MDCM, Inc. (A): IT Strategy Synchronization

2017 ◽  
pp. 1-9
Author(s):  
Mark Jeffery ◽  
Joseph F. Norton ◽  
Derek Yung
Keyword(s):  
Portfolio Management ◽  
Business Strategy ◽  
Corporate Strategy ◽  
Competitive Environment ◽  
It Strategy ◽  
Business Objectives ◽  
Business Objective ◽  
It Portfolio Management ◽  
Executive Level ◽  
Transformation Strategy

“MDCM, Inc. (A): IT Strategy Synchronization” examines the issues of formulating an IT strategy and a set of IT objectives aligned with corporate strategy. Specifically, the case describes a firm that has grown rapidly through global acquisitions. As a result of these acquisitions, the new conglomerate is not responsive to the competitive environment. The firm has therefore launched a new transformation strategy called Horizon 2000, but it has yet to develop a corresponding IT strategy. Students solve Case A by applying the management by business objective framework and develop an executive-level IT strategy for the firm. This case is the first in a series; the second is the case “MDCM, Inc. (B): Strategic IT Portfolio Management.”The objective of the case is to have students analyze a firm's strategy and define the IT objectives for the firm. A key takeaway is that IT objectives should be systematically linked to corporate strategy. Students learn a framework and process for aligning IT objectives with business strategy. The framework consists of mapping corporate strategy to business objectives, to overall IT strategy, and finally mapping to specific IT objectives.

MDCM, Inc. (B): Strategic IT Portfolio Management

2017 ◽  
pp. 1-8
Author(s):  
Mark Jeffery ◽  
Joseph F. Norton ◽  
Derek Yung
Keyword(s):  
Portfolio Management ◽  
Resource Constraints ◽  
The United States ◽  
Growth Strategy ◽  
It Strategy ◽  
Contract Manufacturing ◽  
Strategic Objectives ◽  
Execution Strategy ◽  
It Portfolio Management ◽  
Outsourcing Decision

“MDCM, Inc. (B): Strategic IT Portfolio Management” examines the steps involved in developing a portfolio of IT projects aligned with a company's strategic objectives. Specifically, the case describes a situation where a firm has launched a transformation strategy but has yet to develop a complementary IT strategy. Students must select the optimal portfolio of projects aligned with the strategic objectives and define the global project execution strategy. The projects have both risks and dependencies. U.S.-based MDCM, Inc. specializes in medical device contract manufacturing and assembly. For the past five years, MDCM had grown by making more than twenty acquisitions of companies based outside the United States. This growth strategy enabled MDCM to better match its services to its customers, who had become larger and more global. In MDCM (A), the CIO of MDCM needed to determine the company's IT strategy and objectives. In doing so, he needed to ensure that they were properly aligned with the company's overall strategy and the new organization developed under an initiative called Horizon 2000. In a lecture prior to the cases, students should be introduced to the framework of IT portfolio management and how it can help focus IT efforts. In MDCM (B), the CIO has performed an audit of MDCM's IT and found twelve projects that are potential investment candidates for the next three years. The challenge for the IT Portfolio Management team is to identify the priority and appropriate sequence of investments to be made. The case assumes that students have knowledge of corporate IT. More specifically, the case is targeted for those who are or plan to become executives who would manage IT strategy and IT investment decisions either directly or in an oversight role. This case is the second in a series; the first is the case “MDCM, Inc. (A): IT Strategy Synchronization.”For this case, students create a portfolio management process and apply it to the IT project portfolio of a global manufacturing company. Students will learn how to balance risk and return of projects and short-term vs. long-term wins. They also create an activity network diagram, stressing the importance of understanding global resource constraints and execution timing. Students also learn the nuances of portfolio selection, e.g., outsourcing decision making and build vs. buy for a global firm.

