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Peter Nevin
Becoming the Future-State CIO
• My Background • Future-State CIO Model • CIO Competencies • Types of CIOs • Journey to the Future-State CIO • Matching CIOs and organisations
Agenda
My Background
Senior
Consultant National Rail
CIO
Global CIO
Senior Partner
EGM Business
Processes
Director
Technology
and Systems
FSH Project Chairman,
Board of Advisors
Strategic
Advisor
Principal
CIO
The Future-State CIO
Chevron
Sysco
H&R Block Veterans Admin.
Clorox
Egon Zehnder Thomson Reuters
GlaxoSmithKline WellPoint
P&G
FUNCTION HEAD Runs the IT organization, achieving IT operational excellence & providing effective, reliable services
TRANSFORMATIONAL LEADER Leverages alignment & close partnership with the business to create enterprise change and optimize processes
BUSINESS STRATEGIST Creates/enables business strategy & competitive advantage through innovation across and external to the enterprise
Three CIO Leadership Types Primary Activities
Current Distribution of CIOs Future Distribution of CIOs
FU
TU
RE
-STA
TE
CIO
®
CIO Types Over Time
25%
56%
19%
Business Strategist
Transformational Leaders
Function Heads
46% in 2011
11% in 2011 43% in 2011
The need for Future-State CIOs
1. IT is commoditised & consumerised. Mobile is platform of choice
2. Technology as service (cloud) becoming preferred provider
3. Millennials challenge everything as employees and customers
4. Ubiquitous data—touches all end customers
5. Social becomes prime marketing channel, need to embrace CMO
6. Big data must produce value
Basic hygiene
PCs, printers, phones, access…
Desk top systems
Email, office, Skype, calendars …
Back Office systems
Payroll, HR, Accounts, Content mgnt…
Production systems
Manufacturing, Banking, Inventory, Sales…
Customer facing systems
Online sales, personal banking, CRM…
Busin
ess v
alu
e
Good operations and
Technical change projects
Reduced IT Costs
Improved Reliability
Good operations and
Transformational change projects
Reduced Business Costs
Improved Reliability
Good operations and
Business Strategic change
projects
Increased profit
Business transformation
What is the CIO’s Role?
CIO Competencies
CIO Competencies
Competencies In / Value Out
• Strategic orientation
• Team leadership
• Commercial orientation
• External customer focus
• Collaboration and influencing
• Market knowledge
• Change leadership
• People and organisational development
• Results orientation
Core Competencies
• Team leadership
• People and organisational development
Core Competencies – CIO types
FUNCTION HEAD
TRANSFORMATIONAL LEADER
BUSINESS STRATEGIST
• Commercial orientation
• External customer focus
• Market knowledge
• Strategic orientation
• Collaboration and influencing
• Change leadership
• Results orientation
Types of CIOs
Journey: The Future-State CIO®
Functional Stage
Functional /Credible
• Optimise IT Operations • Emphasis on Functional competencies
Leader Focus Internal
Staff Expertise Systems
• Teams with strong functional skills • Process disciplines (e.g. ITIL), PMO
Stakeholder Relationships Service Provider • Meet Influencers – quick wins
• Portfolio Governance
• IT runs like a business
• Fixing what is broken
Transformational Stage
Transformational/Influential
• Enterprise processes versus silos • Emphasis on collaboration, change and IT Strategy
Leader Focus Enterprise
Staff Expertise Processes • Knowledge of enterprise processes • Embed mangers in business units
Stakeholder Relationships Partner • Involvement in business committees
• Business value-related IT metrics
• Outsourcing • Deeper leadership
Strategist Stage
Strategist/Game Changer
• Deep knowledge of industry (market, competition, customers) • Emphasis on commercial orientation and customer insight
Leader Focus External
Staff Expertise Business • Delegate operations and functional oversight
• Customer-facing structures in IT • Rotate leaders through business roles
Stakeholder Relationships Peer • Collaboration on businesses strategy
• Cultivate Board relationship
• Call on end customers
Journey to the Future-State CIO
The Future-State CIO®
Leader Focus®
Leader focus
• Provide transparency
• IT as part of processes and customer interaction
• Learn more about your company’s market
• Caution with mergers, acquisition and new environments
