{"id":10608,"date":"2022-03-22T07:07:46","date_gmt":"2022-03-22T12:07:46","guid":{"rendered":"https:\/\/flevy.com\/blog\/?p=10608"},"modified":"2022-03-21T15:01:49","modified_gmt":"2022-03-21T20:01:49","slug":"information-technology-it-redesign","status":"publish","type":"post","link":"https:\/\/flevy.com\/blog\/information-technology-it-redesign\/","title":{"rendered":"Information Technology (IT) Redesign"},"content":{"rendered":"

\"\"Disruptive change has put a tremendous strain on organizations and their IT departments.\u00a0 The capabilities of the IT talent is declining due to inadequate technical education and aging workforce.\u00a0 Legacy systems and diverse IT applications are frequent across most organizations.\u00a0 Mergers and Acquisitions<\/a> have become a norm, pushing vendors to form alliances.\u00a0 Mobile devices, tablets, and social media have been quite common across employees of almost all organizations.\u00a0 Cloud Computing<\/a> and software-as-a-service<\/a> (SAAS) have further complicated IT strategies, facilitation of Information Security<\/a>, and keeping costs under control.<\/p>\n

Systems to capture real-time data and using it to make informed decisions and provide personalized responses to customers (predictive analysis) will become a necessity in future.\u00a0 Organizations that will not equip themselves with these systems quickly will simply end up outsourcing to companies able to provide such services inexpensively and efficiently<\/a>.<\/p>\n

Due to these factors, leadership of the IT units is under immense pressure to revamp their IT function, to deliver advanced functionalities, stay abreast of Innovation<\/a>, curtail costs, provide superior customer experiences, and gain distinct Competitive Advantage<\/a>.<\/p>\n

IT Redesign<\/a> does not work merely by following generic recommendations of pundits from leading IT companies.\u00a0 It necessitates following a systematic process of clearly directing the unit\u2019s focus on the value propositions of the company. \u00a0To accomplish this, IT leadership needs to first analyze their existing service or product offerings and evaluate the value they generate.<\/p>\n

The IT function of an organization can generate value in 6 ways\u2014the key Value Drivers\u2014by using efficient deployment of technology.\u00a0 These Value Drivers assist the technology leadership in their role to facilitate in providing capabilities the business needs most:<\/p>\n

    \n
  1. Cost-effectiveness <\/strong><\/li>\n
  2. Quality <\/strong><\/li>\n
  3. Responsiveness<\/strong><\/li>\n
  4. Aggregation <\/strong><\/li>\n
  5. Agility <\/strong><\/li>\n
  6. Innovation <\/strong><\/li>\n<\/ol>\n

    \"\"<\/a><\/p>\n

    A dedicated commitment to the delivery of these 6 value drivers enhances the impact of the IT unit tremendously.\u00a0 Let\u2019s discuss these value drivers in a bit detail.<\/p>\n

    Cost-effectiveness <\/strong><\/h2>\n

    Managing IT related costs is the foremost driver of value for the IT function.\u00a0 This value driver demands commitment from the leadership to:<\/p>\n