One Organization, One Strategy

Author(s):  
Kevin Johnston

Most organizations have multiple levels of strategic plans (de Kluyver & Pearce, 2006), one of which is the Information Technology (IT) strategic plan. The alignment of an organization’s business strategy with its IT strategy has been a concern of CIOs (Benson & Standing, 2008; Croteau & Bergeron, 2001; Johnston, Muganda, & Theys, 2007; Luftman Kempaiah, & Nash, 2006), CEOs (Armstrong, Chamberlain, Moore, & Hart, 2002; O’Brien & Marakas, 2006), academic researchers (Henderson & Venkatraman, 1999; Kangas, 2003; Pearlson & Saunders, 2004; Reich & Benbasat, 2000), and research companies (Broadbent, 2000; Croteau & Bergeron, 2001; Meta Group, 2001) since the age of vacuum tubes. The Society for Information Management (SIM) studies reveal that ‘IT and Business Alignment’ was the number one management concern in 2003, 2004 and 2005, and has been one of the top 10 concerns since 1983(Luftman et al., 2006). IT and business strategies should not be separate or aligned; organizations should simply have one business strategy: one organization, one strategy.

Author(s):  
Kevin Johnston

The alignment of business strategy with IT strategy has been a concern of chief information officers (CIOs) (Berkman, 2000; Croteau & Bergeron, 2001; Crowley, 2001), chief executive officers (CEOs) (Armstrong, Chamberlain, Moore & Hart, 2002; Mesoy, 1999), academic researchers (Henderson & Venkatraman, 1999; Reich & Benbasat, 2000; Tallon & Kraemer, 2000), and research companies (Broadbent, 2000; Croteau & Bergeron, 2001; Meta Group, 2001) since the age of vacuum tubes. In surveys (Mesoy, 1999) of CIO concerns, alignment has consistently been rated as a major issue. A Cutter study reported that business-IT alignment was “the number one problem facing IT” (Crowley, 2001).


2020 ◽  
Vol 2 (1) ◽  
Author(s):  
Sri Nilawaty Lahay ◽  
Raden Teguh Dirgahayu

This study aims to evaluate the suitability of business strategies and Information Technology (IT) strategies at Universitas Negeri Gorontalo (UNG) with COBIT 5 best practices. Researchers observe how UNG is planning business strategies and IT then compared with the best COBIT practice 5. The method used in this study is qualitative which includes interviews with interested parties and document studies related to business strategies and IT strategies. The model used is COBIT 5 in the APO domain APO02 process which consists of 31 activities and, SCAMPI (Standard CMMI Appraisal Method for Process Improvement) as a valuation method. The results showed that the alignment of business strategy and IT strategy in UNG had approached the process of alignment of business strategy and IT strategy in COBIT 5. Another important thing found in this study was that planning activities for aligning business strategies and IT strategies at UNG had almost approached. COBIT 5 best practice, however, does not guarantee that overall business and IT activities at UNG are aligned, this is evidenced by the finding of 3 processes that have major weaknesses because there is no activity or evidence of practices carried out referring to COBIT 5. Penelitian ini bertujuan mengevaluasi kesesuaian strategi bisnis dan strategi teknologi informasi (TI) di Universitas Negeri Gorontalo (UNG) dengan best practice COBIT 5. Peneliti melakukan pengamatan bagaimana UNG melakukan perencanaan strategi bisnis dan TI kemudian dibandingkan dengan best practice COBIT 5. Metode yang digunakan dalam penelitian ini adalah kualitatif yang meliputi wawancara dengan pihak yang berkepentingan dan studi dokumen terkait strategi bisnis dan strategi TI. Model yang dipakai yaitu: COBIT 5 pada domain APO proses APO02 yang terdiri dari 31 aktivitas dan, SCAMPI (Standard CMMI Appraisal Method for Proses Improvement) sebagai metode penilaian. Hasil penelitian menunjukan bahwa aktivitas penyelarasan strategi bisnis dan strategi TI di UNG telah mendekati proses aktivitas keselarasan strategi bisnis dan strategi TI pada COBIT 5. Hal penting lainnya yang ditemukan dalam penelitian ini adalah meskipun aktivitas perencanaan penyelarasan strategi bisnis dan strategi TI di UNG telah hampir medekati best practice COBIT 5 namun, tidak menjamin dalam keseluruhan aktivitas bisnis dan TI di UNG selaras, hal tersebut dibuktikan dengan ditemukan 3 proses yang memiliki kelemahan utama karena tidak terdapat aktivitas atau bukti praktik-praktik yang dilaksanakan merujuk pada COBIT 5.


Author(s):  
Yuliana Lisanti

Investment Information Technology (IT) has always been a primary objective of the business which is expected to provide value to businesses through its role as a competitive advantage and the creation of innovation. However, it is ot easy to measure how much value is successfully created, or determine whether the IT strategy is aligned with business strategy, or find out if the IT organization has a strategy that focuses on creating business value. Innovation Value of Institute (IVI) introduces a new concept known as the IT Capability Maturity Framework (IT-CMF) which can help IT organizations to align the business vision with the IT vision so that IT strategy could focus on value creation . the IT-CMF implementation which begins with the assessment of the maturity of IT organization can provide an overall picture, so that organization can prioritize the development of appropriate IT investments to support the value creation for the overall business. 


