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Is Software Change Driving IT
Organisational Change?
Colin Robb
Senior Manager, EMEA Product Marketing
The Good …
“Approximately 90 percent of
mission-critical business
processes have been
automated by enterprise
applications”.
Yankee Group
“For every $1 of discretionary
spending (i.e., new projects
and major enhancements),
up to $5 is spent on support,
maintenance and
infrastructure during the life of
an application”.
Gartner. IT Spending: Its History and Future
The Bad …
“80% of unplanned downtime
is caused by application
failure and operational
process mistakes , costing an
average of $100K an hour”.
Gartner
Over 80% of business-critical
service disruptions can be
attributed to poor change
control processes including
flawed change impact
assessment.”
Stephen Elliot, Research Manager IDC
March 2006
And The Ugly …
TSE managing director Tomio Amano blamed the glitch on a
software upgrade for processing data from securities
companies which was introduced in October
ERP
Anatomy of an Application Failure
Apr 19th, 1 am
App team finally produces
patch that is expected to fix
the invoice module
Apr 12th, 1am
Major Application Rollout
Apr 12th, 12 noon
Invoice module
not working; expensive
manual process instituted
Go
Live
Issue
Apr 19th, 12 noon
Patch brings down
entire finance system
Issue
Most Companies Still Don’t Test Enough
Most companies invest in some form of testing for deployments and upgrades
but basic challenges remain
Many companies don’t test changes properly
Upgrade
or
Consolidation
New
Deployment
Patches
Minor Release
Minor Release
The Pressure of Time on the Lifecycle
No visibility into changes
No time to test
When schedules slip,
testing always suffers first
Upgrade
or
Consolidation
New
Deployment
Patches
Minor Release
Minor Release
The IT Task is Complex and Dynamic!
Business Outcomes
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Business growth
Cost containment
Customer Satisfaction
Increased productivity
Competitiveness
Regulatory Compliance
Risk
Cost
Time
IT Context
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ITIL/CMMi
SOA
Outsourcing/Offshoring
Open Source
Virtualization
Legacy Management
IT Initiatives
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New ERP/CRM
IT Governance
Consolidation
Process Improvement
Service management
Security
Complexity + Change
=
Risk
And, for the last 10 years,
the focus has been on
Time and Costs
Why Don’t We Cope With Change?
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Applications team are focused on Time-to-Market and Cost
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Operations team are focused on service to the business
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QA team are the quality police, but belong to Apps, not Ops
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SOX mandates “Segregation of Duties”
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Several large US companies are changing accordingly, with
the QA team reporting to the Ops team
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Is this a Good Thing?