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IT Buyers Say “We are OK.” Are you Sure? Part 1

IT Buyers Say “We are OK.” Are you Sure? Part 1

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The ReckoningBusiness & Capital4 min read

Validity: 72 — Still Resonates

The Buyer's PlaybookPart 1 of 3

By Tony "WhyNot" Greenberg

This blog post discusses the common issue of IT professionals insisting everything is fine to evade examination, despite existing issues, and advocates…

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Before You Read

Before you read 'IT Buyers Say “We are OK.” Are you Sure? Part 1': What do the best negotiators and the best jazz musicians have in common?

Reveal

They both know that the most powerful move is listening — and the second most powerful is knowing when not to play.

Hint

It's about what you don't do.

IT challenges – After 15 years of running a consultancy for the world’s most powerful firms, there is one thing that still irks me. Every day we propose ways to make the lives of people we work with better and give them the tools data and methodology to make their companies more efficient. But whether it’s reduced cost, improved performance, or more flexibility, someone in the peanut gallery says:

“No, thanks. I’m okay. We’ve already got that covered. All good.” Bleh!

How good were you when half your staff was laid off because the VC didn’t deliver your next tranche? How good were you when your CFO had to explain that you missed earnings targets because of IT challenges and cost overruns? How good were you when you missed your kid’s recital or were pulled out of bed in the middle of the night because your provider fell over… again. Is it possible that, as good as you are at negotiating IT services deals every three years, there might be someone who’s better or has an edge because they do it 50 to 100 times every year with the wind at their back and data from the last 200 deals?

This first part of a 3-part series is about needing help, and not wanting to get help. It’s a weird blind spot for many IT and sourcing executives; a self-defeating and problematic approach — and so easy to fix. But you have to be open to change before you get the help you need. This is the funny type of article we don’t expect to get any “likes” from. We are just nudging change.

IT problems are hidden time bombs – excess cost, insufficient resiliency, scale limitations. But even when they’re glaringly obvious – outages, budget overruns, lagging performance, vendors that act like they’re the boss – IT managers will often say they’re okay. Why?

I always say in response, “I’m so glad you’re okay. How do you measure okay? Are you great? Could you do better faster or cheaper?” Do you all the offerings in the market?

Being okay doesn’t mean you’re in the best possible place.

“I’ve got it covered” often means “I screwed up and don’t want my mistakes uncovered.” Or it could mean “I’m here to build something of scale and don’t care what it costs the company, I just need to scale fast.” Or just “I’m too proud to ask for help.” Number 2 is quite perfect with me. Many of our fast growing clients like eBay, Riot Games, Blizzard, and Gap exploded in growth and did not know when it would level off. In many cases, they cared more about performance, scale and agility. Not cost, regardless they knew they needed help.

In business school, they call the source of many of these responses “the agency problem”. That means that deep-seated personal feelings and instincts take priority over doing what you were hired to do – get your employer the best return on each dollar it entrusts you with. When we look at others, we describe agency problems negatively – fear of change, risk aversion, empire-building. But flip the description around, and we all could admit to, say, wanting to protect our team, or ensure that the job gets done right, or prevent a pointy haired boss from interfering with technology he doesn’t understand.

But the further we go down the path of making sure our lives are free of headaches, the more we need to ask ourselves “am I working for the company or for me?” When I say “don’t fix what isn’t broken” am I really doing what’s best? Or am I just afraid to be exposed, to lose my budget, or to not be in full control?

What if moving past those fears opens up the possibility that you can be a hero for the company, the person who found ways to save money and more efficiently apply resources exactly where they’re needed?

The messenger doesn’t get shot when his message includes not just the problem but the solution.

And with all of that in mind, I’ll ask again. Are you ok?

In the next installment: So now that we admit we have a problem, how do we avoid making things worse with the solution?

Read: So now that we admit we have a problem Part 2

The Lesson

The illusion of control is a dangerous comfort. True strength lies in acknowledging vulnerability and having the courage to seek help before a crisis forces your hand.

Next Steps

  • Conduct an honest audit of your team's 'we're okay' statements.
  • Identify one area where you've been avoiding asking for help and schedule a conversation.
  • Share this article with a colleague who might be trapped in the 'agency problem'.

Voices in This Space

Also involves:GartnerMcKinsey & CompanyAmazon Web Services (AWS)

Since this was written

CrowdStrike Issue Causes Major Outage Affecting Businesses Around the World

CNBC · 2024

This global outage, caused by a single faulty software update, perfectly illustrates the post's argument that a seemingly 'okay' IT environment can harbor catastrophic risks that are ignored until it's too late.

  • #IT management
  • #IT consulting
  • #risk management
  • #tech debt
  • #IT leadership
  • #system failure
  • #proactive IT
  • #IT cost overruns
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Identify a current project or system you're responsible for. Schedule a 30-minute 'pre-mortem' with your team to brainstorm all the ways it could fail, assuming it already has. This exercise bypasses the pressure to appear 'OK' and creates a safe space to proactively identify and mitigate risks before they become critical issues.

A Riddle To Carry With You

I am a calm surface on a churning sea, A simple phrase that hides complexity. The more you hear my reassuring tone, The deeper the real troubles have grown. What am I?

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The Buyer's Playbook — Part 1 of 3

From identifying the real challenges in IT buying to mastering vendor negotiation, this series maps the entire procurement landscape with 25 years of benchmarking data.

  1. 1.IT Buyers Say “We are OK.” Are you Sure? Part 1 You are here
  2. 2.So now that we admit we have a problem Part 2
  3. 3.How fast-growth companies are most likely to fall Part 3
Next So now that we admit we have a problem Part 2

Originally published at tonygreenberg.com

Why this matters now

We are living through the largest transfer of wealth, power, and attention in human history. Every essay on this site is a dispatch from the front lines of that fight — naming what's extractive, building what replaces it. If this one landed, it's because the question it raises hasn't been answered yet — and probably won't be by the people currently in charge of answering it.

Tony Greenberg
Tony "WhyNot" Greenberg

Systems thinker. Impact builder. Corporate accountability crusader.

Tony Greenberg is the CEO of RampRate and founder of ImpactSoul. About Tony

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