
by
7 November 2006
BEng(Aero), MEng, MIEAust, CPEng
In today’s increasingly
competitive business environment and job market, the role of the technology
executive is being seriously
questioned. More and more businesses are
demanding that their technology executives have a high level of business
acumen, expecting Chief Technology Officers and Chief Information Officers to
provide the strategic leadership needed to run their department as a business. Typical of recent commentary on this topic,
the editor of an Australian IT magazine suggested that CIOs from technical
backgrounds must learn how to grow into the role of business “superheroes” in
order to survive. He reiterated the
argument that CIOs must adopt the CEO way of thinking by grasping the business
world in which they work and realistically balancing risk with the business’s
need to change and grow.
While not a supporter of “heroism” in
business – preferring instead to encourage the virtues of good leadership and
management – I
communicated to the editor that I believe the potential is there for all
technology executives – not just CIOs – to become business superheroes.
The dilemma for technology executives is
that the definition and importance of their role varies significantly between
industry sectors and businesses within those industry sectors. The dilemma is compounded by the array of
titles and definitions that are associated with technology executive positions
and the lack of consistency in how those titles and definitions are applied
against the actual role and status of the position within the business. Many businesses, therefore, struggle to
determine what type of technology head they need – a CTO or CIO, Chief
Engineer, Head of Engineering, etc. – and what standing that position should
have in the business’s senior or executive management structure based on the
perceived value the position contributes to the business’s bottom line.
Unfortunately,
while most technology executives are considered to be operationally critical to
the success of their company, they are also considered to be lacking the
business acumen necessary to significantly contribute to the development of the
business’ strategy.
To
change the perception that technology executives are disinterested in or
incapable of strategic leadership, such executives must assume the role of
champion within their company for sustainable business improvement. This role demands a thorough understanding of
the company’s strengths and weaknesses, both internally and within the market,
as well as the ability to set strategic direction to act on that
understanding. The ultimate success of
this role depends on constructing and maintaining the operational processes to
follow through on the strategy. The
technology executive is uniquely positioned to offer this combination of
business savvy and technical competency. I believe this
is where the real opportunity lies for technology executives to realise their
potential to become business superheroes.
Generally, businesses strive to establish
a solid reputation of quality and performance; a reputation that most
businesses take years to painstakingly build, but a reputation none-the-less
that can be destroyed in a moment. It is
well known that
The issue is not about the capabilities
and performance of technology, but the overall culture and performance of the
business itself. Technology and
technology executives are often made the scapegoats for poor business
performance, whereas the real reason is a basic lack of understanding and
commitment across the company to consistently deliver the promised or
expected level of service to the end customer.
Around the world, businesses of all sizes
and in all industries are attempting to define a corporate culture that
empowers their employees to meet three fundamental challenges; Be Innovative,
Reduce Costs, and Increase Quality. To
succeed against these challenges, such a corporate culture must be built around
a simple, focused concept; a concept to which all employees at all levels of
the business can relate their day-to-day activities. This concept is Customer Service Delivery.
In one way or another, all businesses
produce or provide something for a customer, and all of the activities of a successful company must enhance the
production and support of that ‘product’ or ‘service’. To achieve this, businesses must develop
customer service delivery practices based on a heuristic service delivery model
that not only meets their immediate needs, but is sustainable and scalable
across time and changing markets.
Typically, however, most businesses are
structured on the tri-departmental or ‘silo’ model of Sales and Marketing,
Technology and Product Development, and Operations and Support. Each of these departments has a particular
‘personality’ and behaviours to match.
Sales and Marketing is gung-ho, irrepressible, and with a limited
attention span, responds best to pictures and simple statements. Often speaking in foreign tongues, Technology
and Product Development likes to play with toys, and prefers to be left alone
to do so. Operations and Support takes a
nurturing role with a large element of martyr mixed in, dutifully taking on the
‘problems’ created by others’ impractical or unrealistic approach. These are not groups of people that naturally
work and play well together.
Astute and business savvy technology
executives have the best potential and more opportunity than anyone else in the
business, with the exception of the CEO, to strategically champion the
establishment of a company-wide culture of end-to-end customer-centric service
delivery across these typical silos. Few
would refute that it is easier for a technically qualified executive to become
business savvy than for an executive without a technical background to become
technology savvy.
Business savvy technology executives are
also ideally positioned to take up the tactical leadership role by leveraging
their technical background and analytical skills to become experts on the
intricacies of business operations and performance, by identifying and
championing business improvement initiatives, and leading business improvement
programs aimed at achieving sustainable customer service delivery. They are best placed to facilitate the
definition and adoption of customer-centric performance metrics and measures
appropriate for the products and services offered to customers, lead all areas
of the business to agree on realistic and achievable targets for those metrics,
and to insist on a company-wide commitment to achieve those targets. They are also well-positioned to facilitate
business impact analyses of the business’s potential failure to deliver against
agreed service delivery targets.
Establishing an effective customer-centric
service level delivery capability requires top-down leadership, and bottom-up
participation and engagement. This
approach brings together the sales and marketing, technical, and operations
teams to collaborate on the design and implementation of a sustainable service
delivery model, and reduces internal ‘us/them’ orientations that make it so
difficult for most businesses to deliver consistently on the commitments they
make to their customers. By
incorporating a regular review process, this approach can be used in any
business to address tactical issues quickly, establish sustainable long-term
strategies to achieve service delivery objectives, and build a culture of
service level commitment through continuous improvement.
Good leadership and management are
essential in changing company behaviours.
Business savvy technology executives can strategically champion the establishment
of a company-wide culture of end-to-end customer-centric service delivery
across the typical departmental silos.
Leading by example and in cooperation with all other areas of the
business, they also become the tactical champions for sustainable business
improvement. It is essential that
everyone across the business understands the meaning and application of service
levels promised to the customer. Through
a combination of consultation, focus workshops, one-on-one mentoring, formal
training and documentation, the business must provide every opportunity for its
staff to learn, understand and take ownership of the end-to-end service
delivery model that is adopted by the business.
Like all programs designed to facilitate
improvement, sustainable performance in service delivery must be strategically
and tactically managed as long as a company is in business. Without visible and
consistent executive leadership, Customer Service Delivery will become just
another passing fad, and technology executives will continue to find the Board
Room door closed to them while the business trudges on in search of the Holy
Grail.
He was the senior aeronautical
engineer on the RAN Seahawk helicopter acquisition project, senior project
manager on leading-edge Defence initiatives at ARL DSTO, and for several years
held key engineering management positions at the Australian Bureau of
Meteorology where he was responsible for the design, installation and
operational integrity of numerous scientific facilities and systems around
Australia, the Antarctic and in the South Pacific region. In 1996 he headed Honeywell Australia’s
international team of engineers engaged on the weapon and navigation
sub-systems upgrade for the RAAF P-3C Orion Refurbishment Project, with
responsibilities for the management of subcontractors in the US and Europe,
before accepting senior engineering management appointments with Bytecraft
Automation and Link Telecommunications.
In 1999 he established his own
professional services company providing independent strategic business and
project management services to major companies and organisations in
BEng(Aero), MEng, MIEAust, CPEng
Faerber Hall Pty Ltd
Web: www.faerberhall.com