Assignment 4(MIS2)

You were invited by the university president to prepare an IS plan for the university, discuss what are the steps in order to expedite the implementation of the IS Plan.


Assuming that i am invited by the university president to prepare a IS plan. So it is very important to be prepared. So it needs to gather informations of what is the content of ISplan.

Information has emerged as an agent of integration and the enabler of new competitiveness for
today’s enterprise in the global marketplace. However, has the paradigm of strategic planning
changed sufficiently to support the new role of information systems and technology? We reviewed
the literature for commonly used or representative information planning methodologies and found
that a new approach is needed. There are six methodologies reviewed in this paper. They all tend to
regard planning as a separate stage which does not connect structurally and directly to the
information systems development. An integration of planning with development and management
through enterprise information resources - which capture and characterize the enterprise - will
shorten the response cycle and even allow for economic evaluation of information system
investment.

[b] The Perspective of Strategic Information Systems Planning[/b]
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.



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. The magnitude of this change in perspective of IS/IT’s role in organizations is
highlighted in a Business Week article, ‘The Technology Payoff’ (Business Week, June 14, 1993).
According to this article, throughout the 1980s US businesses invested a staggering $1 trillion in the
information technology. This huge investment did not result in a commensurate productivity gain -
overall national productivity rose at a 1% annual rate compared with nearly 5% in Japan. Using the
information technology merely to automate routine tasks without altering the business processes is
identified as the cause of the above productivity paradox. As IT is used to support breakthrough
ideas in business processes, essentially supporting direct value adding activities instead of merely
cost saving, it has resulted in major productivity gains. In 1992, productivity rose nearly 3% and
the corporate profits went up sharply. According to an MIT study quoted in the above article, the
return on investment in information systems averaged 54% for manufacturing and 68% for all
businesses surveyed. This impact of information technology on re-defining, re-engineering
businesses is likely to continue and it is expected that information technology will play increasingly
important roles in future. For example, Pant, et al. (1994) point out that the emerging vision of
virtual corporations will become a reality only if it is rooted in new visionary information
technology. 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
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unprecedented risks. As Keen (1993) has morbidly but realistically pointed out that organizations
not planning for strategic information systems may fail to spot the business implications of
competitors’ use of information technology until it is too late for them to react. In situations like
this, when information technology changes the basics of competition in an industry, 50% of the
companies in that industry disappear within ten years.
3. 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) classify 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.



Reference:
http://viu.eng.rpi.edu/publications/strpaper.pdf