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In the spectrum of organizational change, which is the most radical type of change: automation, rationalization of procedures, business reengineering, or paradigm shifts? (you are expected to read an article about this question) .. at least 3000 words

Overview:

“What can we do to make our business survive and grow?”

This is the question that David Chaudron, PhD has considered as the most asked but leased answered question in business today. In his article Begin at the beginning in organizational change, he stated that the world is fast shifting into something he believed too hard to easily forecast with an attached hundred opportunities and pitfalls passing by each moment. “To add to this confusion, there are hundreds, if not thousands of techniques, solutions and methods that claim to help business improve productivity, quality and customer satisfaction. A company President, CEO or business owner has so many choices in these buzzwords, whether they are called Total Quality Management, Customer Satisfaction, Re-engineering or Teambuilding. They are like new shoppers in a giant grocery store: They are hungry, but there are so many brands, sizes and varieties you don’t know what to buy”, he said.
Chaudron said that in response to this confusion stated above, many had done nothing. Majority is often afraid of making the wrong choices, thus making them decide to do nothing at all. Some, as for alternative, change the strategies they bring into play every few months, using the “program du’jeur” – a method of organizational change otherwise known as MBS (Management by Best Seller) as he explain it. “Neither of these responses helps the organization in the long run. Changing nothing will produce nothing. Implementing a different buzzword (Total Quality, Just in Time, Re-engineering, etc.) every few months often creates a “whipsaw” effect that causes mass confusion among your employees. These buzzwords are often a hammer in search of a nail, techniques applied with no clear focus as to the why, expected results or return on investment”.
“One of the organizations we consulted with started on this path. Senior management proclaimed in a memo that Total Quality should be a way of life. One senior vice president declared that he wanted 25% of his organization using Total Quality tools within a year. This caused tremendous excitement in the organization, However, the follow-through was delayed, occasionally inappropriate and sometimes not there. Many employees became discouraged with the process and considered it just another management fad. With the next business downturn, virtually all training had stopped and little enthusiasm was left.
Other organizations clearly focus on technical problems and on improving what they had. They are initially successful, but become victims of their own success. I call this an improved, planned incremental approach. Their initial quality improvement teams may be so successful they rapidly create more teams, without the qualitative organization-wide changes (re-engineering) necessary to sustain a permanent effort.
One organization we worked with had over 70 quality improvement teams in a plan with only 300 employees. They had shown little results after their first successes, and asked us what their next steps should be. We suggested the union’s leadership in their efforts, look at restructuring their organization along more product-focused lines, and possibly start profit sharing. They were not interested in taking any of these actions. A few months later, its parent company shut down the site, partly because of its poor productivity.
Organizations need to move beyond the buzzwords into deciding what actions they need to perform that will help them grow and develop. In response to this problem, this article will provide you a framework for coping with organizational change independent of buzzwords or the latest management fad. Organizations must first decide on the framework their organizational change long before they choose a buzzword to implement”, he added.

Shaping and anticipating the future
This is he said as the first level of organizational change that one must consider. “Organizations start out with few assumptions about the business itself, what it is "good" at, and what the future will be like.”
Management generates alternate "scenarios" of the future, defines opportunities based on these possible futures, assesses its strengths and weaknesses in these scenarios changes its mission, measurement system etc. More information on this is in the next article, "Moving from the Future to your Strategy. ", Chauron stated.
Defining what business(es) to be in and their "Core Competencies
This second level is what he said that the many attempts at strategic planning start at this level, either assuming that:
1) the future will be like the past or at least predictable;
2) the future is embodied in the CEO's "vision for the future";
3) management doesn't know where else to start;
4) management is too afraid to start at level 1 because of the changes needed to really meet future requirements;
5) the only mandate they have is to refine what mission already exists.
After a mission has been defined and a SWOT (strengths, weaknesses, opportunities and threats) analysis is completed, an organization can then define its measures, goals, strategies, etc. More information on this is in the next article, "Moving from the Future to your Strategy."
Reengineering (Structurally Changing) Your Processes
This is the third level as Chaudron explained: "Either as an aftermath or consequence of level one or two work or as an independent action, level three works focuses on fundamentally changing how work is accomplished. Rather than focus on modest improvements, reengineering focuses on making major structural changes to everyday with the goal of substantially improving productivity, efficiency, quality or customer satisfaction. To read more about level 3 organizational changes, please see "A Tale of Three Villages".”.
Incrementally Changing your Processes
The level 4 organizational changes are focusing in making many small changes to existing work processes. Oftentimes organizations put in considerable effort into getting every employee focused on making these small changes, often with considerable effect. Unfortunately, making improvements on how a buggy whip for horse-drawn carriages is made will rarely come up with the idea that buggy whips are no longer necessary because cars have been invented. To read more about level 4 organizational changes and how it compares to level 3, please see "A Tale of Three Villages."

Chaudron said, “One organization we consulted with has had a more positive experience with the incremental approach. We trained an internal facilitator, helped them deliver training in a just-in-time fashion, and had them focus on specific technical problems. The teams management formed reduced initial quality defects by 48%.
The disadvantages of such an incremental approach include avoiding structural, system-wide problems, and assumes existing processes need modest improvement. In addition, using incremental approaches can be frustrating to employees and management if (pick a buzzword) does not catch on in the organization. As a result of these disadvantages, many organizations experience a high risk of failure in the long run.”
What level do I choose?
“These levels have much of the same goals: increasing customer satisfaction, doing things right the first time, greater employee productivity, etc. Despite these similarities, they differ substantially in the methods they use to achieve these goals.
Levels one through three, on one hand, focuses on "big picture" elements such as analysis of the marketplace, out-sourcing, purchase/sale of subsidiaries, truly out-of-the box" thinking and substantial change in the management and support systems of the company . In my experience, companies that use these methods tend to have a high need for change, risk-tolerant management, relatively few constraints and have substantial consensus among its management on what to do. Types of industries include those whose environment requires rapid adaptation to fast-moving events: electronics, information systems and telecommunication industries, for example”, he explained.
Companies using mostly incremental tools (level 4) have management that perceives only a modest need for change, is relatively risk-avoidant, has many constraints on its actions and only has a modest consensus among themselves on what to do. Instead of focusing on new opportunities, they wish to hone and clarify what they already do. Types of industries that often use these methods include the military, aerospace, and until recently, health care organizations. Those organizations whose strategic planning solely focuses on refining an existing mission statement and communicating the paragraph also fall into using incremental (level 4) methods.
When discussing the continuum of structural vs. incremental change, its important to realize that what labels companies use are not important here. One must carefully observe their actions. Many companies have slogans, "glitter" recognition programs and large budgets to provide "awareness" training in the buzzword they are attempting to implement. The key, however, is to note what changes they are really making. If management is mostly filling training slots with disinterested workers and forming a few process improvement teams, they are using level three methods. If they are considering changes in business lines, re-organizing by customer instead of by function, or making major changes in how the everyday employee is being paid, they are using level 3 methods.
Unfortunately, all of this discussion hinges in management's belief about how much change is necessary. This belief often hinges on their often unassessed beliefs of 1) how well the organization performs compared to other organizations (a lack of benchmarking); and 2) what the future will be.
As a result, my recommendation is that organizations conduct scenario/strategic planning exercises (level 1) anyway, even if they have already decided that level 4 (incremental) methods will suffice to solve their problems. This way management can be aware of the limitations of the lower-level methods they are using and realize when it is best to abandon these lower-level methods for something more substantive.
Based on this exercise, comparison of existing internal processes with world-class examples (benchmarking) and market analysis, management may come to realize how much change is necessary. The greater the gap between what the organization needs to be and how it currently operations and what businesses it is in, the more it suggests that greater change is necessary, and greater restructuring is necessary.
This decision is very important. IBM in the mid 1980’s felt that the future would be much like the past and a result didn't have to change much. They did not realize how much microcomputers would replace the functions of their bread-and-butter business, the mainframe. The net result was tens of thousands of people were laid off, with the company suffering the first losses in its history.
Goals
Based on whatever level work you are doing, the opportunities that are found need to be evaluated to determine which of them best suit the existing and future capabilities of the organization and provide the most "bang for the buck" in terms of improvement in your measures of success. In addition, goals need to have the resources and management determination to see to their success.
Goals also need to be SMART, that is:
Specific - concrete action, step-by-step actions needed to make the goal succeed
Measurable - observable results from the goal's accomplishment
Attainable - The goal is both possible and is done at the right time with sufficient attention and resources
Realistic- The probability of success is good, given the resources and attention given it.
Time-bound- The goal is achieved within a specified period of time in a way that takes advantage of the opportunity before it passes you by.

