Showing posts with label Board. Show all posts
Showing posts with label Board. Show all posts

Sunday, February 9, 2014

Do you have a Snowden in your Organization?

As information technology becomes the core engine for Business the Board needs to review their understanding of the Risks posed by your team members.
It is clear today that Snowden though a low ranking officer in the NSA he was able to snoop and access classified data by using free ware tools.  When someone does the same to your organizations digital assets it will have grave repercussions on your business and could make it bankrupt. 
In one organization a few employees were monitoring email and were aware of management decisions and thoughts exchanged on email by the leadership of  including internal matters relating to finance, human resources and other confidential information. The leadership was clueless about the risk posed to the organization by this simple act of leakage of email. 

Who is the Snowden in this turbaned Group !
Most Boards and leadership teams allow the IT team to sit in an ivory tower little understanding their activities, they consider the IT team as a set of elves they need to deal with to give their wish list and it would be done.  Most leadership teams are happy with their collaboration tools and operational applications working for them, most often the CFO is the leader who interacts with the IT team and in many companies is also head of IT.  The CFO is most times is least qualified to understand the technology risks and the exposure of the organization from its IT team.
With cloud computing and large bandwidths large tranches of information can be moved from your organizations digital environment. 
In a world where digital tools are essential for business, it is time that the leadership and board woke up to the risk and realities of having  a Snowden clone in your team. This calls for introspection in hiring and also managing their teams and also a better understanding of information management. 
You can begin by sanitizing the entire team including outsourced resources, but you must also be vigorous and objective with your own  IT team.  Though there may objections to this exercise it is essential for the well being of your organizations digital assets to be protected and secured. 
How do you begin, the first step in this process is educate the Leadership Team and the Board on the need for weeding out Snowden's in your organization. This could be led by the Chief Risk Officer of the organization assisted by Human Resources Department. If you do not have the expertise you can take the help of experts who can help you with this activity. 
All the best in weeding out the Snowden in your organization.   
   

Monday, December 9, 2013

CIO Journey to the Corner Office - A reality or a Fantasy !

Recently I was in a panel discussion in a Seminar and the question of the CIO's journey to the corner office as the CEO of the Company.
Unfortunately the instances of the CIO transforming to a CEO are few in the world of business and there are number  of reasons logically this transformation is possible but in a Real world it is a fantasy.
Let us examine the qualities of a good CIO the first of course is being a good team player, second political acumen to survive and please the various stake holders in business and the last is the IT prowess.
CIO's who are successful do excel in people management and handling corporate warfare and wading through uncertain cycles in the business.
But are these qualities enough to make them the CEO, there are certain factors missing, the CIO never leads the business troops which is essential to be a CEO, neither does the CEO interact with the Board on a regular basis in most companies, the CIO is drowned in budgets,data and analysis whereas many successful CEO's are street smart and lead from the Gut.

Let there be a New Dawn for CIO's to realize their Potential as Business CEO's 

Thus the qualities needed by a CIO and the CEO are world's apart, though the CIO has a ringside view of business the CIO is not the doer, the CIO is just the observer watching from the sidelines.
The CIO seldom has an opportunity to demonstrate leadership attributes ; the CIO does lead  the IT team, which are mostly a breed with high IQ and high emotions thus when the CIO has to lead the troops it will be greeted with resistance and followed by failure.
The Board seldom gives face time to the CIO, most often it is the CFO who gets the credit from the Board and whom the Board trusts for IT Investments, this puts the CIO at a Disadvantage but the CEO is comfortable, since the probability of the Bean Counter wanting the corner office is generally remote.
Though some CFO's have become CEO's  the outcome has been mixed.
So if the reality is that the CIO Journey to the corner office is doomed, then how does the CIO realize one's fantasy?
IF the CIO firmly believes that one is made for the corner office, then then at the first opportunity the CIO should jettison the IT department as a cost center, and as the first step make the IT department the profit center.
Few Boards will agree with this approach, so it is the CIO's persuasive powers alone which can make it happen and a good time to try is when the Business is doing well.
The CIO  has an enlightened Board and the IT Department becomes a profit center, the next step of  the CIO  is to reduce the exposure of IT services to the parent business and expand the IT services to outside companies. This should to be done quickly and with profits must accrue into the balance sheet of the Profit Center led be the CIO.
A smart CIO can show exponential growth in IT services, since the angel investor is the parent company and when the CIO converts the IT company into an independent unit then the CIO's  fantasy will be a reality .
Surprisingly IT companies return on Assets employed is one of the highest in the world and the IT Division can be spun as a separate entity and subsequently get listed and create wealth for all and bigger corner office to the CIO transformed in the CEO.
Here is wishing all CIO's a wonderful journey to the corner office as the CEO's of their own IT companies, after nothing succeeds like success driven by one's own core competence.
May more CIO's transform in CEO's in 2014!

P.S. There are number of these CIO's today who due to circumstances or of their own choice have transformed themselves into CEO's and  seem to be happier and effective.
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Saturday, October 22, 2011

RIP Public Cloud Computing Adoption

Sunset of Public Cloud Adoption

Public cloud computing adoption has slowed down especially in Infrastructure as a Service (IAAS).
The big hardware and data center companies have been aggressively pushing private and hybrid clouds to retain their marketing share.
Fewer data centers are being closed and the Board is informed that the organization is already using cloud computing.
The private and hybrid cloud allows the IT leader to maintain status quo, declare to the world that the cloud adoption is complete in a secure environment.
Bigger and more efficient data centers will be built for private clouds, when you have your private cloud you are more secure, the public cloud means you have delegated your data and security to a third party.
The CEO is delighted now he has a private jet and also a new technology acquisition one's own Private Cloud :-).
The Compliance and IT Governance teams will continue to push for private clouds, it keeps everyone employed the IT Team and the compliance team; blame it on Security and Governance of the Cloud.
The system integrator, data center equipment vendor and the IT industry are delighted with the deployment of the Private Cloud and will continue to push for the private clouds and additional benefits will include green computing and secure computing environment.
RIP Public Cloud Computing Adoption!