knowledge management system compilations.pdf

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IS, IT, ‘Digital’
• UKAIS defines information systems as the means by which people and
organizations, utilizing technology, gather, process, store, use, and disseminate
information.
– It is thus concerned with the purposeful utilization of information technology.
• IT refers specifically to technology, essentially hardware, software and
telecommunications networks. It is thus both tangible (e.g. with servers, PCs,
routers and network cables) and intangible (e.g. with software of all types).
– IT facilitates the acquisition, processing, storing, delivery and sharing of
information and other digital content.
• an application refers to the use of IT to address a business activity or process.
• ‘Digital’ has both IS & IT components
– Imperative to understand how IS will be leveraged and used as well as the IT
capabilities to develop digital strategy
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The 3 era - IS/IT Contributions
• data processing to improve operational efficiency by automating
information-based processes;
– Increased by 5 – 10 %
• management information systems to increase management
effectiveness by satisfying their information requirements for decision
making;
– Less consistent improvement; depends on the managers!
• strategic information systems to improve competitiveness by changing
the nature or conduct of business (i.e. IS/IT investments can be a source
of competitive advantage).
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The Changing Role of IS/IT
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Success Factors in SIS
1. External, not internal, focus: looking at customers, competitors, suppliers, even other
industries and the business’s relationships and similarities with the outside business world.
2. Adding value, not cost reduction: although cost reductions may accrue due to business
expansion at reduced marginal costs, ‘doing it better, not cheaper’ seems to be the maxim.
3. Sharing the benefits: within the organization, with suppliers, customers, consumers and
even competitors on occasion!
4. Understanding customers and what they do with the product or service: how they obtain
value from it, and the problems they may encounter in gaining that value.
5. Business-driven innovation, not technology-driven: the pressures of the marketplace drove
developments in most cases.
6. Incremental development, not the total application vision turned into reality.
7. Using the information gained from the systems to develop the business.
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What IS- and IS/IT- or Digital-Strategy?
• Activities directed toward (1) recognizing organization opportunites for using IT,
(2) determining the resource requirements to exploit these opportunities, (3)
and developing strategies and action plans for realizing these opportunities and
for meeting the resource needs. [Boynton &Zmud, 1987].
• Long term, directional plan which decides what to do with IT that is concerned
primarily with aligning IS development with business needs and seeking
advantage fromIT. [Earl, 198x]
• Thinking strategically and planning for the effective long-termmanagement and
optimal impact of information in all its forms: IS &IT.
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Alignment Business Strategy and IS/IT Strategy
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• Businessdecisions
• Objectivesanddirection
• Change
Business Strategy
• Businessbased
• Demandorientation
• Applicationfocused
IS Strategy
• ActivityBased
• Supplyoriented
• Technologyfocused
IT Strategy
Where is the business
going & why?
What is required?
How can it be realized?
External &
Internal
Factors
Directionfor
business
Needs&
priorities
Supports
business
Infrastructure
&service
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Strategic Alignment Model
Henderson & Venkrataman Mark Edmead
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From Strategic Alignment to Strategy Co-evolution – Strategic
Alignment Model
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Business driven Technology driven
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Why Have an IS/IT Strategy?
…consequences of not having an IS/IT strategy are:
• Systems investments are made that do not support business objectives.
• Loss of control of IS/IT, leading to individuals often striving to achieve incompatible objectives
through IS/IT.
• Systems are not integrated. This can also lead to duplication of effort and data leading to
inaccuracy and no coherent information resource.
• No means of setting priorities for IS projects/resources and constantly changing plans leading to
lower productivity, etc.
• Poor management information; it is either not available, inconsistent, inaccurate or too slow.
• Technology strategy is incoherent and constrains options.
• Inadequate infrastructure investments made.
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Digital Strategies for the 21st
Century:
The External Context for IS/IT Strategy
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Enabledby
or aligns(a)
Provides
opportunities
or shapes(b)
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Digital Strategies for the 21st
Century:
The Internal Context for IS/IT Strategy
• “IT alone is not enough” – IT advantage is gained by using IT to leverage
intangibles, complementary human and business resources such as organizational
flexibility, integrating business strategy and IS/IT strategy, and supplier
relationships.
