May 30, 2023

Technology Business Management: Manage IT Like a Business

Published May 21, 2023, 10:20 a.m. by Naomi Charles

In today's business world, technology is king. It's what drives innovation and growth. And, like any business, it needs to be managed effectively to be successful.

That's where technology business management (TBM) comes in. TBM is a framework that helps organizations optimize their investment in technology and align it with their business goals.

Broadcom Infrastructure Software is a leading provider of TBM solutions. We help organizations of all sizes manage their technology portfolios, align IT with business goals, and optimize their IT spend.

Here are three tips for managing your technology business:

1. Define your business goals

Before you can start managing your technology business, you need to define your business goals. What are you trying to achieve? What are your top priorities? Once you know your goals, you can start aligning your technology investments with them.

2. Manage your technology portfolio

Your technology portfolio includes all the technology products and services you use. To manage it effectively, you need to understand how each technology contributes to your business goals. Then, you can prioritize investments and make sure you're using the right mix of technologies.

3. Optimize your IT spend

Once you've aligned your technology investments with your business goals, it's time to optimize your IT spend. This means making sure you're getting the most value for your money and using your resources efficiently.

Technology business management is essential for any organization that wants to get the most out of its technology investments. By following these tips, you can start managing your technology business more effectively and achieving your business goals.

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all right another great presentation a

