IDG’s CIO Magazine Names Winners Of Sixth Annual Enterprise Value Awards
Framingham, MA, February 1, 1998–IDG's CIO magazine names in its February 1 issue the winners of its sixth annual Enterprise Value Awards. They are: State Street Global Advisors, Black & Veatch, the Environmental Protection Agency (EPA), Tech Data Corporation, Procter & Gamble and the New York City Department of Finance.
Technology innovations, moving at the speed of light, are transforming the way we work and live. Each year, CIO magazine bestows Enterprise Value Award honors to enterprises that have achieved business value by creating new and successful ways to use information technology (IT). Awards are given to the businesses that can demonstrate how their technology investments dramatically improved company operations and provided a proven return on investment (ROI). This year's winners demonstrate that the Internet, possibly the biggest driver of business innovation today, is not the only system capable of transforming a company's operation.
STATE STREET GLOBAL ADVISORS
Survival of the Fastest-To be a major player in the investment banking industry, companies must not only separate themselves from the competition, they must provide compelling reasons why customers should do business with them. That's exactly what State Street Global Advisors did when the company decided to create a new customer service system to allow its Fortune 500 clients to manage their own retirement funds. In the face of sudden stock market volatility, the $15 million system lets investors make a quick dash from the fickle stock market to the more secure embrace of fixed return assets. Prior to this innovation, it could take as long as six weeks for investors to change their 401(k) plans. Now, transaction processing takes only 24 hours. The improvement in customer satisfaction and overall efficiency has moved State Street from tenth in the industry to third.
"This is an awesome system," states Abby Stone, a senior customer service representative who used to put customers on hold and search for information in binders or make calculations on scrap paper. "Now, my calls are quicker and I'm less worried about making a mistake." Staff Writer Peter Fabris reports on Page 56, CIO.
BLACK & VEATCH
Reengineering the Engineering Business-When James Adam headed Black & Veatch's energy group, he was overwhelmed by the amount of paperwork he and his co-workers had to generate–for construction purposes and for federal regulators when the project was finished. He knew there had to be a better way to gather data and make it easily accessible to all who needed it.
Adam, now chairman of the board at the $1.4 billion private engineering firm, knows that Powrtrak was the answer he needed back then. A relational database storing every bit of information about every project Black & Veatch oversees, Powrtrak is centrally located, continually updated and accessible via the Internet and satellite to remote users anywhere in the world. The information provided by this system helped Black & Veatch become more aggressive in bidding for new jobs and reduce overrun and construction costs. It has also enabled Black & Veatch's international business to grow from $120 million to $1.2 billion over the past seven years. Senior Writer Tom Field reports on Page 40, CIO.
ENVIRONMENTAL PROTECTION AGENCY
A Civilian Action-One of the EPA's goals is to increase public awareness about pollution and its impact on the environment. To accomplish this, the EPA decided to go high-tech, creating Envirofacts, an online warehouse of information that maps out 700,000 sites that handle potentially dangerous chemicals.
Before Envirofacts, the EPA and all of its documentation was separated into different divisions, each with a different database. Information requests were run from these different databases and often yielded data that was irrelevant or difficult to interpret. Today, the Envirofacts system streamlines this process and eliminates the confusion, thereby increasing productivity. Over a period of five years, it has saved more than nine million dollars in labor costs. The system also makes information easily accessible to everyday Internet users who can in turn put pressure on polluters to clean up their acts. Staff Writer Peter Fabris reports on Page 52, CIO.
TECH DATA CORPORATION
New World Orders-In the old days, Tech Data's customers leafed through large, bulky catalogs and phoned in orders to sales reps who, in turn, would place orders and track shipments themselves. Today, Tech Data, a $4.6 billion Fortune 500 company, has a whole new way of doing business thanks to electronic commerce and the Internet. As CEO Steven Raymund says, "electronic commerce is not an option; it's a necessity."
Indeed, e-commerce is transforming Tech Data's business processes. The company's software system, Tech Data InterAct, provides CD-ROM and online applications for customers to explore and serve themselves. Allowing customers to handle transactions dramatically reduced administrative costs and boosted sales 45 percent. However, Tech Data believes the real value of the system is its ability to strengthen its relationship with retailers and "hook" these important customers into the speed and convenience of its service. Senior Writer Tom Field reports on Page 48, CIO.
