Page1 ISSN: 2302-4593 Vol. 2 (7): 1-11 Requisite competencies for government Chief Information Officer in Sri Lanka Kanchana Thudugala Information and Communication Technology Agency, Sri Lanka kanchanat75@gmail.com Shahani M. Weerawarana University of Moratuwa, Sri Lanka Abstract Developed countries such as USA, Australia and EU have technology savvy executives in certain government sector organizations performing the CIO s role. These countries have managed to improve their government sector delivery of services to citizens leveraging on IT/IS. However, in Sri Lanka there is very low recognition for the role of a CIO in government sector organizations and even in private sector organizations. Different CIOs may be equipped with their own set of different skills. However, it is undoubtedly important for CIOs to acquire the particularly necessary set of skills, knowledge and experience that would enable them to act as catalysts in strategically and efficiently using IT to improve their organization's service delivery. Considering the above facts, the authors did an empirical research study based on an extensive literature review. The research goals were to, (1) evaluate the set of competencies required of Sri Lankan CIOs and, (2) provide an understanding of the way the CIO role should be formulated, such that it will have an impact on the strategy of Sri Lankan organizations. It is envisioned that the recommendations of this study will provide the necessary information to IT directors and senior executives in government organizations to develop the competencies required to enable them to effectively function as CIOs. Keywords: Chief Information Officer, CIO, public sector, e-government, Sri Lanka Citation: Thudugala, K. and Weerawarana, S. M. (2013). Requisite competencies for government Chief Information Officer in Sri Lanka. Global Business and Economics Research Journal, 2(7): 1-11.. Available online at http://www.journal.globejournal.org
Page2 1. INTRODUCTION The role of the Chief Information Officer (CIO) in government organizations is equally important as in private-sector organizations. In many developed countries CIOs play an important role in public-sector states, municipalities and government agencies. According to U.S. General Services Administration (Dawes, 2008), though CIOs had been considered as the managers of an organization s computers in early days, since then the perception has changed with the work government CIOs have done as mission-critical enablers and important strategists. In Sri Lanka, there is low recognition of the CIO role in both public and private sector organizations. According to Sarathchandra (2005), even in the Sri Lankan private-sector, the CIO s involvement in strategic management was approximately 50%, while in developed countries it was 79% in 2004. However, Sarathchandra (2005) has also established that Sri Lankan organizations have realized the importance of the CIOs involvement in strategic management. He identified five essential skills, namely, communication skills, strategic thinking skills, management skills, business knowledge & technology knowledge to be the most influencing skills of CIOs involved in strategic management. According to Periasamy and Seow (1998), the positioning of Information Systems (IS) as a strategic resource in the organization in most cases depends on the role played by the CIO, who is responsible and has the overall authority for the organization's information system. Gottschalk (2000) has stated that a competent CIO should be able to change the focus of the organization s top managers towards the importance of information as an asset that could be strategically used to increase the overall organizational performance. Furthermore, according to Ravarini et al (2001), in addition to involvement in strategic management, CIOs also needs to effectively manage IS sub-functions such as IS HR management and IS relationship management to effectively perform the CIO role. Therefore it is evident that a number of new competencies must be developed by CIOs in both government and private-sector. Gottschalk (2000) defines competency as, any skill, knowledge or attribute that is observable and identifies excellent performance. Guided by this definition of competency, the research performed by the authors was focused on providing insight on the competencies future CIOs need to acquire, to enable them to effectively perform that role. In order to evaluate the above, the research study was designed to: 1) Identify a set of desirable competencies expected of Sri Lankan CIOs, 2) Provide an understanding of the way. Available online at http://www.journal.globejournal.org
Page3 the CIO role should be formulated, such that it would have an impact on the strategy of Sri Lankan organizations. The authors hope that based on the results of this research, Sri Lankan government CIOs could plan and develop their careers to become excellent and better suited for their role. 2. CIO COMPETENCY MODEL FOR SRI LANKA A conceptual framework developed by Tagliavini et al (2001) had three main dimensions : Know how to be: mental, physics and basic sense attitudes, value system, and factors linked to personal identity; Know what: knowledge of the work, tasks, methods, own role, the context, and the company; Know how: knowledge of the practices and solutions (technical knowledge and skills required to perform IS management) Having the above as a base, Tagliavini et al (2001) identified 12 desirable features of modern CIOs; interpersonal skills, holistic vision, long term vision, effective leadership, propensity to innovation, managerial knowledge, internal business knowledge, external business knowledge, theoretical