Archive for January, 2010

Taking Advantage of the 8 Things We Hate About IT

I was pleased to hear that Susan Cramm is putting out a new book , and once again, she delves into dealing with that perceived gap between IT and “the Business”.  I like her focus and insight on an organizational challenge that continues to hound many businesses, even though I have never liked the underlying us-versus-them mindset – IT groups should see themselves as part of the business, not a separate entity. Not surprisingly, none of the things she identifies were news to me, but then I’ve been in the business of IT a long time. As I reviewed her list, though, it struck me that there is a whole other perspective that should be discussed – how other people have learned to exploit these gaps. Specifically, how the IT supplier ecosystem has learned to survive and thrive.

Let’s take them one at a time, starting with Service or Control. If business leaders feel IT is overly bureaucratic and control oriented, they are more likely to accept a solution that “doesn’t require IT involvement”. That is the sales pitch, anyways, and it gets the sales cycle started without IT’s involvement.

When we look at Results or Relationships, if the IT group is seen as a bunch of condescending techies who won’t listen, it is really easy for any good salesperson to sink a second hook into the account. All they have to do is listen to the customer. That has got to be the Golden Rule in every sales technique I have heard of.

They also know that a profitable account is one that you establish a strategic relationship with, so the sale process always includes conversations about long term direction in which the first sale is merely a step in the right direction. If the IT group has been too reactive and not proactive enough, this “big picture” discussion will be music to the business leaders’ ears, and the third hook is firmly planted.

By taking that long-term approach to the account with a small first step, the vendor (who is simply looking for the easy money) actually responds to the fourth business leader sensitivity – IT proposing ‘deluxe’ when ‘good enough’ will do.

Of course, a big part of that first sale is to make sure it goes through without a hitch or the relationship is dead before it gets started. That is why vendor sales management focuses heavily on new accounts and delivery/resource priorities can often shift to lock in a lucrative account before they get a chance to have second thoughts. Pity the poor IT group that pushed for the ‘better’ solution and couldn’t deliver it fast enough, giving the business time to re-think what they might want.

And while they are thinking, they collect ideas and form opinions about what their business needs to succeed. It is the job of the suppliers’ marketing groups to work the latest buzz words and phrases into the ecosystem, to make it appear like their offering was custom-made for the target’s needs. If the IT group is trying to build a business case to justify the latest widget that people ‘need’, they find themselves quickly trying to fight emotion with logic. Good luck.

And of course, those sexy new widgets are ‘everywhere’ now, so when IT doesn’t quickly embrace them as well, the business leaders see this as suppressing innovation and lacking the responsiveness needed to survive. Suppliers know they have to go out of their way to announce (it’s not always necessary to deliver) inclusion of the latest fad in their solutions. People buy the kids meal, but they really wanted the toy.

And finally, vendors know that when there is a change in management or business direction, money is spent. Get in there and see how you can “help”. An IT group worried about their installed base and the new project workload will be seen as an impediment, and that makes the “help” all that more welcome.So it is easy to see how the IT supplier ecosystem has adapted to the timeless weaknesses of business-IT leader relationships. The challenge is to respond to that reality. I would be the last person to recommend putting a sales manager in charge of the IT group, or that they establish a customer-supplier relationship. But if the CIO identified IT suppliers as “the enemy” and worked to counter these “8 steps to establishing a beachhead”, they would be making the necessary behavioural changes to becoming a contributing member of the business they are a part of. Isn’t that the ideal end-state for an organization anyways? Business leaders that are hardened to the latest sales techniques, buying things they need rather than being talked into a quick fix that will cost them more in the long run.

 

As you review the interdepartmental challenges in your organization, remember that outside parties are likely taking advantage of any weakness. That might give you the extra incentive to close the gap a little.