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TOPIC 3 Strategic IS Planning Process - Coggle Diagram
TOPIC 3 Strategic IS Planning Process
1.0 Visioning Phase
1.1 Initiate and manage the project
involves setting up and running the project in an efficient manner
Finalize objectives, goals & scope:
This involves figuring out
what the project is trying to achieve
and setting clear goals and objectives.
The project team meets to determine what the project is trying to achieve, such as
improving the company's website
or creating a
new software system.
Identify resources, roles & responsibilities:
This involves figuring out
who will be involved in the project
and
what each person will be responsible
for.
The project team identifies who will be involved in the project and what each person's role and responsibilities will be, such as a
designer, developer, and tester.
Confirm deliverables & work plan:
This involves figuring out
what will be done
and
when it will be done
in order to achieve the project's goals and objectives.
The project team outlines what will be done and when it will be done, such as
designing the website in the first month, developing it in the second month, and testing it in the third month.
Finalize and communicate the purpose of strategic planning:
This involves
making sure everyone involved understands what the project is trying to achieve
and what is expected of them.
The project manager
communicates the project's goals and objectives to all stakeholders
, including employees and customers, to ensure everyone understands what the project is trying to achieve.
Announce the project and conduct project orientation
This involves officially
starting the project
and getting everyone involved.
The project manage
r holds a meeting to officially announce the project
and provide an o
verview of what will be done
and how it will be done.
Establish the process to develop the plan:
This involves figuring out
how the project will be carried out
and making sure everyone is on the same page.
The project team determines how the project will be carried out, such as using Agile methodology or a
Waterfall approach.
Communicate the status of strategic planning effort:
This involves regularly
updating everyone on the progress of the project
and making sure everyone is aware of what is happening.
The project manager
sends regular updates on the project's progress to all stakeholders
to keep everyone informed and aware of what is happening.
Common Aims for Adopting IS/IT Strategy Process
Aligning IS/IT with the business:
This involves making sure that the technology the company uses supports its overall business goals and helps the company achieve its objectives.
Gaining competitive advantage:
This involves using technology to give the company an edge over its competitors, such as having a more user-friendly website or a faster system for processing orders.
Building a cost-effective technology infrastructure:
This involves having the right technology in place to support the company's goals and objectives, while also making sure it is done in a cost-effective way.
Developing the right resources and competencies:
This involves having the right people in place with the skills and knowledge to use technology to achieve the company's goals and objectives.
Approaches to IS/IT Strategy Development
Business led – carried out by IT specialists who define an IS/IT investment plan based on the current business strategy
Method driven – the use of techniques
Technological – use analytical modeling and tools
Administrative – budgets, resource plans
Organizational – key themes for IS/IT investment
Problems and Barriers of IS/IT Strategy Development
Lack of senior management support:
Without the support of senior management, it can be difficult to get the resources and funding needed to develop and implement an IS/IT strategy.
Lack of understanding of the role of IS/IT:
Some organizations do not fully understand the role of IS/IT in their business and how it can be used to achieve their goals and objectives.
Resistance to change:
Employees may resist changes to their current ways of working or be resistant to using new technology.
Budget constraints:
Developing and implementing an IS/IT strategy can be expensive, and organizations may not have the budget to invest in new technology or hire the necessary staff.
Lack of skills and knowledge:
Organizations may not have the right people in place with the skills and knowledge to develop and implement an effective IS/IT strategy.
Difficulty aligning IS/IT with business goals:
It can be difficult to align IS/IT with the overall goals and objectives of the business, making it challenging to measure the success of the IS/IT strategy.
Resistance from existing IT departments:
The existing IT department may be resistant to changes to their current systems and processes, making it difficult to implement new technology or change existing processes.
When choosing an Information Systems/Information Technology (IS/IT) strategy approach, it is important to consider certain characteristics to ensure that the approach will be effective.
These characteristics include:
Consistency: The approach should be consistent with the overall goals and objectives of the organization, and should align with the company's culture and values.
Communication: The approach should include clear and effective communication to ensure that everyone involved understands the goals, objectives, and steps involved in the IS/IT strategy.
Documentation: The approach should be well-documented, so that it can be easily understood, implemented, and monitored over time.
Rationalizing decisions: The approach should involve making well-thought-out, logical decisions about the use of technology, based on the goals and objectives of the organization and the available resources.
