Future state v12demo.idg.com.au.s3.amazonaws.com/cio/ciosummit/Evolution_Of_T… · Online sales, personal banking, CRM ... Australian Institute of Company Directors “Company Director”

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Peter NevinCIO Genea

Evolution of the CIO role

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#CIOSUMMIT

• My Background• Evolution • Future‐State CIO model• Types of CIOs• Competencies• Matching CIOs and organisations

Agenda

#CIOSUMMITMy Background

Senior Consultant National Rail

CIOGlobal CIO

Senior Partner

Exec General ManagerBusiness Processes

Director Technology

and Systems Fiona Stanley

HospitalChairman,

Board of Advisors

Strategic Advisor

Principal

CIO

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#CIOSUMMITEvolution

#CIOSUMMITHuman Evolution ‐ 4.6 billion yearsin one hourEarth Crust forms (00:01)

Origin of life? (9:18)

First fossil (13:04)

First bacteria (17:37)

First cells (40:26)

First jellyfish (51:12)

First fish (53:25)

First plant (53:26)

First insect (54:59)

First dinosaur (57:07)

First human (59:59.9)

#CIOSUMMITCareer Evolution ‐ 5000 yearsin one hour

Career evolution begins(00:01)• Medicine• Architecture• Accounting • Human resources • Public sector

First computer “bug” (59:54.60)

First practical computer (59:54.96)

COBOL (59:55.68)

Unix (59:56.40)

Programmerrole (59:57.12)

IT Manger (59:57.48)

CIO (59:58.2)CIO (59:58.2)

Psychology begins(59:43.08)

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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…

Bus

ines

s va

lue

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?

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Basic hygiene


Desk top systems


Back Office systems


Production systems




CIO’s Role over time

Beginnings of ITDemocratisation

of IT• Mini computers• PCs

IT changes business

fundamentalsCreates

opportunities

CIO

Rol

e

Bus

ines

s va

lue

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Interview with Sir Ralph NorrisAustralian Institute of Company Directors“Company Director” magazine July 2015

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The Future‐State CIO

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Chevron

Sysco

H&R BlockVeterans Admin.

Clorox

Egon ZehnderThomson Reuters

GlaxoSmithKline WellPoint

P&G

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FUNCTION HEADRuns the IT organization, achieving IT operational excellence & providing effective, reliable services

FUNCTION HEADRuns the IT organization, achieving IT operational excellence & providing effective, reliable services

TRANSFORMATIONAL LEADERLeverages alignment & close partnership with the business to create enterprise change and optimize processes

TRANSFORMATIONAL LEADERLeverages alignment & close partnership with the business to create enterprise change and optimize processes

BUSINESS STRATEGISTCreates/enables business strategy & competitive advantage through innovation across and external to the enterprise

BUSINESS STRATEGISTCreates/enables business strategy & competitive advantage through innovation across and external to the enterprise

Three CIO Types Primary Activities

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Current Distribution of CIOs Future Distribution of CIOs

FUTU

RE-STATE C

IO®

CIO Types Over Time

#CIOSUMMIT

23%

25% 34%

68%

53%56% 47%

28%

24%

19% 19%

4%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2012 2013 2014 3‐5 years

The Changing Face of the CIO Role

StrategistCIO

StrategistCIO

TransformationalCIO

TransformationalCIO

OperationalCIO

OperationalCIO

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Drivers of the change

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

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CIO Competencies

#CIOSUMMITCIO Competencies

#CIOSUMMITCompetencies In / Value Out

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• Strategic orientation• Team leadership• Commercial orientation• External customer focus• Collaboration and influencing• Market knowledge• Change leadership• People and organisational development• Results orientation

9 Core Competencies

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CIO vs CEO

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#CIOSUMMITCIO Competencies

• Team leadership• People and organisational

development• Functional Expertise

FUNCTIONAL HEADFUNCTIONAL HEADBUSINESS STRATEGISTBUSINESS STRATEGIST

• Commercial orientation• External customer focus• Market knowledge

TRANSFORMATIONAL LEADERTRANSFORMATIONAL LEADER

• Strategic orientation• Collaboration and influencing• Change leadership• Results orientation

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Types of CIOs

#CIOSUMMITJourney: The Future‐State CIO®

#CIOSUMMITFunctional Stage

#CIOSUMMITFunctional CIO

• 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

#CIOSUMMITFunctional Stage

• Systems efficiency & effectiveness • Security• Data Management

IT Reputation:IT Reputation: Creditable

#CIOSUMMITTransformational Stage

#CIOSUMMITTransformational CIO

• Enterprise processes versus silos• Emphasis on collaboration, changeand IT Strategy

Leader Focus Enterprise

Staff Expertise Processes• Knowledge of enterprise processes• Embed mangers in business unitsStakeholder Relationships Partner• Involvement in business committees• Business value-related IT metrics

• Outsourcing • Deeper leadership

#CIOSUMMITTransformational Stage

• Optimised Business Processes • Globalisation• Enterprise Agility

IT:IT: Influential

#CIOSUMMITStrategist Stage

#CIOSUMMITStrategist CIO

• Deep knowledge of industry (market, competition, customers)• Emphasis on commercial orientation and customer insight

Leader Focus External

Staff Expertise Business • Delegate operations & 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

#CIOSUMMITStrategist Stage

• Business innovation • Competitive advantage • Decision making intelligence

IT:IT: Game Changer

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Journey to the Future‐State CIO

#CIOSUMMITThe Future‐State CIO®

#CIOSUMMITLeader Focus

#CIOSUMMITLeader 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

#CIOSUMMITStaff Expertise

#CIOSUMMITStaff 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

#CIOSUMMITStakeholder Relations

#CIOSUMMITStakeholder 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

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Matching CIOs and organisations

#CIOSUMMITFU

TUR

E-STATE CIO

®

CIO Types in organisations

Performance/Expectation

Gap

Performance/Expectation

Gap

CIO type needed Over qualified CIOUnderdeveloped CIO

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Basic hygiene


Desk top systems


Back Office systems


Production systems



Online sales, personal banking, CRM… CEO &BusinessCEO &Business

CIO Mismatch 1

CIOFocusCIOFocus

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Basic hygiene


Desk top systems


Back Office systems


Production systems




CEO &BusinessCEO &Business

CIO Mismatch 2

CIOFocusCIOFocus

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Be so good they can’t ignore you.

Steve Martin

Peter NevinGenea

CIO

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Documents

Future state v12demo.idg.com.au.s3.amazonaws.com/cio/ciosummit/Evolution_Of_T… · Online sales, personal banking, CRM ... Australian Institute of Company Directors “Company Director”