Some examples include:
• “We will expand into the polystyrene market within the next five years and achieve 20% market share”
• We will decrease the time from research to customer delivery by 50% within two years.
• We will increase the quality of our largest product by 20% in three years.
Strategies
Where goals focus on what, strategies focus on how. Some examples include:
“We will re-engineer our research and development process”
“We will evaluate and improve our sales and marketing department”
We will conduct a SWOT analysis and then define our core competencies

Additional examples of strategies are included in the "Moving from the Future to your Strategy" chapter. Wait a second. Aren't goals and strategies really the same. They are in one sense as they both need to be SMART. As what you might guess, the goals of a level are achieved by creating strategies at the lower levels.
The Measurement System
Without measures of success, the organization does not know if it has succeeded in its efforts. Someone once said, “What gets measured gets improved.” Someone else said, “If you don’t know where you are going, any road will get you there.”
For more information on measurement systems and their place in organizational change, please see the "Balanced Scorecard" article, along with a number of articles where employee surveys are used.
Implementation and Organizational Change
The success of any organizational change effort can be summed into an equation:

Success = Measurement X Method X Control X Focused Persistence X Consensus
Like any equation with multiplication, a high value of one variable can compensate for lower levels on other variables. Also like any equation with multiplication, if one variable equals 0, the result is zero.
On employee involvement
Some organizations involve employees right from the start, where they have significant influence in the strategic plan of the organization. This kind of involvement tends to reduce employees’ resistance, which is always a very important factor in the success of any organizational change. Such organizations as Eaton, Eastman Chemical and Rohm and Haas have used such an approach.
Such employee involvement, however, might also be threatening to management’s traditional power. Some organizations decide employee involvement will be limited to implementing the strategic decisions management makes, or further limit involvement to purely task-focused teams working on technical problems. Many aerospace organizations have used this approach.
Focused persistence, good project management and the sequence of implementation
The sequence of implementation is also an important factor. There are four basic options, with many variations of them. The first involves the entire organization from the start, with the whole organization intensively working at once on making the change. Ford Motor Company is currently restructuring its entire organization, moving from planning to implementation in nine months.
Another option is a more relaxed approach, in which divisions or business units of the organization go at their own pace. This option can often become an incremental approach like the first or second village. Many conglomerates or other companies with diverse operations try this approach.
A third option is similar to the previous one, with the focus being on individual business units doing the implementation. In this case, however, business units implement roughly the same things in roughly the same time schedule. Unisys, the computer company, is using this method on some of its organizational change efforts.
A fourth option is to create a pilot project in one division or business unit, learn from its mistakes, and then apply those lessons to the rest of the organization. Examples of this option include the Saturn car facility at General Motors and the Enfield plant of Digital Equipment Corporation. It’s important to note here that creating pilot projects is a high-risk business. In both cases, the lessons learned from these pilot projects have not gained widespread acceptance in their parent companies due to their heavily ingrained cultures.

Here's some information about the history of Paradigm Shifts:

According to Wikipedia "Paradigm shifts tend to be most dramatic in sciences that appear to be stable and mature, as in physics at the end of the 19th century. At that time, physics seemed to be a discipline filling in the last few details of a largely worked-out system. In 1900, Lord Kelvin famously stated, "There is nothing new to be discovered in physics now. All that remains is more and more precise measurement." Five years later, Albert Einstein published his paper on special relativity, which challenged the very simple set of rules laid down by Newtonian mechanics, which had been used to describe force and motion for over two hundred years. In this case, the new paradigm reduces the old to a special case in the sense that Newtonian mechanics is still a good model for approximation for speeds that are slow compared to the speed of light. Philosophers and historians of science, including Kuhn himself, ultimately accepted a modified version of Kuhn's model, which synthesizes his original view with the gradualist model that preceded it. Kuhn's original model is now generally seen as too limited.

Kuhn himself did not consider the concept of paradigm as appropriate for the social sciences. He explains in his preface to "The Structure of Scientific Revolutions" that he concocted the concept of paradigm precisely in order to distinguish the social from the natural sciences (p.x). He wrote this book at the Palo Alto Center for Scholars, surrounded by social scientists, when he observed that they were never in agreement on theories or concepts. He explains that he wrote this book precisely to show that there are no, nor can there be any, paradigms in the social sciences. Mattei Dogan, a French sociologist, in his article "Paradigms in the [Social Sciences]," develops Kuhn's original thesis that there are no paradigms at all in the social sciences since the concepts are polysemic, the deliberate mutual ignorance between scholars and the proliferation of schools in these disciplines. Dogan provides many examples of the non-existence of paradigms in the social sciences in his essay, particularly in sociology, political science and political anthropology."

Conclusion:
The automation, rationalization of procedures, business reengineering, or paradigm shift, as I understand through the help of those articles I have read, are all considered radical type of change that are present to any type of organizational transform. These are all to be observed, as these are inevitable, and be acted accordingly. But as I gone through my readings, as I for my own point of view and understanding, I would conclude that the most radical type of change is the paradigm shift. ^_^

References:

David Chaudron, PhD. Begin at the beginning in organizational change
http://www.organizedchange.com/decide.htm

Michael W. Durant, CCE, CPA. Managing Organizational Change.
http://www.crfonline.org/orc/pdf/ref4.pdf

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the nature..

Subject: Assignment 2 (Due: before November 29, 2009, 13:00hrs) Tue Nov 10, 2009 8:19 am
1. What should be the nature of the relationship between the business plan and the IS plan? (at least 2000 words)

Business Plan
Business planning is about results. You need to make the contents of your plan match your purpose. Don’t accept a standard outline just because it’s there.A business plan is any plan that works for a business to look ahead, allocate resources, focus on key points, and prepare for problems and opportunities.
Unfortunately, many people think of business plans only for starting a new business or applying for business loans. But they are also vital for running a business, whether or not the business needs new loans or new investments. Businesses need plans to optimize growth and development according to priorities. A simple startup plan includes a summary, mission statement, keys to success, market analysis, and break-even analysis. This kind of plan is good for deciding whether or not to proceed with a plan, to tell if there is a business worth pursuing, but it is not enough to run a business with.
Is there a standard business plan?
A normal business plan (one that follows the advice of business experts) includes a standard set of elements, as shown below. Plan formats and outlines vary, but generally a plan will include components such as descriptions of the company, product or service, market, forecasts, management team, and financial analysis. Your plan will depend on your specific situation. For example, description of the management team is very important for investors while financial history is most important for banks. However, if you’re developing a plan for internal use only, you may not need to include all the background details that you already know. Make your plan match its purpose.
What is most important in a plan?
It depends on the case, but usually it’s the cash flow analysis and specific implementation details.
• Cash flow is both vital to a company and hard to follow. Cash is usually misunderstood as profits, and they are different. Profits don’t guarantee cash in the bank. Lots of profitable companies go under because of cash flow problems. It just isn’t intuitive.
• Implementation details are what make things happen. Your brilliant strategies and beautifully formatted planning documents are just theory unless you assign responsibilities, with dates and budgets, follow up with those responsible, and track results. Business plans are really about getting results and improving your company
Rationale for an Information Systems Plan
Many enterprises do not have model-based information systems development environments that allow system designers to see the benefits of rearranging an information systems development schedule. Consequently, the questions that cannot be answered include:
• What effect will there be on the overall schedule if an information system is purchased versus developed?
• At what point does it pay to hire an abnormal quantity of contract staff to advance a schedule?
• What is the long term benefit from 4GL versus 3GL?
• Is it better to generate 3GL than to generate/use a 4GL?
• What are the real costs of distributed software development over centralized development?
If these questions were transformed and applied to any other component of a business (e.g., accounting, manufacturing, distribution and marketing), and remained unanswered, that unit's manager would surely be fired!
We not only need answers to these questions NOW!, we also need them quickly, cost effectively, and in a form that they can be modeled and changed in response to unfolding realities. This paper provides a brief review of a successful 10-step strategy that answers these questions.
Too many half-billion dollar organizations have only a vague notion of the names and interactions of the existing and under development information systems. Whenever they need to know, a meeting is held among the critical few, an inventory is taken, interactions confirmed, and accomplishment schedules are updated.
This ad hoc information systems plan was possible only because all design and development was centralized, the only computer was a main-frame, and the past was acceptable prologue because budgets were ever increasing, schedules always slipping, and information was not yet part of the corporation's critical edge.
Rather than having centralized, long-range planning and management activities that address these problems, today's business units are using readily available tools to design and build ad hoc stop-gap solutions. These ad hoc systems not only do not interconnect, support common semantics, or provide synchronized views of critical corporate policy, they are soon to form the almost impossible to comprehend confusion of systems and data from which systems order and semantic harmony must spring.
Not only has the computing landscape become profoundly different and more difficult to comprehend, the need for just the right--and correct--information at just the right time is escalating. Late or wrong information is worse than no information.
Information systems managers need a model of their information systems environment. A model that is malleable. As new requirements are discovered, budgets modified, new hardware/software introduced, this model must be such that it can reconstitute the information systems plan in a timely and efficient manner.
Characteristics of a Quality ISP
A quality ISP must exhibit five distinct characteristics before it is useful. These five are presented in the table that follows.
Characteristic Description
Timely The ISP must be timely. An ISP that is created long after it is needed is useless. In almost all cases, it makes no sense to take longer to plan work than to perform the work planned.
Useable The ISP must be useable. It must be so for all the projects as well as for each project. The ISP should exist in sections that once adopted can be parceled out to project managers and immediately started.
Maintainable The ISP must be maintainable. New business opportunities, new computers, business mergers, etc. all affect the ISP. The ISP must support quick changes to the estimates, technologies employed, and possibly even to the fundamental project sequences. Once these changes are accomplished, the new ISP should be just a few computer program executions away.
Quality While the ISP must be a quality product, no ISP is ever perfect on the first try. As the ISP is executed, the metrics employed to derive the individual project estimates become refined as a consequence of new hardware technologies, code generators, techniques, or faster working staff. As these changes occur, their effects should be installable into the data that supports ISP computation. In short, the ISP is a living document. It should be updated with every technology event, and certainly no less often than quarterly.
Reproducible The ISP must be reproducible. That is, when its development activities are performed by any other staff, the ISP produced should essentially be the same. The ISP should not significantly vary by staff assigned.