– Internal firm resources (valuable, rare, inimitable and not substitutable) & capablities
• 3 dimensions of IS/IT capability:
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Strategy
• Strategy can therefore be defined as: the direction and scope of an organization over the long-
term, which achieves advantage in a changing environment through its configuration of
resources and competences with the aim of fulfilling stakeholder expectations.
• A strategy is established by 3 inter-related processes:
– strategic thinking — creative, entrepreneurial insight into the ways the
enterprise could develop;
– strategic planning — systematic, comprehensive analysis to develop a
plan of action;
– opportunistic decision making—effective reaction to unexpected threats
and opportunities.
• Having an effective combination of coherent planning, incisive thinking and astute
opportunism is probably best described as strategic management, which includes not only
setting the strategy but also implementing and adapting it.
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Strategy & Strategic Plan
[https://www.gartner.com/en/insights/strategic-planning]
• Strategy defines the long-term direction of the enterprise, articulating what the enterprise will
do to compete and succeed in its chosen markets or, for the public sector, what the agency will
do to achieve its mission.
• Strategic plans [mid-term] define how the enterprise will realize its long-term ambitions.
Functional strategic plans define the roadmap of initiatives and portfolio of investments
required to achieve those strategic objectives. In it, functional leaders document the choices
and actions needed for the function to deliver on its contribution to the enterprise business
model and goals.
Strategic plans bridge the gap from that overall direction to the specific projects and day-to-
day actions that ultimately execute the strategy.
• Operational plans [short-term] deal with the execution of specific projects and changes, as
well as any operational tasks not contained in the strategic plan.
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5 Key Pillars of Effective Strategy Execution
[https://www.gartner.com/smarterwithgartner/the-five-pillars-of-strategy-execution/]
1. Strategy formulation
83% of strategies can fail due to faulty assumptions. Test assumptions about the executability of strategy during
formulation.
2. Planning
67% of key functions are not aligned with business unit and corporate strategies. Align objectives to strategy by
clarifying the objectives for those tasked with execution.
3. Performance management
58% of organizations believe their performance management systems are insufficient for monitoring the
performance of strategy. Ensure accountability for actions critical to strategy execution and monitor performance.
4. Strategy communication
67% of employees do not understand their role when new growth initiatives are launched. Foster a two-way
dialogue about the strategy to ensure organizational buy-in.
5. Organizational capacity
Organizations that are able to successfully unlock capacity to execute new growth strategies increase profitability
by 77%. Strategists must focus on unlocking capacity to ensure strategy execution success.
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Scope of Strategy Development
• Scope
– Organization as a whole, or
– Strategic Business Unit (SBU): “a unit that sells a distinct set of products or services, serves a specific set of
customers and competes with a well-defined set of competitors”
• Objectives
– profitability, growth, market share, customer satisfaction, new product development, employment, social
responsibility, etc.
• Situation Analysis – “where we are now”
– Internal
– External
• Future Strategies
– Many organizations now seek to discover future options by undertaking scenario planning to identify
‘discontinuities’ and predict the potential implications or bring in outside experts to facilitate ‘breakthrough
thinking’.
– These future possible strategies should be evaluated against a number of criteria, to enable both the most
beneficial and most feasible to be selected.
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Business Model
The term business model gained popularity in 1990s during wide-scale introduction of the Internet in business.
• Prolog … Peter Drucker (1994): “assumptions about what a company gets paid for” [no mention of business model,
but a set of assumptions about what a business will and won’t do]
• Michael Lewis (1999): “All it really meant was how you planned to make money”
• Joan Magretta (2002): “at heart, stories — stories that explain how enterprises work. A good business model
answers Peter Drucker’s age-old questions, ‘Who is the customer? And what does the customer value?’ It also
answers the fundamental questions every manager must ask: How do we make money in this business? What is the
underlying economic logic that explains how we can deliver value to customers at an appropriate cost?”
