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Follow on Google News | Only 27% of Businesses Think IT Contributes to Strategic Business ObjectivesHornbill And Service Desk Institute Research Shows IT Still Not Aligned With Business Strategy
By: Hornbill Service Management Hornbill And Service Desk Institute Research Shows IT Still Not Aligned With Business Strategy. London, UK, 18th June 2013: Businesses are still failing to see IT as a strategic tool, according to research published today by Hornbill Service Management and the Service Desk Institute (SDI) that compares the attitudes of senior executives and service teams. In an independent survey of UK CIOs commissioned by Hornbill, only 27% of respondents said that senior executives viewed IT as contributing to strategic business goals, such as growth or diversification. In contrast, 73% stated that IT is viewed either as a necessary trading expense that needs to be tightly controlled, or at best as a means to reduce costs and increase efficiency. There is a firm belief from those ‘on the ground’ that IT can do more than this, borne out by the SDI’s findings. In its own survey of its members, 98% believed that IT could play a greater part in advising how technology can support business goals. “The simple fact is that IT is far more than just a utility,” said Patrick Bolger, Chief Evangelist at Hornbill. “While 43% of organisations see it as simply a way to increase efficiency, and 30% see it as a trading expense that needs to be reined in, IT can be used for much, much more. The mythical separation between IT and business strategy needs to end, so IT can take its rightful place; providing services and capabilities that support mainstream business goals. Some organisations may well believe they are doing this: 67% of CIOs say that the IT department understands the vision and mission of their organisation, while 57% of SDI members say the same. Yet the fact that a sizeable minority say otherwise, coupled with executives’ view of IT, suggests more needs to be done.” While a majority of IT departments claim to understand the overall strategy of their organisation, there is far less understanding of departmental or business unit objectives. 57% of SDI members say they don’t understand the goals set for different business units, such as improving sales or customer retention. Furthermore, 66% say that service desk teams aren’t given adequate time to spend with other business units; which would help them understand these goals and how they can help achieve them. From the CIO point of view, 53% believe that service desk teams do not have enough time to spend with other business units. Even if IT teams are engaged with business strategy, the way in which their work is recorded and reported often doesn’t allow any contribution they make to be measured. According to the CIO survey half of organisations either have no formal reporting mechanism for IT performance (17%), or have a mechanism focused entirely on metrics such as downtime (33%): reinforcing the view of IT as little more than a utility. In comparison 21% of organisations base their reporting metrics on user satisfaction, while 29% link performance to strategic business objectives such as improved sales and reduced customer churn. While this is not perfect, it still paints a rosier picture than the SDI research: only 16% of respondents measure the contribution of activities their organisation requests to actual business goals. This suggests that even those organisations that do measure performance based on business strategy may not be applying that measurement to the whole IT department. “The key to any successful relationship is communication and understanding,” The CIO survey was undertaken by independent market research company Vanson Bourne and covered 200 CIOs in the UK. The SDI survey covered 100 of its members. Both surveys were completed in May 2013. The full report from the SDI can be found at http://itsm.hornbill.com/ About Hornbill Hornbill's IT Service Management solutions (http://www.hornbill.com/ Supportworks applications can be deployed as a cloud-based solution using myservicedesk.com or On-Premise. Ease of use for both service desk analysts and business users ensures customers are able to quickly deliver business value through rapid deployment and adoption of Self-Service, automation, proactive problem management and innovative knowledge management features. Unique 'Human Touch' features improve the service experience, putting people at the heart of the Service Desk. Hornbill solutions include ITIL-compatible IT Service Management (ITSM) (http://www.hornbill.com/ Customers include: :Buckinghamshire Hospitals NHS Trust, Camelot, Greggs, Kent County Council, Knight Frank, London Borough of Merton, London School of Economics, Natural History Museum, The National Archives, Toyota Motorsport and University of Portsmouth. Hornbill was founded in 1995 and has its Head Office in London. For more information about Hornbill's service management solutions please visit www.hornbill.com End
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