Whenever a proposal for the development of an ISP is created it must be assessed against these five characteristics. If any fail or not addressed in an optimum way, the entire set of funds for the development of an ISP is risked.
The ISP Steps
The information systems plan project determines the sequence for implementing specific information systems. The goal of the strategy is to deliver the most valuable business information at the earliest time possible in the most cost-effective manner.
The end product of the information systems project is an information systems plan (ISP). Once deployed, the information systems department can implement the plan with confidence that they are doing the correct information systems project at the right time and in the right sequence. The focus of the ISP is not one information system but the entire suite of information systems for the enterprise. Once developed, each identified information system is seen in context with all other information systems within the enterprise.
Information Systems Plan Development Steps
Step Name Description
1. Create the mission model The mission model, generally shorter than 30 pages presents end-result characterizations of the essential raison d=etre of the enterprise. Missions are strategic, long range, and a-political because they are stripped of the Awho@ and the Ahow.@
2. Develop a high-level data model The high-level data model is an Entity Relationship diagram created to meet the data needs of the mission descriptions. No attributes or keys are created.
3. Create the resource life cycles (RLC) and their nodes Resources are drawn from both the mission descriptions and the high level data model. Resources and their life cycles are the names, descriptions and life cycles of the critical assets of the enterprise, which, when exercised achieve one or more aspect of the missions. Each enterprise resource Alives@ through its resource life cycle.
4. Allocate precedence vectors among RLC nodes Tied together into a enablement network, the resulting resource life cycle network forms a framework of enterprise=s assets that represent an order and set of inter-resource relationships. The enterprise Alives@ through its resource life cycle network.
5. Allocate existing information systems and databases to the RLC nodes The resource life cycle network presents a Alattice-work@onto which the Aas is@ business information systems and databases can be Aattached.@ See for example, the meta model in Figure 2. The Ato-be@ databases and information systems are similarly attached. ADifference projects@ between the Aas-is@ and the Ato-be@ are then formulated. Achievement of all the difference projects is the achievement of the Information Systems Plan.
6. Allocate standard work break down structures (WBS) to each RLC node Detailed planning of the Adifference projects@ entails allocating the appropriate canned work breakdown structures and metrics. Employing WBS and metrics from a comprehensive methodology supports project management standardization, repeatability, and self-learning.
7. Load resources into each WBS node Once the resources are determined, these are loaded into the project management meta entities of the meta data repository, that is, metrics, project, work plan and deliverables.
8. Schedule the RLC nodes through a project management package facilities. The entire suite of projects is then scheduled on an enterprise-wide basis. The PERT chart used by project management is the APERT@ chart represented by the Resource Life Cycle enablement network.
9. Produce and review of the ISP The scheduled result is predicable: Too long, too costly, and too ambitious. At that point, the real work starts: paring down the suite of projects to a realistic set within time and budget.
10. Execute and adjust the ISP through time. As the ISP is set into execution, technology changes occur that affect resource loadings. In this case, only steps 6-9 need to be repeated. As work progresses, the underlying meta data built or used in steps 1-5 will also change. Because a quality ISP is Aautomated@ the recasting of the ISP should only take a week or less.
If the pundits are to be believed, that is, that the right information at the right time is the competitive edge, then paying for an information systems plan that is accurate, repeatable, and reliable is a small price indeed.
It is precisely because enterprises have transformed themselves from a project to a release environment that information systems plans that can be created, evolved, and maintained on an enterprise-wide basis are essential.
There are four major sets of activities within the continuous flow process environment. The user/client is represented at the top in the small rectangular box. Each of the ellipses represents an activity targeted to a specific need. The four basic needs are:
• Need Identification
• Need Assessment
• Design
• Deployment
ISP Summary
In summary, any technique employed to achieve an ISP must be accomplishable with less than 3% of the IT budget. Additionally, it must be timely, useable, maintainable, able to be iterated into a quality product, and reproducible. IT organizations, once they have completed their initial set of databases and business information systems will find themselves transformed from a project to a release environment.
The continuous flow environment then becomes the only viable alternative for moving the enterprise forward. It is precisely because of the release environment that enterprise-wide information systems plans that can be created, evolved, and maintained are essential.

References:
Tim Berry.http://articles.bplans.com/writing-a-business-plan/what-is-a-business-plan/33
Michael M. Gorman. 1999. Information Systems Plan: The Bet-Your-Business Project. September 1, 1999. Available at: http://www.tdan.com/view-articles/5262
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Assignment 9

The pace of change seems to increase relentlessly, especially changes involving information technology. Using your crystal ball, identify and discuss three changes likely to have substantial impact on your school services in the next three years.
=====================================================================================================

There are a number of ways that technology can enhance service-learning programs while conserving program resources:


* Program management
For example, databases can help program staff to track student placements, community partner contact information and the academic calendar.

* Community partner participation
For example, a well-publicized web site can describe the service-learning programs, provide easy access to forms for registering a community project and highlight stories of positive community partner experiences.

* Curricular tools
For example, online modules and case studies can enhance classroom and community-based learning.

* Community service
Meaningful community service doesn’t necessarily have to involve regular or ongoing face-to-face contact between student and community partner. For example, after meeting with community students in a web design course with a service-learning component

* Reflection
For example, electronic discussion groups can enable students across different service-learning sites to regularly communicate, share their experiences and respond to reflective questions posed by faculty and one another.

* Program evaluation
For example, online surveys can enable students and community partners to respond to questions about their experiences and the impact of the program. Databases can facilitate the tracking and storage of program evaluation information.
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Assignment 8

fast forward... you were hired and have been tasked to develop a strategic information systems plan for a company. The company officers have extended an invitation for you to meet with them to discuss the direction of the company. Before this meeting, they have asked that you provide a list of questions with some explanation about the "why" of the question so they can be prepared, thus maximizing the output from this meeting.

Develop a list of questions you would ask the officers of the company and give an explanation and justification for each question. (1000 words)

Quick Overview:

Strategic Information System Planning as for any other system do begin with the identification of the needs- whether needs of the organization or need of the system itself. To be more efficient and effective, development of any type of computer-based system should be a response to need--whether at the transaction processing level or at the more complex information and support systems levels. The mentioned planning for information systems is much akin to strategic planning in management.

Note that objectives, priorities, and authorization for information systems projects need to be formalized. The systems development plan should identify specific projects slated for the future, priorities for each project and for resources, general procedures, and constraints for each application area. Furthermore, the strategic plan must be precise enough to make possible the understanding of each application and to know where it stands in the order of development. Also, it should be flexible so that priorities can be adjusted if necessary in some cases. I am also referring to the need for continuously updating and improving IS architecture.

I have read that “SISP is the analysis of a corporation’s information and processes using business information models together with the evaluation of risk, current needs and requirements.” (Pant, Hsu, 1995). The result is an action plan showing the desired course of events necessary to align information use and needs with the strategic direction of the company (Battaglia, 1991).

The following are the questions I am going to raise during the said meeting. It is grouped according to the areas a question is concerned to.

1. Study Internal Business Environment
This is a prerequisite to determining the business IS needs. The following questions are to be considered.

a. What is the mission and objectives of the organization?


* It is important to know and understand the organization’s mission and objectives for me to be able to align the Strategic Information System Plan I am looking to work with.

b. What are the organization’s business strategies and plans? Define all of them. If possible, may I have a copy it. It would serve as my references.


