IT In Danger Of Being Marginalized, Accenture Warns - InformationWeek

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IT Leadership // Enterprise Agility
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10/19/2016
09:06 AM
Charles Babcock
Charles Babcock
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IT In Danger Of Being Marginalized, Accenture Warns

Declining confidence in enterprise IT and greater use of external cloud services are among the findings of a recent Accenture survey. The growth of shadow IT comes with risks. Get a closer look with this infographic.

5 Reasons The CIO And CFO Should Be Best Friends
5 Reasons The CIO And CFO Should Be Best Friends
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Shadow IT is an old story at this point. But a survey from Accenture Strategy, a unit of Accenture consulting that helps companies adjust their business strategies to cope with digital disruption, aims to shine a new light on the topic.

The Accenture survey conducted earlier this year of 1,800 CIOs, CTOs, and C-level decision makers on the status of the IT department found that 77% of respondents said, "IT lacked the skill sets" to act as a service provider itself, as Accenture authors Mazen Baroudi and Matthew Taylor stated in their report, "IT Is Dead. Long Live IT!"

Like other surveys, including one by rival consulting firm Ernst & Young, the Accenture results showed that reliance on IT to originate technology was decreasing and that business decision-makers are showing an increasing willingness to go around IT and initiate an external technology service.

[See 9 Ways IT Can Ruin Its Relationship With the Business.]

The Accenture report also pointed out that even shadow IT implementers sense the risks inherent in bypassing the existing IT organization.

But there is hope -- if there's some reinvention.

Baroudi and Taylor recommended that IT become more of a service provider itself, and act as a broker for the services sought by the lines of business. However, IT will have to nurture its own disrupters to succeed in such a transition, they noted.

"In this new role (as a service broker), IT can not only protect the business but also help it achieve greater outcomes," the authors wrote.

Survey information source: Accenture report 'IT Is Dead. Long Live IT!'

(Images, top to bottom: Panptys, yod67, Arkadi BojarA!inov, and IfH85/iStockphoto)

Survey information source: Accenture report "IT Is Dead. Long Live IT!"

(Images, top to bottom: Panptys, yod67, Arkadi BojarA!inov, and IfH85/iStockphoto)

Cover image: the-lightwriter/iStockphoto

Charles Babcock is an editor-at-large for InformationWeek and author of Management Strategies for the Cloud Revolution, a McGraw-Hill book. He is the former editor-in-chief of Digital News, former software editor of Computerworld and former technology editor of Interactive ... View Full Bio
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Charlie Babcock
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Charlie Babcock,
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10/20/2016 | 6:50:45 PM
How not to be marginalized: become an IT service broker
Another test of whether you're a service-oriented IT department: Accenture suggests time-to-market is crucial. "Innovation is critical to drivintg value as an enterprise IT provider and solutions should follow a minimum viable product approach--followed by a series of rapid enhancements.
Charlie Babcock
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Charlie Babcock,
User Rank: Author
10/19/2016 | 2:20:48 PM
Is this how you conduct IT?:
How prepared is your IT organization to become a service provider or broker? Accenture offered a test: "When problems arise, how many options do you provicde users for entering a service ticket, and how quickly do you resolve?" Multi-channel ways to submit a problem combined with a rapid respons "are key to the service provider model."
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