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June 11, 2005
The Business Optimization of IT
Should enterprise IT organizations (ITOs) be modeled to run like an autonomous business partnered or contracted to its enterprise client, or to run like a captive business within the enterprise business?
It may seem that the jury is permanently out on this, as various theories abound on the relationship between the enterprise's business model, business strategy, ITO models and IT Strategy. Over time, certain relationships may prove to predominate for businesses of given industry, scale and maturity.
Meanwhile presuming that the business pays for IT, which means that the business is the "customer", what should surface as a set of "constants" is the breakout of how IT management is optimized to business concerns, and how that optimization actually makes a difference to the business.
Every business must organize IT in a way that is visibly logical when handling three critical challenges to business-oriented control and capacity:
- Availability versus Costs
- Demand versus Operations
- Risks versus Requirements
The following Archestra framework illustrates the relationship of issues pertaining to that optimization and differentiation.
Posted by Malcolm Ryder at June 11, 2005 5:08 PM
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