* I would say that the organization’s business strategies and plans are considered requirements for supporting the overall IT strategy. Thus, it is really important in making the SISP.

c. What are the company’s major business activities?


* In my readings and as observed, there is a growing realization that the application of information technology (IT) to a firm’s strategic activities has been one of the most common and effective ways to improve business performance. But before it is made, I must consider the business’ major activities to be able to identify appropriate IT to use.
* It is also the basic block that is to be considered in the SISP formulation.
* It is a form of Business Activity Analysis which decomposes an enterprise into its parts. Information systems are derived from this analysis.

d. Define the organizational environment.


* This is a summary of needs of each major functional department. We need to document the overview of the present systems, assess effectiveness of the recent information services, review functional operations of the organization, and assess present operations. Also, evaluate competitive IT position.
* This assessment of present operations, architecture, and capacity would help me identify the constraints of our SISP.

e. What are the organization’s core competencies?


* It is referred to a Business and Competitive Assessment Study. I need this to know the competitive environment and to identify competitive information opportunities of the organization so that I can decide/analyze how to use information more competitively.

f. Define its critical success factors.


* These are applications which are critical for future success. Examples: computer-integrated manufacturing, links to suppliers, etc.)
* These are applications which may be of future strategic importance. Examples: electronic data interchange with wholesalers, electronic mail, etc.)
* These are applications which are critical to sustaining existing business. Examples: employee database, maintenance scheduling, etc.)

g. Label the internal value chain.


* I have read an article of Michael Porter (Porter, 1984) about value chain. He considered this as Value Chain Analysis. According to him, ‘every firm is a collection of activities that are performed to design, produce, and market, deliver, and support its product. All these activities can be represented using a value chain.”
* This helps in identifying critical points of inter-departmental collaboration. In such reason, this is vital to consider in making my SISP.


2. Study External Business Environment
The following questions I may throw under this area will help us or the organization to focus attention on the forces and pressure groups that the latter encounters. These external forces put forth an especially strong influence on the business strategy of the said organization.

a. What is the status of the organization about its competency against to the other industry? In a nutshell, what is your industry background? And what is the competitive position of your organization in the industry it belongs to?


* We should acknowledge limitations and hopefully initiate a corrective action if necessary. The parallel formulation of information systems development tasks is expected to formalize and structure these steps and provide automated support for carrying those alternative solutions out in an interactive manner. This will be included in the SISP.
* If competent, we should give strong consideration on it and involve these in making the SISP.

b. Does your management give the critical success factors significant attention?


* Critical Success Factor is an activity that should receive constant and careful attention from management. Rockart (1979) defines critical success factors as being ‘for any business the limited number of areas in which results, if they are satisfactory, will ensure successful competitive performance for the organization.’

c. How well is the relationship of the organization to its major buyers and suppliers? How do you deal to them during business transaction?


* We should also identify the relationship of the organization towards its major buyers and suppliers. Remember, it is true that they are involved in your future Information System. Thus, it should be reflected on in making my SISP.


3. Internal IS/IT Environment
This is mainly comprised of the current and planned applications portfolio that supports the business.
a. What is the structure of your present IS organization?


* I should be able to familiarize the organization structure of the present IS so I would be able to relate to it and know the people I should contact/deal with f there is any more concerns left behind.

b. How well it is organized? How effective is the structure? Are you willing to re-engineer it?


* This is to assess the current IS organization. The assessment would result to whether re-engineer the structure if there is any undesired arrangement for the benefit of the new IS that we are looking forward to.

c. Is the skills and attitudes of people in your organization would not hinder the implementation of the proposed new Information System?


* This is to identify the risk/likeliness of having resistance to the new IS. It is good to identify it as early as possible.

d. How much is the budget allocated in this project? How good is your IT environment?


* It is a need to know the overall budget of the project. This is to identify the constraint in implementing it. This is to identify whether the organization has a good or bad IT environment.

These systems, as embedded in the business process, need to cater to the strategic demands of organizations, i.e., serving the business goals and creating competitive advantage as well as meeting their data processing and MIS needs. According to Pant and Hsu, “Note that the key point here is that organizations have to plan for information systems not merely as tools for cutting costs but as means to adding value.”(Pant, Hsu, 1995).


An appreciation to:

Somendra, Pant and Cheng Hsu, 1995). Strategic Information Systems Planning: A Review. Information Resources Management Association International. January 1995.
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Assignment 7

Google is a highly successful Internet business. Recently they have broadened their scope with a multitude of new tools. Research Google’s business model and answer the following questions below. You may add additional information not included in these questions.

Questions:

Questions :
Explain Google’s business model.
1. Who are their competitors?
2. How have they used information technology to their advantage?
3. How competitive are they in the market?
4. What new services do they offer?
5. What makes them so unique?
6. How competitive are they in the international market?

Explain Google’s business model.

Google have combined software innovation with a brand new Internet business model. So basically the key to Google’s success has been and probably always will be the fact that they know how to make money without being evil. That is the part of their business model. Everyone is happy, while Google is making millions from the advertising links they put up, the owners of those links know that people are going to their websites, and the users get to enjoy a free powerful search engine which gives them the information that they want in a short amount of time and in an accurate way.

Not only is Google easy to use and fair to the public but it is also very fast. It only takes a fraction of a second to get the information that you need. Google has worked very hard on getting rid of excess bit and byte from their pages to make it go as fast as it possibly can, it has been breaking its own speed records. While other companies thought large servers would be the quickest way to deal with huge amounts of data Google realized that networked PCs were faster. While other search engines stuck with the speed limits for the search algorithms Google developed new algorithms which proved there was no limit as to how fast you could go. Google still is trying to make it faster.


1. Who are their competitors?

Yahoo Vs. Google
Yahoo and Google are battling over the same Web visitors and advertising dollars. There currently is an $8 billion global search advertising business, which is expected to rise to $22 billion in five years, according to Piper Jaffray. Worldwide online brand advertising is expected to increase twenty one percent this year from $11.3 billion to $18.2 billion, according to Goldman Sachs. These two companies are using very different approaches while going after the same advertising dollars. Yahoo uses human editors or “surfers” to organize web sites into categories. However humans cannot index everything so they are partnered up with a third party search engine to provide answers when its human – powered listing do not suffice. Google is about its search engine, done only with PageRank. There is no human indexing involved. Yahoo has been using a program called the “Idea factory” to promote inventive thinking in their company, staffers are supposed to improve everything from the company’s products to its campus. On the other hand, Google assumes inventive thinking. For example, the engineers of Google are required to spend a day a week on a personal project. This is how they come up with services such as Google News, which is now attracting quite a few number of people. “One company is building tools that reflect how people are expressing themselves. The other is building tools that will help find needles in haystacks. One is facilitating community development. The other is facilitating data retrieval,” said Matt McAlister. Yahoo owns the world’s most popular website and believes in a multidimensional approach as it tries its best to be all things for all people. First it will identify what the people want and from there figure out which products to build or buy in order to have the visitors stay on their site as long as possible. Google on the other hand owns the world’s leading online search engine, its mission is to transform the way today’s world is storing and finding information. They are taking a laissez faire approach toward innovation; before they start trying to figure out how everything will fit into a business plan they work on their new products and ideas first.
While Yahoo’s sales team is now focusing on traditional partnerships, handholding with ad agencies, and has an internal telemarketing group whose responsibility is to call small agencies and companies to work with Yahoo. Google believes in classifying advertising that is based on technology rather than relationships. Both companies are currently prospering but Yahoo’s market capitalization is $51 billion while Google’s is $76 billion. Financial analysts and industry watchers believe both companies can be part of the Internet economy however they worry that Google, just like Yahoo, will someday go through awkward years.

Microsoft Vs. Google
Microsoft is also competing with Google because Google is now a major threat to their dominance. While Google was launching all of its products for free, Microsoft was trying to catch up in search doing a project which they spent $150 million on but Google and Yahoo keep on getting ahead with new innovations such as complete maps and satellite photos. Bill Gates is worried about how much Google will hurt Microsoft’s core of franchise, control of what users will do when they first turn on their computers. Microsoft was always very powerful because it had control of the Windows operating system, they would decide which products and services consumers saw first. And so Microsoft did not have to make better products than its competitors, just about equal. It won because it went after competitors’ business models, not their technology. Now Microsoft’s strong points seem useless against Google. The people at Microsoft are worried that a “Google Office” will come out. And now that Google has come up with a desktop search there is no need for the start button in Windows. "Google is interesting not just because of web search, but because they're going to try to take that and use it to get into other parts of software," says Gates. You no longer need a PC to be on Google, you can use a cellphone, television, etc… Microsoft cannot cost less than Google because Google is free. There is no easy way to make Google’s online advertisers use another service. "Microsoft can play its old game to compete with Linux and Apple. It has to play Google's game to compete with Google,” says a former Microsoft executive. So Microsoft is thinking of now offering online services on top of their existing software lineup to compete with Google but some analysts are worried that this will cause Microsoft’s business model to go down the drain.

