Tag: IT

  • 10 best IT financial management software

    10 best IT financial management software

    Discover the top 10 IT financial management software tools, featuring comprehensive insights into their key functionalities, pricing, and suitability for various organizations. Make informed decisions to optimize your IT spending and enhance financial accountability.

    Explore the 10 best IT financial management software: a comprehensive guide

    Here’s an expanded version of the best IT financial management software tools, providing a comprehensive look into their features, strengths, and suitability for different types of organizations. This expanded guide aims to equip you with the necessary insights to make an informed decision based on your business needs.

    1. Apptio (IBM)

    Key Features:

    • Technology Business Management (TBM): Apptio’s flagship feature aligns IT spending with business outcomes, allowing organizations to analyze their IT costs about profitability and performance metrics.
    • Cost Transparency: It offers detailed insights across cloud, on-premises, and SaaS platforms, enabling finance and IT teams to see exactly where money is being spent.
    • Benchmarking: Apptio provides benchmarking tools that compare costs against industry standards on metrics such as unit costs per server or application, helping businesses identify areas for improvement.

    Best For: Enterprises looking to align IT investments directly with business value and strategic initiatives.

    Pricing: Follow up for custom quotes based on company size and needs, typically in the $$$$ range.

    2. ServiceNow IT Financial Management (ITFM)

    Key Features:

    • IT Budgeting and Forecasting: Offers detailed planning tools that incorporate historical data and predictive analytics to create realistic budgets for future IT expenditures.
    • Chargeback/Showback Models: Enables IT departments to charge back costs to business units or show them where they are spending money, promoting accountability and better financial responsibility.
    • Integration: Seamlessly integrates with ServiceNow’s IT Asset Management (ITAM) and Configuration Management Database (CMDB) to provide a holistic view of IT assets and their costs.

    Best For: Organizations already utilizing ServiceNow for IT Service Management (ITSM) who want to extend their financial capabilities.

    Pricing: Starts at around $100/user/month.

    3. CloudHealth by VMware

    Key Features:

    • Multi-Cloud Optimization: CloudHealth excels in managing costs across multiple cloud environments, providing insights into both AWS and Azure costs effectively.
    • Reserved Instance Planning: The tool also helps organizations plan for Reserved Instances (RI), with built-in recommendations for rightsizing resources to maximize cost efficiency.
    • Custom Dashboards: Offers customizable dashboards to enhance visibility and understanding of cloud spend for FinOps teams, ensuring they can act quickly on insights.

    Best For: Large enterprises with complex multi-cloud environments looking to refine their cloud financial strategies.

    Pricing: Typically starts at $5,000/year depending on the scope of usage.

    4. Flexera One

    Key Features:

    • Unified IT Financial Management: Flexera One consolidates financial management for hybrid environments including cloud, SaaS, and on-premises infrastructure.
    • Software License Optimization: The software not only manages financials but also tracks software usage to ensure compliance with licensing agreements and optimize expenditures.
    • Chargeback Workflows: Provides customizable workflows for IT chargebacks that accommodate a variety of business needs.

    Best For: Companies with complex software licensing and diverse technology environments.

    Pricing: Pricing is available on a subscription basis, often in the $$$$ range.

    5. SAP S/4HANA (IT Financials Module)

    Key Features:

    • Integrated ERP Financials: The IT Financials module allows seamless integration with broader ERP functionalities, providing an end-to-end view of finances directly tied to technology management.
    • Real-Time Analytics: SAP provides robust analytical tools to monitor IT project budgets and follow CAPEX and OPEX closely, aiding data-driven decisions.
    • Predictive Budgeting: Leverages advanced analytics to offer AI-driven predictive budgeting capabilities, helping organizations anticipate future financial needs.

    Best For: Firms already embedded in the SAP ecosystem seeking comprehensive financial integration.

    Pricing: Custom quotes based on the specific configuration and modules.

    6. Snow Software

    Key Features:

    • SaaS and Cloud Spend Management: Tracks and manages costs across various SaaS applications, enabling businesses to effectively control their software expenses.
    • Software License Utilization: The platform provides insights into license usage, helping eliminate underutilized subscriptions and ensuring compliance.
    • Custom Cost Allocation: Enables tagging and attribution of costs directly to IT projects or business units for better financial transparency.

    Best For: Organizations with significant SaaS reliance looking to reduce costs and manage compliance efficiently.

    Pricing: Starts at approximately $15,000/year, scalable based on needs.

    7. Zylo

    Key Features:

    • SaaS Expense Management: Focuses on offering solutions for ongoing SaaS spend management, including tools for renewal forecasting and subscription audits.
    • License Optimization: States how to revamp the utilization of SaaS licenses by providing detailed analytics on usage patterns, identifying redundancies, and optimizing spend.
    • Benchmarking: Also provides benchmarking capabilities to compare SaaS expenses against industry standards.

    Best For: Organizations looking to combat SaaS waste and improve subscription management.

    Pricing: Custom quotes to accommodate varying organizational sizes.

    8. Freshservice (ITFM Module)

    Key Features:

    • Integrated ITSM and ITFM: Provides a smooth interaction between IT service management and financial management, enhancing operational efficiency.
    • Asset Lifecycle Cost Tracking: Allows tracking of the costs associated with IT assets from procurement through retirement, ensuring better asset management.
    • Low-Code Workflows: Its low-code workflow capabilities facilitate easy approval processes, streamlining budget requests and financial approvals across departments.

    Best For: SMBs searching for a straightforward, streamlined ITFM solution.

    Pricing: Starts at $29/agent/month, making it very accessible.

    9. Tanium

    Key Features:

    • Real-Time Asset Inventory: Tanium offers real-time visibility into all IT assets and their associated costs, enabling companies to understand the full lifecycle costs of their assets.
    • Endpoint Lifecycle Cost Management: Provides tools for analyzing the costs associated with endpoints, helping businesses make informed decisions about refresh cycles and upgrades.
    • Security Cost-Risk Analysis: Combines security insights with cost management, allowing businesses to assess the financial impacts of vulnerabilities related to their assets.

    Best For: Organizations prioritizing security alongside financial management in asset allocation.

    Pricing: Custom quotes, typically higher-end due to its specialized functionality.

    10. Microsoft Azure Cost Management

    Key Features:

    • Azure-Native Cost Tracking: Directly integrates with Azure services to track costs and spending insights with great accuracy.
    • Budgeting Alerts: Users can set budget thresholds, with timely alerts to prevent overspending in their Azure environments.
    • Multi-Cloud Support: While primarily for Azure, it provides connectors that facilitate cost management for AWS and Google Cloud environments as well.

    Best For: Businesses already using Microsoft Azure and looking for straightforward cost analysis tools.

    Pricing: Free for Azure users; connectors for other clouds start at around $50/month.

