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Summary - Class notes - Business Information System
1569880800 Strategy & IS
What are the four grids in McFarlan's strategic grid?- Factory
When moving to the strategic grid in
McFarlan'sgrids, information systems are crucial concerning supply chain and manufacturing.
Porter's Five Forces are:- buyer / supplier power
- threat of new entrants
- internal rivalry
How do IS influence threat of new entrants?
- they raise entry barriers and make market entry easier
How do IS influence internal rivalry?
- they can reduce cost and lead to more effective management
Fit between strategy and IS depends on strategic focus on:
- process > operational excellence
- product > product leadership
- customer > customer intimacy
Business strategy is on a
corporatelevel whereas IS strategy is on a business unitlevel
5 phases of implementing IS strategy:
- strategic awareness > identifying strategic objectives
- situation analysis > SWOT, internal & external analysis
- strategy conception > identifying opportunities
- strategy formulation > new IT architecture / portfolio
- strategy implementation planning > change management approach, action plan, follow-up procedure
Strategic awareness: alignment: degree of (mis)fit between business and IS strategies
Strategic alignment: strategic fit:
- external : business strategy
- internal: organic infrastructure and processes
Strategic alignment: functional fit:
- external: IT strategy
- internal: IT infrastucture and processes
Strategic alignment: technology potential
business strategy determines
ITstrategy which determines IS infrastructureand processes
Strategic alignment: competitive potential:
IT strategy determines business strategy which determines organization's infrastructure and processes
business strategy determines organizational infrastructure and processes which determines IS infrastructure and processes
Strategic alignment: service level alignment:
IT strategy determines IS infrastructure and processes which determines organizational infrastructure and processes
Purpose of assessing McFarlan's strategic grid?- Assessing the importance of IS
- IS match with strategic objectives
- IS match with IS management
McFarlan's strategic grid: strategic: IS characteristics?Future oriented, providing competitive advantage
McFarlan's strategic grid: factory: IS characteristics?Focused on existing business operations, avoiding competitive disadvantage
McFarlan's startegic grid: support: IS characteristics?Focused on local improvements in business efficiency and management effectiveness (HR)
McFarlan's strategic grid is typical in the strategic awareness phase of implementing IS
Strategy conception phase of implementing IS: focusing on opportunitites and threats. What is the potential role of IS in realizing those opportunities?
Strategy formulation phase of implementing IS: formulating the IS strategy goals and determine what the organization should look like. - what kind of IS portfolio?
Strategy implementation phase:
defining change management approach,
concrete change projects > action plan, follow up procedures
1569967200 Technology basics
Moore's law: the observation that the number of transistors in a dense integrated circuit doubles every two years
IP (standing for Internetworking Protecol) enables the intercommunication of inter and intra organizational networks
Cloud computingis a model for enabling ondemand network access to a shared pool of configurable network sources(networks, servers, storage) that can be rapidly released with minimal management effort or provider interaction
Cloud service models:
SaaS: software as a service
PaaS: platform as a service
IaaS: infrastructure as a service
Blockchain: an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way
Developments in software, hardware and networking:
increasing capacity, speed, intelligence etc.
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