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Aligning IT and business strategy: an Australian university case
study
Alan Dent*
Information Systems and Infrastructure, Murdoch University,
Murdoch, WA, Australia
Alignment with business objectives is considered to be an
essential outcome of
information technology (IT) strategic planning. This case study
examines the process
of creating an IT strategy for an Australian university using an
industry standard
methodology. The degree of alignment is determined by
comparing the strategic
priorities supported by both the IT and university strategic
plans, using Sharrock’s
‘four agendas’ framework. The significant differences between
the two strategies are
examined and explained, revealing the need for IT strategic
planning methodologies to
include a framework to measure business alignment.
Keywords: alignment; business; information technology;
strategy
Introduction: technology in higher education
This case study presents an examination of the process of
creating an information
technology (IT) strategy for a small Australian university, and
the university’s attempt
to align IT to the business needs of the institution. The IT
strategy was developed over a
3-month period, commencing in March 2014, using a strategic
planning methodology
from an IT research and advisory firm.
The mass adoption of internet-enabled technologies and mobile
devices has
revolutionised both the way industries go about their business
and their consumers’
expectations. These devices are powered by constantly
improving communications
and computing infrastructure, which in turn is enabled by
Moore’s law, an observa-
tion about the rate of growth in semiconductor capacity
(doubling approximately
every two years). Moore’s law has become a metaphor for rapid
rates of growth/
change everywhere (Schaller, 1997, p. 58). Changing
technologies, services and
student/consumer expectations represent both an opportunity
and a threat for
universities everywhere, including Australian universities.
In their report on the effects of digital disruption on the
Australian economy, Deloitte
(2013) categorised education in the ‘Long Fuse, Big Bang’
quadrant, predicting a 15–50
per cent change in metrics over a period of 4–10 years, noting
government regulation as a
possible inhibitor of the rate of change. While the impact of
digital disruption is large, the
longer lead times give institutions a chance to (re)position
themselves to take advantage of
the new opportunities presented by the changing technology
landscape. In a report on the
future of Australian universities, Ernst and Young (2012)
identified the most significant
challenges currently facing higher education, including
technology, and highlighted three
business models likely to emerge in response to these
challenges: streamlined status-quo,
niche dominator and transformer.
*Email: [email protected]
Journal of Higher Education Policy and Management, 2015
Vol. 37, No. 5, 519–533,
http://dx.doi.org/10.1080/1360080X.2015.1079395
© 2015 Association for Tertiary Education Management and the
LH Martin Institute for Tertiary Education Leadership and
Management
In this case study, the university strategic plan is firmly located
in the niche dominator
business model, targeting specific areas of strength and
focusing research and teaching
operations in these areas. One of the key features of this
business model is streamlining
the back office and reducing the cost of operations. This is
clearly the type of strategic
objective that IT could contribute to if it is properly aligned to
business strategies.
The business/IT alignment imperative
Alignment with the strategies and activities of the business has
been widely recognised
as one of the top issues or problems in IT strategy. In their early
attempt to define a
method of measuring this alignment, Reich and Benbasat (1996)
refer to prior examples
of this, dating back to the mid-1980s, around the time when the
first lower cost personal
computers (cheaper in comparison to mainframe computers)
were appearing in organisa-
tions in any numbers. Referring to the concept as a ‘linkage’
rather than as an
alignment, they defined it as ‘the degree to which the IT
mission, objectives, and
plans, support and are supported by the business mission,
objectives, and plans’
(Reich & Benbasat, 1996, p. 56).
Alignment is a priority for higher education IT, the first three
items on the
EDUCAUSE top 10 issues of 2014 also focus on business/IT
alignment (Grajek, 2014).
Similarly, the Council of Australian University Directors of IT
(CAUDIT) also focuses on
providing business solutions and alignment (CAUDIT, 2014).
Table 1 shows how each
body describes and ranks these priorities.
Creating better alignment of business and IT strategies to
provide valuable solutions to
the business are goals that dominate the IT profession in all
industries, but different types
of organisations present different challenges for those
responsible for making this happen.
The challenges facing a publicly listed, for-profit manufacturing
company will be very
different from those faced by a university with multiple
missions and broad-ranging social
responsibilities inherent in the public good aspects of higher
education. In itself, IT culture
Table 1. Comparison of relative priorities of IT/business
alignment.
Business solutions Business/IT alignment
EDUCAUSE Priority 1 Priority 2
Improving student outcomes through an
institutional approach that
strategically leverages technology
Establishing a partnership between IT
leadership and institutional leadership to
develop a collective understanding of
what information technology can deliver
Priority 3
Assisting faculty with the instructional
integration of information technology
CAUDIT Priority 1 Priority 6
Supporting and enabling teaching and
learning
Establishing a partnership between IT
leadership and institutional leadership to
develop a collective understanding of
what information technology can deliver
Priority 2
Supporting and enabling research
Source: CAUDIT (2014) and Grajek (2014).
520 A. Dent
differs from academic culture. Drawing from Albrecht et al.
(2004), Table 2 highlights
some of the potential difficulties.
With this level of potential gap between the business and IT, the
process of developing the
strategy is important. Figure 1 from Albrecht et al. (2004)
shows three methods of developing
IT strategies, each demonstrating a different level of
engagement with the business.
The case study
In this case study, the approach to IT strategy development
followed by the university
was an Alignment model. In this model, the business strategy is
developed first, and
then business and IT leaders collaborate to produce an IT
strategy to support it
(Albrecht et al., 2004). In the case study, the delay between
creation of the business
and IT strategic plans was nearly 2 years. Overall, the IT
strategic planning approach
undertaken was based on the Gartner IT strategic planning
model shown in Figure 2
(Schulte, 2015).
Table 2. Comparison of differences between Academic and IT
culture.
IT culture Academic culture
Emergent profession Mature profession
Change agent Values tradition and scepticism
Institutional focus Disciplinary focus
Focus on production Focus on innovation
Quest for consensus and alignment Quest for truth
Organisational anonymity Reputation driven
Activities/services rendered transparent Labyrinthine processes
and practices
Speed is a valued objective Speed may be antithetical to quality
Short life cycle for products, services,
outcomes and underlying technology
Work products designed to endure for years, decades
or even centuries
Uses a highly idiosyncratic and technical
language to communicate intentions
Uses a different highly idiosyncratic and technical
language to communicate expectations
Source: Albrecht et al. (2004, p. 129).
Figure 1. Types of business/IT alignment (Albrecht et al., 2004,
p. 129).
Journal of Higher Education Policy and Management 521
In the case study, the university’s nomenclature for these phases
was
1. IT strategic vision (Demand)
2. IT strategic plan (Control)
3. Implementation (Supply)
This paper focuses on the first of these phases, the IT strategic
vision. The primary
assumption underlying this phase is that it will provide the
connection and alignment of
IT to business strategy. Consultation in this phase involved
interviewing senior executive
staff and workshop groups with senior academic and
professional staff (deans and
directors) from several stakeholder communities: teaching staff,
research staff, profes-
sional staff, IT managers and students. The results of this
consultation were compiled into
an IT strategic vision document that was presented to, and
ratified by, the institution’s
senior leadership.
Methodology and analysis
In order to analyse the degree of business/IT alignment,
Sharrock’s ‘four management
agendas’ framework (2012) was applied. Produced from a
thematic analysis of Australian
university strategies, this presents a higher education industry-
specific set of institutional
priorities, as shown in Table 3.
The Sharrock model has been used to help assess the degree of
alignment between the
university strategic plan and the IT strategic vision. Using these
definitions, business
priorities are categorised into one of the four ‘management
agendas’ to allow valid
comparisons to be made. In order to determine the business
priorities for IT, the strategic
plan was examined for explicit or implied mentions of IT, or
concepts related to IT
capability. The results are shown in Table 4.
The case study university’s strategic plan itself contained very
few direct refer-
ences to IT, but several indirect references were present. For
example, new forms of
student engagement could reasonably be assumed to include
new technologies to
Figure 2. Gartner IT strategic planning model (Schulte, 2015).
522 A. Dent
supplement pedagogies. After duplication of items was taken
into account, the four
business priorities for IT remained. These are shown as rows in
Table 5, which
summarises the analysis. Initial analysis of the data using the
four management
agendas framework assigned each business priority to a single
management agenda.