Strategic IT Portfolio Management for Development of Innovative Competences

2009 ◽  
pp. 150-169 ◽  
Author(s):  
Dejan Petrovic ◽  
Marko Mihic ◽  
Biljana Stošic
Keyword(s):  
Portfolio Management ◽  
Organizational Support ◽  
Corporate Strategy ◽  
Project Portfolio ◽  
Project Portfolio Management ◽  
It Projects ◽  
It Innovation ◽  
Key Aspects ◽  
Executive Level

This chapter presents the concept of strategic information technology portfolio management for development of innovation competences in a project-oriented company. It is a specific type of portfolio management, called project portfolio management. The chapter begins with a strategic basis of projectoriented company, links it to the modern portfolio theory and then expands it into the IT project portfolio management (IT PPM). The role of the IT PPM is to ensure that the group of IT projects supports the achievement of the goals of the corporate strategy. The chapter takes into consideration the key aspects of IT - innovation relationship, and introduces the organizational support to the IT PPM – the Portfolio Management Office. An established PMO that is actively supported at the executive level can help solve problems with project auditing and initiative approval.

IS Project and Portfolio Management

2011 ◽  
pp. 476-496
Author(s):  
Brian Cameron
Keyword(s):  
Resource Allocation ◽  
Project Management ◽  
Strategic Management ◽  
Portfolio Management ◽  
Business Strategy ◽  
Corporate Strategy ◽  
Instructional Systems ◽  
Project Portfolios ◽  
Corporate Business ◽  
Solid Bridge

Instructional Systems Portfolio Management (ISPM) is a topic of intense interest in the strategic management of Instructional Systems (IS). In ISPM, IS synchronization with corporate business strategy is operationalized by the application of the principles of financial portfolio management to IS investments. This perspective is crucial to the continual alignment of business strategy and IS investments. Portfolio management is the discipline of managing projects together as a portfolio that meets corporate objectives. It optimizes development investment and resource allocation across multiple projects. This chapter investigates current techniques and best practices for managing IS project portfolios and strives to create a solid bridge between project management, corporate strategy and IS investments.

Strategic Management Principles

2011 ◽  
pp. 31-72
Author(s):  
Eng K. Chew ◽  
Petter Gottschalk
Keyword(s):  
Strategic Management ◽  
Business Model ◽  
Business Strategy ◽  
Corporate Strategy ◽  
It Strategy ◽  
Strategic Choices ◽  
Basic Principles ◽  
Technology Deployment ◽  
Business Executives ◽  
Strategic Goals

Building on the understanding of the theories and models of firms, this chapter reviews the basic principles of strategic management of business enterprises. First, the basic principles of business strategy are explained. Only through in-depth understanding and diligent application of these principles will business executives be able to make strategic choices and craft an appropriate business strategy and the corresponding value configuration, business model, or e-business model for the firm. Second, the role of corporate strategy and its relationships with business unit strategies are discussed. The discipline of strategic management is introduced together with the principles of strategy maps—a model which is explained and illustrated by case example of its application by a leading corporation in more detail in Chapter V as part of a strategic alignment discussion. Third, the principles of strategic planning and the measurement of competitive strategy are described. These tasks ensure a corporate/business strategy is rigorously planned, resourced, and diligently executed to deliver the requisite strategic goals. Following on from the resource-based and activity-based theories of firms discussed in Chapter I, this chapter describes the corresponding resource-based and activity-based strategies. In addition, with the increasing importance of corporate governance comes the need to ensure due consideration is given to ethics in information technology deployment. Theories for ethics in IT and their incorporation in IT strategy are still emerging. The basic issues for IT strategy developmental consideration are reviewed.

