Every Shade of Grey – The New Reality For CIOs


Every-Shade-of-Grey

It wasn’t long ago that the CIO mandate was simple to define.  The role was clear and operational, customers were internal and IT was transactional.  CIOs managed a necessary cost center; not yet the competitive differentiator it has become.  The role of business IT was “clear,” well defined, and not particularly ambiguous. It was black and white.

All of that has changed. The business technology role, and the decisions CIO’s face today are anything but black and white. “The cloud” is a metaphor for not only service and application delivery, but is equally descriptive of how hard it is to see what’s around the corner.  Grey is about as clear as the IT crystal ball gets today.

The digital era is here.  Are you ready?
The digital era is redefining everything it touches. It is transforming business models and disrupting established markets.  The momentum of trends like mobility, data and the Internet of Things (IoT) will continue to accelerate change.  Can you see the future impact to your business, or what you need to support it? Are you ready?

Ready or not, the IT mandate today is to be a strategic, outcome-focused partner within your business.  IT must approach technology systems as revenue catalysts, a competitive differentiator that defines success not by transactions, but by measurable contributions to revenue and efficiency.

There are many legacy barriers, however. Let’s pretend for a moment:

  • That the great recession did not occur
  • That past tech investments are capable of adapting to the digital age
  • And IT processes, skills and resources are keeping pace with transformational technologies and the expectations management and customers

This is a fantasy, of course.

The harsh reality is that for most enterprises, about 80% of IT spend is dedicated to keeping legacy infrastructure running and operational.  Managing the existing network is reactive and manual. It’s a bit like the story of the little Dutch boy and the dam. Duct tape is a great resource, but it’s a Band-Aid, not a strategy.

The infinite question – what’s next?
What’s the next major trend to impact your business, and will you be ready? “Will the decisions made today enable us to adapt and scale quickly? That’s the most important criteria.” said one CIO recently. “What is clear today is that being a customer-focused digital business is essential. The terminally grey question – one without a static or predicable answer – is how.”

While we may not be able to predict the ultimate impact of ubiquitous mobility or big data, we can predict the critical role of the new generation of intelligent network infrastructures to enable it.   Though the future of trends such as SDN and IoT remain hazy, it is clear that the network must be able to automatically adapt to them in milliseconds, not days.  It’s clear that the application economy will demand networks be more than just passively aware, they must be application fluent, intelligent and responsive.  Infrastructure must be designed to anticipate choked data flows and adapt automatically, not force administrators to react and respond to help desk tickets with little more insight than “the network is slow.”

For CIOs, one of the few black and white realities today is the need to be agile enough to adjust to the grey areas of a business landscape in digital transition.

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This article was originally created for Alcatel-Lucent Enterprise, appearing on their blog in July, 2015.

Open letter from a CMO to a CIO (and other IT leaders)


Dear IT,

You and I both know the history of our relationship has not been particularly close over the years. A decade ago we shared few interests, but things have changed. Where once we had little in common, today we need each other to be successful. I hope you agree.

Lately, I‘ve felt the need to share some disturbing and recurring visions I keep having. Understandably, your first thought might be “I hardly know you, why bring this problem to me?” Because you too are experiencing tremendous pressure and changes in your role as CIO, which tells me you can empathize. And frankly, I need to share it with someone who can appreciate my pain.

I hope you’ll hear me out.

I haven’t slept well in months. I keep having these disturbing dreams that when I’m at work, I have blocks of cement on my feet. Every time I try to affect change or adapt to changing customer trends, I can barely move. And, I’m not alone. My team is wearing lead shoes, as are so many others. The dream has different outcomes, but none end well. That’s when I typically wake up.

Again, you ask yourself “Why me?” Let me explain.

As I was reading Forrester’s Digital Business Imperative report the other day, I was painfully reminded of the growing impact digital everything is having on our personal and professional lives. Traditional marketing tactics are no longer relevant and plug-and-play is no longer enough for either one of us. As CIO, you appreciate the steep challenge of digital evolution; after all, you and your teams are on the front lines, defining and managing technology.  Lets be honest with each other, both our classical measures of value are barely relevant today.

