Align Information Technology and Business Strategy
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Strategic Alignment: Leveraging Information Technology For Transforming Organizations
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This presentation describes a structured approach to creating a business-focussed information technology strategy.
An effective business-oriented IT strategy is an opportunity to resolve the disconnection and to ensure the IT function is able to and does respond to business needs and is trusted by the business to provide IT solutions.
The IT strategy will consist of static structural elements relating to the organisation of the IT function:
• Capabilities – skills and abilities the IT function should possess and be able to use effectively and efficiently
• IT Function Structure – the organisation and arrangement of the sub-functions and their responsibilities and relationships
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Strategic alignment
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Enterprise Architecture – Vision and Reality on the Same Page
This presentation describes the underlying conceptual structure of enterprise architecture, and its relevance to enterprises across the whole spectrum
Strategic alignment model
The Strategic Alignment Model is a framework that consists of 4 domains: Business Strategy, IT Strategy, Business Infrastructure, and IT Infrastructure. It is used to align IT with business strategy and leverage IT to achieve competitive advantage. The domains influence each other and decisions in one domain affect the others. The model helps identify strong and weak domains, understand cross-domain relationships, and assess different roles and performance criteria for business and IT executives.
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This presentation describes a structured approach to creating a business-focussed information technology strategy.
An effective business-oriented IT strategy is an opportunity to resolve the disconnection and to ensure the IT function is able to and does respond to business needs and is trusted by the business to provide IT solutions.
The IT strategy will consist of static structural elements relating to the organisation of the IT function:
• Capabilities – skills and abilities the IT function should possess and be able to use effectively and efficiently
• IT Function Structure – the organisation and arrangement of the sub-functions and their responsibilities and relationships
• Operating Model – how the IT function work and delivers value and the processes it implements and operates
• Staffing And Roles – the numbers of people, their roles, responsibilities, expected skills, experience and abilities, workload, reporting structures and expected ways of operating
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This document discusses the IT Capability Maturity Framework (IT-CMF) which provides a standard framework for linking corporate strategy to IT strategy. The IT-CMF examines the full spectrum of IT management dimensions across four macro processes - managing IT like a business, managing the IT capability, managing IT for business value, and managing the IT budget. It assesses maturity across five levels and provides guidance on best practices to increase maturity levels and maximize business value delivered by IT.
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This Slideshare presentation is a partial preview of the full business document. To view and download the full document, please go here:
http://flevy.com/browse/business-document/it-strategy-209
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This document discusses the importance of linking business and technology strategies. It presents a framework that begins with establishing objectives and identifying core technologies and competencies. The framework then shows how to develop an integrated business and technology strategy by deciding which technologies support objectives, comparing strengths/weaknesses to competitors, setting priorities, and determining strategic actions. The document emphasizes that technology is now essential to business functions and firms must adapt their strategic processes accordingly.
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IT Strategy Framework
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The Open Group Architecture Framework (TOGAF) is an enterprise architecture framework developed and maintained by The Open Group. TOGAF provides a method and set of supporting tools for developing enterprise architecture and transitioning enterprises to a target architecture. It includes the Architecture Development Method which is a step-by-step approach to developing an enterprise architecture. TOGAF also includes an architecture content framework for structuring and categorizing architecture artifacts. The framework helps optimize business and IT alignment, reduce costs, and minimize implementation risks.
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This document provides an overview of enterprise application integration (EAI), including definitions, objectives, components, advantages, and examples. EAI involves integrating independently developed applications that may use different technologies. It has become a priority for many companies and is expected to be a $50 billion market by 2001. Key components of EAI solutions include business rule/logic modules, data acquisition interfaces/adapters, development tools, message brokers, and system control/management tools. Examples demonstrate how EAI can integrate e-commerce sites with legacy systems to share order and customer data.
How to establish Enterprise Architecture in large organisations using TOGAF
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The document discusses enterprise architecture governance. It introduces architecture governance and defines it as the core governing principles that help manage enterprise and IT architecture. These principles create processes to manage architecture functions and ensure alignment with risk, compliance, and regulatory standards. An architecture governance framework should establish governance committees, define artifacts like statements of work, and manage evaluation, selection, and implementation processes. The document outlines key activities an architecture governance framework should cover and provides examples of general best practices for implementation.
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Enterprise architecture is a discipline for proactively managing organizational change and complexity by aligning business strategy, goals, and processes with information technology solutions. It provides a framework for governing technology decisions and guiding the organization from its current to future state. Benefits include improved business-IT alignment, increased agility, standardization, and cost savings. Enterprise architecture frameworks like TOGAF provide common vocabulary, models, and processes to develop the current and target architecture states and transition plans.
Strategic Alignment Model
The document discusses the Strategic Alignment Model (SAM) framework for aligning IT and business strategy. It describes how SAM is based on strategic fit between external and internal views, and functional integration between organizational and technology views. SAM includes four domains - business strategy, IT strategy, business infrastructure, and IT infrastructure. For alignment, three of the four domains must be aligned. The document also outlines four perspectives of SAM - strategy execution, technology potential, competitive potential, and service level. Each perspective defines different roles for top management and IS management. Case studies are provided for each perspective.
