what business are you in?

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who are your customers?

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How do you deliver you sell/deliver

your products & services?

What’s your relationship with your

customer?

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what products & services do you ‘sell’?

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Who do you pay?

Who pays you?

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What do you do?

What do you use?

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“If you want to teach people a new way of thinking, don't bother trying to teach them. Instead, give them a tool, the use of which will lead to new ways of thinking.”

― Richard Buckminster Fuller

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but first some background

Peter Weill MIT CISR Chair & Snr Research Scientist

Stephanie Woerner MIT CISR Research Scientist

Jeanne Ross MIT CISR Director & Principal Research Scientist

http://cisr.mit.edu/locker/WeillWoernerMISQE2013FutureofCIO.pdf http://cisr.mit.edu/blog/documents/2012/08/16/2012_0801_customer-facingdigitization_woernermcdonaldweill.pdf/

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I expect •  hi-quality •  cost-effective

IT Services

THE BUSINESS

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THE INFLUENCERS

e2e digitization experience is everything

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revenue ge

neration

shared serv

ices

optimize bi

z process

customer ex

perience

digitize e2e

oversee op

erations

goals

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let’s meet the characters

Joe ‘order-taker’

John ‘facilitator’

Tony ‘optimizer’

Angela ‘experience-shaper’

1508 CIOs - 60 Countries

44% 36% 10% 10%

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‘Joe’ IT Services (Order Taker) CIO Managing IT Organization INFRA | APPS | PROJECTS Concerns: Cost, Risk, Service levels

44%

Performance Measure Mixed overall performance

Lower return on equity Increase sales from existing products

Increase price competition & impact on profitability

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‘The Dinosaur Farmer’

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‘John’ Embedded (Facilitator) CIO Business Strategy INFRA | APPS | PROJECTS Concerns: Non-IT focused process optimization, new product/service dev reg. compliance, risk, investment prioritization

36% Performance Measure

Better ROIC

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‘Tony’ Enterprise Process (Optimizer) CIO External focus, customer oriented CUSTOMERS | SUPPLIERS | USERS | EMPLOYEES | GOVERNMENT Concerns: Relationship management, alignment

Performance Measure Profitability (net margin %) 10%

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‘Angela’ External Customer (Experience-shaper) CIO External focus, customer oriented CUSTOMERS | SUPPLIERS | USERS | EMPLOYEES | GOVERNMENT Concerns: Shaping services, creating experience, vertical integration

Performance Measure Innovation

(sales from new products / 3 years) 10%

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Business Model Workshop Who are your customers; what’s your value proposition….

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Spotify Business Model Example http://www.businessmodelsinc.com/free-drives-paid-the-business-model-of-spotify/