Technology Business Management, or TBM, is gaining traction as an effective, flexible approach for integrating IT into the organization as a whole. As CIO’s Sarah K. White recently put it, “By implementing TBM, your organization can gain a greater understanding of its IT costs and spending and find ways to reduce costs and inefficiencies, by uncovering unnecessary spending that doesn’t align with corporate strategy. Companies that adopt TBM can foster greater transparency between IT and the business, offering hard data that shows how IT spending benefits the entire organization and specific business goals.”
If that sounds like an approach that could benefit your organization, read on for a few tips to successfully integrate the TBM framework.
- Start with strong leadership. In order for TBM to obtain company-wide buy-in, it’s important that the framework is championed by executive leadership. This includes making it a priority on the corporate agenda and ensuring that ample resources are available to develop each practice area and assist various departments as needed.
- Embrace TBM’s flexibility. According to White, “When you implement the TBM framework, it’s important to go into it with a plan, but you don’t want to overcomplicate the process or take too rigid of an approach.” Focus on a few quick wins in areas in which you already have experience or dedicated resources, and build your strategy from there.
- Build on your cost management foundations. It’s likely that your organization is already doing essential parts of TBM—for example, IT budgets and forecasts or an annual benchmark of IT costs. Implementing TBM allows you to build on this foundation and address these requirements in an efficient, repeatable manner that can mature and scale over time.
- Run IT like a business. As White puts it, “Once implemented, TBM will require you to provide options that solve…business issues and help your organization leverage technology effectively and efficiently in fulfilling its goals. As the IT department becomes more deeply integrated into the enterprise and daily business through TBM, it’s more important to look at IT as a business itself.” This approach helps break down silos between IT groups, ensure alignment throughout the department, and allows you to prioritize areas that deliver business value and shift focus away from those that don’t.
Finally, one of the best ways to ensure a successful TBM implementation is to speak with other executives who have embraced the framework and learn from their experiences. According to White, “Getting advice from other IT leaders and executives on how they manage the TBM framework, what roadblocks they faced and what worked for them can help inform your own TBM strategy.”
Check out her piece here for additional tips and recommendations from companies that have done TBM right.