Introduction to Strategic Alignment

2001 ◽  
pp. 1-24 ◽  
Author(s):  
Ratmond Papp
Keyword(s):  
Information Technology ◽  
Strategic Alignment ◽  
Business Environment ◽  
Business Strategies ◽  
Theoretical Construct ◽  
Single Industry ◽  
Alignment Model ◽  
Technology Strategies

The concept of strategic alignment is more than two decades old (McLean and Soden, 1977; IBM, 1981; Earl, 1983; Mills, 1986; Brancheau and Wetherbe, 1987; Parker and Benson, 1988; Henderson and Venkatraman, 1990; Dixon and John, 1991; Niederman, et. al., 1991; Watson and Brancheau, 1991; Liebs, 1992; Luftman, Lewis and Oldach, 1993; Goff, 1993), however it has never been more timely than in today’s fast-paced, dynamic business environment (Papp, 1998; Rogers, 1997). The original alignment model was a largely theoretical construct that studied only a single industry (Henderson & Venkatraman, 1990; Henderson & Thomas, 1992) but has since been adapted for use by virtually any industry looking to integrate their business strategies with their information technology strategies (Papp, 1995; Luftman, Papp, & Brier, 1995).

scholarly journals The strategic alignment between Information Technology and Business: a study in a Brazilian state bank

2009 ◽  
Vol 7 (2) ◽  
pp. 111-124
Author(s):  
Gilberto Perez ◽  
Marcel Ginotti Pires ◽  
Amélia Silveira ◽  
Moisés Ari Zilber
Keyword(s):  
Information Technology ◽  
Strategic Planning ◽  
Quantitative Method ◽  
Strategic Alignment ◽  
Statistical Techniques ◽  
Descriptive Research ◽  
Brazilian State ◽  
Technology Strategies ◽  
Structured Questionnaire

The objective of the study was to evaluate the area of Information Technology (IT), of a great Brazilian state bank, related to the strategic planning of the institution. The descriptive research, with quantitative method, was executed by means of structured questionnaire. The citizens selected for this research were the professionals who hold positions of management, coordination, analysis business-oriented and analysis of systems of the studied bank. The collected data were processed by statistical techniques, with the application of SPSS V13. The results demonstrate the understanding that the staff of the IT company has in relation to the business policies and the strategies of the institutional administration. The results show, among other things, the strategic alignment of IT and technology strategies as factors that define the role of the area of IT to the business of the institution.

scholarly journals Perancangan Permainan Simulasi (Game Simulation) Untuk Menilai Tingkat Kematangan Strategi Teknologi Informasi terhadap Strategi Bisnis Dengan Metode IT Balanced Scorecard dan Maturity Model COBIT 4.1

2018 ◽  
Vol 3 (2) ◽  
pp. 111
Author(s):  
Agnes Karina Pritha Atmani
Keyword(s):  
Information Technology ◽  
Experiential Learning ◽  
Balanced Scorecard ◽  
Business Strategy ◽  
Strategic Alignment ◽  
Technology Strategy ◽  
Maturity Model ◽  
Maturity Level ◽  
Alignment Model ◽  
Game Simulation

Keselarasan strategi Teknologi Informasi terhadap strategi bisnis sangat dibutuhkan untuk mencapai tujuan bisnis. Pencapaian keselarasan strategi, sebagai suatu proses yang berkelanjutan, membutuhkan dukungan dari Top Management dan fungsi-fungsi lain dalam perusahaan. Penilaian kematangan tingkat keselarasan strategi TI terhadap strategi bisnis akan digunakan sebagai alat ukur untuk menilai tingkat keselarasan strategi TI terhadap strategi bisnis. Nilai tersebut akan digunakan sebagai langkah awal untuk tindakan perbaikan berkelanjutan.Penggunaan permainan simulasi merupakan gabungan dari dua metode experiential learning, yaitu simulasi (simulation) yang dapat melakukan peniruan dari suatu perilaku atau proses dan permainan (game) yang merupakan aktifitas yang kompetitif. Melaui Experiential Learning pengguna permainan dapat melakukan pembelajaran secara aktif dan memperoleh pengetahuan, pemahaman, dan pandangan baru mengenai suatu hal.Penilaian kematangan tingkat keselarasan strategi TI terhadap strategi bisnis akan mengacu pada konsep Strategic Alignment Model yang diperkenalkan oleh Henderson dan Venkatraman dan IT-Balanced Scorecard yang dikembangkan Grembergen dan Bruggen. Keduanya memberikan panduan mengenai model-model yang dapat diimplementasikan di perusahaan. Sedangkan penilaian kematangannya berdasarkan kriteria Maturity Model COBIT 4.1 (Control Objective on Information and related Technology) Kata kunci: Permainan Simulasi, Experiential Learning, Teknologi Informasi, Strategi TI, Strategi Bisnis, Strategic Alignment Model-Henderson & Venkatraman, IT-Balances Scorecard – Grembergen & Bruggen, dan COBIT 4.1 Maturity Model. AbstractThe alignment of Information Technology strategy with business strategy is important to achieve business objectives. Strategy alignment, as an ongoing process, requires support from Top Management as well as from other functions in the company. The assessment of maturity level on the alignment of Information Technology with business strategy becomes the measuring tool to assess the alignment of Information Technology strategy with business strategy. The score, then, will be used as starting point in accomplishing continuous repair action.The use of game simulation is a combination of two experiential learning methods, namely simulation that can perform the imitation of a behavior or process and game which is a competitive activity. Through Experiential Learning game users can actively learn and gain new knowledge, insights, and insights about things.The assessment of maturity level of the aligment of Information Technology with business strategy which applied Strategic Alignment Model concept introduced by Henderson and Venkatraman and IT-Balanced Scorecard by Grembergen and Bruggen. Both have given guidelines about several models that can be implemented at company. Moreover, in order to assess the maturity level, this research uses Maturity Model COBIT 4.1 (Control Objective on Information and related Technology.Keywords: Information Technology, Game Simulation, Experiential Learning, Information Technology strategy, Business strategy, Strategic Alignment Model-Henderson & Venkatraman, IT-Balanced Scorecard-Grembergen & Bruggen, and COBIT 4.1 Maturity Model.