• Seddon, Lewis, Freeman, & Shanks (2004): “Business models are often used to define the firm’s unique value
configuration, resources, and value propositions.”
• Osterwalder and Pigneur (2005): A business model is a conceptual tool that contains a set of elements and their
relationships which can be configured to express the business logic of a specific firm. The business model describes
the value offered to the different segments of customers, and the architecture of the firm and its network of
partners for creating, marketing and delivering this value and relationship capital to generate profitable and
sustainable revenue streams.
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*https://hbr.org/2015/01/what-is-a-business-model
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KeyPartners
Describesthe
networkof
cooperative
agreements
withother
companies
necessaryto
efficientlyoffer
and
commercialize
value
KeyActivities
Describesthe
arrangement of
activitiesand
resources
Valueproposition
Definethe
missions
Buy-in/Support
Explainshowwe
get “buy-in”from
all thebeneficiaries
Beneficiaries
Describes
thosewhowill
benefit from
themission
KeyResources
Outlinesthe
competencies
requiredto
executethefirm’s
businessmodel
Deployment
Describesthe
variousmeanswe
deployour
“product”tothe
beneficiaries
MissionCost/Budget
Definesthemissioncost/budget
MissionAchievement
Definesthemeasureof achievement
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MISSION
INFRASTRUCTURE
MANAGEMENT
CUSTOMER
INTERFACE
FINANCIALASPECTS
Public Sector: Mission Model Canvas
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• Where to compete?
– Requiresadetailedunderstandingof theindustry, its
dynamicsandtheforcesshapingitsevolutionandthen
identifyinghowthefirmmight positionitself.
• How to gain advantage?
– Decidinghowtocompeteinthechosenmarketplacesoas
tobeattractivefor customersandtogainanadvantage
over competitors.
• What assets do we have?
– Consideringwhat makesthefirmsuccessful todayand
assessingtheresourcesandcapabilitiestodeliver the
promisesmadetocustomers.
• What assets are required?
– Identifyinganyareasof weaknesstoovercomeor new
resourcesrequiredor capabilitiesthat havetobe
developed.
• How to change?
– Basedontheanswerstothepreviousquestions, agreeing
what tochangeinorder tocompete(more) successfully
andhowthiswill beachieved.
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A Framework for Strategy Formulation
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1. Where to Compete –
Porter’s 5 Competitive Forces
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https://bcghendersoninstitute.com/win
ning-the-20s-the-new-logic-of-
competition-7c1500c5a187
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1. Where to Compete –
Industry Analysis: ‘PESTEL’
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2. How to Gain Advantage
Porter’s 3 generic strategies
• Cost Leadership Strategy: targeting customers in most or all segments of an industry based on offering the lowest
price
– … systems will be required to deal with basic business information processes efficiently and link them together
effectively, not necessarily to produce a highly-integrated information resource.
– Information is not seen as a key resource for exploitation, but as an overhead cost to be processed efficiently
with minimum additional IS/IT overhead!
• Ryanair, theno-frillsairline, usestheInternet tosupport itslow-cost strategy. It sellsover 90%of seatsover theInternet,
bypassingmoreexpensivechannelssuchascall centresandtravel agents. [sounds familiar?J]
• Differentiation Strategy: targeting customers in most or all segments based on attributes other than price (e.g., via
higher product quality or service) to command a higher price
– The strategic use of IS/IT will focus on enabling new things to be achieved or existing things to be done better.
– … the value of having flexibility to extract information from an integrated database or comprehensive data
warehouse will drive the systems toward sophistication and user tailoring rather than standard solutions.
• Niche/Focus Strategy: focusing on one or a few segments
– Adopt either low-cost or differentiation strategy to achieve and sustain long-term success in that niche.
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Growth Strategy
Implications for IS/IT Strategy
• Can IS/IT enable us to reach more, or more appropriate,
customers or to match our different products/services to
customers more appropriately or enable the product or
service to be distributed in new ways? Or can we use IS/IT to
get closer to the marketplace rather than deal through
intermediaries?