    Side-by-Side Comparison

    ToolKey StrengthsBest ForPricingIntegrations
    ApptioTBM alignment & benchmarkingEnterprises$$$$AWS, Azure, SAP, ServiceNow
    ServiceNow ITFMITSM integration & chargebacksServiceNow users$$$CMDB, ITAM, Jira
    CloudHealthMulti-cloud optimizationFinOps teams$$$AWS, Azure, GCP, Kubernetes
    Flexera OneHybrid cloud & license complianceComplex IT environments$$$$Salesforce, Oracle, SAP
    SAP S/4HANAERP-integrated financialsSAP ecosystem$$$$SAP Ariba, SuccessFactors
    Snow SoftwareSaaS & license managementSaaS-heavy orgs$$$Microsoft 365, Zoom, AWS
    ZyloSaaS renewal automationReducing SaaS waste$$$Slack, Workday, Okta
    FreshserviceSMB-friendly ITSM + ITFMSmall teams$Jira, Slack, Microsoft Teams
    TaniumSecurity-cost correlationAsset lifecycle management$$$$ServiceNow, Splunk, CrowdStrike
    Azure Cost ManagementAzure-native cost controlMicrosoft-centric teamsFree–$AWS, GCP connectors

    Best Overall: Apptio (IBM)

    Why It’s #1:

    Apptio stands out as the top choice due to its robust Technology Business Management (TBM) framework, which allows organizations to intricately align their IT spending with broader business outcomes such as profitability and performance metrics. Its ability to unify cloud, SaaS, and on-premises costs—while benchmarking against industry peers—makes it indispensable for enterprises.

    Apptio equips organizations with the necessary insights to determine the impact of IT investments on business growth. For companies whose primary focus is on cloud spend, alternatives like CloudHealth or Azure Cost Management are excellent choices, but Apptio’s strategic insights and scalability justify its premium pricing.

    Key Considerations

    1. Company Size:
      • SMBs: For small to midsize businesses, tools like Freshservice or Azure Cost Management may offer the right balance between functionality and pricing.
      • Enterprises: Larger organizations should consider Apptio, ServiceNow ITFM, or SAP S/4HANA for comprehensive ITFM capabilities that align with complex structures.
    2. Cloud Focus:
      • Multi-cloud Needs: If your organization operates in a multi-cloud environment, CloudHealth or Flexera can provide optimized management across platforms.
      • Azure-Centric: For businesses heavily invested in Azure, the Azure Cost Management tool serves as a robust solution for tracking expenses efficiently.
    3. SaaS Management: If your operations are heavily reliant on various SaaS applications, Snow Software or Zylo provide excellent solutions for optimizing SaaS usage and managing subscriptions.
    4. Integration Requirements: When selecting an IT financial management tool, it’s important to consider existing systems. Tools that integrate well with your ERP or ITSM stack, such as ServiceNow for ITSM or SAP for enterprise resource planning, will likely yield the best results.

    Final Tip: Initiate your search by implementing free tools like Azure Cost Management or AWS Cost Explorer to gain preliminary insights into cloud spending. As your needs become more defined, explore enterprise-grade solutions like Apptio or Flexera to enhance collaboration between finance and IT departments. Utilize insights from tools like Snow or Zylo to negotiate SaaS license savings effectively and eliminate unnecessary expenditures.

    FAQs

    1. What is IT financial management software?

    IT financial management software helps organizations manage their IT budget, track spending, and align IT costs with business outcomes.

    2. Why is IT financial management important?

    It enhances financial accountability, optimizes IT spending, and provides insights into aligning IT investments with organizational goals.

    3. How do I choose the right software for my organization?

    Consider factors such as company size, cloud focus, SaaS usage, and integration requirements when selecting IT financial management software.

    4. Are there free options available?

    Yes, tools like Microsoft Azure Cost Management and AWS Cost Explorer offer free or low-cost solutions for initial insights into cloud spending.

    5. Can these tools integrate with existing systems?

    Many IT financial management tools seamlessly integrate with ERP and ITSM systems, enhancing overall functionality.

    6. What is the pricing range for these tools?

    Pricing varies widely; some tools may cost a few hundred dollars per user per month, while others may require custom quotes worth thousands based on usage and requirements.

    7. Which software is best for small businesses?

    Tools like Freshservice and Azure Cost Management are often recommended for small to midsize businesses due to their functionality and pricing.

    8. How can I optimize SaaS spending?

    Using tools like Snow Software and Zylo can help manage subscriptions and eliminate redundant expenses effectively.

  • IT Financial Management (ITFM)

    IT Financial Management (ITFM)

    Master IT financial management (ITFM) to align technology investments with business goals, optimize costs, and drive sustainable growth in today’s digital landscape. Discover key strategies, challenges, and the future of ITFM in your organization.

    Mastering IT Financial Management: A Strategic Approach to Technology Investment

    In today’s fast-evolving digital landscape, IT financial management (ITFM) has emerged as a critical discipline for organizations aiming to balance innovation with fiscal responsibility. Far more than a budgeting exercise, ITFM is about aligning technology investments with business goals, optimizing costs, and ensuring sustainable growth.

    As companies increasingly rely on IT to drive operations and customer experiences, mastering this practice is no longer optional—it’s a competitive necessity. Let’s explore what ITFM entails, why it matters, and how organizations can approach it strategically.

    What Is IT Financial Management?

    At its core, IT financial management is the process of planning, controlling, and optimizing the financial resources allocated to information technology within an organization. It encompasses budgeting for hardware, software, cloud services, and personnel, as well as tracking expenditures, forecasting future needs, and measuring the return on investment (ROI) of IT initiatives. Unlike traditional financial management, ITFM requires a deep understanding of both technical and business domains, bridging the gap between CIOs and CFOs.

    The stakes are high. Poor ITFM can lead to overspending on underutilized tools, missed opportunities for innovation, or even operational disruptions due to unexpected costs. On the flip side, effective ITFM empowers organizations to maximize value, reduce waste, and adapt quickly to changing market demands.

    Why ITFM Matters Now More Than Ever

    The rapid pace of technological change has transformed IT from a support function into a strategic driver. Cloud computing, artificial intelligence, and cybersecurity demands are pushing IT budgets to new heights. At the same time, economic uncertainty and competitive pressures require organizations to justify every dollar spent. This dual challenge makes ITFM a linchpin for success.

    Consider this: a company might invest heavily in a cutting-edge customer relationship management (CRM) system, only to discover that half its features go unused because employees weren’t trained properly. Or a business might cling to legacy infrastructure, racking up maintenance costs, when a shift to the cloud could save millions. These scenarios highlight the need for a proactive, data-driven approach to IT spending—one that ITFM provides.

    A Strategic Framework for IT Financial Management

    To move beyond reactive cost-cutting and into strategic ITFM, organizations can adopt the following framework:

    Gain Full Visibility into IT Costs:

    The first step is understanding where the money is going. This means breaking down IT expenses into granular categories—hardware, software licenses, subscriptions, staffing, and third-party services. Modern ITFM tools can help automate this process, providing real-time dashboards that reveal hidden costs, such as unused cloud instances or overlapping software subscriptions. Transparency is the foundation of control.