Enterprise Alignment and the Challenge for Organization Development

2010 ◽  
pp. 1419-1427
Author(s):  
Brian H. Cameron ◽  
Shaun Knight
Keyword(s):  
Information Technology ◽  
Organization Development ◽  
Joint Ventures ◽  
World Wide ◽  
Business Environment ◽  
Senior Management ◽  
Business Strategies ◽  
Integrated Systems ◽  
Powerful Source ◽  
Strategy Alignment

In today’s global, hyper-competitive business environment, enterprise alignment is a top concern with senior management. With mergers, global joint ventures, outsourcing/ off-shoring, and increased global competition, organizations are struggling with a host of enterprise alignment issues, particularly around information technology (IT) strategy alignment. Well-aligned systems and processes can provide an organization with a powerful source of competitive advantage. According to Gartner Group, the number one concern of business and IT professions world-wide is the alignment of IT and business strategies. Unfortunately, according to Whittle and Myrick (2005), less than 10% of the Global 2000 have well integrated systems that are aligned with the strategy of the business. In addition, according to Worren, Ruddle, and Moore (1999), organization development (OD) efforts are also often misaligned with the strategy of the business. These strategic misalignments are becoming an increasing concern to senior management and are areas of opportunity for OD and IT organizations.

Strategic Alignment for Electronic Commerce

2001 ◽  
pp. 258-272 ◽  
Author(s):  
Christian Bauer
Keyword(s):  
Information Technology ◽  
Electronic Commerce ◽  
Business Strategy ◽  
Banking Industry ◽  
Strategic Alignment ◽  
Retail Banking ◽  
Competitive Environment ◽  
Dynamic Nature ◽  
Management Level ◽  
Alignment Model

The dynamic nature and flexibility of electronic commerce increases the importance of the alignment of business strategy and information technology further. This chapter presents an extension of the strategic alignment model with an integration of the external domains of business and information technology strategy, thus keeping the focus on the competitive environment and shifting the responsibility for information technology to top management level. The application of the proposed hypothesis through a framework of the competitive environment is demonstrated within the context of the retail banking industry.

Enterprise Alignment and the Challenge for Organization Development

2009 ◽  
pp. 350-356
Author(s):  
Brian H. Cameron ◽  
Shaun C. Knight
Keyword(s):  
Information Technology ◽  
Organization Development ◽  
Joint Ventures ◽  
World Wide ◽  
Business Environment ◽  
Senior Management ◽  
Business Strategies ◽  
Integrated Systems ◽  
Powerful Source ◽  
Strategy Alignment

In today’s global, hyper-competitive business environment, enterprise alignment is a top concern with senior management. With mergers, global joint ventures, outsourcing/ off-shoring, and increased global competition, organizations are struggling with a host of enterprise alignment issues, particularly around information technology (IT) strategy alignment. Well-aligned systems and processes can provide an organization with a powerful source of competitive advantage. According to Gartner Group, the number one concern of business and IT professions world-wide is the alignment of IT and business strategies. Unfortunately, according to Whittle and Myrick (2005), less than 10% of the Global 2000 have well integrated systems that are aligned with the strategy of the business. In addition, according to Worren, Ruddle, and Moore (1999), organization development (OD) efforts are also often misaligned with the strategy of the business. These strategic misalignments are becoming an increasing concern to senior management and are areas of opportunity for OD and IT organizations.

scholarly journals he effect of information technology business alignment factors on performance of SMEs

2021 ◽  
pp. 833-842 ◽  
Author(s):  
Ali Mechman Slim ◽  
Omar Siti Sarah ◽  
Kadhim Ghaffar Kadhim ◽  
Bashar Jamal Ali ◽  
Ahmed Mohammed Hammood ◽  
...  
Keyword(s):  
Information Technology ◽  
Beneficial Effect ◽  
Strategic Alignment ◽  
Positive Influence ◽  
It Alignment ◽  
Business Alignment ◽  
It Managers ◽  
Alignment Model ◽  
Alignment Maturity ◽  
Research Recommendations