knowledge, technical expertise, planning capabilities and organizational impact assessment capability. Furthermore, according to Cash & Pearlson (2004), CIOs must be equipped with business, technical and personal leadership competencies. Lane & Koronios (2007), in an Australian context, discuss that CIOs must be business focused and strategic. CIOs are expected to function as business strategists, formulating ICT strategy to enable organization's business strategy and goals. Most of the critical competencies identified in that research were soft skills. The CIO competency model proposed by the authors (refer Figure 1) was developed primarily based on the three main categories identified by Tagliavini et al (2001). As part of the research study, a unique set of competencies, which would encapsulate the skills, knowledge and experiences expected of Sri Lankan CIOs were identified. These competencies were then grouped under the above three categories to derive the conceptual framework for this research. This study implemented a qualitative research approach (Yin, 2003) mainly because it allowed the authors to gather an in-depth understanding of human behavior and the reasons. Available online at http://www.journal.globejournal.org
Page4 that govern human behavior, while understanding the social and cultural contexts of the organizations. Also, the potential input stakeholders of the study were senior executive officers in organizations, such as the CEOs/MDs, COOs, CIOs, CFOs and functional heads. Since these stakeholders tend to be too busy to file questionnaires, the authors adopted an interview based qualitative research approach. In total 36 high level executives in private and public sector were interviewed within the 2-month data collection period of this study. Know how to be A1 - Interpersonal skills A2 - Effective leadership A3 - Holistic vision A4 - Propensity to innovation A5 - Visionary / Entrepreneur A6 - Politically savvy A7 - Critical/ Analytical thinking A8 - Ethical/ Transparent / Integrity A9 - Appetite to learn A10 - Simplicity A11 - Change Agent Requisite Competencies Expected of Government CIOs Know what B1 - Managerial knowledge B2 - ICT Budgeting & evaluating knowledge B3 - Knowledge on ICT legal aspects B4 - Business Acumen Know how C1 - Technical Expertise C2 - Planning Capabilities C3 - Organizational impacts assessment capability C4 - Strategic Orientation C5 - ICT Human Resource Management C6 - Corporate Governance of ICT C7 - Commercial orientation C8 - Communication skills (including Board level) C9 - Negotiation skills Figure 1: CIO Competency Model for Sri Lanka 3. ANALYSIS OF CIO COMPETENCIES The authors adopted a pattern matching analytic technique (Yin, 2003) for the data analysis. This technique involves predicting a pattern of outcomes based on theoretical propositions to explain what the authors expect to analyze. 3.1 Analysis of know how to be competencies This following analysis is based on competencies identified under the know how to be category of the CIO Competency Model.. Available online at http://www.journal.globejournal.org
Page5 Interpersonal skills All agreed that how well the CIO works with his/her team, among departments, business units, citizens/customers and suppliers to realize his/her goals to be a skill which would determine success. Effective leadership Loosing important resources can be critical and costly. All acknowledged that CIOs should be inspirational leaders to motivate and to retain IT resources. Holistic vision CIOs are expected to have a holistic view about the organization s organic growth and its potential into the future. Most felt that effective governance of IT; successful project delivery and acceptance for innovative ideas were dependent on this. Propensity to innovation Most (57%) felt that innovativeness should be focused on both reducing the costs of IT governance and gaining competitive advantage. However 33% felt that innovativeness should focus on reducing the costs of IT governance; while 10% felt it should focus on gaining competitive advantage. Visionary / Entrepreneur All valued the competency. However most of them (73%) were not involved in setting up organization s strategy. Politically savvy Most felt that CIOs represent change in organizations. Therefore they felt that CIOs must understand organizational politics and manage them in a delicate subtle manner to achieve the objectives. Critical/ Analytical thinking Most felt that it is not only important to have a critical thinking ability, but that it is also important to have the capability and confidence to challenge thinking, and to ultimately comprehend the value. Ethical / Transparent / Integrity All felt that that these competencies are the key for a CIO to bring credibility to the role. Appetite to learn All felt that CIOs should be aware of new technologies and business advancements in leveraging IT in the same domain/industry. Many (66%) felt that the awareness should extend to different domains/industries as well.. Available online at http://www.journal.globejournal.org