– E.g., Amazon’s prompting customers about new books;
Ebay’s auction-based markets; …
• Can IS/IT generate a new product or a new line of business,
or enable, or be used to add additional features or services to
increase the product’s value—as perceived by the
consumer/customer—to change the basis for purchasing?
– E.g., Online Journals; Online Recruitment Services; …
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REVIEW
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Strategy – Business Model –Resources
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Susan Lambert, 2003. Making Sense of Business Models. Flinders University.
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Strategic Asset:
3 Capability-based Strategies to Market Leadership
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Best total and unique solution
Best value for money, time
(convenience)
Best products, services, and/or
experience (design, features,
function, style, image)
[https://hbr.org/1993/01/cus
tomer-intimacy-and-other-
value-disciplines]
“Companiesthathavetaken
leadershippositionsintheir
industriesinthelastdecade
typicallyhavefocusedon
deliveringsuperiorcustomer
valueinlinewithoneofthree
valuedisciplines.”
“Companiesthatpushthe
boundariesofonevalue
disciplinewhilemeeting
industrystandardsintheother
twogainsuchaleadthat
competitorsfindithardto
catch-up.Thisislargelybecausethe
leadershavealignedtheirentire
operatingmodel—
thatis,the
company’sculture,businessprocesses,
managementsystems,andcomputer
platforms—
toserveonevalue
discipline.”
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3 Capability-based Strategies to Market Leadership
• Operational Excellence
– The term “operational excellence” describes a specific strategic approach to the production and delivery of products and services. The objective of a
com pany following this strategy is to lead its industry in price and convenience. Com panies pursuing operational excellence are indefatigable in
seeking ways to m inim ize overhead costs, to elim inate interm ediate production steps, to reduce transaction and other “friction” costs, and to
optim ize business processes across functional and organizational boundaries. They focus on delivering their products or services to custom ers at
com petitive prices and with m inim al inconvenience. E.g.: Dell Com puter, Federal Express
• Custom er Intim acy
– …, those pursuing a strategy of custom er intim acy continually tailor and shape products and services to fit an increasingly fine definition of the
custom er. This can be expensive, but custom er-intim ate com panies are willing to spend now to build custom er loyalty for the long term . They
typically look at the custom er’s lifetim e value to the com pany, not the value of any single transaction. E.g.: IBM , Hom eDepot
• Product Leadership
– Com panies that pursue the product leadership strategy strive to produce a continuous stream of state-of-the-art products and services. Reaching
that goal requires them to challenge them selves in three ways. First, they m ust be creative. M ore than anything else, being creative m eans
recognizing and em bracing ideas that usually originate outside the com pany. Second, such innovative com panies m ust com m ercialize their ideas
quickly. To do so, all their business and m anagem ent processes have to be engineered for speed. Third and m ost im portant, product leaders m ust
relentlessly pursue new solutions to the problem s that their own latest product or service has just solved. If anyone is going to render their
technology obsolete, they prefer to do it them selves. E.g.: Apple, Johnson & Johnson
* h ttp s :/ / h b r.o rg / 1 9 9 3 / 0 1 / c u s to m e r-in tim a c y -a n d -o th e r-v a lu e -d is c ip lin e s
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IS/IT Role in Achieving Competitive Advantage
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Align IS/IT to improve relationships with
customers, proactively anticipating and
addressing
customers’ unique needs
Align IS/IT to cut costs
from its processes,
improving profit
margins, and allowing
the company to reduce
prices
Align IS/IT to accelerate
the development cycle
for a competitive
advantage
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IS/IT Role in Achieving Competitive Advantage –
examples
• Operational Excellence
GE,whicheffectivelyreinventedthesupplychainforwhitegoodswithnewinformationsystems.Insteadofencouragingdealerstoholdstockof
GE’sproductsbyofferingdiscountsforbulk purchase,GErefusesdealerspurchasesforstock,butprovidesdemonstrationmodels,against
whichcustomerscanorderfornextdaydirectdeliverythroughGE’s‘DirectConnect’system.GEholdsallthestockanddealerscanorderany
modelonline,onbehalfofthecustomer.ThisenablesGEtoencouragecustomerstobuythelatestmodelsratherthantheoftenoldermodels
stockedinlargequantitiesbydealers.Thesystemhashelpedsmallerdealerstocompetemoreeffectivelywithlargediscountwarehouses,
enablingthemtomeetmoreofthecustomers’needs,andhasreducedstockholdingsinthesupplychainbyabout12%.Also,sinceGEhasto
arrangedelivery,itgathersusefulconsumerdata.
