Topic 1
Topic 1
Topic 1
Information Technology
IT facilitates the acquisition and collection, processing, storing, delivery, sharing and presentation of
information and other digital content, such as video and voice.
‘Digital Disruption’: The Impact of IS/IT
Digital Disruption
1. External, not internal, focus: looking at customers, competitors, suppliers, even other industries
and what is happening in the outside world – both business and social.
2. Adding value, not cost reduction: although cost reductions may accrue due to business
expansion at reduced marginal costs, 'doing it better, not cheaper’ seems to be the maxim .
4. Understanding customers and what they do with the product or service: how they
obtain value from it, and the problems they may encounter in gaining that value.
Success Factors in Strategic Information
Systems
6. Incremental development
7. Using the information gained from the systems to develop tbe business
8. Monetizing information.
IS/ IT and Digital Strategy
• The term Information Systems Strategic Planning (ISSP) was defined by Boynton and Zmud as
'activities directed toward:
(1) recognizing organizational opportunities for using information technology,
(2) determining the resource requirements to exploit these opportunities,
(3) and developing strategies and action plans for realizing these opportunities and for
meeting the resource needs’.
• Earl's definition refers to the 'long term, directional plan which decides what to do with IT' that is
concerned primarily with 'aligning IS development with business needs and seeking advantage
from IT’.
• Ward and Peppard (2016) 'thinking strategically and planning for the effective long-term
management and optimal impact of information in all its forms: information systems (IS) and
information technology (IT)'.
IS/ IT and Digital Strategy
Digital Strategy
Demand Supply
‘Digital strategy’ is a convenient label for the combined IS and IT strategies
IS/ IT and Digital Strategy
IS/IT Industry Business Strategy
Business & - Business Drivers Where is the business
Organizational - Objectives and Direction going and why?
Impact & Potential - Change
IS Strategy
- Business Based What is required?
- Demand Oriented
- Information Focused
IT Strategy
The relationship between - Activity Based How it can be delivered?
business, IS and IT strategies - Supply Oriented
- Technology Focused
Digital Strategies for the 21st Century: Building
a Dynamic Capability to Leverage IS/IT
1. The external context 2. The internal context
Industries
Business
Environment i. Fusing IS/IT knowledge and business
Impact of competitors
strategies (c)
knowledge
Redefines (d)
ii. A flexible and reusable IT platform
Disrupts –
changes the iii. An effective use process to link IS/IT
rules (e)
assets with value realization
Provides Duality of ICT
opportunities or Enabled by or
shapes (b) aligns (a)
The competitive
dynamics of IS/IT
IT developments