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IT Leadership in the New Landscape Maryfran Johnson Editor in Chief OSRA 2002

New Image Anyone?: 

New Image Anyone? False alarms (Y2K) Dot.com bubble (burst) Tech stocks (in freefall) High-tech layoffs (rising) Software viruses (rampant) Microsoft behavior (monopolist)

We Depend on Technology in Times of Crisis…: 

We Depend on Technology in Times of Crisis… Cell phones and email Websites Videoconferencing Telecommuting Disaster recovery services Wireless LANs

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The Power of the IT Volunteer Spirit

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HP/Compaq merger worries Microsoft breakup musings Peoplesoft project ends up in court Sept. 10, 2001

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Air Security Concerns and IT Security Overhaul E-Signature failure Anthrax threats expose public health IT systems Oct. 22, 2001

Our Top 10 for 2002: 

Our Top 10 for 2002 Security/Privacy & Infrastructure Protection Supply Chain Integration Government & Legal Issues Data Management Wireless & Mobile Web Infrastructure & Web Services Enterprise Systems IT Management & Leadership Careers & Training Server Operating Systems

Always On Your Minds: 

Always On Your Minds Security Checks & Balances Infrastructure Leverage Business continuity in the supply chain Managing partners and vendors (especially Microsoft) Emerging Web services, wireless, CRM Proving ROI on IT projects

Is it time to go back to the days when IT supported the business rather than became the business?: 

Is it time to go back to the days when IT supported the business rather than became the business? “Enron Lesson: Tech is for Support,” CW, 2/18/02

“What the ’90s showed us was how much IT can do. The next decade is going to be about businesses finding ways to harness all that creativity and use it…”: 

“What the ’90s showed us was how much IT can do. The next decade is going to be about businesses finding ways to harness all that creativity and use it…” Charlie Feld, CEO, The Feld Group, CW, 2/18/02

Balancing The Bottom Line with Innovation & Creativity: 

Balancing The Bottom Line with Innovation & Creativity Don’t dismiss the idea of information creating value Integrate applications rather than creating new infrastructures Conduct business with customers via multiple channels (not just the Web) Seek out natural alliances between IT & business units (such as logistics, distribution) Find some solid ROI figures for the CFO

Brace Yourselves for Big Brother Meets IT : 

Brace Yourselves for Big Brother Meets IT National ID card, privacy debates Expanded use of biometrics (facial recognition, finger imaging, etc.) Wider use of wiretapping Email monitoring Credit card tracing International data-sharing

Proposed: CIO Cyberthreat Response & Reporting Guidelines: 

Proposed: CIO Cyberthreat Response & Reporting Guidelines FBI & Secret Service support standard procedures for businesses to use in reporting serious hacking incidents Only major incidents that damage property, revenues would be reported Big question: How will this information be handled? “Cybercrime Reporting Procedure Draws Fire,” CW, 2/18/02

Proposed: Increased Federal IT Spending: 

Proposed: Increased Federal IT Spending White House seeking IT security spending increase from $2.7 billion to $4.2 billion 64% increase will boost total IT spending to 8.1% of fed’s proposed $52B IT budget in 2003 Average share of private-sector IT spending in company budgets is 3-5% Source: IDC, U.S. govt documents, CW, 2/18/02

Thinking Security in a Post-911 World: 

Thinking Security in a Post-911 World Revisit IT budget & staffing with security in mind Make sure critical systems can be replicated remotely; coordinate security, infrastructure protection efforts Prepare for gov’t regulations in encryption, employee monitoring, info protection and data access

Dealing with Internal Security Threats : 

Dealing with Internal Security Threats Develop & publish access policies Check employee backgrounds (contractors, too) Classify corporate information and control access; segment networks, where possible Get full disclosure from trading partners and service providers Don’t forget physical access checks Security experts’ advice, CW, 10/15/01

Web Services: An umbrella term for the broad movement to use the Internet to automate tasks in new ways…: 

Web Services: An umbrella term for the broad movement to use the Internet to automate tasks in new ways…

Web-Enabled Processes to the Rescue?: 

Web-Enabled Processes to the Rescue? Can allow easier, more cost-effective connections across applications Better access to best-in-class apps no matter where they reside Provides set of tools to take legacy apps and “node-enable” them