Forrester pointedly states how urgently business leaders must harness digital technologies, not only to deliver the digital experience customers expect but also to increase competitive market position. Digital is transforming our business in every way, at a pace that feels like it’s almost overnight. Though the analysts refer to it as “transformation,” it feels a lot more like revolution.

How’s this for revolution – Gartner predicts that by 2017, marketing will control more IT budget and technology than you will? As a marketing leader I find that prediction staggering. I don’t mind telling you that we are not equipped to go it alone. Though I remain unconvinced of their prediction, I do know that we need each other to be successful. We need to work together. I’m convinced it’s time for a reset.

I’ve come to realize lately that we hardly know each other after all these years. In fact, I suspect that our perceptions of each other, our roles and our organizations, are fundamentally wrong.   Though our professional paths have been quite different, customers, technology and digital business are common threads redefining both our professions in ways we never imagined, and insisting we redefine ourselves. To be honest, I welcome the challenge.

Most important, we need to get ahead of the curve strategically, or we will slip further behind operationally and financially. There is a lot of change for us to manage and we cannot continue to bolt new technologies onto old models. So the question before us is how, when and where do we begin?

Sincerely,

Your new best friend,
Marketing
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This article was originally published on LinkedIn Pulse on June 30, 2015.

Are CIOs and CMOs interchangeable?


CIOs and CMOs should know enough about each other’s field of expertise to be interchangeable according to Jim Davis, SAS’s global marketing chief in a recent CMO.com article.

I had to read that statement more than once.

After considering this concept further, I thought to myself why don’t we also add the CFO, COO and CEO into that prototype and include a couple of engineering PhD’s and legal counsel.  Now that is an executive persona.  Clone them into a board of “Mini-Me’s.”

Think of the synergy in that boardroom.  No hidden agendas, no bitter debates or personality conflicts.  The enterprise now has complete strategic alignment across operations, product development, IT, marketing and sales.  Dream team.

Don’t get me wrong; Mr. Davis makes many important points.   As a former CIO his emphasis on technology is no surprise.  To be clear, I agree with the majority of his opinions.  I just don’t’ agree that the CMO and CIO roles could be interchangeable.

In fact, it’s not that I completely reject the ideal of that concept.  It’s just not realistic. Culturally speaking, no one sits at more distant ends of the boardroom than the CIO and CMO, assuming of course that the CMO has a seat.  Their training, skills, experiences and often personalities are polar opposites.

Technology is a tool; it’s not the solution to marketing’s mission.  There is no debate about the unprecedented potential it represents as a production, delivery and measurement mechanism, but to confuse marketing with technology is naïve and doomed to failure. And B2B technology vendors are often the worst offenders.

Marketing has become distracted by technology and automation.

Marketing is ultimately about awareness, communication, persuasion, and audience experience. It begins with a compelling message and story that delivers unique differentiation that your audience cares about. To quote Leo Burnett, effective messaging “does not just circulate information. It penetrates the public mind with desires and belief.”  It is human, empathetic, and most of all, memorable.

These basic building blocks do not come in a box.  The technology and the applications – they are tactical tools for delivery and measurement.  Ultimately success is measured in terms of customer acquisition and retention, not the size and quality of your database or email open rates.

As a technology marketing and content strategist, I agree with Mr. Davis’ philosophy at the tactical and execution level. Marketing does need a better understanding of what’s in the technology box, and how they can use it.  But do not become distracted by it.  Without simple, memorable, inviting messages, it will not achieve the objective.  Garbage in, garbage out, it’s just being distributed more efficiently.

The CMO and CIO are not interchangeable, but the evolution of digital technology does require that their roles and objectives be synchronized and complimentary. The digital age has also created at least one shared reality – it has forever changed the IT and marketing roles. The changes these executives have seen in the past 15 years are unprecedented, turning both their professional worlds upside down.

To succeed as business leaders in this new age, the CMO and CIO will need to transcend isolated and historic roles.  As digital interactions and devices continue to mature the two business groups will become inseparable in the customer experience conversation. Marketing and IT will represent a new business ecosystem that will ultimately be defined and measured by customer experience.

As always, your thoughts and comments are welcome additions to this conversation.