little bit of housekeeping first so if

you have your CA world mobile app you

can go to interactive sessions select

this session and then you can click on

participate and enter in questions

through that and if we get some time at

the end of the presentation I can ask

some of those questions to our speakers

so just know that that's available at

this point in time I would like to

introduce this presentation so this is

from a CA standpoint this is perfect

where we're delivering the software we

have a partner involved in in this case

it's Deloitte and then we have the

Deloitte working with a customer so a

perfect scenario for one for us one that

we really endorse we have two speakers

here today we have Chris Garibaldi from

Deloitte E as a partner at Deloitte and

we have Rick rosensteil from exelon and

I'm going to turn it over to Rick and

they're gonna get started thank you

gentlemen very good welcome everybody my

name is rich rosensteil I work for

exelon Corporation if you don't know

what exelon is it's an energy holding

company it owns assets in 47 states here

we have three major utilities one in the

Chicagoland area one around Philly and

then Baltimore and we're currently in

the process of acquiring three more

utilities so fairly large company with a

lot of merger and acquisition activities

going on I'm the IT Director for ComEd

so my responsibilities are directly over

one of the utilities and how we manage

the technology for that utility and how

managing that also cuts across the

enterprise with that Chris I'll turn

over to you I'm Chris Garibaldi I'm a

partner in Deloitte's technology

strategy practice I lead our project

portfolio management practice if you're

familiar with ppm clarity is the tool

that usually facilitates ppm engagements

and I built that practice for Deloitte

over the course of the last 11 years of

my career and one of the things that

we're going to talk to you about today

is not just project portfolio management

but we what we consider the next

level of IT portfolio management which

is technology business management and

that's generally the gist of this

presentation today is if you're doing

ppm or if you're doing some of these IT

disciplines how do you take it to the

next level and actually start running IT

like a business so we'll get into that

and hopefully have some good

conversation with you throughout so

essentially our agenda today talked

about the value of the offering TBM

helped define it for you a little better

so you better understand what it is and

you'll see some very familiar components

within it so we'll define what the

difference is between maybe what you

have in your organization and what true

technology business management is and

then talk about how if you want to take

the next step with TBM how you take that

journey so one thing we wanted to first

bring to light is what's the value of

doing this so there's the management of

IT but why would we take it to a

portfolio level why would we do

technology business management so here

are some items we'll just highlight a

few one of the things that we've seen

consistently from anyone who an

executive who takes control of their IT

portfolio or any manager who knows what

they're doing with an IT and has that

command and visibility is that they

suddenly become a trusted partner to the

business and so many times I come into

an IT organization and they say well the

business says that we never deliver

anything that's a big struggle for us

and then at the same time IT says the

business doesn't know what they want

well technology business management

builds the platform to be able to have

that conversation and be a good business

partner in iodine to that Chris so again

excellence a large utility which has

been around for a hundred years long

before technology was really you know as

powerful as it is today and there's

still some of that old-school thinking

at the utility that IT is really just a

service provider what the company really

does is deliver

electrons create electrons all of that

which is true but it's so dependent

today on technology that even the

operators of the grid realized that IT

is more than just a service now

we and I'd say this has happened over

the last couple of years we've become

partners to identify opportunities to

make their operations more efficient

meet some of the key performance metrics

that they have and to come to them you

got to have credibility I think that's

the one thing that if I had to look at

the value here on this bullet is that

coming to those business partners which

have been around a while and they really

aren't you know sold on i.t all the time

really being able to come and talk about

how you're running your operations as a

business not just an order-taker for

them and also that the other bullet will

highlight really has to do with IT costs

so one of the first projects or the

first project that I got involved with

my I started the portfolio management

practice was helping a CIO justify the

cost of IT to the business and giving

that business of visibility of what IT

cost for them so that they can help the

CIO reduce cost and actually by virtue

of being able to have command over the

cost of your organization and explain

explicitly what those services were and

why they cost what they cost that

actually increased that CIO is overall

budget while they did make cuts to

things that the business didn't think

was valuable the business said wow

that's fantastic this is a valuable

exercise now I know every dollar I spend

with you is spent on something that I

care about just as much as you care

about so managing that overall cost

portfolio is really effective to

building those relationships and having

command of IT you know I'll just hit one

more point here the significantly

refunding costly application portfolio

so about ten years ago one of the vice

presidents came to me and he goes I

don't know what a server is but I know

we got too many of them so it probably a

lot of you having experienced similar

conversations where there's a continuous

push to reduce those costs make things

very effective and is efficient on the

IT side so again when you look at all of

this data that we have and a lot of you

are probably doing the kind of things

that Chris is going to talk more about

and will discuss here you're doing them

in kind of bits and pieces and in silos

but once you can really start to pull

that together there's real value for

reducing costs so we talked a little bit

about value let's talk a little bit

about wrong button

what TBM is and really it's about

running IT more like a business and it's

building on a concept that's not brand

new it's a concept that's actually

fairly old or has been with us for

several decades now and that's the the

ERP concept so I think of the 70s this

whole idea of having command up your

overall business your business resources

and and managing that all with an ERP

solution was where the fruition of that

particular concept and throughout the

years that's been implemented in several

companies the issue with doing ERP for

IT which is what Deloitte actually

originally wanted to title this offering

is that that has a terrible connotation

ERP for IT sounds expensive

it sounds long term it sounds like

there's going to be a lot of patience

before there's any payoff and that's

