Posts Tagged ‘Business’

PostHeaderIcon Decentralizing IT

For decades, the classic model of how a business organizes its computer services department was to establish a separate IT department with an independent management structure which may extend all the way to the executive suite. Over the years, the autonomy of that centralized IT function took on almost mythic proportions and in some cases resulted in abusive attitudes and ways of doing business that almost gave the impression that the business existed to serve the IT department rather than the other way around.

This was a particularly prevalent model when all business computer processing was done by a large centralized mainframe computer, usually made by IBM. These mega computers are and were expensive and complicated to program and operate which dictated that to be successful, a business had to keep on staff a small army of computer specialists, many of whom seemed to speak an entirely different language and come from a different culture than those in the rest of the business.

This was a natural and necessary business paradigm under the circumstances when “big iron” ruled the IT community. However, the last several decades have seen changes to how IT gets its business done. First was the introduction of smaller, powerful systems driven by operating systems like UNIX that were capable of great efficiencies that challenged the supremacy of the mainframe in business.

The movement toward network computing which was a natural business evolution to facilitate greater data access and to build stronger communications between spread out departments in the business world further eroded the need for one centralized powerful computer operated by a select few who spoke a cryptic language. Network computing started the process of democratizing computing power in the business world. With the new dominance of the internet and the need to take the business paradigm into cyberspace, the business model of decentralized data processing has taken on new meaning and importance.

In many businesses, the final stage of IT decentralization has begun to become a reality. By locating centers of operations and development authority and responsibility directly at the department level, the efficiencies of IT decentralization have become possible at every level of the business.

This trend in locating department specific applications along with the computing resources to support them to the department level is a significant change to the business culture. Not only do the departments who benefit from those applications take ownership over the operation of those computing systems, programming and development resources will be become part of the department structure as well.

For example, if the HR department has a suite of applications that are used to tracking payroll, benefits, etc., that application will be placed completely under the authority of HR. As such, areas of authority that were formerly the sole responsibility of IT such as systems analysis, development, programming and computer operations will become part of the HR management structure. As a result, each department develops an ability to converse in IT terminologies which results in a higher IT awareness across the business that is healthy for long-term analysis of needs and resources to meet those needs.

This is not to say that new problems and challenges do not come along with the decentralization of IT. Some IT issues must be addressed at a global level because they impact the business as a whole. So there is still need for a CIO and some high level IT controls to which each of the departmentalized systems must be accountable.

Further, the issue of systems integration and finding synergies between systems to maximize the efficiency of systems becomes more difficult when each department operates its own IT operation. If each department owns and operates its own hardware and network, communications across the business are challenged and there is a higher chance that underutilization of systems will be a result. Quality control at the systems administration level is more difficult because systems administrators may be answerable only to the department level more so than to the business in general.

These organizational issues must be resolved at a high level so the transition from a centralized to decentralized way of doing business can be successful. But the rewards of putting computing power at the department level outweigh the risks of failure and justify the effort that will go with such a large change to the corporate culture.

PostHeaderIcon Creating Traffic

Perhaps you have followed the trend in business to create an internet web site for your business that can be used to supplement your marketing efforts. If so, you have joined the momentum to create a corresponding “place” in cyberspace that can be used to reach customers online. The need for such an internet presence is entirely market driven. Internet sales have soared, particularly in certain market segments and more and more, the first place people go to in order to learn about your business is the internet. If they find a well designed web site that is full of features, that works fast and draws them in, that can be a tremendous tool for promoting your business.

When you set up a marketing tool outside of cyberspace, the first concern is how will that new marketing effort get noticed. So we are drawn to places where there is already an active traffic of people who would qualify as our customers. That may mean putting up a billboard where it will be seen by people going to work. That target audience may be the best population to respond to your message. Or if your business appeals to youth, advertising on MTV or on popular radio stations is a natural place to put your marketing money because the traffic is already there.

We have to approach the internet differently. Yes, the traffic is already there but we have to enter the world of cyberspace marketing with a different kind of strategy so we can reach the customers who are traveling certain “internet roads” and make sure those roads lead to our web site.

