The IT operating model is continually evolving as new technologies, tools, and ways of working emerge across industries. More and more business leaders recognize the game-changing power of IT, which means IT has to step up in its efforts to support the enterprise as it grows and matures and meet the fast-changing needs of the business.
An IT operating model transformation is when the current structure, governance, or tools of an organization undergo a significant change for an expected benefit, such as savings from reduced costs, increases in efficiency, restructuring of teams for better alignment, and so on. For the new-age, business-driven IT leader, an IT operating model transformation is also a chance to revolutionize the organization and put it in a better position to identify new opportunities, create business value, and generate revenue and profit.
IT Operating Model
There may be events that call for a change in the way teams are structured, overseen, or governed, or events that significantly impact the way teams interact. If so, your organization may benefit from a dedicated operating model transformation program. Events that might trigger the need for an IT operating model transformation include:
/ A recent acquisition where new processes and governances might form to oversee a new team structure; savings and cost reductions can be achieved by launching a transformation to consolidate the strengths of each organization and reduce duplicities
/ A strategic decision to adopt new technologies (agile, cloud, etc.) that would revolutionize the way employees operate; integrating these technologies requires a complete transformation for how teams are structured and interact
/ A decision to centralize or decentralize parts of an operation (i.e., end user support)
/ A move to outsource or incorporate outsourcing into the operating model
To successfully deliver an operating and organizational model transformation, Wavestone consultants use a four-pronged approach:
/ Conduct leadership interviews to discover operating model requirements
/ Involve business and applications leaders in early interviews
/ Offer zero predetermined solutions
/ Perform extensive data collection and analysis
/ Spend equal time and effort understanding the strengths and uniqueness of the organization
/ Offer recommendations supported by underlying facts, rationale, and benchmarking data from Wavestone (cost savings, TOM ratios, etc.)
/ Establish a rigorous, financially-driven business case
/ Complete a thorough assessment of required investments and related operating costs
/ Offer recommendations and financial analysis packaged to support senior management approval decisions
/ Senior leadership buy-in is critical during the design phase
/ Change management implications will be considered at every stage of our approach
/ The implementation plan will have a strong internal communication focus
Doug has more than 20 years of experience as an IT leader and strategist. Before joining Wavestone US, Doug built and led the Enterprise Architecture function for McKesson, a Fortune 15 healthcare company.
Read More In his role as VP of Architecture and Solution Management, he led a team to develop technology strategies and roadmaps for McKesson’s businesses worldwide. At McKesson, he also served as VP of Data Center Transformation and led a multiyear, multimillion-dollar program to modernize and transform IT infrastructure and support teams. Doug has also served as an interim CIO for several of McKesson’s smaller businesses. Before McKesson, Doug worked for Novant Health as Director of Corporate Applications; and as a consultant for IBM Global Services, where he built an intranet to streamline delivery of content to physicians and nurses.
- Doug has more than 20 years of experience as an IT leader and strategist. Before joining Wavestone US, Doug built and led the Enterprise Architecture function for McKesson, a Fortune 15 healthcare company.
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