“Why am I working for the machine? Isn’t it supposed to make my business work better?” cries Mary frustrated at the limited capabilities of her system.
To many business managers it is their IT systems that run them instead of being a tool to aid the smooth flow of business. Ultimately it is customer satisfaction that will suffer if IT systems fail to support the business operation adequately. It may seem that this is an age-old problem, but with the advent of modern systems we should be able to focus resolving business issues instead of resolving programming issues.
The modern generation of off-the-shelf applications provide mature solutions, but they can come with a price – the need to change how our business functions in-order to fit the needs of the package. One of the major challenges of implementations today is identifying how our own corporation functions versus ‘standard’ industry practices. ERP and other application software vendors clamour for your corporation to fit their model, but this is not always desirable.
At the end-of-the-day if the solution does not fully support the business process then this leads to problems. Applications and IT systems are simply business tools (albeit complex ones) that should assist any business to run more efficiently. To many it is the machine-human interface that can be the source of all our problems. To some extent this is true, but in the modern era Information Technology must be integrated into the very being of the business. Information flow is one of the keys to success and this is true whether we have a single corporate system or discrete specialist systems supporting individual business functions.
Even the little mum ’n’ pop corner store is run by a PC these days (and not just the till transactions – they often order and re-order stock through electronic transmission protocols). Business faces complex decisions that relate to every single business transaction, many undoubtedly simplify our lives no-end – e.g. the stock check that is made whilst the customer is on the phone ordering a product. The customer, through the use of on-line capabilities, can be kept informed of the progress of his order, including knowing when it will arrive on his doorstep. Do it right and customer satisfaction is heightened, do it wrong and at the worst we can lose the customer as well as losing the sale.
Nothing said here should be unfamiliar – it is how we expect it to happen. So how do we ensure that Information Technology is integrated into the core of our business? Businesses are undergoing a profound cultural change. The global challenge is to leverage information as a part of the business function. IT can no longer solely be the domain of the DBA or programmer. Business and IT strategies should share a corporate goal, delivering total business results. A younger generation of business participants are more IT savvy, and are adept at leveraging all the tools available. Employees are demanding greater integration between the business and technology in order that they can be more effective in their jobs.
Business applications demand a consistent approach across multiple channels, particularly those that are customer facing. The need for the Customer Service Agent to continue and complete a part-made Internet based application for a motor insurance policy is vital when the perspective customer comes across a question she does not understand. The perspective customer will become a loyal customer because of the way the technology and business capability integrate effectively.
Ultimately the IT team may be the only business unit retaining a wide functional knowledge based on how each department functions as well as a detailed understanding of the technology. The Chief Information Officer should be emerging as a business leader, understanding the full impact of the functioning business model.
We must remember that there is no such thing as an IT initiative. All change initiatives that are invoked are business initiatives, even if they are ultimately managed by IT personnel. The IT team has important skills in managing project delivery, but every project requires strong senior management commitment across all impacted areas of the business, the stakeholders. The best managed projects will all have strong business commitment, including implementation team members from each impacted department.
The result of integrating IT into the core of the business is to drive superior business performance and aid new business possibilities. The adaptable business will be able to react to a changing market-place and build our business in new directions.
