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1、计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供1IS5003 Seminar 6IS Strategy&Planning计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供2Story OneThe CEO of an insurance company wonders why a key competitor seems so much more innovative and responsive to customer needs.“How do they manage to initiate

2、,customize,and support such a variety of insurance products so quickly?”she asks.“We could not cope with the complex information processing that must be required!What are they doing differently with their people and technology?Our systems personnel are always bogged down with last years priorities”C

3、han,MISQE,1,2,97-112.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供3AnalysisThe competitor:has developed core competence in the application of IS to business needs.has developed the ability to respond to business conditions effectively(business intelligence +KM)has employees who can apply relevan

4、t knowledge efficiently&effectively.are focused on todays taskshas identified information as a critical resourceensures that the IS fits and supports the businesshas,in consequence,a better Business-IS alignment计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供4Story TwoA CIO wonders when he will be

5、accepted at top management meetings.Although he has won a long,hard battle to be present at these meetings,to understand new business directions better,he senses that his presence is merely tolerated.His ideas have little clout.His colleagues acknowledge that IT is becoming increasingly important to

6、 business operations,but their thinking and behavior stifle innovation.Chan,MISQE,2,1,97-112.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供5AnalysisThe organisation itself barely recognises the importance of informationThe CIO is marginalised perhaps useful as someone important for operational su

7、pport,but not strategic planning.The organisation is probably failing to align its overall business direction with its IS policies,skills,capabilities计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供6Core Competence in ISA core competence can be defined as business or IS knowledge/expertise required

8、 to create,design,develop&maintain an application of value to the organisation.Core competencies can be(Past)CurrentFuture计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供7Competence ExamplesProgramming&application development skillsProject management skillsIntegrated knowledge of our business from

9、both strategic and IS perspectivesIncluding KM and BI capabilityProduct design skillsThe ability to use IT/IS to create new products so as to ensure firm competitiveness计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供8Questions to Ask about ISIs IS integral to your organisation,or peripheral?Does I

10、S drive your organisations competitiveness?Is your IS mission-critical,or only supporting?Are significant resources devoted to IS,or just a few$here and there?Are IS people deeply engaged in many aspects of your business?What is/should be the future role of IS in your organisation?计算机计算机 经济学经济学 网络信息

11、传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供9SupportFactoryStrategicTurn-aroundStrategic Impact of Planned SystemsLowHighHighLowStrategicImpact ofExistingSystemsStrategic GridMcFarlan et al.,1983计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供10Strategic GridThe Strategic Grid is a diagnostic tool to understand

12、 the role of IS in an organisation.An organisations position in the grid explains the needed level of top management involvement and the relationship between IS planning and organisational planning.If there are incompatibilities between existing systems and future needs,then this is a call to action

13、.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供11Strategic GridSupport:IS Applications(ISAs)are useful in supporting organisational activities,but are not vital to critical operations,nor are they part of future strategic operations.Factory:ISAs are vital to the succesful functioning of activitie

14、s,but are not part of future strategic operations.Davis&Olson,1984计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供12Strategic GridTurnaround:The organisation has had Support-type operations,but is now planning for ISAs vital to the strategic success of the organisation.Strategic:ISAs are critical t

15、o the current and future competitive strategy.Davis&Olson,1984计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供13Strategic Grid-CompaniesWhere does CLP fit on the grid?Is IT essential,strategic,?How about CX?OOCL?HSBC?The HK Post Office?Traditionally almost zero IT support,but now responsible for eC

16、erts,online trading,HK Govt?计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供14What about Risks?Risks are involved in different aspects of an IS/IT portfolio.The level of the risk depends on the importance of the IS/IT to the organisationRisks apply to software&applications,hardware,networks,procedu

17、res,and people&culture.Each competence needs to be risk-assessed.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供15The Consequences of Poor Business-IS Alignment?Competencies are not developed,promoted or managed.Risks are poorly assessed(if at all).Business executives cannot clearly articulate the

