Tag Archives: Service Management

ESM

When Your Remote Work Solution is No Longer a Solution

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CIOs led the overnight transformation from in-office to remote work environments for many organizations in 2020. All over the world, CIOs enabled their organizations to continue work and stay in business amid a global pandemic. The accomplishment was astounding and for many CIOs, it earned them a rightful place as a strategic leader in the company.

However, there’s a difference between the COVID-19 stopgaps many organizations put into place and true work-from-home solutions.

What is the difference?

The work from home solutions put in place enabled the organization to work in the way it was already working. Most of these remote work solutions didn’t introduce anything new to the organization. They really just moved the metaphorical water cooler from the office into employee homes.

However, what these solutions did do is open up a vision to what else could be possible in terms of remote work and having a flexible workforce.

It’s becoming increasingly important that organizations take their remote work solutions one step further and expand into new ways of working and supporting new business models through remote work.

The pandemic has changed work-life for good. According to a study from US-based Enterprise Technology Research, IT leaders “expect permanent remote work to double to 34.4% of their companies’ workforces in 2021, compared with 16.4% before the coronavirus outbreak.”

Not only are more employees working from home, but many businesses have also pivoted during the pandemic. Some organizations have developed new revenue streams. Others have adapted to different business models. In short, the business has changed.

IT needs to determine if the remote work solutions they put into place this past spring are actual remote work solutions – or if they are just bandaids. Why? Because this is just the beginning of change. The way we do business has been forever altered because of COVID-19. Traditional ways of working are a thing of the past. We’re going to see more hybrid office models and higher expectations from both customers and employees on what the business needs to deliver.

This is where the rubber meets the road for IT. Every organization has to adapt and they can’t do that without IT. Smart CIOs know they can’t point to this past spring and say “we’ve already innovated!” IT must be able to lead the business into a future that is completely reliant on technology-based solutions.

So where does that start? How can you ensure your organization is ready for the future?

We must start with the foundation – and that foundation includes service management. Now, before you roll your eyes and say “been there, done that”, let’s talk about why you should revisit your service management foundation right now.

The changes in your business may require a change in your foundation.

You may have had the smoothest, most cohesive workflows, value streams, and service management practices before COVID-19. But things have evolved and your service management practices need to also evolve to better support those changes.

Your foundations may have already had cracks in it.

Over time, foundations tend to shift. This is true for houses – and for service management. Perhaps pre-COVID-19, your service management practices were working well enough. Maybe there were one or two gaps in communication or service delivery but nothing significant enough to warrant restructuring or strengthening your service management practices. Well if something was only working well enough during the relatively stable period before COVID, then it’s not going to keep working well enough during the uncertainty of business during a pandemic.

Service management hasn’t been extended into the enterprise.

Enterprise service management is not a new idea. But many organizations have resisted it or many organizations thought they were implementing Enterprise Service Management when really they were just extending a few IT workflows. Silos, especially IT silos cannot be the norm anymore. With new ways of working, shifting business models, tightened budgets, and an uncertain business climate, it’s more important than ever for IT and other parts of the organization to collaborate to co-create value and drive the business forward.

Band-aid solutions will only make everything worse in the long run.

Finally, we all need to recognize that some of the solutions IT implemented in response to the pandemic were never meant to be long term solutions. I think IT departments and CIOs across the country produced some of their best work this year with the rapid transition to remote work. What was accomplished is extraordinary but it was only one piece of the puzzle. We didn’t know in the spring how much COVID would change businesses. We didn’t realize we had to create sustainable solutions for remote work, new business models, and new revenue streams. Most leaders made the best choices they had at the time. But now that we know this is a long term situation, we have to revisit the choices made and the solutions put into place to ensure if they are still the best options available. Because if they aren’t, they could slow down workflows, stress out employees, create silos, and hold back business growth.

All things considered, this is a unique opportunity for every IT organization. There’s never been a moment like this one that is so prime for strengthening service management, breaking down silos, and leveraging technology. The end of 2020 isn’t going to magically end the uncertainty in the world right now. The problems of today will continue presenting themselves until we make the necessary changes. Take advantage of this time of uncertainty to strengthen your service management foundation because that will help you in 2021 and beyond.

If you haven’t taken stock of the strength of your service management practices yet, here’s what you can do:

Align your service management goals with the organization’s strategic goals

With a new year right around the corner, IT needs to align themselves with the rest of the organization and create strategic goals that will support the entire organization. Revisit your plans for 2021 and make adjustments if necessary so you can prioritize service management initiatives that align with business goals.

Define and map your value streams

The way value flows through your organization to the end customer has probably changed. Your value streams and their supporting workflows will have changed as well. Value streams are cross-departmental so while you’re aligning strategic goals, collaborate with other parts of the organization to map your new value streams and ensure IT is supporting the entire journey — all the way to the end customer.

With clear strategic goals and redefined value streams, you’ll find yourself in a stronger position to help the business innovate and survive this chapter – and the ones to come.

 

Is your remote work solution no longer working? Book a free 30-minute consultation with me to discuss how to find longer

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Leadership

How to Fix Your Broken Workflows — For Good

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Every business leader wants the same three things: to reduce risk, increase revenue, and decrease expenses. Often, there is a general assumption that technology is the only way to accomplish these goals using IT. I’ve seen it time and time again. An organization will invest in a technology, thinking it is the silver bullet for success.

