The arrival of IT-enabled capacity and capability on-demand enable the business to achieve the desired outcome, with maturity attributes, such as "quality," “agility,” “flexibility,” "value," and ”measurability."
With “VUCA” digital new normal, IT continues to grow in importance to organizations, both operationally and as a competitive advantage. Digital IT organizations achieve high-performance business results and strategic flexibility by developing a set of differentiated business competencies.
The emergent IT consumerization trends transform IT from monolithic to mosaic; the arrival of capacity and capability on demand will change the organizational mission, structure, and skillsets of enterprise IT and reinvent IT as a strategic business partner.
Changing from delivery of IT products/services to developing business capabilities: Due to the rapid changes, more and more businesses expect the consumerization style responsiveness from IT and make IT management shift from inside-out operation driven to outside-in business-oriented; from delivery of IT products/services to developing IT-enabled business capabilities. In fact, nowadays IT is the linchpin to knit all critical business elements into a unique set of business competencies.
To improve IT organizational maturity, IT management should make an objective assessment of their organizational strength and weakness, including assessing on-demand IT-enabled business capability and capacity. The collections of IT-driven business initiatives and programs help the company achieve its targeted performance. The arrival of IT-enabled organizational capacity and capability on demand can significantly improve business responsiveness and the success rate of strategy management.
Striking the right balance of operational excellence and innovation fluency: IT enablement of high business performance is all about planning, funding, designing, operating, securing, optimizing for building business competency. IT management should support the existing environment by providing reliable secure infrastructure and maintaining the application portfolio while deploying innovative value-generating via business cost optimization and revenue-generating initiatives that are leveraging technologies.
To shape IT-enabled organizational capacity and capability on-demand, IT management must ensure that application development does not proceed without a "clear business rationale"; shorten the project management cycle, strike the right balance of operational excellence and innovation fluency, and bring the value to the company with continuous deliveries consistently.
Minding IT skills gap and deepening IT professional expertise: To reinvent IT as a strategic partner, people with the mix of technical, business and leadership skills are so critical in today’s IT organizations, as the pool of talent with business savvy and tech knowledge will be drawn dry quickly. The architecture, service management, and other “generalist” roles are in demand to bridge the gap between business and IT and develop on-demand IT-enabled organizational capacity and capability. So a new IT role will have a more business relationship management approach rather than purely technical skills. The IT talent competency model & methodology need to be updated to well reflect the trend.
An effective IT organization should focus more on vendor/customer relationship management, process optimization, project portfolio management, governance, business Intelligence, and make an influence on the culture/change management. IT professionals will deepen their expertise in sourcing, vendor management, and data acquisition and management; they will support collaboration across enterprises and communities via the on-demand delivery model.
Defining and measuring IT KPIs which roll into the business key performance metrics: Normally organizations look for metrics measuring business results generated by IT-driven business initiatives. You can now create a true business equation with IT as a contributor or success factor to the business. It’s important to define the right performance measurements and KPIs, track them down, and know what to do with them, and understand the performance improvement. To gain a complete picture, sometimes you need a number of measures around the same issue via triangulation - use varying sources, measures, and methods of collection/analysis for each.
Select a set of measurements that are seen as critical to making continuous progress. In many companies, a pervasive obsession for purely quantitative measurement or numerical performance indicators sweeps aside much of the softer and more qualitative information that is crucial in developing differentiated business competency, etc. It's important to analyze total cost, total value, and the total impact of developing IT-enabled organizational competency in order to improve the success rate of strategy management.
The capability is the ability to achieve the desired effect under specified performance, standards, and conditions through combinations of ways and means (activities and resources) to perform a set of activities. Capability management is to manage 'capacity +ability.' The arrival of IT-enabled capacity and capability on-demand enable the business to achieve the desired outcome, with maturity attributes, such as "quality," “agility,” “flexibility,” "value," and ”measurability."
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