IT Organizations in the Age of AI

or... How to Set Up Your IT Organization to Reflect New AI Capabilities, New Work Concepts, and Methods for Project Delivery and IT Operations

Just a reminder: The content was written by me and is not AI-generated. However, it has been corrected in grammar and spelling by DeepL Write and the picture was done by DallE.

Introduction The world is changing rapidly. Although this is a common state for IT professionals, the pace of change even here threatens to overwhelm classical IT organizations. In the following article, I describe an optimal state for IT to perfectly support the business and act as an innovation engine for the company. This is a goal scenario; keep in mind that the transformation to that perfect state needs a careful approach and a lot of change management.

Agility Agile setups offer many advantages, but simply renaming a specific IT department into a product name is not enough. While the product itself matters, the business alignment is just as important. Your consulting teams should know as much about the current business processes and company culture as they do about the technology’s capabilities. Instead of a purely agile approach, a classical part is equally important. Having the lead consultant or the product lead on the leadership team of the department it supports enhances communication, helps manage expectations, and provides another direct feedback channel into the IT organization and the business.

Metrics Metrics, sometimes seen as management methods of the 90s, are as important as your internal setup. They help take emotions out of discussions, provide a good indication of whether you are still on track, and deliver direct value to the business. Make sure all your initiatives are accompanied by a KPI/OKR-driven approach.

Team Setup Your main vehicle for delivery is human beings—your experts, project managers, business liaisons, freelancers, and developers. Despite setting them in different product teams, they need to act as one team. The constant change requires constant learning, which can only be achieved through diversity. A good mix of experienced people and fresh, motivated candidates has proven to be a significant advantage. Your team usually learns more from each other (and freelancers and suppliers) than they did at university or school. This also applies to a good mix of genders and ethnic backgrounds. Different approaches to solving a common problem widen the horizon. The only two requirements for candidates in your team are the right attitude and a good understanding of technology and business processes. This holds regardless of whether they are Gen Z, Y, X, or senior baby boomers—as long as the mix is right.

The Way We Work Personally, I don't care whether people are sitting in the office or working remotely, as long as the results are fine. However, this could also apply to a football team (I mean real European football, sorry US folks). As long as they win, everything is fine. But the setup of your work culture is key to the results on the field. There needs to be physical exchange and personal talk in the real world. Coming together in an office has as many benefits as giving your team the opportunity to work from home or the beach. The right mixture is the secret. Shared office days strengthen team spirit and foster conversations that might never happen on virtual platforms. Celebrating success is also something that brings people together, often forgotten in daily business. When team members know each other's strengths and weaknesses, it helps with constant learning and managing expectations in complex situations.

Summary In the age of AI, IT organizations must balance agility with classical methods, using metrics to guide progress and ensuring team diversity for continuous learning. A flexible work culture that combines remote and in-office work enhances team cohesion and effectiveness. By aligning IT closely with business processes and fostering open communication, IT can act as an innovation engine for the company. The transformation requires careful planning and change management, but the results will position your IT organization to thrive in this rapidly evolving landscape.

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