Examination of these results gave an incomplete picture of the
agendas being
supported, as every priority clearly had impacts on other
agendas. As a result,
secondary categories were added to the analysis. Management
agendas in the sec-
ondary categories are considered to be agendas that are
supported as a consequence
of activity in the primary agenda.
Table 3. Four domains of university management.
Professional community (PC) Creative engagement (CE)
Shared aims, values and expertise; working with
high levels of commitment, trust and group
affinity
Pursuing learning, discovery and innovation;
involved in outreach and activism; and
seeking external partners to support creative
projects
System integrity (SI) Sustainable enterprise (SE)
Ensuring coherent processes to support
governance, planning, academic standards,
quality assurance, financial probity, efficiency
and effectiveness, and reporting
Attuned to trends in external market conditions
and government policy and funding settings;
with well-defined priorities, and an explicit
game plan to acquire and invest the resources
needed to build the capability to sustain
academic programmes
Source: Sharrock (2012).
Table 4. Case study university priorities and enabling resources.
University priorities Enabling resources
Learning and teaching New forms of student engagement
Modernisation of IT
Research Research collaboration
Engagement Modernisation of IT
Internationalisation High-quality IT
Enabling services Modern systems
High-quality IT as a tool for research, teaching and professional
operations
Table 5. Strategic plan management agendas for IT.
Priority
Primary
agenda
Secondary
agenda
New forms of student engagement CE PC and SE
Research collaboration tools CE PC and SE
Modernised systems and infrastructure SI SE, CE and PC
High-quality IT tools as an enabler of teaching, research and
professional operations
SE SI, CE and PC
Notes: CE, creative engagement; SE, sustainable enterprise; SI,
system integrity; PC, professional community.
Journal of Higher Education Policy and Management 523
New forms of student engagement
IT is an implied enabler of this priority. The main drivers of
new forms of student
engagement will have to be people and pedagogy, that is, the
professional community
(PC) agenda, where shared values across staff groups support
the student experience.
While new technology and software tools will undoubtedly play
a supporting role in new
types of student engagement, so too will other factors, such as
the physical facilities, as
learning spaces are transformed from traditional tutorial rooms
and lecture theatres to
collaborative group learning spaces. The small, implied, IT
component of this priority
consists of communication/collaboration software and fits
primarily in the creative
engagement (CE) agenda, with its focus on learning,
engagement and innovation. The
wider PC agenda of this priority is enabled by the CE dimension
and is thus considered a
secondary agenda for IT.
Research collaboration tools
While internationalisation is described as the key element of the
overall strategy, research
is the common theme that binds all the plan’s priorities
together. The research section of
the strategic plan focuses on collaboration amongst researchers,
particularly from other
international institutions. The implied priority for IT is to
provide the technology required
to support this collaboration. Collaboration amongst researchers
is clearly located in the
PC domain; however, the technology required to support it is
primarily part of the CE
agenda, pursuing learning, discovery and innovation, and
external collaboration. The PC
agenda is supported as a consequence of the CE agenda and thus
is classified as a
secondary agenda.
Modernised systems and infrastructure
Unlike the previous two priorities, modernised systems and
infrastructure are direct
references to almost everything that is typically considered to
be IT. There are
enough potential arguments around the semantics of what could
be considered to
constitute a ‘modern’ system or piece of infrastructure to fill
another dissertation.
For the purposes of this discussion, ‘modern’ systems and
infrastructure are assumed
to be systems and equipment that are supported by vendors and
have a future
product development roadmap, or those that are actively
developed and supported
in-house.
Modernised systems and infrastructure primarily support a
system integrity (SI)
agenda, keeping the technology platform current, secure and fit-
for-purpose.
High-quality IT tools as an enabler of teaching, research and
professional operations
The final strategic priority is IT as an enabler of the business
operations of the university,
an objective consistent with those identified earlier by
EDUCAUSE and CAUDIT. Where
the previous priority was concerned with establishing a stable,
modern, operating plat-
form, this priority is about providing the tools and technologies
to meet the current and
emerging business needs of every facet of the university’s
operations including its ‘back
office’ operations such as finance and human resource
management.
524 A. Dent
Management agendas supported by IT
In order to rank the agendas, a simple weighted approach was
applied. An overall total
value of 1 was given to both primary and secondary instances,
with 0.5 allocated to each
category. A value per instance within categories was determined
by dividing 0.5 by the
number of instances in each category. Four primary instances
meant a value of 0.125 per
instance, and 10 secondary instances meant a value of 0.05 per
instance. The decimal
values have been converted to percentages and the scores are
summed to determine the
final priority ranking. The results of the analysis of the
management agendas are presented
below. The raw count of instances is shown first, with the
percentage figure presented
afterwards in parentheses (Table 6).
The final priority order of business agendas is thus:
1. Creative engagement
2. Sustainable enterprise
3. Professional community
4. System integrity
In order to be aligned to the business requirements laid out in
the strategic plan, the IT
strategic vision should support the management agendas in the
same order.
IT strategic vision management agendas: stakeholder feedback
In the case study, the IT strategic vision was constructed from
feedback gathered in
workshops and meetings held with senior executive and
stakeholder groups representing
the business areas of the university. Workshops were delivered
in a common format,
focusing on the four questions in the demand section of the
Gartner model. The results of
the workshops are summarised in Table 7, with the management
agenda domain shown in
parentheses.
A final, unofficial question was asked in each of the workshops:
‘what sort of
relationship do you want to have with IT, a client/service
provider relationship, or a
business partner relationship?’ The answer to this question was
unanimously ‘business
partner’. This observation is significant as it implies close
alignment and collaboration
between business areas and IT on high-value business priorities.
An answer of ‘client/
service provider’ would have indicated the type of relationship
where IT only provided
Table 6. Mapping of primary and secondary attributes.
Professional community (PC) Creative engagement (CE)
Primary 0 (0 per cent) Primary 2 (25 per cent)
Secondary 4 (20 per cent) Secondary 2 (10 per cent)
Total score: 20 per cent Total score 35 per cent
System integrity (SI) Sustainable enterprise (SE)
Primary 1 (12.5 per cent) Primary 1 (12.5 per cent)
Secondary 1 (5 per cent) Secondary 3 (15 per cent)
Total score 17.5 per cent Total score 27.5 per cent
Journal of Higher Education Policy and Management 525
business areas with commodity-type services, for example,
desktop support or access
to the internet.
University environment and context
The first question attempted to contextualise the business
requirements of IT by situating
the university within its operating environment. As expected,
the themes identified by the
workshops represented a spread of management agendas.
The most notable omission from the themes that emerged from
this question was the
international dimension. It can be implied in ‘competition from
other universities’, but when
Table 7. IT strategic vision themes and management agendas.
Question 1: University environment and context – common
themes
● There is increasing competition from other universities as
well as TAFE and private providers
(SE)
● Educational technologies are changing the ways in which
students engage with learning (CE)
● Compliance and regulatory requirements have significant
impacts on the ability to undertake
one’s job (SI)
Question 2: ‘Business success’ – common themes
● Highest possible level of student engagement (CE)
● Good management information which is used to underpin
continuous improvement in services
(SE)
● Fast, reliable, integrated systems (SI)
● Documented, streamlined and automated processes (SI)
● Up-to-date website – information required by both staff and
students (SI)
● Easy-to-use search function on the website (SI)
Question 3: ‘Business capabilities’ – common themes
● Integrated systems (SI)
● 24/7 support and response capability (SI)
● Clearly mapped and understood business processes (SI)
● Collaboration tools (CE/PC)
● Mobile, self-service, interactive services for students and
staff (CE)
● Facilitate the use of ‘bring your own device’ (CE)
Question 4: IT contribution to ‘business success’ – common
themes
● Enabling technologies that ‘makes the job easier’ (SE)
● Increased hours of support, ideally 24/7 (SI)
● A learning and teaching environment that is ‘geographically
independent’ (CE)
● Technology to provide trustworthy and reliable data as
information to support decision-making
(SI)
● Learning analytics required to support student recruitment and
target ‘at risk’ students (SI)
● Better integration of systems (SI)
Source: Case study university, 2014.
526 A. Dent
the stated theme of the strategic plan is internationalisation, it
is reasonable to assume that an
international connection should be explicit. Research is
similarly missing-in-action; the
absence of these two areas is a common feature of the themes
identified in the workshops.