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We'll then start to map some Lean Principles to Business Architecture and try and understand how we could potentially optimise the value stream. We'll consider where Business Architecture can be wasteful, discussing the diminishing value of information and the concept of analysis paralysis.
Finally I'll introduce you to a leaner approach to Business Architecture that focusses on rapid techniques for model generation and heavier engagement of system actors in both the development and the maintenance of models. I'll also share my technique for rapid enterprise modelling which can help you to build a capability model in hours rather than weeks/months.
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The document provides an overview of the TOGAF (The Open Group Architecture Framework) architecture framework. It discusses the history and development of TOGAF, the key components of TOGAF including the Architecture Development Method (ADM) process, architecture domains, and certification. The ADM is a iterative 8-phase process for developing an enterprise architecture, addressing aspects like business, data, application, and technology architecture. TOGAF provides tools and best practices to help organizations develop, implement, and govern enterprise architectures.
A tailored enterprise architecture maturity model
The document describes a tailored maturity model for enterprise architecture (EA). It reviews several existing EA maturity models and proposes a 5-level model based on the TOGAF and Gartner ITScore models. The levels are: Initial, Developing, Defined, Managed, and Optimized. At each level, the model specifies how EA should interact with and provide value to the business, IT leadership, and other organizational functions.
IT Strategy
This Slideshare presentation is a partial preview of the full business document. To view and download the full document, please go here:
http://flevy.com/browse/business-document/it-strategy-209
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DiscussionWhy is it important for business strategy to drive org.docx
Discussion
Why is it important for business strategy to drive organizational strategy and IS strategy? What might happen if the business strategy was not the driver?
Please make your initial post and two response posts substantive. A substantive post will do at least TWO of the following:
· Ask an interesting, thoughtful question pertaining to the topic
· Answer a question (in detail) posted by another student or the instructor
· Provide extensive additional information on the topic
· Explain, define, or analyze the topic in detail
· Share an applicable personal experience
· Provide an outside source that applies to the topic, along with additional information about the topic or the source (please cite properly in APA)
· Make an argument concerning the topic.
At least one scholarly source should be used in the initial discussion thread. Be sure to use information from your readings and other sources. Use proper citations and references in your post.
300 words and 2 references.
Required Text
· Pearlson, K., Saunders, C., Galletta, D. (2020). Managing and Using Information Systems: A Strategic Approach, 7th Edition. Hoboken, NJ: John Wiley & Sons, Inc. ISBN: 978-1119560562
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 (Schall ...
Cuvinte
Technology and innovation are important factors for business competitiveness and future development. Firms must assess their innovative capabilities by evaluating how innovative their products/services and production systems have been, how well their innovation capabilities fit their business strategies, and what innovation capabilities are needed to support long-term strategies. Five factors influence business innovation strategies: resources for innovation, understanding competitors' strategies, understanding relevant technologies, organizational culture supporting entrepreneurship, and strategic management of innovation initiatives. Integrating technology and strategy is dynamic and requires understanding how technologies affect a firm's value chain and competitive advantage.
Edward; w1 info sys softapp; 05.10.11. Copyright 2013 Edward F. T. Charfauros...
Edward; w1 info sys softapp; 05.10.11. Copyright 2013 Edward F. T. Charfauros...Edward F. T. Charfauros
Edward F. T. Charfauros, inspiring author, assists fellow students with their presentation for a successful grade. He also blogs upon his own inspiring blog, where you'll discover life changing stuff. Sign up for his blog by sending him an email~
Copyright 2013 Edward F. T. Charfauros. Reference, www.YourBlogorResume.net.15C h a p t e r2 Developing IT Strategy for Business V.docx
This document discusses the evolving relationship between business strategy and IT strategy. It notes that executives now recognize IT's strategic potential and its ability to impact top-line growth. As a result, IT is increasingly involved in strategic discussions and helping shape business strategy through new technologies. However, effective strategy development still requires addressing challenges such as aligning business and IT strategies and ensuring the right people are involved from both business and IT. The document also outlines four critical success factors for developing IT strategy: revisiting the business model, having strategic themes, involving the right people, and working in partnership between business and IT.
15C h a p t e r2 Developing IT Strategy for Business V.docx
15
C h a p t e r
2 Developing IT Strategy for Business Value1
1 This chapter is based on the authors’ previously published article, Smith, H. A., J. D. McKeen, and S. Singh.
“Developing IT Strategy for Business Value.” Journal of Information Technology Management XVIII, no. 1 (June
2007): 49–58. Reproduced by permission of the Association of Management.