Page6 Simplicity Organization's highest levels expect the CIO to be able to communicate in the simplest form, clearly and precisely, supported by facts. Change agent All felt that the CIOs should function either as change catalysts, change agents and/or change managers due to following reasons, 1) Success of introducing new technology largely depends on getting the people, processes and operations around it to change. 2) Existing technologies change due to business requirements. The highest percentage (46%) felt the acceptance from operational staff to be the highest priority for successful change management. However 36% felt the priority is the top management support and 18% felt it is the functional head s support. 3.2 Analysis of know what competencies The following analysis is based on competencies identified under the know what category of the CIO Competency Model. Managerial knowledge All felt this is a must since CIOs are expected to manage, among others, IT resources, resource constraints, stakeholder acceptance, change management, etc., efficiently and generate results and value to the organization. ICT budgeting & evaluating knowledge The highest percentage (40%) felt CIOs should be able to do budgeting and evaluating independently, while 33% felt CIOs should be able get assistance from the finance division. 27% said that it is a collective effort involving several divisions. Knowledge on ICT legal aspects The majority (76%) felt that the knowledge on ICT legal aspects is not a must with a far smaller percentage (24%) perceiving it as being important. Business acumen All felt that CIOs should be more business focused as opposed to being technology focused. Top management expects CIOs to advise them on technical solutions to cater to business problems. Therefore CIOs must understand the business as much as they understand technology. 3.3 Analysis of know how competencies The following analysis is based on competencies identified under the know how category of the CIO Competency Model.. Available online at http://www.journal.globejournal.org
Page7 Technical expertise Most (96%) felt that having a good understanding of technical aspects is adequate for CIOs. 56% felt CIOs should have strong technical previous experience, and 36% felt CIOs should have good technical academic qualifications. Planning capabilities All felt that CIOs should be able to execute projects on-time and within budget. CIOs should manage projects, source people; identify vendors for better value, whilst delivering on the road map committed to organizations. Organizational impact assessment capability Most felt that CIOs should be able to assess benefits of recommended IT investments and their return on investments (ROI). Strategic orientation Most (83%) felt CIOs should understand organizational strategy, business context, macro & micro economic factors, and plan IT initiatives on a strategic level. 17% felt otherwise, and that IT should be an enabler. ICT human resource management All felt that people knowledge / HR management is a key competency for CIOs. Organizations expect CIOs to create the environment and motivating factors to retain IT staff. Corporate governance of ICT Most felt that it is very important for CIOs to focus on IT/IS governance, since it has a major impact on the organization's strategy. CIOs should build processes and relationships to direct and control organizations, adding value while balancing risk versus return over IT and its process. Commercial orientation All felt that CIOs should focus on the following: 1. Innovative ideas to deliver optimal value at the optimal time to customers. 2. Improve business by increasing sales, reducing costs, providing better customer experiences and opening up new insight by making available information which was previously not available. 3. Look for competitor technological advancements to learn and adopt initiatives leveraging IT to gain a competitive advantage. Communication skills (including board-level) All felt that communication skills are a core competency. The CIOs should be able to simply and clearly communicate goals, objectives and strategies to the stakeholders. At the board. Available online at http://www.journal.globejournal.org
Page8 level, the CIOs should have the ability to summarize the data for decision making, and maintain the accuracy of that information. Negotiation skills Most felt that CIOs should be good negotiators, with a good understanding of business needs, budgetary constraints, user expectations and ROI. In addition, having good recognition amongst vendors was also considered as an attribute. 4. RECOMMENDATIONS The recommendations are based on the analysis that was completed for each concept in the CIO Competency Model. 4.1 Recommendations for know how to be competencies Interpersonal skills According Prewitt (2005), poor interpersonal skills has been cited by most (58%) as the top reason for the leadership failure of senior IT managers. Therefore it is important for CIOs to continue improving their interpersonal skills and emotional intelligence, especially in the Sri Lankan context, since getting things done depends on CIO s ability to establish, build and maintain good relationships. Effective leadership According to Lynch (2005) CIO leadership competencies go beyond being resourceful and straightforward. Leadership skills have to be looked at with respect to meeting challenges caused by a more competitive business climate, and having to accommodate abrupt changes. CIOs should facilitate work of IT staff to enable them to work collaboratively with other staff as they adapt to changing business needs. Propensity to innovation Sri Lankan organizations should appoint CIOs to gain a strategic competitive advantage leveraging ICT and not necessarily to reduce cost of IT governance. CIOs should attempt to come up with innovative ways of generating similar business value leveraging IT in a cost effective manner to suit the local context. Visionary / Entrepreneur Sri Lankan organizations rarely have CIOs at the board level / top management level. Thus CIOs are typically involved subsequently to extend core organizational strategies and to implement them by leveraging ICT. CIOs should demonstrate their visionary / entrepreneurship abilities to convince organizations the value of them being at the board level.. Available online at http://www.journal.globejournal.org
