As the Logicalis CIO Survey 2015 tells a story of the continued erosion of CIOs’ traditional powerbase, Joanne Nelson, VP of International Marketing at Logicalis, explains how IT leaders are fighting back through a services-led transformation of IT departments.
In a recent post entitled Shadow IT is a reality for 90% of CIOs, I pointed out that the near ubiquity of Shadow IT and the extent to which CIOs are losing their traditional power base leaves the entire IT function at a tipping point.
The final line of that post was ‘The question is: What are CIOs doing about it?’
Interestingly, the Logicalis CIO Survey 2015 also picks up signs that CIOs are starting to fight back – that IT leaders are seeking to retake control of IT, not by eliminating Shadow IT but by embracing it.
The 2014 CIO Survey noted the stirrings of a response. It argued that CIOs were seeking to transform IT departments into internal service providers – lean organisations managing service portfolios, not technology, and able to respond quickly to line of business demand.
The signs were there, but overall the trend was only beginning to emerge.
One year later, it seems that transformation it taking shape. This year’s survey found that CIOs are freeing themselves from the day to day, with 38% now spending at least 50% of their time on strategic activities.
Tellingly, CIOs worldwide are now spending almost half of their time (42%) on activities consistent with developing and delivering the internal service provider model – ‘engaging with line of business’ and ‘scoping and provisioning new IT services’.
An increased focus on service provision is also reflected in CIO responses around the balance of IT department activies, which suggest a 50:50 balance between technology management and the delivery of a portfolio of services. Indeed, around half of CIOs (47%) report that at least 30% of their IT is provided by external service providers.
These are promising signs, but there remains a long way to go. For CIOs facing up to the challenge from Shadow IT, however, it appears the fightback is on.
For more information, download the Logicalis CIO Survey Report 2015.