Demonstrating IT Value: Info-Tech Research Group Reveals Framework for High-Performing IT Models

The role of IT is changing. Based on its latest research, global IT advisory and research firm Info-Tech Research Group has published a new blueprint that will equip IT leaders with actionable strategies to drive sustainable growth and achieve operational excellence in the era of exponential IT. From defining crucial elements to aligning IT strategies with business goals, the firm advises a comprehensive step-by-step process for successfully selecting and customizing the optimal IT operating model.

TORONTO, March 26, 2024 /PRNewswire/ – In the face of exponentially evolving technology and modern business demands, many organizations are encountering unprecedented challenges in optimizing their IT operations. From aligning IT strategies with overarching business goals to ensuring operational efficiency, organizations are grappling with complexities that demand innovative solutions. Recognizing the urgency of addressing these challenges, Info-Tech Research Group has published its latest research, Visualize the IT Operating Model. The comprehensive blueprint provides IT leaders with insights and actionable strategies to refine their operating models for better alignment with organizational objectives. It will also support IT leaders in demonstrating how IT continuously enables value for the organization. The new research underlines the importance of a well-articulated IT operating model in navigating complexities and driving sustainable organizational success, highlighting the critical need for strategic alignment in today’s business environment.

“An IT operating model is critical in any IT leader’s role. However, this task often presents challenges, particularly in visualizing it comprehensively for all stakeholders,” says Brittany Lutes, research director at Info-Tech Research Group. “When organizations have a clearly defined and articulated IT operating model, it leads to increased clarity and the ability to deliver on strategic objectives. By defining the IT operating model, many organizations discover how the current way of operating is preventing success and the ability to deliver on objectives.”

Info-Tech’s resource highlights a common challenge among IT leaders: the difficulty of defining and visualizing an effective IT operating model due to the lack of a consistent framework. Many IT leaders resort to popular models that may not align with their organization’s specific needs, emphasizing the industry’s gap in guiding IT leaders toward selecting the most appropriate operating model.

In the blueprint, the firm recommends that IT leaders use the following framework to effectively visualize an IT operating model. This framework also provides an organization-wide perspective of how IT delivers products, services, and technology to enable value for the organization:

1. Identify Organizational Drivers & Influences: This step is crucial, as failing to establish the correct principles will result in selecting the wrong IT operating model archetype. These drivers and influences include:

Culture
IT Strategy and Objectives
Organizational Operating Model
Organization Size and Structure
Perception of IT
Risk Appetite

2. Select and Customize the IT Operating Model: Selecting an archetype because it is trending will make customization difficult, if not impossible. Instead, consider any of the following models:

Centralized Models: Decision-making authority contained in a single area.
Shifted Models: Some aspects of decision-making authority are centralized, and some are embedded in a functional area.
Embedded Models: Decision-making authority repeats across various functional areas.

3. Position the Components of the Selected IT Operating Model: Develop the IT operating model by defining and aligning the following seven components:

Capabilities
Products, Services & Technology
Performance Measurement
Stakeholder Engagement & Collaboration
Decision Rights & Authority
Value Streams
Sourcing

4. Deliver on IT Outcomes: The operating model transformation should not remain confined to paper. Implement change management strategies for the effective adoption of the IT operating model, provide a change summary to all stakeholders, and define clear next steps toward achieving the ideal state. Finally, visualize and clearly outline why IT must operate in this new model.

This approach will enable IT leaders to prioritize foundational principles over trends, ensuring the chosen model aligns with organizational goals and operational realities.

Info-Tech’s new industry blueprint highlights the importance of a well-designed framework when developing a tailored IT operating model. The model must align with industry standards and support both current and future operations. The research also shows how organizations can establish metrics to assess the operating model’s functional performance and communicate its value to leadership and stakeholders. This ensures a strategic fit and measurable outcome for the organization’s IT operations.

For exclusive and timely commentary from Brittany Lutes, an expert in operating models and organizational design, and access to the complete Visualize the IT Operating Model blueprint, please contact [email protected].

About Info-Tech Research Group

Info-Tech Research Group is one of the world’s leading information technology research and advisory firms, proudly serving over 30,000 professionals. The company produces unbiased and highly relevant research to help CIOs and IT leaders make strategic, timely, and well-informed decisions. For more than 25 years, Info-Tech has partnered closely with IT teams to provide them with everything they need, from actionable tools to analyst guidance, ensuring they deliver measurable results for their organizations.

Media professionals can register for unrestricted access to research across IT, HR, and software and hundreds of industry analysts through the firm’s Media Insiders program. To gain access, contact [email protected].

For information about Info-Tech Research Group or to access the latest research, visit infotech.com and connect via LinkedIn and X.