M7233 is strategic planning summary chapter 1 rasyid

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M7233 is strategic planning summary chapter 1 rasyid

  1. 1. Tugas 1 IS Strategic Planning - M7233 RESUME CHAPTER 1The Evolving Role of Information Systems and Technology in Organizations: A Strategic Perspective Oleh: ABDURRASYID 1112200642 Kelas : 04 MBM UNIVERSITAS BINA NUSANTARA MANAJEMEN SISTEM INFORMASI JENJANG S2 JAKARTA 2012
  2. 2. IS Strategic Planning - M7233 Learning from experience—the successes and failures of the past—is one of the mostimportant aspects of strategic management. much learning about the capability of IT isexperiential, and that organizations tend to learn to manage IS/IT by doing, not appreciating thechallenges until they have faced them. Factors that affect the pace and effectiveness of progress in using IS/IT and in deliveringbusiness benefits include: the capabilities of the technology; the economics of deploying the technology; the applications that are feasible; the skills and abilities available, either in-house or from external sources, to develop the applications; the skills and abilities within the organization to use the applications; the pressures on the particular organization or its industry to improve performance.INFORMATION SYSTEMS (IS) AND INFORMATION TECHNOLOGY (IT) IT refers specifically to technology, essentially hardware, software andtelecommunications networks. IS actually is part of the much wider domain of human language and communication, thatIS will remain in a state of continual development and change in response both to technologicalinnovation and to its mutual interaction with human society as a whole.’ Why organizations may fail to realize any benefits from their investments in IT-investments are often made in technology without understanding or analysing the nature of theactivities the technology is to support—either strategically or operationally—in the organization.E-BUSINESS AND E-COMMERCE E-commerce refers to the conduct of commerce or business electronically—essentiallyusing Internet technologies. E-business, on the other hand, has come to refer to the automation ofan organization’s internal business processes using Internet and browser technologies. Three aspects make the Internet distinct from other technologies from othertechnologies. First, it is pervasive, second, it is interactive, third, its virtual nature.THE THREE-ERA MODEL 1. Data processing to improve operational efficiency by automating information based processes. 2. Management information systems to increase management effectiveness by satisfying their information requirements for decision making. 3. Strategic information systems to improve competitiveness by changing the nature or conduct of business (i.e. IS/IT investments can be a source of competitive advantage). Page | 1
  3. 3. IS Strategic Planning - M7233STRATEGIC USES OF IS/IT: CLASSIFICATION, FACTORS FOR SUCCESS ANDMANAGEMENT IMPLICATIONS The four main types of strategic system appear to be: 1. Those that share information via technology-based systems with customers/ consumers and/or suppliers and change the nature of the relationship. 2. Those that produce more effective integration of the use of information in the organization’s value-adding processes. 3. Those that enable the organization to develop, produce, market and deliver new or enhanced products or services based on information. 4. Those that provide executive management with information to support the development and implementation of strategy (in particular, where relevant external and internal information are integrated in analysis).DIFFERENT VIEWS OF STRATEGIC INFORMATION SYSTEMSSUCCESS FACTORS IN STRATEGIC INFORMATION SYSTEMS 1. External, not internal, focus: looking at customers, competitors, suppliers, even other industries and the business’s relationships and similarities with the outside business world 2. Adding value, not cost reduction: although cost reductions may accrue due to business expansion at reduced marginal costs, ‘doing it better, not cheaper’ seems to be the maxim. 3. Sharing the benefits: within the organization, with suppliers, customers, consumers and even competitors on occasion! 4. Understanding customers and what they do with the product or service: how they obtain value from it, and the problems they mayencounter in gaining that value 5. Business-driven innovation, not technology-driven: the pressures of the marketplace drove developments in most cases 6. Incremental development, not the total application vision turned into Reality Page | 2
  4. 4. IS Strategic Planning - M7233 7. Using the information gained from the systems to develop the business.RELATIONSHIP BETWEEN BUSINESS, IS, AND IT STRATEGIESALIGNING FOUR DOMAINS AS STRATEGIC ALIGNMENT MODELTHE CONTEXT FOR IS/IT STRATEGY Before embarking on developing an IS strategy, it is important to understand the contextwithin which this strategy is being developed. This context is likely to be different in differentorganizations. In this section, two perspectives are presented. The first is largely an internalperspective focusing on the role of IS/IT in the organization. The second is an externalperspective exploring the overall dynamics of IS/IT. 1. The Internal Context 2. The External ContexT Page | 3

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