    Align IT Spending with Business Objectives:

    Every IT dollar should serve a purpose tied to the company’s goals. For example, if the priority is improving customer satisfaction, investments in user-friendly interfaces or faster server response times might take precedence over, say, experimental AI projects. Regular collaboration between IT leaders and business units ensures that spending reflects strategic priorities rather than departmental whims.

    Embrace Cost Optimization as a Mindset:

    Optimization doesn’t mean slashing budgets indiscriminately—it’s about getting more value from existing resources. This could involve renegotiating vendor contracts, consolidating redundant tools, or shifting to pay-as-you-go cloud models. One innovative tactic is “rightsizing”—analyzing usage patterns to scale resources up or down dynamically, avoiding overprovisioning.

    Measure and Communicate Value:

    ITFM isn’t just about cutting costs; it’s about proving IT’s worth. Develop metrics that go beyond uptime or ticket resolution rates. For instance, calculate how a new system reduced customer churn or how automation saved employee hours. Presenting these wins in financial terms—dollars saved or revenue gained—builds trust with stakeholders and secures buy-in for future investments.

    Plan for the Future with Flexibility:

    Technology evolves unpredictably, so IT budgets must be both forward-looking and adaptable. Scenario planning can help—modeling best-case, worst-case, and likely outcomes for major projects. A reserve fund for emerging trends (like quantum computing or next-gen cybersecurity) can also prevent organizations from being caught off-guard.

    Overcoming Common ITFM Challenges

    Even with a solid framework, pitfalls abound. One frequent issue is “shadow IT”—when employees bypass formal channels to purchase tools, creating hidden costs and security risks. To counter this, foster a culture of collaboration where IT is seen as an enabler, not a gatekeeper. Another challenge is data silos, where fragmented systems obscure the full financial picture. Investing in integrated ITFM software can break down these barriers.

    Perhaps the biggest hurdle is resistance to change. Finance teams may view IT as a cost center, while IT leaders may resist scrutiny of their decisions. Bridging this divide requires a shared language—translating tech benefits into financial outcomes and vice versa.

    The Future of IT Financial Management

    Looking ahead, ITFM will only grow in complexity and importance. As artificial intelligence and machine learning become standard tools. They’ll also play a role in ITFM itself—predicting cost trends, identifying inefficiencies, and even recommending budget allocations. Meanwhile, the rise of sustainability goals will push organizations to factor environmental costs (like energy usage) into their IT financial equations.

    Conclusion: From Cost Control to Value Creation

    IT financial management is no longer a back-office chore—it’s a strategic lever for driving business success. Organizations can unlock innovation, streamline operations, and stay ahead of the curve by treating IT investments as opportunities rather than expenses. The key lies in blending financial discipline with technological vision. Ensuring that every byte of data and dollar spent works toward a brighter, more profitable future.

    Frequently Asked Questions (FAQs)

    1. What is IT Financial Management (ITFM)?

    ITFM is the process of planning, controlling, and optimizing financial resources allocated to IT within an organization, ensuring investments align with business goals.

    2. Why is ITFM important?

    ITFM helps organizations manage costs, maximize value from IT investments, and adapt to rapid technological changes while maintaining fiscal responsibility.

    3. What are the key components of an effective ITFM strategy?

    Key components include gaining visibility into IT costs, aligning spending with business objectives, embracing cost optimization, measuring value, and planning for future flexibility.

    4. What challenges do organizations face with ITFM?

    Common challenges include shadow IT, data silos, and resistance to change, which can obscure financial insights and hinder collaboration between IT and finance teams.

    5. How can organizations measure the value of their IT investments?

    Organizations should develop metrics that go beyond operational metrics, focusing on financial outcomes like cost savings or revenue generated from IT initiatives.

    6. What is the future of ITFM?

    The future of ITFM will involve increased complexity with AI and machine learning playing a role in predicting cost trends and integrating sustainability goals into financial planning.

  • How to create an it strategic plan

    How to create an it strategic plan

    Creating an effective IT Strategic Plan is essential for aligning technology with business goals, maximizing investments, and enhancing operational efficiency. This comprehensive guide covers key steps, including understanding business objectives, assessing current IT capabilities, defining strategic objectives, and establishing a roadmap for implementation. Avoid common pitfalls and ensure long-term success by engaging stakeholders, prioritizing initiatives, and monitoring progress.

    Explain How to create an it strategic plan

    Creating an IT Strategic Plan is crucial for aligning technology initiatives with business objectives, maximizing investments, and ensuring that IT infrastructure can adapt to the ever-evolving demands of the organization. Below, you will find an expanded guide that delves deeper into each step of the process for developing a comprehensive and effective IT strategic plan.

    1. Understand Business Objectives

    The foundation of any created IT strategic plan lies in its alignment with the overarching business strategy. Here’s how to effectively align the two:

    • Engage stakeholders: Conduct in-depth interviews with various stakeholders, including executives, department heads, and key users, to gather insights about their needs and expectations. This engagement not only helps identify critical business priorities but also fosters a sense of ownership in the IT planning process.
    • Review organizational goals: Examine the organization’s mission statement, vision, and long-term goals. Understanding these elements is essential for identifying how IT can contribute to fulfilling them. For example, if the business goal is to expand into new markets, consider how technology can support this by improving customer engagement or operational efficiency.
    • Define IT’s strategic role: Clearly articulate how IT can enable or accelerate business objectives. This could involve reducing operational costs through automation or enhancing customer experiences via improved digital services.

    2. Assess Current IT Capabilities

    A thorough assessment of existing IT capabilities is crucial in identifying gaps and areas for improvement:

    • Inventory existing systems: Create a comprehensive list of current IT assets, including hardware, software applications, network infrastructure, and cloud services. Knowing what you have is essential for making informed decisions about future investments.
    • Evaluate performance: Utilize key metrics to inform your assessment, which might include system uptime percentages, user satisfaction scores, the volume of support requests, and the frequency of cybersecurity incidents. Performance evaluations provide a quantitative measure of how well IT services are meeting business needs.
    • Conduct a SWOT analysis:
      • Strengths: Identify what your IT department is doing well. This could include having a highly skilled team or robust cybersecurity measures.
      • Weaknesses: Recognize areas that need improvement, such as outdated systems or lack of integration between platforms.
      • Opportunities: Explore technological advancements that may benefit the organization, such as cloud computing, automation, or data analytics.
      • Threats: Assess external risks that may impact IT, including emerging security threats, compliance changes, or market competition.

    3. Define IT Strategic Objectives

    Establishing clear IT strategic objectives is essential for steering efforts and tracking progress:

    • Set high-level IT goals: Identify 3-5 key objectives that will support the broader goals of the organization. These goals should be specific, measurable, achievable, relevant, and time-bound (SMART). For instance:
      • Digital transformation: Migrate 80% of current workloads to the cloud within three years to enhance flexibility and scalability.
      • Cybersecurity enhancement: Aim to achieve full compliance with ISO 27001 standards within the next 18 months to strengthen data protection measures.
      • User experience improvement: Reduce the average system downtime to less than 1% annually to ensure constant availability of services.
      • Innovation through technology: Implement machine learning tools for process automation within the next two years, aimed at improving operational efficiency.

