Blog‎ > ‎Economics‎ > ‎

Bimodal IT Bimodal Everywhere

posted May 20, 2016, 6:34 PM by Jake Vosloo   [ updated May 20, 2016, 6:40 PM ]
There's a backlash growing because of the Bimodal IT structure proposed by Gartner.

I think this is because people are using derogatory names for the groups. Instead of calling them Mode 1 and Mode 2, rather call them something that describes what they are all about.
I propose calling the groups: Profit Now and Profit Later, let me explain:

The Profit Later group is responsible for keeping costs and risks down and providing a reliable platform for profitability for many years to come.

The Profit Now group is responsible for finding ways to grow profits in the short term, they take risks and work like a startup. They try something and if it isn't profitable it is discarded. They follow only the minimal governance processes because the purpose is to grow profits as quickly as possible.

Once the Profit Now group has shown something to be profitable, the business is migrated to the Profit Later group. This migration stage may involve re-constructing the business according to the much more stringent governance criteria of the Profit Later group so that they can perform their mandate of ensuring long term profitability.

The beauty of this is that it is not just relevant to IT, any business division can be structured along these lines to allow an entrepreneurial division to find new profitable business initiatives while the enterprise scale division ensures the long run profitability of the organisation.