senior executives

Deloitte: Execs lukewarm on outsourcing

Thu, 21 Feb 2008 06:59:58 -0500

A new study from Deloitte finds that CIOs and other IT executives are lukewarm about outsourcing. The study, Why Settle for Less, found that only 34 percent of respondents reported that they had gained important benefits from their service providers' innovative ideas or the transformation of their operations. At the same time, the study found that 83 percent of companies surveyed had achieved more than 25 percent ROI on their outsourcing projects.

Does this mean that IT executives are willing to continue outsourcing projects? Hard to say, according to Deloitte. The report found that many outsourcing deals are focusing too heavily on reducing costs through labor alone. That does not take into account other issues, such as quality, that may be as important as the bottom line.

"Outsourcing is working financially for a majority of companies in this survey, however, executives' propensity to lead with cost reduction and labor arbitrage without emphasizing the need for overall optimization stymies their companies' chances to realize the full benefits of outsourcing," said Peter Lowes, a principal with Deloitte Consulting LLP and the leader of its Outsourcing Advisory Services group, in a statement. "The themes of unrealized potential and lost opportunities to use outsourcing as an opportunity to innovate echo throughout this report," he said.

What's missing from most of these companies is a chance for using outsourcing to drive greater innovation. And that might result from companies setting their outsourcing goals too low, according to Lowes. The international survey included more than 300 senior executives at mid-size and large companies from the United States, the United Kingdom, Germany and Canada.

For more on the Deliotte survey:
- See this CIOUpdate article

More tech news from the FierceCIO network:
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> Blackberry outage explained. Article
> Windows Server 2008 to ship with SP1. Article
> The top 12 Green IT departments. Article

The CIO's job--by the book or not?

Thu, 13 Dec 2007 06:59:56 -0500

You could do your job as a CIO by the book, and get by. Or you could excel at the job, and you would shine. The problem is that for most CIOs, an ordinary job doesn't always work anymore, not when competitive forces are nipping at your heels every day of the week. CIO Magazine's 7th annual survey of CIOs found that many believe that the job is so complex that it is often difficult to find out what you should be doing, not to mention how to do it. Some of the 558 survey respondents are doing quite well. Others have no idea how to navigate their way in this brave new world. Nobody likes to be in this difficult position, least of all the CIO.

So here are a few tips. Stop talking about innovation and return on investment (ROI) and do something about them. Strong CIOs don't just cast around for a solution. They implement them.

The survey also found that those responding were making an average of $237,360, a 28 percent increase from last year's $185,240. But that wasn't the only good result of the survey. More than 82 percent of respondents said that aligning IT and business was their number-one activity. And while that is basic CIO 101 material, the CIO must move on from that idea to wrestling the other monsters in his job to the ground.

It's important to get on track with everyone else and to stay there and produce. "If other senior executives don't see you as one of them, you usually can't change their minds. You have to realize that," says Roger Parks, vice president of information technology and CIO at J.R. Simplot, a $4.2 billion agribusiness.

For more on crafting your job as a CIO:
- See this CIO Magazine Article

Today's CIOs, tomorrow's CPOs

Thu, 04 Oct 2007 06:59:59 -0400

First there were chief security officers, then chief innovation officers, and now, Michael Hammer is adding a new title to the mix: chief process officer. In the early 1990s, Hammer and James Champy wrote the bestseller Reengineering the Corporation: A Manifesto for Business Revolution (HarperCollins, 1993). Today, the former heads up Hammer and Co., a management consultancy that specializes in business process. In an interview with CIOInsight, Hammer says that distinguishing between process improvement and process management is critical for today's executives. Process improvement doesn't involve organizational change, while process management is harder to do because it involves a lot of organizational change and requires new managerial responsibilities. Hammer also notes that CIOs are in a good position to work with senior executive on implementing processes. He recommends that CIOs act as a catalyst, working with senior executives and alert them to "the problems with processes and to the opportunities that process management presents."

Exactly how does Hammer define the chief process officer position? Rather than the boss, the CPO is the "chief of staff" for process work. He says that companies that want to begin to work on process improvement and process management should start by assessing the existing leadership and organizational culture while also working to identify processes. "If you don't know what they are, you're nowhere," he says.

For a full look at process improvement and management:
- see the Q&A article in CIOInsight

Phishing targets C-level execs

Mon, 01 Oct 2007 06:59:58 -0400

Do you know where your senior executives are? Or at the least, do you know what sites they're visiting? According to a report by MessageLabs, a Web and messaging security provider, phishing and targeted attacks are way up-and in several instances, these attacks have been specifically targeted at C-level executives. On Sept. 12th, more than 1,100 C-level and senior management executives became the target of an attack, eWeek reports. The emails, which purported to be from a recruitment company, used a Microsoft error message to persuade the victims to click on the RFT attachment. The attachment contains an executable program that drops two files onto the computer, which are in turn used to pass sensitive information back to the attacker. Separately, in September, one in every 87.2 emails was a phishing attack. The number of phishing emails accounted for 56 percent of all malware threats intercepted in September, the report says. The report notes that these attacks are getting a lot more sophisticated with the spread of phishing kits--specifically there's a kit called "rock phishing."

