IT-Business Value chains revisited (via IT Chronicles)

June 5, 2017

IT Leaders sometimes struggle with how to communicate the value that their team brings to the broader organization.  In his article on IT Chronicles, Mark Smalley shares his framework for communicating the business value of IT investments.  Smalley breaks IT value down into three core components and relates them to the business’ objectives of Valuation, Revenue and Cost:

I think this article provides an interesting framework for communicating IT value, but Smalley only barely touches on Strategic IT Matters. Ultimately, I believe that Strategic IT is where IT Leaders have the greatest opportunity to communicate their value to the organization.  IT Leaders need to be able to translate the Fast / Cheap / Good IT cost perspectives into a measurable business value to the broader organization.

Read the article in the IT Chronicles


I use the terms “IT” and “the Business” because I need to distinguish between two groups of stakeholders.  Ultimately, high-performing organizations don’t distinguish between these groups when understanding value.  Rather, these organizations look towards the value to the organization as a whole.