Seven Realities that threaten business survival

In Information Revolution: Using the Information Evolution Model to Grow Your Business (published by Wiley in 2006), Jim Davis, Gloria J. Miller, and Allan Russell identify and discuss “seven realities that jeopardize business survival.”

•  Business cycles are shrinking.
•  You can only squeeze so much juice out of an orange.
•  The rules have changed; there is no more “business as usual.”
•  The only constant is permanent volatility
•  Globalization both helps and hurts.
•  The penalties of not knowing are harder than ever.
•  Information is not a by-product of business; it is the lifeblood of business.

The co-authors are senior-level executives with SAS and propose what they are convinced is the most appropriate business model to accommodate the seven realities:  The Information Evolution Model.

SAS first introduced the Information Evolution Model (IEM) in 2003, and since then, the volume of information available to organizations has grown to mammoth proportions. Management of information has become more important as intelligent, forward-thinking executives realize they need  “a mental software upgrade — a better way of looking at, understanding, and then acting in and on the information-rich world in which we now operate,” says Thornton May in the book’s foreword.

The IEM identifies five levels of information management maturity:

1. Operational: Individual data “ownership” and control is applied to tackle day-to-day functional issues.

2. Consolidation: Individual-level perspective is replaced by departmental or functional-level standards, metrics, and perspective on all dimensions.

3. Integration: Expands Level 2 consolidation into an enterprisewide view.

4. Optimization: The organization understands its markets and adapts constantly to stay optimally aligned with them.

5. Innovation: A significant percentage of revenue is gained from projects and ideas less than three years old; growth is fueled by ongoing creativity and renewal.

Nearly 70 percent of today’s companies will discover that they operate at Level 1 or 2. But once an assessment is completed, the model helps managers construct a map to determine where the company needs to be and the fastest, most reliable route to that destination. Enlightening case studies demonstrating how real companies have used IEM to slash costs, boost productivity, and stay well ahead of the innovation curve complete the book.

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For those who wish to know more about The Information Evolution Model, I urge them to read the book and/or click here.