Chapter 11 Business/IT Strategies for Development
Dec 31, 2015
Chapter 11
Business/IT Strategies for Development
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II. Organizational PlanningEnterprise-wide plans are required to
introduce IT/IS-based solutions to the entire firm.
Strategic Planning – develop a firm’s mission, goals, policies
Tactical Planning – develop objectives, procedures, rules, schedules, budgets
Operational Planning – implement/control day-to-day operations
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III. The Scenario Approach A less rigid but more realistic strategic
planning methodology; combine known facts about the future with plausible alternatives
Knowledge:Trends – Things we think we know
something aboutUncertainties – Elements we consider
uncertain or unknowable
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III. The Scenario Approach Components of an Organizational Components of an Organizational
Planning ProcessPlanning Process
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III. The Scenario Approach
Strategic Visioning Questions for e-BusinessStrategic Visioning Questions for e-Business
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IV. Planning for Competitive Advantage
Evaluation of potential benefits/risk of using IT for competitive advantage
SWOT ( strengths, weaknesses, opportunities, threats) Analysis – evaluate impact of each possible strategic opportunityStrengths – core competencies and resourcesWeaknesses – areas of substandard performanceOpportunities – potential for new markets or
innovationThreats – potential for losses
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Business ModelsConceptual framework of how a business can
deliver value to customers at a cost and still turn a profit
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Business ModelsQuestions for All Business ModelsQuestions for All Business Models
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Business Models Questions for e-Business ModelsQuestions for e-Business Models
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Iridium Satellite: Finding the Right Business Model
Iridium originally focused on consumer telephone serviceWent bankrupt in 2000 and company redesignedNow focuses on companies in barren deserts, Earth’s
poles, deep wilderness, disaster areas, and oceans. Also provides machine-to-machine communications.
Why is this different from the way they previously competed?
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VI. Business/IT Architecture Planning
Balanced Scorecard – measuring a company’s activities in terms of its visions and strategies; not based on proven economic theory or decision sciences
Financial Perspectives – measures of financial performance
Customer Perspective – measures directly impacting customers
Business Process Perspective – measures performance of key business processes
Learning and Growth Perspective – measures the firm’s learning curve
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The Role of IT in Business Process Design
Why might IT personnel be in a better position to see organizational needs than other personnel?
Why would IT be in the right place to provide solutions to these needs?
What organizational and cultural issues might be stumbling blocks to adopting these solutions?
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Section 2Implementation Challenges
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I. Implementation
Carrying out the strategic plans developed in the planning process
Moving to e-business involves major organizational change
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What is Change Management?
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II. Implementing Information Technology
Impact and Scope of Business Change Impact and Scope of Business Change Caused By IT ImplementationCaused By IT Implementation
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III. End-User Resistance and Involvement
Obstacles to Knowledge Management Obstacles to Knowledge Management SystemsSystems
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Individual prerequisites for change to occur
Thinking & Thinking & understandingunderstanding
Emotional/ Emotional/ MotivationalMotivational
BehavioralBehavioral
HeadHead HeartHeart
HandsHands
Why should I Why should I change?change?
What’s in it for What’s in it for me?me?
What do I do differently?What do I do differently?
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A stepped approach to change
StartStartXX
A journey of a thousand A journey of a thousand miles occurs one step at a miles occurs one step at a
time.time.
SuccessSuccess