3.12. The ultimate litmus test to determine one's business model

Most of the issues raised in this chapter are nothing new and you might already be successfully addressing some of them in your organization. You might therefore counter by saying that the flaws of the traditional model as explained here don't really apply to your organization. Well, in order to address this objection, here is a simple litmus test to determine whether an IT department works to the traditional model or not:

Would you consider the terms 'on schedule, within budget and to spec' (in whatever combination you want) as being the main success criteria for project delivery by an IT department?

There are only two answers allowed: 'yes' or 'no'.

If your answer is 'yes', then your dominant view of how an IT department is supposed to operate is based on the traditional business model. Regardless of whether you consider yourself in a partnership or not (the term is often very loosely used), when all is said and done, you are ultimately a vendor in a client–vendor relationship, because these are the criteria you would essentially use to measure the performance of your organization.

If, however, your answer is 'no', then whatever model your dominant view of IT is based on, it is definitely not the traditional business model and its underlying client–vendor relationship. You would consequently measure the performance of your IT organization by criteria other than the traditional trio of budget, schedule and spec. ...

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