WIEN TECH SYSTEMS

Looking Beyond The Business And IT Alignment:

Go For Fusion Of Both
- Anurag Johari

2010
Summary
Highly dynamic business landscape has forced the enterprises to look beyond Business and IT alignment,
in order to multiply the business benefits and maintaining the competitive edge. In practice aligning the
business and IT is a reasonably good strategy. But this strategy also has it’s own limitation and emerging
needs demand for strategy evolution for next level which is fusion of business and technology.
Beyond the Business and IT Alignment
In any modern organizational structure, IT
department enjoys the unique position being
placed in the centre. This unique position
often puts IT professionals under fire from all
quarters and also gives them the opportunity
to have the panoramic view and see the big
picture of the whole enterprise. The
alignment of IT with business though there
are certain benefits, keeping them aligned is a
challenge. Yet the power of IT is not tapped
to the potential and the traditional alignment
process is prone to the risk and likely to miss
many other opportunities. Also with a highly
dynamic business landscape, mere alignment
of IT with business is not a good strategy as at
time that lacks the required synergy and also
that IT finds it difficult to synchronize with
business changes. So when strategy for
alignment of IT with business is not good
enough, we should go for strategic alignment
of business and technology and that is fusion
of both.
The Role of CIO
The executives generally have diverging
expectations from CIOs. For any strategy
related to IT be effective, it’s important that
the expectations from CIO and IT department
are converging. There must be consensus
among top executive on following
 They want service minded CIO, who can
quickly and effectively responds to the
demand and skillfully manages the
technology and people
OR
 They want business leader kind of CIO,
who provides the idea on possible
usage of technology, where ever it can
provide business leverage
This is a critical decision which needs to be
taken not just on the basis of immediate needs
and constraints, but based on factors that will
determine the future of the organization. If the
organization decides in favor of second option,
there will be the need of adequate budget
allocation. Second option is nothing but
transforming IT department from a service
provider to R&D cum consulting department.
In that scenario, the role of CIO is not
restricted to merely service provider but value
creator.
The Fusion of Business and Technology
The fusion of business and technology can be
attained, if IT is considered as strategic partner
of the business. That will need an organization
wide change in perception, mindset and work
culture. For effective fusion of business and
technology, the IT professionals must have the
bird’s eye view of functioning organization.
The business and IT strategy must have
synergy and both need to be evolved in sync.
In practice the fusion of business and
technology can be achieved with following
steps.
 The IT department and the business
client have the same goals.
 The business strategy and the IT strategy
are developed to support each other.
 Knowledge transfer from one project to
the next.
 Management involvement and good
leadership – that is supportive of change
and technological advancement – on
both top management and project
management levels.
 An organizational culture that is
supportive of technology.
 IT leaders who understand and
accommodate the unique characteristics
 of the IT environment.  Executive understanding, ownership
 The IT professional objectively and commitment
understand the business operations,  Business value creation using
constraints, associated risks and critical technology
success factors  Proactive technology orientation of
 Both the business and IT business initiatives
representatives take joint responsibility  A fully integrated and aligned business
for project success and IT strategy
 Users and IT professionals are involved,  IT strategic priorities identified, justified
when top management defines the and linked to business imperatives
business objectives and the goals for  Business and IT organization
the projects capabilities aligned to business
 Users are involved in the problem strategies
definition, planning and design process.  IT projects priority ranked
 Methods and tools enable the client to
There is fusion between the IT function and remain integrated and aligned
the rest of the business if the following
criteria are met: Hence we can see that the strategic fusion of
o The IT department and the business business with technology can be effectively
client have the synergy used to create the business value,
o The IT function solves the real competitive edge and efficient cost
business need, not only what they management.
perceive as the need.
o Business clients and IT professionals About the author:
understand each other's worlds and
speak a common language.
o Business clients and IT professionals
have realistic expectations of the
other's performance.
o Clear communication and effective
documentation.
o Effective and timely testing,
involving the business client. Anurag Johari has rich experience in strategic
o Interpersonal relationships IT consulting for Enterprise Modernization,
genuinely based on trust, empathy Post Merger Integration, ERP
and mutual respect. implementation and custom development.
He is an expert of strategic planning and has
Expected outcomes of Fusion of Business with multiple publications on various aspects of
Technology strategic planning, to his credit.
The fusion of business with technology, if He is a keen observer of the industry
planned and managed successfully is dynamics and continuously involved in
expected to produce following outcomes. monitoring and tracking the changes.
 Most of IT investment productivity, He loves to write on contemporary subjects.
qualitatively, quantitatively; and an For any discussion, suggestion or feedback,
accelerated strategic program with the author can be reached at
phased approach giving quick results for j16a@hotmail.com
each stage