IT for free? Where do I get IT?

Today I heard it again, that age old statement that is haunting many IT organizations that I meet with: they simply don’t have enough IT resource to meet the business expectations. Of course when I speak to the business I hear the complaints that IT is too slow, too cumbersome, not nimble. In short both parties are not happy resulting in significant trust issues between the business and IT. In the end, this has driven the business to obtain IT enabled business services directly from suppliers completely bypassing IT.

To solve this issue, we must understand the root of the problem. 

Based on my personal research to date, fundamentally IT needs to manage its own business effectively and efficiently demonstrate value back to the business to regain trust. To do this, one of the first requirements, is to provide financial insight back to the business. Providing financial insight is a foundational component to ensuring that IT effectively manages the business of IT and also can communicate costs for services back to the business.

To deliver financial visibility to the business requires an understanding of consumption by the business. To do this, IT needs to create a system of record to automatically calculate consumption in financial terms and collect operational metrics on physical, virtual or cloud service usage and apply it across the business.

One of the analogies I often use is this: If you go for a burger, the store is going to charge you, so you will base your decision on a balance of price and hunger. The same should hold true for IT. IT-enabled business services are not free. The business should use the cost to assist in its choice of service and use the cost of delivery as a mechanism to determine what is delivered in-house and what is procured through service providers.

Now I am hungry. Off for a burger.

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Robert Stroud

Vice President Strategy & Innovation IT Business Management at CA Technologies
Robert Stroud is vice president of innovation and strategy for IT Business Management at CA Technologies. Rob is dedicated to the development of industry trends, strategy and communication of industry best practices. Rob is a strong advocate for the governance, security, risk and assurance communities working closely with the community to author, develop and communicate standards and best practices. Rob also advises organizations on their implementations to ensure they drive maximum business value from their investments in IT-enabled business governance. Following a four-year term as an ISACA International vice president, Rob served on the ISACA Strategic Advisory Council, and is currently serving as ISACA ISO Liaison sub-committee. Earlier, Rob served on the itSMF International Board as Treasurer and Director Audit, Standards and Compliance, the itSMF ISO liaisons to multiple working groups and spent multiple years on the board of the itSMF USA. An accomplished author and blogger, Rob is widely recognized for perspectives on industry trends. He also has contributed to multiple standards publications including COBIT 4.0, 4.1 and COBIT 5, Guidance for Basel II and several ISO standards. Rob served as an active member of the ITIL Update Project Board for ITIL 2011 and in various roles in the development of ITIL v3 including the Advisory Group, mentor and reviewer. Prior to joining CA Technologies, Rob spent more than 15 years in the finance industry successfully managing multiple initiatives in both IT and retail banking sectors related to security, service management and process governance. Follow Rob on Twitter: @RobertEStroud

This article has 1 comment

  1. Wow, really? Never knew they offered free IT services anymore.

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