    4. Prioritize Initiatives

    Once objectives are set, break them down into specific projects and prioritize them based on various criteria:

    • Assess business impact: Evaluate how each initiative aligns with business goals and its potential to drive revenue growth or achieve cost reductions. Prioritizing projects with high business impact ensures that resources are allocated effectively.
    • Feasibility study: Consider the budget, timeline, and resources available for each initiative. Some projects may require significant investment, while others could be implemented quickly and with minimal cost.
    • Risk evaluation: Assess the risks associated with each project, such as regulatory compliance issues or potential cybersecurity vulnerabilities, to ensure that the chosen initiatives align with the organization’s risk tolerance.

    Example prioritization framework:

    InitiativeEstimated CostTimelineBusiness ImpactPriority Level
    Cloud migration$200K12 monthsHigh1
    ERP system upgrade$500K18 monthsMedium2
    Cybersecurity enhancements$150K6 monthsHigh3

    5. Develop a Roadmap

    A roadmap is essential for visualizing the timeline and pathway for implementation:

    • Create a phased approach: Group initiatives into short-term (0–12 months), mid-term (1–3 years), and long-term (3–5 years) categories. This approach helps to balance immediate needs with long-term goals.
    • Budget allocation: Develop cost estimates for each project, distinguishing between capital expenditure (CAPEX) and operational expenditure (OPEX), to align investments with financial planning.
    • Resource planning: Identify which internal teams or external vendors will be responsible for executing each initiative, ensuring that the necessary expertise is available.

    Sample Roadmap:

    Year 1Year 2Year 3
    Complete cloud migrationImplement ERP upgradeRoll out full automation
    Conduct comprehensive cybersecurity trainingLaunch AI pilot projectsExplore new digital products

    6. Address Governance & Risk

    Establishing governance structures and risk management processes is crucial for oversight and accountability:

    • Establish a governance framework: Form an IT steering committee consisting of key stakeholders who will provide direction and oversight for IT initiatives. This committee should meet regularly to review progress and make strategic decisions.
    • Utilize best practices: Implement established frameworks, such as COBIT (Control Objectives for Information and Related Technologies) or ITIL (Information Technology Infrastructure Library), to guide IT operations and governance. These frameworks can provide valuable tools and processes for managing IT effectively.
    • Implement risk management strategies: Identify potential risks such as data breaches, project delays, or compliance issues. Develop mitigation strategies, including disaster recovery plans, regular security audits, and incident response protocols.

    7. Plan for Change Management

    Successful adoption of new technologies and processes often hinges on effective change management:

    • Training programs: Invest in comprehensive training for employees on new tools and processes. This can range from online tutorials to hands-on workshops, depending on the complexity of the technologies being implemented.
    • Ongoing communication: Keep stakeholders informed throughout the implementation process. Regular updates via newsletters or team meetings can help maintain engagement and address concerns.
    • User feedback: Create forums for users to provide feedback regarding new technologies. Surveys, focus groups, or pilot testing can help gauge user satisfaction and highlight areas needing adjustment.

    8. Monitor & Adapt

    Ongoing monitoring and adjustment are necessary to ensure that the IT strategic plan remains relevant and effective:

    • Define key performance indicators (KPIs): Establish metrics to measure the success of each initiative. Common KPIs may include return on investment (ROI), average system uptime, user adoption rates, and satisfaction scores.
    • Conduct regular reviews: Schedule quarterly or semi-annual reviews to compare the actual outcomes with the planned objectives. This helps identify any discrepancies and allows for course corrections as needed.
    • Embrace agility: Be prepared to pivot or adjust the strategic plan in response to changing business conditions, such as regulatory changes, technological advancements, or shifts in market demand.

    9. Document & Approve the Plan

    Formally documenting the create IT strategic plan is vital for accountability and transparency:

    • Create a detailed report: The plan should include an executive summary, business alignment, current state assessment, strategic objectives, roadmap, governance, risk management strategies, and performance metrics.
    • Obtain approval: Present the document to leadership for review and approval. Gaining buy-in from decision-makers is essential for securing the necessary resources and support for implementation.

    10. Communicate the Plan

    Effective communication is key to ensuring that all stakeholders are on the same page:

    • Share the strategy widely: Distribute the strategic plan across the organization via multiple channels, including town hall meetings, internal emails, and collaboration platforms such as Slack or Microsoft Teams.
    • Use visual summaries: Helping stakeholders understand complex strategies can be easier with visual aids, such as infographics, presentation slides, or charts that illustrate timelines and objectives.

    Common Pitfalls to Avoid

    Here are some common challenges to be wary of during the development of an IT strategic plan:

    1. Lack of stakeholder alignment: Failing to engage key stakeholders early can lead to misalignment and resistance. Ensure that input is gathered from all relevant parties.
    2. Overlooking cybersecurity: Cybersecurity should be a foundational component of any IT strategy. Don’t treat it as an afterthought; integrate security measures into every phase of the planning process.
    3. Setting unrealistic timelines: While ambition is important, ensure that timelines are realistic based on available resources and potential obstacles.
    4. Ignoring legacy systems: Address legacy systems early in the planning process. Determine whether to modernize these systems, replace them, or develop strategies for phased retirement.

    Example IT Strategic Plan Outline

    To summarize the components of an effective IT strategic plan, you might consider the following outline:

    1. Executive Summary: A brief overview of the key points of the plan.
    2. Business Alignment: A detailed analysis of how IT strategy aligns with business goals, including stakeholder input.
    3. Current State Assessment: An overview of the existing IT landscape, including SWOT analysis and gap assessments.
    4. Strategic Objectives & Initiatives: Articulated goals and the specific initiatives designed to achieve them.
    5. Roadmap & Budget: A detailed timeline of initiatives, budget allocation, and anticipated outcomes.
    6. Governance & Risk Management: An outline of governance structures, decision-making processes, and risk management strategies.
    7. Performance Metrics: Identification of KPIs that will measure the success of implemented initiatives.
    8. Appendices: Supporting materials, such as a glossary of terms used or detailed project charts and timelines.

    By following this detailed methodology, you will be well-equipped to create an IT strategic plan that not only reflects the needs of the organization but also drives innovation, enhances operational efficiency, and provides a competitive advantage in an increasingly digital marketplace.

    Frequently Asked Questions (FAQs)

    1. What is an IT Strategic Plan?

    An IT Strategic Plan outlines how technology initiatives will support and align with an organization’s business goals, helping to maximize investment and enhance operational efficiency.

    2. Why is it essential to engage stakeholders?

    Engaging stakeholders ensures that their needs and expectations are considered, fostering ownership in the IT planning process and aligning IT initiatives with business priorities.

    3. What are the key components of an effective IT Strategic Plan?

    Key components include understanding business objectives, assessing current IT capabilities, defining strategic objectives, prioritizing initiatives, and developing a roadmap for implementation.

