Posted by: Russell Rothstein | February 8, 2010

Business-IT Alignment: When the Saints Come Marching In?

We are delighted for the residents of greater New Orleans who deserve a celebration after their Saints beat the Indianapolis Colts last night in Super Bowl XLIV. The people of New Orleans and the Gulf Coast region, still recovering from Katrina, have been waiting to take home a Vince Lombardi trophy for the first time since the Saints began to play in 1967.

And while it took the Saints forty-three years to achieve their goals of success, back here in the IT industry it has taken about that long to achieve our version of a Super Bowl win – true business-IT alignment.

There is a lot of talk in the industry about the importance of “aligning IT to business”, “managing IT based on business priorities”, and “monitoring IT infrastructure performance from a business perspective”. The concept of aligning IT with the goals of the business is not new – we’ve been talking about it ever since the first time a computer was used for a business application (by a food manufacturer in the UK!) back in 1950.

Yet, the vendor community has not been able to enable CIOs to meet their goals of B/I alignment. A key factor is that application teams, the folks in IT that liaise with the business and are in the best position to align with their LOB counterparts, are still using infrastructure-based tools to monitor and manage their environment. However, transactions are where IT and the business meet, and only with a transaction-based management approach can IT start to manage services from the business perspective. Business transaction management enables application teams to manage their environment, for the first time, from the perspective of business transactions, rather than from infrastructure metrics. (Many of you will recognize these as the still-unrealized goals of BSM – business service management; see a recent Forrester report on how BTM delivers on the promise of BSM.)

BTM answers the following questions to support B/I alignment:

  • Resources: How will moving to the cloud help reduce customer churn or improve employee productivity? What is the business impact of a consolidation project? How will adding new servers or VMs change service levels?
  • Process: What is the IT cost per business transaction? Is investment in new infrastructure going towards the most business-critical services? Is business impact factored into decisions for change management and release management?
  • Language: Does the LOB care about the performance of silo metrics (e.g. JVM, database) or do they care about the performance of a business transaction — for example, what is the time for a submit order transaction, how long the transaction took to verify the credit card, authorize the user, check inventory, etc., and what will the performance look like when transactions increase by 100%?

Without BTM, you lack the transaction-centric information to answer these questions and are left about as helpless as defending against a Peyton Manning pass. And while the Saints achieved success with 340-pound linemen on their side, all you need is to make the move to BTM.


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