Instead of first paying a huge sum of money for technology, I suggest looking at one thing if you want to be an IT organization that reduces risk and contributes to the bottom line: your workflows.
Fixing ineffective or inefficient workflows is the way to work smarter, not harder — and without an added expense. So many organizations overlook the impact of their workflows on the overall business. But with tightened budgets and a remote workforce, your workflows are more important than ever.

Workflows Deliver Value

Value is the most important thing a CIO and the IT organization need to understand if they want to reduce risk, decrease expenses, and contribute to the bottom line of the business. You cannot accomplish anything without robust, effective, and efficient workflows. And when I mention value, I mean how the business delivers value to a customer — the business value that is realized by the end user.

This is something that a tool cannot do for you. Technology, no matter how new or fancy, cannot understand business value and structure itself to deliver that value as effectively and efficiently as possible. However, if the people using the technology understand how value flows through the organization and is delivered to the customer, they can ensure that the technology is used effectively.
That’s why the power lies in your workflows. When you improve your workflows, you get more out of your tools and technology, increasing the ROI on those investments.

Why Bad Workflows Happen to Good Organizations

Unfortunately, bad workflows are extremely common. They happen within many organizations and often for a variety of reasons. Currently, bad workflows are happening because with most organizations, value streams have evolved and changed, but the workflows supporting those value streams did not.

Right now we’re seeing this because of the pandemic. Most organizations are working remotely and some are working with a smaller, leaner team due to layoffs. But, the workflows that were in place before COVID-19 were likely designed for a different situation.

While the pandemic is a huge example of how much workflows can shift, there are other smaller, more common changes that happen in organizations that can turn a good workflow into a bad one. Small changes in how a product is delivered, the way a piece of software is used, or even changes in how organizations communicate throughout the value stream can negatively impact workflows. If these small changes aren’t reflected in associated workflows, value leakage occurs.

TaUB Solutions says value leakage is the greatest threat to value realization. Value leakage can occur throughout the value stream, as solutions move from conception to customer implementation. One small change can become a big one overtime and when that happens, value leakage can cause major problems.

You have to regularly audit your workflows to ensure they deliver value and if those workflows are the most efficient and effective way to support a value stream.

Fixing Your Broken Workflows

To fix your broken workflows, you first have to start with understanding the most important thing: value. If you haven’t mapped your value streams or your value stream map is from pre-pandemic, now is the time to give it an update.

Mapping value streams must be a collaborative, cross-departmental project. Because this is a detailed, step-by-step process that breaks down every step of the value stream and the workflows that contribute to them, you’ll have the opportunity to see how your workflows are contributing value, where any gaps exist, and what can be fixed or changed.

This process of mapping value streams may not sound like the most exciting initiative for people to spend their time on. But when it’s done correctly, it will save you needless expenses and improve efficiency which can contribute to a better bottom line and a happier customer.

But the job isn’t finished! It is very important that revisiting value stream maps becomes a regular practice. There’s a balance to scheduling your reviews. You don’t need to review it every week. On the other hand, if you only review once a year, you might not be doing it frequently enough. I recommend you start reviewing your value streams monthly and if you find after a few months that no changes are being made, you can move to reviewing them quarterly. Whatever the timing is, book it on your calendar and make it recurring so you never have an excuse to not review these.

In this time of higher user expectations, tightened budgets, and distributed teams, you have to leverage every advantage you can. Instead of looking outside of your organization for the next best thing or the next best hire, examine and optimize what you’re doing now. Taking these steps will strengthen your organization for the future, ensuring that when you do invest in something new, it’ll have the impact you’re looking for.

 

If you need support cleaning up your workflows, book a  free consultation call. This is one of my specialties!

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Digital Transformation

Can the CIO Save The Day?

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This year has been a banner year for IT. It’s only because of IT that so many organizations could continue operating in the face of the pandemic. IT has done its job on winning over the rest of the organization and most of the organizations now know they can count on IT. According to the 2020 Harvey Nash/KPMG CIO Survey, 61% of the 4,200 IT leaders surveyed said that the pandemic has permanently increased the influence of the technology leader. So how can the CIO and IT leverage this new-found influence? How can IT become more than the team that keeps the lights on? 

I think that this new influence can help the CIO become the most valuable player on the leadership team because they’re the glue that keeps everything together.

Now, some may argue that the CIO has been thought of only as leading a support team for decades. So they could not in fact be the glue holding an organization together. But that was before the technology boom. Today, technology is a foundational component for every business. From communication to employee experience to the customer journey, technology plays an important role in every piece of every business. As the impact of technology has grown, so must the role of IT. While IT and the CIO used to only solve technology issues, they now must solve business issues because the business needs technology. 

That’s why the CIO has the opportunity that no other executive does. No other executive can impact another department as much as the CIO can.  

This is, of course, a force that can be used for good – or evil. The CIO can be the bottleneck, holding back every initiative due to poor service or inefficient workflows. But they can also be the hero of the organization: playing an integral,difference-making role in every initiative.

John Bruno, Chief Information Officer at Aon, explains that the CIO role can become “an integrator – someone that works across the entire organization.”  

So what can a CIO do begin breaking down the silos and helping other departments?

 

  1. Get out of IT and into other departments.

The biggest problem so many CIOs have is that they can’t see the forest through the trees. Or to put it in more blunt terms, they can’t overcome the IT fire-fights that come up every day to actually get out of IT to see what’s happening in the rest of the organization. It is absolutely imperative that today’s CIOs do this. If you don’t feel that you can see beyond IT issues, then you’re not going to be able to support the organization as you need to because CIOs have to be the integrator. They have to be the ones to connect the dots and it’s impossible to do without collaborating with other executives and understanding what is occurring in their departments. 

