IllustroTech Introduction to IT Governance Principles

IllustroTech Introduction to IT Governance Principles

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  Includes Three Bonus Principles IT Governance Includes TWO BONUS PRINCIPLES
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  The Challenge IT isa service to the business Is the tail wagging the dog? illustrotech.com
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  IT Success Critical toBusiness Success illustrotech.com Expensive: Average 4.5% Revenue Pervasive: Used throughout the organization Intensive: Business resource stakeholders invest significant time specifying, approving using and requesting upgrades of tools and systems Competitive: Ever evolving and new technologies increase efficiency – inability to adopt/adapt quickly can impact effectiveness or miss opportunity.
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  Your organization probably already hasFinancial Governance illustrotech.com
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  Growing organizations neverhave enough resources to do everything they want – they have to prioritize Limited IT resources are best used when effort is governed to projects that align with the strategy of the organization illustrotech.com
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  IT GOVERNANCE a processto illuminate and prioritize the Portfolio of IT Projects illustrotech.com
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  IT Governance KeyPoints illustrotech.com Transparent Process drives trust between Business and IT Collaboration and Common Nomenclature ensure a culture of mutual accountability Decision Authority makes clear who decides on start and toll-gate go/no-go Oversight on the portfolio of IT Projects
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  Most organizations forwhom IT is a service have unhappy clients: stakeholders who are unclear on why their work is not getting done. Transparent communication and collaboration on the IT portfolio prioritization is a way to ensure stakeholders know what is going on – they still may not be happy, but will be illuminated as to why. illustrotech.com BONUS PRINCIPLE #1
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  illustrotech.com High Level ITGovernance Process Evaluate and approve business case proposals Understand risk and develop mitigation strategies Request proposals or investigation of a business case for key initiatives Prioritize among all initiatives Identify and track success metrics Review projects for continuation – enable a simple Toll Gate review process for go/no-go decisions Identify and harness existing best practices Manage exception process
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  IT Governance Objective Establishtechnology principles and priorities illustrotech.com Promote trust and respect between IT and the business Build a culture of mutual accountability between IT and the business Create transparency into technology projects and resources Enable a simplified Toll Gate review process for go/no go decisions Understand risk and develop mitigation strategies Identify and track measures of success Educate: establish common nomenclature and how technology touches the business Identify and harness existing best practices
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  Example* IT GovernanceTiers illustrotech.com *Tiers vary by organization size and decision rights. Decision Maker(s) IT Governance Council Technology Advisory Group Organization Members/Stakeholders
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  IT Governance Council illustrotech.com •Executive business sponsors • IT Executive • Request projects be investigated • Review projects and prioritization queue • Make recommendation for project start, toll- gate and prioritization “IGC”
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  Executive IT Right™ Ifyou “Own” IT: You or the senior team member you designate has the responsibility to understand. You are smart and accomplished in your discipline… You have the right to understand how technology helps and impacts your business. illustrotech.com Understanding does not mean knowing how to do it. BONUS PRINCIPLE #2
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  Technology Advisory Group illustrotech.com •Experts in various departments/functions/etc. of the organization • Assemble project business cases • Assemble the portfolio view of projects: • Underway • Prepared/Planned for execution • Expected in the project (budget) cycle • Envisioned/seen for the next budget cycle or having deferred maintenance “TAG”
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  Business Case: Key ITGovernance Artifact illustrotech.com In non-technical language how is this impacting the business?Business Problem User Experience, Lost Productivity, Revenue Impact, Security Impact, etc. Cost of Current State Proposed Solution(s) and Next Steps Cost Estimate Non-Financial as well as financial, quantified were possible, otherwise qualified. Measures of Success What are the costs of doing nothing?Risk Assessment
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  IT Governance Meeting: WhatGet’s Decided illustrotech.com 1. The purpose and strategic direction of technology 2. Priorities among major initiatives whether strategic or ongoing 3. Funding and other resources to support these priorities 4. Whether to continue, postpone or terminate an initiative 5. Exceptions
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  Case Decision-Making Criteria illustrotech.com •Is there a good business case? • ROI • Competitive Analysis • Is this a build or buy decision? • Are there cost estimates? • Are the risks enumerated and mitigated? • Are the security policies acknowledged? • Can it be reused by others? • Have all the alternative solutions been explored? • Are the on-going costs (maintenance) accounted for? • Is the proposed solution consistent with the organizations technology architecture?
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  Example Decision RightsMatrix: Who Decides illustrotech.com Decision Categories IT Principles What role does IT play in the business? IT Architecture What technologies are chosen and how do they fit together? IT Infrastructure What is the physical layer and the resources to support it? Business Applications What are the major software applications? IT Investment What do we invest in and when do we invest in it? Input Decision Input Decision Input Decision Input Decision Input Decision Executive Team Members Senior Team Members IT Leadership Part of Decision Part of Decision
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  Email or callfor a free consultation on illuminating and solving the IT challenges for your organization. Craig A. Miller [email protected] 855.650.5500 illustrotech.com