IT shops in large enterprises and even in the upper end of small-and-medium-sized businesses (SMBs) have over the past several years been elevated to the upper echelon of either a line-of-business (LOB) or even a "business partner" in those organizations. However, in SMBs, and most especially in the "S" businesses, this is not a reality and is actually pretty far from even a glimmer of a concept.
It's Still All About Perception
In many SMBs, IT is still considered a cost center—pure and simple. Overhead. Never mind that every business process—unless the business is still using an abacus—has been automated, developed, implemented, supported, and/or maintained by IT. Worse yet, there are IT shops still bearing the moniker "Management Information Systems" (MIS) or, even worse, "Data Processing" (DP). Makes one think of punch cards. Don't get me wrong; punch cards were the noble predecessors of today's server technologies. Aren't you yearning for the good old days? I digress....
There remains an invincible disconnect or misconnect between IT and the other LOBs. IT is the gander, the ugly ducking, the second-class citizen that is merely tolerated by the grandiose LOBs: finance, operations, and marketing. And let us not forget the most exalted of all LOBs: sales.
Part of the reason for this is, today, most of the managers seated in finance, marketing, operations, etc. are no longer computer illiterate. Recall if you will the painful moment when these managers plucked the apple from the tree and received the knowledge of the PC and then, in their infinite wisdom, thought they could run their entire organizations on Excel spreadsheets, thus begetting client-server and thrusting the world into chaos and darkness. After all, if they could run their household finances on Excel, why not run their entire businesses on it? Maybe they like the color blue. And I've got beachfront property in Montana for sale.
It is precisely because of this mentality that SMB IT shops are so often beset—no, plagued—with requests for programs so ludicrous that it conjures up Rumpelstiltskin-like images of IT staffers frantically trying to spin flax into gold.
Most IT professionals can recount war stories of their LOB brethren requesting that they write this or that program, which is virtually undoable because it is beyond the laws of computer science as we know them and would require technology on the order of a Star Trek Replicator to produce. Or the specs, even if there are specs, are incomprehensible, incomplete, were written by a non-human primate, or have been accidentally smudged because they were written on a cocktail napkin.
There is a somewhat fascinating (or maybe irritating) irony here that should not be overlooked. While LOB constituents may know how to use their PCs (OK, this is questionable) and think that the programs are so easy that even a cave man can use them, in fact they actually have no understanding of what IT work is, the degree of difficulty of that work, or the countless hours required to accomplish that work. Their perception is based on their own experiences with PC technology and personal service applications—read that to mean games. So when they ask the IT staffer to write a program, they think it is akin to setting up an Excel spreadsheet. The best analogy I can offer is that these folks are like two-dimensional beings living in a three-dimensional world. You get the picture.
Sadly, IT directors and managers in many SMB organizations must acquiesce to and accommodate their LOB counterparts' requests, especially those of executives to whom they report—usually finance or operations executives—even when the deadlines (usually yesterday) are ridiculous. And they are squeezed between staff who are overworked (usually because the projects are so ill-defined so that they must virtually pull rabbits out their hats) and upper management, who has no idea how long it really takes to do the task it has ordered IT to do. Oh, and by the way, these LOB executives are the same people who buy any excuse from the marketing department hook, line, and sinker as to why they can't deliver on time and on budget.
Moreover, it is the IT staff who work the late nights, the weekends, and the holidays—even testing applications after patches or other maintenance has been performed because the LOB staffers forgot they were supposed to do the testing. Then, the piece de resistance is that if the project fails or there are problems, IT is the scapegoat. So many SMB IT managers have fallen on the proverbial sword that they look like Swiss cheese. OK, so what's an SMB IT manager to do?
IT Professionals Unite: You Have Nothing to Lose
Sadly, this is not a problem that can be fixed presto. However, SMB IT shops should look at and try to emulate the manner in which their larger enterprise brethren behave and start setting some goals. Remember, "The journey of a thousand miles begins with a single step" (Confucius). Below are some suggestions:
- Operate as if you have a P&L (profit and loss). Record, document, and demonstrate the value of the IT organization.
- Find a sponsor. Ferret out an executive in the organization that is a kindred spirit, someone who gets it about IT.
- Market, market, and market IT. The rest of the organization blows its horn; SMB IT shops have to stop being shy and retiring and proudly articulate their accomplishments, like everyone else.
- Learn to walk the walk and talk the talk. This applies to IT staff as well as to IT management. Nothing tunes out LOB folks like IT doublespeak. Learning the business and the business language, contributing, and making sound and viable recommendations will begin to earn SMB IT shops an ear, respect, and someday a seat at the table.
- Sell, sell, and sell IT. Why do you think the sales department has been conferred with demigod status? IT has to sell itself, its talents, and its resources—however humble. IT must be able to convince other LOBs that in-house IT should be the contractor of choice, especially if there is talk of outsourcing.
- Do the math. SMB IT managers must learn to stand tall and not be intimidated if upper management or LOBs demand projects be done under unreasonable timelines and budgets. IT managers must know enough to competently and convincingly state their case so that a fair compromise may be reached.
- Get friendly with the C-level executives. SMB IT managers and directors and VPs should eventually report to the CEO, so get to know them.
- Share the responsibility and the glory. SMB IT managers should never bear the burden of a project alone. Ensure that the requesting LOB put some skin in the game.
- Stay frosty. Always try to be one step ahead of the organization. Anticipate where possible and have contingency plans in place.
It is time for SMB IT shops to demand their rightful place as bona fide LOBs in the organization with the same rights and privileges as their LOB brethren.
Maria A. DeGiglio is President of, and Principal Analyst for, Maria A. DeGiglio & Associates, an advisory firm that provides clients with accurate and actionable information on business and technology initiatives. You can reach Ms. DeGiglio at
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