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How to align business goals and IT spending

Tushar K. Hazra, a senior consultant at Cutter Consortium, shares seven rules to help enterprises align business goals and IT spending.

For any enterprise to be successful, aligning business goals and IT spending is crucial. Tushar K. Hazra, a senior consultant at Cutter Consortium's Business and Architecture practice in Arlington, Mass., believes he has seven rules that can help with any organization's business-IT alignment efforts. From identifying the true cost benefits of IT projects to defining every employee's role, here are his ground rules:

  1. Recognize the expectations of business sponsors.
  2. Identify the true (not derived) cost benefits of IT projects.
  3. Review how business values will be measured. Without quantitative measures, there's no way to take corrective action.
  4. Define the roles and responsibilities of every employee, a prerequisite for accountability.
  5. Capture requirements for compliance with regulations, policies and procedures. "In terms of information architecture, compliance lets you do a better job," says Hazra.
  6. Agree on periodic milestone reviews, inspections and deliverables.
  7. Build and manage ground rules with incremental improvements from lessons learned. This offers a consistent way to manage relationships between business and IT groups.


This was last published in October 2005

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What practices have helped you align IT and the business?