definitely not what we wanted to offer

in terms of installing a capability a

TBM capability within an organization so

while the concepts of ERP definitely

apply to technology business management

what we've tried to do is change the way

that you would implement these

capabilities with an organization so

that you are doing less to lighten the

organizational impact and then also more

quickly getting value and proving to the

business that there is a value to IT

being more of a business management

organization and not just being a cost

center and you'll see here the core

concepts of ERP are then again being

applied to TBM and replies resource

management real-time visibility process

efficiency of course and then a closed

loop system which you'll see visually as

we go through describing what TBM is in

detail and now this hit on one up there

Chris saw the leveraging the use of

scarce resources I think again all of us

probably deal with this on a day to day

basis oftentimes we think about that as

the the folks who do the work which is

certainly one of the research

we have but the assets that we have can

we reuse them for another purpose can we

put a different application on a similar

type of a box do we have bandwidth on it

and then certainly the money most of us

pray operate under budgets that are very

tightly controlled so you only have so

much to get what you want to get done

and we're trying to maximize all of

those resources without burning them out

as it were exactly now the core

components of technology business

management are listed here many IT

organizations are actually already doing

these things IT Financial Management

project portfolio management service

management application portfolio

management and lifecycle management

these concepts are typically installed

in every IT organization to some degree

whether that be in an enterprise closed

loop system which is fairly rare or

being done here and there using various

systems or spreadsheets or Microsoft

Access databases there's some form of

tactical management to these disciplines

but what I think IT organizations are

shorting themselves on is the value that

comes with tying this information

together to structuring this data so

that you can have command of your

organization and then again bring that

information to the business and partner

with them on how to most effectively run

IT for the business and the picture here

that we show is this is how we would tie

those things together so regardless of

whether or not you have those

disciplines the question really is are

those disciplines here integrated in a

fashion so that that information can be

used at the portfolio level for the

executives and the other thing that's

that's nice about this system is that

when the executives focus on what

information they really need it's really

not that much detail and a lot of IT

management because we like geek out on

things we like to get to a level of

minutiae that's just not required for

executives and unlikely isn't required

at the tactical management level either

so it's really the trick here is making

sure that structured information gets to

the top and it's trustable

but then also removing a lot of the

minutiae of IT

management administrative overhead

that's not required to drive a lot of

values so we'll go through these

components and then rich is going to

give us some use cases from his life

running excellent IT so in demand

management you have requests coming in

and you're going to triage those

requests prioritize those requests

decide whether or not you're going to do

them build business cases for some in

some case and when you decide that you

are going to do something you're gonna

move those requests into the execution

phase and that comes in the form of

maybe a project maybe that project is an

application once that applications up

and running it'll enter your application

portfolio so you'll work through this

cycle the others maybe it's just a

service that you're providing for the

business and that service then is

granted fairly quickly through demand

and then you deliver it on the back end

you have results management so this is a

even more mature concept than tying

together the rest of these disciplines

results management is not just looking

at your KPIs understanding whether or

not a project was on time or on budget

but really grading something after the

point of delivery for years to come did

it really meet the business case that we

promised up in demand did we get that

return that we said we could and did the

business get the value out of it that

they committed to this is about making

them take accountability for the things

that I teach delivering and then

measuring that and the next time they

bring you an ID and the demand cycle

reminding them oh the last time we did

this it didn't drive a lot of value why

would it change now I mean that's a

valuable thing to advise your business

so they could say you're right you know

this is a this is always a hot idea but

with the low yield so let's think about

investing somewhere else you know so

I'll touch on it a little bit if you

don't mind just real quick so something

from your last slide crisper he said you

don't have to do a Big Bang I think the

first time you and I worked together

about six years ago we did a lot of this

for the company

ComEd and pìkô versus IT but we had a

very mature financial management system

within the company but it was totally

isolated from project management from

lifecycle management etc and over the

last couple of years we've been building

out those processes oddly enough we

don't have a very well-defined demand

management process yet so although it

it gives you an idea that you have to do

to man first actually as long as you

have a process you don't have it don't

have don't have to have it as well oiled

as maybe some of the other pieces but

ultimately what you're really looking

for is that top piece oh sorry Chris I

just want to jump oh yeah and and of

course this rich points out and this is

a term I learned from working with

Richard exelon you want your pipes and

wires in place and structured without

leaks and you want your information

trustable so that the key is not do we

do these disciplines but do we have them

tied together without leaks and can we

trust that information can we get it up

to the portfolio level that's where is

rich pointed out you do your financial

management where you manage your

resources where you govern your overall

organization your the the portfolio the

TBM portfolio manager is now subscribing

to all of this activity that's being

delivered below and the pipes and wires

and actually getting value out of it

value for the business and valuable

conversations with business executives

not just how many servers do I have and

what applications are in our portfolio

but what are the cost of those things

what is the business value who actually

uses those have those types of

conversations and whether or not they

actually delivered what they promised

when you take a look back at the

business case so really up in the

portfolio you should be able to make

better decisions about what you decide

to do or decide not to do what you

bolster or cancel with an execution and

then how you better measure those things

in the future by feeding that

