How do you measure IT innovation's impact on your performance?

1 Define your IT innovation goals

The first step in measuring IT innovation is to define your IT innovation goals and align them with your organizational strategy and vision. What are the specific objectives and benefits that you want to achieve from IT innovation? How do they support your business goals and customer needs? How do they fit with your IT capabilities and resources? By defining your IT innovation goals, you can establish a clear direction and purpose for your IT innovation efforts and communicate them to your stakeholders. You can also use your IT innovation goals as a basis for selecting and prioritizing your IT innovation projects and initiatives.

2 Choose your IT innovation metrics

The next step in measuring IT innovation is to choose your IT innovation metrics and indicators that will help you track and evaluate your IT innovation performance and progress. IT innovation metrics can be divided into two main categories: input metrics and output metrics. Input metrics measure the resources and activities that you invest in IT innovation, such as time, money, people, tools, methods, ideas, and collaborations. Output metrics measure the results and outcomes that you generate from IT innovation, such as revenue, cost savings, customer satisfaction, quality, productivity, efficiency, agility, and learning. You should choose a balanced mix of input and output metrics that reflect your IT innovation goals and cover the different stages and dimensions of IT innovation, such as ideation, development, implementation, adoption, and impact. You should also ensure that your IT innovation metrics are SMART: specific, measurable, achievable, relevant, and time-bound.

3 Collect and analyze your IT innovation data

The third step in measuring IT innovation is to collect and analyze your IT innovation data and information that will help you monitor and assess your IT innovation performance and progress. You should define the sources, methods, and frequency of data collection for your IT innovation metrics and indicators, such as surveys, interviews, observations, experiments, reports, dashboards, and feedback. You should also establish the roles, responsibilities, and processes for data collection, validation, storage, and sharing among your IT innovation team and stakeholders. You should use appropriate tools and techniques to analyze your IT innovation data and information, such as statistics, graphs, charts, tables, and narratives. You should also compare your IT innovation data and information with your IT innovation goals, benchmarks, and best practices to identify gaps, strengths, weaknesses, opportunities, and threats.

4 Report and communicate your IT innovation results

The fourth step in measuring IT innovation is to report and communicate your IT innovation results and insights that will help you inform and influence your IT innovation decisions and actions. You should define the format, content, and frequency of reporting and communication for your IT innovation metrics and indicators, such as presentations, documents, newsletters, blogs, and stories. You should also identify the target audience, purpose, and tone of reporting and communication for your IT innovation metrics and indicators, such as executives, managers, peers, customers, and partners. You should use clear, concise, and compelling language and visuals to report and communicate your IT innovation results and insights, highlighting the key findings, achievements, challenges, and recommendations. You should also solicit and respond to feedback and questions from your IT innovation team and stakeholders, and use it to improve your IT innovation measurement system.

5 Review and improve your IT innovation measurement system

The fifth step in measuring IT innovation is to review and improve your IT innovation measurement system and practices that will help you enhance your IT innovation performance and impact. You should conduct regular and systematic reviews and evaluations of your IT innovation measurement system and practices, such as audits, surveys, interviews, and workshops. You should also involve your IT innovation team and stakeholders in the review and improvement process, and encourage their participation, input, and feedback. You should identify the strengths, weaknesses, opportunities, and threats of your IT innovation measurement system and practices, and develop and implement action plans to address them. You should also monitor and measure the effectiveness and efficiency of your IT innovation measurement system and practices, and celebrate and reward your IT innovation successes and learnings.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?