1.2 Understanding business situation & vision
Goal: to get a clear understanding of
where the business wants to go
and what it wants to achieve
This is done by reviewing the business's official documents and goals (such as
objectives, goals
, etc.)
and then
talking to key people in the business
through
interviews and workshops.
To do this, the IS/IT strategy team creates a plan to gather information, which includes
developing questions for interviews and workshops
, creating surveys, and figuring out how to structure these interactions.
Finally, the team
schedule and conduct the interviews
and workshops to gather information and get a deeper understanding of the business.
1.3 Document & confirm the business analysis
to understand the current state of the business and its goals, as well as the impact that IS/IT have on the business.
To achieve this goal, the IS/IT strategy team collects
information about
the business
, including its
description, vision, values,
goals and strategies
information about
industry trends
and the requirements of both the business and its customers.
the team
identifies the strengths, weaknesses, opportunities, and threats
of the business, and
documents the impact that IS/IT has on the business.
Once the information has been collected,
it is documented in a clear and organized manner,
providing a comprehensive understanding of the business.
2.0 Analysis Phase
2.1 Understand current IS situation
step involves gathering information about the current state of the organization's IS
process involves:
Reviewing existing IS documentation
such as IS organization chart, reports provided to management,
IS vision, mission, objectives
, project lists, current project priorities, and IS standards, policies, procedures.
Developing interview questions
and conducting interviews with IS employees
to
understand their concerns, suggestions
for improvement, job satisfaction, and career interests.
Documenting
the
information gathered from the interviews
and the current IS situation,
including the
business application environment
, desktop environment, server environment, network environment, telecommunications environment, and
data center environment
.
cth: data center: how the security? besar mn? where the data?
2.2 Analyze current IS situation
involves several steps to determine the strengths, weaknesses, opportunities and threats of the current IS environment.
Conducting industry benchmarking:
This involves
comparing the current IS situation with that of other similar companies
in the industry, based on factors such as IS budget, spending per employee, etc.
Identifying IS industry trends and competitor profiles:
This involves
researching the latest technologies and how they are being used by competitors
, and
determining what technologies are becoming
obsolete, ready to implement, emerging, or still need further review.
obsolete = xguna dh, tpi company lain guna
ready to implement =available technology, competitor pun pkai jugk
emerging = newer technology, company kita pkai, but not widely use
still need further review = more on experimental than commercial
Reviewing information needs and data context
This involves looking at the
data and information that is currently used by the company
and determining if there are any areas for improvement
Reviewing business processes and applications:
This involves
evaluating the current business processes and applications
to identify any areas for improvement or areas where current applications can be enhanced.
Identifying functional requirements and gaps:
This involves determining the requirements for the
IS environment
and
comparing these requirements to what is currently in place
to identify any gaps.
Developing a SWOT analysis:
This involves
identifying the strengths, weaknesses, opportunities,
and threats of the current IS environment, and comparing it to industry and business requirements.
Developing scorecards and getting team input:
This involves
getting feedback from a group of people on the current IS situation
and rating it based on factors such as technology, processes, etc.
Techniques to analyse current IS situation
Critical Success Factors
Balanced Scorecard
Balanced Scorecard: This technique is a
performance management tool
that helps organizations to balance their focus on financial and non-financial performance measures. The balanced scorecard can be used to
evaluate the performance of the IS
by considering four perspectives: financial, customer, internal processes, and learning and growth. This can help to ensure that the IS is delivering value to the organization and contributing to its overall success.
2.3 Develop recommendations, solution alternatives
is to come up with recommendations and solution alternatives
Business applications: Consider different solutions that can be used to
improve business processes
and meet the information needs of the organization.
Infrastructure:
Evaluate various options for improving the technical infrastructure
, such as servers, networks, and telecommunications systems.
Organization: Look into ways
to reorganize the IS/IT department
, if necessary, to align with the business goals and objectives.
IS/IT processes: Identify opportunities to
improve the processes and procedures related to IS/IT
, such as project management, information security, and incident management.
Let's say a company wants to improve its customer service process.
they could develop several recommendations for improving the customer service process, such as:
Business application options: Implementing a customer relationship management (CRM) system to better track customer interactions and improve communication between departments.
