Here’s the elevator pitch: The job of the CIO is going to change from something like “show me the business process, and I will help you automate it” to “here is what we need to do to streamline our business capabilities and increase the firm’s level of engagement with customers and partners.” In other words, the CIO’s focus is moving from aligning IT and the business to aligning business capabilities and better serving customers.
To set the stage for my presentation, I will bring two key trends into one picture: The first trend comes from Josh’s Bernoff’s research. He has shown how successful companies changed their source of differentiation over time from manufacturing-centric positioning to being “customer-obsessed” in the age of the customer. The second trend comes from Andrew Bartels’ research. Andy argues that the history of IT has seen three waves of innovation — mainframe computing, personal computing, and network computing — while the fourth wave, smart computing, is now under way.
You already know it. Technology is completely pervasive in our lives, and in how businesses operate. It’s pervasive in how business execs think — they know that every change they make has a technology aspect to it. As my colleague Randy Heffner says, “It’s no longer enough to say that technology supports business. Today, your business is embodied in its technology.”
You already know it. The pace of change in our highly interconnected and interdependent world is increasing — and along with this are the opportunities and risks which change brings. From emerging markets to new social platforms such as Pinterest, business leaders are finding they can’t assume stable business models and environments anymore. Gone are the days of three-year strategic plans — the mantra now is: “How quickly can we sense and respond to new opportunities and threats? How quickly can we shift our business for these changes?”