Banking &Finance

 

If you are an executive at a financial-services firm, you probably recognize the benefits of an embedded IT operating model. You also know that implementing it won’t be easy. You will face organizational challenges, such as the realignment of teams and new processes for investment decisions. Your company will need to recruit and train employees to have specialized hybrid skills: client services managers with tech expertise, service managers with business application experience, and so on. Moreover, the firm’s culture will likely have to value collaboration more than it does today. The blurring of the line between business and technology means that leaders on both sides of the divide will be responsible for business performance and outcomes.

Here are four steps that you can take to begin the process of building an embedded IT organization:

Step 1: Assess your current IT operating model to determine how much change the new model will entail. Is your IT structure traditional, agile, or a combination?

Step 2: Identify key pain points. Is the business happy with IT’s performance? Is IT delivering the right set of capabilities at the appropriate cost and pace? If not, what is not working well?Step 3: Define a case for change. Articulate the vision for the future and identify tangible benefits, a time line, and investments required. Get buy-in from business, operations, and technology.

Step 4: Identify five to eight key initiatives and draw up a development road map. What initiatives are needed to transform a legacy IT organization into a next-generation IT player?