Page9 Critical/ Analytical thinking CIOs should provide both information and analysis. CIOs should be able to critically analyze and even challenge both the existing strategic direction and technology usage to convince top management to make better strategic decisions. Appetite to learn CIOs should also look outwards for innovations; there are many successful business innovations such as ebay, where IT advances from another industry were leveraged creatively to create new business opportunities. Change agent CIOs should ensure the CIO role and the delivery organization is seen as an asset and a benefit by all. CIOs have to create the conditions for stakeholders to strive for change with genuine market requirements / commercial requirements. CIO cannot dominate over others and expect them to simply comply for change. 4.2 Recommendations for know what competencies Managerial knowledge CIOs should get themselves educated about organization's management frameworks and theories such as McKenzie 7S framework. 4.3 Recommendations for know how competencies Technical expertise CIOs with good technical understanding can use managerial techniques and tactics to get the required output. However, for CIOs who are not technical experts, the success depends on the adopted team structure. Those CIOs need to have key people at the right places to make those technical decisions. Strategic orientation CIOs should create an IT vision for the future in such a way that would reflect CIOs understanding of the changing business environment, and how IT can facilitate competitive advantage. CIOs should frequently re-think / re-evaluate the organization's value chain to improve its effectiveness by leveraging ICT. ICT human resource management CIOs should delegate interesting and challenging work among the IT staff to keep them motivated. This is in addition to having good remuneration schemes and career progression plans. Though cultural aspects may interfere with decisions, it is recommended that CIOs should identify and replace under-performers.. Available online at http://www.journal.globejournal.org
Page10 Corporate governance of ICT IT governance is, ensuring that right people make right decisions for the business, and are held accountable for those decisions. For effective IT governance, CIOs should work closely with the top management to communicate and manage their expectations, so the top management understands trade-off choices and takes joint responsibility. CIOs should educate themselves about IT/IS governance frameworks such as COBIT. Commercial orientation Sri Lankan CIOs should take measures to leverage e-commerce to its best potential. Communication skills (including board-level) CIOs should communicate clearly and in a simplified manner, supported by facts, when communicating to organization top management. It is recommended not to use technical jargon, even when explaining complex solutions. 5. CONCLUSION The primary expectation from a CIO, similar to any other top management position, is to add business value to any organization. Therefore the strategic importance of the CIO role is to leverage IT in delivering the optimal value at the optimal price to the business or government. Strategic alignment of IT with business / public administration objectives, demands a multitude of skills/competencies for a CIO. In this research study, the authors were able to look at the competencies expected of a CIO in three dimensions - knowing how to be, knowing what and knowing how. The authors analyzed different viewpoints of CEOs, CFOs and other top management about their expectations of a CIO. Thus this research study has managed to elaborate on the importance of these competencies in the Sri Lankan context, by providing recommendations on the competencies that CIOs should be focusing on. REFERENCES Cash, J. I. and Pearlson, K.E. (2004). The Future CIO, InformationWeek. www.informationweek.com/news/showarticle.jhtml?articleid=49901186 Dawes, S. S. (2008). 'What Makes a Successful CIO', The Intergovernmental Solutions Newsletter. www.actgov.org/actiac/documents/pdfs/spring20080331.pdf Gottschalk, P. (2000). Information Systems Executives: The Changing Role of New IS/IT Leaders. Informing Science, 3(2): 31-39.. Available online at http://www.journal.globejournal.org
Page11 Lane, M. S. and Koronios, A. (2007). 'Critical Competencies Required for the Role of the Modern CIO', 18th Australasian Conference on Information Systems, Toowoomba, December 5-7, 2007, pp. 1099-1109. Lynch, C. G. (2005). 'Management Report: Leadership Skills Needed for Today', CIO.com, www.cio.com/article/14754/management_report_leadership_skills_needed_for_today Periasamy, K. P. and Seow, A. (1998). CIO: Business Executive or Technical Expert. www.hkcs.org.hk/searcccd/ot7_kp.htm Prewitt, E. (2005). 'Management Report Why IT Leaders Fail', CIO.comwww.cio.com/article/9507/MANAGEMENT_REPORT_Why_IT_Leaders_Fail Ravarini, A., Moro, J., Tagliavini, M. and Guimaraes, T. (2001). Exploring the impact of CIO competencies on company performance. ticepmi.liuc.it/risorse/store/exploring_the_impact_of_cio_competencies_on_company_perf ormance.pdf Sarathchandra, A. W. C. K. (2005). Factors that Influence Sri Lankan CIO s Involvement in Strategic Management, MBA thesis, Department of Computer Science & Engineering, University of Moratuwa. Tagliavini, M., Moro, J., Ravarini, A. and Guimaraes, T. (2001). Shaping CIO s Competencies and Activities to improve Company Performance: an empirical study. is2.lse.ac.uk/asp/aspecis/20030127.pdf Yin, R. K. (2003). Case Study Research: Design and Methods (3rd edition), Thousand Oaks, CA: Sage Publications.. Available online at http://www.journal.globejournal.org