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2016 CIO Agenda: Building the Digital Platform Through Delivery, Talent & Leadership Strategies
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2016 CIO Agenda: Building the Digital Platform Through Delivery, Talent & Leadership Strategies
1.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. The 2016 CIO Agenda Building The Digital Platform Lee Weldon Dave Aron Graham Waller
2.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. 2,944 CIOs 84 Countries $11T Revenue $250B IT Spend
3.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Insurance 7% Healthcare 5% Manufacturing 21% Education 7% Retail 6% Transportation 5% Communications 3% Services 11% Government 13% Banking 10% Energy/ Utilities 8% Wholesale Trade 2% Media 2%
4.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. 13 Case Studies
5.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. 42% 60% 77% Now In 2 years in 5 years CIO survey (n=344) 16% 25% 37% 22% 31% 41% Now In 2 years in 5 years CIO survey (n=609) Digitalization is Intensifying; The Stakes Are Rising Private Sector Public Sector What % of your revenues are digital? What % of your processes are digital?
6.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Digitalization Is Still Quite Operational; The Potential Is Much Greater 941 CIO respondents selecting top 3 digital impacts on their business, in order More Revenues From Better Operations More Business Through Digital Channels Tighter Partnerships Creating New Markets Engaging and Empowering Employees Changing the Basis of Competition Cost Reduction Expanding to New geographies Crossing Industry Boundaries 2% 3% 6% 6% 7% 10% 10% 21% 34% Number 1 9% 11% 39% 20% 40% 26% 37% 48% 66% In Top 3
7.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. The Technology Opportunity: Monetize Big Data, Underpinned by the Cloud No. No. Priority 2016 2015 2014 1 BI/Analytics 39% 41% 50% 2 Infrastructure and Data Center 27% 31% 37% 3 Cloud 25% 27% 32% 4 ERP 21% 26% 34% 5 Digitalization/Digital Marketing 21% 17% 11% 6 Mobile 20% 24% 36% 7 Security 15% 13% 11% 8 Networking, Voice and Data Communications 10% 12% 12% 9 Legacy Modernization 10% 7% 7% 10 Industry-Specific Applications 9% 9% 10% 11 CRM 9% 11% 8% Note: Percentages represent the proportion of CIOs citing each priority as one of their top three areas of new IT spending. %
8.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. The Threat Matrix Is Evolving Choose the Scenario You Feel Is the Greater Threat to Your Business Security and Cyber-Risk Threats Digitally Driven Competition From Traditional Industry Competitors New Competitive and Commercial Threats Digital-Enabled Companies Entering Your Industry From Other Industries 41% 53% 47% n = 961 n = 928 59%
9.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. +3.5% Latin America +1.5% EMEA +4.1% APAC +2.3% North America Global Weighted Average: 2.2% The Purse Strings Are Loosening, but Only a Little Represents growth in spending inside IT organization, in nominal terms
10.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. The World Is Moving Toward Platforms Business as a Platform Moments Products Services Markets Business as a System Products & Services
11.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Digital Visionaries Are Building Platforms Throughout Their Businesses #GartnerSYM © 2015 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Ecosystem Enterprise IT
12.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Create a Bimodal Delivery Platform Exploit and Explore
13.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Build the Dual Capability to Exploit and Explore Refactor to Industrialize Unlock for Innovation
14.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Bimodal Is Becoming Increasingly Real Of those who have Bimodal IT, the average proportion of investments in Mode 2 is 25% Adoption of Bimodal Tools by Those On The Journey (n = 360) 38% of CIOs are on the Bimodal IT journey 76% 72% 53% 36% 28% 27% 25% 25% 23% 8% Agile methodologies Multidisciplinary teams Adaptive sourcing Different funding Mode 2 outside IT Different metrics Work with startups/SMBs Bimodal subcultures Formal innovation management Crowdsourcing
