InformationWeek: The Business Value of Technology

InformationWeek: The Business Value of Technology
e2 Conference & Expo - Boston 2013
CIO Values: What They've Accomplished, Where They're Headed

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Paul Heller, CIO, Vanguard Group

Jacquelyn Barretta, CIO, Con-way  Ulrich J. Seif, Senior VP of Supply Chain and Services and CIO, National Semiconductor  Paul Heller, CIO, Vanguard Group  Ramón F. Baez, VP and CIO, Kimberly-Clark  Deb Horvath, Executive VP and CIO, Washington Mutual  Joe Morgan, VP and CTO and General Manager On Demand Solutions, Standard Register  Bruce Livingstone, Senior VP of Consumer and Technology at Getty Images and CEO of iStockphoto, Getty Images  Bob Lento, President of the Information Management Line of Business, Convergys  Steve Olsen, Executive VP, Chief Operating Officer, and CIO, CheckFree  James Mazarakis, Chief Technology Officer, T. Rowe Price  Kate McNulty, Senior VP and CIO, Schwan Food  Kevin Bott, Senior VP and CIO, Ryder System  Gary Scholten, Senior VP and CIO, Principal Financial Group  James Krause, Managing Director and CIO, CME Group  Mike Jackson, VP and CIO, Rockwell Automation  Stephen Bozzo, CIO, 1-800-Flowers.com  Douglas Caddell, CIO, Foley Lardner LLP  Richard Temple, VP of IT and CIO, Saint Clare's Health System  Tom Gosnell, Senior VP and CIO, CUNA Mutual Group  Bill Santille, CIO, Uline  Frank Modruson, CIO, Accenture  Robert Keefe, senior VP and CIO, Mueller Water Products  Michael Mediterraneo, Senior VP And CIO, Cambridge Integrated Services  Raj Rawal, Senior VP And CIO, Burger King  Frank Yang, CTO, Recycle Bank  Daniel Salisbury, Corporate VP, Global IT, Cadence Design Systems  Becky Blalock, Senior VP And CIO, Southern Co.  Phil Tuggle, Senior VP, Information Technology Services, Southwire  Lee Congdon, CIO, Red Hat  Tom Tabor, Senior VP And CIO, Highmark  Sam Coursen, VP And CIO, Freescale Semiconductor  Patty Morrison, Executive VP And CIO, Motorola  Michael Fuqua, Senior VP, Global IS, Global Crossing  Tom Holmes, CIO, At Arise Virtual Solutions  Steven McIntosh, Senior VP And CIO, Jackson Family Enterprises  David Riley, CIO, VP Of IS And Technology, Foundry Networks  Bill Brown, Senior Vice President, Chief Information Officer, Iron Mountain  Steve Phillips, Senior VP And CIO, Avnet  Dave Flanagan, CIO, Lionbridge Technologies  Mike Foley, CIO, MassMutual  Greg Marr, VP, IT And Facilities Management, RedPrairie  Sue Powers, CIO, Travelport GDS  Craig Lathrop, CIO, Americas' SAP Users' Group  Dave Goff, VP And CIO, Emulex  Rob Shostak, founder and chief technology officer, Vocera Communications  Nelson Lin, VP Of IT Services and CIO, Konica Minolta Business Solutions U.S.A.  Vercie Lark, CIO, Embarq  Paul Valle, CIO, Papa Gino's Pizzeria  Don Campbell, CTO Of Cognos  Avid Modjtabai, Executive VP And CIO Of Wells Fargo  Michele Goins, Senior VP And CIO At Juniper Networks  Jon Stevens, CIO Of CDW  Ken Harris, CIO and Senior VP Of Shaklee  K. Ananth Krishnan, CTO Of Tata Consultancy Services  Denis Stypulkoski, Executive VP And CIO Of Tygris Commercial Finance  Larry Stofko, Senior VP And CIO At St. Joseph Health System  Kevin Kometer, Managing Director And CIO, CME Group  John Lambeth, Senior VP And CIO, Erickson Retirement Communities  Marina Shabin, VP And CIO Of Sterling Commerce  Gregg Davis, Senior VP And CIO Of Webcor Builders  Mark Brewer, Senior VP And CIO Of Seagate Technology  Ian Patterson, CIO At Scottrade  Donald H. Hopkins, SunGard Availability Services  Michael Manchisi, CTO, MasterCard Global Technology And Operations  Yuvi Kochar, CTO And VP Of Technology For The Washington Post Co.  Peter Whatnell, CIO Of Sunoco  Laxman Kumar Badiga, CIO At Wipro Technologies  Marty Colburn, Executive VP And CTO At The Financial Industry Regulatory Authority  Lynn Willenbring, CIO Of The City Of Minneapolis  Ed Trainor, CIO Of Amtrak  Lisa Schlosser, VP And CTO, Westlaw Business  Aseem Gupta, CIO Of Sogeti  Mark Greenlaw, VP And CIO Of Cognizant  Dom Nessi, Deputy Executive Director And CIO, Los Angeles World Airports  Amin Kassem, Executive VP And CIO Of SHPS  Phil Fasano, Senior VP And CIO, Kaiser Permanente  Randy Gross, CIO Of The Computing Technology Association Of America  Jason Harrison, Worldwide CIO Of Mediabrands  Chad A. Eckes, CIO Of Cancer Treatment Centers Of America  Bob Sarnecki, VP And CIO For Phoenix Children's Hospital  Kirk Gutmann, Process Information Officer At General Motors  Jim Jones, VP And CIO Of Great River Energy  Ken Silva, Senior VP And CTO Of VeriSign  Manjit Singh, CIO Of Chiquita Brands International  Robert L. Geller, CIO At XO Communications  Ann M. Harten, VP Of Global Information Services And Human Resources At Haworth  Andy Blumenthal, CTO Of The Bureau Of Alcohol, Tobacco, Firearms And Explosives  Christopher Rence, Chief Information And Business Transformation Officer Of FICO  Mark Dajani, Senior VP And CIO Of Kraft Foods  John P. Burke, CIO Of Ambit Energy  Patti Reilly White, Senior VP And CIO Of Darden Restaurants  Marc Probst, VP And CIO Of Intermountain Healthcare  Mujib U. Lodhi, CIO At DC Water And Sewer Authority  Casey King, Chief Technical Officer At LifeSize  Jeffrey Sorenson, Lieutenant General And CIO, United States Army  Teri Takai, CIO For The State Of California  Chris Perretta, Executive VP And CIO Of State Street  Patricia A. Coffey, Allstate Insurance And The Society For Information Management  David Wennergren, Deputy CIO Of The Department Of Defense 