• Customer Intimacy
HomeDepot,Kraft,&FritoLay’sinformationsystemsenablearetailoutlettotailorthe‘productoffer’ tothelocalitythrough‘micro-
merchandising’programsaffectingproductrange,promotion,pricingandstorelayout.Withinsuchastrategy,informationsystemswillfocuson
collectingandanalysingcustomerinformation,coveringnotmerelypurchasesbutalsootherrelevantattributesandfeedbackonproductsand
services.Thisenablescarefulsegmentationofthemarketplaceandtargetingofthedesiredsegments.
• Product Leadership
Apple?Amazon?Google?
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5. How to Change – the Need for Dynamic Capabilities
• Executing business strategies almost always includes implementing a range of
internal and external changes àstrategic change management
• Organizations that possess dynamic capabilities as well as a range of strategic
assets are most likely to be successful in both sustaining existing and creating
newbusiness advantages
– Organization’s dynamic capabilities create valuable and inimitable strategic
assets and resources
– Example of dynamic capability: the ability to change investment and project
priorities, then reallocate resources in response to, or even in anticipation
of, changes in the business environment
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Evolution of The IS/IT Strategy Process:
From Technology Deployment to Strategic Focus
1. Ad-hoc IT deployment; IT organization plans the interfaces between apps developed
separately; key operational & support apps are being built and the dependence is steadily
increasing
2. Top-down review of apps in light of business dependence and priorities are agreed;
methodological approaches are used; resulted in an extended, prioritized of key operational
apps for both operational and management information requirements
3. Detailed IS/IT planning to determine better way of implementing priority apps and infra
(including re-implementation/integration); greater attention to the critical key operational
apps, less resource to support apps (outsourcing), and introduce app-packages
4. Business-led strategizing to provide business leverage/competitive advantage; ‘shadow IT’
emerges in response of the perceived inability of the in-house IT organization to deliver;
innovation grows, but risky as inexperience business users are dealing with vendors
5. Integrated IS/IT and business strategizing; nurturing innovative ideas along with opportunities
made available from results of stage-3; organization-led strategizing where senior executives,
line management and IT specialists are in-sync!
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1. Top management lacked awareness of the impact IS/IT is having generally and did not
understand how IS/IT offered strategic advantages. They tended to see ‘computers’ in purely
an operational context—still essentially a DP era view.
2. They perceived a credibility gap between the ‘hype’ of the IT industry as to what IT can
actually do and how easy it is to do it, given the difficulties their organization had had in
delivering the claimed benefits.
3. Top managers did not view information as a business resource to be managed for long-term
benefit. They only appreciated its criticality when they could not get what they needed.
4. Despite the difficulty in expressing all IS benefits in economic terms, top management still
demand to see a financial justification for investments.
5. Finally, and an increasingly apparent problem today, is that top managers have become
action orientated with a short-term focus that militates against putting much effort into long-
term planning, especially of IS/IT, given the other issues above.
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Problems & Barriers:
Difficulties of Obtaining Top-Management’s Commitment
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Problems & Barriers
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Establishing an Effective Process: Continuous and Flexible
• ANumber Of Key Elements Needed to Enable the Realization of the
Competitive Potential of IS/IT:
– The proactive search for competitive advantage through the use of
information and the application of technology
– Abroader scope for the strategy, which incorporate a wide spectrumof
digital technologies (not just automation or data processing, but to include
embedding technology in products and processes).
– The development of architecture to guide the integration.
– Use of flexible approaches, whose aims are to find and implement
technology-based initiatives for the benefit of the business.
• Once a process has been established, the strategies and plans need to be
refreshed regularly to respond to the changing environment (external &
internal).