Infrastructure options: Upgrading the company's network to improve response times and ensure more reliable customer service.
Organizational options: Reorganizing the customer service team to improve communication and ensure accountability.
IS process options: Implementing a standard process for handling customer complaints and requests, and regularly reviewing and updating the process to ensure it is effective.
3.0 Direction Phase
stage where the company
decides where it wants its IS to be in the future
in order to meet its business requirements.
focus of this phase is to
determine what changes are needed
in the IS/IT systems in order to support the company's future business goals and objectives.
3. 1 Developing IS vision and mission
The vision is a
concise (ringkas) statement
about the future of IS,
where you want to go
what you aspire to be
blh start dgn : to be leading bla2
Need to do for each company for the next
5years
while the mission is a statement about what the
IS group does
and why it exists also what
purpose and function it provides to the company
blh start dgn : Our mission is to provide bla2
should be
specific and concise
, and it should provide a clear sense of direction for the organization's day-to-day activities.
Developing IS goals and strategies
The
goals
describe
how the IS will achieve the vision and mission
.
The
strategies
are
detailed directional statements
that explain
how the IS will achieve the goals
.
example:
Vision: "To be the
leading provider of innovative
and reliable technology solutions (specific application) in the industry"
Mission: "To
provide top-quality technology solutions
and services to our clients, enabling them to achieve their business objectives and stay ahead of their competition"
Goals:
Expand our offerings to include the
latest technologies
and services
Increase
customer satisfaction by providing personalized and efficient
support
Build
partnerships with leading technology vendors
to offer the best solutions to our clients
Strategies:
Invest in
research and development to stay ahead of the technology
curve
Offer continuous
training and development opportunities
to our team to ensure their expertise in the latest technologies
Foster
long-term relationships with clients
through regular communication and follow-ups to understand their evolving needs
Implement a robust
quality control process
to ensure the reliability and efficiency of our technology solutions.
Determine IS balanced scorecards and metrics
means figuring out the best way to
measure the performance
of IS in a company
There are several ways to do this, including
asking executives
what they believe is important and and
how they would measure success
Benchmark IS performance to industry standards, and using industry metrics like
➢IS budget as a percentage of revenue
➢IS spending per employee
➢Overall IS budget
➢IS comparison with last year
best method for measuring IS performance is
using a balanced scorecard
method that looks at four different areas: financial, customer, internal process, and innovation.
3.2 Develop IS plan
Develop business application direction
done by first identifying the principles that wil
l guide the business application
area. Principles are a
reflection of the general culture and values
of the company.
For example, if a company
values innovation and efficiency
, then one of its principles for the business application area could be to i
mplement cutting-edge technology
solutions that streamline processes and
increase productivity.
Once the principles have been established, the
specific direction for the business application area can be determined.
This could involve
implementing new software or hardware systems
, updating existing systems, or
exploring new areas of technology
that can help the company meet its goals and objectives.
Custom Vs. Packaged Business Application Direction
It refers to the choice between using
custom-built business applications
or using
commercially available packaged applications
.
Custom-built business applications
are
unique
and
tailored to the specific needs
of a business.
They are often
developed in-house or by a third-party
software development company
These applications are built to meet the e
xact requirements of a business and can offer greater flexibility
and customization options.
packaged business applications
are pre-made, commercial off-the-shelf software
solutions that are designed to meet the needs of multiple businesses
.
These applications are widely available, often less expensive, and can be implemented quickly.
Develop business application direction
Determine the specific direction for the business applications.
The company
wants to increase sales
and improve the customer experience through its e-commerce platform.
Assess the current situation and identify any weaknesses in the business applications.
he company realizes that its c
urrent e-commerce platform is slow
, difficult to use, and not mobile-friendly.
Review the existing principles that guide the business applications and identify any gaps.
The company believes in
providing a seamless customer experience
and values innovation and simplicity.
Identify specific areas that need to be changed to achieve the desired business application direction.
The company identifies the need to
improve the speed
and ease of use of the platform, as well as making it mobile-friendly.
Evaluate various options for achieving the desired direction, including:
Description of each
option
Advantages
and
disadvantages
of each option
Estimated costs and resources
required for each option
The company
considers several options
, such as developing a new platform from scratch, acquiring an existing platform, or partnering with a technology provider.