What would happen if you as the CIO were able to take 2-3 hours a week to meet with other executives to understand their initiatives – and how IT can help make those initiatives successful? What would it cost you? If your IT organization were to implode because the CIO took 2-3 hours every week to work with other departments rather than help put out IT fires, then your approach to service management needs attention. The right service management workflows and foundation ensure that IT runs smoothly and is able to serve the organization, while the CIO works to innovate other areas of the organization. If you’re struggling to even find the time to work with other departments and trust that your IT team can keep running, it’s time to clean up your service management. Book a consultation with me and we can discuss how to get started.

 

  1. Identify the impact of technology in other department initiatives 

As I said earlier, technology is the thread that ties everything together and as the CIO, you hold the thread. You should be actively looking for ways to enhance other department initiatives with technology. 

In the old days of IT, many CIOs would roll their eyes at the idea of making more work for themselves by collaborating with other departments. But today, the innovative CIO knows that it’s not about making more work for IT. It’s about unlocking opportunities for IT to step up and play a more influential role in the organization. 

That means that CIOs have to get comfortable offering suggestions and solutions to other executives. Imagine what would happen if a CIO offered to support the head of HR in automating and digitizing the employee onboarding process. Imagine HR and IT co-creating that solution together, instead of HR assuming what technology they needed or IT forcing a solution upon HR without even understanding the complexity of the problem. 

Instead of a forced solution where neither side is happy, everyone would walk away with a collaborative outcome that improved the business overall.

And this isn’t just an HR opportunity. The CIO could do this for every other department.  Because you as the CIO are the expert in technology, you can offer your expertise to every area of the organization. 

 

How to Get Started

First, before you start working with any other department, you need to be certain that IT can operate efficiently. That means optimizing workflows and identifying any gaps in your service delivery. You can’t offer value to anyone else without first cleaning up your own department. (And if you need help, that’s my specialty! Book a consultation here.)

Once you’ve done that, begin forming partnerships with other executives. Invite them to ongoing meetings to learn about their initiatives and technology needs. If you approach this partnership as an opportunity for their department to achieve their initiatives faster and with less resistance from IT, then they are going to be onboard with working with you. 

Slowly but surely, you can begin to work with every department in this manner and before you know it, the CIO has not only elevated the status of IT but also the entire organization. 

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Leadership

Are You Winning the IT Participation Trophy?

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IT has gotten a bad rap in the past and I think it’s partially deserved. There are still far too many IT leaders just willing to phone it in. That’s an old way of leading IT and it’s about winning the participation trophy.

You do know what the “participation trophy” is, right?

The participation trophy is often awarded to each player on a youth sports team. It recognizes that the team member showed up to most of the practices and most of the games.

And while that may be an accomplishment, it doesn’t mean (at the risk of being harsh) that anything was won or accomplished. It doesn’t represent an outstanding contribution.

It only means that a player showed up.

Many organizations recognize that IT leaders need to be business leaders who are actively working with the rest of the organization to drive value. Many IT leaders have accepted the challenge and are the business leaders that their organizations need. However, there are still traces of the old way of leading IT around some IT organizations.

Here are the signs that the old way of leading IT is present in your organization.

6 Signs You’re Only Winning the IT Participation Trophy

You measure and publish outputs instead of outcomes

Crossing things off a to-do list and checking off the tasks that IT accomplishes isn’t enough. Everyone produces outputs. Anyone can check off tasks. But the IT leader of today is the one who understands how those outputs lead to the outcomes that drive the business forward.

IT works in a silo

Today’s IT organization can no longer be just a support department. If you’re only working within IT in near-isolation from other departments, then you’re continuing the mistakes of the CIO of the past. IT includes more than technology these days. You can’t simply show up for the technology aspects of business initiatives. Today’s IT is about co-creating value, enabling flow across the entire organization, and leading innovation. IT leaders must work with the rest of the organization on initiatives from start to finish.

Everyone is an adversary

If you see fellow employees as customers and not colleagues, then you’re winning the IT participation trophy. Not everyone is against IT like so many CIOs have believed in the past. Modern CIOs view other departments and leaders within the company as allies. Even when these people have feedback about IT that is hard to hear, you need to treat them as allies who can help you elevate IT. If they didn’t care about your success, they wouldn’t be sharing that difficult feedback.

You’re always playing defense

CIOs holding the participation trophy are always playing defense. They are too worried about protecting themselves from criticism and keeping prying eyes away from IT to be truly effective.

Today’s great CIO now plays offense. They are continually innovating and looking for ways to improve IT, even if that means on occasion having to accept some tough feedback or criticism. They know that experimenting from a position of knowledge, learning from mistakes, and being responsive is more important than protecting IT from criticism.

You selectively use – or avoid – data

Whether it’s good or bad — you need to rely on the data of your IT organization. Picking up the IT participation trophy means you’re focused on what looks good for IT and how you can shine the best light on IT. This means you avoid the data that can show you where you need to fill in the gaps or where you’re leaking value.

You’re on the sidelines in business decisions

IT has traditionally been seen as a support department. Some CIOs are content for it to stay that way, passively accepting whatever the business asks of them, and never really taking an active role in the larger organization-wide initiatives.

