As centralized IT departments work to improve the services they offer to minimize the use of shadow technologies, they need to also institute IT governance processes to improve how business and IT work together, according to Derek Lonsdale, IT transformation leader and Lean expert for PA Consulting. In this webcast presentation, Lonsdale explains four main IT governance processes that will help CIOs mitigate shadow IT, get more value from technology and improve IT-business collaboration.
Editor's note: The following is a transcript of the fifth of five parts of Lonsdale's webcast presentation on coping with shadow IT.
Derek Lonsdale: How do we have an engagement model that provides things like governance for accountability, single points of contact? Do we have good business relationship managers in place? And I'm finding this is becoming more formal. Those BRMs are one of those really key roles that help the business and help IT. They're basically account managers for the link between business and IT. He or she is a single point of contact for discussing business requirements and priorities, and they need to understand today's requirements as well as the future's. And I can't stress [enough]: This is a really key role, especially if we want to understand the business better.
And then we want to go into the service processes. So, supporting governance is the service portfolio management and the service catalog. That helps us get the generation of ideas, the filtering of ideas, we define services, we turn that into operational or live services, and then we can use that service portfolio to make investment decisions that drive genuine strategic thinking. So it's one of the more strategic processes. I think it absolutely helps with the accountability piece, but it also helps demand and it's one of the things that is used by the BRMs in particular. … The BRMs are one of the main users of the service catalogs so they can determine if an existing IT service meets a business requirement or whether we need to develop a new IT service.
See the rest of this webcast presentation on shadow technology
Part 1: What brought us to renegade IT
Part 2: Earn the right to deliver services
Part 3: Understanding the business better
Part 4: Embrace change and deliver subject matter expertise
How better IT-business collaboration can improve mitigation of shadow IT
Lonsdale: [Regarding the bulletpoint] "Introduction of a technical review board": I worked with a client a few years ago that had nine different IT asset management tools, so they were wasting money in a huge way by having so many duplicate tools. And they cleverly introduced a technical review board that started to drive the behavior that optimized existing tools. They also ensured that before a new piece of technology was purchased that a prerequisite was that processes were designed. So I've worked in many organizations through service management and other IT projects where a piece of technology was bought before the process was designed and then you'd find that the process doesn't work properly or that the technology doesn't automate the processes that we've designed, and you're just wasting money.
So again, that would be a great question to ask the listeners of this webinar: How many of you bought a tool before designing the processes that the tool was designed to automate? I'd love to know the answer to that. … We focus too much on buying the tools. I think if we introduce a technical review board, we'll really save a lot of money in IT and it'll save the business a lot of money as well.
The sooner IT can get involved in designing a new service I think the more improvement we can see in the design of that new service. So the enterprise architecture team being involved in conceptual design: Can it be cloud-based? Does it need to be behind our firewall? What are the high-level concepts behind the design? We might be able to find more effective ways to integrate the technology and the data, the point I raised earlier about maybe other parts of the organization using Salesforce data.
Questions about this webcast presentation on how IT governance processes can help minimize the impact of shadow IT at your company? Email firstname.lastname@example.org.