Suddenly, it seems, executives are “getting” the strategic potential of IT. Instead of being relegated to the back rooms of the enterprise, IT is now being invited to the boardrooms and is being expected to play a leading role in delivering top-
line value and business transformation (Korsten 2011; Luftman and Zadeh 2011; Peslak
2012). Thus, it can no longer be assumed that business strategy will naturally drive IT
strategy, as has traditionally been the case. Instead, different approaches to strategy
development are now possible and sometimes desirable. For example, the capabilities
of new technologies could shape the strategic direction of a firm (e.g., mobile, social
media, big data). IT could enable new competencies that would then make new busi-
ness strategies possible (e.g., location-based advertising). New options for governance
using IT could also change how a company works with other firms (think Wal-Mart
or Netflix). Today new technologies coevolve with new business strategies and new
behaviors and structures (see Figure 2.1). However, whichever way it is developed, if
IT is to deliver business value, IT strategy must always be closely linked with sound
business strategy.
Ideally, therefore, business and IT strategies should complement and support each
other relative to the business environment. Strategy development should be a two-way
process between the business and IT. Yet unfortunately, poor alignment between them
remains a perennial problem (Frohman 1982; Luftman and Zadeh 2011; McKeen and
Smith 1996; Rivard et al. 2004). Research has already identified many organizational
challenges to effective strategic alignment. For example, if their strategy-development
processes are not compatible (e.g., if they take place at different times or involve differ-
ent levels of the business), it is unlikely that the business and IT will be working toward
the same goals at the same time (Frohman 1982). Aligning with individual business
units can lead to initiatives that suboptimize the effectiveness of corporate strategies
(McKeen and Smith 1996). Strategy implementation must also be carefully aligned to
16 Section I • Delivering Value with IT
ensure the integration of business and IT efforts (Smith and McKeen 2010). Finally, com-
panies often try to address too many priorities, leading to an inadequate focus on key
strategic goals (Weiss and Thorogood 2011).
However, strategic alignment is only one problem facing IT managers when they
develop IT strategy. With IT becoming so much more central to the development and
delivery of business strategy, much mor.
Porter1985
Technological innovations can impact competitive advantage for companies and entire industries. This document discusses how technology affects competition and competitive advantage in three main ways:
1) Technology is embedded in every aspect of a company's value chain, from primary activities like production to support activities like procurement. Technological changes can lower costs or increase differentiation for activities throughout the value chain.
2) Technology can shape industry structure by creating new industries, eroding the advantages of established firms, or enabling some firms to gain an advantage.
3) Not all technological changes benefit competition - some may worsen a firm's position or make an industry less attractive. To have strategic value, a technological change must lower costs or increase differentiation, and provide
Ict Vision And Strategy Development
This document discusses developing an ICT vision and strategy. It describes key objectives of defining an IT vision aligned with business needs and challenges, and an approach to developing an IT strategy that considers IT demands, principles, trends and controls. The strategy aims to balance stakeholder needs and support business goals through effective information management, security and service delivery.
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Align Information Technology and Business Strategy
- 1. Module 2 Managing Technology Topic 3: Align Information Technology and Business Strategy
- 2. What is IT strategy? The mission critical, long-term IT choices made by a firm. Commitment to build IT capability
- 3. Why acquiring IT capability? To create new businesses, to expand an existing market, and to discern new strategic directions To survive To improve performance To distinguish an organization in the marketplace
- 4. Successful IT Implementation Commitment to IT strategy Alignment between IT and business strategies Role of Chief Information officer Top management support
- 5. Types of IT Strategy IT leader strategy IT follower strategy Niche strategy When to use what IT strategy?
- 6. Strategic Alignment Process IT strategy Business strategy Organization infrastructure and process IS infrastructure and process
- 7. The Concept of ‘Fit’ Three perspectives (Alder 1989) Business and technology strategy Technology poster and functional decision making practice Synergy between decision making practices
- 8. Technology Strategy Field Consists of Particular dimensions of technology policy that is related to business strategy Integrative models that prescribe fit between technology policy and business strategy Empirical links between technology strategy and business strategy
- 9. Business Competitiveness & Technology Strategy Manager should (Clark, 1989) Understand their technological base Take an international perspective Discipline their business function around the production function Integrate all business functions Focus on time as the critical factor
- 10. Strategic Technology Management Process 3 Key areas (Betz 1993) Identification and development of a firm’s technological capabilities Products/processes that provide competitive advantages Integration of areas one and two
- 11. Technology and Business Outcomes Technology is critical to business outcomes Characteristics of best practices include Championship of technology issues Adequate levels of technological competence Selection of the structural for of the unit Coupling between a technology function and others Extent and timing of technology control Technology transfer mechanisms
- 12. Technology Strategy & Leadership Technology strategy plays an important role in enabling firms to achieve their leadership position
- 13. Summary Superior performance characteristic (textbook, p. 30) Technology is a means, not an end in itself. Capable people are valuable resources. Technology needs to be planned and exploited within and through the “big picture” context.
- 14. Strategic Alignment Framework Luftman, J.N., Lewis, P.R., and Oldach, S.H. "Transforming the Enterprise: The Alignment of Business and Information Technology Strategies." IBM Systems Journal ,Vol. 32, No. 1, 1993, p. 198- 221. Luftman, J. and Brier, T. "Achieving and Systaining Business-IT Alignment." California Management Review, 42(1), Fall 1999, p 109- 122.