Author(s):  
Tamio Shimizu ◽  
Marley Monteiro de Carvalho ◽  
Fernando Jose Barbin

Digital computers came into being after the Second World War. After a period of use solely in scientific and military areas, business perceived that this technological innovation could be very useful. The large, expensive equipment was very limited in terms of the information it could process and store, in addition to the restricted number of users who could access them simultaneously or from remote locations. Both the training and vision of professionals in the area of what was then called “data processing” was eminently technical. Thus, the early applications were developed to resolve well-structured problems, i.e., those whose stages and sequences were well-defined, such as payroll, stock control, and accounts due and received. Technology evolved and by the end of the 1970s, there were a number of alternative uses for computers and basic applications had been installed in the large companies. At that point, specialists began discussing a way to use Information Technology (IT), a term that came into use in the 1980s, better to make businesses more competitive. From that time on, many theories, models, and techniques have been studied and developed so that information technology can be used in tune with business strategies and operations. IT progressively came to play an important role in the strategy of the leading companies in competitive markets. Presently there are great expectations that IT applications will make possible new strategy alternatives for business and new opportunities for companies; as in the case of e-commerce and e-business (Porter, 2001; Evans & Wurster, 1999). However, there is also an extensive debate about the real gains derived from investments in IT. Focusing solely on the efficiency of IT applications will not provide a response to such questions. To evaluate the impact of IT on business strategy and operations, a focus on its effectiveness is needed. One must examine the results of IT applications in relation to the objectives, goals, and needs of an organization. Effectiveness should be maintained in the long run, and for this to happen, the concept of Strategic Alignment between IT and the business is fundamental.


2019 ◽  
Vol 10 (1) ◽  
pp. 1-8
Author(s):  
Iwan Prasetiawan

The rapid development of business, supported by technological developments that are not less rapid, it requires a strong and precise alignment between business strategies or organizations with the Information Systems (IS) strategy and Information Technology (IT)strategies as supporters. An IT strategy plan includes many aspects, covering several aspects which include aspects of technology architecture,roadmap / work plan, and supporting standards for its implementation. This Guidelines for Preparation and Implementation of the IT MasterPlan, explains the methods and main steps in managing and implementing IT strategy to support the implementation of the main tasks and the achievement of the strategic objectives of an organization or company. An important aspect that concern to the author is the importance of organizational and management involvement. Which is a key aspect of the planning process, together to ensure that all IS components have the same goals and direction as the business so it is easy to identify organizations that have not aligned. The logical relationship between business strategy and IT strategy does not usually occur directly, but through an intermediary for determining the IS Strategy, the strategy must be able to translate business strategies into the perspective of data and information flow to finally determine the information and communication technology work plan up to the specified year compiled in an IT Master Plan.


Author(s):  
Gleison Lopes Fonseca ◽  
Ildeberto Aparecido Rodello ◽  
Pedro Fernandes da Anunciação

Information technology has become one of the great advantages of modern enterprises, especially assisting in the optimization, information management and value creation. Among the reasons that prompted this change is the use of ERP (Enterprise Resource Planning), mainly adopted by large enterprises, since its adoption involves high investment and complexity for implementation, hindering its spread among smaller companies. Several studies have discussed the benefits generated by the adoption of ERP systems in enterprises as well as costs involved in the deployment process. The focus of this research is to present and discuss, through a conceptual approach, these different views on the costs and benefits of these systems, focusing on the different ways of generating value systems that provide information to businesses through ERP. The results showed that the discussion about the value of ERP for companies not yet consolidated and with increasing importance of information systems, ERP was regarded as a strategic tool in the search for greater competitiveness, transcending its value and importance for companies of their internal processes for a relationship of greater importance in business strategy.


Author(s):  
Kevin Johnston

This chapter proposes that all business strategies should be harmonized into a single strategy, rather than attempt to align IT strategy with business strategy. It focuses on two hypotheses: firstly, that IT strategy is not widely aligned with business strategy; and secondly, that IT is still thought of as “something different” in businesses. The chapter proposes that rather than attempt to align IT strategy with business strategy, the strategies should be harmonized into a single strategy. The chapter attempts to use lessons from geese to outline the process of strategic development.


Author(s):  
Patricia Diamond Fletcher

The importance of having a formal strategic plan for managing the information architecture is analyzed in the context of state government. Necessary elements of a successful strategic plan are delineated. The dimensions of strategy and an articulation of a strategic stance are defined and analyzed. The value of information technology and the strategic management of the technology as a valuable organizational asset is assessed in a state government environment. Internal and external variables pertinent to state government are explored and developed with a focus on their import to strategic information technology planning. The strategic plans of three state governments are described and analyzed to provide exemplars of proactive and innovative management of information resources. <BR>


Tech-E ◽  
2020 ◽  
Vol 3 (2) ◽  
pp. 18
Author(s):  
Lily Damayanti ◽  
Teofilus Sunarsa ◽  
Yuki Gunawan

M Group is a company engaged in the field of pharmacy, eye health and food. Along with the rapid growth of the company there are problems of how to make use the Information Technology department as optimal as possible and how to build a  blue print of it strategy in handling a variety of issues and programs or initiatives to support the company's business strategy? This study aims to produce a strategic plan for information technology M Group. The research method used is John Ward and Joe Peppard’s framework for strategic planning of information technology and Scott A. Bernard’s Enterprise Architecture documentation. This study uses SWOT analysis, IT Balance Scorecard and Cost Benefit Analysis as a strategic tool to analyze the needs of Information System on M Group. After conducting the analysis then the  Information System(IS) strategic planning is propose for M Group for next years (2020), which includes business strategies IS, IS / IT Management Strategy, Information System(IS) strategy and future application portfolio. The result of analysis and proposed strategies on M Group documented using the Enterprise Architecture Documentation.


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