IT Strategy:

The key to winning executive support.

itSMF Atlantic Halifax May 30th 2008

IT Strategy, Leadership and Value.

2007 Deloitte Inc.

Objectives
In this presentation you will:
1. 2. Learn what is IT Strategy Understand why is IT strategic planning the key to winning executive support for your IT Service Management initiatives Learn how to go about creating an IT Strategy that wins the executive support! Discover 10 characteristics of Best IT Strategies Learn where to go for more information

3. 4. 5.

IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Your presenter
Dalibor Petrovic, PMP, I.S.P. Senior Manager, Deloitte.
Certified ITIL Service Manager Certified CobiT Professional Certified ISO 20000 Consultant and Internal Auditor, Certified Project Management Professional (PMP) President of itSMF-Northern Alberta, Edmonton, Canada EXIN Exam Marker for ITIL Service Manager certifications

Role @ Deloitte: Helping Business Leaders maximize their Return on IT Investment Helping Technology Leaders demonstrate Value of the IT Investment Contact: Phone: +780.421.3716; e-mail: dpetrovic@deloitte.ca
3 IT Strategy: The key to winning executive support 2007 Deloitte Inc.

Presentation Agenda

S E C T I O N S

A B C

What is IT Strategy and why does it matter? How to go about creating a winning IT Strategy? 10 Characteristics of Best It Strategies

IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Lets Start with a Definition

strategy /stratidi/
1. 2. NOUN (pl. Strategies)1

a plan of action designed to achieve a long-term, or overall aim. the art of planning and directing overall military operations and movements in a war or battle. Often contrasted with tactics. 3. the art of using similar techniques in politics, or business

What then is an IT strategy?

An IT strategy defines the organizations requirement, or demand for information, services and systems to support the overall strategy of the business. It is firmly grounded in the business, taking into consideration both the competitive impact and integration requirements of IT. Essentially it defines and prioritizes the investment required to achieve the overall business goals using Information Technology means. IT strategy could therefore be defined as:

1. The plan of action designed to achieve the long-term goal 2. The iterative, ongoing process (or art) of planning
1. Source: Oxford Dictionary, Canadian Edition, 2003
5 IT Strategy: The key to winning executive support 2007 Deloitte Inc.

Why should IT Strategy matter to you?

Top Ten Reasons organizations are unsuccessful implementing ITIL/IT Service Management (in reverse order)2:
10. Not considering the complete ITIL Framework 9. Ignoring solutions other than ITIL CobiT, Six Sigma, CMMi 8. Allowing departmental demarcations silo approach 7. Failing to maintain momentum 3-5 years is a long time! 6. Being too ambitious doing it all at once 5. Focusing too much on performance, not enough on quality 4. Not assigning process owners squarely lay responsibilities 3. Not creating Work-Instructions getting lost in process maps 2. Spending too much time on complex process diagrams

IT Strategy: The key to winning executive support

2. Source: Malcolm Fry, ITIL pioneer and Industry Luminary

2007 Deloitte Inc.

Why should IT Strategy matter to you?

NUMBER ONE Reason Organizations are unsuccessful implementing IT Service Management?:

LACK OF SUSTAINED EXECUTIVE SUPPORT

Source: Malcolm Fry, ITIL pioneer and Industry Luminary
7 IT Strategy: The key to winning executive support 2007 Deloitte Inc.

EXECUTIVE SUPPORT?
STEP 1: Understand Executive's Concerns Aligning (Integrating) IT with business Meeting business and user needs Coping with change Dealing with senior management Managing costs, budgets and resources Keeping up with technology Recruiting and retaining staff Time and resource management Infrastructure management Maintaining skills and knowledge

IT Strategy: The key to winning executive support

2007 Deloitte Inc.

EXECUTIVE SUPPORT
STEP 2: provide solutions to these concerns Relevant Coherent Consistent Directional Actionable Measurable Logical Inclusive

.thought the process of IT Strategic Planning and its product/outcome the IT Strategic Plan

IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Back to the definition

What then is the IT strategy?

