Management and Business

John Ottersbach Info I-303 institutional civilization science June 17, 2009 Project 4 This is the bug out survey from evaluating the AgCredit mini-case ( text pages 131-134) 1. Synopsis This case foc expires on an cultivation credit and loan association whose inwardness competency is ground around its guest k this instant directge. The organic laws IT proboscis coordinate and influence does non suit the backing well. The on-line(prenominal) setup is non attempt architecture and staff issues argon rampant. There has been a lot of preparatory tempt slang in analyzing the situation and a innovative team was formed to chart a course of action to transform IT.With a lot successions of the information gathering completed, the team now must convince the argument leading of the changes and be brought on board. Communicating the goals and approaching plans to admit the melodic phrase result be vital for the conjunctions IT to stimulate effective. 2. Key Issues 1. The familiaritys executives ar very busy with twenty-four hour period to day operations and bracing initiatives. IT competence has slipped over time and the structure was never line up with organisational wad. 2. Although some backend tinkering has made company wide information accessible in some cases, the menstruation enduress atomic number 18 non compatible and interaction among them is poor. . IT does non have credibility at heart the lines of backup. This is a know short advent and exit be addressed in the re organisation of IT. 4. mull over work outes argon non understood by IT staff and often the by gip itself lacks a thorough gasp on their sufficees. The interconnections of the processes be unclear to both sides of the organization withal. 5. The di day-dreams do non understand their persona indoors the organization and they must figure show up how they should reenforcement the endeavor. Aligning their individual goals with strateg ical drivers leave behind labor up to be done.There ar four headache di resourcefulnesss at heart AgCredit. 6. The companys strategic drivers are continual exploitation, expanse of client relationships, cap superpower to snuff it more time with the customers, ability to cross-sell gains, and suffer a lie inent get it on to the customer. 7. A CIO position was created to set IT and the telephone line concern and to eliminate the IT work shift. The new CIO has run a thriving campaign with e- task and go ups to the position with fresh eyes, me cuss a lack of formal technological experience. He is comfortable utilizing contractors and taking in multiple flushs of view. 8.No IT politics or architecture is currently in invest. Rather a divisional structure has existed and enterprise vision is sh everyow. IT stopping points are made to fulfill short-term necessitate and initiatives. IT dish is viewed as a give birth proceeds for the product line. 9. Some of t he IT staffing issues are number 1 morale, last job ambiguity, flat staff filling positions, technical skills missing in some areas, no precedential IT manager positions, and legion(predicate) a(prenominal) unfilled job fibres. Part of retooling the IT architecture must be to sort out these staffing unavoidablenesss. 10. An application-centric attitude rules the company.This has led to four separate data petty(a)s, one per division, and extensive data untidiness and redundancy. 11. An SOA approach has been suggested based on organisational enquires, to transform IT. Those learns include integrating technologies and platforms without re empowerment. Vendor choices volition have to be narrowed and an thanksgiving process put in place backed with execution metrics and processes. 12. The b puting steps leading be con substantialating the customer data and strengthening its foundation. A star set of customer information is the vista and this bequeath also religious service of process configuration trust and credibility toward IT, within the organization. . gaffe Evaluation Strategy that was useThis musical theme waitresss at a horizontal slice of many interrelated issues (refer to Section 5 afterwards in the report for boost report of these issues). Mixing the details of the case with the normal issues into a relevant and cogent compend was the main concern and involved motley methods. a. Setting the Context In order to formulate an organizational structure I fictional character-played possible structures and looked for effective relationships. The case impart many good fathering points and I just carried the subjects forward with an eye on the future. . Major Initiatives and Priorities of AgCredit later on getting an image of how the structure would look I employ knowledge from the former(a) cases and best practices mentioned from the text edition to suggest a prioritization process for propose selection. After developi ng textbook scenarios further for the new SOA model to test I looked at the possible outcomes and largest advantages. The recommendations are utilize in the answer section 4. c. tone back Ideas for the capabilities and boldness also came from the lectures, readings, and precedent case work.Although the specifics are much unlike in that the standardization of equipment is not vernacular between them, the cases in all(prenominal) need demote melodic line-IT partnerships and oversight. Looking for what makes them similar and diverse gave a unique thought to each case. 4. interchange Questions The following are the answers to the discussion questions on page 134 of the textbook. Propose an organizational structure for the IT department that you feel would represent the transformation of AgCredit into a processcentric organization. Recognition of business self-control provide be vital to the organizational structure.Having the business sign on and link the conversation ab out IT and related frames pass on be instrumental. A manoeuvre perpetration give be need to be part of the approval process of all projects is mandatory to make indisputable an enterprise view is taken. The multidivisional deputation give need to master all projects fit within a SOA framework. The CIO should be involved in the boardroom and have access to major(postnominal) solicitude, including the chief operating officer. The CIO should use up senior management that ordure convey departmental and business objects and cooperate guide IT employees.Account managers for each LOB that dwell in the business barely report to senior IT management should be installed. The stallion IT staff forget need to be reassessed to fasten the proper people are in the right job roles. The IT function allow need to be brought in alignment with the enterprise vision. One pick is to try to promote internally for indolent IT positions and insource the roles that kittynot be fille d. Insourcing will have the intelligible advantage of training IT personnel duration getting the job done as well. Outsourcing IT functions that are not core competencies mass also be employed if proclivityd.Outline a project selection process for AgCredit to ensure alignment with the enterprise business vision. As mentioned in the last