    4. How do I assess current IT capabilities?

    You can assess current IT capabilities by creating an inventory of existing systems, evaluating performance metrics, and conducting a SWOT analysis to identify strengths, weaknesses, opportunities, and threats.

    5. What are SMART goals in IT strategic planning?

    SMART goals are Specific, Measurable, Achievable, Relevant, and Time-bound objectives that guide IT initiatives to ensure alignment with business goals.

    6. How should I prioritize IT initiatives?

    Prioritize initiatives based on their business impact, feasibility, and associated risks to allocate resources effectively and ensure alignment with strategic objectives.

    7. What is a roadmap in the IT Strategic Plan?

    A roadmap is a visual representation detailing the timeline and pathway for implementing the IT initiatives, categorized into short-term, mid-term, and long-term projects.

    8. How can I ensure successful change management?

    Successful change management can be achieved by providing comprehensive training, maintaining ongoing communication with stakeholders, and actively seeking user feedback throughout the implementation process.

    9. Why is monitoring and adjustment important?

    Ongoing monitoring and adjustment ensure that the IT strategic plan remains relevant and effective in responding to changing business conditions and technology advancements.

    10. What common pitfalls should I avoid?

    Common pitfalls include lack of stakeholder alignment, overlooking cybersecurity, setting unrealistic timelines, and ignoring legacy systems in the planning process.

  • Do You Really Want to your Own a Business?

    Do You Really Want to your Own a Business?


    If “Yes” So, this article of post little help you How to Start. “Hope springs eternal in the human breast,” said English poet and essayist Alexander Pope several centuries ago. He wasn’t describing people expanding or starting a business, but he may as well have been. Everyone who goes into business for themselves hopes to meet or surpass a set of personal goals.

    A business (also known as an enterprise, a company or a firm) is an organizational entity involved in the provision of goods and services to consumers. Businesses serve as a form of economic activity and are prevalent in capitalist economies, where most of them are privately owned and provide goods and services allocated through a market to consumers and customers in exchange for other goods, services, money, or other forms of exchange that hold intrinsic economic value. Businesses may also be social non-profit enterprises or state-owned public enterprises operated by governments with specific social and economic objectives. A business owned by multiple private individuals may form an incorporated company or jointly organize as a partnership. Countries have different laws that may ascribe different rights to the various business entities.

    The word “business” can refer to a particular organization or to an entire market sector (for example: “the financial sector”) or to the sum of all economic activity (“the business sector”). Compound forms such as “agribusiness” represent subsets of the concept’s broader meaning, which encompasses all activity by suppliers of goods and services.

    Sole Ownership: A sole proprietorship (ownership), also known as a sole trader, is owned by one person and operates for their benefit. The owner operates the business alone and may hire employees. A sole proprietor has unlimited liability for all obligations incurred by the business, whether from operating costs or judgments against the business. All assets of the business belong to a sole proprietor, including, for example, a computer infrastructure, any inventory, manufacturing equipment, or retail fixtures, as well as any real property owned by the sole proprietor.

    Do You Really Want to your Own a Business - Sole Ownership

    While your particular configuration is sure to be unique, perhaps you will agree with some of the ones I have compiled over the years from talking to hundreds of budding entrepreneurs.

    Independence: A search for freedom and independence is the driving force behind many businesspeople. Wasn’t it Johnny Paycheck who wrote the song “Take This Job and Shove It?”

    Personal Fulfillment: For many people, owning a business is a genuinely fulfilling experience, one that lifetime employees never know.

    Lifestyle Change: many people find that while they can make a good income working for other people, they are missing some of life’s precious moments. With the flexibility of small business ownership, you can take time to stop and smell the roses.

    Respect: Successful small business owners are respected, both by themselves and their peers.

    Money: You can get rich in a small business, or at least do very well financially. most entrepreneurs don’t get wealthy, but some do. If money is your motivator, admit it.

    Power: When it is your business, you can have your employees do it your way. There is a little Ghengis Khan in us all, so don’t be surprised if power is one of your goals. If it is, think about how to use this goal in a constructive way.

    Right Livelihood: From natural foods to solar power to many types of service businesses, a great many cause-driven small businesses have done very well by doing good.

    If owning a small business can help a person accomplish these goals, it’s small wonder that so many are started. Unfortunately, while the potential for great success exists, so do many risks. Running a small business may require that you sacrifice some short-term comforts for long-term benefits. It is hard, demanding work that requires a wide variety of skills few people are born with. But even if you possess (or more likely acquire) the skills and determination you need to successfully run a business, your business will need one more critical ingredient: money.

    You need money to start your business, money to keep it running, and money to make it grow. This is not the same thing as saying you can guarantee success in your small business if you begin with a fat wallet. now, let me confess to one major bias here. I believe that most small business owners and founders are better off starting small and borrowing, or otherwise raising, as little money as possible. Put another way, there is no such thing as “raising plenty of capital to ensure success.” Unless you, as the prospective business founder, learn to get the most mileage out of every dollar, you may go broke and will surely spend more than you need to. But that doesn’t mean that you should try to save money by selling cheap merchandise or providing marginal services. In today’s competitive economy, your customers want the best you can give them at the best price. They will remember the quality of what they get from you long after they have forgotten how much they paid.

    In practical terms, that means you must buy only the best goods for your customers. Anything that affects the image your business has in your customer’s mind should be first-rate. It also means that you shouldn’t spend money on things that don’t affect the customer. For example, unless you’re a real estate broker your customers probably won’t care if you drive an old, beat-up car to an office in a converted broom closet, as long as you provide them an honest product or service for an honest price. Save the nice car, fancy office, and mobile telephone until after your business is a success.

    Self-Evaluation Exercises

    Here’s a question to ponder: Are you the right person for your business? Because running a business is a very demanding endeavor that can take most of your time and energy, your business probably will suffer if you’re unhappy. Your business can become an albatross around your neck if you don’t have the skills and temperament to run it. Simply put, I’ve learned that no business, whether or not it has sound financial backing, is likely to succeed unless you, as the prospective owner, make two decisions correctly:

    • You must honestly evaluate yourself to decide whether you possess the skills and personality needed to succeed in a small business.
    • You must choose the right business.

    A small business is a very personal endeavor. It will honestly reflect your opinions and attitudes, whether or not you design it that way. Think of it this way: The shadow your business casts will be your shadow. If you are sloppy, rude, crafty, or naively trusting, your business will mirror these attributes. If your personal characteristics are more positive than those, your business will be more positive, too. To put this concretely, suppose you go out for the Sunday paper and are met by a newsie who is groggy from a hangover and badmouths his girlfriend in front of you. chances are that next Sunday will find you at a different newsstand.

    I’m not saying you need to be psychologically perfect to run a small business. But to succeed, you must ask people for their money every day and convince a substantial number of them to give it to you. By providing your goods or services, you will create intimate personal relationships with a number of people. It makes no difference whether you refer to people who give you money as clients, customers, patients, members, students, or disciples. It makes a great deal of difference to your chances of ultimate success if you understand that these people are exchanging their money for the conviction that you are giving them their money’s worth.