Give Up the IT Participation Trophy

If any of this sounds familiar to you, there’s good news and bad news. The good news is there’s plenty of opportunities to give up these bad habits and say goodbye to perpetually winning the participation trophy. The bad news is that you’re going to have to make these changes quickly because technology is evolving by the day and organizations need involved and innovative IT leaders.

So if you want to be more than a participant and instead, be a leader, it starts with changing your own mindset around the power of IT and your own role in IT. Technology plays a vital role in organizations these days and as an IT leader, you have to play just as big of a role. This might mean ditching some previously held beliefs about your role or the way IT has been managed. If you find yourself thinking “but we’ve always done it this way,” that’s a sign that you’re holding onto that participation trophy a little too tightly.

But with a shift of your mindset, you can take the actions that will shift the mindset of those around you. Slowly but surely, you’ll stop winning the participation trophy and instead start your campaign to win the MVP.

Learn more about becoming an innovative CIO by downloading the CIO’s Guide to Navigating Shifting Priorities, which is a bundle of 3 of my most popular webinars for the CIOs who want to advance their organizations in the next 12 months.

Download the CIO’s Guide to Navigating Shifting Priorities.  

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ITSM

Why IT Organizations Stay Broken

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They say that “change is hard”. Organizational change is probably the most difficult kind of change. And for some reason, IT struggles with its own organizational change. Sure, IT knows that organizational change may be needed for business colleagues so that they can fully take advantage of a new IT product or service. But when it comes to organizational change within IT- IT often strikes out. Rather than be a model of good organizational change for the rest of the business, IT will often position itself as a support team, or as a service provider, continually at odds with the rest of the organization.

Time is running out on this old, broken model of IT organizations though. The IT organizations who fail to transform themselves beyond a support organization or a service provider will fail to exist. This sounds harsh, but it is the reality. IT organizations must understand why they are broken and they must commit to making the change if they want to continue to exist in this new normal.

Why do IT organizations stay broken?

The short answer is they’re afraid.

Now, I know that answer probably just lost me a few readers right off the bat. But if you’re still with me, a tip of the hat to you. Why is IT afraid to change? I have broken it down into two groups of IT organizations who don’t change. They’re both afraid for different reasons but fear is the leading factor for both.

The first is the IT organization that is afraid of what they don’t know.

Popping open the hood of IT to see what’s actually happening can be enlightening, but also terrifying. Because you might be able to see how hard the motor is working to keep the car running. Or you’ll find that you’re missing parts, parts have been long broken and you’re lucky that the car runs at all.

If the latter happens, the amount of work has just quadrupled to fix what’s missing or broken. Worse than that, the C-suite now has a picture perfect view of how much IT is underperforming.

This kind of discovery is scary to this type of IT organization. At least in their current reality, they understand it and they know how to explain it, defend it, and even work with it. It feels safer to distract themselves with putting out daily fires and accepting that they’re never going to hit their highest performance goals. But hey, at least they’re not making it harder on themselves by spotlighting their gaps and putting more work on their plates.

The second group of IT organizations who won’t change is the group that’s afraid to start. This group often knows they need to make a change, but the fear of starting down the wrong path or starting with the wrong initiative has them paralyzed. .

This group has probably popped open that hood of IT and they see all the broken parts – but every broken part seems to be the most important one to fix. They don’t know how anything under the hood works together so they don’t know where and how to get started.

And the longer they wait to make a change, the harder it is to justify doing that work required for that change. They continue accepting the status quo because they don’t know what else to do.

The fear of finding out what’s wrong, or working on the wrong thing, is very real for many organizations and the truth is, I understand it. Sometimes sitting in the dark is easier because you won’t have to see the monster.

But we can’t live in fear, especially right now in this current climate.

The business world is changing. Actually, the entire world is changing. When everything is uncertain, the most innovative leaders are the ones who know they can capitalize on this opportunity.

But it requires a level of courage, willingness to take on the responsibility, and committing to doing the work and to dig into the data they already have.

The Data is The Road Out

Both of the groups of organizations I described above lack one thing: data.

They don’t have the data to understand where and how they can make improvements. Or they think they don’t have the data.

Whether they’re too afraid to face it or feel too overwhelmed to dig into it, every IT organization has the data they need to make lasting change in their organization. It exists all around them — within their team, their end-users, their partners, their vendors, their processes and services. They just have to tap into it.

This mess of data may seem overwhelming at first but there is a way to take the next step. The hot topic right now is “experimentation.” Difficult times in business require innovation, and innovations require experimentation. But I’m adding an addendum. Instead of just simply experimenting, you should “Experiment from a position of knowledge.” Use your data. What is your data telling you? Where is it leading you?

Instead of allowing this uncertainty to freeze you in fear, try leveraging this uncertainty to propel you into something bigger, better, and different. Everything is already different in 2020 – so why can’t IT be different in a better way?

I predict we will start to hear IT success stories: the ones that innovated instead of standing still (or even worse, receded), the ones that pivoted rather than just turned in circles, the ones that leaned into the uncertainty and transformed into something better. I’m hopeful that the right leaders are in place in many places and they are already beginning to use data to drive change, learning from mistakes, and leveraging the capabilities they already have in place.

Don’t stay “broken”

My challenge to you reading this is: how will you transform your organization? How are you going to push through whatever fears that are holding you back? There might not be an opportunity quite like this one again. Leaders are made for these moments. Are you going to accept being broken? Or are you going to step up and pop open that car hood?

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ITSM

Working From Home Is Only The Beginning: What is the Future of Service Management?

