IT Leaders Discuss the use and value of Executive Scorecard

One of the things that we try to do at HP is listen to our customers. Often times this is accomplished around events. Today @HP Discover, we met with IT leaders from several companies regarding their use of Executive Scorecards. Each had a story to tell on the value of the product.

 

Medical company says Executive Scorecard moves them from an order taker

One leader said its use of scorecard started from the need to drive the resilience of the IT environment. “Last year, we had a major outage.” From that moment on, the C suite understood that IT actually had value! Prior the goal was just to keep IT up and running. Afterward, the goal was to keep the business up and running. And the business side became the priority within IT. This, of course, meant that IT needed to demonstrate they were in control of managing business performance. As they have forcibly matured, they have started using the Executive Scorecard to determine single points of failure and to drive in period behavior change. They are, also, using Executive Scorecard to measure external providers and to create a business view, as discussed above, into IT performance. At the same time, with Executive Scorecard, they wanted to move our people to a more proactive role. In the last several years, we in IT became factory oriented, but prior to this we were in effect business consultants. “With automation and better measurement through Executive Scorecard, we can go back and be more responsive business consultants again", he said. “Putting it differently, we want to move our relationship with the business to move from order takers to thought leaders,” he said.

 

Merged company says Executive Scorecard helps them demonstrate efficiency and effectiveness

The IT leader for this company had numerous challenges in demonstrating that they were efficiently and effectively running the business of IT. This year they need to accomplish the following: 1) 25% reduction in annual maintenance, 2) a 30% reduction in labor, and 3) a 30% reduction in support costs. And at the same time, they needed to demonstrate that they are actually improving working processes for the combined organization. Wow! This included the need to get more flexible and agile and get closer to the corporate go-forward plan. And at the same time, they need to respond to the needs of the emerging workforce. There is a lot of work to do here with less resources and money. Executive Scorecard is how they we will prove to management their efficiency and their effectiveness.

 

Healthcare insurance company uses Executive Scorecard to demonstrate smarter decision making

This person works at a large medical insurance company. They need to get to best practice and respond to the healthcare reform act. This means having a way to deal with compliance and corporate audits. “We need to show now that we support the board and IT.” Amazingly, they have automation tools for Service Level Management, but for management, they still manually do excel-based reporting for SLAs. We want to get rid of the manual labor and move this to Executive Scorecard. We need this information on the fly. Even more interesting, this IT leader said that they have moved to having his department use scorecard so that everyone is driving to goals. I want to get after the value of technology. This way we can make smarter decisions of what to cut. We want to show the value of the applications to the business. For me the scorecard is about value of data-based decisions.

 

Casualty Insurance Company uses Scorecard to show it really delivers process excellence

This insurance company is being focused by market conditions to improve its efficiency. We needed a rally point for this effort and Executive Scorecard in our mind is the rally point. We have, also, needed to centralize our IT business intelligence. For example, we had seven different tools being used to measure PPM. I am using scorecard to create a reporting center of excellence. When we started scorecard, we noticed something very interesting. We had KPIs that had zero in terms of result and this caused us to realize that we have people that were not following a process and were not filling several important fields. In terms of usages, they are using it to improve project execution, service delivery execution, and customer satisfaction. We need to improve the business of IT, showing its affect of business productivity, and the reducing risk to the business.

 

Related links:

 Feature:  Peak performance demands precision control

Solution page:  IT Performance Management

Twitter: @MylesSuer

Labels: IT strategy
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About the Author
Mr. Suer is a senior manager for IT Performance Management. Prior to this role, Mr. Suer headed IT Performance Management Analytics Product ...


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