PLANNING FOR INFORMATION TECHNOLOGY, By ENM Planning for Business Change • Business planning is an important organizational process of team building, modeling, and consensus that analyzes and evaluates key elements of the business. • More specifically, it evaluates an organization’s internal and external environments, forecasts new developments, establishes an organization’s vision, goals, and objectives and develops strategies, tactics, and policies to realize them. • Effective IT planning is a key ingredient in achieving strategic business success with information systems. • Information Technology may not be the business your organization is in, but it certainly keeps things working as they should • IT often represents 15 to 20% of the organization’s annual budget and the percentage seems to be growing every year. Given this percentage, effective strategic planning focusing specifically on IT seems essential to success. Introduction • IT is a double-edged sword to most organizations, delivering value to organizations and bringing challenges as well. To realize more benefits and fewer challenges, I think that IT must be planned and managed Introduction • IT strategic planning addresses the design/development/acquisition of IT solutions, implementation/support of those solutions and the modernization of existing, legacy solutions within the organization INTRODUCTION • Information Technology Planning is a discipline within the Information technology and information systems domain and is concerned with making the planning process for information technology investments and decision-making a quicker, more flexible, and more thoroughly aligned process. • According to Architecture & Governance Magazine, (Strategic) IT planning has become an overarching discipline within the Strategic Planning domain in which enterprise architecture is now one of several capabilities. Arguments for Information Technology Planning • IT takes too long to adjust plans to meet business needs. By the time IT is prepared, opportunities have passed and the plans are obsolete.. • IT makes plans that don’t reflect what IT will actually do or what the business actually needs. In the end, business doesn’t understand how IT contributes to the execution of strategy. • Information regarding business needs and the costs, benefits, and risks of IT capabilities comes from sources of varying quality. IT then makes planning decisions based on misleading information. Conti… • • • • IT projects over budget and behind schedule IT projects not delivering expected value Improves resource management Increase communications in business Strategies for Providing an Information Technology Planning Capability • According to Forrester Research, there are several recognized strategies for providing an information technology planning capability. • A repository of application data • Capability maps. • Gap analysis tools • Modelling and analytic capability. • Reporting tools. 1.A repository of application data • Planning tools provide a common inventory of application data including costs, life cycles, and owners, so that planners have easy access to the information that drives their decisions. 2. Capability maps • Link IT’s capabilities to the critical business processes they support. These software tools provide a graphical tool that clearly outlines how the business capabilities that IT provides to the business are linked to IT’s efforts 3. Gap analysis tools • Alongside capability maps, planning tools capture information about the future state of business capabilities as dictated by business strategy. Users leverage this functionality to identify the areas where IT capabilities need to be built, enhanced, or scaled back — driving IT’s strategy. 4. Modelling and analytic capability • These tools enable planning teams to create a variety of plans, which can then be compared to one another to weigh the pros, cons, and risks of each. In addition, their impact on architecture and current initiatives becomes visible. 5.Reporting Tools Reports guide the planning team’s decisions — for example, which applications have redundant capabilities, have not been upgraded, or are plagued with costly issues. IT’s strategic decisions are therefore more easily justified Evolution of IT planning IT planning stages • See below 12-14