Strategic Information Systems Planning

Also information systems assist with making decisions and business processes by formulating strategic plans and make decisions for the organisation longevity and prosperity. Additionally information systems add controls to employee processes, ensuring

Information systems interact with the organizations and influences the organization in many aspects of the whole organizational structure to the daily behavior. Information systems can enable strategies in four aspects including low-cost leadership, product differentiation, focus on market value and strengthen customer and supplier intimacy.

In the world of business, information technology strategy has been overlooked by owners for they are so focused on marketing strategies. Keeping up with the use of information technology is in just about all types of industrial process and just as important. It has been a proven fact that it contributes to the development of strategies and tactics when developing a product or service. During the twentieth century the accelerated progress in information technology has developed a large variety of technologies for the collecting and storage of information such as the Internet, software companies, and personal computers.

This paper will discuss how an information system is critical to the business process of an organization and how the information has impacted the organization 's structure.

Information systems (IS), technically are a set of interrelated components that collect and retrieve information, process and store it and support the organization in decision making. Information Technology (IT) is a shared technology and provides the platform for specific information. It consists of hardware and software for a business to achieve their objectives. Included is the computer systems, the computer, any hand-held devices, software the company needs to operate and storage. (20)

“No longer is IT just another tool the CEO might use to accomplish costs saving and operational ends. Today, information technology can help solve product problems, set new levels of service and create new distribution and communication channels.”

The world is a rapidly changing canvas that visits a dynamic and turbulent environment on senior managers changing how Information Systems (IS) are used and needed in each organization. The power to collect, assess, and disseminate information is a valuable strategic resource that any organization can use to improve its competitive advantage. At the same time, technological advances are changing rapidly, thus requiring frequent updates in hardware and software as well as new competencies for IS professionals. As strategic managers face the challenges of optimizing the use of information systems, they are called to address a number of issues so they can make informed and effective

Kudler has created many opportunities while making change to the current way the company uses technology. Information technologies can revolutionize how organizations do business. Two aspects of such a revolution consist of: strategic information systems, and systems that support or provide for business reorganization. The first part of the chapter deals with strategic information systems, which are primarily used to seize the opportunities created by technological innovations and changing market conditions. Such systems are also used to increase competitiveness and effectiveness by solving organizational problems and by smoothing operations.

Information technology can be aligned with Evans' corporate strategic plans from the first to the final step/process. To begin with, the majority of Evans existing or new clients are on a global scale and communication is vital since the products being built are on a custom basis. Evans need to stay in constant contact in order to build a rapport and ensure that what they are building is satisfactory for the customers needs.

Obviously, the power of Information System in any organization or company cannot be down looked. This is basically because IT has led to a revolution and to great developments in aspects of concern to management, production, processing, payments and services in different organizations. It is however worth noting that there is a very critical problem associated with strategic advantage of this system. Copy pasting what other people have been doing in the past has been the norm for many entrepreneurs. In this context, many entrepreneurs have devoted huge chunks of capital in the utilization of common IT systems (Carr, 2003). In this case, aspects of concern to uniqueness, innovation and

Resources necessary 4. Body 4.1. Information System business foundation 4.1.1. Proper IS structure 4.1.2. Business process and overall strategy 4.1.3.

Businesses need to understand the strategic relevance and importance of ICT, and how it relates to success in today’s high tech societies. ICT’s impact is vast and can touch many aspects within an organization; things like reducing cost, improving processes, boosting innovation, increasing productivity, and opening additional channels for communication are a few of the ways ITC can shape an organizations success. A recent online survey of executives showed that 79% of executives rate the strategic importance of ICT for their

An information system is a base in today’s business world. Everything is electronic. In various businesses, the survival and ability to succeed strategic business goals is challenging without extensive use of information system. Businesses improve the efficiency of their operations in order to accomplish higher profitablity. Besides that, information systems are important tools available to managers for achieving higher levels of efficiency and productiviy in business operations. For an example, Zara uses the PDA technology to gather customer feedback and input.

1. Identify and describe important features of organizations that managers need to know about in order to build and use information systems successfully. 2. Evaluate the impact of information systems on organizations. 3. Demonstrate how Porter’s competitive forces model and the value chain model help businesses use information systems for competitive advantage. 4. Demonstrate how information systems help businesses use synergies, core competencies, and network-based strategies to achieve competitive advantage. 5. Assess the challenges posed by strategic information systems and management solutions. 3.4

Figure 1.6. IS as a strategic resource 8 Figure 1.7 Development, management and exploitation of information systems and their impact upon organizations. Figure 1.8. Application of analytical tools 11