The application of technology to every aspect of business is revolutionizing the way it works. More importantly it is changing customer expectations of business. In the good old days, there were only foundational operations of business; manufacturing, sales & marketing, finance, logistics and people. But today, technology is the sixth and emerged as most essential component.
At a functional level, technology is to business, what our brain is to our five senses. Yet unlike your brain, your technology can be transplanted. Either piecemeal or as a whole. So the really big question for business IT leaders is… when should you transplant, or upgrade your technology? By definition, transplanting will mean retiring legacy systems.
Of course the objective is to transform your technology portfolio to give best value for your customers. They demand a consistent experience across all channels and touch-points in their shopping and service transactions.
Be there and ahead in the Market?
Remember how things were before the Internet? You could segment the market into handful of ‘mini-markets’ and manage separately just a small number of customers. Now you face a single global market, with millions of well-informed customers, who are willing and able to switch loyalties to the business out front.
As a business IT leader you may question the return on investments and the value you get out of individual pieces of technology or even your IT portfolio as a whole. But beware: The annual cost of managing existing technologies is rising faster than inflation.
We all, at times, question the inherent value in the IT itself. Yet that does not stop us spending on it. This dilemma owes a great deal to the invisibility of the contribution of technology portfolio! So if you are sometimes unsure, it is not surprising that you often face an uphill battle to convince your peers of the need to retire and transplant yesterday’s investments, aka applications. We do tend to resist change, and it is often out of a sense of ownership and familiarity. ‘If it ain’t broke don’t fix it’ is the head-in-the-sand mantra!
Can’t afford Cartoon maps anymore!
Too many enterprises embark on their IT investment journey with only a cartoon map and no satellite perspective at all, on the way ahead. The savvy business IT leader, however, makes the invisible clear, by using capability maps and impact analyses to tell the story of how things were back then. How things are now? and how things will be, once they’ve retired technology ‘X’. You need a technology blueprint.
At Capability Management, we offer a unique framework, methodology and tools to identify and map your business capabilities to your technical capabilities and IT landscape.
For an effective technology retirement/transplant initiative, it is important to model business capabilities and classify technologies consistently into taxonomy of capability categories. Classification of technologies according to the IT that support business capabilities makes duplicate and redundant technologies obvious. Enterprise Evolver is the key tool to aid you in simplifying your technology portfolio. With it, you can…
- Configure any number of attributes to capture technology details that create value….
- Illustrate your business capability model and technical capability model, and link them together…
- Create technology heat-maps for the whole organization and discover where on a ‘Sigmoid Curve’ your technology sits. Assess how failure to retire a given technology may pose a business risk. With the heatmapping and Capability technology mapping, make the retirement a business backed decision.
At Capability Management, we go beyond just creating maps; we use our framework to build capabilities for managing the full life cycle of portfolio optimization. Those who hesitate will be lost. Contact us to learn more about our products and services.
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