The IT strategy defines the organizations requirement of demand for information and systems to support the overall strategy of the business. It is firmly grounded in the business, taking into consideration both the competitive impact and alignment requirements of IT. Essentially it defines and prioritizes the investment required to achieve the overall business goals using Information Technology means. IT strategy could therefore be defined as:

1. 2. 3. 4.

The The The The

plan of action designed to achieve the long-term goal iterative, ongoing process and art of planning communication tool for visions, plans and activities vehicle to address executives concerns, and therefore

The Key to Winning and sustaining executive support

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

All IT strategies are not created equal

Type A
IT Integral to Corporate Strategy
Our experience: ~10% of IT Strategies Approach is integrated as part of corporate strategy development process.
A1. May address overall competitive positioning or simply product/service offerings within established positioning. A2. May start from established business model vision or start with infrastructure opportunities and surface business implications and ultimately clarity on business model

IT Strategy developed as part of overall corporate strategy and direction

A1. Product/service strategy-- Prevalent where IT is integral to both product and operations e.g., financial services, entertainment sectors, etc A2. Business transformationPrevalent in companies facing fairly major business transformation efforts including operations and infrastructure consolidation

Type B

IT Support of Business Strategies

IT Strategy focused on supporting business unit strategies. May be part of an effort to expand business planning horizons and integrate business strategies

Our experience: ~20% of IT Strategies Majority of IT strategies developed collaboratively and iteratively with business. Often requires clarifying and playing back business unit strategies and developing IT Implications. Approach can be driven by either IT or the BU through joint workshops and working sessions Our experience: ~40% of IT Strategies Generally to uncover and resolve issues and ensure better alignment. Approach may be driven by IT with business involvement at key intervals or driven by business to develop IT awareness and spur change.

Type C

IT Support of Business Operations

IT strategy typically focused on improving IT support of operations or value from IT spend. Often issues and gaps driven. IT priorities, capabilities, and issues vetted and aligned with business needs.

Type D

Enterprise Service Provider

IT strategy focused on defining applications, information, and technology architectures, IT services, and cost structuresthen selling the vision, costs, and value to business leadership.

Our experience: ~30% of IT Strategies Approach is IT-centric, within the context of the business. The approach of choice for IT organizations operating in a service provider role. May also be useful as a learning experience for IT before planning with business counterparts.

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Now what? How do I create an effective IT Strategic Plan?

How is this accomplished?

1 2 3 4 5 6 7 8
12

Understand Business Objectives Assess the Current State Define the Future State Analyze Gaps Identify Initiatives and Projects Estimate Projects - RVIP Create Roadmaps Sell the Plan and win Executive Commitment

Review Business Plans and Business Strategies, understand business goals, identify customers, understand the source of competitive advantage, interview Key Business stakeholders. Inventory existing technology, services and people; interview IT stakeholders within and outside the IT department, conduct customer satisfaction surveys. Involve executive management. Workshops and Interviews with stakeholders throughout the organization, knowledge of the industry, trends, technology, processes, frameworks blended with deep understanding of Corporate Vision, Mission and Goals. Compare the vision of the future with the assessment of the current state. Identify gaps between the two states in a Gap analysis. Verify with

executives.
Translate Gaps into concrete and specific high-level initiatives. IT Service Management could be considered here. Dissect initiatives into distinct Programmes and projects. Each Project within each initiative needs to be estimated for its strategic alignment to the overall vision, resource requirements, duration and costs to implement, and then resources (costs) to maintain. Key for Budgeting! In addition to laying out the destination, an effective IT strategy produces a roadmap of how to get there, mobilizes people, and addresses barriers and risks. Involving Executives (and other stakeholders) throughout the process, ensuring communication is open throughout the process, validating major milestones, and requiring official sign-off on Strategy are the KEYS!

