IDG News Service - What keeps technology executives up at night? Cost control and disaster recovery are among the top items weighing on CIOs and chief technology officers, according to the Technology Leadership Council, a recently formed group of IT executives that will kick off its 2002 forum schedule March 5.
Alignment of IT with business strategy and leadership on the part of IT executives are more important than ever in a business climate reeling from the Sept. 11 terrorist attacks, plunging corporate revenue and the Enron Corp. accounting scandal, according to the organizers of the council.
The council, chartered as a peer-discussion forum for technology leaders, is being organized by Hunter Management Group LLC (HMG), an IT business strategy consultancy in Westport, Conn. Council members and technology executives the world over are under more pressure than ever to ensure that IT delivers a competitive edge for their corporations, according to Hunter Muller, principal of HMG.
The council is being organized according to a quarterly forum format. In advance of its 2002 meeting schedule, the council has drawn up a list of issues it expects to discuss (for a complete list, visit HMG's Web site). Tech executives who aren't permanent members of the council can participate in individual meetings.
"CEOs and the CFOs [chief financial officers] are in a tough spot, and that tough spot is that for the first time in a long time, earnings growth is not clear," Muller said. "The CIO has to be focused on shareholder value."
Technology executives are also expected to participate in corporate governance, as company finances come under increasing scrutiny after the collapse of Houston-based Enron and recent reports of questionable accounting practices at various IT vendors and telecommunication companies.
"The responsibilities of the CIO now overlap with the responsibilities of the CFO and CEO -- in terms of vision and strategy to the market, and governance of IT spending -- creating a convergence of responsibility and accountability at the executive level," Muller said.
IT executives are expected to strip costs out of the technology infrastructure, but they can only do this effectively and responsibly if they are integrated into the business executive team, Muller said. This is why IT executives are increasingly under pressure to adopt business leadership skills, he said.
Industry analysts agree.
"Senior executives at the CxO level, including technology executives, need to align with overall business," said Anna Danilenko, consulting services program manager at Framingham, Mass.-based IDC. For example, Danilenko said, "Initiatives need to be put in the context of the firm's
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