Time for a new covenant between business and IT

Garther have suggested that by 2012, 20% of companies will own no IT assets. At the same time we have Forrester predicting a boom in IT. I think both of them are right, and what we’re seeing is a breaking of the old covenant between business and the IT services industry (which includes internal IT departments). The old relationship was founded on the development and maintenance of IT assets (networks, applications, desktops …). The new one will be founded on something different. The new IT industry is going to be a different beast (i.e. no more strategic transformation or infrastructure projects), and we’ll need to radically reconfigure our organisations if we want to play a part.

Posted via web from PEG @ Posterous

11 thoughts on “Time for a new covenant between business and IT

  1. whatever happens, we will need more and more tech-savvy business guys and business-savvy tech guys

    i think it might be interesting to have MBAs focused on both business and tech. you see now several postgraduate and master programs from reputed tech universities focusing on management of technology strategy etc. good trend

  2. Na — I think the traditional SI role is on the way out.
    <ul>
    <li>Application config-installs are being destroyed by SaaS (i.e. Salesforce.com gigs are 10% the size — in terms of revenue — as Sieble gigs)</li>
    <li>SaaS – SaaS integration is being increasingly handled via partnership arrangements.</il>
    <ul>
    The last few hopes for SIs, such as identity management, and an 80% solution will work for most business, negating much of the the need for large integration projects.

    I think the SI roll needs to morph into something focused on companies work smarter not harder: how to use technology, not how to deploy technology. Like Tesco (https://peter.evans-greenwood.com/2009/09/09/tes…). Modelling and understanding rather than plumbing and infrastructure.

  3. The traditional SI role is on it is way out as soon as every market matures and every vendor offers standardized APIs, use open standards and a proper way out of their platform.

  4. The new one will be founded on something different. The new IT industry is going to be a different beast and we’ll need to radically reconfigure our organisations if we want to play a part.

  5. The IT industry had been pretty outstanding despite of the economic recession we are dealing with, by the year 2012 I guess that they will be more focused for integrating the IT departments

  6. I strongly feel there the current setup consisitng Enterprise, it's business, it's IT, System integrator, product vendor, external business partenrs will mature into a new Eco System=Enterprise's Business(will also manage his/her IT) and a Virtual Cloud(SIs+Product vendors+Business Partners).

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