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I have said before that we are entering into a service management renaissance. Now that we are 9 months into the whirlwind of 2020, I’m even more convinced.

IT has been in the spotlight this year and for good reason. When the pandemic caused organizations to send employees home to work this past spring, IT was faced with a herculean task – and it stepped up. IT had to do most of the heavy lifting when businesses rapidly shifted to a work from home (WFH) model. IT organizations across the globe scrambled to equip their organizations so it could continue operations. 

Not enough laptop computers or product licenses to support WFH needs?  Buy some.  Not enough VPN or cloud storage capacity?  Buy more. 

Many IT organizations have experienced huge wins this year.  IT was appreciated – even cheered – by many, as technology-enabled organizations to continue operations as close-to-normal as possible in a completely remote environment. 

But as the novelty of WFH has started to wane, the full impact of this new normal has become more real.  Many organizations, faced with the significant costs associated with the shift to WFH, coupled with significant declines in revenues, had no choice but to reduce budgets.  Included in these budget cuts were reductions to the IT budget – the very organization that kept those businesses in business. 

The question now is “what happens next?”

How do organizations successfully adapt to doing business in a WFH world? How do employees get the support they need when that support is no longer a quick trip down the hall?  How do organizations turn the unanticipated technology expenses resulting from the pandemic into investments that co-create value?

Enter service management.  Or perhaps more appropriately, it’s time to up your service management game. 

Admittedly, it is not the scenario that I had envisioned as the basis of the renaissance.  But if ever service management must become an organizational capability, the time is now. 

Here’s my prediction for the future of service management in a post-pandemic world:

Employee Experience is Now Non-Negotiable 

There is no returning to the previous “normal”,  but this isn’t just about organizations working remotely. It’s about leveraging the technology to create an exceptional employee experience. Users might not be able to simply stomp down to the IT department demanding assistance from the service desk. 

Organizations must step up their service management games to enable and deliver products, services, and workflows that result in frictionless, positive employee experiences. 

Collaboration and communication between service providers (not just IT, but other parts of the organization as well, such as HR and others) and consumers are going to be essential for success. Leaders will need to make sure their teams have in place communication structures so they can work with their team members to understand how technology is enabling the employee experience and identify any gaps in that service. 

The technology will matter less than how the technology is being used

In the past, many organizations invested in technology with the hope that it would be the savior for whatever business challenges they faced.  But one of the lessons from COVID-19 is that technology alone doesn’t deliver the long-term value organizations need.  In other words, technology is useless if it is not managed appropriately, with sufficient structure, processes, competencies, and a clear understanding of how the use of technology results in valuable business outcomes. 

Technology has always been looked upon as a quick fix and that is especially true in the case of the pandemic. Throwing technology at the problem worked at the beginning of the pandemic because we were looking for short term solutions, anything that would get people up and running quickly.  Now, IT organizations are dealing with tight budgets and an increased demand for technology. The easy answer may have been to  simply invest in more technology. But just adding more technology is just a band-aid for the problem. 

The successful use of technology depends significantly on the people using it and how it’s being used. The future of service management is going to rely on not just providing the technology but more importantly, truly understanding how that technology contributes to business outcomes. 

In many ways, this is a win for organizations because it’s always easier to develop existing capability than develop new. Now is the time for IT leaders to begin cataloging the technology already in use, the services that are provided, the processes in place for it, and what’s working and what’s not. Begin to leverage what you have so you can identify opportunities for growth. 

Service Management Processes Must Become Business Management Processes

Now, the truth is that if you are already taking a holistic approach to service management, you already know this. 

If you’re only using service management for managing the IT parts of a value stream, you’re missing the real opportunity for IT.  And even worse, you’re probably leaking value.

How value flows through an organization matters more than ever. Times are tight and they might be for a while. We are paying for the pandemic and we will probably be feeling the impact of that for months and perhaps years to come. 

Every part of the organization has to drive value. IT cannot do that without working holistically with every other part of the business. This requires a huge uplevel from IT. IT must integrate itself with the business (whether it’s in person or remotely), understand the role the services and technology it provides plays in driving and co-creating value.  

It’s not just about collaborating to provide technology to complete an initiative, it’s about integrating so that initiative is as successful as possible. IT must begin to recognize where and how value flows through the organization and most importantly, how it flows to the service consumer! 

Leaders can start to integrate service management processes with business management processes by identifying how value flows through the organization and how technology assists in that value reaching the consumer. By paying attention to the larger needs of the consumer and the goals of the business, IT will be able to seamlessly combine both processes so each supports the other. 

The new world for service management 

I think my view of the future of service management might come as a surprise to some.  Perhaps my holistic view of service management is different than how you’ve viewed it.  But I am convinced that if you take this approach, then you’re better positioned not only to deal with the fallout from the pandemic but also better lead your organization into the future.  

Are you looking for assistance in adjusting your service management approach to this new world? Book a free consultation.  

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ITSM

Did You Pivot Or Are You Just Spinning in Circles?

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COVID-19 caught the business world by surprise. And it didn’t just change where organizations work (from an office to at home) — it has changed everything: economies, regulations, timelines, employee and customer expectations, the list goes on.

So what did the majority of organizations do in response to this swift and sudden change?

They pivoted.

I know that many seasoned leaders and CIOs have rolled their eyes at the word “pivot” in the past but, it’s 2020 and well, it just might be the word of the year.

