You may have a crucial grasp of a company's technology needs, but,
says John Handby, if you fail to speak your colleagues' language,
you won't get very far
Last month I wrote about the mission-critical Chief Information
Officer and the pivotal role he/she occupies in today's companies.
Nowhere is this more the case than in providing the technology
leadership necessary to determine strategic directions.
For many business colleagues, IT is hardly at the top of the list
of fascinating subjects. For some, it remains a black art, for
others it is a confusing world of hype and conflicting claims. But
in recent years, IT has made a spectacular climb on to the board
agenda. Now, the task of the CIO is to help colleagues understand
how to make the best use of this technology to build the
business.
What I have found most critical in moving between companies and
sectors is to understand what drives the business, the company
environment in which any technology investment has to make sense,
and the culture in which it must operate. The whole approach to
managing IT, and certainly determining the right strategic
direction, should be based on this. Technology has no value in
itself and is a cost to the business. It must therefore deliver
something of real relevance to the particular company to be seen as
worthwhile.
Interestingly, most of the best success stories have not been based
on the latest technology, but on an innovative business idea that
builds on established systems. Examples of this are the original
move by First Direct into telephone banking, the use of computer
systems by the automotive industry to link together
 |  | The CIO is particularly qualified
to adopt a wider role in determining strategic directions within
the company |  | | | | |
|  | John Handby |  |  |
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companies within the value chain, and the drive by supermarkets
such as Tesco and Sainsbury's to improve the efficiency of their
operations through automation of store replenishment. In all these
cases, the technology that powered these developments had been
around for some time - the key was vision on the part of management
teams about how it could be used.
The role of the CIO as strategic visionary is often a difficult
one. He or she must act as a catalyst within the organisation,
explaining
 |  | Most [companies] adopt a 'salami
slicing' approach to strategic thinking with constant revisions
over time. This is a real challenge for the CIO. |  | | | | |
|  | John Handby |  |  |
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and debating with colleagues in terms that have relevance to them.
In many ways, the CIO is particularly qualified to adopt a wider
role in determining strategic directions within the company, given
the nature of the position - ensuring that he/she sees across the
company, has both a long and short-term view, and generally takes a
broad perspective. In these circumstances it is no wonder that CEOs
are increasingly viewing the new breed of CIOs as a valuable
resource for their company.
Communication is the key to success in persuading colleagues to
consider technology-based strategies. The CIO is in a unique
position to cut through the hype that surrounds IT and present the
opportunities in business terms that switch on their colleagues,
rather than technobabble that will switch them off.
I once had to 'sell' a massive investment in computer systems to a
government minister (we are here talking about a programme worth
£2bn in the early 1980s). The permanent secretary heading the
department of state I worked in insisted on a full rehearsal of my
presentation before I went near the minister. I thought I had
removed all jargon from what I wanted to say, but he soon corrected
me on that. I rewrote the presentation in terms that the minister
would relate to more easily. Needless to say we got approval for
the programme and I have never forgotten the lesson.
The toughest trick for the top management team of any company is
being prepared to see where the business needs to be and to take
sufficiently radical decisions to deliver the vision. Most adopt a
"salami slicing" approach to strategic thinking instead, with
constant revisions over time. This is a real challenge for the CIO
who has to plan over the long term for rolling out major systems,
clearing up legacy, determining sourcing policies etc. But nobody
said it would be easy!
John Handby is a Director of CIO Connect, the UK forum
for senior IT executives. He has previously held a succession of
CIO positions for major organisations including Glaxo Welcome,
National Power, the Post Office (now known as Consignia) and in
central government.