Garner Technology

There is an old saying in the IT world . . . no one every got fired by choosing IBM.  Of course, you could now say this about a number of other solution providers but back then IBM was the leader in everything that was IT and you couldn’t go wrong by picking the leader. . . right?

In my last post I talked about assessing and planning for risk as part of good IT management practice.  Risk assessments are also an important component of the evaluation process when determine which solution to choose amongst many offerings.  Although it might make sense to choose solutions that minimize risk (the IBMs of the world) there are drawbacks to placing too much emphasis on minimizing risk as a strategy for a successful IT project implementation.

When embarking on a new system, what is the number one thing that keeps you awake at night?  For me, it would be that the system fails to deliver what was promised after all is said and done.  This is why we assess and manage risk.  When any system fails it’s usually because risk was not properly identified and contingency not adequately accounted for.

There is a huge temptation to minimize the chance that a failure to manage risk causes the downfall of a project by choosing a solution that is proven.  That is, the solution has been implemented in many other organizations and is seen as somewhat of a defacto standard.  In local government, there is the tendency to do the same as the neighbouring municipality as a way to not only minimize risk but allow for opportunities to collaborate and thereby reduce costs.  All noble and legitimate rationals to be sure and an approach I often advocate in my consulting work.

There is, of course, a downside.  Bigger is not always better and the incremental decisions amongst many IT professionals to minimize risk by going with what is proven stymies innovation.  More often than not, the provider in the enviable position of having the solution that everyone wants develops a level of arrogance along with increased costs of ownership.  Everyone knows you have the best solution going and ye shall pay for it accordingly.

It takes considerable courage to go with a solution that is different than what is seen as the norm.  In the case of local government, there is often not a lot of wiggle room to go with a riskier solution.  However, if risk is properly managed even these smaller riskier solutions will work out fine and likely at much less cost than following the herd.  It really comes down to the culture of your organization and how sensitive it is to risk.  Some municipalities have a sense of competition and innovation and others don’t.  Just like managing your own investment portfolio you take on the amount of risk you are comfortable with; municipalities are no different.  In the end, risk can pay big dividends so it might not always be a good idea to minimize it . . . it could hurt!