This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or otherauthorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied,distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates.© 2012 Gartner, Inc. and/or its affiliates. All rights reserved.
Jerry Mechling, PhDVP Public Sector Research
IT Governance – What’s New?
State of Vermont, November 16, 2015
Two most common questions:
• Can and should we cut IT costs?
Answer: Some yes: via disciplined decisions/economies ofscale
• Can we avoid failed projects?
Answer: Some yes: via disciplined negotiation/projectmanagement
Most important question:
• How can we use info to improve govt and society?
Answer: Fact-based decision-making to balance the risks &rewards of new processes and divisions of labor
1
Moon Landings, 1969
1. IT
2. Applications
3. Governance
4. So what for Vermont???
What’s New?
KEY TRENDS: Multiplicative productivity…
• Moore’s Law and Metcalfe’s Law
• 230 (>1B) times more productive since 1969
• 3/4ths of the growth since 2012
• More people, more engagement, greater distances
4
NOW comes the 2nd half of the board…
Tools Now = Nexus + Internet of Things…
Nexus Internet of Things
MANY more connections for action…
MANY more options for data and analysis…
1. IT
2. Applications
3. Governance
4. So what for Vermont???
What’s New?
Action Results
Ob
se
rve
Analyze
De
cid
e
Act
New decision-making and action…
95%
5%
FeedbackDecision
Dom DiMaggio (not Joe)
•.300 4 xs• led AL in runs 2xs• led AL in put outs 2xs• led AL in double plays 2xs
To see the ball, Dom needed glasses...
What’s needed for better results?
Scale andSpecialization
Da
taa
nd
Me
as
ure
me
nt
Modeling andExpertise
En
ga
ge
me
nt
an
dA
lgo
rith
ms
• Faster (Electronic)• More Accurate• More Complete
• Statistics and Remote Expertise• Complex, Higher-level Problems (Maslow's Pyramid)
• Engagement,Accountability
• Algorithms
• From physical to specialized knowledge work• From local to global coordination (manufacturing, services)
New decision-making and digital action…
Action Results
Ob
se
rve
Analyze
De
cid
e
Act 95%
5%
FeedbackDecision
From “smoothing” to “transformation.”
More virtual interactions, deeper change…
OpenGov”t
2000 2020
…it’s more dangerous forgovernments to fall behind.E-Gov’t
Joined-upGov’t
DigitalGov’t
As we learn to use digitalpower and penetration…
1. IT
2. Applications
3. Governance
4. So what for Vermont???
What’s New?
Governance:
the processes of interaction and decision-making among the actors involved in a
collective problem
1. Assess current performance…
• How are we doing (over space, time, problems)?
- Goals: production, productivity, distribution, trust?
- “We” as society, government, agencies, programs
• How do we choose benchmarks, measure gaps, set new goals?
• What should we change? (and who should we work with?)
13
Operations GOALSResultsGAPS
GOVERNANCE
feedback
What changes are best for Vermont?
2. Analyze new (digital) opportunities…
• Standardization/Scale: supports shared services and/or outsourcing
• Specialization: supports learning and individual skills/interests
• Transparency: supports accountability for activities and results
• Reach: supports interactions at a distance
• Search: supports “out of channel” innovative ideas
14
Operations GOALSResultsGAPS
GOVERNANCE
feedback
What new opportunities are best for Vermont?
3. Balance risks and rewards…
Downsiderisks
Upside rewards
What risk/reward balance is best for Vermont?
Value
Now Possible improvement
Pro
ba
bili
ty
Try: “SLOW TRIGGER, FAST BULLET”
4. Decide what to do (and how to decide)...
• Which people: on issues of performance, newopportunities, reward/risk balance, etc.?
• Using what analysis: problem definition, alternatives andcriteria analyzed, information and effort applied?
• With how much authority/influence: none, informed,part of discussion, part of analysis, part of final decision(consensus, voting, sole authority)?
16
What governance is best for Vermont?
NOTE: It’s not just IT and the org chart!!!
1. IT
2. Applications
3. Governance
4. So what for Vermont???
What’s New?
Annual per capita income in 1965 = $511
Annual per capital income in 2010 = $56,000
IT Governance makes a difference…
1. Priorities for every government: disciplined businesscases and project management.
2. Priorities for many governments:
Identify and assemble new feedback (via social, IoT,big data).
Choose new goals (often XB), requiring newengagement and a new balance between center andedge, IT and procurement, IT and general managers.
Use new processes (new specialization and scale, newaccountability and control; agile follow-up).
Leadership must sense and respond…
IT in some places is moving from“support only” to “strategic asset.”
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or otherauthorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied,distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates.© 2012 Gartner, Inc. and/or its affiliates. All rights reserved.
Jerry Mechling, PhDVP Public Sector Research
IT Governance – What’s New?
State of Vermont, November 16, 2015
