People of a certain age might remember the Road Runner cartoons from their childhood. In each episode, Wile E. Coyote suffered numerous accidents attempting to snare the bird using products from Acme, Inc. Aside from the opportunities for a product liability lawsuit, I always wondered why he didn’t just quit buying from them.
Sometimes I wonder the same thing about IT organizations and the business units they serve. How many business units, given a choice, would choose their own in-house IT as their provider?
Recent research by Cisco (as reported on CIO.com) suggests that quite a few would not:
Consulting with CIOs and analyzing network traffic in a set of large enterprises in a variety of industries, Cisco determined that the typical firm has on the order of 15 to 22 times more cloud applications running in the workplace than have been authorized by the IT department.
And by Cisco’s tally, there is quite a bit that CIOs aren’t seeing. On average, CIOs surveyed estimated that there were 51 cloud services running within their organization. According to Cisco’s analysis, the actual number is 730.
And it cuts across sectors. Even in highly regulated industries such as healthcare and financial services, Cisco found between 17 and 20 times more cloud applications running than the IT department estimated.
What’s worse, many recommend heavy-handed tactics on the part of IT to deal with their “unruly” customers:
Now, note the potential benefits, “…can improve productivity and collaboration with little or no financial cost to the company…” versus the potential downside, “…corporate data may be put at risk or even lost if the employee leaves the company”. Given that both are valid, it would certainly make sense to evaluate the risks involved and whether they can be mitigated. Instead, a draconian knee-jerk is recommended.
The advice to tighten controls on users and consider replicating applications in-house where necessary is laughable. IT traditionally has a customer service problem to begin with, getting stricter probably won’t help. You would also think someone would have noticed that offering to replicate products in-house seems like an empty promise when the reason for going outside is that IT isn’t able to provide what’s needed. It seems like piling on to mention that replicating commercially available services probably won’t make a CIO seem very business-savvy.
Building trust in the process and trust in the product would be a good start to making the customer a partner rather than an antagonist. Or you can rely on their being forced to use you. Monopolies can be a sweet deal…while they last.
Would you buy what you’re selling?