Here goes (more coverage at it.fdih.net, dalager.com, akav.dk):
Welcome by Claus Hjorting, FDIH. Carr himself is late and will be arriving in 10 minutes. “It is fair to say we don’t fully agree that IT doesn’t matter”.
First speaker, Thomas Honoré. Intro about IBM’s business. Initial statement: IT itself might not be strategic, what we want to accomplish, however, is. Is the bridge to Sweden strategic? Is IT-strategies nonsense? Don’t look at IT isolated, always keep focus on the end goal.
Thomas Honore is now questioning the audience about the use of IT in their companies. Point being, noone find themselves saying they don’t use and value IT heavily. Then goes on to list top ten CEO trends of 2004, all based on IT, simply making IT nessecary. (thomashonore.mov)
Powerpoint goes black. Makes bad joke on the importance of IT.
Good advice: Being conservative can be ok — but staying passive is death; there’s still an internet revolution going on out there. (touchy subject, I guess, the ‘revolution’ part indirectly suggests that money are to be made just by staying ahead…).
Next speaker is Mogens Kühn Pedersen, questioning some of Carr’s key points. Are the infrastructure metaphor meaningful?
(Sidenote: If you’re lucky enough to understand Danish, read the other live-bloggers’ more thorough coverage — I’ll just keep mumbling in English…)
IT.…or IS. Information systems matter. (mogenskpedersen.mov)
(Until this point, different — but obvious — responses to Carr’s original claim have been presented. I can’t imagine anyone disagree with IT at least being more of a commodity; whether the exact initial catchy phrase “IT doesn’t matter” is true or not isn’t all that interesting — but what does all this mean for software development, for the strategies themselves etc. Hopefully this will be answered later during the discussion…)
Carr is on. Jokes about, that — after listening to Kühn — he didn’t realize his arguments were so complex. First slide: “IT is essential to business…but is it essential to business strategy.
Shows diagram with crossing ubiquity / advantage lines. Widespread technology equals less advantage potiential.
(Live-blogging isn’t completely live nor thorough; the new ecto crashes once in a while and converting little movies with bad sound into huge monsters of Quicktime-movies take time as well.…)
Carr goes through some examples, adding details, not exactly claming that “IT doesn’t matter”.
So what:
- Spend less (not get less, do less — just have bias towards spending less on IT). Google and other industry leaders already buy more commodity products.
- More should follow, not lead. It’s cheaper — you can’t be sure that the system you buy will end up as the standard. Example, banking: Proprietary bank-owned online banking systems with no competitive advantage as online banking quickly became a must-have service offered by several vendors.
- Innovate when risks are low. Walmart managed to use their market position to get RFID technology implemented.
- Focus more on vulnarabilities than opportunities. Don’t be creative, be good.
Carr is done. Before discussion, Mygdal will introduce our little micro media thingie.
All speakers are on the floor for debate, Mogens Kühn starts off by questioning Carr’s terminology. Discussion is mostly about productivity; increase in productivity due to IT investments will be shared, increasing productivity of the whole industry — not being an advantage of a single company. (nicholascarr.mov)
Thomas Honoré is asked what he feels about Carr’s advice to invest less in IT. He, not surprisingly, doesn’t like that at all. He insists on being part of an industry, a community — providing advice to his customers.
Carr answers another question from Kühn (which states that Easyjet and other modern airlines get their advantage by combining IT with new business strategies — which to me seems to be Carr’s point exactly) by comparing two bakers with a pound of flour each. One makes a good loaf of bread, the other a bad one — that doesn’t make flour a strategic input, it doens’t mean that we should invest more money in flour or be on the cutting edge of flour technology. Carrs laughs, stating that to him Kühn and him seems to agree — Kühn just won’t admit it. (someone does the flour power joke.…)
Timing question from the audience: Companies can’t wait forever, isn’t it just as risky sitting back waiting? Carr answers that of course you shouldn’t wait forever, but you shouldn’t be cutting edge either — it doens’t pay off. Kühn adds that some companies might still want the possible strategic advantage of a custom solution. IBM (Honoré) is asked if they help their customers to follow or to lead. Honoré answers that most of their customers see themselves as leading, but when asked if he thinks they are actually leading or not, he slides off, saying he can’t see the relevance of the question, that he shouldn’t decide that on behalf of his customers. Laughter from the room…
Question from the audience on aligning strategies with system. Carr replies, that hopefully that shouldn’t be too relevant as all systems should be aligned with the strategy of a company. But that doesn’t mean that all investments are strategic.