Transcript Chapter 12 Slides

Chapter 12
IT Business Communications
Managing the Information
Technology Resource
Jerry N. Luftman
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 1
Chapter Outline
• Importance of communication in achieving
alignment
• Importance of understanding of business by IT
• Why it is necessary for business partners to
understand IT
• Importance of communication in developing
partnership
• Methods used to improve communication
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 2
Importance of Communication
“Effective communications is the
central lifeline of any organization.
It is the vehicle for driving change,
shaping expectations, and rallying
workers around core purposes.”
-Charlene Marmer Solomon
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 3
Kotter’s Key Elements
for Communicating
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Simplicity
Metaphor, Analogy, and Example
Multiple Forums
Repetition
Leadership by Example
Explanation of Inconsistencies
Give and Take
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 4
Financial Terms for IT Team
• Bearer Bonds
– Bond owners clip out coupon and present to bond
issuer
• Bond
– Bond matures and issuer redeems face amount
• Treasuries
– U.S. Treasury borrows money in form of bills, notes,
bonds
• U.S. Savings Bonds
– Non-negotiable and purchases are limited
• Zero Coupon Bond
– No coupons and no interest paid
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 5
Web Services Terms for Business
• SOAP
– Provides way for applications to communicate with each
other
• UDDI
– Web-based distributed directory that enables businesses
to list themselves on Internet
• Web Services
– Standardized way of integrating Web-based applications
• Web Services Description Language
– XML-formatted language that describes Web services
capabilities
• XML
– Specification developed by World Wide Web Consortium
to tag data
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 6
Henderson’s Two Styles
of Relationships
• Transactional Style
– Defined by rules, policies, and procedures
• Partnership Style
– Implies risk sharing, longer time frame for
exchanges, and need to establish range of
mechanisms
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 7
Six Determinants of Partnership
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 8
The Road to Partnership
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Education
Joint Planning
Measurement and Control
Effective Use of Teams
Multilevel Human Resource Strategy
Technology
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 9
Global Culture
• Hidden messages in communication
• Written communication may be viewed
positively or negatively
• Written communication maintains
supporting role
• Written communication
– Addresses ambiguity
– Prevents misunderstandings
– Identifies ownership and accountability
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 10
Addressing Communication
Effectiveness
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Direct Communication
Liaison Roles
Temporary Task Forces
Permanent Teams/Committees
Integrating Roles
Managerial Linking Roles
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 11
Sample Approaches
• Direct Communications
– Reflect differences in complexity,
requirements, and importance
– Determine best vehicle and audience
– Consider how to provide right level of
interaction
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 12
Sample Approaches
• Liaison Roles
– Surrogate facilitator in assisting business and
IT to join and work together
– Get IT and business stakeholders together
– Ensure each group participates for successful
development and deployment of business
systems
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 13
Sample Approaches
• Temporary Task Forces
– Creates central focus for each participant
– Helps to avoid daily distractions
– Improves communication among task
members
– Share common goals and objectives
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 14
Sample Approaches
• Permanent Teams or Committees
– Effective means of providing stability
– Steering committees provide mechanism for
making improved long-term decisions
– Legitimate formal process exists
– Decisions likely made in best interests of firm
– Communication improved
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 15
Sample Approaches
• Integrating Roles
– Similar to providing cross-training to IT and
business personnel
– Experience to know what other person needs
to do
– Rotate IT and business people between two
areas to broaden perspective
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 16
Sample Approaches
• Managerial Linking Roles
– Used to facilitate multiple/difference priorities
and agendas
– Use a matrix structure
– Guidance provided by multiple supervisors
– Means of communication improved
– Used where IT and business are comfortable
with each other on partnership level
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 17
Tips and Techniques
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Communication is important
Learn from others’ trials and tribulations
Shared domain knowledge is critical
Training of administration managers in IT
and their inclusion in IT projects
• Things do go wrong and need to get back
on track
• Implement formal communication
programs may be necessary
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 18
2 Types of Communication
• Push communication
– Occurs when information is disseminated to
the organization without being requested by
receivers of information
• Pull communication
– Occurs when information is requested and
implies immediate availability of information
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 19
Personal Factors
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Maintain clear and honest communication
Trust
Reputation
Integrity
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 20
Best Methods to Improve
Communications
• Knowledge sharing
• Introduce classes for IT and business staff to
attend jointly
• Group Decision Support System
• Jointly manage communication between
business and IT
• Use of liaison agents, task forces, crossfunctional project teams and direct
communication
• Measurement and control
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 21
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 22
Priority in Improving
IT Communication
• Focus on where improvements can be made
• Strategic Alignment Maturity Assessment
Model
• Training
• Continually scan new technologies and
products
• Build partnerships through mutual
understanding
© 2004 Managing the Information Technology Resource, Jerry N. Luftman
Chapter 12 - Slide 23