The Power of Convergence: Linking Business Strategies and Technology Decisions to Create Sustainable Success

256 Pages·2011·4.485 MB·English

by  Faisal Hoque, Lawrence M. Walsh, Diana L. Mirakaj, Jeffrey Bruckner

The Power of Convergence
More Praise for The Power of Convergence. . . .
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tegic practices in this book, if used within government, will not only
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BrigadierGeneral,USAF(Retired)andFormerWhiteHouseFellow
‘‘Thisbookillustrateshowtobuildablueprintforbusinessandtechnol-
ogy management. Filled with vivid case studies, it is a must-read for
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applied by investment managers to portfolio management. It should be
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abusiness.’’
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‘‘Thisbookexaminestheextentthatonecan focusonbusinessrequire-
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nology,leadingtooveralladvantageousfinancialperformance.’’
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‘‘It’s anage-old, andperennially puzzlingproblem: Whydon’t we getas
muchvalueasweshouldwhenweusetechnologyinbusinesscontexts?
FaisalHoqueandhiscoauthorssuggestfreshanswers.Intheearlyyears
of this new century, this question and the search for its answers have
neverbeenmoreimportant.’’
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CEO,CBS-SIMIExecutiveandProfessor
ManagementofCreativityandInnovation,Copenhagen
BusinessSchool
The Power of
Convergence
Linking Business Strategies and Technology
Decisions to Create Sustainable Success
Faisal Hoque
with Lawrence M. Walsh, Diana L. Mirakaj, and
Jeffrey Bruckner
Research Contribution: Colleagues of BTM Corporation,
Members of the BTM Institute
American Management Association
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Hoque,Faisal.
Thepowerofconvergence:linkingbusinessstrategiesandtechnologydecisionstocreate
sustainablesuccess/FaisalHoquewithLawrenceM.Walsh,DianaL.Mirakaj,andJeffrey
Bruckner.
p. cm.
Includesbibliographicalreferencesandindex.
ISBN-13:978-0-8144-1695-2
ISBN-10:0-8144-1695-0
1.Technologicalinnovation—Management. 2.Strategicplanning. 3.Successin
business. I.Title.
HD45.H66 2011
658.4(cid:2)01—dc22
2010043519
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Contents
ACKNOWLEDGEMENTS xi
INTRODUCTION xiii
PART I BUSINESS/TECHNOLOGY CONVERGENCE 1
CHAPTER 1 THEBUSINESS/TECHNOLOGYDISCONNECT...... 3
The Business/Technology Disconnect Phenomenon 4
Why the Business/Technology Disconnect Continues 13
From Alignment to Convergence 17
The Takeaway: Turning Ideas into Action 21
CHAPTER 2 CONVERGENCE:CONCEPTTOVALUE 23
The Role of Business Technology Management 25
The BTM Framework 25
The Functional Areas and Capabilities of the BTM Framework 27
The Four Critical Dimensions of BTM 32
Advancing Capability Maturity 36
Realizing Critical BTM Capabilities 41
The Takeaway: Turning Ideas into Action 44
vii
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viii CONTENTS
CHAPTER3 THEFINANCIALVALUEOFBUSINESS/TECHNOLOGY
CONVERGENCE 47
Agility, Innovation, and Convergence 49
Constructing the Business Technology Convergence Index 54
The Financial Effects of Convergence 57
The Common Characteristics of Convergence Leader Enterprises
59
The Strategic Roles of Technology 63
The Takeaway: Turning Ideas into Action 65
PART II CONVERGENCE IN PRACTICE 67
CHAPTER4 THENIMBLEGIANTS:HOWCONVERGEDBUSINESSMODELS
DRIVESUCCESSFUL LARGEENTERPRISES 69
The Innovation Imperative: Adapt or Die 71
Architecting Business Models: A Blueprint for Convergence 72
SEA: Architectures to Action 74
Leadership Starts at the Top 79
Advanced Thinking for Better Business Technology Investments
83
The Takeaway: Turning Ideas into Action 86
CHAPTER5 THENEWFACEOFTHEPUBLICSECTOR:HOWGOVERNANCE
LEADSTOGREATERGOVERNMENT EFFICIENCY 89
Inefficiency: The Government’s Claim to Fame 91
Propelling Innovation: The DARPA Way 94
A Process Approach: A Roadmap to Success 98
Governance: Defining Who’s in Charge 99
Metrics: A Measure of Success 103
The Takeaway: Turning Ideas into Action 105
CHAPTER6 SIZEDOESN’TMATTER:HOWSMALLENTERPRISESBENEFIT
FROMSTRATEGICINVESTMENTMANAGEMENT 107
Redefining Enterprises 109
Strategic Investment Management 111
The Anatomy of a Portfolio 114
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CONTENTS ix
PPM: Ideas into Action 117
Pharmaceutical Startup Prescribes PPM 120
The Takeaway: Turning Ideas into Action 122
PART III The Impact of Transformation 125
CHAPTER 7 THETRANSFORMATIONTRIANGLE 127
Why Transform at All? 130
Transformation Is a Process, Not a Destination 132
The Financial Impact of the Transformation Triangle 136
The Takeaway: Turning Ideas into Action 139
CHAPTER 8 CREATINGBUSINESSAGILITY 141
Agility Is the Essential Competitive Element 143
Agility Introduces New Challenges 147
The Anatomy of Business Agility 148
Processes for Agility 151
Technologies for Agility 153
The Journey Toward Agility 156
The Takeaway: Turning Ideas into Action 158
CHAPTER 9 SUSTAINEDINNOVATION:THESCIENCEOFCONSTANTLYMOVING
FORWARD 160
The Anatomy of Sustained Innovation 162
Technology’s Strategic Role in Sustained Innovation 166
Calculating the Innovation Benefit 170
The Takeaway: Turning Ideas into Action 173
CHAPTER 10 DRIVINGOPERATIONALEXCELLENCE 175
The Anatomy of Operational Excellence 178
Underpants Gnomes and the Excellence Journey 183
Modeling the Operational Blueprint 184
Key Steps in the Operational Excellence Journey 188
The Process to Continual Return on Investment 190
The Takeaway: Turning Ideas into Action 193
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