Business success
This question identified what factors (not necessarily relating to
IT) business areas need to
succeed. The themes identified by this question show a heavy
bias towards the SI agenda.
Business capabilities
Business capabilities build from the business success question.
The answers here should
be a list of the capabilities that the business believes it needs to
facilitate business success.
Once again, these are not necessarily related to IT. The themes
identified by this question
do not quite reflect this intent. For example, while clearly
mapped and understood
business processes are a (highly) desirable requirement for
business success, they are
the product of a business process analysis and design capability,
rather than the capability
itself. Similarly, integrated systems are either the output of a
systems integration capability
or the prerequisite for an enterprise-wide business intelligence
capability.
During the workshops, this question consistently required the
facilitator to either
repeat it or attempt to clarify it. The Gartner model is intended
to be applicable to IT
operations across all industries, yet the results of this question
clearly show that in
the case of this question it did not quite translate into a higher
education context.
IT contribution to ‘business success'
The final question sought to identify where the business sees
that IT can make a
contribution to its operations. When attempting to achieve
alignment of business and IT
strategies, this is the most important question. The themes
identified by this question were
predominantly in the sustainable enterprise (SE) and SI
domains. On a raw count of the
number of themes identified, the SE agenda is dominant;
however, ‘Learning analytics
required to support student recruitment and target “at risk”
students’ is effectively a
student-specific subset of ‘Technology to provide trustworthy
and reliable data as infor-
mation to support decision-making’, making the SE and SI
count effectively even.
Where the themes in previous questions contained obvious
omissions from the
strategic plan, themes in this question are more reflective of it.
Student engagement
(CE) and enabling technologies (SE) feature in both, indicating
at least a partial alignment
between the strategic plan and the IT strategic vision.
Overall, the themes identified in the IT strategic vision
workshops showed a signifi-
cant bias towards items located in the SI management agenda.
While not wholly out of
step with the IT priorities from the strategic plan, which
contained a very broad SI
component on modernising systems and infrastructure, the bias
towards the SI agenda
for IT indicates a lack of alignment between the two strategies.
Analysing the strategic misalignment
Question 4 (IT contribution to ‘business success’) is the key
question when examining this
misalignment. Using the same framework used to analyse IT in
the strategic plan, the
Journal of Higher Education Policy and Management 527
themes identified by question 4 have been categorised with both
primary and secondary
management agendas. The results are presented in Table 8.
Enabling technologies that make the job easier
This theme is a direct analogue of the strategic plan priority;
‘high-quality IT tools
as an enabler of teaching, research and professional operations’.
Primarily based in
the SE management agenda, enabling tools and technologies
that increase the
efficiency of business area operations will free up resources,
making them available
for other value-adding activities. Having such a broad primary
agenda, this theme
will consequentially support all the other management agendas.
Increased hours of support, ideally 24/7
This theme is very firmly based in the SI management agenda,
supporting system access,
accuracy and security. Equally important in this theme is the
support of the people side of
the equation, providing expert assistance and advice for
business areas in the use of the
systems. By primarily supporting the SI agenda, this item
services all other agendas in a
secondary capacity.
Learning and teaching environment that is geographically
independent
Geographically independent learning and teaching environments
are a subset of the ‘new
forms of student engagement’ strategic plan priority. High-
quality, geographically inde-
pendent, online learning environments are part of the CE
management agenda, providing
the toolset on which new learning materials, optimised for
online delivery, can be built.
The PC and SE agendas are secondarily served by this theme.
Providing the tools that
support the further development of a PC of scholars and
students helps maintain the
relevance and viability of the institution.
Table 8. Analysis of question 4: IT contribution to ‘business
success’.
Workshop theme
Primary
agenda
Secondary
agenda
Enabling technologies that ‘makes the job easier’ SE SI, CE and
PC
Increased hours of support, ideally 24/7 SI SE, CE and PC
A learning and teaching environment that is ‘geographically
independent’
CE PC and SE
Technology to provide trustworthy and reliable data as
information
to support decision-making
SI SE
Learning analytics required to support student recruitment and
target
‘at risk’ students
SI SE
Better integration of systems SI SE, CE and PC
528 A. Dent
Technology to provide trustworthy and reliable data as
information to support
decision-making
The technology and reporting capability to support management
decision-making is
located in the SI management agenda. The technology
presentation layer will be the
most visible aspect of this theme to the business, whether it be
via simple tabular reports
in spread sheets or advanced data visualisations. However, the
majority of the work
required to deliver this capability actually lies in integrating the
underlying systems and
defining common definitions of the data to report on. This
theme is tightly tied to the SE
secondary agenda, which uses the reporting information output
of this theme as its key
input.
Learning analytics required to support student recruitment and
target ‘at risk’ students
This theme is a student-specific subset of the previous theme
and has been classified in the
same way.
Better integration of systems
The final IT strategic vision workshop theme also supports the
SI management agenda. As
noted in the previous two themes, it is a foundation requirement
for good management
reporting. Being broader than the previous two themes,
however, this theme provides
secondary support for all the other management agendas. While
reliable management
information underpins SE decision-making, better systems
integration also supports the
PC and CE agendas by bringing disparate systems together and
allowing their information
to be used in new and different ways to connect staff, students
and the community.
Management agendas supported by themes identified in the IT
strategic planning
workshops
In order to make a valid comparison, the same weighting regime
used in the strategic plan
analysis above was applied; the results are presented in Table 9.
Final comparison of agendas
The final results of the comparison between the management
agendas defined in the
strategic plan and those identified in the IT strategic vision
workshops are given in
Table 10.
Table 9. Summary of IT strategic plan themes.
Professional community (PC) Creative engagement (CE)
Primary 0 (0 per cent) Primary 1 (8 per cent)
Secondary 4 (15 per cent) Secondary 3 (12 per cent)
Total score: 15 per cent Total score 20 per cent
System integrity (SI) Sustainable enterprise (SE)
Primary 4 (33 per cent) Primary 1 (8 per cent)
Secondary 1 (4 per cent) Secondary 5 (20 per cent)
Total score 37 per cent Total score 28 per cent
Journal of Higher Education Policy and Management 529
The most striking difference between the two is the relative
position of the SI agenda.
While SI was the least important agenda item for the strategic
plan, participants in the IT
strategic planning workshops identified it as their number one
agenda and relegated the
strategic plan’s top agenda for IT, CE, to third place, at less
than half the value previously
assigned to it. The results were not completely dissonant,
however; both exercises rated
the SE agenda second, giving it almost exactly the same
weighted score.
This emphasis on the SI agenda clearly stood out. While the
answer to the final,
unofficial, workshop question on the type of relationship
business areas wanted with IT
was always ‘business partner’, the focus of the answers given
throughout the workshop
had all felt heavily biased towards the type of commodity
services that typify the lowest
end of the SI agenda, desktop support, printing and bigger staff
email inboxes for
example. The ranking of SI as the top agenda supports this
observation.
Creation of the IT strategic vision
The final steps in the methodology were the creation of the IT
strategic vision and its
approval by the case study university’s senior executive group.
The analysis of the results,
however, shows a misalignment of the priorities in the strategic
plan and IT strategic
vision. The question this raises is, what (if anything) went
wrong with the process that
was supposed to provide business and IT alignment?
Findings on the process of alignment
In the development of the IT strategic vision, alignment with
the university’s business
objectives was intended to occur as a result of a number of key
factors in the creation
process:
1. Use of the Gartner IT strategic planning framework
2. Wide and representative stakeholder engagement
3. A senior executive check point at the end of each phase
Each of these elements was present in the IT strategic vision
creation process, and yet the
analysis of management agendas shows that the end result was
not fully aligned: the result
of the workshops gave top priority to a different management
agenda than the strategic
plan. The question is why?
Table 10. Final comparison of agendas.
Agendas
University strategic
plan (per cent)
IT strategic vision
workshops (per cent)
Creative engagement 35 20
Sustainable enterprise 27.5 28
Professional community 20 15
System integrity 17.5 37
530 A. Dent
IT strategic planning framework
The Gartner IT strategic planning framework is a generic
framework designed to be
applied to many industries. Using it in a higher education
institution is no more or less
valid than using it in a retail, mining or professional services
organisation. The
practical experience of the workshops revealed that there was a
level of disconnect
between the intent of, and responses to, some of the questions.