18、ir IS needs and dont really understand what IS is for.IS people have limited business vision or knowledge.IS investments are expensive and yield low returns.We have 25 different(unintegrated)CRM systems!First rate ideas from first rate people are not developed appropriately(or at all).计算机计算机 经济学经济学

19、网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供16Then What is(IS)Alignment?“the degree to which the IT mission,objectives and plans support and are supported by the business mission,objectives and plans”Reich&Benbasat,MISQ,24,1,p.82“fit”&“integration”among business strategy,IT strategy,business infrastructure,a

20、nd IT infrastructure.Henderson&Venkatraman,IBMSJ,32,1,4-16Effective IS management requires a both a balance and effective alignment across four domains.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供17Henderson&Venkatramans Strategic Alignment Model Strategy Alignment Process(Linkage&Automation)IS

21、/ITInfrastructureand ProcessesIS/IT StrategyIS/ITTransformationOrganisationalInfrastructureand ProcessesBusiness Productsand Services IS/IT Productsand Services InternalBusinessTransformationExternalBusiness StrategyBusiness DomainIT DomainAdapted from Henderson&Venkatraman,1992计算机计算机 经济学经济学 网络信息传媒网

22、络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供18Problems and PossibilitiesHow can we align IS and the Business?How can we balance the different activities?By changing the outlookMaking$is not the only responsibility!There are other stakeholders to be considered as well.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提

23、供19Who are the Multiple Stakeholders?To be the supplier of choice by fulfilling service requirements and expectations of customers.To be the employer of choice by creating opportunity and providing fair reward for employees.To be an admired corporate citizen by respecting the interests of the commun

24、ity.To be the investment of choice by providing maximum long-term value of equity for shareholders.To be the partner of choice by ensuring maximum mutual benefit for business partners.s missions areMartinsons,2005计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供20The Balanced ScorecardOne way to go

25、about this alignment,this balancing of activities and people,is to use the Balanced Scorecard (Kaplan&Norton,1996).The BSC was designed,in recognition of the limitations of financial accounting measures:They provide a narrow and incomplete picture of business performanceThey hinder the creation of f

26、uture business valueThey are lagging not leading measures计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供21Financial PerspectiveAre we meeting the expectations of shareholders?Customer PerspectiveAre we delighting(or at least satisfying)our customers?Internal Process PerspectiveAre we doing the rig

27、ht things?Are we doing things right?Learning and Growth PerspectiveAre we prepared for the future?Adapted from Kaplan&Norton(1992)Perspectives&Relationships in the Balanced Scorecard计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供22Translating the Vision into Desired OutcomesVISIONIntended Directio

28、n/Destination Balanced ScorecardWhat do we want to achieve?STRATEGYHow will we achieve“success”?Strategic InitiativesWhat do we need to do?Personal InitiativesWhat do I need to do?DESIRED OUTCOMESSatisfied ShareholdersDelighted CustomersEffective&Efficient ProcessesMotivated&Prepared WorkforceMartin

29、sons,2005计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供23From Desired Outcomes to Initiatives Motivated&Prepared WorkforceMotivationPreparationWhat initiatives will improve employee motivation?better prepare employees?but also what initiatives will create more efficient/effective processes?deligh

30、t customers?Martinsons,2005计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供24RevenueOperatingCostShareholderValueSatisfaction IndexMarket SharePatronageSafety IndexService PledgeTalentLeadershipManpower&SuccessionStrategicAlignmentPartnering&TeamworkEmployee SatisfactionCultureOrganisational Capabi

31、lityCustomerProcessesFinancialLearning&Growth MTR,2005计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供25Southwest AirlinesSouthwest uses a different balanced scorecard layout to achieve the same kind of planning objective.Note the detailed objectives,measures,targets,and initiatives.This is a gener

32、al BSC not IS specific but note that IS will play a critical support role,e.g.in data collection/analysis.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供26Airline Scorecard ParametersObjectivesFast ground turnaroundObjectives:What the strategy is trying to achieve Targets30 Minutes90%Targets:The l

