It is not that companies do not want to keep up with the evolving markets, it is simply the fact most companies cannot, due to the established technical and social infrastructures which do not have the capacity to keep up with the preferred strategic desires. The article states a main root of the of the issue is that there is a lack of urgency in both agreement and for systems that support collaboration. In order for organizations to remain competitive, they must have a IT structure that energizes the internal organization, engages customers, and strive for innovation and experimentation. The gap is when companies fail to change their habitual structure toward an IT environment that can handle rapid reconfiguration of business-process and work-flow technologies.
Also, the gap of strategic needs and IT capabilities is not just a technical issue, but also involves business personnel. For instance, with IT governance, there may be a lack in the senior managers’ methods to IT investment or with the line managers’ involvement in IT decisions. There could even be a failure for top management to train lower level employees on the evolving IT processes. There is much unknown about the IT environment for most organizations, and therefore, the lack of knowledge results in not able to maintain their competitive edge. Therefore, when making a decision about IT, top management and IT personnel need to consider several things. First, does the architecture and underlying infrastructure
The purpose of this article is to illuminate the need for any organization to have its IT strategy and business strategy properly aligned. While many organizations view IT and business alignment as an event – it is actually an on-going process, or continuous journey. Therefore, the main problem is that many organizations of today still hold these two principles (business mission & IT strategy) as two separate entities. However, in the Information Age – collaboration is key to capturing and retaining market penetration. To not have alignment with the IT and business strategy together is not a matter of want it is a matter of survival. This report will expand upon the need for business and IT strategic alignment as well as examine what happens in lack of a comprehensive plan. This will be done by examining the Vermont Teddy Bear company prior to and after the arrival of Bob Stetzel, the Vice President of Information Technology. This document will view it findings and make recommendations on the immediate and future operations of the company.
In the “Mini Case Study: IT Planning at ModMeters”, it is clear that the communication skills between the business managers and the IT managers were in need of improvement. IT planning is a method used to form clear objectives for IT organizations that connect directly back to the enterprise’s strategic business goals (“IT planning”, 2014). IT strategic planning assists in directing the business strategy, based on IT capabilities and opportunities and determines IT’s role in delivering the business strategy. There is a clear lack of communication and individual opinions on taking ModMeters global. Although CEO John Johnson and other high leveled corporate employees believed the idea was promising and seemed to look good on paper, Brian Smith, CIO of ModMeters had different thoughts on the expansion. Brian Smith knew that although the new initiatives were theoretically doable; however with such tight resources including people, time, and money, he knew that finding the means to support two new strategic initiatives was nearly impossible (McKeen, J.D., & Smith, H.A., 2012, p. 69). There seemed to be a major lack of communication when planning the new initiatives and the miscalculation of funds to do it successfully.
A wise man once said, “The only permanent thing in the world is change,” an adage that rings especially true for organizations in this fast-changing era of technology and communication. Daft very deftly puts the inescapable need for change in three simple words, “Innovate or Perish” in his book “Understanding the Theory & Design of Organizations” [2].
With any organization, rather it be civilian or military focused, there is a common element that resides; organizational competencies. These competencies is what makes any organization unique and identifies how they do the things they do, how relationships with institution division and external entities are developed and handled. With Information technology shifting from an administrative support tool to a strategic role within the organization, the question, or debate, is whether or not the planning and implementation of information technology, based on strategic goals, essentially share the same organizational competencies. This article will
The mini-case starts with “IT is a pain in the neck,” which is a wrong notion that most of the business managers have in an organization. The history of IT-business relationships in most of the organizations shows that there is a huge gap between both sides which is getting better over a period of time. Today, managers know the fact that it is the people, technology and information that realizes the value of a company and everytime IT cannot be blamed for everything. The days have gone when IT was looked at as the sole responsibility for a company’s growth or downfall. IT processes along with the
When the CEO launches two new strategic initiatives requiring integration across all business units, the organization – whose IT decisions have been largely delegated to its business units in proportion to their revenue generating capacity – now faces the dilemma of how to prioritize its IT projects in order to support the new strategic “enterprise” vision.
The role played by the IT in the company to the rest of the organization is reactive to business conditions rather than a proactive approach. IT has been busy establishing several IT processes, policies, and projects in order to catch up with current demand from customers, and has been relying on the “diving catch” approach of finishing things at the very last minute.
This portfolio focus on what I have learned during the whole IT Strategy and Control paper, a critical reflection of this paper would be provided. This reflection includes the key points, support reference and the demonstration of my own understanding about the paper itself and all of my personal understandings are based on the learning outcome of this paper. In the first part of this portfolio, I would discuss all the key IT Operations Management framework which have been introduced in the paper, the analysis of the processes based on my own understanding would be given. In the second part, analyze processes required for aligning IT infrastructure and operations with the business goals of an organization would be talked about, and I would focus a business organization which has been mentioned in the caselets as a sample. In the third part, some critical evaluate operational IT organizations and their processes against the studied models would be listed and analyzed. In the last part, the recommendations and analysis of my own would be given against those organizations (caselets) which have some problems and current issues arising from the implementation of the IT framework.
In 2003 when Nicholas Carr wrote the article “IT Doesn’t Matter” companies were just beginning to utilize information technology as a competitive advantage. Mr. Carr contends that technology is not a permanent advantage because in time the competition will acquire the same resources and Information Technology (IT) just becomes another commodity. For the majority of companies throughout the world IT resources have become easily accessible and affordable. If Mr. Carr’s opinion is correct then the equality of IT access has just become a cost of doing
Information Technology (IT): The hardware and software technologies a firm needs to achieve its business objectives (Kenneth C Laudon and Jane P Laudon., 2010).
Tidd and Bessant (2009) argued that “Unless an organization is able to move into further innovation, it risks being left behind as others take the lead in changing their offerings, their operational processes or the underlying models that drive their business”.
All these factors are creating new challenges and new opportunities for businesses of all kinds and for the public sector. Adapting to the volatility and change is crucially dependent on, and in many cases driven by, IT. But to successfully meet these challenges and grasp these opportunities, you must focus on what you do best, not on becoming systems experts. Yet at the same time you must be 100 per cent certain that your IT support is efficient, cost effective and totally tuned to your needs.
This paper will discuss the processes and pitfalls faced by Information Technology managers in today’s world of business. Today’s IT managers need not only be savvy about existing equipment and upcoming technology; but must also understand the budget issues they face and how to properly address them. The IT manager is asked to look into a crystal ball and predict what products will be beneficial and which requirements can be cut from the budget. They must be able to differentiate between the new shiny fad and products that will be a true asset to the company’s visions and goals. An IT budget can no longer be a static number on the company’s finance sheet; it must be a clear vision of the department’s future spending while falling in line with the goals and expectations of the company.
Frenzel (2004) claimed that to be successful, a firm’s IT management team must take action on the following critical areas: business management issues; strategic and competitive issues; planning and implementation concerns; and operational items. If for any reason, the organisation experiences difficulties in the above areas, the manager will need to set goals and objectives to overcome and prevent these issues.
Companies over the last decade, has recognized that their survival to a lesser or greater extent, depends either entirely or partially to appropriate information system. It is established, based on lesson learned from both failed and successful organizations, that an information system strategy are to support or aligned with, business strategy. Similarly the business strategy can influences the choice of Information System used in the organization. A business strategy entails futuristic organizational planning that result in companies gaining competitive advantage. It is direct linked to supporting area such as marketing, procurement, and information system. The case of Comair airline, even after acquisition by Delta