This can be attributed
to a level of confusion over the terminology, particularly around
the capabilities
question (question 3). Ultimately, however, the results of that
question were still
consistent with the results of the entire workshop.
The only gap in framework in the case study context is its over-
reliance on the senior
executive ‘checkpoint’ to assure alignment. In this case, it
would have been useful had the
model also included a method with which to quantify alignment.
Stakeholder engagement
The assumption that engaging with a wide range of senior
stakeholders from every level
of the business would result in an IT strategic vision aligned
with the business strategy
was the foundation of the planning process. The stakeholders
contributing to the IT
strategic vision workshops were all senior staff. As such they
could reasonably be
expected to be aligning their business requirements with those
of the strategic plan and
yet this did not seem to fully happen.
The difference between the business agendas identified in the
strategic plan and the IT
strategic vision workshops can also be explained in part by
timing. The strategic plan was
constructed and released in 2012. Over the two years between
the release of strategic plan
and the IT strategic vision workshops, the university undertook
a number of other
significant business initiatives, including
● a curriculum review and implementation of new degree
structures;
● creation of a research strategy;
● restructure of the Academy, halving the number of schools;
● recruitment of all new school deans;
● review of transnational offerings;
● restructure of professional services, halving the number of
directorates.
As well as these major changes, some others that are significant
to the strategic
business/IT alignment did not occur, most notably the creation
of strategies to
support two core priorities of the strategic plan, in Teaching &
Learning and in
Engagement.
Rather than representing a misalignment between business and
IT strategies, the
results of the workshop show IT aligning with an evolving
business strategy. In describing
the Learning School of strategy, Mintzberg et al. note that
strategies ‘emerge as people . . .
come to learn about a situation as well as their organization's
capability of dealing with it’
(Mintzberg, Ahlstrand, & Lampel, 1998, p. 176). As a result of
the implementation of the
strategic plan, the major initiatives listed above were
undertaken at what can only be
described as breakneck speed for a university.
All the major areas of institutional operations, both academic
and professional,
have been affected by these changes, with most areas being
impacted by multiple
Journal of Higher Education Policy and Management 531
simultaneous initiatives. The results of such an ambitious
programme conducted over
such optimistic timeframes inevitably include a period of lag as
policies, procedures
and systems catch up to changing business processes and
requirements. In this type of
environment, the SI management agenda is clearly needed.
While the core of the
strategic plan remains the same, the results of the IT strategic
vision workshops are
reflective of an evolution of the business strategy as it adapts to
the implementation of
the overall strategic plan. The workshops provided the vehicle
to identify changing
strategic business needs and translate them into a series of
management priority
agendas for IT that differed from the original university
strategic plan, but were still
ultimately supportive of it.
Senior executive ‘checkpoint’
The Gartner model makes allowances for a potential
misalignment between the business
strategy in the form of a senior executive ‘checkpoint’ on
completion of the first stage. In
the absence of an alignment analysis framework, any
determination on the alignment of
the IT strategic vision with the university’s strategic plan was a
subjective judgement. The
process of creating the vision did not include any formal
measures of alignment or any
framework for comparing them. Had a structured analysis been
performed, it would have
highlighted the discrepancy between the results of the IT
strategic vision workshops and
the strategic plan identified above.
Ultimately the identification of an apparent misalignment
between business and
IT strategies does not have to make any difference to the overall
IT strategy. The
senior executive accepted the IT strategic vision despite the
apparent misalignment
of the results of the workshops with the strategic plan. It does,
however, encourage
an extra level of investigation into the reasons for the
difference, which will, if
nothing else, result in a better understanding of the business
needs the IT strategy is
attempting to align to, and the IT capability that may inform
‘emergent’ strategic
options.
Conclusion
The objective of this paper was to examine the process of
attempting to align a university
IT strategy with the institution’s business strategy, using one
university’s experience as a
case study. The process the university followed to produce an
IT strategy aligned with the
needs of the business can ultimately be considered successful,
despite producing an IT
strategic vision based on a different set of management agendas
from those set out in the
strategic plan. Starting from a position where the strategic plan
primarily supported a CE
agenda, the process of gathering requirements through
workshops revealed that what the
business areas actually required was in the SI agenda. This
change in management
agendas was the result of an ‘emergent’ evolution of the
business strategy, where order
and control is now required after a series of institution-wide
initiatives changing many of
the fundamental operating parameters.
The process could be improved with the addition of an explicit
framework or more
sophisticated way to measure business/IT alignment. This would
provide a solid, quantifi-
able measure that could be used as a cross-check before taking
the completed IT strategic
vision to the senior executive group. If, as in this case study,
workshops produce a
contrasting view of priorities, these can either be re-examined
or explained before
532 A. Dent
presenting the final output. Either scenario will result in a
better understanding of IT
capabilities and their potentially closer alignment with business
needs.
Disclosure statement
No potential conflict of interest was reported by the author.
References
Albrecht, B., Bender, B., Katz, R.N., Pirani, J.A., Salaway, G.,
Sitko, T.D., & Voloudakis, J. (2004).
Information technology alignment in higher education.
Colorado: EDUCAUSE Center for
Applied Research.
CAUDIT. (2014). CAUDIT top 10 issues. Retrieved from
https://www.caudit.edu.au/caudit-top-ten-
issues
Deloitte. (2013). Digital disruption: Short fuse, big bang?
Retrieved from http://www2.deloitte.
com/content/dam/Deloitte/au/Documents/Building%20Lucky%2
0Country/deloitte-au-consult
ing-digital-disruption-whitepaper-0912.pdf
Ernst & Young. (2012). University of the future. Retrieved from
http://www.ey.com/Publication/
vwLUAssets/University_of_the_future/$FILE/University_of_the
_future_2012.pdf
Grajek, S. (2014). Top 10 IT issues, 2014: Be the change you
see. EDUCAUSE Review, 2014,
10–54.
Mintzberg, H., Ahlstrand, B., & Lampel, J. (1998). The learning
school. In Strategy safari (pp. 176–
231). London: Prentice Hall.
Reich, B.H., & Benbasat, I. (1996). Measuring the linkage
between business and information
technology objectives. MIS Quarterly, 20(1), 55.
doi:10.2307/249542
Schaller, R.R. (1997). Moore’s law: Past, present and future.
IEEE Spectrum, 34(6), 52–59.
doi:10.1109/6.591665
Schulte, A. (February 2015). IT strategic planning key initiative
overview. Retrieved from http://
www.gartner.com/document/2985119
Sharrock, G. (2012). Four management agendas for Australian
universities. Journal of Higher
Education Policy and Management, 34(3), 323–337.
doi:10.1080/1360080X.2012.678728
Journal of Higher Education Policy and Management 533
https://www.caudit.edu.au/caudit-top-ten-issues
https://www.caudit.edu.au/caudit-top-ten-issues
http://www2.deloitte.com/content/dam/Deloitte/au/Documents/B
uilding%20Lucky%20Country/deloitte-au-consulting-digital-
disruption-whitepaper-0912.pdf
http://www2.deloitte.com/content/dam/Deloitte/au/Documents/B
uilding%20Lucky%20Country/deloitte-au-consulting-digital-
disruption-whitepaper-0912.pdf
http://www2.deloitte.com/content/dam/Deloitte/au/Documents/B
uilding%20Lucky%20Country/deloitte-au-consulting-digital-
disruption-whitepaper-0912.pdf
http://www.ey.com/Publication/vwLUAssets/University_of_the_
future/$FILE/University_of_the_future_2012.pdf
http://www.ey.com/Publication/vwLUAssets/University_of_the_
future/$FILE/University_of_the_future_2012.pdf
http://dx.doi.org/10.2307/249542
http://dx.doi.org/10.1109/6.591665
http://www.gartner.com/document/2985119
http://www.gartner.com/document/2985119
http://dx.doi.org/10.1080/1360080X.2012.678728
Copyright of Journal of Higher Education Policy & Management
is the property of Routledge
and its content may not be copied or emailed to multiple sites or
posted to a listserv without
the copyright holder's express written permission. However,
users may print, download, or
email articles for individual use.