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Setting Objectives for the IS/IT Strategy
To build a robust framework for the long-term management of information, information systems and
information technology and to:
• Identify current and future information needs for the organization that reflect close alignment of
business and IS/IT strategies, objectives and functions. Recognize that the needs of the business will
evolve, and that longterm needs are likely to change.
• Equip the IS function to be responsive to fast-changing business needs, and to be able to meet urgent
requirements.
• Determine policies for the management, creation, maintenance, control and accessibility of the
corporate information resource.
• Reposition IS function more centrally in the business, with representation at top management level.
• Ensure that a sound information systems architecture is created so that high quality systems can be built
and maintained.
• Identify a portfolio of skills that will be required over the lifetime of the plans, and develop migration
plans to overcome weaknesses and exploit the skills in the IS function.
• Determine an effective and achievable organization structure for the IS function.
• Ensure that the IS function is outward looking and not focused internally on technology issues, and that
the aims of the function are not only clearly linked to business needs but also widely communicated.
• Ensure that there is an acceptance of shared responsibility between IS/IT and business people for the
successful exploitation of information and technology.
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Scope:
Focusing IS/IT Strategy on SBUs
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Synergy or
Portfolio Management
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IS/IT Strategy Formulation & Planning Process:
The Model
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Tech.trends/opportunities
andtheusemadeofIS/IT
byexternalbodies
Theeconomic,
industrialand
competitiveclimate
Currentbusiness
strategy,objectives,
resources,
processesand
cultureandvalues
ofbusiness
CurrentIS/ITperspectiveinthe
business,itsmaturity,business
coverage&contribution,skills,
resources&tech.
infrastructure
Howbusinesswill
deployIS/ITto
achieveitsobjectives
andinformation&
systemsarchitecture
Theoverallframeworkfor
managingbothdemand&supply
acrosstheenterprise
Policiesandstrategiesfor
technicalresources&
technologies(supply-side)
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IS/IT Strategy Formulation & Planning Process: The Framework
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1. Initiate the Process:
Team Composition & Skills
• Skill’s Requirements:
– Broad knowledge of the business and its organizational objectives, management styles, culture, processes, and
people
– Good communication skills
– Ability and authority to make and implement plans and decisions that may affect the whole organization
– Respect of management and staff
– Experience of IS/IT strategy formulation and planning in at least some of the team
• Executive Sponsor:
– Chairing the SC and approving the budget and plan for any IS/IT proposals
– Assuring management participation and commitment, through active backing and allocation of the right
resources
• Steering Committee:
– Providing strategic direction and guidance on business issues and priorities
– Reviewing and approving the outputs and plans, and taking up risk management issues
– Conducting checkpoint reviews and agreeing the contiuation of work
– Agreeing the strategy and its recommendations before submission the the executive team
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2. Understand the Current Situation &
Interpret Business Needs
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Value Chain Analysis
• Michael Porter:
– ‘Every firm is a collection of activities that are performed to design, produce, market,
deliver and support its products or services. All these activities can be represented using a
value chain. Value chains can only be understood in the context of the business unit.’
• … the value chain of the business unit is only one part of a larger set of value-adding activities
in an industry—the industry value chain or value system …
– For an organization to identify the overall implications of e-commerce for its business in
terms of opportunities and threats, the information flowing through the industry—the
external value chain —needs to be analysed before the information processes can be
optimized inside the business—by considering the internal value chain.
• The overall performance of the industry, in terms of its ability to maximize its value-added and
minimize its costs, is primarily dependent on how well demand and supply information are
matched at all stages of the industry.
– … can be used in any industry, since every industry uses funds, incurs cost and uses
resources to deliver services of some sort to consumers …
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The Internal Value Chain Analysis:
Example – Manufacturing Company
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3. Determine Business IS Strategy [1/2]
States howthe business will deploy IS/ITinachievingits objectives
1. Purpose of IS strategy – reasons for new/updated strategy – key changes in business and IT context since last strategy.
