Data from the Forrsights Budgets and Priorities Tracker Survey, Q4 2012 highlights the increasing gap between CIOs and business decision-makers (BDMs) in India — a gap that originates in misaligned perspectives. The rapid rise of social media, cloud computing, and mobility in India has started to significantly affect how organizations do business in the country. Business leaders’ use of consumer technology has changed their expectations of how enterprise IT should be harnessed. They increasingly seek to use technology in innovative ways in order to gain a competitive edge and drive business growth. However, most CIOs are still caught in the old world of focusing exclusively on IT budgets and project delivery performance issues:
I recently spoke with a few CIOs in India to explore their views on the reasons behind this misalignment. When I shared data from the chart above and asked their opinions on the insights, some interesting findings that came out:
There are many “heads of IT” and few “business technology (BT) CIOs” in India. One CIO from a large auto manufacturing firm mentioned that a majority of CIOs in India are actually “IT heads” who think and act mainly from an IT perspective. Even worse, their thinking is generally very hardware-centric. This CIO’s opinion is in sync with my recent report highlighting the fact that Indian CIOs are at risk of losing business credibility (and eventually their jobs) if they do not improve their understanding of BT.
The rapid rise of social media, cloud computing, and mobility in India has started to affect how organizations do business in the country. This is driving a fundamental shift in the CIO role as it moves from classic “plan, build, run” cycle management to a business-oriented, leadership-focused position. To gauge systems integrators’ (SIs’) readiness to support the changing CIO role, Forrester interviewed CIOs at 30 Indian companies and has just published a report on the same. For the purposes of this report, “Indian SIs” includes SIs headquartered in India and multinational SIs doing business in the country. We conducted interviews with CIOs in the form of open discussions; our aim was to determine CIOs’ opinions about their SIs, including how effectively those SIs are shifting to a more value-added, business-oriented engagement model. These interviews yielded some grim findings, as CIOs believe that SIs:
Don’t understand the business requirements of the CIO role. Only 28% of CIOs think that SIs understand their changing business requirements, while 70% of CIOs think that SIs focus too much on technology delivery.
Focus too much on upselling or cross-selling their products and solutions. SI teams, including account managers and consultants, usually focus more on promoting products and services; they have very little knowledge of what CIO and client organizations are looking for and don’t care to learn.
Lack the tools and templates to define the business value of emerging technologies. Most of the CIOs indicated that they believe that SIs are not able to define the business value of emerging technologies.