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If technology disappeared, what would your business look like? Virtually every company is a
technology company in some way: Either technology is your product or service, or it supports
your products or services.

IT typically eats up 1 percent to 10 percent of a company¶s overall annual revenues and often 30
percent to 50 percent of its capital expenditures, according to The Executive¶s Guide to
Information Technology (Wiley, 2007). No wonder IT-related nightmares keep executives up at
night.

Why do technology strategies often underperform when it comes to delivering business value?
Usually it¶s because they lack the strategy-to-capabilities-to-initiative mindset that can be
instrumental in delivering an executable technology strategy that¶s better aligned with business
objectives, potentially saving significant amounts of money.

First, let¶s be clear about what this mindset means and why it¶s important. Though business is
obviously more complex, football offers a perfect analogy.

It happens every fall. We watch our favorite football teams either squander their season or, if
we¶re lucky, win the Super Bowl. How did they waste all that talent? Contrarily, how did they
get so far with that talent? Then there are the teams that continue to excel year after year²
regardless of the players. How do they do it? By thinking first about strategy, then about the
capabilities needed to execute that strategy and, finally, about the plays or tactics to implement
the strategy.

While the best football organizations have a clear strategy, they also have the capabilities to
execute on that strategy. You can¶t be a passing team without the ability to throw, catch and
block. Even if you have the best quarterback in the league, without the other skills to
complement him, you are not going to win many games. It is the identification of a clear strategy
(we are going to be a passing team); the identification of key capabilities required to execute that
strategy (block, catch, throw); and the tactics or plays with which to develop those capabilities
that lead to success.

A ³hail Mary pass´ may create a lot of excitement for a few minutes, but a single play rarely
wins the Super Bowl. Neither will a single IT project that¶s not backed by capabilities drive
business success. Having the right capabilities in place is what wins in both football and IT.