2. How have they used information technology to their advantage?

Google believes in classifying advertising that is based on technology rather than relationships. How does Google use information technology to their advantage? Google is a business. Besides trying its best to satisfy its users, it has to find ways of generating services that is highly technology-based thus utilizing the use of technology.


Googles’ technologies have been able to sort through a large amount of growing information on the web and deliver it to its users for free, a service which returns accurate information in a very short amount of time.

3. How competitive are they in the market?

Google is only becoming more powerful. It has a high competency in the market. It has a desktop search utility on the way, a shopping engine, news aggregator, and webmail services. Google is also hoping to offer a new browser (GBrowser). It would include all the Google properties such as Gmail, Froogle, Google News, Picasa, and Blogger. This means that the user could get all of his or her business done without ever having to leave the Google environment. This new browser would be another way to destination Google, meaning more revenue because more ads would be looked at by more users. It would also help Google control both data and applications, surpassing Microsoft. Google might also launch its own PC which would not need any Microsoft software.

Of course to make this all happen Google needs more talented employees. They have created a hiring machine which hires about ten employees a day. There are three hundred recruiters, and to find new talent Google has organized software-code writing contests and has many billboards with math problems. Google has paid to have “aptitute tests” included in tech magazines so that engineers will submit their answers to the questions and send their resumes. They have been offering free food to the engineering students so that they will pay attention to them and not their competition. Google will have to keep on prospering with the help of its talented engineers and its great ideas for future products. It will be able to beat competition by using its technologies and everyone around the world will be glad to use what it has to offer.

4. What new services do they offer?

Google is a business. Besides trying its best to satisfy its users it has to find ways of generating the most revenue. Google does this in a few different ways. The first one is the advertising which happens on the right side of the page when you search on Google, a program called AdWords. The second is offering its search technology to others, they do this with a program called AdSense which anybody on the web can start using. The third way in which they make money is through its Google Search Appliance which they sell to their customers. This appliance delivers accurate search results throughout a number of documents. Meaning your company would have its own search engine and it would work just as well as google.com.

However Google isn’t just a popular search engine it also does many other things that come in hand to many people around the world. Some of Googles’ services include Alerts where you receive news and search results by e mail, Blog Search which finds blogs on people’s favorite topics, Book Search to find text of any books, Images where you can find images on the web, Maps where you find maps and directions, and News where you can find many news stories. Some of Google’s tools include Blogger where you can express yourself online, Earth where you can explore the world from your PC, Translate where you can view web pages in other languages, and Talk where you can IM and call friends from your PC. Google is global, besides its main Google.com it includes one hundred and two other international domains such as Google.de, Googdle.fr, and Google.co.uk. One hundred different languages are available.

5. What makes them so unique?

There are many other search engines that we may use. What makes Google unique is on how they utilize technology and never stops in finding ways to make searching reliable, efficient and enjoyable.

A good way to get many users interested in the search engine is making it really easy to use. Google believes they should hide the complexity of their powerful search engine from their users so that they will be left with a simple, understandable way to get the information they need. So not only is the interface clear and simple, but the pages load instantly, the way the search results are placed is not sold to anybody, and the advertising it relevant content which does not get in the user’s way. Google really does provide the best user experience possible, it refuses to make any changes that would not benefit the users that go to their site. "The perfect search engine," says Google co-founder Larry Page, "would understand exactly what you mean and give back exactly what you want." Google likes to be fair meaning they refuse to make money through search result ranking or inclusion. All of the advertising has to be on the right of the page, none in the actual search results. Also Google only lets ads be displayed if they have something to do with the results page. Meaning certain searches might not include ads on the right. Google believes that these sponsored ads can help the user find what they want, which is why they have to be relevant to the search results. They want neutrality; there is no reason for one link to be before another one just because its owners paid more money. Unlike some of its competitors, Google provides inclusion and frequent updating in their sites for free. Meaning anybody’s website could be in the search results if their website is related to what the user typed in the search box. And this is great because it makes the search results completely accurate.

6. How competitive are they in the international market?

Google is really a giant in its field. I have read an article that states that Bill Gates wishes he could have combined software innovation with a brand new Internet business model like Google did. Just imagine that even one of the greatest company- Microsoft that was always very powerful because it had control of the Windows operating system, they would decide which products and services consumers saw first- was considering Google as its great competitor.

Google is global; besides its main Google.com it includes one hundred and two other international domains such as Google.de, Googdle.fr, and Google.co.uk. One hundred different languages are available. With this statistics, it is to be conclude that Google is really competitive in the international market.
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Assignment 6

Identify and discuss the steps for "critical success factors" approach? (at least 1,500 words)


Review:

In Critical Success Factors (CSF), you may identify the things that really matter for success of your institution.

So, what is a Critical Success Factor? Critical Success Factors (CSF’s) are the critical factors or activities required for ensuring the success your
business. The term was initially used in the world of data analysis, and business analysis.


Most smaller and more pragmatic businesses can still use CSF’s but we need to take a different, more pragmatic approach. Critical Success Factors have been used significantly to present or identify a few key factors that organizations should focus on to be successful.

As a definition, critical success factors refer to "the limited number of areas in which satisfactory results will ensure successful competitive performance for the
individual, department, or organization”.


I have read that so many important matters can compete for your attention in business that it's often difficult to see the "wood for the trees". What's more, it can be extremely difficult to get everyone in the team pulling in the same direction and focusing on the true essentials.

In That's where Critical Success Factors (CSFs) can help. CSFs are the essential areas of activity that must be performed well if you are to achieve the mission, objectives or goals for your business or project.

By identifying your Critical Success Factors, you can create a common point of reference to help you direct and measure the success of your business or project.

As a common point f reference, CSFs help everyone in the team to know exactly what's most important. And this helps people perform their own work in the right context and so pull together towards the same overall aims.


I have read the idea of CSFs that was first presented by D. Ronald Daniel in the 1960s. It was then built on and popularized a decade later by John F. Rockart, of MIT's Sloan School of Management, and has since been used extensively to help businesses implement their strategies and projects.

Inevitably, the CSF concept has evolved, and you may have seen it implemented in different ways. This article provides a simple definition and approach based on Rockart's original ideas.

Rockart defined CSFs as: "The limited number of areas in which results, if they are satisfactory, will ensure successful competitive performance for the organization. They are the few key areas where things must go right for the business to flourish. If results in these areas are not adequate, the organization's efforts for the period will be less than desired."

He also concluded that CSFs are "areas of activity that should receive constant and careful attention from management."

Critical Success Factors are strongly related to the mission and strategic goals of your business or project. Whereas the mission and goals focus on the aims and what is to be achieved, Critical Success Factors focus on the most important areas and get to the very heart of both what is to be achieved and how you will
achieve it.
Using the Tool: Summary Steps

In reality, identifying your CSFs is a very iterative process. Your mission, strategic goals and CSFs are intrinsically linked and each will be refined as you developthem. Here are the summary steps that, used iteratively, will help you identify the CSFs for your business or project:
Step One:
Establish your business's or project's mission and strategic goals (click here for help
doing this.)

Step Two:
For each strategic goal, ask yourself "what area of business or project activity is essential to achieve this goal?" The answers to the question are your candidate CSFs.


Step Three: Evaluate the list of candidate CSFs to find the absolute essential elements for achieving success - these are your Criticial Success Factors.
As you identify and evaluate candidate CSFs, you may uncover some new strategic objectives or more detailed objectives. So you may need to define your mission,
objectives and CSFs iteratively.

Step Four:
Identify how you will monitor and measure each of the CSFs.

Step Five:
Communicate your CSFs along with the other important elements of your business or project's strategy.

Step Six:
Keep monitoring and reevaluating your CSFs to ensure you keep moving towards your aims. Indeed, whilst CSFs are sometimes less tangible than measurable
goals, it is useful to identify as specifically as possible how you can measure or monitor each one.


Key Points

Critical Success Factors are the areas of your business or project that are absolutely essential to its success. By identifying and communicating these CSFs, you can help ensure your business or project is well-focused and avoid wasting effort and resources on less important areas. By making CSFs explicit, and communicating them with everyone involved, you can help keep the business and project on track towards common aims and goals.

The following are main aspects of critical success factors and their use in analysis CSF's are tailored to a firm's or manager's particular
situation as different situations.




The Industry

Critical success factor

Industry: There are some CSF's common to all companies operating within the same industry. Different industries will have unique, industry-specific CSF's
An industry's set of characteristics define its own CSF's Different industries will thus have different CSF's, for example research into the CSF's for the Call centre, manufacturing, retail, business services, health care and education sectors showed each to be different after starting with a hypothesis of all sectors having their CSF's as market orientation, learning orientation, entrepreneurial management style and organizational flexibility.

