This document outlines Edhi Juwono's dissertation on aligning IT with business models to achieve organizational capabilities and business performance. It presents the study background on the importance of IT-business alignment, capabilities needed for ASEAN integration, and the banking industry in Indonesia. It then identifies the problem of ensuring business performance and lists 7 research questions. The objectives are to determine relationships between IT, business models, alignment competency, capabilities, and performance. The research aims to contribute to both academic knowledge and help banks in Indonesia align IT and business models.

1. ALIGNING IT WITH BUSINESS MODEL
TO PERFORM ORGANIZATIONAL
CAPABILITIES IN ACHIEVING
BUSINESS PERFORMANCE
Dissertation Outline of Edhi Juwono (1640000710)
DRM Program, Bina Nusantara University
Presented for 1st Colloqium on 15 November 2014

2. Presentation Outline
The Study Background
Problem Identification and Research Questions
Research Objectives
Research Benefits

3. Study Background (1)
 Information technology (IT)-Business alignment has been
consistently ranked at the top among other contemporary IT
related top management concerns; in 2008 it was ranked on
the first place (Bayzidnejad, Kafche, & Shafeai, 2012: 391).
 IT need to support the bank's business growth, and customer needs
(Ikatan Bankir Indonesia, 2014: 146).
 IT is expected to transform the business model (Applegate, Austin,
and Soule, 2009: 68).

4. Study Bacground (2)
A region with free movement
of goods, services,
investment, skilled labor,
and free flow of capital(*)
(*) Asian Development Bank 2013:1)

5. Study Background (3)
 The problem is business performance (indicated by its profit & growth
(Croteau and Raymond, 2004) toward ASEAN Economics Community,
especially on the ASEAN Financial Integration
 The solution is performing organizational capabilities (indicated by its
agility & control and accountability & collaboration (Applegate, Austin,
and Soule, 2009).
 The Solution should be done by aligning information technology (IT
Stratey and IT Infrastructure (Henderson & Venkatraman, 1999) with
Business Model (strategy and capability to execute (Applegate, Austin,
and Soule, 2009)

6. Study Background (4)
Banking Industry Represented by Banks that Associated in National Banks Association
(Perbanas)
No. Numbers of Bank Minimum Capital Requirement
1. 60 <Rp1 Billion
2. 35 Rp1 billion to < Rp5 billion
3. 11 Rp5 billion to < Rp30 billion
4. 4 >Rp30 billion

7. Problem Identification & Research Questions (1)
 To cope with new challenges driven by the semi-integrated
financial market by 2020, the aroused problems will be the
business performance of the banks. The business
performance will be solved by the banks’ organizational
capability, and the organizational capability will be affected
by banks’ business model, its IT, and its aligned
competency.

8. Problem Identification & Research Questions (1)
a. Is there any relationship between IT and alignment competency?
b. Is there any relationship between business model and alignment competency?
c. Is there any relationship between IT and business model?
d. Does IT impact on organizational capability?
e. Does business model impact on organizational capability?
f. Does alignment competency impact on organizational capability?
g. Does organizational capability impact on business performance?

9. Research Objectives
The objectives or purposes of this research is to find:
a. the relationship between IT and alignment competency;
b. the relationship between business model and alignment competency;
c. the relationship between IT and business model;
d. the IT impact on organizational capability;
e. the business model impact on organizational capability;
f. the alignment competency impact on organizational capability;
g. the organizational capability impact on business performance.

10. Research Benefits
The research is conducted to bring benefits for scientific or academic purpose and
industrial purposes:.
a. for scientific or academic purpose: the research is expected to enrich the study of
information systems, especially in the field of corporate information systems;
b. For the industry: the research is expected to help companies, especially in banking
industry to align its information technology with it business model to perform its
organizational capability in achieving the business performance.

11. References
Applegate, Lynda M., Austin, Robert D., and Soule, Deborah L. 2009. Corporate
Information Strategy and Management. 8th Ed.Boston: McGraw-Hill.
Asian Development Bank. 2013. The Road to ASEAN Financial Integration: A
Combined Study on Assessing the Financial Landscape and Formulating
Milestones or Monetary and Financial Integration in ASEAN. Metro Manila:
Asian Development Bank.
Croteau, Anne-Marry and Louis Raymond 2004. “Performance Outcomes of Strategic
and IT Competencies Alignment.” Journal of Information Technology (2004)
19: 178-190.
Henderson, J.C. and Venkatraman, H. 1999. “Strategic Alignment: Leveraging
Information Technology for Transforming Organization, in IBM Systems
Journal; 38, 2/3, 1999: 472-84.
http://www.bi.go.id/id/publikasi/laporan-keuangan/alamat-
bank/umum/Default.aspx# (7 Nov 2014)