Enterprises have more data now than ever before. And the volume continues to increase exponentially, fueled by growing digital business capabilities and the Internet of Things. Naturally, this leads to concerns about data quality. Enterprises need to know who owns the data. They also need to determine the validity of their data, know if something is missing, and how confident they can be in making decisions based on the data they collect.
When it comes to managing IT spend—a field that has traditionally suffered from questionable data and a lack of visibility—Technology Business Management (TBM) is a powerful antidote.
Without a rigorous data validation process, most enterprises face the inevitability of “dirty data.” Validating it requires asking several questions, including how the data flows through enterprise systems, whether there is an auditable trail, and where process points exist that are subject to error. These may include data migrations, undocumented changes to source systems, human error, integration of external data and the existence of siloed data that was never captured.
As we build multi-dimensional TBM strategies, it’s important to remember that TBM isn’t simply technology. Each of the six dimensions is interdependent and, as a result, drives changes and innovation throughout the business. Automated benchmarking, for example, which is a fundamental part of a TBM transformation, reveals never-before-seen insights into IT cost data. What do you do with those insights? While cost may have been the primary focus of the benchmarking exercise, insights can also drive improvements and innovations in productivity, quality, activity volumes, process maturity and end-user satisfaction.
A multi-cloud, hybrid-IT approach, paired with the cost rigor of the TBM process, will enable enterprises to analyze apps and workloads, and move each to the most appropriate delivery model. The biggest challenge in moving to this more efficient hybrid-IT strategy is lack of information. TBM enables businesses to make cloud decisions based on total cost of ownership (TCO). Once you’re on a repeatable path that is supported by market insights, the real work begins. This is when the IT organization transforms from a mere builder of technology to a supplier of technology services, providing users with the services they want at the speed they need and in a controlled and governed environment.
Each of the six dimensions of TBM—people, process, technology, strategy, data and analytics—is designed to support the integration of IT financial management and IT services management. This is why our Services Integration and Management (SIAM) framework—a series of processes captured within the IT services management framework and lifecycle—is a key component to a successful TBM journey. The SIAM framework extends TBM principles into other parts of the business, giving enterprises a broader understanding of the ways IT drives meaningful transformation throughout the entire company. Contact me to discuss further. And for more insights, view the webinar here.About the author
Alex-Paul works closely with enterprise leaders, IT finance managers and IT business unit leaders to help implement the discipline of Technology Business Management (TBM) into their organizations and optimize their enterprise IT. He advises both commercial and public sector organizations on the adoption of TBM programs, designs fact-based analytical strategies and supports broader IT transformation initiatives. His development of a strategic TBM multi-dimensional framework addressing people, process, data, analytics, technology and strategy is part of ISG’s industry-leading set of market best practices and methodologies. His thought leadership has been featured in CIO Review, MiddleMarket Executive and the TBM Council’s book The Four Value Conversations CIOs Must Have with Their Businesses.