15.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. The Most Impactful Bimodal Tactics Are Not the Most Used Average Digital Performance 5.00 4.75 4.50 4.25 0% 10% 20% 30% 40% 50% 60% 70% 80% Crowdsourcing Different Metrics Work With Startups/SMBs Formal Innovation Mgmt. Bimodal Subcultures Mode 2 Outside IT Different Funding Adaptive Sourcing Agile Methodologies Multidisciplinary Teams % of CIOs Using 7.00 n = 360
16.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Examples of actions CIOs need to take when creating their Delivery Platform Action Plan HOW CAN YOU HELP THEM? ASAP Build a bimodal business and IT structure Adopt adaptive sourcing strategies Experiment with crowdsourcing in Mode 2 Try working with startups/smaller partners
17.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Evolve the Talent Platform Ignite Talent from Inside and Out
18.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Talent Issues Are the Biggest Barrier to CIO Success What is your biggest barrier to achieving your objectives as a CIO? n = 555 22% 15% 12% 11% 9% 8% Skills Money Culture Alignment Technology Change Relationships 8%
19.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. O 1. Information/Analytics 40% 2. Business Knowledge/Acumen 18% 3. Security & Risk 17% 4. Digital 15% 5. Project Management 13% 6. Software Development 13% 7. Architecture 12% 8. Leadership 9% 9. Attract/Retain 8% 10.Technical Skills 8% The Biggest Talent Gaps Are Information and Business Knowledge 2016 CIO Survey n = 937
20.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Examples of actions CIOs need to take when creating their Talent Platform Action Plan HOW CAN YOU HELP THEM? ASAP Make more hires from the rest of the business and developmental rotations Build closer relationships with universities (internships, developing existing talent) Consider "Techquisitions" to capture talent Assess current and potential partners as digital inhibitors versus accelerators
21.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Build Your Leadership Platform Digital Leadership as a Team Sport
22.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. 19% 45% 33% 3% 24% 51% 24% 1% Trusted Ally Partnering Transactional At-Risk 2014 2016 CIO Power and Influence Up from 2014, And Increasing n=1356 n=482 Nature of current CIO-CEO Relationship Expected changes in CIO power and influence in next year 2014 2016 Decreasing significantly 0% 0% Decreasing somewhat 1% 0% Decreasing slightly 3% 2% Remain about the same 20% 16% Increasing slightly 31% 29% Increasing somewhat 31% 34% Increasing significantly 14% 18%
23.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Many CIOs Are Leading Digital Transformation and Innovation 30% 2% 2% 7% 9% 13% 18% 19% 22% 34% 39% None CFO HR COO Risk (CRO) Business Strategy E-Commerce Shared Services Enterprise Change Innovation Digital Transformation (CDO) CIO Leadership Roles 2016, n = 952
24.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Examples of actions CIOs need to take when creating their Talent Platform Action Plan HOW CAN YOU HELP THEM? ASAP Extend your leadership focus beyond the boundaries of the business to the ecosystem Build a plan to develop the digital savvy of the business leadership and IT teams Consider getting mentoring from a digital- centric company and/or reverse mentoring Find a way to make time and space to actualize the plan and play a digital leadership role
25.
© 2015 Gartner,
Inc. and/or its affiliates. All rights reserved. Gartner and ITxpo are registered trademarks of Gartner, Inc. or it’s affiliates. Recommended Gartner Research Building the Digital Platform: The 2016 CIO Agenda Dave Aron, Graham P. Waller and Lee Weldon (G00292133) Toolkit for IT Executives: Job Description for the COO of IT Mark Coleman, Dave Aron and Tomas Nielsen (G00277753) What to Do If Your Digital Business Strategy Violates Culture, Ethics or the Law Tomas Nielsen, Frank Buytendijk and Others (G00276440) Hit the Bimodal IT Highway Now — Considerations for Structuring and Staffing Diane Berry, Lily Mok and Mark Coleman (G00276019) Digital Workplace Key Initiative Overview Mike Gotta and Matthew W. Cain (G00277654) A Bimodal Enterprise Needs Three Subcultures Dave Aron (G00273134) Get Ready for Digital Business With the Digital Business Development Path Jorge Lopez, Patrick Meehan and Others (G00263766)
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