How IT can Become a Revenue Driver

The shift from IT being a cost center to becoming an increasingly innovative and value creating role is happening across industries today. Leaders are now consistently turning to the IT team for ideas on digital transformation to drive revenue for the whole organization. The perception that IT is a support function has also changed; IT is now a source of revenue, innovation and a competitive advantage.

However, some organizations are not quite there yet and some effort is required to make that leap and show that your IT team can offer more to your organization. These are 3 ways to make the transition:

1. Identify and Propose Innovation

The IT team has a perfect outlook to where and how innovation has the potential to make a big difference for the entire organization. To change the perception of the role of IT requires bringing these type of initiatives to the table, to the C-Suite, and show where you can create greater efficiency and drive business. This could be small steps in certain areas of the organization or an entire digital transformation initiative, which will prove to end users and management that IT can be a source of innovation. Take the risk, prepare and show everyone that IT is no longer a supporting function but can be a value-creating one.

2. Always measure IT’s impact

The next step after IT’s proposed initiative and successful implementation is to measure how this project has influenced management, the end-user and the organization. Even though financial data is the most accessible data on IT, spend alone or even return on investment (ROI) may not be the only measure you should consider.  Financial data definitely needs to get considered and presented but real business value needs to be communicated as well. Indicators could be % increase in upselling opportunities, less time training/onboarding new employees to the system, % increase in productivity, etc

3. Drive digital business transformation

IT leaders should lead the digital agendas in their organization because with the combination of considerable technology expertise, IT leaders are now thinking, acting and reacting differently to help their companies succeed. However, according to Deloitte, only 34 percent of CIOs say they are currently playing a strategic role in their organizations. CIOs can and should be disrupters who understand true business value and take an instrumental role in developing digital capabilities to enhance top-line growth and revenue. Through digital transformation efforts, these radical changes also mean more effort – not only in the IT department but also in the organization as a whole. It requires more of a cultural change.

Digital transformation requires people-centricity, customer obsession, business acumen, a culture of innovation and a continuous cycle of value creation. Through a successful transformation, your organization can better engage with customers, optimize your operations and empower your employees.

If you would like to discuss your own digital business transformation leave us a comment below or gain insights into the digital age by visiting other pages on our website.

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