InformationWeek
Defining The Business Value Of Technology
May 11, 1998
More From ITcontinued...page 2 of 2
The project was going smoothly until Lovett ran into the sticky issue of U.S. digital-encryption laws. Federal law prohibits the export of advanced computer security technology, but Lovett wanted to deploy her browser-based intranet application to all of Texas Instruments' 44,000 employees working in more than 25 countries. She needed tight security to protect sensitive financial information.
That's when Dan Murphree, her relationship manager for the project, stepped in. Murphree quickly found the right experts to solve the seeming impasse. Since he was familiar with company IT resources and staffing, he was able to track down the people most familiar with digital security and work with them to develop a secure solution that did n't run afoul of U.S. export laws.
Murphree's assistance reduced the time to complete Lovett's project by 25%, she says. Such projects typically take 18 months to finish, according to industry and company benchmarks. Lovett's project took just 10 months. "He definitely saved us the time from scrambling around looking for people," Lovett says of Murphree. "Dan and the other relationship managers are the voice of the customer in the IT department."
The creation of relationship managers has gone hand in hand with a shift in budgeting for IT expenditures. Previously, the IT department controlled the entire budget for computer technology expenditures. Now, business managers must cover the check on their IT projects. It doesn't matter how much a business unit spends, as long as the deployment earns profit on the investment, Chatterjee says. Texas Instruments' IT department even offers outsourcing recommendations to business managers if it can't handle the job because of time constraints or lack of appropriate resources.
If they choose to go with corporate IT, business managers must sign a "sponsorship agreement," under which they agree to take responsibility to pay for and manage a project. No project goes forward without a business-side sponsor. These agreements have prevented a few ill-conceived projects from moving forward, Chatterjee says. When the business case wasn't clear, the projects were shut down.
Because the budget is in the hands of business managers, they have a vested interest in the success of the project. As a result, they more readily take on such crucial elements as process management, education, and training. "Business managers didn't care so much when money came out of the IT budget," Chatterjee says. "But they care a lot when it comes out of their own."
On Course
This proactive involvement is helping IT projects stay on track. For example, Brian Bonner, VP of worldwide mass marketing for Texas Instruments' semiconductor group, is working wit h a relationship manager on a corporatewide database marketing project that will take about two years to complete.
Bonner says the increased cooperation between IT and his group is making the project run smoothly. "Without such cooperation, you end up with something you might not want," Bonner says. "There's no surprise with the way we do it now."
But not everyone has been enthusiastic about working in close partnership with the IT department. Kim Spencer, a relationship manager, says she has to battle the legacy of animosity that some people harbor against her department. These bad feelings were spawned by the disenfranchisement business units experienced under previous IT management. Since IT controlled the budget, it would often dictate what business units would get, rather than work with them to develop a solution.
So far, Spencer says she's had "pockets" of success getting business managers to trust her, so change is coming about slowly. Nevertheless, she remains practical. Spe ncer's bottom-line goal: Keep the IT department and business managers from walking out on the process.
"As long as we're still talking and challenging each other's ideas, then we're OK," she says. "When people stop talking to each other, then it's a problem."
return to page 1
Back to News In Review
Send Us Your Feedback
Top of the Page
Home | Career | Financia ls | NewsFlash
Resource Centers | Shop Talk | Search
