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September 22, 2009

CIO’s are made responsible in IT projects…

by Anders B. Skjønaa (SharePointPeople.dk)

In a recent report made by ISACA (www.isaca.org) about 500 US companies were asked who was made responsible for potential failures in it projects. An alarming 47% responded that the CIO alone should be made responsible.

Even though we know from experience that it is hard to get the rest of the management team to engage in it related projects, these numbers are surprising. No CxO (I would expect) will state that It is not a big deal in relation to growth and productivity – pretty much across all markets – so there is something wrong when almost half of the companies states that they do not share responsibilities across the management team in it projects.

From my work with IT governance – especially for SharePoint – over the last couple of years, I have seen this in lots of places. Management engagement in SharePoint implementations are very seldom, and the result is often that the platform will not produce the promised ROI.

In the same report from ISACA, you can read that:

69 percent of respondents indicate that their organizations are achieving at least 50 to 100 percent of the expected value from their investments in IT

If we turn this around, it actually means that more than 31% of IT investments does NOT meet 50% of ROI expectations. This is not a pretty picture!

For SharePoint I belive that these numbers are quite representative for what is going on out there. Far to many companies are relying on SharePoint to create business value by it self. They implement out-of-the-box functionality and fail to include governance policies for the platform.

In The Governance Framework for SharePoint, we are working with Business Impact Areas, where the business management can map specific functionality in the SharePoint platform to value adding initiatives in the business. This approach build a bridge between business and IT management that it highly required.

You should not be satisfied if your It project does not meet ROI expectations. Either your expactations are unrealistic – which can be the case if forgot to question all the marketing slides – but with SharePoint it seems like it is just as often a matter of the business not getting engaged, and the potential of the platform is never really pursued.

Read more about the ISAC A report here:

http://www.isaca.org/Template.cfm?Section=Press_Releases1&CONTENTID=49625&TEMPLATE=/ContentManagement/ContentDisplay.cfm

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