question, a steerage delegation that represents many LOBs will need to be formed and giving determination making capabilities. The process should begin by examining how a project ties to the overall vision of the company. Next the committee members should outline how the project effects their division and could be used to be come outing departmental needs if possible. additionally it will need to make sure it fits within the SOA and is not duplicated by early(a) software nodes or current processes.If it is an sweetening or add-on to an opposite project, colloquy with the end user to see potence benefits should begin. Making sure it can be m odularized and standardized for the business will be vital for the organizations architecture. to boot making sure all project types are considered and funded through with(predicate) a valuate upon all LOBs will be infallible to support SOA. How should Manley make the case for SOA to ensure that the executive team at AgCredit buys in? Manley will need to present the cite strengths of SOA and make sure to steering on how it will support the companys vision and goals. The diversity will alter the organization and speed up yield implementation. * Current services and products will be available or modified for usability. * It supports net services that align with continuous growth opportunities, expanded customer relationships, and ability to cross-sell between the divisions. * It will immediately offer up opportunities for the divisions both in terms of possible financial gains and stretching development dollars. * live services can be purchased and implement quickly within the SOA.This increases our capabilities and ensures we stay caught up with the larger firms. In essence this can level the playing field providing invaluable resources and systems. * Once the customer information is centralized, which is undeniable for SOA, the savings from reducing database needs will be realized. * Having common processes will align the business as a livelong and ensure value from increased communicating and decreased uncertainty. * This kind of engineering base may allow the way we work to change, for example work from home or on the road works through a VPN.What new internal IT capabilities will have to be developed in order to create an IT department to support AgCredits future business architecture? The capabilities inevitable to support the SOA from the IT perspective are management tools, information management tools, Information language options, development cycles, and a customer service attitude toward the divisions. Role clarification will be of the essence(predicate) in lift up these capabilities. Management tools include visioning and business alignment processes, funding methods, measurement metrics and localise, and monitoring methods.Information management tools include collection activities, organize process including schemes and taxonomy, process modules to use the information, and maintenance procedures that support business functions. schooling cycles must conform to SOA standards and guidelines, using docile ironware and software to make systems that sectionalization the functionality, and complaint with restrictive needs, including system progress in creating reports for audit purposes. The customer service attitude will be needed to manage sciences and keep close ties with the business.What aspects of IT governance do you think would be important in supporting this transformation? originally governance structures are formalized the enterprise and divisional vision and objectives should be outlined. W ith IT working alongside the business some directing principles must be drafted up. This may involve setting up account managers within the LOB and forming a multidiscipline steering committee with considerable finis power. This steering committee should work closely with the CIO and have high level approval and corporate sponsorship.The governance system should focus on guiding the transformation process and keeping mark issues in focus, such as sox and regulatory compliance. Stake hopeer intimacy in the steering committee will help the business and IT structures last partners and work in concert. It will ensure all voices are heard and considered in the ratiocination making process. They should outline policy decisions that support the organizations vision archean on. 5. Issues I have Discussed I utilized the chart, Dr. Ramachandran offered, to find the connections between the subject subject field we have studied and the case.My analysis follows From manducate 4 and t he text edition reading subsidisation pages 37 50. * In this case IT often takes a backseat to other business concerns. The CEO having to be approached on the weekend to look at IT issues shows a lack of sensed IT value. * The company has a reputation of customer knowledge and that has allowed for competitive advantage. * The CEO believes IT supports the business. This tactile sensation is reinforced with the way IT is set up to function and furthermore with its failure to meet the minimum standards of competency and credibility.The instinctual desire to source all of IT by Paul Manley is a good indicator of ITs softness to deliver value to the business. * It commonly believed and accredited that IT and business are not align at a high level. The desire for the alignment exists and the CEOs decision to promote a surd business head into the CIO position reflects this understanding. * IT possesses a low self worth due part to poor organizational engagement and role ambiguity . Without high-quality, business-minded leadership the internal perspective of IT has suffered. OCBs are far less likely to occur in this weakened environment. Without a solid enterprise architecture in place IT lacks a unifying vision and unity brand. This lack of oversight has not helped promote IT to the business. * With IT being viewed negatively at the executive level, as at the start of the case, IT is at a disadvantage when act to re felon value to the organization. The increased impound between the CEO and CIO will dramatically increase a positive perspective for the IT transformation. * The competency and creditability of IT is still highly suspect. The new CIO has acknowledged and is addressing the deficiency.There is an understanding that it will take time and energy to change the perception of the company. This is a prerequisite to having the business units buying into and taking a chance on IT. * The structural changes of IT should address perceptual issues as well a t technical ones. The SOA will ensure the business, through their combat-ready role as data owners, views IT as a partner rather than just a service for the business. * The perceptual challenge onward will involve a extended temporal component, the organizations view will not shift overnight. IT will have to phase confidence and show the business that it adds value.Additionally perceptions will need to be continually managed with ITs rocky history. From Lecture 6 and the text edition reading assignment pages 72 85. * A good exercise before get-go the restructure or even the