2. Overview/summary of business strategy – to provide context for IS strategy: objectives and CSFs, if known, plus analysis of
competitive forces and/or similar analyses (e.g. SWOT, competencies) and resulting issues affecting the IS strategy.
3. Argument for:
– newISopportunities(togainadvantage);
– criticalimprovementareas(toavoiddisadvantage).
These should be based on Item 2 above but with further detailed analysis of competency issues, value chains (external and
internal) and CSFs/balanced score card to determine the opportunity/problem areas and reasons for investment in them.
4. Summary of opportunities/problem issues – ‘1 page’ for each – explaining the application/opportunity/issue: outline
description, the rationale, potential benefits from investment, any critical dependencies and initial action to be taken in the
context of an overall estimated time frame for the investment (more detailed plans can be included if known). These
opportunities/issues should be separated into:
– strategic,highpotential,keyoperational(andpossiblysupport);and
– prioritizedhigh/medium/lowbasedonbusinesstimescales(e.g.H=6mo,M=12mo,L=2yr).
For each application, the business managers responsible should be identified.
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3. Determine Business IS Strategy [2/2]
5.Review of current application portfolio and status of current projects (i.e. other investments currently in hand) and the overall
resource implications of:
– completingoutstandingworkandongoingcommitments(majorcomponentsshouldbedescribedinAppendices);
– resourcesavailabletoaddressnewworkfromItem4above;
– anycriticalissuesrequiringresolutionwithintheexistingstrategy.
6.Future application portfolio – incorporating the output from Item 4 above to show the intended/potential investments, with
priorities, and the implications for the rest of the portfolio (e.g. replaced systems, etc.). Initial resource estimates (and costs) of
the investments should be appended to the portfolio, with an initial plan (including a simple Gant chart). (It is often useful to
show how the balance, in using resources, is changing as the portfolio evolves.)
7.Issues arising from the IS strategy – these are things that require senior management attention (e.g. the establishment of a
steering group) to enable decisions affecting the strategy (priorities, resources, organization, other initiatives, etc.) to be made
in the required time frame. These may also include issues to be addressed by the IT strategy in order to provide the
infrastructure to support the future applications portfolio.
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Define Information & Systems Architecture
• Architecture
The term architecture refers to fundamental concepts or properties of a
system in its environment embodied in its elements, relationships, and
in the principles of its design and evolution.
• [Enterprise] Architecture
A framework that provides a structured collection of processes,
techniques, artifact descriptions, reference models & guidance for the
production and use of an [enterprise]-specific architecture description.
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EA: example
SCELE:
• Materi TOGAF dan
ARCHIMATE
• TOGAF Standard v9.2
• Archi User Guide
• ArchiMate Specification
• ArchiMate Introduction
• ArchiSurance Case Study
• Materi Paparan TOGAF
• Link Unduh Archi
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4. Formulate IT Strategy
To define how technical resources and technologies will be acquired,
managed, and developed to deliver applications and services required by
the business IS strategy. It will normally address the following supply
factors:
• Organizationof IS/ITactivities anddecisionmaking, includingthe management of its people,
maintaininganddevelopingcapabilities andcritical resources;
• Managingthe informationresources andprovisionof information, application, andtechnology
services, includingsecurity;
• Procurement, contracting, outsourcing, andsupplier selectionpolicies andpractices;
• Preferredor approvedproject andapplicationdevelopment andimplementationmethods andbest
practices.
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5. Prepare Migration Plans
• Consolidate with business strategy process, taking into consideration
the organization’s ability to cope with the resulting changes.
• Construct budget and overall resource plans, including a ‘route map’
with key milestones.
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6. IS/IT Management Strategy
Describes the overall framework for managing both demand and supply across the
enterprise. It will address the following:
– Scope and Rationale
• it will needtolay out the business background, scope andrationale for the directives it is
stating, andpreferably describe avisionof the corporate IS/ITenvironment andits expected
impact onthe business community.
– Formal Organization and Resource Structures
• organization, resourcingandthe allocationof responsibility andauthority for IS/ITdecisions.
– Investment and Prioritization Policies
– Vendor Policies
– HR Policies
– IS Accounting Policies
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