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The new approach to IT management


On the McKinsey Quarterly website, Roger Roberts, Hugo Sarrazin and Johnson Sikes explore a new model for managing IT which combines factory-style productivity to keep costs down with a more nimble, innovation-focused approach to adapt to rapid change.

IT management needs reshaping along these lines, say the authors, because "despite decades of increasingly intensive use of information across industries, IT has remained a black box for many executives. Too often, the link between spending and performance has been unclear, if not problematic".

They add: "As a result, leaders felt that their only course of action was to hire a competent CIO, throw increasing amounts of money at IT, and hope for the best. The economic disruptions of recent years, however, have tightened budgets and placed a premium on action, forcing companies to rethink IT’s fundamental role."

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