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February 25, 2003 (Computerworld) -- SCOTTSDALE, Ariz. -- If he were naming a song about his first 18 months in the top IT post at BMC Software Inc., CIO Jay Gardner might call it "Lessons Learned the Hard Way."
Gardner, who spoke yesterday at the Computerworld Premier 100 conference here, held vice president of sales and vice president of operations positions at BMC before becoming CIO. In that post, he said, he basically had to learn from his mistakes.
The first of those, Gardner said, was trying to solve too many problems at the same time. Having reviewed a 2002 Gartner Inc. study of key issues on CIOs' minds, Gardner took a crack at more than a dozen -- too many, as it turned out. He soon switched gears and took direct aim at the top three issues -- aligning IT and the business, providing guidance and leadership about technology to top executives, and proving IT's value.
"These are absolutely the top three things to worry about," Gardner told a packed breakout session titled "IT Governance and Organizational Effectiveness."
"It's not so much about the IT organization, but about how I personally spend my time," he said. How and where CIOs spend their time will reflect directly on their success in meeting their top three challenges, he said.
Topping the issues on which Gardner said he spends the most time are IT governance, people and resources management and IT architecture. Rounding out the list are business alignment and services management. "When all five of these are working together, you can drive good alignment and IT value," he said.
Among the key challenges Gardner faced when he came into the CIO's job was prioritizing the various IT projects under way at the software maker. A companywide survey showed that 128 different projects were already in progress, many of which had no business owner and no return on investment attached to them. In one case, he came across a project whose business owner had left the company several years before and that had an 11-year payback period.
His advice to other CIOs: "Find stuff not to do. Cross off projects from the list."
Gardner follows Gartner's model of classifying projects into four categories: frontier projects that differentiate a company from its competitors; enhancement projects that improve productivity and/or cut costs; utility projects that keep the IT lights on at a company; and infrastructure projects that comprise all of the hardware, software and technologies that run across a company's activities.
BMC is now focused on decreasing services and utility projects and using the money saved to fund more enhancement and frontier projects, he said. In the past year, the company has cut costs on low-level projects by about 20% and increased spending on high-level projects. Now, of the $120 million that BMC spends annually on IT, about $95 million is devoted to enhancement and frontier projects.
Gardner's other key achievement so far has been repositioning IT workers to work on projects for which they have the necessary skills.
"Fifteen months ago, we took a skills inventory and found that we had a lot of talent that was not being used by people in their current jobs," he said. BMC redeployed workers accordingly.
One of the key results, Gardner said: a significant boost in morale.
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