    The following self-evaluation exercises will help you assess whether you have what it takes to successfully run a small business. Take out a blank sheet of paper or open a computer file.

    Your Strong and Weak Points

    Take a few minutes to list your personal and business strengths and weaknesses. Include everything you can think of, even if it doesn’t appear to be related to your business. For instance, your strong points may include the mastery of a hobby, your positive personality traits, and your sexual charisma, as well as your specific business skills. Take your time and be generous.

    To provide you with a little help, I include a sample list for Antoinette Gorzak, a personal friend who has what she hopes is a good business idea: a slightly different approach to selling women’s clothing. You’ll get to know her better as we go along. Her strengths, weaknesses, fantasies, and fears are surely different from yours. So, too, almost certainly, is the business she wants to start. So be sure to make your own lists—don’t copy Antoinette’s.

    Your list of strong and weak points will help you see any obvious conflicts between your personality and the business you’re in or want to start. For example, if you don’t like being around people but plan to start a life insurance agency with you as the primary salesperson, you may have a personality clash with your business. The solution might be to find another part of the insurance business that doesn’t require as much people contact.

    Unfortunately, many people don’t realize that their personalities will have a direct bearing on their business success. An example close to the experience of folks at nolo involves bookstores. In the years since nolo began publishing, they have seen all sorts of people, from retired librarians to unemployed Ph.D.’s, open bookstores. A large percentage of these stores have failed because the skills needed to run a successful bookstore involve more than a love of books.

    General and Specific Skills Your Business Needs

    Businesses need two kinds of skills to survive and prosper: Skills for business in general and skills specific to the particular business. For example, every business needs someone to keep good financial records. on the other hand, the tender touch and manual dexterity needed by glassblowers are not skills needed by the average paving contractor. Next, take a few minutes and list the skills your business needs. don’t worry about making an exhaustively complete list, just jot down the first things that come to mind. make sure you have some general business skills as well as some of the more important skills specific to your particular business.

    If you don’t have all the skills your business needs, your backers will want to know how you will make up for the deficiency. For example, let’s say you want to start a trucking business. You have a good background in maintenance, truck repair, and long distance driving, and you know how to sell and get work. Sounds good so far—but, let’s say you don’t know the first thing about bookkeeping or cash flow management and the thought of using a computer makes you nervous. Because some trucking businesses work on large dollar volumes, small profit margins, and slow-paying customers, your backers will expect you to learn cash flow management or hire someone qualified to handle that part of the business.

    Your Likes and Dislikes

    Take a few minutes and make a list of the things you really like doing and those you don’t enjoy. Write this list without thinking about the business—simply concentrate on what makes you happy or unhappy.

    If you enjoy talking to new people, keeping books, or working with computers, be sure to include those. Put down all the activities you can think of that give you pleasure. Antoinette’s list is shown as an example.

    As a business owner, you will spend most of your waking hours in the business, and if it doesn’t make you happy, you probably won’t be very good at it. If this list creates doubts about whether you’re pursuing the right business, I suggest you let your unconscious mind work on the problem. most likely, you’ll know the answer after one or two good nights’ sleep.

    Specific Business Goals

    Finally, list your specific business goals. Exactly what do you want your business to accomplish for you? Freedom from 9 to 5? money—and if so, how much? more time with the children? making the world or your little part of it a better place? It’s your wish list, so be specific and enjoy writing it.

    How to Use the Self-evaluation Lists?

    After you’ve completed the four self-evaluation lists, spend some time reading them over. Take a moment to compare the skills needed in your business to the list of skills you have. do you have what it takes?

    Show them to your family and, if you’re brave, to your friends or anyone who knows you well and can be objective. of course, before showing the lists to anyone, you may choose to delete any private information that isn’t critical to your business. If you show your lists to someone who knows the tough realities of running a successful small business, so much the better. You may want to find a former teacher, a fellow employee, or someone else whose judgment you respect.

    What do they think? do they point out any obvious inconsistencies between your personality or skills and what you want to accomplish? If so, pay attention. Treat this exercise seriously and you will know yourself better. oh, and don’t destroy your lists. Assuming you go ahead with your business and write your business plan, the lists can serve as background material or even become part of the final plan.

    You have accomplished several things if you have followed these steps. You have looked inside and asked yourself some basic questions about who you are and what you are realistically qualified to do. As a result, you should now have a better idea of whether you are willing to pay the price required to be successful as a small businessperson. If you are still eager to have a business, you have said, “Yes, I am willing to make short-term sacrifices to achieve long-term benefits and to do whatever is necessary—no matter the inconvenience— to reach my goals.”

    Reality Check: Banker’s Analysis

    Banks and institutions that lend money have a lot of knowledge about the success rate of small businesses. Bankers are often overly cautious in making loans to small businesses. For that very reason it makes sense to study their approach, even though it may seem discouraging at first glance.

    Do You Really Want to your Own a Business - Bankers

    Banker’s Ideal

    Bankers look for an ideal loan applicant, who typically meets these requirements:

    • For an existing business, a cash flow sufficient to make the loan payments.
    • For a new business, an owner who has a track record of profitably owning and operating the same sort of business.
    • An owner with a sound, well-thought-out business plan.
    • An owner with financial reserves and personal collateral sufficient to solve the unexpected problems and fluctuations that affect all businesses.

    Why does such a person need a loan, you ask? He or she probably doesn’t, which, of course, is the point. People who lend money are most comfortable with people so close to their ideal loan candidate that they don’t need to borrow. However, to stay in business themselves, banks and other lenders must lend out the money deposited with them. To do this, they must lend to at least some people whose creditworthiness is less than perfect.

    Measuring Up to the Banker’s Ideal

    Who are these ordinary mortals who slip through bankers’ fine screens of approval? And more to the point, how can you qualify as one of them? Your job is to show how your situation is similar to the banker’s ideal.

    A good bet is the person who has worked for, or preferably managed, a successful business in the same field as the proposed new business. For example, if you have profitably run a clothing store for an absentee owner for a year or two, a lender may believe you are ready to do it on your own. All you need is a good location, a sound business plan, and a little capital. Then, watch out Neiman-Marcus!

    Further away from a lender’s ideal is the person who has sound experience managing one type of business, but proposes to start one in a different field. let’s say you ran the most profitable hot dog stand in the Squaw valley ski resort, and now you want to market computer software in the Silicon Valley of California. In your favor is your experience running a successful business. on the negative side is the fact that computer software marketing has

    no relationship to hot dog selling. In this situation, you might be able to get a loan if you hire people who make up for your lack of experience. At the very least, you would need someone with a strong software marketing background, as well as a person with experience managing retail sales and service businesses. naturally, both of those people are most desirable if they have many years of successful experience in the software marketing business, preferably in California.

    Use the Banker’s Ideal

    It’s helpful to use the bankers’ model in your decision-making process. Use a skeptical attitude as a counterweight to your optimism to get a balanced view of your prospects. What is it that makes you think you will be one of the minority of small business owners who will succeed? If you don’t have some specific answers, you are in trouble. most new businesses fail, and the large majority of survivors do not genuinely prosper.

