One of the biggest misconceptions about IT Strategy is that it only governs how and how much money should be spent on IT . Senior management dictates to the IT team exactly what they want, and the IT team responds back by relating how much it may cost and how long it may take. Everyone knows that this is a poor model, but many companies are stuck with the mindset.
How does one make sure that IT is part of the organizational strategy? Here are four steps to follow to make sure it does:
- Figure out the Operating Model of the company.
- Design an enterprise architecture for the current scenario.
- Identify and map future IT products, which drive growth in an organization based on a proficient and integrated system that is open to acquisitions and new ventures.
- Create an enterprise level architecture based on future and existing IT products, and then carry out an execution.
To identify the IT Products needed for the company’s growth is not a one-point decision. This decision has vital implications in terms of cost and time invested by the leadership. There is a five point principle which helps in taking such a tough decision:
- The first key decision is based on ‘IT principles’. Each company needs a clear understanding of the role that IT would play in their organization.
- The second key decision involves capabilities. It draws entirely from the previous decision about IT principles. For example, if your IT principles are focused on lowering costs, then your capabilities must be built around that focus.
- The third key decision involves infrastructure. Once it has been decided what
capabilities should be built, who will have access to what information must then be decided. What data will be shared? How long will employees have access to the information? - The fourth key decision revolves around the people who will formulate the requirements for individual applications. Should each individual business unit decide the application requirements or should the applications be provided to each unit in a more collaborative way?
- The fifth and final key decision focuses on IT investment. Who gets to decide on the prioritization of projects in the organization? Which projects will be funded? Which projects will not be funded?
We at Gurus Consulting are experts in IT Strategy. We enable effective IT solutions that help businesses grow.