In reality each organization has its own unique goals so while thee may be some industry standard - not all firms in one industry will have identical CSF's.

Some trade associations offer benchmarking across possible common CSF s.


Competitive strategy and industry position

Critical success factor
Competitive position or strategy: The nature of position in the marketplace or the adopted strategy to gain market share gives rise to CSF's Differing strategies and positions have different CSF's

Not all firms in an industry will have the same CSF's in a particular industry. A firm's current position in the industry (where it is relative to
other competitors in the industry and also the market leader), its strategy, and its resources and capabilities will define its CSF's

The values of an organization, its target market etc will all impact the CSF's that are appropriate for it at a given point in time.
Environmental Factors
Critical success factor
Environmental changes: Economic,
regulatory, political, and demographic changes create CSF's for an organization.


These relate to environmental factors that are not in the control of the organization but which an organization must consider in developing CSF's Examples for these are the industry regulation, political development and economic performance of a country, and population trends.
An example of environmental factors affecting an organization could be a de-merger.

Temporal Factors
Critical success factor
Temporal factors: These relate to short-term situations, often crises. These CSF's may be important, but are usually short-lived.
Temporal factors are temporary or one-off CSF's resulting from a specific event necessitating their inclusion. Theoretically these would include a firm which \"lost executives as a result of a plane crash requiring a critical success factor of rebuilding the executive group\".

Practically, with the evolution and integration of markets globally, one could argue that temporal factors are not temporal anymore as
they could exist regularly in organizations.

For example, a firm aggressively building its business internationally would have a need for a core group of executives in its new
markets. Thus, it would have the CSF of \"building the executive group in a specific market\" and it could have this every year for different markets.

Managerial Position

Critical success factor

Managerial role: An individual role may generate CSF's as performance in a specific manager's area of responsibility may be deemed critical to the success of an organization.
Managerial position. This is important if CSF's are considered from an individual's point of view.

For example, manufacturing managers who would typically have the following CSF's: product quality, inventory control and cash control.

In organizations with departments focused on customer relationships, a CSF for managers in these departments may be customer relationship management.


A Critical Success Factor Method
Start with a vision:


  • Mission statement
  • Develop 5-6 high level goals
  • Develop hierarchy of goals
    and their success factors

  • Lists of requirements,
    problems, and assumptions

  • Leads to concrete
    requirements at the lowest level of decomposition (a single, implementable idea) Along the way, identify the problems being solved and the
    assumptions being made Cross-reference usage scenarios and problems with requirements

  • Analysis matrices
  • Problems vs. Requirements
    matrix

  • Usage scenarios vs.
    Requirements matrix

  • Solid usage scenarios
  • Relationship to Usage
    Scenarios

  • Usage
    scenarios or "use cases"; provide a means of determining:


    • Are the requirements
      aligned and self-consistent?

    • Are the needs of the
      user being met as well as those of the enterprise?

    • Are
      the requirements complete


  • Results of the Analysis

Reference:
http://www.mindtools.com/pages/article/newLDR_80.htm
http://rapidbi.com/created/criticalsuccessfactors.html
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Assignment 4


Review on Strategic Information Systems Planning

Information Systems were thought to be synonymous with corporate data processing and treated as some back-room operation in support of day-to-day mundane tasks. In the 80’s and 90’s until this generation, however, there has been a growing realization of the need to make information systems of strategic importance to an organization. Consequently, strategic information systems planning is a critical issue.

Planning for information systems, as for any other system, begins with the identification of needs. In order to be effective, development of any type of computer-based system should be a response to need--whether at the transaction processing level or at the more complex information and support systems levels. Such planning for information systems is much like strategic planning in management. Objectives, priorities, and authorization for information systems projects need to be formalized.

The systems development plan should identify specific projects slated for the future, priorities for each project and for resources, general procedures, and constraints for each application area. The plan must be specific enough to enable understanding of each application and to know where it stands in the order of development. Also the plan should be flexible so that priorities can be adjusted if necessary.


The Perspective of Strategic Information Systems Planning

In order to put the planning for strategic information systems in perspective, the evolution of information systems according to the three-era model of John Ward, et al.(1990) is pertinent. According to this model there are three distinct, albeit overlapping, eras of information systems, dating back to the 60’s. The relationship over time of the three eras of information systems is shown in table 1:

Era Characteristics



Table 1: The Three Era Model of IS [Adapted from Ward (1990) ]
Applications in the overall Data Processing (DP), Management Information Systems (MIS)
and Strategic Information Systems (SIS) area need to be planned and managed according to their existing and future contribution to the business.
Traditional portfolio models consider the relationship of systems to each other and the tasks being performed rather than the relationship with business success.


Some characteristics of strategic IS planning are:

• Main task: strategic/competitive advantage, linkage to business strategy.
• Key objective: pursuing opportunities, integrating IS and business strategies
• Direction from: executives/senior management and users, coalition of users/management and information systems.
• Main approach: entrepreneurial (user innovation), multiple (bottom-up development, top down analysis, etc.) at the same time.

Strategic Information Systems Planning in the present SIS era is not an easy task because such a process is deeply embedded in business processes. These systems need to cater to the strategic demands of organizations, i.e., serving the business goals and creating competitive advantage as well as meeting their data processing and MIS needs. The key point here is that organizations have to plan for information systems not merely as tools for cutting costs but as means to adding value. It is information technology alone which will carve multiple ‘virtual corporations’ simultaneously out of the same physical resources and adapt them without having to change the actual organizations. Thus, it is obvious that information technology has indeed come a long way in the SIS era, offering unprecedented possibilities, which, if not cashed on, would turn into unprecedented risks

Strategic Information Systems Planning Methodologies

The task of strategic information systems planning is difficult and often time organizations do not know how to do it. Strategic information systems planning is a major change for organizations, from planning for information systems based on users’ demands to those based on business strategy. Also, strategic information systems planning changes the planning characteristics in major ways. For example, the time horizon for planning changes from 1 year to 3 years or more and development plans are driven by current and future business needs rather than incremental user needs. Increase in the time horizon is a factor which results in poor response from the top management to the strategic information systems planning process as it is difficult to hold their attention for such a long period.

Other questions associated with strategic information systems planning are related to the scope of the planning study, the focus of the planning exercise – corporate organization vs. strategic business unit, number of studies and their sequence, choosing a strategic information systems planning methodology or developing one if none is suitable, targets of planning process and deliverables. Because of the complexity of the strategic information systems planning process and uniqueness of each organization, there is no one best way to tackle it. Vitale, et al. (1986) classifies SISP methodologies into two categories: impact and alignment. Impact methodologies help create and justify new uses of IT, while the methodologies in the “alignment” category align IS objectives with organizational goals. These two views of SISP are shown in figure 1.


I have searched problems that an IS manager typically face and found one interesting study. It detailed list of problems in implementing SISP methodologies classified as (1) resource, (2) planning process, or (3) output related problem associated with the three methodologies.

According to this survey, the most severe problem identified by IS managers is the failure to secure top management commitment for carrying out the final plan. The second most severe problem identified is the requirement for substantial further analysis after the completion of the IS plan.

Both these problems are related to the output of the planning process. Besides these top two, six of the next top eight problems are related to the resources required to carry out the strategic information systems planning (success of the plan depends on the team leader, difficulty in finding the team leader meeting the criteria specified in the study, methodology lacking computer support, planning exercise taking long time, etc.). Among the top ten problems encountered while implementing one of these methodologies (or, even while implementing an in-house methodology), three are common: difficulty in obtaining top management commitment for implementing the outputs, the requirement of substantial further analysis and difficulty in finding a good team leader.

The results of this survey suggest that IS planners are not particularly satisfied with their methodologies. If the objective of the SISP exercise is to align IS objectives with business goals, then detailed, lengthy and complex SISP may be of limited value. Where the objective is to use IT to impact a business strategy, these methodologies may not generate useful ideas for that purpose. Bergeron et al. (1990), however, point out that the value chain analysis and Wiseman’s strategic methodologies do help in achieving that purpose. Barlow (1990) suggests that the large number of methodologies that have been developed can often ‘add confusion rather than clarity to the (IS) planning process.’


Conceptual Framework for SISP
A conceptual framework for SISP is necessary both from a theory building perspective as also providing a basis for undertaking SISP. The latter is expected to answer the following questions frequently encountered by the practitioners in this area:

• What is involved in SISP and how to go about doing it?
• How to link the products of SISP to systems analysis, design and implementation in a timely manner?
• Is one SISP methodology more suitable than another in a given context?
• How to evaluate alternative information systems plans?

