Chapter 4: IS/IT Strategic Analysis: Current Situation
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Chapter 4: IS/IT Strategic Analysis: Current Situation

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  • 1. Chapter 4 IS/IT Strategic Analysis: Current Situation
  • 2. Agenda
    • Business re-engineering and IS strategy
    • Understanding the current IS/IT requirements
    • Understanding IS/IT needs of the business strategy
    • Examining current IS/IT supply
    • Analysis techniques
      • Critical success factors
      • Process effectiveness
      • Organizational model
  • 3. Business Re-engineering and IS Strategy
    • Re-engineering initiatives spring from business strategy
    • IS demand supports business strategy
    • Re-engineering needs IS/IT element
    • Re-engineering and IS strategy forms potential models of the business
  • 4. Understanding the Current IS/IT Requirements - I
    • Business strategy analysis for information needs
    • External environment, current and future business portfolio, and competitive strategy for IS/IT competitive contribution
    • Critical success factor identification for finding the information change drivers
  • 5. Understanding the Current IS/IT Requirements - II
    • Current process effectiveness evaluation for IS/IT to improve the performance
    • Internal and external value chain analysis for information flow and IS/IT opportunities
    • Conceptual architecture of information and processes restructuring to reach IS/IT maximum contribution
  • 6. Understanding the Current IS/IT Requirements - III
    • Hardware and software functions for future plan migrating
    • Current application portfolio evaluation for assessing contribution and potential
    • IS/IT principles, organization, processes, services, and capabilities evaluation for meeting current and future business needs
  • 7. Understanding IS/IT Needs of Business Strategy - I
    • Information, system, and technology for
      • The achievement of the business objectives
      • The measurement of the performance towards achieving the business objectives
  • 8. Understanding IS/IT Needs of Business Strategy - II
    • Internal business environment
      • Business strategy
      • Current business processes, activities, and main information entities
      • Organizational environment: structure, assets skills, values, style, culture, and relationship
    • External business environment
      • Opportunities
  • 9. Business Strategy - I
    • Components of business strategy
      • Mission: an unambiguous statement of what the business does and its long-term purpose
      • Vision: an easy identify picture of what the business will be in the future, and how it will operate
      • Goals: the set of major achievements that will accomplish the vision
  • 10. Business Strategy - II
    • Components of business strategy
      • Objectives: the targets (unambiguous and measurable) for accomplish the business vision
      • Strategies: the methods to meet the business objectives
      • Critical success factors (CSFs): a few areas have to be right in order for the business to flourish
  • 11. Business Strategy - III
    • Components of business strategy
      • Business drivers: a set of critical forces for the business to change
      • Business area plans: document the response or information needs to the business strategy
  • 12. Business Process, Activities and Key Entities - I
    • Business processes: the sets of interlinked activities to deliver specific outputs to customers
    • Activities: the elements of processes
      • To produce, promote and distribute products or services
      • To develop, support, and administer the infrastructure
      • To measure the performance against objectives
  • 13. Business Process, Activities and Key Entities - II
    • Key entities: important data and information associated with business processes
    • Models
      • Process flow models or process dependency charts
      • Hierarchical activity models or functional decomposition diagrams
      • Entity relationship models
  • 14. Business Process, Activities and Key Entities - III
    • Models
      • Data flow diagrams (DFDs)
      • Activity/entity matrices
      • Class diagram
  • 15. Examining Current IS/IT Supply - I
    • Objectives
      • Categorize in terms of strategic, high potential, key operational, and support
      • Contribution to business needs
      • Assessment of effectiveness, robustness, and unrealized potential
      • Potential improvement
      • Risks and opportunities
      • Strength and weakness in terms of CSFs
  • 16. Examining Current IS/IT Supply - II
    • Evaluate:
      • Application portfolio and applications under development: content, coverage, and contribution
      • Current databases and those under construction
      • Users’ perception of the value of the portfolio
      • Current infrastructure and IT supply provisions
  • 17. Examining Current IS/IT Supply - III
    • Evaluate
      • Current infrastructure and IT supply provisions
        • Current/previous strategy and policies
        • IS/IT organization and processes
        • Current assets, resources, and skills
        • Methods and training provisions
  • 18. Analysis Techniques - I
    • Business strategic analysis
    • CSF analysis
    • SWOT analysis
    • Business portfolio and competitive strategic analysis
    • Value chain analysis
    • Process effectiveness
  • 19. Analysis Techniques - II
    • Business process redesign
    • Organizational modeling
    • Business modeling-information analysis techniques
    • Current portfolio evaluation
    • Technology assessment and IS/IT infrastructure review
  • 20. Critical Success Factors - I
    • Levels
      • Industry
      • Corporate
      • Business unit or function
      • Manger
    • Usages in management
      • IS opportunities to achieve Objectives
      • Information needed by executives
  • 21. Critical Success Factors - II
    • Analysis process for IS requirements
      • Understand mission and objectives
      • Determine CSF for each objective
      • Conduct a SWOT on each CSF
      • Consolidate across objectives and identify information dependencies
      • Outline plan of IS requirements
  • 22. Critical Success Factors - III
    • Analysis process for executive information system
      • Understand mission and objectives
      • Determine CSF for each objective
      • Develop measures
      • Guides for the executive information systems
  • 23. Process Effectiveness
    • Identify core processes
    • Assess effectiveness of processes against their drivers
    • Assess risks of not improving the processes
    • Investigate urgency of opportunities for improvement
    • Establish future vision of the business processes
  • 24. Organizational Model
    • The formal organizational arrangements
    • Employees and other tangible assets
    • Social structure
    • Technology employed
    • The external environment
    • The dominant coalition
    • The key processes
  • 25. Points to Remember
    • Business re-engineering and IS strategy
    • Understanding the current IS/IT requirements
    • Understanding IS/IT needs of the business strategy
    • Examining current IS/IT supply
    • Analysis techniques
      • Critical success factors
      • Process effectiveness
      • Organizational model
  • 26. Questions
    • What are the critical success factors associated with an e-business?
    • How do you conduct a strategic analysis for an e-business?