integrating to a single customer service file would be to get with the business and develop a technology roadmap. The entire process does not need to be completed before beginning other initiatives just now this will give the organization focus and set current expectations. This will involve the business large(p)ly and will open the lines of communication for IT and business operations.Since a large par t of a technology roadmap is how technology will be implement to support the enterprise vision, outline, and objectives this will help ensure the divisions are working toward organizational unification. * Once the enterprise and divisional vision and objectives are lined out the process can begin. Working alongside the business some guiding principles must be drafted up. This may involve setting up account managers within the LOB and forming a multidiscipline steering committee with considerable decision power. IT staffing cannot be done correctly until business needs are communicated.It will be important to make sure the guiding principles map to the vision. * The vision from the textbook would consist of continuous growth, expanse of customer relationships, ability to spend more time with the customers, ability to cross-sell services, and provide a consistent experience to the customer. Additionally implementing an SOA environment would need to be considered in the process. * Ta king an inventory should be split into two sections. The first is coming up with a classification schema, which should work well with planning the SOA objectives.The second is duty assignment a technology custodian which will help var. credibility by increasing transparency of responsibleness. * A spread head analysis of the current technology to required technology will also need to be completed. This will help build the relationship to the business and show competency for IT if done well. The level of business involvement must be high so an opportunity to influence perception is created. After identifying the missing links a tire of the available technology will need to be undertaken. SOA design will play a vital role in deciding on which software and hardware need to be developed or purchased. In order to get from point A to point B, point B being an SOA for the company, a solid migration strategy must be created.This will match the projects that have been put on hold withi n the organization and future projects as well. This will need input from the business since they will be severely impacted. The steering committee should be well launch and able to make informed decisions on this type of endeavor. A governance body will need to be installed that oversees this process and its future revisions. From Lecture 7 and the textual matter reading assignment pages 98 126. In order to succeed in the organization vision AgCredit has an Information Management system needs to be instituted. This will be housing the single customer information file. Visioning exercises will help develop policies to support the IM. * The IM will be a great first step toward changing the culture to toleration of IT function and the partnership role in the organization. A SOA will be supported by this move also and will bring the company focus unneurotic. * Shaping the culture to accept the responsibility and a steering committees authority will take time to develop especially with such a weak IT role in the current organization.Bring them on board will be vital to success though. With all of the pass judgment growth and centralizing of information trade protection policy will have to find standardized and thorough. If any of the IT functions get outsourced this move will help make the transition and usefulness operate more swimmingly and efficiently. * The initial SOA will be created through a process that needs encompassing organizational representation and support. The final acceptance will need to be at the senior level though. * Adjusting the perspective and culture toward acceptance will be instrumental to the initiatives success.Paul Manley will need to take an active role in convincing the business to sign on and support the initiative. 6. Organization Chart CEO Jim Finney CIO Paul Manley coo Steve Stewart Kate Longair Samantha Secord Dirk Schader 7. Further Issues From Lecture 2 and the Textbook reading assignment pages 14 25. * IT and the b usiness are not aligned. The business is not even aware of how the different divisions come together to work for the organization. The business will have to sort itself out as well as build a partnership with IT. * They have begun to revisit the business model and are aware in that location is a lot of work to be done.Since the business is aligning itself that leaves IT in a good position to tie itself to all LOBs. Strategic themes have not been capitalized upon exclusively with the SOA the chances of identifying and being able to act on them will be greater. Getting strong leadership in place within IT and partnering with IT will be a major task that needs to be undertaken. * The different project types are currently not broken up and funded appropriately. The architecture projects seem to be falling behind and definitely not aligned with business strategy. The focus on all dimensions of IT strategy will need to be a precedence for the new steering committee.Building these proc esses and methods alongside the business will ensure commitment and success. This has not been the case with AgCredit in the past but in order to get IT working for the company it will have to be adopted and maintained. * Account managers that report to the CIO or senior IT managers will need to be hired or found internally. IT and the businesss disconnect between must cease and they should unify. From Lecture 9 and the Textbook reading assignment pages 230 244. * IT has not unbroken pace with were it needs to be for the organization.They are not prepared to take on the expanded roles IT is expected to recently. The company will need to correct the IT organizational structure and then figure out what competencies they possess. They will need to chart the maturity and make sure they teach or hire staff that can fill the roles the company wants to keep internal. The notion of outsourcing all of IT was increase at the start of the case, but the executives need to get together and ch art a course for the organization. After getting an idea of where they want to be they can actually start to consider what IT functions can be outsourced.Customer service functions and capabilities will need to remain in-house since this is the businesss competitive advantage in the environment. * The staffing issues in the company are a direct result of not realizing which IT functions the business needs to cultivate and rely on. There are too many functions for this company to be able to turn around perform well so something will have to give and other alternatives, either insourcing or outsourcing, need to be considered. Without knowing how the business divisions and processes fit together it will be hard to complete, but IT and the business need to work together to create a solution.