Case Study: Avoiding The Alignment Trap In Information Technology

The original business strategy, which is still not fully implemented or thought out, is still intact and being somewhat utilized. Part of getting from where we are now to where we want to go, is to put together a comprehensive business and growth strategy plan that, brings about the most results. The original business strategy resembled that of a small business that had the most growth with the least risk. With little risk also means little or no technology. The company has changed, the competition is more intense and the economy is weakened. A new strategy that aligns with technology is essential in order to be successful. As business and technology have become increasingly intertwined, the strategic alignment of the two has emerged as a major corporate issue. With the emergence of IT from the back room to the forefront of business brings the alignment issue under the spotlight like never before. And as

The limited and inflexible budget is also a weakness for the organization in terms of acquiring and investing in new systems. (Laan, 2013).This is because the systems are quite costly and the organization requires an increase of the performance of all its servers as well as addition of new equipment and with the limited budget and insufficient funds allocated to the equipments, it might not be easy to accomplish that.

[How is the user involved in the project? Relate where possible to Rational Unified Process

* Write clearly and concisely about issues in IT project management using proper writing mechanics and technical style conventions.

Also, they think that they can send the IT folks onto the field once they are done with the planning and budget cycle. But, little do they understand here that it would be of no use sending the IT people after the planning as things to be changed as early as possible in a project life cycle. The more delay in the changes, the more complex and expensive the project would be.

3. Q: It is important to recognize that the enterprise strategy cannot be accomplished without some internal IT and infrastructure work being done. Please describe what kind of projects, how are they prioritized, and how will they be budgeted?

Internal efficiency through the decrease of marketing costs, reduction of order taking and fulfillment costs and improving the retention rates of our customers.

The role played by the IT in the company to the rest of the organization is reactive to business conditions rather than a proactive approach. IT has been busy establishing several IT processes, policies, and projects in order to catch up with current demand from customers, and has been relying on the “diving catch” approach of finishing things at the very last minute.

Focused growth strategy of the company has helped it to reach wide number of customers and diversify its revenue streams.

Information Technology (IT) is a foundation for conducting business today. It plays a critical role in increasing productivity of firms and entire nation. It is proven that firms who invested in IT have experienced continued growth in productivity and efficiency. Many companies' survival and even existence without use of IT is unimaginable. IT has become the largest component of capital investment for companies in the United States and many other countries.

Alignment of an enterprise’s goals with its IT1 and IS1 systems has been a challenge ever since IT became a business enabler. Proposing an IT alignment requires a thorough understanding of the business goals of the enterprise and the knowledge that alignment is an iterative process which requires constant measurement and honing (Chan, 2002). Enterprises often face the problem of balance of priorities between IT and Business objectives. This report deals with one such case that faced alignment and prioritization hardships resulting in an unclear approach to achieve a corporate strategy.

The business division also felt that IT lacked credibility, and could not be trusted to complete business projects successfully. These feelings were further reinforced by the fact that it took IT a long time to install new, business related technology. To make matters worse, these new applications and systems often did not work as expected right away and the IT staff seemed uninterested in fixing them quickly. Hefty Hardware also had a high CIO turnover due to the many failed projects.

Information Technology (IT): The hardware and software technologies a firm needs to achieve its business objectives (Kenneth C Laudon and Jane P Laudon., 2010).

This paper will discuss the processes and pitfalls faced by Information Technology managers in today’s world of business. Today’s IT managers need not only be savvy about existing equipment and upcoming technology; but must also understand the budget issues they face and how to properly address them. The IT manager is asked to look into a crystal ball and predict what products will be beneficial and which requirements can be cut from the budget. They must be able to differentiate between the new shiny fad and products that will be a true asset to the company’s visions and goals. An IT budget can no longer be a static number on the company’s finance sheet; it must be a clear vision of the department’s future spending while falling in line with the goals and expectations of the company.

Strategic alignment maturity addresses the ability of organizations to adapt their IT and business strategies in a harmonious fashion. This alignment evolves into a relationship where the function of IT and other business functions adapt their strategies together. Early research on the topic has shown that organizations that show a high level of alignment maturity seem to be more capable of executing strategy as critical enablers of strategic alignment such as effective partnerships, communications, and governance manifest themselves through business-IT relationships and practices. This alignment of IT strategy and the organization’s business strategy is a fundamental principle that has been advocated for over a decade.