The Wall Street Journal has a column by Amit Basu and Chip Jarnagin about how most companies are failing to recognize the potential of IT, and they list a number of reasons why.
First, Basu and Jarnagin say, the business often sees IT as a basic utility, like plumbing or phone service. This is compounded by the current trend towards SaaS; in which prominent authors like Nick Carr are actually sincerely arguing that IT is indeed a basic utility, and that "IT doesn't matter." We disagreed with that argument on the basis that those companies that use unique IT resources and talent effectively will outperform those companies who do not, but agreed with the general trends that Carr pointed out. The problem that many overlook is that IT as a utility and IT as an innovator are not mutually exclusive propositions. (Remember when your cable company just provided TV?)
Additionally, Basu and Jarnagin argue that there is an effective glass wall isolating IT within the company, and there are five reasons for this wall separating IT and the rest of the business.
"Mind-set differences between management staff and IT staff, language differences, social influences, flaws in IT governance (defined as the specification and control of IT decision rights), and the difficulty of managing rapidly changing technology."
The first case, of mindset differences between IT teams and business leaders is one of abstract vs. logical thinking. IT teams often deal in binary logic; something works or it does not, something is better or it is not. There is a right way, a wrong way, and sometimes a best way, to do things. Business leadership often deals in the grey areas, what ifs, and sometimes illogical intuition.
To oversimplify, IT thinks in the terms of the math class - there is a right and wrong answer. Management is liberal arts - arguments should be well formed but there's no one right way to get to the answer. For all the jokes between management and IT working on totally different wavelengths, there is an absolute truth to this.
Also, as Basu and Jarnagin point out, both business and IT use incomprehensible languages filled with acronyms and specialized terms. I know most of you are familiar with "VoIP," "packet priority," and "ITIL" but to a business manager, they're as alien as "EBITDA," "commodity value," and "ISPL" are to a network engineer.
(A digression: When I first started working at this position, I came from an academic background. It confused me to no end that when the marketing people were talking about "the pipe" and the networking people were talking about "the pipe" they meant two entirely different things.)
There are other, social, factors mentioned in the article as well, but the end result is that business doesn't want to deal with IT, doesn't care about IT, and doesn't understand how IT helps their business. And yet, IT is still crucial to meeting business goals.
We've talked many times about the need for better IT communication, and better understanding of business needs in IT. Mostly, we agree with Basu and Jarnagin's assessments of the situation, and really do recommend that you read the article - and perhaps forward it to your manager.
This is where ITIL can help out considerably. One of the major improvements in ITIL v3 from v2 is the shift from business alignment to business integration, which requires IT to adopt business terms and to create, measure and communicate IT value in financial terms whenever possible.
