In many organizations, departments like Human Resources, Finance, Accounting, Sales, and Marketing are acknowledged as central pillars that support the overarching goals and profitability of a business. Each typically holds a coveted seat at the executive table, directly tied to their perceived contribution to the bottom line. However, there’s one crucial department that often finds itself relegated to the sidelines, viewed not as a strategic asset but as a mere operational cost: Information Technology (IT).

This common perspective on IT as just another expense is not only outdated but also detrimental to a company’s success. While it’s true that IT incurs significant costs from infrastructure, support, and development, the value it brings goes far beyond its expense line on a ledger. Today, technology underpins almost every aspect of a business, enabling all other departments to function effectively and efficiently. Without a robust IT backbone, sales teams couldn’t connect with prospects, accounting couldn’t process invoices, and customer service would falter without data access.

The Indispensable Nerve Center

Consider the core systems that drive any business: lead generation, lead conversion, product/service delivery, and collection. Each of these critical functions relies heavily on technology, from customer relationship management systems tracking leads to secure payment processing for collections. This digital framework is not just supporting business operations; it is wholly enabling them.

Yet, despite its integral role, IT often doesn’t get the respect or recognition it deserves. One reason might be the difficulty in quantifying its contributions in direct financial terms. While sales can report revenue generated, and marketing can point to campaign returns, IT’s outputs are more about enabling these successes rather than being directly responsible for them. This indirect contribution makes IT’s value harder to measure but no less significant.

More Than Just a Cost Center

The perception of IT as solely a cost center is a view that needs revising. Every time an employee logs into a secure system, every customer transaction processed, and every piece of data stored and retrieved, IT’s hand is at play, safeguarding and facilitating business continuity and growth. If we were to hypothetically shut down all IT systems for a day, the immediate paralysis across all operations would highlight the catastrophic impact on revenue and functionality. Such a drastic measure would help quantify IT’s value, showing just how much potential revenue depends on uninterrupted IT services.

Let’s put this into perspective with a hypothetical scenario: if a business generates $1 million per day, and its IT systems ensure operational continuity 200 days a year, then IT contributes to sustaining $200 million in revenue annually. This figure alone should prompt a reconsideration of how we value IT within corporate structures.

Rethinking IT’s Role in Business Strategy

Organizations must start viewing their IT departments as vital assets rather than just operational necessities. Integrating IT strategy with business strategy allows for a holistic approach where technology solutions are tailored not just for maintenance and support, but for growth and competitive advantage. IT should be involved in planning and decision-making processes, not only to provide insights into technological capabilities and limitations but also to help steer the company towards innovative solutions that enhance productivity and profitability.

Far from merely being a cost center, IT should be regarded as a strategic asset that is essential to both day-to-day operations and long-term success. By recognizing the true value of IT and integrating it into core business strategies, organizations can unlock new levels of efficiency, innovation, and profitability. The time has come for IT to be appreciated not just for its support role but for its central role in driving business forward. This change is not merely beneficial; it is crucial for any organization that aims to succeed in today’s technologically driven marketplace. Recognizing IT’s true value and integrating it into the heart of business strategy is not just a good practice—it’s an essential one for any forward-thinking organization looking to thrive in the modern marketplace.

Marlon Cole
CEO – Hekima Business Solutions