Paul Heller
CIO
Vanguard Group
Malvern, Pa.

CAREER TRACK
How long at current company: 23 years

The single career accomplishment you're most proud of: I'm most proud that after 23 years at Vanguard, I've been able to combine a love of the business with a passion for technology, and ultimately be afforded the opportunity to lead IT at Vanguard with an awesome team and great business partners.

Most important career influencer: Bob DiStefano was the CIO at Vanguard for many years and my boss for almost four years in the late 1990s. Bob passed away of a heart attack just over six years ago, but I still think of him daily. He was an extraordinary leader, mentor, and friend.

Describe a major decision you've made during your career that you wish you could do over again: I don't spend much time looking back and regretting decisions not made! That being said, I've made plenty of mistakes along the way, and I do my best to learn something from each of them.

CURRENT ROLE
IT annual budget: Over $500 million

Size of IT team: 2,900

3 top initiatives for current year:

  • We're always seeking improvements to Vanguard.com, our primary interface with our shareholders. We're pursuing a host of Web 2.0 enhancements to further simplify, personalize, and humanize the VGI.com experience across our business lines.
  • We continue to invest heavily in our defined contribution and defined benefit platforms to ensure that we have the highest value offer in the industry.
  • This year we'll significantly enhance the trading platforms used by our Quantitative Equity and Fixed Income teams.

    Key tech partners: EMC, IBM, Sun, and a host of others.

    How I measure IT effectiveness: We measure IT effectiveness on three levels -- the project itself (NPV, ROI, a business case), at the portfolio level (examining investment spending across the firm along key dimensions; i.e., client impact or operating impact), and finally the effect an initiative will have on our key success criteria such as top quartile long-term fund performance, industry-leading service, and low costs.

    VISION
    The next big thing for my business will be ... leveraging technology to provide products and services that matter to key emerging demographics (i.e. the "boomers"), including the significant shift under way from accumulation to preservation and distribution of financial assets.

    Best piece of advice for future CIOs: Stay current and connected. IT evolves fast. Not only is it important to keep up with technology developments, but also it's critical to stay genuinely connected to your business partners and to help them envision and realize technology's possibilities.

    View on benefits of offshore outsourcing: Vanguard has not pursued offshore outsourcing. We have been fortunate to build an extraordinarily capable IT team here that understands and is highly connected to our business. To reduce the cost of building systems, we've focused on software quality and building well-architected systems solutions.

    PERSONAL
    Colleges attended/degrees earned: Tufts University, B.S. in Engineering and Economics; Harvard Business School, Advanced Management Program
    Favorite sport or leisure activity: Sailing, reading, and sending e-mails to my team
    Best book read recently: Stumbling On Happiness by Daniel Gilbert
    Last vacation: With family and friends on the Chesapeake
    Smartphone of choice: BlackBerry
    Personal computer of choice: HP, although the new Mac is tempting
    Favorite presidential candidate: Unfortunately, no favorites yet
    If I weren't a CIO I would be ... a business head at Vanguard (I hope!).