information down into these different

pipes and wires so just to take it a

little bit further so one thing I think

years ago exelon ComEd was a electric

utility run by engineers then it became

operators about five ten years ago it

became an accounting firm that happened

to produce electricity because the

financial controls are so tight we have

to report to our regulators every year

we have to show due diligence on the

spend we have etc and our business looks

at finances obviously on next year's

budget two years out they look very

carefully they actually go out to five

years and they expect IT to be able to

do the same thing

now we're generally pretty good knowing

what we're gonna do next year

we're okay that two years out and then


last three years today we're pretty much

guessing and the business that takes

away some of our credibility because

they're like we'll hold it two years ago

you said that your budget could be sixty

million dollars now you're telling me

it's needs to be 75 to do all this work

how come you didn't know that two years

ago so that's some of the expectations

that we have to live under and what I

see some of the value for our company in

particular of having this kind of more

I'll call blown out processes that

really give us insight into the IT as a

business yeah absolutely and I think

being able to predict the future or at

least plan the future also comes with

the value of being able to look back

being able to see the history of what

you've done what was effective or what

you've had to do over the years

understanding the roadmaps as we were

talking earlier you know the roadmaps of

various applications and how is that

going to impact our overall business and

then you have that information where you

can actually plot out the next several

years and understand the cost of that so

a question I commonly get is when we

review the racetrack actually let me go

back one more point we call this a

racetrack diagram just because it looks

like a big racetrack and our clients

affectionately named it that we show

this to clients I get two reactions one

is they do feel like this is an accurate

representation of what a utopian TBM

organization would look like but the

second is extreme anxiety because they

say boy we just don't have the stomach

to put all those things in place and

that looks really expensive and there's

no way that as a cost center we're gonna

ask the business for IT for IT budget in

order to put this in place and really

the the message I have for you is I'm

not trying to get you to do all of these

things to the highest level of maturity

the thing I think you should do is think

about what the least amount of these

things you need to do at the lowest

level of maturity to actually drive

value and you'd be surprised at how

little you need to have command of to

have an extremely effective conversation

with the business about costs about a

strategic alignment about making good

investments for the business and running

the business of IT so it's not a

tremendous effort even in the largest

organ is a

to do this and have command over a

thread of this that will drive really

valuable conversations and then as you

cycle through then you add capabilities

so our messages do it in small chunks

iteratively so that people can see the

value and you can then derive that value

to do more and that's the question is

how do we do this where do we start how

we have all this stuff in our

organization already I've seen a lot of

the terms but we don't have it tied

together and so my advice is that what

we serve our clients is we'll go to them

and do a quick assessment of what's in

place just get a lay of the land and

then very quickly turn that into a gap

analysis and a road map to the baby

steps that will take them maturity step

by maturity step and value delivery

after value delivery on to how they can

start driving value from technology

business management so my advice to you

is make sure you take a step back make

sure you lay out that roadmap of

important initiatives probably the most

valuable and hopefully the easiest first

and then start getting more mature over

time as you prove and drive value at the

portfolio level in it for us a comment

to what we were talking about earlier

some of those well pipes and wires as

you call them Express we have fairly

well-developed but as an example poor

application portfolio management we are

just getting started really doing that

in a organized fashion like we're

representing here the other things we

have fairly well built out but that's

again just a layering on approach and I

think one thing we can use this for is

to take to our business partners so that

they understand we do actually have a

vision for where our business is going

and understand like some of those things

we either already have working

we just need to refine them or maybe we

haven't done that but show them that

once we finish application portfolio

management and have our hands around

that then we can do an even better job

of being able to extract out where the

business value and where the

opportunities really are great so just a

summary thought there is an imperative

for IT to be more of a business partner

I mean IT is becoming a big component of

the business units

and at the same time there's a threat to

an IT commander in terms of IT is

becoming very easy for the business

shadow IT is popping up all over and how

how do you fend off or build that

trusted relationship to where the

business comes to you and says how do we

do this technical component of our

business better rather than going out to

vendors or to professional services

consultants and having those people

bring IT in through different channels

into the organization it's really about

building that relationship your the best

way to fend off those shadow IT

organizations is with a really good

business relationship because as soon as

they don't trust you they're going to

feel unable to basically do IT on their

own and so our message is you know have

a command of what's going on be able to

to work with them and have them trust

you and then have the latest information

about that organization and help shape

that organization with them as much

better way than trying to do IT as a

black box and just a cost center that

you subscribe to and have to subscribe

to because the techies are the only ones

who really know how to run those systems

and now so again exelon a very brick and

mortar type of a place been around for a

hundred years basically there's a lot of

technology like relays that are out in

the substations that allow the

electricity to go to your homes right

back in the day people actually were at

the substation and they'd throw a switch

literally you know they get a call and

they go out and do this today of course

that isn't the way it works it's all

computerized run on large skata systems

but those components that are out there

that we've kind of hooked some

technology to today are all coming with

micro processors and the folks that

maintain them they expect that

technology to be on there be able to use

it effectively and that younger

generation as they come on we need to

think about what are they going because

anyone in that position if they know how

to go do it they're gonna go do it most

likely and IT has to be in front of that