PROCTER & GAMBLE
Continental Shifts-Procter & Gamble had a dilemma. Its own distributors in Asia and Central and Eastern Europe were using product tracking and billing systems that were not on par with systems in the rest of the world. The distributors never released the information P&G needed to track, evaluate and improve its business process. In spite of cultural, language and time zone challenges, the company needed to make a drastic change and decided to take a leap of faith. It worked.
Procter & Gamble reengineered its entire distribution system in the markets in question by implementing Distributor Business Systems (DBS), a standardized set of product management technologies. The company moved rapidly to complete this global implementation and streamline the process for product ordering, billing and inventory tracking. In the end, P&G increased its Eastern and Central European sales from virtually nothing to $1 billion and those in Asia from $3 billion to $4 billion. Executive Editor Richard Pastore reports on Page 44, CIO.
NYC DEPARTMENT OF FINANCE
Collecting Its Due: Managing a business in a city that caters to seven million people is no easy task. However, the New York City Department of Finance found a way to alleviate some of the chaos and commotion with technology by creating its own custom system: the City Agencies' Management Information System (CAMIS).
Before CAMIS, business owners who owed fines or needed a license would be forced to spend their day trucking back and forth between different locations to get information and the approvals they needed. CAMIS changed all that. "If you, as a business owner, tell us your address, we can tell you how much you owe in about a second," says Charles Niessner, assistant commissioner for management information systems at the Department of Finance.
The CAMIS database and communications network–which stores four million records about 500,000 city businesses–is used by employees from every corner of the city: health inspectors, police officers, consumer affairs personnel, etc. The accessibility of information provided by the system has eliminated many needless inspections (which cost $250 a pop) and allowed the city to automate the mailing of collection notices, enabling New York City to collect $3.7 million more in fines between 1994 and 1997. StaffWriter Ruth Greenberg reports on Page 60, CIO.
WINNERS TO CONVERGE IN CALIFORNIA
The Enterprise Value Awards will be presented at CIO magazine's Sixth Annual Enterprise Value Retreat and Awards Ceremony at the Ritz-Carlton Laguna Niguel in Dana Point, California. The ceremony, attended by more than 200 of the world's most influential chief information officers (CIOs) and senior IT executives, will be held February 3 at 8:00pm. The ceremony is the cornerstone of a three-day executive program, facilitated by F. Warren McFarlan, renowned scholar, educator and IT management leader with Harvard Business School.
Judges for the '98 Enterprise Value Awards are: Albert Aiello Jr., former CIO of Fidelity Investments; Rob Cohen, CIO and VP of Information Technology and Capabilities, Astra Meck, Inc.; John Cross, Head of IT, BP Group, The British Petroleum Co. PLC; Christopher Hoenig, Director, Information Management and Technology Division, U.S. General Accounting Office; Alana Ward-Robinson, CIO and VP, Sara Lee Hosiery.
The Enterprise Value Awards are sponsored by CIO magazine and underwritten by AT&T Solutions. AT&T Solutions is a professional services firm dedicated to helping its clients identify and realize new sources of profitable growth. Backed by AT&T Laboratories' technology innovations and AT&T's unmatched network communications expertise, AT&T Solutions professionals introduce, implement and manage solutions that link business strategy, people, processes, organization structures and technology that make value-adding initiatives a reality.
CIO Communications, Inc. was formed in 1987 to help CIOs, IT executives and other senior management executives succeed in their enterprises through the use of information technology. The company publishes CIO magazine, produces the award-winning www.cio.com Web site, and develops and produces CIO Executive Programsæa series of conferences that provide educational and networking opportunities for corporate and government executives who want to expand their knowledge of technology, business management issues and innovative products and services.
CIO Communications is a subsidiary of IDG, the world's leading IT media, research and exposition company. IDG publishes more than 285 computer magazines and newspapers and 500 book titles and offers the largest network of technology specific sites around the world, located at http://www.idg.net, which comprises more than 200 targeted Web sites in 52 countries. IDG is also a leading producer of 110 computer-related expositions worldwide, and provides IT market analysis through 49 offices in 41 countries worldwide. Company information is available at http://www.idg.com.