IT Strategy: The key to winning executive support

2007 Deloitte Inc.

IT Strategy Where the Business and IT Objectives come together

Purpose of an IT Strategy

Integrate IT with the current and future needs of the business. Enable business to meet its objectives in an efficient and effective manner. Provide quality service to customers and employees. Leverage best practices in Information Technology (IT).

Business needs drive technology, and technology enables business capabilities

Vision Shared Corporate Strategy
Strategy

External Drivers (economy, competition, emerging technologies, etc.)

Line of Business

Line of Business

Line of Business

Line of Business

Line of Business

Line of Business

Processes

Channels and Customer Service

Customers

IT Strategy

Business Needs Drive Technology

Technology Enables Business Capability

Applications
Technology

Infrastructure People and IT Processes

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Assess the Current State

Best Practices Scale Example Recommendations

Dimensions of Evaluation
Process and Policies

A) Performance Management

User expectation management Service levels Customized to technology Monitored reports and tracking tools Help desk employs leading technology & practices Customer Satisfaction B) Service Management Periodic meetings Change order process & Service Requests Formal escalation procedure Knowledge sharing & innovation Leverage vendor experience with other clients Access to up-to-date documentation Good will to vendor C) Financial Management Invoice and order reconciliation Pricing / Deal Objective alignment Price management; Cost Allocations Model D) Contract Management Clarity of contract scope Contract management Audit; Benchmarking; Dispute resolution Termination conditions

Service Levels change with technology maturation cycle; continually adapt SLAs to reflect this evolution. Use both qualitative and quantitative measures. Immediately re-negotiate pricing to reflect currently appropriates service levels

Performance Management implement integrated reporting combined with a balanced scorecard for reporting performance. Ensure performance scores roll-up in multi-vendor environment, such that each vendors individual performance determines final common score. Provide incentive for vendors to cooperate

Contract Management Conduct regular independent audits of service usage and billing to ensure consumption is being measured accurately and that this is reflected in invoiced costs. Audits identify potential discrepancies, savings opportunities

Governance Structure
A) Organizational Structure Efficient structure of outsourcing mgmt group Size of the residual organization Continuity at the account manager level B) Roles and Responsibilities Clear definition of roles and responsibilities C) Human Resources Factors Contract management knowledge and skills Mgmt compensation related to contract performance Consistent communication Strategy: The key 14 IT Cultural bridging to winning executive support

Yellow Zone

Green Zone

Red Zone

Retained/Residual Organization size not in line with industry benchmark. Restructure to manage multi-vendor sourcing arrangement. Reorganize staff to realize cost savings
2007 Deloitte Inc.

Define Future State

IT Focus
REWARDS INCREASE

Important considerations include understanding the value of technology to the enterprise and the role and focus of IT in producing value
Role of IT

Supporting the business

Transforming the business

Reducing costs

Creating shareholder value

Automating processes Outward to Business

Creating better processes

ORIENTATION

Strategic Business Partner

Long Term

Strategic Business Enabler

Storing information

Providing management information

Inward to IT

Mid Term

Installing packages

Customizing Solutions

Cost Center
Current Fast-Follower

Service Provider

Having local impact

Having global impact

Visionary RISKS INCREASE

INNOVATION

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

4 Analyze Gaps
It maturity assessment*
None Existent Integrated Ad-Hoc Communicated Optimized

It disciplines**
IT Strategy Planning Management IT Innovation Management

As-Is Assessment Desired state

High Priority

IT Architecture Management IT Delivery Management IT Sourcing Management*** IT Program Management IT Business Management IT Leadership Management IT Resource Management IT Operations Management IT Customer Relationship Management IT Value Management IT Risk Management
Medium Priority Low Priority

Customer Relationship Management, Sourcing and Business Management appear to be the most critical processes. This assessment will be reflected in the building blocks list.