help them guide them through it

otherwise you'll have a bunch of cottage

industries popping up out there and then

one day something bad will happen in a


know if it's technology they'll come to

IT whether we did it or not so again

these are some of the things we're

trying to get out in front of and that's

that's our summary so we want to just

open it up to Q&A for the audience if

there's any questions thank you very

much I don't see any questions on line

through those as through the mobile app

but does anybody have any questions no


yeah what do you think is causing TBM to

be particularly popular at the moment

versus a few years ago when you know the

cleric clarity was suffering and there

wasn't so much this business around so

what's the big cause of the is thrust in

in terms of TBM I'm sorry I missed the

first part the question was hard to hear

you saying that clarity wasn't as

popular a few years ago and why is there

a thrust for it now yeah I mean if you

talk to that talk to CIA you know there

was a bit of a dip in clarity take up a

few years ago and that's it's really

taking off now so I was wondering that

coupled with this you know what's

causing that that in the industry what's

causing that big take-up at the moment

well I'll say I think applications like

clarity or when you talk about

application portfolio management or

application lifecycle management all of

those things manage or were perceived to

be the tools that you would use to

manage the tactics so managing projects

understanding where your how your assets

were configured and none of that is very

sexy to an executive right what was sexy

to executives a few years ago were

applications like app do or dashboard

applications that had all these

great-looking reports that an executive

felt like boy if I could get this report

then I could run my organization

effectively and I could you know show

what's going on within my organization

but what they didn't realize was and the

very unsexy messages those reports are

garbage if you don't have those pipes

and wires in place and well wired so I

think there is one a continued demand

for that big data for those analytics

but two people are getting smarter about

what they're being sold and they

realized that the dashboard alone

doesn't get them what they really wanted

it's got to be the dashboard coupled

with a very well integrated

TBM suite of applications and once you

have that then you truly do have command

and can have a very commanding voice of

your organization and I'll just add on

from at least our company's perspective

so ten years ago the IT budget at ComEd

for capital investment was pray around

50 million dollars and an O&M budget of

let's say thirty five million dollars

today we're

about a billion dollar smart grid

investment and our current capitals are

more around ninety million dollars and

the of course the expense kind of

following through on tails and I think a

lot of that one it's the high expend

that executives see in the IT but

they're also seeing the value and are

anticipating that being even more so so

I think there's a bit of we were just

service providers now we're partners

it's still going on it's not a done deal

yet but I think there's that transition

going on I agree

of course I have a question regarding to

you right now actually I know Europe on

there is like a ppm clarity software so

that the clarity has a full

functionality to handle the technology

business management process great

question yeah so the question was this

clarity have all the capabilities

required to facilitate the roadmap or

the racetrack and the answer is no it

doesn't it's definitely moving that way

and so we hear a lot about

clarity's roadmap but really to get all

the value out of it now you'd have to

integrate several applications that do

these different capabilities and clarity

probably will never have everything

that's within this capability set you'll

have to go to other applications but

having those tightly integrated and

understanding the the simplistic amount

of information that you need to have

integrated between these applications is

key into putting in an effective

solution great question so my question

was what technologies did you use to

implement this can you ask it again star

it's really hard to hear up here again

what what technologies did you use to

implement all those components in this

scenario good question so actually the

first TBM implementation I did was

actually the first portfolio management

implementation I did I actually

implemented for a large entertainment

company services management application

portfolio management assets management

incident management project management

and then a very deep financial

management component on top of that and

over the course of last decade had been

increasingly helping or have been

helping them increase their maturity in

those particular disciplines we did use

we actually use knee cue at the time but

it became see a clarity as the project

portfolio management but in services we

used remedy because back in the day that

was what they used and then the

financial management component had to be

custom developed so nowadays there are

other options for these particular

components the demand is actually grown

to where there's full Suites of

applications that you can use for this

and CA has their entries in the

different models but basically what I

think is the most important is the

integration framework that you have

underneath those and right now I don't

see a very strong integration framework

other than custom development to get

these things to talk to one another and

so we're always looking for vendors who

have with all these solutions to have a

more tightly coupled integration

solution ok just one more question

so Best of Breed is the answer that's

really short answer my question is for I

Richard when you started engaging

business more closely to work with IT

I'm hoping that you would have had a

relationship manager or somebody our

client officer liaisons who work with

business so from whose side were they

most likely to operate what were they IT

the present-day devs working as

relationship officers or were they

business project managers who were

listening with ID so how did that kind

of organization change come in place yet

it's still evolving a little bit but

when it first started it was really

driven by the business they created

roles called corporate functional area

managers who four core business

processes they became the owner across a

number of the utilities that's one thing

we've been struggling with is that as

you acquire different utilities of

course their technology is different

they have different business processes

off and trying to get them all on the

same platform so they saw the need

originally and then IT just slightly

behind them realize like this is a great

opportunity for us to have that

kind of counterpart on that side and so

their portfolio owners that RIT and so

that becomes a collaborative

conversation but it was really started

on the business side okay

gentlemen thank you very much we're out

of time

they're going to step off to the side of

the stage so if you guys have further

questions please do that but thank you

very much gentlemen for a great

presentation they gave us


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