    Many people start their own business because they can’t stand working for others. They don’t have a choice. They must be either boss or bum. They are more than willing to trade security for the chance to call the shots. They meet a good chunk of their goals when they leave their paycheck behind. This is fine as far as it goes, but in my experience, the more successful small business owners have other goals as well.

    A small distributor we know has a well thought-out business and a sound business plan for the future. Still, he believes that his own personal commitment is the most important thing he has going for him. He puts it this way: “I break my tail to live up to the commitments I make to my customers. If a supplier doesn’t perform for me, I’ll still do everything I can to keep my promise to my customer, even if it costs me money.” This sort of personal commitment enables this successful business owner to make short-term adjustments to meet his long-range goals. And while it would be an exaggeration to say he pays this price gladly, he does pay it.

    Note: This article of “Do You Really Want to your Own a Business?” from Internet and book of How to Write a Business Plan, only for share knowledge with help.

  • What are Motivation and Factors Influence IT?

    What are Motivation and Factors Influence IT?


    Student motivation in the college classroom involves three interactive components (adapted from Pint rich, 1994). The first component is the personal and sociocultural factors that include individual characteristics, such as the attitudes and values students bring to college based on prior personal, family, and cultural experiences. The second component is the classroom environment factors that pertain to instructional experiences in different courses. The third component is internal factors or students’ beliefs and perceptions. Internal factors are influenced by both personal and sociocultural factors and classroom environmental experiences. Current research on motivation indicates that internal factors (i.e., students’ beliefs and perceptions) are key factors in understanding behavior. Most of the attention is given to the internal factors of motivation. I begin this section with a discussion of what behaviors determine students’ motivation and then discuss how personal and sociocultural, classroom environmental, and internal factors influence motivated behavior.

    Motivated Behavior


    If you want to understand your own motivation, you might begin by evaluating your behavior in the following three areas:

    Choice of behavior.

    Level of activity and involvement, and

    Persistence and management of effort.

    Students make choices everyday about activities and tasks in which to engage. Many students choose to learn more about a subject or topic outside of class, whereas others limit their involvement to class assignments. As an undergraduate, I had a roommate who slept until noon each day. This behavior would not have been problematic if his classes were in the afternoon. Unfortunately, all his classes were in the morning. Another student I knew could not say no when someone asked if she wanted to go to a movie or have pizza, even though she had to study for an exam or write a paper. Students do not have to be productive every moment. Having fun or wasting time is a part of life. However, the choices they make play important roles in determining the number of personal goals they will attain throughout life. A second aspect of motivated behavior is level of activity, or involvement in a task. Some students are very involved in their courses. They spend considerable effort after class refining notes, outlining readings, and, in general, using different learning strategies to make sense of what they are learning. Other students are less engaged in their courses and do the minimal amount required to get by. The third aspect of motivated behavior is persistence. The willingness of students to persist when tasks are difficult, boring, or unchallenging is an important factor in motivation and academic success. In many cases, students have to learn how to control their efforts and persistence in the variety of academic tasks they experience. Let’s now examine the factors that influence motivated behavior.

    Personal and Sociocultural Factors


    The attitudes, beliefs, and experiences students bring to college based on their personal and sociocultural experiences influence their motivation and behavior, and even their persistence or departure from college. When you walk into your first college class, you bring all your precollege experiences with you, such as your study and learning strategies, attitudes and beliefs about your ability to succeed in college, your coping strategies, and the level of commitment to meet personal goals. All of these attributes will influence the way you interact with the college environment. If you receive a low grade on a paper or exam, will you remind yourself of your ability to succeed, or will you say something like: “Here we go, just like high school. I don’t know if I can do well in this course?” All your past experiences with stressful situations and the way you handled them will influence your ability to deal with new stressful situations in your college environment. You are going to learn new copying strategies in this course that should result in a reduction of stress and increase confidence in your ability to succeed in college. You also are influenced by your family and cultural experiences. Family characteristics such as socioeconomic levels, parental educational levels, and parental expectations can influence motivation and behavior. For example, first-generation and ethnic minority students have a more difficult time adjusting to college than do second- or third-generation college students (Ratcliff, 1995). Transition to college can be difficult for any student, but when an individual has family members who have experienced this transition, he or she is less likely to feel lost in a new or unfamiliar environment or unsure about what questions to ask. Also, Reglin and Adams (1990) reported that Asian American students are more influenced by their parents’ desire for success than are their non–Asian American peers. They pointed out that the desire by Asian American students to meet their parents’ academic expectations creates the need to spend more time on academic tasks and less time on nonacademic activities. In what ways has your family influenced your goals, motivation, and behavior? Here is a list of some other student characteristics that can influence adjustment and involvement in college (adapted from Jalomo, 1995):

    • Married students with family obligations Single parents.
    • Students who never liked high school or who were rebellious in high school.
    • Students who were not involved in academic activities or student groups during high school.
    • Students who are afraid or feel out of place in the mainstream college culture.
    • Students who have a hard time adjusting to the fast pace of college.
    • Students who lack the financial resources to take additional courses or participate in campus-based academic and social activities in college.

    Stereotype Threat


    A distressing research finding is that African American and Latino students from elementary school through college tend to have lower test scores and grades, and tend to drop out of school more often than White students (National Center for Education Statistics, 1998). In addition, regardless of income level, they score lower than White and Asian students on the Scholastic Achievement Test (SAT). For years, educators have been concerned with these statistics, especially when capable minority students fail to perform as well as their White counterparts. Professor Claude Steele (1999) and his colleague (Aronson, 2002) believe they have identified a possible explanation for this dilemma. They think the difference in academic performance has less to do with preparation or ability and more to do with the threat of stereotypes about the students’ ability to succeed. They coined the term stereotype threat to mean the fear of doing something that would inadvertently confirm a stereotype. The following is an explanation of this phenomenon. Stereotypes can influence an individual’s motivation and achievement by suggesting to the target of the stereotype that a negative label could apply to one’s self or group.

    For example, the commonly held stereotype that women are less capable in mathematics than men have been shown to affect the performance of women on standardized math tests. When female’s students were told beforehand of this negative stereotype, scores were significantly lower compared to a group of women who were led to believe the tests did not reflect these stereotypes (Spencer, Steele, & Quinn, 1999). In another investigation (Levy, 1996), half of a group of older adults were reminded of the stereotype regarding old age and memory loss while the other half were reminded of the more positive stereotype that old people are wise. The older adults performed worse on a test of short-term memory when they were presented with the negative stereotype than when they were reminded of the more positive stereotype. Why do you think the women and older adults scored lower under the stereotype threat condition? Now let’s review the research as to how stereotype threat may help to explain the low achievement of certain minority group members.

