Many CIOs grapple with how to align IT with the needs of their businesses. By de facto, they have to demonstrate the value their role serves and to make sure technology works well within their businesses. However, these CIOs aren't alone. Businesses, in general, have a hard time measuring and quantifying the value of IT and how it affects the entire business. Meanwhile, forces such as a mobile global workforce, the growing dependency on social media, and the push for more utility computing based on service-oriented architecture are driving businesses to converge their IT strategy with their business strategy. This move will fuel growth and will sustain profitability. In a converged company, information, not the technology behind it, is what matters to all constituents the company serves. As a result, CIOs take on the new role of information officer not chief IT officer. They become more involve in strategy planning and in the governance process. Moreover, they look at how technology enables the business architecture and how the business manages the overall investment portfolio. No one knows more about getting out of the alignment trap and moving toward convergence than Faisal Hoque, founder and CEO of BTM Corporation; founder of the BTM Institute, a not-for-profit IT think tank; and author of five books on business technology management. In fact, a decade ago, Hoque conceived and developed a unique holistic business model which looks at the relationship between business and technology in the following areas: governance, strategy and platform, enterprise architecture, investment management, and the maturity of the overall management structure. The result is a converged organization where business and technology come together to drive innovation, which, in turn, fuels growth and profitability. In this podcast, Hoque provides a good overview of the organizational changes and the philosophy changes CIOs need to consider if they want to transition from alignment to convergence. He also talks about the BTM Institute's Business Technology Convergence Index, a five-year study that quantifies the relationship between the way global companies value their technology investments and the companies' revenues and profitability. He says, "Companies with mature converged business technology management practices, such as FedEx, UPS, and Procter & Gamble, have better financial performance than their competitors. Think about it. Today, both FedEx and UPS are information services companies, not just movers or packages and trucks."
