IT managers who are strategic, tend to keep the entire business strategy in mind, as opposed to only the support strategy. IT managers who keep only the support infrastructure in their vision may not always know what the rest of the company is doing. If they only concern themselves with supporting customers, they may be missing important strategic initiatives that the company is trying to bring to those customers. Linking the technology strategy directly linked to the business strategy is a key IT architecture component (Huhta, 2011). There are three primary tasks that must take place for this linkage to happen.
First, upper-level business managers must decide the role technology will play in advancing their competitive advantages (Hax & No, 1992). They must also determine the assets they will assign to technology, and the assertiveness used in the innovative development and in inserting technology into their products and processes (Hax & No, 1992). It is important that corporate involves themselves in this process because technology is embedded and shared throughout every function of a company. Corporate strategy that communicates its mission through the technological requirements will lead to a powerful viable position (Hax & No, 1992) .
Next technology strategies are formed at the corporate level (Hax & No, 1992). The technological strategy of a company must be defined during formation of the business strategy (Hax & No, 1992). This will define the competitive benefit of each department (Hax & No, 1992).
Finally, the IT managers must interpret all of the requirements put forth by corporate management that will outline the technological strategy of the company (Hax & No, 1992). At this point, the creation...
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Known as the 4th largest standing natural gas distributor, Southern Union Gas serves nearly 1.5 million customers Nationally, and Internationally, for over 50 years. They have four divisions in the United States, which are:
IBM System Journal. "Strategic Alignment: Leveraging Information Technology for Transforming Organizations." Last accessed April 14, 2007. http://researchweb.watson.ibm.com/journal/sj/382/henderson.pdf
Two organizations that show the importance of aligning a company’s business strategy with their IT strategy are Cirque du Soleil and Major League Baseball. Both of these organizations rely on digital technology to make it easier to provide to their customers better entertainment through collaboration.
This paper focuses on the impact of Management of Information Systems (MIS) on Boeing. In this endeavor, it highlights the new technologies that will most likely impact on the organization and structure. In addition, the paper discusses possible impacts of new technological advancement on the company, to remain competitive in the face of the new technological developments. In this regard, the paper reflects on the possible strategies that Boeing is likely to adapt so that it remains competitive that is, by introducing new technological developments. Finally, with such a move of adapting or not adapting the new technology, this research paper looks at risks that are associated with both moves that the company might opt for.
Shane, Scott. Technology Strategy for Managers and Entrepreneurs. Upper Saddle River, NJ: Prentice Hall, 2009. Print.
Information Technology (IT) is a foundation for conducting business today. It plays a critical role in increasing productivity of firms and entire nation. It is proven that firms who invested in IT have experienced continued growth in productivity and efficiency. Many companies' survival and even existence without use of IT is unimaginable. IT has become the largest component of capital investment for companies in the United States and many other countries.
Keri E. Pearlson and Carol S. Saunders (2010). Strategic Management of Information Systems, 4th Edition. John Wiley & Sons, New York
Subsequently, in order to assess and understand the practices involved with KM, we must first recognize the underlying provisions and implications within the IT sector. Information technology has had a dramatic influence over organization overall performance, IT driven structures have been able to evolve over time, in part due to the integration and implementation of such practices alike. Resulting from such assimilations, most division have yet to maintain proper executive IT sectors and overall preservation, mainly due to either lack of knowhow or inefficient policies in place that limit any advancement.
Henderson and Venkatraman proposed a model for business – IT alignment; it was intended to support the integration of information technology (IT) into business strategy by advocating alignment between and within four domains (see figure 1). The inter-domain alignment is pursued along two dimensions: strategic fit (between the external and internal domain) and functional integration (between the business domain and the IT domain). The objective of this model was to provide a way to align information technology with business objectives in order to realise value from IT investments. The authors argued that the potential strategic impact of information technology requires both an understanding of the critical components of IT strategy and its role in supporting and shaping business strategy decisions and a process of continuous adaptation and change. Hence, they presented a model that defines the range of strategic choices facing managers.
Along with the rapid development of economy and society, the companies have to own skills to adapt, cater, and transfer new knowledge, and try to modify their activities to reflect insights. Strategic management evolves
His proposition is that a resource can be considered as a strategic advantage only when a company has a differentiating resource compared to its competitors. With this proposition he confirms the Resource-Advantage theory laid out in 2002 by Hunt and Morgan. The accessibility and cost-effectiveness of IT related functionality resulted in its omnipresence. This entails that a manager must understand it differently, viewing it as a necessity, like capital or people.
The book has used peer-reviewed resources to enhance the use of professional approaches to innovation and management strategies by the readers who uses the book. The authors have given different management strategies and their practical application in business fields. As the title states, a strategy in business require innovative strategies for efficient development of the firm. More importantly, the book offers modern innovative ideas that need to be integrated with management strategies to develop modern businesses. The innovative approach provides a practical guide to the management strategies easing the execution of the strategies in the respectful environment. The book has given the strong relationships between innovation and strategies. These relationships are known to increase profitability in business organizations that use them efficiently. It offers how business managers can create successful value through innovation. Value creation in companies is done through examining untapped markets, clients ' needs and investing in new businesses. Therefore, this remarkable book helps readers in innovating and managing business
As society grows and evolves, technological advancements and innovations continue to develop and consistently change different aspects of our society. For an organization, understanding how to manage these innovations is essential for their proper utilization and implementation. With technological advancements and innovations constantly emerging, it is important for an organization to stay aware of which new technological innovations can help them be successful. Organizations are always looking to set themselves apart from competition through innovation.
Managers must understand how to achieve efficiency internally through applying new technology to operational processes. Managing new technology requires a thorough understanding of business technology management.
Perry, B., 2005, Organisational Management and Information Systems. [e-book] Oxford; Elsevier. Available at: Google Books . [Accessed 14 November 2013]