In 2018, IT spend in South Africa totaled a whopping R276.6 billion (Gartner, Inc). The core challenge remains determining how to derive value from all this investment…
People, Process and Technology:
This is the foundation of any established IT management domain. It may come with proprietary terminology and be straight from a governance framework playbook, or it could be a customized set of rules based on requirements for your own environment. Whether you are the owner, an outsourced service provider, consultant or even vendor, you will need to fulfill your role within the boundaries of this framework.
In the building, maintenance and management of any IT environment, direct costs are incurred from the People and the Technology. These two terms represent most expenditures from infrastructure to cloud and software subscriptions, to permanent employees, consultants and service providers.
Unpacking all of this, you end up with all of the building blocks that show up on the company’s financial ledgers against IT. All of these building blocks put together are what IT has to ensure delivery of a service that enables business.
To best deliver a service that satisfies requirements, there are questions that need answering like:
Which team looks after WAN CE links?
What dashboard(s) do you grant to service provider XYZ?
Which processes should I keep internal and which should I entrust to an outsourced provider?
What SLA’s need to be negotiated and imposed on each team involved in service delivery?
… to name but a few. As a whole, questions related to this will very likely range far beyond these and dig much more into particular details.
It is indeed a daunting challenge.
With due respect to all vendors and service providers, there is seldom a clear winner when it comes to a particular software toolset and the same can be said about service providers. A few obvious choices come to mind but most purchases, that are seen as strategically important, go through a like-for-like comparison, exhaustive and often extended proofs of concept as well as carefully negotiated contracts terms.
In and of its nature, this purchasing of software or signing of service agreements is something that experience can teach you. The rules of the game do not change all that often and investing in technology can – in most cases – be measured and justified by a prior success internally or reference sites where the same purchase has proven to be successful. “Company A” might thrive on open source software and specialists capable of running systems smoothly, in which case you could follow the same mix of skills and solution sets. Or “Company B” is able to show ROI on high end proprietary solutions that come with marquee price-tags, in which case a value proposition can be built.
Despite having to service your own unique environment, there is most certainly a recipe for buying toolsets and selecting service providers or employees to meet your own requirements.
Why then, do some succeed and others fails with certain technology toolsets?
OR at the same token, why do some partnerships with a service provider work, while others do not?
If you have followed along to this point, it should be obvious that the third part of the introductory management framework has been left well alone. It is the part that cannot be purchased, but instead that each management team needs to build, grow and evolve to suit the needs of their own business:
This is the “secret sauce” unique to each environment that can ensure success.
Without it, any mix of “end-to-end” solution sets won’t work, nor will any amount of product specialists run an IT environment successfully. The process is what defines who gets the correct information at the right time and what to do with this information.
There should be a set procedure for every eventuality in an IT infrastructure. If an event occurs that impacts the ERP system, what remedial steps need to be taken and who needs to be informed?
What is the time frame and standard response to resolve an incident? Which steps in this procedure is repeated and thus suitable to automate?
Unfortunately, process is often overlooked. Not to the extent there is no process, but rather that the process is not adapted to changes within the environment. The trick is to acknowledge that this is a “live” document and to ensure that these adaptations are made to keep in line with today’s environment.
A technology specialist might leave the organization and someone inexperienced is appointed as custodian of a system they cannot properly use. There might be changes in your company’s e-mail or internal communications and the automated messages are just not being delivered anymore. Any part of the IT infrastructure that changes will have an impact on the tools used and the people running them and vice versa.
Provided that the process is documented and available to the various stakeholders and responsible parties, the impact of the changes mentioned above can be minimized. It enables one person to hand over to his or her successor and could be used to outline minimum requirements for replacement software. The process lays the platform for growth and sustainability in how IT delivers value to business. You cannot get this off the shelf, but if it is not maintained, your process can be the most costly component of your IT management framework. We can therefore safely say that effective and efficient processes are paramount to deriving value from your investment in IT!