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

5 Define Initiatives and Projects

Project Infrastructure Foundations Operational Effectiveness Information Management and Collaboration Operational Agility Continuous Improvement

1.

Wan Design and Implementation

Network & Infrastructure Management Solution

Documents and Records Management System

Remote Site Setup and Tear Down

Training and Development Plan (IT users and IT Resources)

2.

Active Directory Consolidation

Systems Configuration Management Solution

Corporate Intranet Portal

Mergers and Acquisitions Support Process

Annual IT Strategy Planning Process

3.

Enterprise Backup

Desktop and Laptop Imaging

Identity Management System Single Sign on

Balanced Scorecard for IT development

4.

Enterprise Antivirus

User Mobility

Internet Website Refresh

Annual Security Vulnerability Assessment

5.

IT Governance Model Development

Service Desk Creation

Extranet Website for Clients

IT Security Management Process (ISO 17799)

6.

IT Policy Development

Incident Management Process

Extranet Website for Board

Automated Vulnerability Management System

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

6 Estimate Projects RVIP

Risk/Value Matrix : All Projects
Innovation 6 HIGH VALUE Maintenance Productivity Growth HIGH VALUE LOW RITK

Priority 2
4

I1 I8 A9 I5 I4 O7 A4

Priority 1
A7 O4 O2 T1 A5 I7 T6 A1 T5 T2 O8 O5 O6 A13 A2 A8 A12 I2 A11 A10 O3 T4 T7 T3 O1 I6

Value

A3

3 I3 2

T8

Priority 3
1 LOW VALUE 0 6 Investment size: HIGH RITK 5 1,5M$ 7,5M$
18 IT Strategy: The key to winning executive support

A6

LOW RITK 4 3 Risk 2 1 0

2007 Deloitte Inc.

7 Develop the Roadmap: IT Master Plan

A multi-year master plan has been developed taking into consideration the business priorities. The following view shows business focused initiatives.

FY07
(Ongoing Initiatives)

FY08
Q1 Q2 Q3 Q4

FY09

FY10

FY11

Total Investment
(Million $)

Value Score
(on a scale of 5)

Million $

Q1-Q2

Q3-Q4

A4 - Consolidate Design Platform A7 - Standardize Requirements Management I5 - Consolidate Financial Information I6 Support Compliance to SOX Requirements I8 Optimize usage of deployed IT solutions A3 Develop a centralized catalog A5 Improve Procurement & Logistics Support A9 - Improve Projects/Contracts Management Support I1 Support extended enterprise I3 Consolidate information

62,4 5,4 14,3 4,7 6.1 N/A N/A N/A N/A N/A

5,4 5,3 5,0 3,6 5,7 4,5 3,9 5,4 6,2 3,2 4,6 4,2

125,3 11,3

23,4 N/A

I4 Improve Accessibility of Information N/A

N/A I7 Improve delivery of KPI figures

$29,8 19

$35,8

$15,7

$7,6

$4,6

$92.9
2007 Deloitte Inc.

IT Strategy: The key to winning executive support

8 Can you Sell this Plan?

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Our perspective: 10 characteristics of Best IT Strategies

How is this accomplished?

1 2 3 4 5 6 7 8 9 10
21

Clear purpose and use

The IT strategy addresses the questions that are top of mind with key stakeholders such as how key challenges to the business will be addressed The IT strategy clearly and succinctly addresses the major needs of the business (business units/divisions and enterprise), business aspirations, and is cognizant of the role of IT and the possibilities of IT The IT strategy addresses key questions of business strategy, information and technology strategy, I&T management, and maximizing returns from I&T assets while managing risk. The IT strategy directly addresses IT costs and associated value to business units, enterprise, and shareholders The IT strategy defines, aligns, and balances the IT spend (asset and investment) with business needs for growth and productivity improvement.