The theory building perspective of SISP is expected to contribute to research in this area, which, being in its infancy has been largely anecdotal. Based on the literature in this area and a careful study of the current methodologies, certain generic steps in a typical SISP formulation can be identified. These are:

Study Internal Business Environment. This is a prerequisite to determining the business IS needs. The internal business environment is comprised of mission of the organization, its objectives, strategies and plans, business activities, the organizational environment, core competencies, its critical success factors and the internal value chain.

Study external business environment. This helps an organization focus attention on the forces and pressure groups it encounters. These external forces exert a very strong influence on the business strategy of an organization. Factors to be considered here are the industry that the organization is in and that industry’s critical success factors, competitive position of the organization in the industry, relationship with major buyers and suppliers.

Study internal IS/IT environment. This is mainly comprised of the current and planned applications portfolio that supports the business. Other aspects to be considered here are the present
IS organization, skills and attitudes of people in the organization, IT environment and the IS/IT budgets.

It is also hypothesized that the above model will provide an organization a third alternative to develop applications based on either a comprehensive systems development life cycle or rapid prototyping. Either after the completion of the top level model or even during its completion, some critical vertical flows can be identified - for example those based on the critical success factors, or some competitive advantage/threat. Applications can then quickly be developed, tested and implemented along those critical/competitive flows. The rest of the model can await completion and subsequent implementation while the organizational resources are concentrated on developing applications demanded by the exigencies of the current situation.

Developing a Theoretical Perspective

Hsu and Rattner (1993) developed a theory of information integration in CIM environment.
This theory developed a concept of parallel paradigm of integration which asserts that by the sharing of information between processes interdependent decisions are pooled into concurrent processes. This parallel formulation of processes is a major change from the traditional sequential formulation of processes. In traditional CIM formulation, functions are supported by isolated decision spaces.

That is, only the information pertaining to that decision is handled as a variable. Other information is inherited as a constraint. For example the part cycle inherits the information processed by the production cycle as a constraint which in turn is constrained by the information processed at the product development cycle. One can look at the degree of non-integration as the number of constraints a decision space inherits. The extent to which these constraints can be converted into variables represents the degree of integration. For instance, the design function in sequential formulation will constraint the process planning function. Because of the isolation of decision spaces, a mere interfacing between these two functions will require repeated iterations. Integration of the functions, will, however, provide for real-time interaction between these functions.

From an enterprise point of view, parameterized decision spaces are fragmented and their existence prevents the associated set of functions from operating as an information-processing and decision-making whole, since results reflect a sequence of discrete decisions. Hsu and Rattner’s work suggests that while such functions operate as though they are using local variables, they are in fact tightly coupled (through, perhaps second or third order relationships) to many other apparently local variables. Part of the difficulty in achieving integration stems from the obscured local vs. global distinction.

Another distinction which needs to be made here is that between local and global optimality. Since constraints from both higher levels and from peer-level are inherited as constraints, they are not evaluated in local decisions. Therefore, it is possible that while an enterprise may try to achieve local optimality, it may prevent global optimality of enterprise performance. This is further explained with reference to figure 8.
Figure 8(a) depicts a traditional, sequential formulation of manufacturing functions. Each oval represents a decision space . Within each level in the hierarchy, the arrows depict the explicit flow of information between pairs of peer functions. Between hierarchy levels, the arrows symbolize the assertion of constraints.

In contrast, manufacturing functions can be organized in parallel; i.e., to explicitly share unified decision spaces. The extent to which parameters and constraints are converted to decision variables is a measure of integration strength among sub-functions. The implication is that by explicitly managing global decision variables as such, each local function supports global performance objectives.

The impact of optimizing global performance is ultimately measurable from the firm’s production function. The paradigm is rooted in the premise that local productivity is largely irrelevant and that an enterprise achieves competitive success if it achieves optimal global productivity. Formulating tasks in parallel is a means towards that end. The paradigm alters the decision-making hierarchy so that peer functions operate in parallel. Thus, all decisions are made in support of explicit global requirements. In this way, decisions contribute to synergy. Figure 8(b) depicts the concept of parallel formulation. Each oval again represents a decision space and each arrow represents the flow of constraints (downward) and feedback (upward) between hierarchy levels. There is no longer a need for explicit flows among peer functions since such iterations (sequential iterations) have been replaced by a comprehensive decision space.

The three level approach to information systems development can also be brought into the ambit of the above theoretical framework. The decisions at the planning level constraint those at the analysis level and from there down to the design level. The task here is to convert these constraints into variables which can be manipulated as the need arises. For example, the critical success factors at the planning level constraint the analysis, design and implementation of a particular application.

In a parallel formulation this constraint would become a variable - that is not only do CSFs determine applications to support them but the CSFs set itself will be altered depending on the realities of an enterprise’s information system. This provides a new perspective on SISP – the bottom up planning here the planning level variables (at least some of them) are manipulated by the ‘state of the IS’ in the organization. Where these variables can not be manipulated, for example those reflecting the external environment (competitors, technology available, etc.), this bottom-up approach will explicitly acknowledge those limitations and hopefully initiate a corrective action. It is not that organizations are not doing some or all of the things suggested here. The parallel formulation of information systems development tasks is expected to formalize and structure these steps and provide automated support for carrying them out in an interactive manner.

This parallel formulation of IS development tasks will also help organizations tide over a major limitation of SISP methodologies: planning is unnecessarily detailed and takes a long time. When the entire hierarchy of tasks related to developing down to implementing a plan is modeled in terms of its explicit information flows and data and knowledge classes, information systems can be developed quickly along the preferred paths (flows) without having to develop the entire system. Systems so developed will be different from those developed in an ad hoc manner in response to exigencies of the situation - these systems will be integrated with the overall system at the logical level as they are developed out of the shared information, data and knowledge spaces.

This concept has its parallel in Physics. Holographic images are made up of a multitude of images where each individual image is derived from and contains the big image. In the same way, individual systems will be derived from the overall system and will in turn holistically support the overall system. To conclude this theoretical perspective, it offers a viable alternative to the SISP process. Although not as well defined as in the CIM scenario, there is a structure to the SISP process. The literature and the analysis of existing methodologies, as mentioned earlier, does point to certain generic tasks and information flows required for SISP. This will provide the starting point for building a framework for a parallel formulation of SISP tasks.

Information-Gathering Techniques
Any, or a combination, of the following techniques can be used in gathering information relevant to the IT system within its operational boundary:

• Questionnaire. To collect relevant information, risk assessment personnel can develop a questionnaire concerning the management and operational controls planned or used for the IT system. This questionnaire should be distributed to the applicable technical and nontechnical management personnel who are designing or supporting the IT system. The questionnaire could also be used during on-site visits and interviews.

• On-site Interviews. Interviews with IT system support and management personnel can enable risk assessment personnel to collect useful information about the IT system (e.g., how the system is operated and managed). On-site visits also allow risk assessment personnel to observe and gather information about the physical, environmental, and operational security of the IT system. Appendix A contains sample interview questions asked during interviews with site personnel to achieve a better understanding of the operational characteristics of an organization. For systems still in the design phase, on-site visit would be face-to-face data gathering exercises and could provide the opportunity to evaluate the physical environment in which the IT system will operate.

• Document Review. Policy documents (e.g., legislative documentation, directives), system documentation (e.g., system user guide, system administrative manual, system design and requirement document, acquisition document), and security-related documentation (e.g., previous audit report, risk assessment report, system test results, system security plan5, security policies) can provide good information about the security controls used by and planned for the IT system. An organization’s mission impact analysis or asset criticality assessment provides information regarding system and data criticality and sensitivity.

• Use of Automated Scanning Tool. Proactive technical methods can be used to collect system information efficiently. For example, a network mapping tool can identify the services that run on a large group of hosts and provide a quick way of building individual profiles of the target IT system(s).

Information gathering can be conducted throughout the risk assessment process, from Step 1
(System Characterization) through Step 9 (Results Documentation).

Control Analysis

The goal of this step is to analyze the controls that have been implemented, or are planned for implementation, by the organization to minimize or eliminate the likelihood (or probability) of a threat’s exercising a system vulnerability.

To derive an overall likelihood rating that indicates the probability that a potential vulnerability may be exercised within the construct of the associated threat environment (Step 5 below), the implementation of current or planned controls must be considered. For example, a vulnerability
(e.g., system or procedural weakness) is not likely to be exercised or the likelihood is low if there is a low level of threat-source interest or capability or if there are effective security controls that can eliminate, or reduce the magnitude of, harm.

A. Control Methods
Security controls encompass the use of technical and nontechnical methods. Technical controls are safeguards that are incorporated into computer hardware, software, or firmware (e.g., access control mechanisms, identification and authentication mechanisms, encryption methods, intrusion detection software). Nontechnical controls are management and operational controls, such as security policies; operational procedures; and personnel, physical, and environmental security.