No matter the industry, businesses have had to pivot. A few examples of this include restaurants acted as grocery stores selling fresh produce, meats and beer, among other things, gyms transitioned into online workout subscriptions, and distilleries began manufacturing and selling hand sanitizer. Even Chuck E. Cheese pivoted into a delivery pizza chain under the name Pasqually’s.

In big or small ways, every business has had to pivot. When done correctly, a pivot can create new revenue streams, keep businesses afloat, and deliver even more value to their customers.

However, organizations run into problems when they think they’re pivoting but really, they’re just checking off tasks, working for the sake of being busy or failing to innovate. In short, they’re not pivoting — they’re spinning in circles.

What’s the difference between pivoting and spinning?

Business pivots are meant to help a business recover from a difficult period that made their original business model less sustainable. It is sometimes seen as a short term move, but it can have positive long-term impacts on the businesses, depending on the business. Whether it’s meant to be short-term or long-term, a pivot is a deliberate and purposeful shift to create value for the end-user.

Deliberate and purposeful are the two keywords in that definition. It’s what makes a pivot different from a knee jerk spin. A knee jerk spin will not create value for your end-user or your business, but it will likely cost you time and money.

Here’s how to know if you made a pivot versus a knee-jerk spin. You pivoted if:

  • You relied on data to make decisions about where to shift 
  • You already had a clear understanding of how value flowed through your organization 
  • You understood what aspects of the business worked and leveraged those things to create new value streams

The difference between organizations that pivoted and those that are spinning is that the pivoting organizations already had a holistic view of their organization and how it delivers value. They understood their strengths, weaknesses, opportunities, and threats before the pandemic hit.

Organizations that made knee jerk reactions were in the day-to-day, siloed operational mindset. They didn’t know where they were to begin so they could change direction to move into a better place when COVID-19 hit. 

What Can CIOs Do to Stop Spinning?

If you are concerned that instead of pivoting, you’re just spinning, it’s ok. It’s not too late to slow down and make the pivot you need. Here’s how:

Identify the value you deliver to the end-user

What is the value that the organization delivers to the end-user? How does IT contribute to that business value? Are you able to connect IT services to the happiness and success of a customer? If no, then that’s where you start. Understanding where IT creates value in the organization is the first step to being able to find innovative ways to keep delivering it. 

Communicate with all key stakeholders

Are all of your key stakeholders in agreement with the value you deliver? Does the sales department see the same level of value that the marketing department does? Do your customers see the value your salespeople see? Every stakeholder needs to be on the same page here or else you’ll end up trying to deliver too much.

Map everything out

You can use a whiteboard or create a digital version, but you should have a clear map of your value streams and your customer journeys. It is imperative that everyone on your team can visualize where value is created, where it may be getting lost, and where there are more opportunities to create value.

Creating a customer journey and value stream maps are two exercises that will provide that holistic view of the organization you need to survive this pandemic and whatever comes next. They are collaborative exercises but once completed you’ll be in a better position to take actions that will help the business pivot to where it needs to go. 

Fill in the gaps

You can’t know where you’re going if you don’t know where you are. The truth is, even as we continue to move through this pandemic, we have no idea what will change in the future or what the next upending disaster will be. There is no such thing as “smooth sailing” forever. Another emergency will hit organizations and they’ll need to pivot. Taking the steps now to address where you are, lay your groundwork and create that solid foundation will strengthen you to not only pivot and survive in this emergency, but in future ones as well. 

 

If you want to ensure you’re making a pivot and not turning in circles, let’s chat! Book a free consultation to learn how you can leverage your wins and successfully pivot your organization.

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Did You Leave Some Value Along the Road?

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Let’s start off with a scenario. Let’s say you are preparing for a cross-country road trip. Before you head out, you are responsible and change the oil in your car. You prepare your playlist, grab your road trip snacks, and hit the road. You drive for a day or two and you make it through a few states before that pesky “check oil” light pops on. You’re annoyed because you just changed the oil and you’ve only driven a few hundred miles. But you don’t want to risk losing your engine, so you get off the highway, find the closest gas station and change the oil and hit the road again.

Now let’s say that happens every few hundred miles for your entire trip. My guess is that after the first or second time that “Check Oil” light went on, you would ask a mechanic to look at it to examine why you’re leaking oil, even if it meant extending your trip a few hours or a day to get it fixed.

Now, what if I told you that much like a car leaking oil slows down a road trip, IT services that leak value can slow down business growth. The difference is that CIOs don’t have a handy light that goes off to let them know an IT service is low on value. They have to look for the signs themselves.

If you’re wondering why your IT services aren’t delivering the way you planned, it’s time to check if you’re leaving value along the side of the road.

Understanding The Value Of IT

Before you check to see if you’re leaking value, you have to understand how you are creating that value to begin with.
The difficulty with value is that it is a perception. There is no one single definition of it. Value needs to be defined by every stakeholder in the organization — customers, partners, suppliers and internal stakeholders. Business leaders should be working with these stakeholders to define value and ensure that value is understood across the organization.

Once you have a definition of value inside the organization, you can begin to understand how IT co-creates that value with other stakeholders.

For IT leaders, this means understanding how the outputs IT delivers connect to the larger outcomes the organization is achieving. This will require you to work with other stakeholders in the organization to understand their projects, initiatives and goals, and how IT supports them. If you are able to connect how IT helped marketing hit its revenue goals, then you’re understanding where IT co-creates value and you can optimize your work, investments and priorities to increase that co-created value. If you are able to do this for every project you work on, then you’ll be running a value-driven IT organization.

