Friday, October 5, 2018

The New Book “The Change Agent CIO” Introduction Chapter VIII Play the Number Game Wisely

Managing digital performance and improving business results as an iterative continuum means setting metrics, adjusting plans, measuring performance and understanding results dynamically. 

"You can’t manage it if you don’t measure.” It is an old adage for modern business management. A performance measurement system is a necessary foundation for continuous improvement. Performance metrics are numbers in context, results in related to the strategic goals of the business. Digital leaders today should continually ask themselves: Which goals shall you achieve through measurement? Can you play the number game wisely either for unlocking IT performance, improving business management effectiveness or lifting the overall business maturity?

Select the right set of performance indicators: Selecting the right Key Performance Indicators is one of the most important steps in IT measurement and performance management because IT performance processes include answering the questions such as: Why are you choosing them? How will you use them and, do you have enough resources to manage data and present them persuasively. Select the right set of indicators of IT improvement, innovation, and investment, really focus on key metrics that correlate to better business outcomes and measure them effectively. A set of IT performance indicators should show a clear link to C-Level executives between IT efficiency and top-line revenue generation. This increasingly puts emphasis on the complex personal interactions required to make IT function as a strategic partner of the business and present IT as an integral part of the company.

Track the right metrics: Measurement is always the means to the end, not the end itself. Define how you will measure the business success in meeting that purpose and vision. Digital IT is customer-centric. Thus, IT metrics must get focused on the end users. Tracking metrics and benchmarking is essential to IT transformation. But you need to do it wisely; otherwise, it will consume a lot of energy, but decrease business effectiveness and efficiency. IT management scorecards could be a practical tool for improving IT performance effectiveness if it helps to consolidate and visualize IT performance data, and makes it available for comparison with peers, to keep up with the rapid pace of changes in the digital era.

Act on what the performance indicators are telling you: An effective CIO’s job is to improve operations to reduce the burden on the company while trying to stay current with ever-changing technologies and business dynamic. Ask whether the metrics can reveal anything meaningful for the identified purpose and varying stakeholders. Contextually, the measurement method is to persuade management the progress of changes and strategy execution. Business leaders have to use those metrics and benchmark data in a way that motivates and improves the organization. When organizations use it as a hammer to drive out the cost, it can become a de-motivator to the workforce and cause organizations to lose competitiveness while achieving only a short-term cost improvement.

Managing digital performance and improving business results as an iterative continuum means setting metrics, adjusting plans, measuring performance and understanding results dynamically. The measurement should cover all areas that contribute to business value creation including products/service quality, change progress, employee engagement, customer satisfaction, and financial outcomes, leverage the measurement result for making decisions to ensure that the strategic goals are on the right track to achieve.

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The New Book "The Change Agent CIO: The CIO's Dynamic Role of Leading Digital Transformation" Introduction

The New Book “The Change Agent CIO” Introduction Chapter 1 The Digital CIO as Change Agent

The New Book “The Change Agent CIO” Introduction  Chapter 2 The Pervasive Change and Digitalization

The New Book “The Change Agent CIO” Introduction Chapter 3 The Digital IT Change Agenda

The New Book “The Change Agent CIO” Introduction Chapter IV The Digital IT Change Practices

The New Book “The Change Agent CIO” Introduction Chapter V IT Innovation and Intrapreneurship

The New Book “The Change Agent CIO” Introduction Chapter VI: The Digital Change Agent

The New Book “The Change Agent CIO” Introduction Chapter VII Avoid Pitfalls to Run Dynamic Digital IT

The New Book “The Change Agent CIO” Introduction Chapter VIII Play the Number Game Wisely

The New Book “The Change Agent CIO” Quote Collection I

The New Book “The Change Agent CIO” Quote Collection II

The New Book “The Change Agent CIO” Quote Collection III







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