AbstractIntroduction: technology in higher educationThe
business/IT alignment imperativeThe case studyMethodology
and analysisNew forms of student engagementResearch
collaboration toolsModernised systems and infrastructureHigh-
quality IT tools as an enabler of teaching, research and
professional operationsManagement agendas supported by ITIT
strategic vision management agendas: stakeholder
feedbackUniversity environment and contextBusiness
successBusiness capabilitiesIT contribution to ‘business
success'Analysing the strategic misalignmentEnabling
technologies that make the job easierIncreased hours of support,
ideally 24/7Learning and teaching environment that is
geographically independentTechnology to provide trustworthy
and reliable data as information to support decision-
makingLearning analytics required to support student
recruitment and target ‘at risk’ studentsBetter integration of
systemsManagement agendas supported by themes identified in
the IT strategic planning workshopsFinal comparison of
agendasCreation of the IT strategic visionFindings on the
process of alignmentIT strategic planning
frameworkStakeholder engagementSenior executive
‘checkpoint’ConclusionDisclosure statementReferences

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Aligning IT and business strategy an Australian university ca.docx

  • 1. Aligning IT and business strategy: an Australian university case study Alan Dent* Information Systems and Infrastructure, Murdoch University, Murdoch, WA, Australia Alignment with business objectives is considered to be an essential outcome of information technology (IT) strategic planning. This case study examines the process of creating an IT strategy for an Australian university using an industry standard methodology. The degree of alignment is determined by comparing the strategic priorities supported by both the IT and university strategic plans, using Sharrock’s ‘four agendas’ framework. The significant differences between the two strategies are examined and explained, revealing the need for IT strategic planning methodologies to include a framework to measure business alignment. Keywords: alignment; business; information technology; strategy Introduction: technology in higher education This case study presents an examination of the process of creating an information technology (IT) strategy for a small Australian university, and
  • 2. the university’s attempt to align IT to the business needs of the institution. The IT strategy was developed over a 3-month period, commencing in March 2014, using a strategic planning methodology from an IT research and advisory firm. The mass adoption of internet-enabled technologies and mobile devices has revolutionised both the way industries go about their business and their consumers’ expectations. These devices are powered by constantly improving communications and computing infrastructure, which in turn is enabled by Moore’s law, an observa- tion about the rate of growth in semiconductor capacity (doubling approximately every two years). Moore’s law has become a metaphor for rapid rates of growth/ change everywhere (Schaller, 1997, p. 58). Changing technologies, services and student/consumer expectations represent both an opportunity and a threat for universities everywhere, including Australian universities. In their report on the effects of digital disruption on the Australian economy, Deloitte (2013) categorised education in the ‘Long Fuse, Big Bang’ quadrant, predicting a 15–50 per cent change in metrics over a period of 4–10 years, noting government regulation as a possible inhibitor of the rate of change. While the impact of digital disruption is large, the longer lead times give institutions a chance to (re)position themselves to take advantage of the new opportunities presented by the changing technology
  • 3. landscape. In a report on the future of Australian universities, Ernst and Young (2012) identified the most significant challenges currently facing higher education, including technology, and highlighted three business models likely to emerge in response to these challenges: streamlined status-quo, niche dominator and transformer. *Email: [email protected] Journal of Higher Education Policy and Management, 2015 Vol. 37, No. 5, 519–533, http://dx.doi.org/10.1080/1360080X.2015.1079395 © 2015 Association for Tertiary Education Management and the LH Martin Institute for Tertiary Education Leadership and Management In this case study, the university strategic plan is firmly located in the niche dominator business model, targeting specific areas of strength and focusing research and teaching operations in these areas. One of the key features of this business model is streamlining the back office and reducing the cost of operations. This is clearly the type of strategic objective that IT could contribute to if it is properly aligned to business strategies. The business/IT alignment imperative Alignment with the strategies and activities of the business has been widely recognised as one of the top issues or problems in IT strategy. In their early
  • 4. attempt to define a method of measuring this alignment, Reich and Benbasat (1996) refer to prior examples of this, dating back to the mid-1980s, around the time when the first lower cost personal computers (cheaper in comparison to mainframe computers) were appearing in organisa- tions in any numbers. Referring to the concept as a ‘linkage’ rather than as an alignment, they defined it as ‘the degree to which the IT mission, objectives, and plans, support and are supported by the business mission, objectives, and plans’ (Reich & Benbasat, 1996, p. 56). Alignment is a priority for higher education IT, the first three items on the EDUCAUSE top 10 issues of 2014 also focus on business/IT alignment (Grajek, 2014). Similarly, the Council of Australian University Directors of IT (CAUDIT) also focuses on providing business solutions and alignment (CAUDIT, 2014). Table 1 shows how each body describes and ranks these priorities. Creating better alignment of business and IT strategies to provide valuable solutions to the business are goals that dominate the IT profession in all industries, but different types of organisations present different challenges for those responsible for making this happen. The challenges facing a publicly listed, for-profit manufacturing company will be very different from those faced by a university with multiple missions and broad-ranging social responsibilities inherent in the public good aspects of higher
  • 5. education. In itself, IT culture Table 1. Comparison of relative priorities of IT/business alignment. Business solutions Business/IT alignment EDUCAUSE Priority 1 Priority 2 Improving student outcomes through an institutional approach that strategically leverages technology Establishing a partnership between IT leadership and institutional leadership to develop a collective understanding of what information technology can deliver Priority 3 Assisting faculty with the instructional integration of information technology CAUDIT Priority 1 Priority 6 Supporting and enabling teaching and learning Establishing a partnership between IT leadership and institutional leadership to develop a collective understanding of what information technology can deliver Priority 2 Supporting and enabling research Source: CAUDIT (2014) and Grajek (2014). 520 A. Dent
  • 6. differs from academic culture. Drawing from Albrecht et al. (2004), Table 2 highlights some of the potential difficulties. With this level of potential gap between the business and IT, the process of developing the strategy is important. Figure 1 from Albrecht et al. (2004) shows three methods of developing IT strategies, each demonstrating a different level of engagement with the business. The case study In this case study, the approach to IT strategy development followed by the university was an Alignment model. In this model, the business strategy is developed first, and then business and IT leaders collaborate to produce an IT strategy to support it (Albrecht et al., 2004). In the case study, the delay between creation of the business and IT strategic plans was nearly 2 years. Overall, the IT strategic planning approach undertaken was based on the Gartner IT strategic planning model shown in Figure 2 (Schulte, 2015). Table 2. Comparison of differences between Academic and IT culture. IT culture Academic culture Emergent profession Mature profession
  • 7. Change agent Values tradition and scepticism Institutional focus Disciplinary focus Focus on production Focus on innovation Quest for consensus and alignment Quest for truth Organisational anonymity Reputation driven Activities/services rendered transparent Labyrinthine processes and practices Speed is a valued objective Speed may be antithetical to quality Short life cycle for products, services, outcomes and underlying technology Work products designed to endure for years, decades or even centuries Uses a highly idiosyncratic and technical language to communicate intentions Uses a different highly idiosyncratic and technical language to communicate expectations Source: Albrecht et al. (2004, p. 129). Figure 1. Types of business/IT alignment (Albrecht et al., 2004, p. 129). Journal of Higher Education Policy and Management 521 In the case study, the university’s nomenclature for these phases was 1. IT strategic vision (Demand) 2. IT strategic plan (Control) 3. Implementation (Supply)
  • 8. This paper focuses on the first of these phases, the IT strategic vision. The primary assumption underlying this phase is that it will provide the connection and alignment of IT to business strategy. Consultation in this phase involved interviewing senior executive staff and workshop groups with senior academic and professional staff (deans and directors) from several stakeholder communities: teaching staff, research staff, profes- sional staff, IT managers and students. The results of this consultation were compiled into an IT strategic vision document that was presented to, and ratified by, the institution’s senior leadership. Methodology and analysis In order to analyse the degree of business/IT alignment, Sharrock’s ‘four management agendas’ framework (2012) was applied. Produced from a thematic analysis of Australian university strategies, this presents a higher education industry- specific set of institutional priorities, as shown in Table 3. The Sharrock model has been used to help assess the degree of alignment between the university strategic plan and the IT strategic vision. Using these definitions, business priorities are categorised into one of the four ‘management agendas’ to allow valid comparisons to be made. In order to determine the business priorities for IT, the strategic plan was examined for explicit or implied mentions of IT, or concepts related to IT
