A focus on revenue flow in IT and business

2.6.2014 Magdalena Gauci

When both IT and business commence focusing on business revenues through their methods, which should be a joint effort, and when business eschews the idea of monitoring IT and concentrates on managing, the problem of aligning is almost solved. Business people talk about the language of cost and revenue.

IT people should adopt this language and work for achieving the goal of business, which is usually maximizing the profits. As far as a business is concerned, it considers how IT services will bring in revenue to the company, whether its impact on revenue generation is positive. Most importantly the business would like to keep the cost of application of IT to a minimum which does not compromise the revenue flow.

If the application of IT is the reason for a loss in revenue to an organization, it will also invite considerable angry phone calls coming from business managers to the IT community. Revenue generation is dependent on the productivity of an organization. When end-user experience is brought in to measure productivity, there will be mutual trust and the gap between business and IT can also be effectively bridged.

Let us not consider IT and business as if taking different sides of an organization. Let us realize that both, in a particular business environment work for a common purpose, which is maximizing revenue through customer satisfaction. Suspicions can arise due to the fact the professionals in the two areas don't use the same terms and jargon.

When you start assessing the feedback of end-users, you may be able to bridge the gap between the two, for which the end-user reaction in terms of IT contribution can be of great help. That there is a gap between the two important facets of business, is obvious. Steps to eradicate and bridge this gap will only strengthen the organization.

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