Integrated with the Rest of the Business

Broadly addresses 4 Key Questions

Fiscally Responsible

Strikes a Financial Balance

Focuses on Business and Enterprise Value Addresses the How? (not just What and Why)

Investment decision making and management decisions are based on a common goal of releasing and building enterprise value and shared definitions of financial and operational performance measures. In addition to laying out the destination, an effective IT strategy produces a roadmap of how to get there, mobilizes people, and addresses barriers and risks. IT strategies and plans are written for a number of constituencies. This generally involves producing specific versions and excerpts to meet the planning needs and communications styles of those constituencies. The IT strategy defines targeted performance and (any) required changes to measures in order to test the value of proposed initiatives, communicate expectations and evaluate progress. The core elements of effective IT strategies are designed with use in mind. The best are valuable over time, not just at a point in time.

Communicates Effectively

Measures Progress (or lack thereof)

Usable, not just Useful

IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Clear Purpose and Use

Questions: What is the purpose of developing an IT strategy? Who are the "stakeholders?" What are their fundamental concerns? Are there other audiences? Who will be active participants in developing the strategy?

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Integrated with the Rest of the Business

Questions

One key to alignment: a shared, clear understanding of the role of IT within a given business.

Questions

Given your operations, competitive position and aspirations, what is the collective perception of the executive group on Where is IT today? Where does IT need to be?

IT Role
Rewards Increase Outward to Business Business Partner
Joint developer of business operations plans

Business Enabler
Participant (or leader) In business strategy and planning

Supporting the business Reducing costs Automating Processes Storing Information Installing packages Having local impact

Transforming the business Creating shareholder value Creating better processes Providing management information Customizing solutions Having global impact

Orientation

Inward to IT

Cost Center
Supplier of technology services In support of business operations

IT Service Provider
Delivers revenue through innovative technology and technology services

Innovation Fast Follower Leading Edge

Risks Increase
Note: This model does not reflect maturityone role is not superior to another. The role of IT is a direct reflection of the needs of the business, the desires of business leadership, and the nature of the industry.
23 IT Strategy: The key to winning executive support 2007 Deloitte Inc.

3 Broadly Addresses 4 Key Questions

If there is a magic formula for IT strategy it involves answering the following questions:

4 Key Questions of Strategy and Effectiveness Strategy

Business Scenarios and Models Business Operating Needs Business/IT Strategy and Plans IT Investment Portfolio IT Enabled Operations Targets and Measures IT Governance

Effectiveness
Policies Communication/Awareness Programs Edu-Training Evaluation and Ratings Budget allocation/chargeout mechanisms Rationalizing the Technology Portfolio

Business

1. Where does/could information & technology produce value for the enterprise?

4. How can the enterprise maximize the return and manage risk from investment in information and technology?

Todays best IT Strategies simultaneously address these four questions oriented around producing value for the enterprise considering industry, marketplace, and geographic developments and trends

Technology

2. Which technologies and architectures produce highest value for the enterprise with acceptable risk?

3. How is information and technology most effectively delivered to the enterprise and its customers with acceptable risk?

Technology Planning Technology Evaluation and Selection Technology Architecture and Standards

IT Disciplines/Competencies IT Organization Structure IT Processes IT Performance Measures/Rewards IT Alliances/Partnerships

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

4 Fiscally Responsible
Questions
Todays best IT strategies directly address IT costs and associated value to business units, enterprise, and shareholders
How is IT financially managed? Where is the budget held? How are the costs allocated? What level of business case is used to justify investments?

IT ValueAddressing Run Economics

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

5 Strike a Financial Balance

Todays best IT strategies define, align, and balance IT spend (asset and investment) with business needs for growth and productivity improvement. IT ValueAddressing Investment Balance

INNOVATION

GROWTH

ACTUAL Percentage of IT Budget Devoted to Spending Categories by Business Business/Product Lifecycle Stage Stage Startup Growth Mature RenewSpending ing Category

Maintenance/ Support

0%

20%

60%

40%

MAINTENANCE
MAINTENANCE PRODUCTIVITY

Productivity Improvement

60%

40%

30%

20%

Growth

20%

35%

5%

20%

Innovation

20%

5%

5%

20%

Total

100%

100%

100%

100%

Source: Deloitte research

26 IT Strategy: The key to winning executive support 2007 Deloitte Inc.

continued: Target Investment Mix

The 2008 targeted investment mix is determined based on interviews with the Corporations executives, assessing the desired objectives and role for IT in the coming years. Short term objectives, their direction and strength are reflected in the operational investments slice, while the strategic investments will prepare the mid-term objectives.