• Business leader focus: company risk, bottom line and services
Internal Enterprise External
S Expertise Staff
Staff Expertise
• An IT leadership tier with business and technology skills
• Import senior IT leadership
• Link competencies to leadership positions
• On-the-job opportunities in cross-functional roles
• Seek mentors from business functions for top IT staff
• Involve staff in business exposure/education
• Involvement in highly visible non-IT programs
• Give confidence through understand the impact of change
Systems Processes Business
S
Stakeholder Relations
Stakeholder Relations
• Introduce and explain new terminology
• Support from other business leaders - (CEO)
• Solutions that can create new market value
• Identify and improve neglected systems or processes
• Stakeholder perceptions vary - adjust approaches
Service provider Partner Peer
Matching CIOs and organisations
FU
TU
RE
-STA
TE
CIO
®
CIO Types in organisations
Performance/
Expectation
Gap
Performance/
Expectation
Gap
CIO type needed Over qualified CIO Underdeveloped CIO
Basic hygiene
PCs, printers, phones, access…
Desk top systems
Email, office, Skype, calendars …
Back Office systems
Payroll, HR, Accounts, Content mgnt…
Production systems
Manufacturing, Banking, Inventory, Sales…
Customer facing systems
Online sales, personal banking, CRM… CEO & Business
CIO Mismatch 1
CIO Focus
Basic hygiene
PCs, printers, phones, access…
Desk top systems
Email, office, Skype, calendars …
Back Office systems
Payroll, HR, Accounts, Content mgnt…
Production systems
Manufacturing, Banking, Inventory, Sales…
Customer facing systems
Online sales, personal banking, CRM…
CEO & Business
CIO Mismatch 2
CIO Focus
CIO HANDBOOK FOR NON-IT EXECUTIVES
1.Assessment tool
2.Selection matrix
3.Nine core competencies
4.Future-State CIO framework
Assessment Tool
Service | Are you happy with you the level of service provided by IT?
Reliability | Is your IT reliable?
Technology Roadmap | Does IT have an efffective technology plan?
Transparency Cost | Do you have transparency on IT costs?
Transparency Risk | Do you have transparency in IT risk?
Transformation | Do you want IT to be an enabler in transforming your business?
Process Improvement | Are you looking to re-define your business processes?
Agility | Is IT keeping pace with business change?
Business Roadmap | Do you have aligned business and technology plans?
Effective Project delivery | Are your projects run efficiently?
External Customer Focus | Do you want IT to enable new revenue streams?
Strategy | Does IT have a long-term strategic business roadmap?
Operational Focus
Transformational Focus
Business Strategist/Future-State CIO 0%
10%
20%
30%
40%
50%
60%
70%
% Time Allocatate toOperational Efficency
% Time Allocated toTransformational
Activities
% Time Allocated toStratigc Business
Enablement
Strategic Focus
Allocation of time in % terms for each CIO Archetype
Exp
eri
ence
an
d S
en
iori
ty
Increasing business value
Agility to respond to changing business demands and opportunities
Effective alignment of technology to business needs
Defined business roadmap
Quality information which consistently drives smart decisions
Dependable project management processes (transformational project focus)
Optimised business processes
Long-term strategic roadmap (bus. aligned)
Portfolio view of projects & programs
Understand customers & competition
Drive competitive advantage
Deliver business innovation
Identify/enable new business
Operational/Functional Head
Focus: Internally on running ICT function
Relationship: Service provider/cost centre
Transformational Head
Focus: Alignment, enablement, process
Relationship: Trusted ICT partner
Business Strategist
Focus: Business strategy + innovation
for competitive advantage
Relationship: True business partner
Reliable systems & Quality service
Established technology roadmap
Strong & transparent financial management
Appropriate and transparent operational & reporting governance
Dependable Business as Usual (BAU) project delivery (on scope, on time, on budget)
Choosing the Right IT Executive
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QUESTIONS
+61 2 9326 5547
+61 411 024 189
www.nevinconsulting.com
peternev10
Becoming the Future-State CIO
Peter Nevin
Peter Nevin
Becoming the Future-State CIO
+61 2 9326 5547
+61 411 024 189
www.nevinconsulting.com
peternev10
