Week 9 Monday, March 27

1
Week 9Monday, March 27

• Organizational Focus User vs. IT Domination
• Leadership and IT Governance

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User Dominance vs. IT Dominance

• Tensions between business users of IT and IT
  staff
• Innovation (introduction of IT) and control
  (quality assurance) issues
• Where should innovation begin?
• Do the IT applications comply with organizational
  processes (e.g., accounting practices)?
• Fulfilling immediate needs and ensuring long-term
  standards
• Are end-user developed IT applications and
  investments compatible to other organizational
  resources?
• Should adherence to long-term goals override
  immediate needs (e.g., Maginot line thinking)?

3
Four Difference Perspectives

• From centralized, IT-driven innovation to
  decentralized end-user driven innovation
  (lighting fires Gary Brooks, VSP)
• End-user driven innovation over IT department
  protests
• From decentralized, end-user driven innovation to
  centralized IT management (e.g., Sutter Health
  in the mid-1990s)
• From decentralized, end-user driven innovation to
  unexpected centralized innovation (e.g., Sutter
  Health in the 2000s)

4
Drivers Toward User Dominance

• Pent-up user demand
• Need for staff flexibility
• Growth in the IT services industry
• Users desire to control their own destiny
• Fit with the organization

5
Drivers Toward a Centralized IT Structure

• Staff professionalism
• Standard setting and ensuring system
  maintainability
• Envisioning possibilities and determining
  feasibility
• Corporate data management
• Cost estimation and analysis

6
Coordination
SharingResponsibilities
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IT Responsibilities

• Develop and manage long-term architectural plan
  and ensure new projects fit with the plan
• Develop process to establish, maintain and evolve
  company standards
• Establish procedures to consider outsourcing of
  proposed projects
• Inventory of installed and planned systems and
  services
• Identify career paths of IT staff
• Provide users with better understanding of IT
  costs
• Ensure compatibility of new acquisitions

8
IT Responsibilities

• Identify and maintain relationships with
  preferred suppliers
• Educate users of benefits and pitfalls of new
  technologies
• Periodically review legacy systems

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User Responsibilities

• Get the big picture of IT and the organization
• Realistically estimate costs of deploying IT
• Get user support (buy-in) of new projects
• Match staffing to relevancy of IT to business
  strategy
• Audit system reliability standards,
  communications services performance, and security
  procedures
• Get involved with planning

10
Management Support

• Balance IT and business user dominance
• Ensure comprehensive corporate IT strategy
• Manage inventory of hardware and software systems
  and services
• Establish standards for acquisitions, development
  and IT systems operations
• Facilitate transfer of technology throughout the
  organization
• Encourage technical experimentation
• Planning and control link IT to companys goals

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Strategic Grid
User-driven vs. IT-driven
High
Strategic Strategic IT plan, initiatives
Factory Operational IT
IT Impact on Business Operations
Support Basic elements
Turnaround Gradual adoption
Low
IT Impact on Strategy
High
Low
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Leadership and GovernanceManagement vs.
Leadership

• Managers
• Managers have subordinates
• Managers have a position of authority vested in
  them by the company, and their subordinates work
  for them and largely do as they are told
• Managers are paid to get things done
• Due to their backgrounds, managers generally like
  to run a happy ship

http//changingminds.org/disciplines/leadership/ar
ticles/manager_leader.htm
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Leadership and GovernanceManagement vs.
Leadership

• Leaders
• Leaders have followers
• Appeal to followers, showing how following them
  will lead to their (followers) hearts' desire
• Always good with people, and have quiet styles
  that give credit to others (and takes blame on
  themselves)
• Are very effective at creating the loyalty that
  great leaders engender
• Appeared as risk-seeking, although they are not
  blind thrill-seekers

http//changingminds.org/disciplines/leadership/ar
ticles/manager_leader.htm
14
 
http//changingminds.org/disciplines/leadership/ar
ticles/manager_leader.htm
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Managers vs. Leaders

• The manager administers the leader innovates
• The manager maintains the leader develops
• The manager accepts reality the leader
  investigates it
• The manager focuses on systems and structures
  the leader focuses on people
• The manager relies on control the leader
  inspires trust
• The manager has a short-range view the leader
  has a long-range perspective
• The manager asks how and when the leader asks
  what and why
• The manager has his or her eye always on the
  bottom line the leader has his or her eye on the
  horizon
• The manager imitates the leader originates
• The manager accepts the status quo the leader
  challenges it
• The manager is the classic good soldier the
  leader is his or her own person

http//www.telusplanet.net/public/pdcoutts/leaders
hip/LdrVsMngt.htm
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Three Rules of Leadership

• Rule 1 You must have or develop the skill, and
  take the time to find out what is in the
  follower's mind concerning his situation and how
  he perceives you
• Know what is perceives as negative
• Create and manage a system of feedback loops that
  keep people in permanent touch with follower
  mindset
• Rule 2 To be a powerful leader, you must present
  your "leaderself" to others, rather than your
  natural self
• Do exactly the leadership behavior called for by
  the situation
• Rule 3 To create an effective leaderself, you
  must operate from self-awareness rather than from
  an automatic mind
• Focus on the good of the whole

http//www.businessleader.com/bl/sep97/leadrshp.ht
ml
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Four Competencies of Leadership

• Know ourselves very, very well
• Recognizing that all of us are actually three
  people in one what we are, what we think we are,
  and what others think we are
• Know our peoplethoroughly
• Be able to motivate people with the right ideas,
  the right work, and the right methods or
  techniques
• Highly competent on the technical and people
  sides of our job if we intend to be successful
• Know the laws and principles of leadership and
  management as they relate to leading ourselves
  and people
• If you want to play the game, you've got to know
  the rules

http//www.leadershiphelp.com/introduction.cfm?sho
w4
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Four Key Principles of LeadershipMark Willes,
former COO of General Mills

• Lead
• Set high standards
• Empower others
• Accountability
• Kindle passion
• People will work for a living but they'll die
  for a cause

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IT Governance Definitions

• A generic term which describes the ways in which
  rights and responsibilities are shared between
  the various corporate participants, especially
  the management and the shareholders.

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IT Governance Definitions

• The relationship between the shareholders,
  directors and management of a company, as defined
  by the corporate charter, bylaws, formal policy
  and rule of law.

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IT Governance Definitions

• Corporate governance is the method by which a
  corporation is directed, administered or
  controlled. It includes the laws and customs
  affecting that direction, as well as the goals
  for which it is governed. The principal
  participants are the shareholders, management and
  the board of directors. Other participants
  include regulators, employees, suppliers,
  partners, customers, constituents (for elected
  bodies) and the general community.

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IT Governance Definitions

• The term "governance" refers to the
  decision-making processes in the administration
  of an organization.
• Different nations and different organizations
  within a nation may approach governance concerns
  (who makes decisions? who pays the bills?) in
  very different ways. 

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IT Governance Definitions

• Gartner defines Governance as the assignment of
  decision rights and the accountability framework
  to encourage desirable behavior in the use of
  IT.
• In plain English, IT Governance is the rules and
  regulations under which an IT department
  functions. It is a mechanism, put in place to
  ensure compliance with those rules and
  regulations.

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IT Governance

• Involves
• Policies and procedures that specify and guide
  decision making and the actions of people
• Specifying the responsibilities of management,
  employees and shareholders (stakeholders), and
  decision rights
• Administering the policies and procedures in
  daily operations
• Adhering to the policies and procedure in short-
  and long-term planning