There is whole a cottage industry that has sprung up around the need for knowledgeable internet marketing gurus. And, yes, it’s a good idea to use their talents to make sure the search engines put your web site in front of the right kind of client or customer. These talented internet geeks can put your business web site into the flow of web surfers so you get your fair share of that traffic.

That said, you don’t have to wait for the internet marketing experts to make your web site more successful. If the business has made the effort to put that web site up, you want to see it start to pay off right away. That is why you should consider some creative ways to drive people to your web site from your traditional markets thus educating your current customers, clients and partners about the site. Ways to do that include?

§ Promote the web site at the retail level. Some creative signage at your retail locations can create some momentum and interest in customers to go see your exciting new web site.

§ Put the link on all correspondence. If you have flyers, a magazine or other current means of communications, your URL should always be listed there. Add your URL to your email signature and on business cards and all other forms of communication so your community of clients, customers and partners get used to associating that web site with you as much as they do your business name.

§ Create excitement. It is easy to operate a business contest from your retail sites that drives people to the web site for clues or to claim their winnings. That kind of momentum can create huge surges of traffic through your web site with the corresponding surge of sales and leads.

The modern customer or client is used to seeing the promotion of a web site included with other forms of promotion and advertising. You are not “assaulting” your customer base with this information. If anything, when your audience sees that the business has burst into the cyberspace world in a big way, they will be thrilled and as likely to respond with, “It’s about time.”.

You know how much you depend on the internet to keep you informed about areas of interest and about businesses you like to patronize. So you can see that not only putting up a good web site but letting people know that it is there and that there are big things there for them to enjoy is doing them a favor as much as it is creating new marketing opportunities for your business.

PostHeaderIcon Project Management of a Global Team

The world is getting smaller. Well, it isn’t physically getting smaller but that is one way of saying that global communications have become so fast paced that the world is really one community in a lot of ways. With the advent of the internet, email, instant messaging and VOIP, it is entirely possible to do business with trading partners around the globe without ever leaving your office.

For many businesses who are on the cutting edge of new business paradigms, the concept of a geographically isolated business is becoming obsolete. It is entirely possible to put together a business consortium or a project team made of subject matter experts spread across all time zones and from around the world. In fact, this kind of decentralized management of business projects is becoming more of the norm than the exception in the twenty first century business environment.

So just as those in marketing, product development and investments have already learned how to maximize a project team that is separated by hundreds or thousands of miles, the project manager must also adapt the project management methodology to accommodate a similar approach to getting business done.

Conventional project management is a systematic approach to taking a project from scope to implementation that has proven successful in thousands of companies. We have no reason to abandon this well developed methodology. But as new business paradigms come to play, we have to adapt even a standard methodology like project management to fit the way business is done in this century.

Communications is the key to any successful project. This is the challenge of utilizing a team from across a great geographical divide. It is entirely possible you may execute the entire project with team members you never see. So to facilitate frequent and up to date communications, we must exploit the technology we have at our disposal such as?

§ Blogs, wiccis and shared working environments. Group sharing environments on the web are becoming more and more common. By setting up a tool set on line in which team members can post status reports, leave emails, update the project management software, file expense reports and stay in touch with each other, you facilitate the kind of communication that keeps the team moving forward successfully. Blogs, private message boards and wiccis are also excellent means by which an ongoing “conversation” can be carried out between team members that anyone can check into and get caught up with the content of what has been done and what is being planned for the project.

§ Controlled email trees. As the project manager, email is an obvious way to quickly stay in touch with team members. However, it can get chaotic trying to keep up on fast moving email trees. That may be a good reason to trap all emails trees within your online project management software so the contributions of everyone on the team can be captured for further review.

§ IM staff meetings. IM can be expanded so it doesn’t just bring in two participants. You can schedule your weekly staff meetings using an IM conference room and capture the entire proceedings in the IM log thus assuring yourself that nothing that was said will “fall through the cracks.

By becoming adept at using cyberspace as the primary “location” of your project team’s interaction, you can literally create a team of highly specialized talent that can be located from anywhere in the world. This vastly expands your ability to tap the best minds for your work and to streamline the project management process. It will take time to get used to and there will be some missteps along the way. But if you can conquer global team management using internet tools, it will be a valuable skill for successfully executing global projects for your business.