| By Roger Strukhoff | Article Rating: |
|
| April 15, 2009 10:30 PM EDT | Reads: |
6,270 |
Flip 80/20 and Go.
What does that mean?
Flip 80/20 means to stand the conventional wisdom that IT spends 80 percent of its resources on management and 20 percent on innovation. Actually, while researching an article last year on this topic, I located some academic work done in Europe that operations and maintenance taking up 90 percent of budget. A Gartner report on the topic put the ratio at 91/9.
Industry CEOs such as Mark Hurd and Michael Dell have put the maintenance percentage at 70.
So we all know the ratio tilts very unfavorably toward pesky operations and maintenance.
By sending all this stuff to the cloud--ie, a service provider's cloud--and saving money in the process, the modern-day hepcat CIO should now, in theory, be able to focus the IT department's energies on innovation.
If there is even a 10-percent savings, for example, one would think enlightened companies would plow all or most of that back into innovation. (The company has also removed a lot of capital expenditures over to operational expenditures, but I won't write much about that until I've talked to a few expert beancounters.)
Innovation is not a precise word. Rather than debate incremental vs. quantum, updates vs. breakthroughs, etc., let's look at innovation the way Bobby Kennedy looked at the world, ie "...I dream things that never were, and say 'Why not?'"
Think of what you would like your organization to be able to deliver. Break through The Innovator's Dillemma by dreaming of things your customers aren't (yet) demanding. Understand that once you have outlined your dream, you can order up the IT power you need to fulfill it. Similar to adding a new building, then ordering up the water and electricity. Yes?
This could lead to a modern-day CEO with a background in philosophy, history, literature. Yes, I know many high-level execs (including CIOs) are already broadly educated and do need to see the forest for the trees.
But, once you have outsourced the task of providing the gas to power the car, you can just step on the accelerator and go. No year-long, 18-month, or longer lag between conception and deployment.
Of course, it's not that simple. But we can always dream, can't we?
Follow the author at www.twitter.com/strukhoff
Published April 15, 2009 Reads 6,270
Copyright © 2009 SYS-CON Media, Inc. — All Rights Reserved.
Syndicated stories and blog feeds, all rights reserved by the author.
More Stories By Roger Strukhoff
Roger Strukhoff holds a BA from Knox College, Certificate in Technical Communications from UC-Berkeley, and MBA from CSU-Hayward. He won a 2009 "Stevie" American Business Award for producing the best publication in its category. He is a former Publisher at IDG and Guest Lecturer at MIT. He splits most of his time between Silicon Valley and Southeast Asia, but can also be found at www.twitter.com/strukhoff
- Acquia Announces Two New Board Members
- CollabNet Adds Board Member and Senior Executives to Fuel Continued Growth in Agile ALM and Enterprise Cloud Development
- Learn Open Source Database Tools from Stanford for Free
- Research and Markets: Global Mobile Device Management Enterprise Software Market 2010-2014 Includes a Discussion of the Key Vendors Operating in This Market
- Alternative Search Engines for the Contemporary User
- FORTUNE Magazine Names Rackspace Among “100 Best Companies to Work For”
- New York City : Blueprint for Cloud-enabled economic transformation
- EnterpriseDB Announces Availability of Postgres Plus Cloud Database
- Connectria Hosting Achieves "Off the Chart" Operational Efficiency With Cloud-Based Storage Solution From Nexsan and CommVault
- ICOS and Joyent Announce Strategic Partnership to Deliver Joyent's Cloud Infrastructure Solution to Channel Partners and Service Providers
- eXo Platform 3.5 Now Available: First Cloud-Ready Enterprise Portal and User Experience Platform-as-a-Service (UXPaaS)
- Research and Markets: WordPress 24-Hour Trainer, 2nd Edition
- Five Years Waiting for JRE 7: Is It Justified? (Part 1)
- Book Review: The CERT Oracle Secure Coding Standard for Java
- Acquia Announces Two New Board Members
- CollabNet Adds Board Member and Senior Executives to Fuel Continued Growth in Agile ALM and Enterprise Cloud Development
- Learn Open Source Database Tools from Stanford for Free
- Research and Markets: Global Mobile Device Management Enterprise Software Market 2010-2014 Includes a Discussion of the Key Vendors Operating in This Market
- Government Big Data Solutions Award Nominee: Wayne Wheeles (Sherpa Surfing)
- Alternative Search Engines for the Contemporary User
- FORTUNE Magazine Names Rackspace Among “100 Best Companies to Work For”
- New York City : Blueprint for Cloud-enabled economic transformation
- EnterpriseDB Announces Availability of Postgres Plus Cloud Database
- Load testing the post office
- Java Developer's Journal Exclusive: 2006 "JDJ Editors' Choice" Awards
- The i-Technology Right Stuff
- Creating Web Applications with the Eclipse Web Tools Project
- Eclipse Special: Remote Debugging Tomcat & JBoss Apps with Eclipse
- The Next Programming Models, RIAs and Composite Applications
- Where Are RIA Technologies Headed in 2008?
- SYS-CON Webcast: Eclipse IDE for Students, Useful Eclipse Tips & Tricks
- How to Bring Eclipse 3.1, J2SE 5.0, and Tomcat 5.0 Together
- Eclipse: The Story of Web Tools Platform 0.7
- "Eclipse 3.0 is a Great Leap Forward," Says JDJ's Dudney
- The Top 250 Players in the Cloud Computing Ecosystem
- Developing an Eclipse BIRT Report Item Extension
























