Is your business capable, challenged or lost?
In the first part of this three-part series on entrepreneurship and the CIO by Jorge L. Lopez of the Gartner Group, we explored the definitions of an entrepreneur and entrepreneurial tasks. Now, we consider a simple but vital question: How does the CEO know when it's time to focus on entrepreneurship?
[See Part 1: Risky Business >
CEOs have many things vying for their attention and investment. How do they know whether they need to focus on entrepreneurship as the most important or decisive choice? To answer that, one must answer the key question for CEOs: If the business were to continue in its current direction, with no substantial change to its products and service offerings, what would be the outcome?
The answer to this question falls into one of three categories: competitively capable, competitively challenged, or competitively lost.
The competitive landscape is progressing slowly enough that there will be no significant change ahead, so very little change is needed. This may be more because of regulatory constraints than competitive forces. Focus on sustaining the quality that exists for current offerings. There is little need for the driving forces of the entrepreneur in such stable situations, unless the strategy is to build a breakaway situation for the business and drive the change in the market or industry.
About the author
Jorge Lopez is a vice president and distinguished analyst based in the United States, where he focuses on issues of concern to business executives, especially the CEO, and their relationship to IT and the CIO. His research includes CEO concerns, global industry scenarios, strategic change, and cost optimization. He has produced research that includes how CEOs view their challenges and what IT should do about them, radical IT cost cutting, how to overcome IT as a constraint to business change, how to reduce the risk of IT, and how to improve the business strategic value and alignment of IT. In addition, he works with key IT vendors and services providers to improve the effectiveness of their business strategy and value to their customers.