For all the details on phishing:
- see the article in eWeek

Survey: CIOs, IT managers differ on spending views

Mon, 21 May 2007 20:01:38 -0400

A new survey from business service management platform provider Managed Objects found that while 42 percent of IT managers believe that their IT departments are spending too little on IT, only 29 percent of senior executives felt the same way. Twelve percent of senior executives believe too much is spent on IT, while 5 percent of IT managers feel that way. Among the largest companies, respondents in both categories felt that spending was either "about right" or "too little", with only 4 percent saying too much was being spent. Among companies with more than $10 billion in sales, 68 percent claimed that spending was about right. The survey polled 200 U.S. senior corporate executives and IT managers.

Read more survey results:
- read the article at eChannelLine

How to teach tech to execs

Mon, 07 May 2007 20:01:39 -0400

Many CEOs are confused about technology--more confused than CIOs are about business. CIOs must educate their business counterparts about technology, but that's not easy, partly because CEOs tend to resist the idea. Here's how to teach the business side about technology: First, don't use jargon. Techno-talk creates another language and a set of barriers between you and your business partners. Second, use the budget planning period to help drill in what the business side needs to know about technology. Third, start education at the top of the organization. Once senior executives get it, others will follow. Fourth, plan offsites to set up temporary laboratories with equipment and software to show businesspeople how things actually work. Finally, use a subtle approach. For example, point out that a specific unit has lower customer satisfaction levels or higher people costs and suggest a technology that might help. If that fails, a similar conversation with the CEO might help.

Learn more about teaching tech to executives:
- read the article at CIO

ALSO: read this on teaching tech to your CEO

Survey: Emailing during meetings isn't cool

Sun, 22 Apr 2007 20:01:39 -0400

According to a recent survey of 150 senior executives by Robert Half Management Resources, it's common for professionals to read and respond to email messages during meetings, although about one-third disapprove of the practice. Thirty-seven percent believe it's okay to respond to email if the message is urgent, while 23 percent said executives should excuse themselves from the meeting before responding to email. Of all methods, the least disruptive is using handheld email devices during meetings. If you have to check email during a meeting, be discrete and set it on vibrate. Also, consider your audience. Your coworkers may be more forgiving of your need to respond to e-mail than a client, for example. Respond only if it's urgent, and step out of the room if possible. Also, know when to let go. It's better to bow out of a meeting altogether than be distracted during most of it.

To get more about email etiquette:
- read the article at CIO Update

Corporate blogging: The next productivity tool?

Wed, 07 Mar 2007 19:01:39 -0500

Corporate blogging can save companies money and time while improving the corporate image, raising visibility and improving relationships with customers. Often thought of as a place for executives to rant a bit, blogs also can be used to track customer comments, providing insight to senior executives that can lead to productive change. Blogs also perform very well on search engines, making them a great tool to increase website traffic. By using tracking codes in links from the corporate blog, you can identify which visits click through to offers or order forms. That makes it a good way to identify sales that arise directly from blog traffic. Blogs can also be used to float ideas or inform customers about corporate developments or new products. But evaluate the ROI carefully: blogs are cheap to start, but employees spend two to three hours per week maintaining their online journals.

For more about corporate blogging:
- read the column at TechTarget

Related Articles:
Beware of employee blogs. Report
Practices for a corporate blog effort. Report

Editor's Corner

Thu, 27 Jul 2006 20:01:40 -0400

This week's note is a bit of a "catch all" as a few items are worth noting.

First, a study reports that today's senior executives and managers don't really detach themselves from work during vacation time. Nearly two-thirds (63 percent) of senior executives and managers think about work while on vacation, according to the nationwide survey of 278 senior executives and managers conducted by NFI Research. While on vacation, over 60 percent of executives and managers check their email, and almost half (47 percent) use the Internet while vacationing. "This lack of true vacation isn't good in business, since many managers aren't getting a real break to re-charge themselves," said Chuck Martin, CEO of NFI Research. Also among the top work-related activities done on vacation are checking voicemail (47 percent), the use of a computer (46 percent) and the use of a PDA (38 percent).

And while maybe you and I don't see that trend as helpful in getting our batteries recharged, one respondent offered a different take on the trend: "Technology has made it easier to be away from the office and to take vacations because we are able to be contacted if an emergent issue arises or a decision needs to be made," said one survey respondent. "I equate this with giving me freedom."

More than half (57 percent) of senior executives and managers are available to people back at work (for day-to-day issues) with 12 percent being extremely available and 45 percent being somewhat available. Executives and managers in small organizations also call the office on vacation (37 percent), more often than those in medium organizations (26 percent) and large organizations (21 percent)."It's often hard to get away, which I think is often the case for small businesses," said another survey respondent.

While I can see the need for small and mid-sized business operators to stay in touch, I think the study's finding are a bit disturbing. After all, 99.99 percent of us are not indispensable and 100 percent of us need downtime and rest to keep moving forward in such a fast-changing industry.

On a different tack, a few Editor's Corners ago I asked readers to share insight on the value of instant messaging in the enterprise. I wanted to share a good response: "Not used here. Too disruptive. Also, we use technology to TALK to one another, very often face-to-face! If we all need to get together we do it in a conference room and/or via conference CALL. It's so much easier and more direct. Email is our preferred non real-time means of communication." Amen to that!

And finally, a quick note about the upcoming FierceMarkets IMS Executive Summit where tech leaders and business colleagues can get both the technical angle AND business case perspective on IMS. The event will connect you to all the leading players and give you practical insight on all the major issues. Plus, if you use the promotional code "JUDY" to sign up, you'll save $200! If interested in attending, visit www.imsevent.com, for registration and more information. The FierceMarkets IMS Executive Summit takes place August 29-30 in Washington, DC. - Judy