Analyze the best option based on the evaluation and implement it to achieve the desired business application direction.
The company evaluates each option by considering the description, advantages, disadvantages, cost, and resource estimates. Based on this analysis, they make a decision on the best option to move forward with.
Develop technical infrastructure direction
refers to the process of determining the direction of your technical infrastructure, which includes the hardware, software, and networks
To support this vision, the company needs to have a technical infrastructure that is up-to-date and can accommodate new technology advancements. The company can start by reviewing its
current technical infrastructure
and
identifying any weaknesses
that need to be addressed. Then, the company can create a plan to
implement the necessary updates
and advancements to its technical infrastructure, such as
executive summary
, architecture overview, client architecture, workgroup server, etc. This will ensure that the company s
tays ahead of the technology curve
and remains on track to achieve its vision.
Develop organizational direction
refers to creating a plan for
how the IT department within a company will support the business systems
and computing architecture (blueprint)
This plan includes
identifying the
processes, people, organization structure, company culture, technology,
and metrics that are necessary to support the IT operations
The goal is
to ensure that the IT department is
aligned with the overall goals
of the company and can effectively support its technology needs.
Develop IS process direction
refers to creating a plan for improving the information technology (IT) processes within a company.
For example, one principle could be to prioritize efficiency and another could be to p
rioritize customer satisfaction
. These principles would then inform the decision making around which IT processes need
improvement and how those improvements should be made.
Develop prioritization process :fire:
common prioritization processes:
Squeaky wheel:
This process prioritizes IT projects b
ased on who is complaining the loudest
. Whichever group is making the most noise about their project gets the attention of the IT department.
First in, first out:
This process prioritizes IT projects
based on the order in which they were submitted
. The first project that was submitted is worked on first, followed by the next project, and so on.
Consensus:
This process involves the
IT Steering Committee agreeing on what the most important project is
. The decision can be influenced by politics, as different groups may try to push their own projects to the top of the list.
Return on Investment:
This process prioritizes IT projects
based on the estimated return on investment (ROI)
. The goal is to add objectivity and business value into the selection criteria. However, the accuracy of the prioritization depends on how well the benefits of each project have been estimated
3.3 Identify IS projects
This refers to identifying potential IT projects that could be undertaken by the company,
such as new business applications, infrastructure upgrades, changes to the organization, or improvements to processes.
The
costs of each project
are estimated, as well as the
potential benefits
for the business.
Using the prioritization process (such as return on investment), the company will then rank the projects in order of priority, with the highest priority projects being those that are expected to bring the greatest benefits and return on investment.
However, the company may
not have unlimited resources
to allocate to these projects, so it will
need to balance the list of projects against the resources available
. For example, if the company h
as limited funding and staffing resources
, it may not be able to undertake all of the projects on the list.
In this case, the company would prioritize the projects and only work on the most important ones that can be accomplished with the resources available.
Prioritize IS projects
Economic value and strategic value
Economic value refers to the tangible financial benefits that a project is expected to bring to the organization, such as cost savings, increased revenue, or reduced risk
Strategic value, on the other hand, refers to the intangible benefits that a project is expected to bring to the organization, such as improved customer satisfaction, enhanced brand reputation, or increased competitiveness.
Potential
contribution and Degree of dependence of the
business on IS/IT application
3.4 Implementation Strategy :fire:
How to implement the project that have been prioritise
Centrally Planned: This approach involves central coordination by senior management, where IT decisions are made at the highest level of the company.
Leading Edge: This approach focuses on using technology to create a competitive advantage for the company.
What the current technology available outside, bcs org lain pakai system tu depa pun nk ikut
Free Market: This approach allows each business unit to make its own IT decisions, based on what it believes is best for its particular needs.
Business unit only know what is needed,
depa yg hadap daily
Monopoly: This approach involves the centralized IT management having control over data integration and making decisions that impact the entire company.
This can lead to more efficient and cost-effective IT operations, but can also limit innovation and restrict the ability of business units to make independent decisions.
Scarce Resource: This approach involves the company implementing a financial strategy to control its spend on IT.
Looking at the budget, must go through the financial department first
Not necessarily implement satu ja, integration pun blh. Cth management kdg xtau psal budget, jdi kna combine ngn financial department, dependent on the case given to u