  • 9. capability. The results are shown in Table 4. The case study university’s strategic plan itself contained very few direct refer- ences to IT, but several indirect references were present. For example, new forms of student engagement could reasonably be assumed to include new technologies to Figure 2. Gartner IT strategic planning model (Schulte, 2015). 522 A. Dent supplement pedagogies. After duplication of items was taken into account, the four business priorities for IT remained. These are shown as rows in Table 5, which summarises the analysis. Initial analysis of the data using the four management agendas framework assigned each business priority to a single management agenda. Examination of these results gave an incomplete picture of the agendas being supported, as every priority clearly had impacts on other agendas. As a result, secondary categories were added to the analysis. Management agendas in the sec- ondary categories are considered to be agendas that are supported as a consequence of activity in the primary agenda. Table 3. Four domains of university management. Professional community (PC) Creative engagement (CE)
  • 10. Shared aims, values and expertise; working with high levels of commitment, trust and group affinity Pursuing learning, discovery and innovation; involved in outreach and activism; and seeking external partners to support creative projects System integrity (SI) Sustainable enterprise (SE) Ensuring coherent processes to support governance, planning, academic standards, quality assurance, financial probity, efficiency and effectiveness, and reporting Attuned to trends in external market conditions and government policy and funding settings; with well-defined priorities, and an explicit game plan to acquire and invest the resources needed to build the capability to sustain academic programmes Source: Sharrock (2012). Table 4. Case study university priorities and enabling resources. University priorities Enabling resources Learning and teaching New forms of student engagement Modernisation of IT Research Research collaboration Engagement Modernisation of IT Internationalisation High-quality IT Enabling services Modern systems
  • 11. High-quality IT as a tool for research, teaching and professional operations Table 5. Strategic plan management agendas for IT. Priority Primary agenda Secondary agenda New forms of student engagement CE PC and SE Research collaboration tools CE PC and SE Modernised systems and infrastructure SI SE, CE and PC High-quality IT tools as an enabler of teaching, research and professional operations SE SI, CE and PC Notes: CE, creative engagement; SE, sustainable enterprise; SI, system integrity; PC, professional community. Journal of Higher Education Policy and Management 523 New forms of student engagement IT is an implied enabler of this priority. The main drivers of new forms of student engagement will have to be people and pedagogy, that is, the professional community (PC) agenda, where shared values across staff groups support the student experience. While new technology and software tools will undoubtedly play
  • 12. a supporting role in new types of student engagement, so too will other factors, such as the physical facilities, as learning spaces are transformed from traditional tutorial rooms and lecture theatres to collaborative group learning spaces. The small, implied, IT component of this priority consists of communication/collaboration software and fits primarily in the creative engagement (CE) agenda, with its focus on learning, engagement and innovation. The wider PC agenda of this priority is enabled by the CE dimension and is thus considered a secondary agenda for IT. Research collaboration tools While internationalisation is described as the key element of the overall strategy, research is the common theme that binds all the plan’s priorities together. The research section of the strategic plan focuses on collaboration amongst researchers, particularly from other international institutions. The implied priority for IT is to provide the technology required to support this collaboration. Collaboration amongst researchers is clearly located in the PC domain; however, the technology required to support it is primarily part of the CE agenda, pursuing learning, discovery and innovation, and external collaboration. The PC agenda is supported as a consequence of the CE agenda and thus is classified as a secondary agenda. Modernised systems and infrastructure
  • 13. Unlike the previous two priorities, modernised systems and infrastructure are direct references to almost everything that is typically considered to be IT. There are enough potential arguments around the semantics of what could be considered to constitute a ‘modern’ system or piece of infrastructure to fill another dissertation. For the purposes of this discussion, ‘modern’ systems and infrastructure are assumed to be systems and equipment that are supported by vendors and have a future product development roadmap, or those that are actively developed and supported in-house. Modernised systems and infrastructure primarily support a system integrity (SI) agenda, keeping the technology platform current, secure and fit- for-purpose. High-quality IT tools as an enabler of teaching, research and professional operations The final strategic priority is IT as an enabler of the business operations of the university, an objective consistent with those identified earlier by EDUCAUSE and CAUDIT. Where the previous priority was concerned with establishing a stable, modern, operating plat- form, this priority is about providing the tools and technologies to meet the current and emerging business needs of every facet of the university’s operations including its ‘back office’ operations such as finance and human resource
  • 14. management. 524 A. Dent Management agendas supported by IT In order to rank the agendas, a simple weighted approach was applied. An overall total value of 1 was given to both primary and secondary instances, with 0.5 allocated to each category. A value per instance within categories was determined by dividing 0.5 by the number of instances in each category. Four primary instances meant a value of 0.125 per instance, and 10 secondary instances meant a value of 0.05 per instance. The decimal values have been converted to percentages and the scores are summed to determine the final priority ranking. The results of the analysis of the management agendas are presented below. The raw count of instances is shown first, with the percentage figure presented afterwards in parentheses (Table 6). The final priority order of business agendas is thus: 1. Creative engagement 2. Sustainable enterprise 3. Professional community 4. System integrity In order to be aligned to the business requirements laid out in the strategic plan, the IT strategic vision should support the management agendas in the
  • 15. same order. IT strategic vision management agendas: stakeholder feedback In the case study, the IT strategic vision was constructed from feedback gathered in workshops and meetings held with senior executive and stakeholder groups representing the business areas of the university. Workshops were delivered in a common format, focusing on the four questions in the demand section of the Gartner model. The results of the workshops are summarised in Table 7, with the management agenda domain shown in parentheses. A final, unofficial question was asked in each of the workshops: ‘what sort of relationship do you want to have with IT, a client/service provider relationship, or a business partner relationship?’ The answer to this question was unanimously ‘business partner’. This observation is significant as it implies close alignment and collaboration between business areas and IT on high-value business priorities. An answer of ‘client/ service provider’ would have indicated the type of relationship where IT only provided Table 6. Mapping of primary and secondary attributes. Professional community (PC) Creative engagement (CE) Primary 0 (0 per cent) Primary 2 (25 per cent) Secondary 4 (20 per cent) Secondary 2 (10 per cent) Total score: 20 per cent Total score 35 per cent System integrity (SI) Sustainable enterprise (SE)
  • 16. Primary 1 (12.5 per cent) Primary 1 (12.5 per cent) Secondary 1 (5 per cent) Secondary 3 (15 per cent) Total score 17.5 per cent Total score 27.5 per cent Journal of Higher Education Policy and Management 525 business areas with commodity-type services, for example, desktop support or access to the internet. University environment and context The first question attempted to contextualise the business requirements of IT by situating the university within its operating environment. As expected, the themes identified by the workshops represented a spread of management agendas. The most notable omission from the themes that emerged from this question was the international dimension. It can be implied in ‘competition from other universities’, but when Table 7. IT strategic vision themes and management agendas. Question 1: University environment and context – common themes ● There is increasing competition from other universities as well as TAFE and private providers (SE) ● Educational technologies are changing the ways in which students engage with learning (CE)
  • 17. ● Compliance and regulatory requirements have significant impacts on the ability to undertake one’s job (SI) Question 2: ‘Business success’ – common themes ● Highest possible level of student engagement (CE) ● Good management information which is used to underpin continuous improvement in services (SE) ● Fast, reliable, integrated systems (SI) ● Documented, streamlined and automated processes (SI) ● Up-to-date website – information required by both staff and students (SI) ● Easy-to-use search function on the website (SI) Question 3: ‘Business capabilities’ – common themes ● Integrated systems (SI) ● 24/7 support and response capability (SI) ● Clearly mapped and understood business processes (SI) ● Collaboration tools (CE/PC) ● Mobile, self-service, interactive services for students and staff (CE) ● Facilitate the use of ‘bring your own device’ (CE) Question 4: IT contribution to ‘business success’ – common themes ● Enabling technologies that ‘makes the job easier’ (SE) ● Increased hours of support, ideally 24/7 (SI) ● A learning and teaching environment that is ‘geographically independent’ (CE) ● Technology to provide trustworthy and reliable data as
  • 18. information to support decision-making (SI) ● Learning analytics required to support student recruitment and target ‘at risk’ students (SI) ● Better integration of systems (SI) Source: Case study university, 2014. 526 A. Dent the stated theme of the strategic plan is internationalisation, it is reasonable to assume that an international connection should be explicit. Research is similarly missing-in-action; the absence of these two areas is a common feature of the themes identified in the workshops. Business success This question identified what factors (not necessarily relating to IT) business areas need to succeed. The themes identified by this question show a heavy bias towards the SI agenda. Business capabilities Business capabilities build from the business success question. The answers here should be a list of the capabilities that the business believes it needs to facilitate business success. Once again, these are not necessarily related to IT. The themes identified by this question do not quite reflect this intent. For example, while clearly
