Page 554 - Handbook of Modern Telecommunications

Network Organization and Governance 4-85

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FIGu RE 4.5.5 Laissez-Faire CMA governance pattern.
In Figure 4.5.5 business perspectives are:

• Dysfunctional decentralized organization
• Weak central coordination
• Redundant investments
• Incoherent strategies
• Inefficient
• Costly
Typical IT mandates are:

• ITOs should follow corporate culture transition
• Transition can go various ways:
• Shock treatment: Replace laissez-faire inefficiency with hard management or centralized
governance models. This is risky, as this involves a radical culture change
• Soft treatment: Fix dysfunctional decentralized anarchy with strong but noninvasive cor-
porate governance. This is easier to transition, but risks extend cost and inefficiency state
for a longer period of time.
In summary, despite (but sometimes because of) challenging economic conditions, Fortune 2000 orga-
nizations will continue to embark on merger, acquisition, and divestiture operations through 2010/2012,
as they search for economies of scale and time as well as global resilience. Changing corporate topolo-
gies and structures will require strong management vision and leadership in selecting and enforcing
appropriate governance models. This challenge will be particularly critical for CIOs, because the frequent
misalignment of IT and business governance schemes is a major risk factor in CMA operations. The vari-
ous fundamental IT governance patterns presented above cover a broad spectrum, from distributed orga-
nizations (holdings) to highly centralized enterprises. Users should be able to describe unique, complex
governance cultures in their enterprise using one or more of these five basic governance patterns.

4.5.2.2 Tasks of Governance
The most important tasks can be summarized as follows:
• Process enforcement for carve-ins and carve-outs