B. Control Categories
The control categories for both technical and nontechnical control methods can be further classified as either preventive or detective. These two subcategories are explained as follows:

• Preventive controls inhibit attempts to violate security policy and include such controls as access control enforcement, encryption, and authentication.
• Detective controls warn of violations or attempted violations of security policy and include such controls as audit trails, intrusion detection methods, and checksums.

C. Control Analysis Technique
As discussed in Section 3.3.3, development of a security requirements checklist or use of an available checklist will be helpful in analyzing controls in an efficient and systematic manner. The security requirements checklist can be used to validate security noncompliance as well as compliance. Therefore, it is essential to update such checklists to reflect changes in an organization’s control environment (e.g., changes in security policies, methods, and requirements) to ensure the checklist’s validity.

Incremental Change
Depending on how dire your situation is, you may not have the luxury of being entirely ready when you launch your new offering. For that reason, the safest approach is not to pull out all the stops immediately. "Go for small successes," says Davis. Rinaldi isn't courting would-be business buyers aggressively. Instead, he's working with "clients who walk in through the door," and says it will be take at least six months of testing before he decides how hard he'll go after this new market.
There's always room for fine-tuning. "We weren't 100% ready when we started," says Matheson Shedrick of mySpaShop. Over the past three months, she's added more products, such as odometers and jump ropes, and advice from experts in Chinese herbal medicine and feng shui. She hired three new employees, but relies on staff from her consulting firm to work at both operations. That has meant divvying up assignments based on employees' strengths, weaknesses, and schedules, and she has already had to rejigger the workload once. "It's been a bit of trial and error," Matheson Shedrick says. But with your company's future at stake, you may have no choice but to keep trying.

Qualitative Factors

Cost

Access is not just about availability. Cost affects usage. High cost is still a barrier. While prices have definitely come down the cost of access is still too high to have a transformatory impact.
Poor electricity supply
Epileptic power supply increases the cost of access. Supply of electricity needs to be optimal to enable businesses and banks to provide seamless online services through local areas networks, wide area networks and the Internet. Inefficiency is the word to describe a situation where everybody has to depend on power generators, as the primary, reliable power supply. This constitutes a barrier to growth and sustainable development. The growth of real e-business cannot take place or be of any significance in an environment with unreliable public power supply.

Quality of service

While availability has grown, this has not been matched by quality of service. It is not enough to have cheap lines and low cost bandwidth. Efficiency and accessibility of telecoms service should be paramount. Most operators have a lot of work to do in QoS especially in the areas of congestion and support.

IS Improvement

Companies wanting to optimize their IS/IT resources (e.g. the hardware, software, networks, people) have a strategic intent of IS improvement. They are focused on reducing costs, improving service quality, and bringing in new technical and management expertise. They believe outside specialists can better handle new technologies and provide superior processes and management methods.

This strategy’s success comes from achieving economies of scale, implementing cost reduction and service improvement, and bringing in technical expertise. Unfortunately, this strategy can also lead to failure if the company does not get the skills it requires, there are cost shifts instead of real cost reductions, and coordination costs exceed the savings from outsourcing. Management control mechanisms (contract type, performance measures, reward and penalty schemes, and decision structures) need to focus on IS/IT services (e.g. network provision, datacenter operations, applications program maintenance, and new systems development. Performance metrics include network response time, problem-resolution cycle time, cost per user, and function points.

Vendor compensation is typically based on a pricing schedule for technology services. It is often difficult to determine future costs, so it is critical to create a very competitive vendor selection process to ensure costs are competitive. Companies also need to incorporate frequent benchmarks into the contract to allow renegotiation if there is a substantial change in business and technology conditions.

The relationship should depend on the risks and uncertainty associated with delivering the outsourced services. When requirements are well defined and outcomes observable, the relationship should focus on contractual elements. However, when there is uncertainty about requirements, a partnership approach may be more desirable
The requirement for success is to strike the right balance between risk and reward for both the vendor and client, and ensure that the client is significantly involved in any improvement initiatives. Transferring ownership and responsibility for IS/IT assets from the customer to the outsourcing vendor is extremely important as ownership provides the incentive to continue investing in those assets.

Shift to Virtual

Some of the driving forces behind this shift to the virtual include a shortage of skilled workers, an expanding global economy, and significantly increased competition. To survive in this extremely fluid environment, companies need to quickly identify, design, and engineer new IS/IT products and services. Unfortunately, no single company can do this on its own and no single vendor can do it for them. The only way to compete is by creating a constantly shifting network of alliances and partnerships to achieve a dynamic set of corporate objectives. With the explosion of technology, outside vendors can see significant dollar amounts waiting if they are able to fill the gap brought on by the changing business environment. Because it often takes too long to develop technology in-house, vendors is often the answer.

Use Process Models as Guide

The first general reason why one must use software process modeling is that real-world organizational processes can be surprisingly complex. As a result, it requires considerable effort to weave together the various components of the process into a cohesive whole.

To detail, Process Models are processes of the same nature that are classified together into a model. Thus, a process model is a description of a process at the type level. Since the process model is at the type level, a process is an instantiation of it. The same process model is used repeatedly for the development of many applications and thus, has many instantiations. One possible use of a process model is to prescribe how things must/should/could be done in contrast to the process itself which is really what happens. A process model is roughly an anticipation of what the process will look like. What the process shall be will be determined during actual system development. Each process model follows a particular life cycle in order to ensure success in process of software maturity.

Think like a user

Let me repeat the key aspect of business modeling: lump processes of the same type into a model so you can see how those processes work together. This is an important fact to understand. For some reason, a good many business analysts try to make the process more difficult than it is. They might try to lump dissimilar processes together, for instance, to prove that an entire architecture needs an overhaul. They bite off more than they can chew doing something like that, and they run the risk of alienating potential allies during the process. Business modeling isn't rocket science: It's a straightforward process with the ultimate goal of understanding whether modifications are needed in a specific process and, if they are, what those modifications should be.

Speak for the user

As a business analyst, your biggest role is to speak for the user—to create processes that work with users instead of against them. When you're modeling new business processes, it's imperative that you intimately understand what that user will experience with any change in the process. Writing user stories and use cases will help you do this and will also help you essentially speak for the user when the business modeling process gets underway. Although some say that user stories and use cases are technically pieces of the requirements process, I'm going to address them in this section.

Get the tools for the job

If you're in the requirements stage, check out IBM Rational RequisitePro®. It's integrated with Microsoft® Office Word, so if you use Microsoft Office products, you'll see a familiar environment. It also helps you write strong use cases with a database infrastructure that lets you easily organize requirements, trace them in processes, and analyze what needs to happen in a business process.

Information-based enterprises must be planned in an integrated way whereby all stages of the life cycle are engaged to bring about agility, quality, and productivity. This integration is similar in nature to the integration of product life cycle for an enterprise. The existing methodologies, however, tend to support information planning as an island separated from the wealth of the enterprise’s information resources.

A needed new approach would tap into these resources which capture and characterize the enterprise to allow for integration of the planning stage with information systems development stages and support a shortened and adaptive cycle. This paper is a small first step towards a big task: developing a framework and a theory for strategic information systems planning. The need for such a framework is established by the existing problems in implementing SISP methodologies and also by what these methodologies themselves lack. A possible approach to building a framework is traced to the theoretical work of Hsu and Rattner (1993) and that is where
the thrust of this line of research is expected to lie.



Conclusions

I would say that the task of strategic information systems planning is difficult and often time organizations do not know how to do it. Planning is not an easy task because such a process is deeply embedded in business processes. These systems need to cater to the strategic demands of organizations, i.e., serving the business goals and creating competitive advantage as well as meeting their data processing and MIS needs (in my case, the task to meet the needs of our university).

I (should I say ‘we’) must remember that planning for information systems, as for any other system, begins with the identification of needs. In order to be effective, development of any type of computer-based system should be a response to need--whether at the transaction processing level or at the more complex information and support systems levels.

One must remember, as what was stated above, that the plan must be specific enough to enable understanding of each application and to know where it stands in the order of development. Also the plan should be flexible so that priorities can be adjusted if necessary.


References:


Somendra Pant and Cheng Hsu. 1995. Strategic Information Systems Planning: A Review
Information Resources Management Association International Conference, May 21-24, Atlanta, Georgia .
[January 1995]

Slack, S.E. 2008. Understanding business process modeling: Learn what it is, how it works, and why it's a must for any organization
IBM [Aug. 28, 2008]

Gary Stoneburner, Alice Goguen, and Alexis Feringa. 2002. Risk Management Guide for
Information Technology Systems: Recommendations of the National Institute of Standards and Technology
1Booz Allen Hamilton Inc .[July 2002]
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