Chapter 11
Business/IT Strategies
for Development
II. Organizational Planning
Enterprise-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 about
Uncertainties – Elements we consider
uncertain or unknowable
3
III. The Scenario Approach
Components of an Organizational
Planning Process
4
III. The Scenario Approach
Strategic Visioning Questions for e-Business
5
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 opportunity
Strengths – core competencies and resources
Weaknesses – areas of substandard performance
Opportunities – potential for new markets or
innovation
Threats – potential for losses
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Business Models
Conceptual framework of how a business can
deliver value to customers at a cost and still
turn a profit
7
Business Models
Questions for All Business Models
8
Business Models
Questions for e-Business Models
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Iridium Satellite: Finding the Right
Business Model
Iridium originally focused on consumer
telephone service
Went bankrupt in 2000 and company
redesigned
Now focuses on companies in barren deserts,
Earth’s poles, deep wilderness, disaster areas,
and oceans. Also provides machine-tomachine 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 2
Implementation 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
Caused By IT Implementation
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III. End-User Resistance and Involvement
Obstacles to Knowledge Management
Systems
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Individual prerequisites for change to occur
Why should I
change?
What’s in it for
me?
Thinking &
understanding
Emotional/
Motivational
Head
Heart
Behavioral
Hands
What do I do differently?
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A stepped approach to change
Success
A journey of a thousand
miles occurs one step at a
time.
X
Start
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