Other Benefits of Web Services: 

Other Benefits of Web Services Not a new business model Uses existing Internet standards Provides integration more painlessly Many application service vendors rolling out web-service-enabled versions of their software

Collaborate or Integrate?: 

Collaborate or Integrate? Only 16% of users planning to use web services with new business partners While 60% will use web services for enterprise application integration (EAI) And 53% will use to integrate applications with partners and customers Jupiter Media Metrix survey, Sept. 2001

“Web services architecture will create an environment where companies will be able to access resources wherever they reside – in whatever enterprise.”: 

“Web services architecture will create an environment where companies will be able to access resources wherever they reside – in whatever enterprise.” John Hagel III, Harvard Business Review and CW, Fall 2001

Web Services Tools & Standards: 

Web Services Tools & Standards WSDL: Web Services Description Language. XML-based, used to describe services offered and provide e-access SOAP: Simple Object Access Protocol: allows operating systems to speak with each other using http and XML UDDI: Universal Description, Discovery and Integration: Web-based Yellow Pages to list your services

User Examples of Web Services: 

User Examples of Web Services GM connects internal apps to 8,000 auto dealers GM and partners keep existing systems in place More flexible in efficiently serving customers Citibank offers major payment processing engine as a Web Service to electronic markets Turns internal resource into revenue generator

GE Global Exchange & Fuel Quest, Inc.: 

GE Global Exchange & Fuel Quest, Inc. Creating a Web services-based EAI program Lets fuel distributors plug into GXS-hosted trading network of U.S. refiners Electronic bills of lading downloaded directly into financial systems “In an industry where fax machines were a novelty a decade ago, this is a big deal…” says one petroleum distributor

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CRM

Phase 2: Leaner, Meaner CRM Projects: 

Phase 2: Leaner, Meaner CRM Projects The New Modularity: separating business rules from the system code The U.N. Approach: Appoint an ambassador to translate between IT and marketing Capture only the info that matters (and leads to revenue growth)

“Even in a down market, we’re still investing heavily in both technology and integration. We still invest in things that are critical to the business…”: 

“Even in a down market, we’re still investing heavily in both technology and integration. We still invest in things that are critical to the business…” Robert Seidman, SVP, Charles Schwab Corp., CW, 2/18/02

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Thinking About Tomorrow

“Girls Warm Up to IT”: 

“Girls Warm Up to IT” 18% of teenage girls online believe they can hack into their school computers* Instant messaging: the killer app for gender bending? Today only 25% women in IT; declining enrollments in computer science Thinking about technology as a socializing force *Girl Scouts survey, 1,000 young women aged 13-18, Feb. 2002

Three Questions to Ask: 

Three Questions to Ask What’s the next transformational technology? (It’s still the Internet) What’s the business advantage to be gained? (Efficiency for IT; value for customers) What’ll it take to get to the next business level? (Look to customer/supplier processes for answers) Jim Champy, Perot Systems Corp, Cambridge, MA

The Brainiacs Speak: Fast Forward to 2012…: 

The Brainiacs Speak: Fast Forward to 2012… Devices are wafer-thin, high-performance, with always-on-access to the ‘net Large, high-resolution monitors (less than $1k) Head-mounted, eyeglass displays no longer just for weirdos Cell phones with small-color LCD screens and smart-card readers Speech recognition finally works well

“Extremely Cool but Unlikely”: 

“Extremely Cool but Unlikely” The ultimate wireless home network – low cost, easy to install, totally interactive, with clear standards for audio, video, PCs, etc. A golf ball with an embedded tracking system Protective operating systems that guard users’ time and prevent information overload Collaborative health machines that can diagnose, monitor, treat and prevent diseases…

“The Market is Missing The Boat On…”: 

“The Market is Missing The Boat On…” E-Wallets: truly secure, pervasive, accepted for use with credit card purchases, bank accounts, ID, passport, corporate ID and security cards Truly Useful Cell Phones: without competing system and standards; reliable, cheap, ubiquitous Interface Design: Advancing beyond the clouds of Windows E-Learning: High-tech fix for education as a vast, semi-automated learning machine

Light travels faster than sound. This is why some people appear bright until you hear them speak…: 

Light travels faster than sound. This is why some people appear bright until you hear them speak… Some Anonymous Smart Aleck