IT Human Resources research and best practice

Last updated: 28 March 2009

Structuring the IT function:
Dilemmas and themes in the design of the IT organisation
Product Ref 3009/2

There is no shortage of material on IT organizational issues. But in reviewing the field we were very surprised to see how little of such material discusses the practicalities of the IT function's structure - so we decided to fill this gap ourselves. We combined the discussion of structure with the benefits of real-life experience in the design and restructuring process itself.

This Briefing is the result: 115 pages of editorial content with numerous diagrams, org charts and examples. But just as relevant as the discussion about structural options is our discussion of the re-structuring process based on real experience of restructuring major IT departments.

For an overview of our treatment of the subject, read our article.

Here we reproduce the contents pages:

A. Introduction
  A1. Does structure matter?
  A2. Some notes on IT organization design
  A3. This Briefing
    What we do not cover

B. The classic IT organization structure

  B1. Variations on the classic theme

  B2. Benefits and flaws

C. Factors in IT organization design

  C1. Business structure

  C2. Leader-partner-supplier roles

    IT as leader

    IT as partner

    IT as supplier

  C3. Efficiency

  C4. Effectiveness in delivery

  C5. Learning and skills

  C6. People aspects

D. Some IT structures and themes

  D1. Centralized-Devolved (C-D) IT models

  D2: Long-term trends in the use of C-D models

E. The centralized model (C-D1)

  E1. Usage

  E2. Typical organization designs

    The organization of the development/ business application areas

    The organization of computer services & infrastructure

    The organization of strategy and planning functions

  E3. Governance and the Business-IT relationship

    Business-IT liaison roles
  E4. Making this model work

  E5. Real-life examples

    Example 1: An energy company
    Example 2: A telecoms company
    Example 3: A local government organization
    Example 4: A manufacturing company

F. The virtual devolved development model (C-D2)

  F1. Usage

  F2. Typical organization designs

    Organization of business application areas

    Organization of computer services areas

    Organization of strategy and planning areas

  F3. Governance and the Business-IT relationship

  F4. Making this model work

  F5. Real-life examples

    Example 5: An insurance company

    Example 6: A banking group

G. Devolved Development (C-D3)

  G1. Usage

  G2. Typical organization designs

    The organization of local IT functions
  G3. Governance and the Business-IT relationship

    Local governance
    Centrally-led decisions
    The power of the Group CIO
    Governance in integrated companies
  G4. Making it work

  G5. Real-life examples

    Example 7: A construction materials company

    Example 8: A global consumer company

    Example 9: A Region within an oil company

H. The central framework only model (C-D4)

  H1. Usage

  H2. Typical organization designs

  H3. Governance and the Business-IT relationship
    Setting general strategies
    Making decisions on specific projects
    The nature of relationships

  H4. Making it work

  H5. Real-life examples

    Example 10: A hospitality group

J. Relationship management

  J1. What is it?

  J2. Usage

  J3. Typical organization designs

    The Relationship Manager's team
  J4. More complex models

    The account team concept
    The "broker" model
  J5. Making it work

  J6. Real-life examples

    Example 11: Account Management in a business group

    Example 12: Account Management in a transport business

K. Resource management

  K1. What is it?

    Why separate out resource management?
  K2. Usage of the resource management model
    Quantitative aspects: churn
    Churn and resource management roles
    Resource management in consultancy
  K3. Usage within IT functions

  K4. Typical organization designs

    The single resource model
    More complex arrangements
    Planning and resource allocation
  K5. Making it work

  K6. Real-life example

    Example 13: Resource Managers in manufacturing

L. Project management

  L1. Why IT projects fail
  L2. Organizing the IT project
    The infrastructure project
    Project governance
  L3. Organizing project managers
    Project management: role or job?
    Project management as a role
    Project management as a separate job

  L4. The project office
    Core support services
    Extended support services
    Reporting lines
  L5. The project services function

  L6. Real-life example

    Example 14: Project Management in financial services

M. Some other aspects

  M1. Globalization

    Global forces on IT
    Organizing to deliver economies of scale

    Organizing to deliver global information

  M2. Outsourcing

    The outsourcing contract
    The structural implications
    The strategic HR impact of outsourcing
  M3. The impact of e-business

  M4. HR, Finance and other support to IT

    Finance

    Human Resources

N. Managing structural change in IT

  N1. Ground rules

    a. Focus on the benefits

    b. Drive the project from the top

    c. Build in involvement

    d. Acknowledge personal agendas

    e. Plan the communications

    f. Sketch out key processes

    g. Tackle the detail

  N2. The shape of the organization redesign project

    Phase 1: Clarify top-level options

    Phase 2: Finalize top-level jobs and appointments

    Phase 3: Clarify middle management options

    Phase 4: Finalize middle management jobs and appointments

    Phase 5: Creating the work teams

  N3. Project time-scales

Appendix 1

  Organization and job design

    Job design
    Organization design

Appendix 2

  Complete list of IT functions within an energy company

Appendix 3

  The high level organization design process

    High level design
    Phase 1 design
    Phase 3 design
    Deliverable: job profiles

    Deliverable: high level process maps

    Deliverable: function maps
    Deliverable: evaluation of options

Appendix 4

    Checklists for organization designs

 

Interested?

Contact us on 020 7544 8692 or email Iain Smith using our standard syntax of

              initial.surnameatdiazresearch.com

replacing 'at' in the above string with the usual '@' symbol.

(We put email addresses this odd way because reproducing proper addresses would result in us getting large quantities of automatically generated SPAM!)

(c) Diaz Research Limited

Back to home page

 

(c) 2002-2009 Diaz Research Ltd, London     Privacy      Contact us