Lecture 5 MGMT 6180 - © 2012 Houman Younessi Framework for Cogenerating IS Strategy with Business...

Lecture 5

MGMT 6180 - © 2012 Houman Younessi

Framework for Cogenerating IS Strategy with Business Strategy (Co-Planning)

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Strategic Information Systems Planning Process

The Planning Phases:

Phase 1: Visioning

Phase 2: Analysis

Phase 3: Direction

Phase 4: Recommendation

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Visioning:


Understand the business vision:

Interview project stakeholders Audit current business process Analyze business goal congruence Understand values, limits and “don’t-go-there”s Analyze current value chain Do a gap analysis of reality as you see it and their perceptions (and reconcile) Do a gap analysis of current practice and stated vision Document, validate and confirm

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Visioning:

Initiate the project:

Establish objective and scope Identify resources, roles, responsibilities Confirm deliverables and work plan Confirm project plan Announce the project (as publically as you can)


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Analysis:


Understand the current IS situation:

Audit IS Document current IS strategy (if any) Document current IS situation

Business application environment Assets (servers, networks, telecom equipment, mobile devices) Processes, project work loads, budgets and metrics Vision of the future (plans), e.g. mobility, social networks, etc.

Validate and confirm current situation

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Analysis:


Compare current situation:

Conduct industry benchmarking conduct critical competitor benchmarking (critical capability) Review information needs (Pyramid) Develop organizational data model Do gap analysis to determine current IS potential Do a gap analysis of information needs vis a vis current processes Do a gap analysis of business vision vis a vis information needs

Develop IS (SWOT) profile Develop IS assessment scorecard Review and confirm comparison Develop recommendations and solution alternatives

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Direction:


Develop the IS vision and direction: Vision, mission, values

Develop goals Develop an IS tactical plan

Develop the business application direction Develop the information architecture Develop the technical infrastructure direction Develop E-business direction Develop organizational direction Develop the IS process direction Develop project prioritization process

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Recommendation:


Develop a road map executive summary: Summarize roadmap Summarize costs Summarize organizational impact Summarize risks, concerns, threats Summarize risk mitigation options, choices and plans

Develop a business case Summarize business benefits (case for action) Develop communication plan Identify structures needed (e.g. steering committee)

Develop an execution plan

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Product

Process

Enterprise

Environ.

Quality

Efficiency

Effective-

ness

Susta

in.

Demand Side

Supply Side

Demand and Supply

Aggregate Demand and Aggregate Supply

The Enterprise, Process, Product Stage

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Element Concept Information Category Information System

Revenue Demand Market trends and marketingProduct qualityPricing

Data Acquisition Data AnalysisControlForecastingOptimization

Cost Production Process capabilityTechnology

Forecasting EstimatingOptimizationControl

Risk Uncertainty Economic EnvironmentInternal control

ForecastingControl

Longevity Sustainability EnvironmentIntegration and systemicity

ForecastingOptimization

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ForecastingControl

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Business Effectiveness

Production Support

Managing Risk

Reducing Uncertainty

Integration

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Marketing

Produ

ctio

nHuman

Resources

Finance

Legal

IT

Facilities and logistics

Integration

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Note:

Each business component may itself be looked at as a production process. As such, it is internally subject – or can be subject at least – to the provisions of process efficiency maximization discussed in

the previous lecture.

Our objective is to reduce risk and be effective as a cohesive and integrated collection of these individual elements.

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Integration Requires:

Communication

and

Coordination

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EXERCISE:

What integration opportunities can you discover and how would they inter-relate?

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Product

Process

Enterprise

Environ.

Quality

Efficiency

Effective-

ness

Susta

in.

Demand Side

Supply Side

Demand and Supply

Aggregate Demand and Aggregate Supply

The Enterprise, Process, Product Stage

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Revenue Demand Market trends and marketingProduct qualityPricing

Data Acquisition Data AnalysisControlForecastingOptimization

Cost Production Process capabilityTechnology

Forecasting EstimatingOptimizationControl


ForecastingControl



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Business Sustainability

Maintain what maintains you

Live to fight another day

Discover what maintains you

Further Integration

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Supply chainsSoc

ial

Value

sEnvironmental

RegulationsCultural Norms

Governments

Financial Markets

and the Macro-econom

y

Further Integration

GlobalResources

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Note:

Each enterprise must itself be looked at as part of a series of progressively larger enterprises, the largest being the global

economy. As such, it is externally subject to the provisions of integration maximization discussed in the previous lecture.

Our objective is to integrate the enterprise, systemically, as an optimized component of the larger world enterprise.

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EXERCISE:

How would you integrate your enterprise into the global economy, in a way that it persists?

Lecture 5 MGMT 6180 - © 2012 Houman Younessi Framework for Cogenerating IS Strategy with Business...

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