The 15% target is justified both by the Industry average for this type of project, and by the industry maturity, where renewal of business processes and product may lead to a competitive advantage. The 20% growth target is derived from the industry benchmarks (25%), which fits the Corporations maturity. This target will first focus on transformational projects, in order to limit the volume growth while the productivity is not above the cost of capital. The industry and maturity benchmarks for this category recommend 50 to 60% of investments in this area. However, two reasons explains the current objectives:
The actual level of Maintenance, allowing focus on more productive categories The transfer of the maintenance activities to The Outsourcer, transferring part of the maintenance discretionary investment in operating costs.

INNOVATION 15% GROWTH 20% MAINTENANCE 15 %

PRODUCTIVITY 50%

This target is the result of the previous observations, and the current focus toward internal IT restructuring and cost reduction, increasing the need in productivity increase, both from processes and assets. This category will be reduced over time, as the productivity increases and growth becomes possible

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

6 Focused on Business and Enterprise Value

Clear understanding of asset and investment purpose and performance supports decision making and ability to deliver value.

Enterprise Value MapRelating Investment to Strategy and Operations

ILLUSTRATIVE Plotting projects on a Shareholder Value Map provides a quick assessment of the gaps and overlaps between the corporate strategies and operational planning/execution.

An analysis evaluates impacts on share price

Most investments focus on increasing sales in this example

Companys priority is to reduce costs

For many projects, the costs (red area) are greater than benefits (beige area)
28 IT Strategy: The key to winning executive support 2007 Deloitte Inc.

7 Address the How?

FY07
Consolidate platform Project Project Project Project Project Project Project Project Project Project 1 2 3 4 5 6 7 8 9 10

New Project Existing Project

FY08 FY09 FY10

A4

Standardize requirements management

A7

Project 11 Project 12

Consolidate financial information

I5

Project 13 Project 14 Project 15

Support compliance to Sarbanes-Oxley requirements

I6

Project 16 Project 17 Project 18

I8

Optimize usage of deployed IT solutions

Project 19

Improve end-user customer satisfaction

O1

Project 20 Project 21

Provide better visibility on outsourced costs

O2

Project 22 Project 23

Deploy IT portfolio management and strategic planning

O4 O7 T3 T4

Project 24

Optimize outsourcing contract

Project 25

Reduce cost of non-outsourced licenses

Project 26

Renegotiate telecom contracts

Project 27

Support workflow and knowledge management

T7

Project 28 Project 29 Project 30

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

8 Communicate Effectively
IT strategies and plans are written for a number of constituencies. This generally involves producing specific versions and excerpts to meet the planning needs and communications styles of those constituencies.

IT Constituent Mapping Illustration

Board Executive Management Team Business Leaders IT Leadership IT Staff Business Partners (Suppliers)

Fundamental Concern Confidence that $$ spent on IT Confidence that $$ spent on IT will achieve business will achieve business objectives and plans for ROI objectives and plans for ROI

Confidence that IT is working Confidence that IT is working on the right things on the right things IT will deliver needed functionality within budget IT is producing near-term and longer-term business value IT as a long-term source of career growth and satisfaction IT is creating opportunities for innovation and new service offerings

Applications Infrastructure Programs & Projects IT Organization Alliances / Partnerships

X X

X X X X

X X

X X

X X

IT Processes / Policies Finance (IT Spend) External Validation

X X X X X
= This area doesnt concern the specific constituency

X X X

X X X

= This area is of concern to the specific constituency

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

9 Measure Progress (or lack thereof)

The IT strategy defines targeted performance and (any) required changes to measures in order to test the value of proposed initiatives, communicate expectations and evaluate progress.
Meaningful Measures
Meaningful measures relate IT performance in terms of business results, effective operations, and satisfied customers
Shift toward Business Relationship Management to better align with business objectives Make business expectations the driver. Formalize into SLAs or OLAs as necessary.