33、evel of performance or rate of improve-ment neededCycle time optimizationInitiatives:Key action programs required to achieve targetsInitiativesMeasuresOn Ground TimeOn-Time DepartureMeasures:How success or failure is monitored Strategic Theme:Operating EfficiencyProfits and RONAFinancialLearning Gro

34、und crew alignmentLowest pricesFewer planesCustomerInternalFast ground turnaroundStrategy MapOn-time ServiceAttract&Retain More CustomersGrow RevenuesWagner,2003计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供27%Ground crew trained%Ground crew stockholdersThe Scorecard is a Programme for ActionObje

35、ctivesMeasures#CustomersFAA On Time Arrival RatingMarket SurveyOn Ground TimeOn-Time DepartureStrategic Theme:Operating EfficiencyInitiativesCycle time optimizationGround crew trainingESOPCustomer loyalty programQuality managementTargets30%CAGR20%CAGR5%CAGR12%growthRanked#1Ranked#130 Minutes90%yr.1

36、70%yr.3 90%yr.5 100%ProfitabilityGrow RevenuesFewer planesMore Customers Flight is on-timeLowest pricesFast ground turnaroundGround crew alignment Strategic Theme:Operations ExcellenceProfits and RONAFinancialLearning Ground crew alignmentFewer planesCustomerInternalFast ground turnaroundStrategy Ma

37、pAttract&Retain More CustomersGrow RevenuesLowest pricesOn-time ServiceWagner,2003计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供28Balanced Scorecards with Traffic Lights!The colour of the lights shows how good or healthy we are now.The colour of the arrows shows which direction we are likely to b

38、e going.Financialshttp:/ 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供29“Struggling Airlines”FinancialsCustomersProcessPreparationAdapted from Wagner,2004计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供30Four Perspectives(for example)Profitability+RevenuesFewer PlanesLower salaries?More customersFligh

39、tson time?Lowest PricesGood foodGround turnaroundGate timeTaxi timeRunway queue timeGround crew alignmentATC/ParkingLiaisonTrainersHiring PoliciesFinancialsCustomersProcessesLearningAdapted from Wagner,2004计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供31IS dept is an internal service supplierIS p

40、rojects are carried out for end-users and the organisation Four Perspectives for ISbusiness valueinternal processes user orientationfuture readinessWhat About a Balanced IS Scorecard?计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供32Business Value PerspectiveAre we satisfying management?Are we addi

41、ng value?User PerspectiveAre we delighting(or at least satisfying)our users?Internal Process PerspectiveAre we doing the right things?Are we doing things right?Future Readiness PerspectiveAre we ready for the emerging technologies&practices?The Balanced IS Scorecard计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训

42、课件友情提供体培训课件友情提供33 Extension to the BSCinnovation and learning(future readiness)the specifics of monitoring and control(key measures)Measuring and evaluating business valueshort-term cost-benefit evaluationcost control,selling to third partieslong-term perspective(based on information economics)busin

43、ess value of IT project,strategic options and risksbusiness value of IT department/functional areaMeasuring and Evaluating IS(1)计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供34 Measuring and evaluating user orientationmetrics for being the preferred supplier of applications and operationsmetrics

44、for building and maintaining relationships with usersmetrics for satisfying end-user needsMeasuring and Evaluating IS(2)计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供35Measuring and evaluating internal processesThe planning and prioritization of IS projectsThe development of new IT applicationsTh

45、e operation and maintenance of current IT applications Measuring and evaluating future readinessImproving the skill set of IS specialistsUpdating the applications portfolioPutting effort into researching emerging technologiesMeasuring and Evaluating IS(3)计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件

46、友情提供36Develop awareness of the BSC/IS conceptCollect and analyse dataDefine company-specific objectives&goalsDevelop preliminary BSC/ISSolicit stakeholder comments and feedbackReach a consensus on BSC/ISCommunicate both BSC/IS and its underlying rationale to all stakeholdersBuilding a Balanced IS Sc