Managing Oil and Gas Project Value By Prime (Pertamina Investment Management Engine)

2020 ◽  
Author(s):  
F. Febrian
Keyword(s):  
Portfolio Management ◽  
Corporate Strategy ◽  
Oil And Gas ◽  
Investment Strategy ◽  
Project Portfolio ◽  
Action Plans ◽  
Investment Management ◽  
Micro Scale ◽  
Robust Portfolio ◽  
Oil And Gas Companies

Oil and gas companies are facing an enormous challenge to create value from mature fields. Moreover, price volatility presents a massive impact on project uncertainties. Therefore, robust portfolio management is essential for oil and gas companies to manage critical challenges and uncertainties. The objective of this study is to develop a robust portfolio model to assist top management in oil and gas companies to drive investment strategy. PRIME (Pertamina Investment Management Engine) has been built to visualize advanced oil and gas project portfolio management. The engine observes the relationship between risk-and-return as the main framework drivers. The profitability index is endorsed as a parameter to envisage the investment effectiveness of individual projects. Correspondingly, the risk index is a manifestation of multi-variable analysis involving subsurface uncertainty and price. A nine clusters "tactical board" matrix is provided as the outcome of PRIME to define generic strategy & action plans. The PRIME analysis leads to a dual theme of perspective: both macro and micro-scale. The macro-scale discovers a diversification of strategy and scenario development to achieve long-term objectives. Whereas, micro-scale perspective generates a detailed action plan in a particular cluster as a representation of the short and mid-term corporate strategy. Several strategies and action plans have been recommended, including advanced technology implementation, new gas commercialization, additional incentives in the Production Sharing Contract, tax management renegotiation, and project portfolio rebalancing

Intertwining CSR with strategy – the way ahead

2014 ◽  
Vol 14 (2) ◽  
pp. 211-219 ◽  
Author(s):  
Shital Jhunjhunwala
Keyword(s):  
Business Strategy ◽  
Design Methodology ◽  
Business Models ◽  
Corporate Strategy ◽  
Sustainable Business ◽  
Socially Responsible ◽  
Content Type ◽  
Sustainable Business Models ◽  
Corporate Social

Purpose – The purpose of this paper is to emphasize the importance and means of making corporate social responsibility (CSR) an integral part of corporate strategy with the help of case studies. Design/methodology/approach – The article explores the transformation of business from being egocentric to socially responsible. With the use of examples it demonstrates how integrating CSR into strategy can create sustainable business models. Findings – Firms need to develop a framework for integrating CSR into their business strategy for long term successful survival. Social implications – Corporates and society are intertwined and mutually dependent. Business cannot survive without society's acquiescence nor succeed without its active support. Originality/value – The article explains the benefits of CSR and how to make it an integral part of business strategy to gain a competitive advantage.

Strategies and Outcomes in the Two Sectors of the Japanese Shipbuilding Industry

2001 ◽  
Vol 17 (03) ◽  
pp. 174-182
Author(s):  
Philip C. Koenig ◽  
Hitoshi Narita ◽  
Koichi Baba
Keyword(s):  
Business Strategy ◽  
Technological Development ◽  
Competitive Environment ◽  
Corporate Structure ◽  
Shipbuilding Industry ◽  
Second Tier ◽  
Two Sectors

The Japanese ocean-going shipbuilding industry has evolved into two distinct sectors and today's second tier or medium-sized firms build close to half the nation's output of large ocean-going vessels. Many vessels recently delivered by the major and the medium-sized shipbuilders are of similar size and complexity. However, the medium-sized shipbuilding companies of Japan differ considerably from the majors in business strategy and corporate structure. To date, studies published in English on the Japanese shipbuilding industry have focused mainly on the seven major firms. In this paper Japan's medium-sized shipbuilders are introduced. Their competitive environment, operations, and strategies are compared with those of the seven major firms. The relative strengths and weaknesses of the major and medium-sized shipbuilders are considered and the role of technological development in the long-term prospects of both is discussed.