  • 19. mapped and understood business processes are a (highly) desirable requirement for business success, they are the product of a business process analysis and design capability, rather than the capability itself. Similarly, integrated systems are either the output of a systems integration capability or the prerequisite for an enterprise-wide business intelligence capability. During the workshops, this question consistently required the facilitator to either repeat it or attempt to clarify it. The Gartner model is intended to be applicable to IT operations across all industries, yet the results of this question clearly show that in the case of this question it did not quite translate into a higher education context. IT contribution to ‘business success' The final question sought to identify where the business sees that IT can make a contribution to its operations. When attempting to achieve alignment of business and IT strategies, this is the most important question. The themes identified by this question were predominantly in the sustainable enterprise (SE) and SI domains. On a raw count of the number of themes identified, the SE agenda is dominant; however, ‘Learning analytics required to support student recruitment and target “at risk” students’ is effectively a student-specific subset of ‘Technology to provide trustworthy and reliable data as infor- mation to support decision-making’, making the SE and SI
  • 20. count effectively even. Where the themes in previous questions contained obvious omissions from the strategic plan, themes in this question are more reflective of it. Student engagement (CE) and enabling technologies (SE) feature in both, indicating at least a partial alignment between the strategic plan and the IT strategic vision. Overall, the themes identified in the IT strategic vision workshops showed a signifi- cant bias towards items located in the SI management agenda. While not wholly out of step with the IT priorities from the strategic plan, which contained a very broad SI component on modernising systems and infrastructure, the bias towards the SI agenda for IT indicates a lack of alignment between the two strategies. Analysing the strategic misalignment Question 4 (IT contribution to ‘business success’) is the key question when examining this misalignment. Using the same framework used to analyse IT in the strategic plan, the Journal of Higher Education Policy and Management 527 themes identified by question 4 have been categorised with both primary and secondary management agendas. The results are presented in Table 8. Enabling technologies that make the job easier
  • 21. This theme is a direct analogue of the strategic plan priority; ‘high-quality IT tools as an enabler of teaching, research and professional operations’. Primarily based in the SE management agenda, enabling tools and technologies that increase the efficiency of business area operations will free up resources, making them available for other value-adding activities. Having such a broad primary agenda, this theme will consequentially support all the other management agendas. Increased hours of support, ideally 24/7 This theme is very firmly based in the SI management agenda, supporting system access, accuracy and security. Equally important in this theme is the support of the people side of the equation, providing expert assistance and advice for business areas in the use of the systems. By primarily supporting the SI agenda, this item services all other agendas in a secondary capacity. Learning and teaching environment that is geographically independent Geographically independent learning and teaching environments are a subset of the ‘new forms of student engagement’ strategic plan priority. High- quality, geographically inde- pendent, online learning environments are part of the CE management agenda, providing the toolset on which new learning materials, optimised for online delivery, can be built.
  • 22. The PC and SE agendas are secondarily served by this theme. Providing the tools that support the further development of a PC of scholars and students helps maintain the relevance and viability of the institution. Table 8. Analysis of question 4: IT contribution to ‘business success’. Workshop theme Primary agenda Secondary agenda Enabling technologies that ‘makes the job easier’ SE SI, CE and PC Increased hours of support, ideally 24/7 SI SE, CE and PC A learning and teaching environment that is ‘geographically independent’ CE PC and SE Technology to provide trustworthy and reliable data as information to support decision-making SI SE Learning analytics required to support student recruitment and target ‘at risk’ students SI SE
  • 23. Better integration of systems SI SE, CE and PC 528 A. Dent Technology to provide trustworthy and reliable data as information to support decision-making The technology and reporting capability to support management decision-making is located in the SI management agenda. The technology presentation layer will be the most visible aspect of this theme to the business, whether it be via simple tabular reports in spread sheets or advanced data visualisations. However, the majority of the work required to deliver this capability actually lies in integrating the underlying systems and defining common definitions of the data to report on. This theme is tightly tied to the SE secondary agenda, which uses the reporting information output of this theme as its key input. Learning analytics required to support student recruitment and target ‘at risk’ students This theme is a student-specific subset of the previous theme and has been classified in the same way. Better integration of systems The final IT strategic vision workshop theme also supports the
  • 24. SI management agenda. As noted in the previous two themes, it is a foundation requirement for good management reporting. Being broader than the previous two themes, however, this theme provides secondary support for all the other management agendas. While reliable management information underpins SE decision-making, better systems integration also supports the PC and CE agendas by bringing disparate systems together and allowing their information to be used in new and different ways to connect staff, students and the community. Management agendas supported by themes identified in the IT strategic planning workshops In order to make a valid comparison, the same weighting regime used in the strategic plan analysis above was applied; the results are presented in Table 9. Final comparison of agendas The final results of the comparison between the management agendas defined in the strategic plan and those identified in the IT strategic vision workshops are given in Table 10. Table 9. Summary of IT strategic plan themes. Professional community (PC) Creative engagement (CE) Primary 0 (0 per cent) Primary 1 (8 per cent) Secondary 4 (15 per cent) Secondary 3 (12 per cent) Total score: 15 per cent Total score 20 per cent
  • 25. System integrity (SI) Sustainable enterprise (SE) Primary 4 (33 per cent) Primary 1 (8 per cent) Secondary 1 (4 per cent) Secondary 5 (20 per cent) Total score 37 per cent Total score 28 per cent Journal of Higher Education Policy and Management 529 The most striking difference between the two is the relative position of the SI agenda. While SI was the least important agenda item for the strategic plan, participants in the IT strategic planning workshops identified it as their number one agenda and relegated the strategic plan’s top agenda for IT, CE, to third place, at less than half the value previously assigned to it. The results were not completely dissonant, however; both exercises rated the SE agenda second, giving it almost exactly the same weighted score. This emphasis on the SI agenda clearly stood out. While the answer to the final, unofficial, workshop question on the type of relationship business areas wanted with IT was always ‘business partner’, the focus of the answers given throughout the workshop had all felt heavily biased towards the type of commodity services that typify the lowest end of the SI agenda, desktop support, printing and bigger staff email inboxes for example. The ranking of SI as the top agenda supports this observation. Creation of the IT strategic vision
  • 26. The final steps in the methodology were the creation of the IT strategic vision and its approval by the case study university’s senior executive group. The analysis of the results, however, shows a misalignment of the priorities in the strategic plan and IT strategic vision. The question this raises is, what (if anything) went wrong with the process that was supposed to provide business and IT alignment? Findings on the process of alignment In the development of the IT strategic vision, alignment with the university’s business objectives was intended to occur as a result of a number of key factors in the creation process: 1. Use of the Gartner IT strategic planning framework 2. Wide and representative stakeholder engagement 3. A senior executive check point at the end of each phase Each of these elements was present in the IT strategic vision creation process, and yet the analysis of management agendas shows that the end result was not fully aligned: the result of the workshops gave top priority to a different management agenda than the strategic plan. The question is why? Table 10. Final comparison of agendas. Agendas University strategic plan (per cent)
  • 27. IT strategic vision workshops (per cent) Creative engagement 35 20 Sustainable enterprise 27.5 28 Professional community 20 15 System integrity 17.5 37 530 A. Dent IT strategic planning framework The Gartner IT strategic planning framework is a generic framework designed to be applied to many industries. Using it in a higher education institution is no more or less valid than using it in a retail, mining or professional services organisation. The practical experience of the workshops revealed that there was a level of disconnect between the intent of, and responses to, some of the questions. This can be attributed to a level of confusion over the terminology, particularly around the capabilities question (question 3). Ultimately, however, the results of that question were still consistent with the results of the entire workshop. The only gap in framework in the case study context is its over- reliance on the senior executive ‘checkpoint’ to assure alignment. In this case, it would have been useful had the model also included a method with which to quantify alignment.
