Eliminating the Innovation Disconnect
Software vendors' concept of "innovation" is quite different from that of today's CIOs. Understanding the "MAGIC" framework for CIO innovation can help close some of the gap.
By Vinnie Mirchandani, Deal Architect
Sep. 25, 2006
CIOs, like most business executives, are under intense pressure to innovate as global competition intensifies.
But as I talk to CIOs around the country, it is becoming clear that their views on innovation are very different from those of software vendors. They do not want to be "spoon fed" innovation. They are irritated that vendors think there is a magical budget called "innovation" that they can just open up and spend. They want building blocks they can use and adapt to their own vision of innovation.
Flip it around. As I speak to startups in the Valley, I hear a lot of excited talk around Web 2.0 and social networks. They work with their investors and talk to other companies in the Valley who are all dreaming similarly.
But when I ask them about how many CIOs have vetted their ideas, the answer often is,"The CIO does not matter. The CIO just doesn't get it - he's too old-fashioned. We will go straight to the business executive."
As I talk to established software vendors, they are more respectful of the CIO, but they mostly talk about services-oriented architecture (SOA) and all the good that is about to come down the 'pike. The fact that those turnpikes mean years of driving seems lost on them.
The good news is there is lots of technology innovation going on. So much so that I started a separate blog called New Florence. New Renaissance. last year to describe how technology is reshaping work, life, play with mobile apps, predictive analytics, virtualization, RFID, GPS and many other new technologies.
That's also the bad news: a CIO can only do so much. It isn't just about software - there are telecommunications, hardware and services vendors out there also pitching innovative solutions.
And then there is the ultimate reality check: Deploying something new usually means stalling "keep-the-lights-on" spending which sucks up 60 to 80 percent of most IT budgets and compliance spending which eats up another 5 to 15 percent of IT budgets.
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But as I talk to CIOs around the country, it is becoming clear that their views on innovation are very different from those of software vendors. They do not want to be "spoon fed" innovation. They are irritated that vendors think there is a magical budget called "innovation" that they can just open up and spend. They want building blocks they can use and adapt to their own vision of innovation.
Flip it around. As I speak to startups in the Valley, I hear a lot of excited talk around Web 2.0 and social networks. They work with their investors and talk to other companies in the Valley who are all dreaming similarly.
But when I ask them about how many CIOs have vetted their ideas, the answer often is,"The CIO does not matter. The CIO just doesn't get it - he's too old-fashioned. We will go straight to the business executive."
As I talk to established software vendors, they are more respectful of the CIO, but they mostly talk about services-oriented architecture (SOA) and all the good that is about to come down the 'pike. The fact that those turnpikes mean years of driving seems lost on them.
The good news is there is lots of technology innovation going on. So much so that I started a separate blog called New Florence. New Renaissance. last year to describe how technology is reshaping work, life, play with mobile apps, predictive analytics, virtualization, RFID, GPS and many other new technologies.
That's also the bad news: a CIO can only do so much. It isn't just about software - there are telecommunications, hardware and services vendors out there also pitching innovative solutions.
And then there is the ultimate reality check: Deploying something new usually means stalling "keep-the-lights-on" spending which sucks up 60 to 80 percent of most IT budgets and compliance spending which eats up another 5 to 15 percent of IT budgets.
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