Strategy war games: how business can outperform the competition

2018 ◽  
Vol 39 (6) ◽  
pp. 3-12 ◽  
Author(s):  
Jason West ◽  
Maiko Chu ◽  
Lincoln Crooks ◽  
Matthew Bradley-Ho
Keyword(s):  
Financial Services ◽  
Business Strategy ◽  
Joint Venture ◽  
Corporate Strategy ◽  
Insurance Company ◽  
Content Type ◽  
External Threats ◽  
Internal Capabilities ◽  
Banking Institution ◽  
The Impact

PurposeBusiness wargames represent an alternative approach to challenge organisations to uncover internal capabilities through competitive actions designed to counteract external threats and address strategic mismatches. Internal capabilities uncovered as a result of actions taken during a competitive wargame aims to replicate market conditions found in competitive industries. These outcomes are difficult to achieve using many popular strategy design methods. The purpose of this study is to examine the use of war game-style activities in formulating corporate strategy that incorporate the natural behaviors of the leadership team in creating strategic plans.Design/methodology/approachUsing a case study from the banc assurance industry, the authors review a wargame process composed of two competing teams; the banc assurance organisation and an unincorporated joint venture between a banking institution and an insurance company. The goal of each entity was to develop strategy to improve both customer satisfaction and market share at the expense of each other given a finite set of resources. Success was judged using a simple set of metrics defined by both a consumer team and an independent umpire.FindingsConsumers of financial services are price sensitive and highly brand loyal. Unwillingness to switch brands to a prevailing competitor or other emerging (Fintech) institution persists to a threshold of a price and/or value differential of 15 to 20 per cent. The results highlight potential deficiencies in the proposed banc assurance strategy through the observation of customer behaviours and inefficient resource use.Originality/valueThe wargame approach conducted in a realistic landscape revealed internal capabilities not otherwise evident. The impact of authentic human behaviours in setting business strategy was captured which is very difficult to replicate using more formal scenario analysis and planning.

scholarly journals IT LONG TAIL STRATEGY FOR SOFTWARE PACKAGE COMPANY

2010 ◽  
Vol 4 (2) ◽  
pp. 125
Author(s):  
Andreas Winata ◽  
Lydia Theodore ◽  
Hoga Saragih
Keyword(s):  
Business Strategy ◽  
Software Package ◽  
It Strategy ◽  
Total Revenue ◽  
Total Income ◽  
Software Developers ◽  
Long Tail ◽  
Role Of It ◽  
Identification Analysis

Long Tail Strategy is a business strategy which explains that the total revenue from the sale of non-popular products may exceed the total income from popular products. This may happen since generally there is only a small number of popular products, which is in great demand, while there are many of the non-popular types which is sold in small amounts. This research aims to better understand the role of IT behind the success of the Long Tail strategy. Results show stages of how to develop IT strategy, including identification, analysis, determines on a strategy, until implementation. The results of this study will help software developers to plan IT strategy by implementing an accurate Long Tail Strategy.Keywords: Long Tail, IT Strategy, Services, Software Package

scholarly journals Managing and Delivering Information Technology Value

2011 ◽  
Vol 2 (1) ◽  
pp. 72
Author(s):  
Yuliana Lisanti
Keyword(s):  
Information Technology ◽  
Value Creation ◽  
Business Strategy ◽  
Primary Objective ◽  
Business Value ◽  
It Strategy ◽  
Value Innovation ◽  
Capability Maturity ◽  
It Capability ◽  
It Organization

Investment Information Technology (IT) has always been a primary objective of the business which is expected to provide value to businesses through its role as a competitive advantage and the creation of innovation. However, it is ot easy to measure how much value is successfully created, or determine whether the IT strategy is aligned with business strategy, or find out if the IT organization has a strategy that focuses on creating business value. Innovation Value of Institute (IVI) introduces a new concept known as the IT Capability Maturity Framework (IT-CMF) which can help IT organizations to align the business vision with the IT vision so that IT strategy could focus on value creation . the IT-CMF implementation which begins with the assessment of the maturity of IT organization can provide an overall picture, so that organization can prioritize the development of appropriate IT investments to support the value creation for the overall business. 

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