  • 28. Stakeholder engagement The assumption that engaging with a wide range of senior stakeholders from every level of the business would result in an IT strategic vision aligned with the business strategy was the foundation of the planning process. The stakeholders contributing to the IT strategic vision workshops were all senior staff. As such they could reasonably be expected to be aligning their business requirements with those of the strategic plan and yet this did not seem to fully happen. The difference between the business agendas identified in the strategic plan and the IT strategic vision workshops can also be explained in part by timing. The strategic plan was constructed and released in 2012. Over the two years between the release of strategic plan and the IT strategic vision workshops, the university undertook a number of other significant business initiatives, including ● a curriculum review and implementation of new degree structures; ● creation of a research strategy; ● restructure of the Academy, halving the number of schools; ● recruitment of all new school deans; ● review of transnational offerings; ● restructure of professional services, halving the number of directorates. As well as these major changes, some others that are significant to the strategic
  • 29. business/IT alignment did not occur, most notably the creation of strategies to support two core priorities of the strategic plan, in Teaching & Learning and in Engagement. Rather than representing a misalignment between business and IT strategies, the results of the workshop show IT aligning with an evolving business strategy. In describing the Learning School of strategy, Mintzberg et al. note that strategies ‘emerge as people . . . come to learn about a situation as well as their organization's capability of dealing with it’ (Mintzberg, Ahlstrand, & Lampel, 1998, p. 176). As a result of the implementation of the strategic plan, the major initiatives listed above were undertaken at what can only be described as breakneck speed for a university. All the major areas of institutional operations, both academic and professional, have been affected by these changes, with most areas being impacted by multiple Journal of Higher Education Policy and Management 531 simultaneous initiatives. The results of such an ambitious programme conducted over such optimistic timeframes inevitably include a period of lag as policies, procedures and systems catch up to changing business processes and requirements. In this type of environment, the SI management agenda is clearly needed.
  • 30. While the core of the strategic plan remains the same, the results of the IT strategic vision workshops are reflective of an evolution of the business strategy as it adapts to the implementation of the overall strategic plan. The workshops provided the vehicle to identify changing strategic business needs and translate them into a series of management priority agendas for IT that differed from the original university strategic plan, but were still ultimately supportive of it. Senior executive ‘checkpoint’ The Gartner model makes allowances for a potential misalignment between the business strategy in the form of a senior executive ‘checkpoint’ on completion of the first stage. In the absence of an alignment analysis framework, any determination on the alignment of the IT strategic vision with the university’s strategic plan was a subjective judgement. The process of creating the vision did not include any formal measures of alignment or any framework for comparing them. Had a structured analysis been performed, it would have highlighted the discrepancy between the results of the IT strategic vision workshops and the strategic plan identified above. Ultimately the identification of an apparent misalignment between business and IT strategies does not have to make any difference to the overall IT strategy. The senior executive accepted the IT strategic vision despite the
  • 31. apparent misalignment of the results of the workshops with the strategic plan. It does, however, encourage an extra level of investigation into the reasons for the difference, which will, if nothing else, result in a better understanding of the business needs the IT strategy is attempting to align to, and the IT capability that may inform ‘emergent’ strategic options. Conclusion The objective of this paper was to examine the process of attempting to align a university IT strategy with the institution’s business strategy, using one university’s experience as a case study. The process the university followed to produce an IT strategy aligned with the needs of the business can ultimately be considered successful, despite producing an IT strategic vision based on a different set of management agendas from those set out in the strategic plan. Starting from a position where the strategic plan primarily supported a CE agenda, the process of gathering requirements through workshops revealed that what the business areas actually required was in the SI agenda. This change in management agendas was the result of an ‘emergent’ evolution of the business strategy, where order and control is now required after a series of institution-wide initiatives changing many of the fundamental operating parameters. The process could be improved with the addition of an explicit
  • 32. framework or more sophisticated way to measure business/IT alignment. This would provide a solid, quantifi- able measure that could be used as a cross-check before taking the completed IT strategic vision to the senior executive group. If, as in this case study, workshops produce a contrasting view of priorities, these can either be re-examined or explained before 532 A. Dent presenting the final output. Either scenario will result in a better understanding of IT capabilities and their potentially closer alignment with business needs. Disclosure statement No potential conflict of interest was reported by the author. References Albrecht, B., Bender, B., Katz, R.N., Pirani, J.A., Salaway, G., Sitko, T.D., & Voloudakis, J. (2004). Information technology alignment in higher education. Colorado: EDUCAUSE Center for Applied Research. CAUDIT. (2014). CAUDIT top 10 issues. Retrieved from https://www.caudit.edu.au/caudit-top-ten- issues Deloitte. (2013). Digital disruption: Short fuse, big bang? Retrieved from http://www2.deloitte.
  • 33. com/content/dam/Deloitte/au/Documents/Building%20Lucky%2 0Country/deloitte-au-consult ing-digital-disruption-whitepaper-0912.pdf Ernst & Young. (2012). University of the future. Retrieved from http://www.ey.com/Publication/ vwLUAssets/University_of_the_future/$FILE/University_of_the _future_2012.pdf Grajek, S. (2014). Top 10 IT issues, 2014: Be the change you see. EDUCAUSE Review, 2014, 10–54. Mintzberg, H., Ahlstrand, B., & Lampel, J. (1998). The learning school. In Strategy safari (pp. 176– 231). London: Prentice Hall. Reich, B.H., & Benbasat, I. (1996). Measuring the linkage between business and information technology objectives. MIS Quarterly, 20(1), 55. doi:10.2307/249542 Schaller, R.R. (1997). Moore’s law: Past, present and future. IEEE Spectrum, 34(6), 52–59. doi:10.1109/6.591665 Schulte, A. (February 2015). IT strategic planning key initiative overview. Retrieved from http:// www.gartner.com/document/2985119 Sharrock, G. (2012). Four management agendas for Australian universities. Journal of Higher Education Policy and Management, 34(3), 323–337. doi:10.1080/1360080X.2012.678728 Journal of Higher Education Policy and Management 533
  • 34. https://www.caudit.edu.au/caudit-top-ten-issues https://www.caudit.edu.au/caudit-top-ten-issues http://www2.deloitte.com/content/dam/Deloitte/au/Documents/B uilding%20Lucky%20Country/deloitte-au-consulting-digital- disruption-whitepaper-0912.pdf http://www2.deloitte.com/content/dam/Deloitte/au/Documents/B uilding%20Lucky%20Country/deloitte-au-consulting-digital- disruption-whitepaper-0912.pdf http://www2.deloitte.com/content/dam/Deloitte/au/Documents/B uilding%20Lucky%20Country/deloitte-au-consulting-digital- disruption-whitepaper-0912.pdf http://www.ey.com/Publication/vwLUAssets/University_of_the_ future/$FILE/University_of_the_future_2012.pdf http://www.ey.com/Publication/vwLUAssets/University_of_the_ future/$FILE/University_of_the_future_2012.pdf http://dx.doi.org/10.2307/249542 http://dx.doi.org/10.1109/6.591665 http://www.gartner.com/document/2985119 http://www.gartner.com/document/2985119 http://dx.doi.org/10.1080/1360080X.2012.678728 Copyright of Journal of Higher Education Policy & Management is the property of Routledge and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. AbstractIntroduction: technology in higher educationThe business/IT alignment imperativeThe case studyMethodology and analysisNew forms of student engagementResearch collaboration toolsModernised systems and infrastructureHigh- quality IT tools as an enabler of teaching, research and professional operationsManagement agendas supported by ITIT
  • 35. strategic vision management agendas: stakeholder feedbackUniversity environment and contextBusiness successBusiness capabilitiesIT contribution to ‘business success'Analysing the strategic misalignmentEnabling technologies that make the job easierIncreased hours of support, ideally 24/7Learning and teaching environment that is geographically independentTechnology to provide trustworthy and reliable data as information to support decision- makingLearning analytics required to support student recruitment and target ‘at risk’ studentsBetter integration of systemsManagement agendas supported by themes identified in the IT strategic planning workshopsFinal comparison of agendasCreation of the IT strategic visionFindings on the process of alignmentIT strategic planning frameworkStakeholder engagementSenior executive ‘checkpoint’ConclusionDisclosure statementReferences