47、orecard(1)计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供37 Three principles for BSCCause-and-effectPerformance driversLinkage to financial measures Three criteria for BSC/IS metricsquantifiableeasy to understandcost-effective to measureOne over-riding concernEnsure that the BSC/IS is aligned with

48、 the corporate BSCBuilding a Balanced IS Scorecard(2)计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供38 PerspectivesObjectivesMeasuresTargetsInitiativesBusiness ValueIncrease profit$10%CAGRUserDelighted usersUser satisf-action index95%satisfied by 2006;99%by 2008Involve users in sys-tems design pro

49、ceduresInternal Process?Future ReadinessSkilled IT staffProf&Acad Quals100%with MSc by 2006;75%with PhD by 2010Unlimited training budgetBSC for the IS Support Unit of a Global Shipping Firm计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供39Activity Questions for Slide 381.Suggest suitable internal p

50、rocess objectives,measures,targets and initiatives.2.Explain why the user perspective initiative may not result in the the intended objectives being achieved.3.How does the label“user perspective”constrain the work that the IS support unit does?4.Why is it so critical that the IS support unit establ

51、ish relationships between initiatives and objectives in its BSC?5.How should this BSC/IS be aligned with the corporate BSC?计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供40 Errors to Avoidfailure to include specific long-term objectivesfailure to relate key measures to performance drivers by means

52、 of cause-and-effect relationshipsfailure to communicate the contents of,and rationale for the BSC/ISfailure to integrate the BSC/IS with a corporate BSCAll employees should be encouraged to use the BSC to gain a holistic understanding of the organisationLessons 1计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件

53、友情提供体培训课件友情提供41Lessons 2Critical Success FactorsIdentify key cause-effect relationships,performance drivers and measuresThis is very hard for non-financial/quantifiable measuresMake measures simple and measurableVery hard to collect reliable data,but IS can helpMaintain intra-organisational communic

54、ationLink BSC/IS to performance appraisal criteria for individual IS specialistsEnsure staff awareness of the BSC and its value.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供42Are the perspectives and measures necessary and sufficient?How do cultural and institutional factors affect the BSC/IS?Wh

55、at are the experiences of your companies?What Else?计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供43And NowTime for you to create a BSC for the IS function of a company with which you are familiarUse the blank sheet available from the course web page and when you are done,email it to me.Feel free

56、to adapt the blank sheet to your own needs,design,etc.计算机计算机 经济学经济学 网络信息传媒网络信息传媒 多媒多媒体培训课件友情提供体培训课件友情提供44ReferencesReich,B.&Benbasat,I.(2000)Factors that influence the social dimention of alignment between business and information technology objectives,MIS Quarterly,24,1,81-113.Henderson,J.C.&Venkat

57、raman,N.(1993)Strategic Alignment:Leveraging Information Technology for Transforming Organizations,IBM Systems Journal,32,1,4-16.Chan,Y.E.(2002)Why Havent We Mastered Alignment?The Importance of the Information Organizational Structure,MIS Quarterly Executive,2,1,97-112.Martinsons,M.G.,Davison,R.M.a

58、nd Tse,D.(1999)A Foundation for the Strategic Management of Information Systems,Decision Support Systems,25,71-88.Kaplan,R.and Norton,D.(1992)The balanced scorecard measures that drive performance,Harvard Business Review,70,1,71 79.Kaplan,R.and Norton,D.(1993)Putting the Balanced Scorecard to Work,H

59、arvard Business Review,71,5,134 142.Kaplan,R.and Norton,D.(1996)Using the Balanced Scorecard as a Strategic Management System,Harvard Business Review,74,1,75 85.Kaplan,R.and Norton,D.(1996)The Balanced Scorecard:Translating Strategy into Action,Boston:Harvard Business School Press.McFarlan,F.W.,McKenney,J.L.,Pyburn,P.(1983)Information Archipelago:Plotting a Course,Harvard Business Review,61,1,145-156.Davis,G.B.and Davis,M.(1984)Management Information Systems,McGraw Hill.