Strategic IT-business alignment is being expanded by researchers and professionals owing to its beneficial effect on the performance of SMEs. Luftman (2000) [Luftman, J. (2000). Assessing business-IT alignment maturity. Communications of the Association of Information Systems, 4(14), 1–50.] created the Strategic Alignment Model (SAM), which integrates various alignment viewpoints to offer a cohesive perspective on IT-business alignment. While SAM was widely implemented for western IT studies by theoreticians and practitioners, its adoption is not evident in the Middle East with few available studies. The goal of this gap is to examine the effect of small and mediumsized enterprises (SMEs) in Iraq of three alignment styles (communication, governance and competency) listed in SAM. The findings of the current study verified the beneficial effect of all sorts of IT alignment centered on a survey of 228 owners, IT managers, but the latter has also shown a strong positive influence across various types of alignment. Theory and implementation implications are addressed, and more research recommendations are suggested.

scholarly journals The Application Of The Luftman Method Toward The Alignment Of Business Strategies And IT In Kelapa Dua Sub-district West Jakarta

SinkrOn ◽  
2019 ◽  
Vol 3 (2) ◽  
pp. 125
Author(s):  
Rani Irma Handayani ◽  
Frisma Handayanna ◽  
Fitri Ratna Sari
Keyword(s):  
Information Technology ◽  
Business Processes ◽  
Government Agency ◽  
Business Strategies ◽  
It Management ◽  
The West ◽  
Operational Activities ◽  
Technology Strategies ◽  
Value Measurement ◽  
Level 2

The Kelapa Dua West Jakarta is a government agency that has to serve the community every day. In its operational activities, it requires Information Technology (IT) to complete daily operational tasks. Because of this, the west Jakarta sub-district of Kelapa Dua needs an appropriate IT management so that it can serve the community to the fullest. Good IT management is done by assessing the suitability between IT applications and organizational business processes. For this reason, the Luftman method is used to measure the alignment of Business and IT strategies by using six criteria namely Communications, Competency / Value Measurement, Governance, Partnership, Scope & Architecture, Skill. Overall, all the criteria and maturity of information technology strategies and business strategies in the kelurahan are still at level 2 or at the Commited level so that it can be said that there is no alignment between business strategies and IT strategies  

An empirical study of the role of IT flexibility and IT capability in IT-business strategic alignment

2017 ◽  
Vol 19 (1/2) ◽  
pp. 2-21 ◽  
Author(s):  
Saeid Jorfi ◽  
Khalil Md Nor ◽  
Lotfi Najjar
Keyword(s):  
Strategic Alignment ◽  
Business Environment ◽  
Two Dimensions ◽  
Business Strategies ◽  
Empirical Examination ◽  
Data Set ◽  
Content Type ◽  
It Capability ◽  
It Flexibility

Purpose The purpose of this study is to contribute to the current discussion on strategic alignment of information technology and business (strategic alignment) by developing a model for conceptualizing how strategic alignment can be enabled through of IT flexibility and IT capability. Design/methodology/approach A questionnaire instrument was created to measure the constructs and it was assessed in a pretest and two pilot-tests. The main data set was collected from IT managers (or similar titles) of medium- and large-sized firms. Findings Strategic alignment seems to be moving closer to firms’ core activity in today’s business environment. The findings revealed that strategic alignment was significantly affected by four dimensions of IT flexibility and IT capability. Furthermore, the significant role of two dimensions of IT flexibility in IT capability was supported. Research limitations/implications Single key informants were used for data collection that could be a potential limitation. Practical implications It seems likely that firms will benefit from the results to manage and control their scarce IT resources more effectively for aligning IT with business strategies, goals and needs. Originality/value Strategic alignment has become a more complex and unstructured phenomenon and many firms are still considering how to reconcile to it. Furthermore, the lack of empirical examination of IT flexibility and IT capability in relation to strategic alignment from important perspectives, and the lack of research of the dimensions of IT flexibility for supporting IT capability, determines the purpose of this study.

Strategic Alignment of Information Technology in Public and Private Organizations in India: A Comparative Study

2020 ◽  
pp. 097215091989383 ◽  
Author(s):  
Sourabh Sharma ◽  
Ramesh Behl
Keyword(s):  
Information Technology ◽  
Human Resources ◽  
Strategic Alignment ◽  
Business Environment ◽  
It Infrastructure ◽  
Validity And Reliability ◽  
Public And Private ◽  
Private Organizations ◽  
It Human Resources ◽  
The Impact

Strategic alignment of information technology (IT) is required to be included in the firms’ core activity in today’s business environment. The purpose of this study is to understand the impact of ‘IT connectivity, IT infrastructure and IT human resources’ on ‘IT business strategic alignment’ by developing a model, in public and private organizations in India. A questionnaire was used to measure the constructs after its validity and reliability. The findings discovered that firms’ IT strategic alignment was significantly impacted by three IT dimensions, that is, IT connectivity, IT infrastructure and IT human resources (combined as IT capability). The IT investments and expenditures of a firm are aligned with its business objectives and priorities. Furthermore, the significant role of these dimensions in public and private organizations in India was examined.

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