Improving the value of services is all about understanding what the business is trying to accomplish and express it in business terms everyone can understand. It’s not about the technology of the service, but the value the service provides the business Rebecca Jacoby CIO, CISCO
Improving the business value of IT services is a goal every CIO strives to achieve. Accomplishing this objective requires a process to assess, analyze, improve, and monitor the business value IT services provide the enterprise.
How IT Services Provide Business Value
Business environment
- Business Processes Across the Enterprise Value Chain Create Customer Value, Drive Revenue/Margin, Enhance Shareholder Wealth
- Key Performance Indicators Measure the Effectiveness of Business
Process IT environment
- IT Provides a Set of Business and Technical Services that Support
Business Processes
- Key IT Service Metrics Measure the Efficiency of Business Services
Challenge
- How to Measure the Impact that Business Services Have on Adobe Business Processes
- How do Analyze Process and Business Service Performance to Identify Opportunities for Improvement that Drive Business Outcomes
Methodology Framework to Improve the Value of IT Services
- Develop process/IT services alignment map
- Identify process KPI/key IT services metrics
- Assess process/IT services maturity
- Measure/analyze/report/revisit/optimize
Summary
Improving the business value of IT services, and communicating its value to the business, is a critical component for a strategic CIO to succeed in gaining credibility with the business. In this lesson, we have
- Identified a four-step framework for assessing, analyzing, measuring, and communicating the business value of IT services
- Reinforced the need to measure the maturity of your key business processes
- Discussed the use of an assessment framework to help you measure the effectiveness of business processes as well as the efficiency of how well IT delivers services to enable those processes
- Highlighted a CIO dashboard used by Synopsys as well as a solution from Apptio that addresses Technology Business Management (TBM), a new discipline created by Apptio
The key messages of the chapter are as follows:
- CIOs must communicate the business value IT services provide the business.
- CIOs need to assess how well IT services provide business value as well as to measure how efficiently each IT service is executed.
- There is a process CIOs can use to measure the effectiveness and efficiency of IT services