Questions
What does IT measure today? What does IT report? to whom? What issues need to be addressed? E.g., Value? (total cost or spend performance? Business performance? IT performance? Customer satisfaction?

Traditional SLA Management

Business Oriented Expectations Management

Tools N/A

Metrics N/A

Tools

Metrics Corporate KPI

Corporate

Corporate Scorecard

N/A

N/A

Business Area

Business Area Scorecard

Business Area KPI

Business Area Scorecard N/A N/A

Process

Business SLA

Monthly Service Report

Availability Response Time

Internal tracking tools

Applications

Internal IT metrics

Monthly Service Report

MIPS DASD

Infrastructure

Internal tracking tools

Internal IT metrics

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

10 Usable Not Just Useful

The core elements of effective IT strategies are designed with use in mind. The best are valuable over time, not just at a point in time.
Making Strategies Usable Ability to update and change over time Rolling Plan Mode (continuous planning) Strategy and Implementation are tightly linked Strategic planning is iterativeinvoked by time or trigger
Continually adjusting 4(+) plans: Technology Plan Project Portfolio Plan Finance Plan Human Resource Plan

BASELINE IT STRATEGY
3-years horizon Establishes the IT environment within which the continuous planning process will take place Becomes a reference document rigorously linked to the business value drivers

CONTINUOUS IT PLANNING CYCLE Periodic Cycle

Identify and Assess Magnitude of Changes Create and Analyze Options

Three Years Cycle

Anticipate Business Environment

Monthly to quarterly horizon Provides IT with a continuous planning framework expressed as four key management dimensions Becomes the basis to make IT management decision within a shorter planning timeframe

Develop Roadmap

Baseline IT Strategic Planning

Review Current State and Identify Gaps

Thresholds

Continuous IT Determine Next Strategic Iteration Indicators Planning

Update Rolling Plans

Formulate IT Strategic Direction

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

In Summary
In this presentation discussed:
1. What is IT Strategy 2. Why is IT strategic planning THE KEY to winning executive support for your IT Service Management initiatives 3. How to create an IT Strategy that wins the executive support! (In 8 easy steps ) 4. 5. Deloittes Perspective on 10 characteristics of Best IT Strategies Learn where to go for more information

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IT Strategy: The key to winning executive support

2007 Deloitte Inc.

Deloitte, Canadas leading professional services firm, provides audit, tax, financial advisory services and consulting through more than 6,100 people in more than 47 offices. Deloitte operates in Qubec as Samson Blair/Deloitte & Touche s.e.n.c.r.l. The firm is dedicated to helping its clients and its people excel. Deloitte is the only professional services firm to be named to the Globe and Mails Report on Business magazine annual ranking of Canadas top employers for two consecutive years: 35 Best Companies to Work for in Canada in 2001 and 50 Best Companies to Work for in Canada in 2002. Deloitte refers to Deloitte & Touche LLP and affiliated entities. Deloitte is the Canadian member firm of Deloitte Touche Tohmatsu. Deloitte Touche Tohmatsu is a Swiss Verein (association), and, as such, neither Deloitte Touche Tohmatsu nor any of its member firms has any liability for each others acts or omissions. Each of the member firms is a separate and independent legal entity operating under the name "Deloitte, Deloitte & Touche, Deloitte Touche Tohmatsu or other related names. The services described herein are provided by the Canadian member firm and not by the Deloitte Touche Tohmatsu Verein.