Are You Consistently Delivering Value?

Now, many organizations may already do this. They already define value and IT has already worked with other departments to ensure they co-create value through their services.

But your job isn’t done.

Business doesn’t operate on a consistent basis every single day. No matter how tight our processes, how smooth the services are; there will be evolutions in services, products, and how the organization operates.

And sometimes, those evolutions are forced upon a business due to forces outside of their control. For example, a global pandemic can hit and everyday business life is turned on its head.

Other times, it’s not a major pandemic, but a slight shift in how a product is delivered, how an organization communicates, or the way technology is used.

Whether the reason is big or small, when undetected shifts within the value stream occur, IT services begin to leak value and IT becomes less effective. In other words, you have “value leakage”.

My friends at TaUBSolutions explain it this way; value leakage occurs when “solutions move from conception to customer implementation.”

Value leakage can occur when there is not adequate training, when there is poor management of organizational change, when we don’t retire services or products when we should, when there is poor employee and customer experience.

How to Avoid Value Leakage

Value leakage will always be a threat to IT’s effectiveness. It is up to the IT leader to be vigilant about delivering value and to look for the signs. Remember, unlike in your car, there is no “Value Leakage” indicator light.

Instead, IT leaders should regularly do two things:

  1. Talk with stakeholders about service delivery.
    Are they still seeing value from your services? When was the last time you checked with your stakeholders to confirm this? (Hint: if you haven’t done this since COVID-19 hit, now is the time!)
  2.  Review customer journey maps and value stream maps.
    These two tools were designed to help stakeholders understand how value passes through the organization and is realized by the customer. They will help you identify where value should be delivered or where it can be delivered.

Don’t leave value on the side of the road. Protect yourself from value leakage and check in with your stakeholders. I created a Value Leakage Indicator Tool to help IT leaders measure where they are and are not delivering value. You can download it for free here.

Additionally, if you need help identifying value, connecting IT outputs to business value or mapping value streams, please book a free 30-minute call for us to discuss how you can drive more value in your business.

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When In Doubt, Follow the Value Stream

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Every day, IT leaders address questions to help keep their team moving forward, which in turn keeps the organization moving forward.

Questions like:

  • Where should the IT team spend their time?
  • How should IT allocate resources?
  • How can IT justify larger budgets and more investments?

In the past, IT leaders have taken a straightforward approach to answering these questions. They have broken down each question and explained in technical detail everything their team has accomplished and completed, no matter how small or mundane.
In other words, IT delivered outputs.

But in today’s world, outputs aren’t enough. The old approach to making decisions based on outputs is over. Because today, IT must deliver outcomes.

If an IT leader was to list only outputs without connecting them to any business outcomes to the C-suite in the hopes of securing more resources or larger budgets, the C-suite will look at them and ask: “How did this drive business value?”

Closing tickets, upgrading technology, and troubleshooting technical issues are an important part of the success of an IT organization. But IT leaders must do more than just list outputs. IT leaders must show how these outputs connect to the organization’s bottom-line goals, and IT’s role in delivering needed business outcomes.

Before an IT leader can decide on how their team should allocate its time and resources or how IT can obtain larger investments and partake in bigger initiatives, they must answer these questions:

  • How did IT’s outputs reach the end customer?
  • How did IT’s outputs help the customer achieve their goals?
  • How did IT’s outputs increase revenue or decrease expenses?
  • How did IT’s outputs help the business achieve its goals?

To find the answers to these questions, you have to follow the value stream.

What’s a Value Stream?

Steve Bell and Mike Orzen, authors of Lean IT define a value stream as a “sequence of activities required to design, produce and deliver a good or service to a customer and it includes the dual flows of information and material.” According to Bell and Orzen, a value stream consists of “all processes, tasks and activities used to bring a product or service from concept to customer and includes all information, work and material flows.”

In short, value stream is the steps taken by an organization to meet customer demands and bring value through a product or service to that customer. The value stream is the big picture look at how value flows through the organization.

How To Follow the Value Stream

Following the value stream means exactly that – following how value flows through an organization and identifying where there may be improvements that can be made. It is about gaining clarity around how value is delivered to the end user, and how to use value streams to help you make decisions in your IT organization.

For every initiative or project, IT leaders must be able to step back and ask, “where and how does this fit in a value stream?” If you’ve followed the value stream and there is no fit for the initiative, then why is it a priority?

Often when you’re following the value stream to determine the importance of an initiative, you will end up involving other departments and stakeholders. As noted above, the value stream is how value flows through the entire organization, not just within one department. Value streams will cross departmental boundaries and a collaborative approach is mandatory. Working in a vacuum will simply waste time and resources — time and resources that could have been better spent contributing to the value stream.

Now, in this digital world, this means understanding how technology contributes to the value stream. IT manages technology and technology will always play a role in the value stream. Understanding this relationship will give you a context for certain services or initiatives.

Map your Value Streams

How do you know if a technology, a specific investment, or an initiative is contributing to a value stream?

The answer is simple: map that value streams. A value stream map is a visual representation of how value flows through the organization. This visualization enables you “follow the value stream.”

Mapping value streams will:

  • Identify cross-functional nature of work, which can avoid “siloed thinking”
  • Identify waste such as bottlenecks or delays (very important for IT!)
  • Allow teams to visualize the work and help the entire organization recognize how individuals and teams contribute to value.

How to Follow the Value and Map the Value Stream

No matter where you struggle with defining value or identifying the value IT drives, a value stream map is a place to start.