An open letter to marketing


Marketing, you have become distracted; you’ve lost your focus. Somewhere along the way you lost site of your roots and abandoned your heritage.  You have forgotten that content is king, communication is personal and your audience has issues and needs other than your own.  They really don’t care about your goals; it is all about them.  Selfish, isn’t it?

You have been seduced by technology and automation.  It’s understandable, and it’s not entirely your fault. We all listen attentively to the promise of technology.  We wait anxiously for the next digital release and the new roadmap to success. So does your management team.

Marketing, your distracted relationship with technology and automation at the expense of message and story will not end well.  Laura Ramos eloquently captured this in a recent Forrester blog post:

“Once upon a time, there was a little marketer with a big problem. Her sales executives said, ‘We need more leads.’ So she bought a big new shiny marketing automation engine . . .  Stop me if you’ve heard this one before, but I’m sure we all know the end of the story. The marketing engine didn’t live up to expectations because data and content didn’t come in the box”.

I’m waiting for the culmination day when I receive the marketing automation email that simply tells me to fill in the registration form.  No exchange offered, nothing of value for me, just the naked opportunity to give up my email, phone and address information and wait for the telemarketer to call.

Enchanting and powerful as technology is, it will remain a tool and not the solution.  To believe it has all the answers marketing requires is both naïve and doomed to failure.  But there is hope.  Every pendulum swings both ways and ultimately settles into a balanced state.

Marketing is ultimately about communication, persuasion, and audience experience and success is measured in terms of customer acquisition and retention.   It begins with a compelling message and content that delivers unique differentiation that your audience cares about. These basic building blocks do not come in a box; they are inherently human, emotional and memorable.  The technology and applications are important tools for the digital age, but they are the mechanics, devoid of vision and empathy.  Even the technology vendors realize this.

Marketing needs a better understanding of technology tools


Jim Davis is the global marketing chief of technology vendor SAS.  Davis is also a former CIO.  In a recent CMO.com interview he makes a strong case for data-driven marketing and why marketing needs to “think more like a technologist.” He also suggests that IT needs to adopt a more strategic understanding of the business and collaborate more effectively across organizational teams to deliver solutions that align with the business objectives they support.

It is an interesting read and his fundamental message is that marketing needs a better understanding of what’s in the technology box, and how they can use it.  Davis believes that to succeed in the digital age, technology is such an important foundation to marketing success that ultimately the CMO and CIO roles should be interchangeable.  I don’t completely support that position but he makes some compelling points that highlight a dramatic evolution in the marketing landscape

Here are 10 important points from the interview with Jim Davis by Nadia Cameron:

  1. Marketing is increasingly quantifiable.  Analytics will deliver better customer understanding and program insights
  2. Data and analytics support the decision making process, they don’t replace it
  3. Digital channels and touch-points are everywhere and integration is essential to efficiency and consistency
  4. Vendors often lead marketing into the mistake of believing the analytics and automation system just needs to be switched on to achieve results
  5. IT often does not truly understand the needs and requirements of marketing CRM and automation systems
  6. CIOs need to understand what the technology can do for the organization and how it can interact with the customer
  7. One of the common CMO hurdles fully leveraging data, technology and expertise is their relationship with the CIO and IT
  8. Recognize the silos of information within the organization and integrate them
  9. The emerging marketing technologist and data scientist roles can help bridge the divide between IT, the data, and marketing
  10. The future of the marketing-technology relationship is real-time customer interaction, with context and personalized content

Marketing delivery and response has become much more quantifiable.  New tools, new channels and new tactics demand that we rethink our approach to execution.  In the never ending digital evolution, marketing and IT will become increasingly dependent upon one another.  But I have a very difficult time accepting that they will become interchangeable.

Marketing has become seduced by technology at the expense of its true mission – story and message.   We have become increasingly focused on automation, SEO, and Google rankings at the expense of creativity and content.  For marketing there has been no other choice, technology has added new overhead to the process without a matched increase in resources, many in fact working with less.

As a discipline, marketing has been forever altered by digital technologies, turned upside down in many ways.  Is it science?  Not in my view.  Delivery and analytics is heading in that direction and technology is a powerful tool-set, but let’s not forget about what we are delivering through those tools.

Lets not forget about story and message – it remains the true mission of marketing.