The developed IS strategy will deal with the above forces in both our case studies. According to Mr. Porter, a firm may take generic strategies in order to create much superior profits. Some of these strategies include: overall cost leadership, differentiation of products and services, and focus on the unique needs of the consumers. It is hence critical that organizations make clear strategy choices in their approach. This is what the implementation of IS strategy is likely to result in the organization. This paper therefore seeks to critically examine two main aspects of IS strategy development and/or implementation through the use of case studies to illustrate the arguments and conclusions.
In so doing the paper will discuss how and why the IS strategy has been developed through the Venkatraman, and how and why the IS strategy has been implemented through ERP; CRM or MRP. The paper will do this through illustrating a literature review, explaining the two case studies and then giving a conclusion of the arguments in the paper. The case studies are of two different information technology firms that aim to address a serious economic organizational recession and plan the cuts in the public sector as well as the funding.
The two firms are also looking up to achieving their long term goals using the IS strategy to be developed and implemented through the mechanism that will be described in this paper. This section will illustrate how and why the IS strategy is developed as well as how and why the same strategy is implemented. According to the Strategic Alignment Model of Venkatraman, one determination that separates successful business from failed business is the ability to develop and analyze business strategy for success.
Mastery of the steps of developing a strategy and creating a concrete business strategy approach to the business helps one to flourish with the business (Spinelli, 2005). The Strategic Alignment Model of Venkatraman is broadly used as the basis of the IT and Business alignment theories of developing IS strategy. Key to this model is the fact that in order to become successful, one should ensure that the strategy is aligned fully with the business strategy (Timmons, 2009).
The Strategic Alignment Model of Venkatraman consists of 4 quadrants with each having 3 components. These components working together identify and determine the degree of alignment; this is done through the
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