Mapping a value stream requires a cross-departmental team that includes IT. Silo thinking must not get in your way when you’re following the value stream, so include all stakeholders and make this an exercise in discovery.

To map a value stream, you have to define the focus of the map. A Value Stream Map doesn’t necessarily map all the paths that a process can take. It tracks one service or part of a process. So when mapping your value streams, start with services that have a role in the products or services that have the most impact on the organization. Ask yourselves what is the most valuable thing to the customer, what brings in the most revenue, or conversely, what costs the most for the organization? Start with focusing on the value streams where you get “biggest bang for your buck,” so to speak.

Map all the information including all the tasks being performed, who is performing them, and the technology involved with all of these tasks. It helps if you work backward. Work with the end outcome of a value stream and map out the process from there. Start with the end customer and the process will probably become much clearer.

In addition to mapping out each step in a process, be sure to map how information flows through each step in the process. Remember, you want all the key stakeholders in the room while you do this so that everyone knows how information flows and what is expected of them during each step of the process.

It’s also important to include timelines involved in each step of the process. Include lead time and actual time spent on production or in the product lifecycle to get an accurate view of how much time is needed for value to flow to the customer.

Finally, remember that value stream mapping is never a “one and done” activity. As new technology is introduced or customers’ needs change, your value stream maps will be revisited.

The next time you’re faced with a decision about an investment or project, take a look at the value stream. Using a value stream as your compass Following the value stream will always lead you to a path where you can contribute value to the organization.

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Your Continuity Plan Still Isn’t Good Enough

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Continuity plans have been in the spotlight for businesses across the globe over the last few months. If your continuity plan wasn’t done or hadn’t been reviewed in months, then you probably felt that pain over the last few weeks. Even those with up-to-date continuity plans are refreshing theirs with their lessons learned from COVID-19.

“Continuity planning” has been topping lists of must-do’s for CIOs and IT leaders. But someone has to ask the question: even with a 2020 update, is your continuity plan good enough?

From what I’ve been reading and seeing, probably not. The good news is that you can still shore up your continuity plan so that it actually helps your business in the event of another disaster.

The Problem With Continuity Plans

For CIOs, continuity plans mean including the obvious things:

  • How many laptops does our team need to work remotely?
  • What needs to be moved into the cloud or onto a collaboration platform?
  • What cybersecurity systems need to be set into place?

These are important items to address. They will help your business continue in the event of an emergency. But they’re not the solutions to the real concerns. They are band-aids. These things only address the symptom but not what causes the symptoms.

A continuity plan needs to address what your business needs to do to stay running most effectively and how vital business functions can continue operating during a disaster.

On their own, none of the above components reflect how they connect to vital business functions or business needs. They’re just a list of outputs. They don’t tie it back to the business need or driver or requirement. They’re not outcomes. Our continuity plans should focus on the outcomes we must deliver to support vital business functions. Then we’ll know what outputs we need to produce in order to provide the outcomes that are needed.

I’ll use one of my favorite metaphors to explain the difference between outputs and outcomes. This one might feel familiar to you if you’ve been ordering takeout food recently. You probably have a favorite pizza delivery place that you choose over any other. What is it that makes that pizza delivery your favorite? Because the output from every delivery service is the same. The output is the pizza that you receive. But the outcome of pizza delivery is that the pizza was delivered warm, the driver was friendly, it was delicious and you enjoyed every second of eating it. The output is simply what you expect because it’s what you paid for. The outcome is the entire experience and value that was delivered.

To have a good continuity plan, you need to identify the outcomes that are necessary, not just the outputs that simply keep the lights on.

We need to start with the business impact analysis which quantifies the impact of the loss of service. A business impact analysis collects relevant data and analyzes the operational and financial impact of a disruption of business functions and processes. These can be as detailed as we need it to be. The more detail, the better because we’ll be able to make better business decisions.

The business impact analysis starts us down the path of identifying those outcomes because it assumes that every part of the business is dependent on the continued operations of the other parts of the business (which it is).

Is this starting to sound familiar? When we think of business impact, in particular the holistic approach to end-to-end value, we’re really identifying the value streams.

If you read my previous article this month, you know that I’m a proponent of Value Stream Management, which is the holistic approach that applies lean thinking – optimizing the flow of products and services through entire value streams across technologies, assets, and departments – across an organization’s value streams. Instead of just looking at functions and features, value stream management looks at and manages value streams from end-to-end.

In terms of continuity plans, if we reflect on the value streams, our plan has to become more than the technology that supports the value stream. It will encompass the entire end-to-end lifecycle of business value and the outcomes of each value stream.

This where you’ll begin to focus on things like the roles of the people involved and how they interact with one another and the end customers to deliver value. Your continuity plan becomes comprehensive and more impactful.

How To Make Your Continuity Plan Valuable

Now that you understand what really needs to be in a continuity plan, there’s a second piece that needs to be addressed.

You can’t just drop this plan into a drawer and cross your fingers that you won’t need it again anytime soon. If COVID-19 has taught us anything, it’s that unthinkable scenarios can occur. We may not see another pandemic in our lifetimes but we will see another disaster of some type.

Your continuity plan cannot be a one and done scenario. It needs to be reviewed, updated, and addressed on a regular basis. Each time you map your value streams or add new value streams, go back to your continuity plan, and evaluate that it’s still up to date.

We can’t know what the next disaster is awaiting businesses but we can be better prepared for any disaster. The best time to prepare for the next disaster is right now.

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