Making the best of the worst of times

This year marks the 150th anniversary of the publication of Dickens’ A Tale of Two Cities, which begins with the celebrated line: “It was the best of times, it was the worst of times” ­ – words that we might apply to the pressures on business leaders today.

We all know that times are tough –­ businesses are facing serious cost-cutting demands.

However, difficult times often give birth to very good ideas and businesses must achieve a balancing act between paring down their IT costs and paring them down too far and in the wrong places.

The challenge facing CIOs is to address immediate budgetary constraints while also identifying and capitalising on the opportunities that could build a better, stronger business for the future.

But where do such opportunities lie? At The Corporate IT Forum, we have always held that IT, like any area of the business, is largely about people. We believe it is the people who can make the difference in the successful implementation of IT and ultimately, to a business’s future success.

Having the right technology is important, but just as necessary is having access to and investing in the right people who understand how business potential can be delivered through technology.

After all, it’s not the IT itself but what you do with it that makes the difference ­ – and it is only people who can have this effect.

Right now, having the right people and retaining the right skills are more important than ever.

So who are these people? First and foremost, they are businesspeople who have a strong focus on driving business value from IT. Their focus is not on the technology, rather on how the technology can be used to deliver better business performance or create new openings. They are the people who can increase the speed of business or dramatically reduce operational costs ­ – who can move a business to a different place and reach a bigger or different market.

Today, UK firms have access to an excellent pool of talent and experience. The globalisation of IT, together with the trend towards the outsourcing of many commoditised technical roles, means most people in IT in the UK have strong management skills and keen business acumen.

The transition from commissioning servers to the provision of services means IT teams are better placed to understand what you do, how you want to do it and which technological components are best suited to your requirements.

These people appreciate how technology can be used to drive innovation and to help firms diversify and grow ­ – and they could prove a major asset in the downturn.

So, if you are searching for the differentiator that offers you competitive edge, the application of IT by those who understand it and who can marry this to business may point the way.

In these turbulent times, it is vital that companies are careful not to sacrifice the skills they will need in the long term. It is important that executives recognise the potential that exists within their teams, to ensure that when the economy improves, their company is ready first.

It could even be suggested that reducing, restricting or letting go of that capability ­ – even though it may meet short-term budget demands and targets ­ – could damage long-term prospects.

Plus, firms looking to invest right now have a significant opportunity to pick up the kind of skills that can build their business ­ – and to do so more cost effectively than before. Indeed, after the recession such skills are likely to rocket in value.

Even during the worst of times, there are companies that will innovate, change and progress.

Investing in the right areas today could lay the foundations for a strong return to growth.

Ollie Ross is research manager for blue-chip user group The Corporate IT Forum