    There exists a stereotype that many African American and Latino students may not have the academic ability to succeed in college. As a result, many minority students may feel at risk of confirming this stereotype and wonder if they can compete successfully at the college level. Thus, just the awareness of the stereotype can affect a student’s motivation and behavior. Steele and Aronson (1995) asked African American and White college students to take a difficult standardized test (verbal portion of the Graduate Record Examination). In one condition, the experimenters presented the test as a measure of intellectual ability and preparation. In the second condition, the experimenters reduced the stereotype threat by telling the students that they were not interested in measuring their ability with the test, but were interested in the students’ verbal problem solving. The only difference between the two conditions of the experiment was what the researchers told the students: the test was the same; the students were equally talented and were given the same amount of time to complete the exam.

    The results of the experiment indicated a major difference for the African American students. When the test was presented in the no evaluative way, they solved about twice as many problems on the test as when it was presented in the standard way. Moreover, there was no difference between the performance of African American and White test takers under the no-stereotype threat condition. For the White students, the way the test was presented had no effect on their performance. The researchers believed that by reducing the evaluative condition, they were able to reduce the African American students’ anxiety, and, as a result, they performed better on the exam. Aronson (2002) pointed out that in numerous investigations, researchers have found that the stereotype threat condition doesn’t reduce effort, but makes individuals try harder on tests because they want to invalidate the stereotype. Not all individuals are equally vulnerable to stereotype threat. Individuals who are more vulnerable include those who care most about doing well, people who feel a deep sense of attachment to their ethnic or gender group, and individuals who have higher expectations for discrimination in their environment. Students under the stereotype threat condition appear more anxious while taking a test. In addition, they also reread questions and recheck their answers more often than when they are not under stereotype threat.

    As a result, students placed in a stereotype threat condition become poor test takers! Are you vulnerable to stereotype threat as a member of a minority group, a woman, an older student who has come back to college a number of years after graduating from high school? Can student-athletes experience stereotype threat? Could the stereotype threat “absentminded professor” influence your instructor’s behavior? Has stereotype threat influenced your motivation or behavior in any way? Are you aware of such influence? What can educators do about reducing the influence of stereotype threat? Aronson (2002) pointed out that stereotype threat appears to be especially disruptive to individuals who believe that intelligence is fixed rather than changeable. In this course, you are learning that academic performance can be improved through the use of different learning and motivational strategies. Do you believe that you can become a more successful student and compete with other students at your college or university? There also is some evidence that stereotype threat may be reduced through cooperative learning and other forms of direct contact with other students.

    In a successful program that improved the academic achievement of a group of African American freshman at the University of Michigan (Steele et al., 1997), students lived in a racially integrated “living and learning” community in a part of a large dormitory. The students were recognized for their accomplishment of gaining admission to the university and participated in weekly rap groups to discuss common problems they all faced. In addition, they participated in advanced workshops in one of their courses that went beyond the material in the course. All of these activities were useful; however, the weekly rap sessions appeared to be the most critical part of program. The researchers believed that when students of different racial groups hear the same concerns expressed, the concerns appear to be less racial. The students also may learn that racial and gender stereotypes play a smaller role in academic success than they may have originally expected. It is important to realize that the researchers exploring the impact of stereotype threat are not saying that this phenomenon is the sole reason for underachievement by certain minority students. We have already discussed a number of other important academic and motivational factors that can make a difference between a successful and unsuccessful college experience. Nevertheless, stereotype threat must be considered an important factor in understanding underachievement of certain minority students.

    Classroom Environmental Factors


    Many classroom environmental factors influence student motivation. These include types of assignments given, instructor behavior, and instructional methods. Ratcliff (1995) reported that a successful transition to college is related to the quality of classroom life. In particular, student motivation and achievement is greater when instructors communicate high expectations for success, allow students to take greater responsibility for their learning, and encourage various forms of collaborative learning (i.e., peer learning or group learning). In an interesting book, Making the Most of College, Light (2001) interviewed hundreds of college seniors to identify factors that made college an outstanding experience. Here are some findings about college instruction that appeared to motivate students: First, the students reported that they learned significantly more when instructors structured their courses with many quizzes and short assignments. They liked immediate feedback and the opportunity to revise and make changes in their work. They did not like courses when the only feedback came late or at the end of the semester. Second, the students reported that they liked classes where the instructors encouraged students to work together on homework assignments. They mentioned that some of their instructors created small study groups in their courses to encourage students to work together outside of class. This activity helped students become more engaged in their courses. Third, many students found that small-group tutorials, small seminars, and one-to-one supervision were the highlights of their college careers. They highly recommended that undergraduate students find internships and other experiences where they can be mentored by faculty members. Fourth, students reported the beneficial impact of racial and ethnic diversity on their college experiences. They reported how much they learned from other students who came from different backgrounds— ethnic, political, religious, or economic. Fifth, students who get the most out of college and who are happiest organize their time to include activities with faculty members or with other students. Most students need recommendations from faculty members for graduate study or jobs. Yet, they often fail to meet with their instructors to get a letter of recommendation. Light (2001) pointed out the advice he gives all his advisees: “Your job is to get to know one faculty member reasonably well this semester. And also to have that faculty member get to know you reasonably well.” He reported that as his first-year advisees approach graduation, they tell him that this advice was the most helpful suggestion they received during their freshman year.

    Professors differ as much as any other group of individuals; some are easy to approach, whereas others make it appear that they are trying to avoid students. In fact, in many large universities, a student has to work hard to make contact with some professors. Nevertheless, think about the challenge of getting to know at least one instructor or professor well each semester. Not only will you find that the experience will motivate you to achieve in his or her class, but when the time comes for letters of recommendation, you will have a list of professors to ask. So, try not to be intimidated by your instructors: go to office hours, sign up for study sessions, and get a few students together and invite the instructor to lunch if you don’t want to do it by yourself.

    Although it is important for students to understand that the classroom environment can influence their motivation, they need to take responsibility for their own behavior. My daughter came home one day during her freshman year and told me that she received a low C on a midterm exam. In the same breath, she reported that she did not like the instructor, implying a relationship between the low grade and her dislike of the instructor. I responded that my expectations for her academic performance were not based on her like or dislike of courses or professors, and told her she had to learn to do well in all types of situations. You learned that self-directed students learn how to overcome obstacles to increase the probability of their academic success. Think about some of the actions you can take to improve your academic learning when you don’t like your instructor, find the course boring, or when the instructor spends all his or her time lecturing and doesn’t encourage student interaction or small-group work.

    Internal Factors Students’ goals, beliefs, feelings, and perceptions determine their motivated behavior and, in turn, academic performance. For example, if students value a task and believe they can master it, they are more likely to use different learning strategies, try hard, and persist until completion of the task. If students believe that intelligence changes over time, they are more likely to exhibit effort in difficult courses than students who believe intelligence is fixed. I’m going to explain why the answers to the following questions can provide insight into your own motivation:

    How do I value different academic courses and tasks?

    What Are My goals?

    What is My goal orientation?

    Do I believe I can do well on different academic tasks?

    What are the causes of my successes and failures?

    How do I feel about my academic challenges?

    Notice that all of the questions deal with beliefs and perceptions. Students can learn a great deal about their motivation by examining how their beliefs and perceptions influence them.