A2 level Information Communication Technology - Unit 4

Corporate Information Systems Strategy

Overview

All businesses, large and small, cannot remain the same for long. The business will stagnate if they do not grow or contract, diversify, develop new markets, expand its product range and plan for the future. They, therefore, need to develop a strategy to help them achieve their goals.

A strategy is necessary because it allows resources to be targeted to those areas requiring funds. It also allows the "stakeholders" ( employees, customers, banks and shareholders of the business) to see that the business is taking account of their interests.

Business Strategy

To formulate a business strategy, a SWOT analysis (Strengths, Weaknesses, Opportunities, Threats) may be used which will identify the internal and external factors that have an impact on the particular business.

Information Systems Strategy

This forms part of the Business Strategy and deals with IT and IS issues. The strategy should cover:

  • Information (what to keep, how to keep it and what can be discarded)
  • IT (How often the organisation will replace its hardware whilst ensuring its data and software can be used)
  • Security (how to keep its data and systems secure)
  • Back-up (how often data needs to be backed up and where backups are stored)

End-user Computing

End-users now have the ability to access productivity applications (word processing, spreadsheets etc), which can be used to develop their own systems e.g. a sales manager may create a spreadsheet to work out targets for the sales team.

The development of such systems needs to be controlled by management and therefore should also be contained within the information strategy.

There are two approaches to the control:

Monopolistic approach:

  • Ensures the whole organisation is using common systems and that there are no incompatibility issues
  • Data files and staff can transfer between departments
  • Ensures systems are developed by experts who will produce efficient systems with proper documentation
  • Allows the control of data and reduces threats to data security

Laissez-Faire Approach:

  • Needs of end-users can be met without waiting for time or funds to become available
  • The organisation can unleash the creativity/talent of its workforce
  • End-users will get the system they want if they develop it themselves

 

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