1. Slide 4.1 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Using IS to reinvent strategy – Ch. 4 Boddy et al. Issues in developing an IS strategy IS from a strategic perspective Aligning IS with corporate strategy Positioning e-Business models Opportunities and problems of IS planning Case: Intel

2. Slide 4.2 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 IS strategic approaches Planned or emergent IS strategy? – see Figure 4.1 IS and strategy inter-related Generic strategies –Operational excellence –Product leadership –Customer intimacy What are the IS consequences of each?

3. Slide 4.3 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 IS and strategy – three models Figure 4.3 General strategy determines the IS strategy Figure 4.4 IS opportunities open up possibilities for general business strategy Figure 4.5 Information systems & strategies affect each other: interaction model

4. Slide 4.4 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 IS and strategy Figure 4.7 IS can change the competition: Porter’s model Source: Reprinted by permission of Harvard Business Review, from Strategy and the Internet by Porter, M.E., 79(2), 2001. Copyright © 2001 by the Harvard Business School Publishing Corporation: all rights reserved

5. Slide 4.5 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 IS from a strategic perspective IS and threats from potential entrants –Aalsmeer, BBC, GoCargo IS and threat of substitutes –Caterpillar, Internet banking IS and the power of suppliers –Airlines yield management systems IS and the power of buyers –Wal-Mart IS and competitive rivalry

6. Slide 4.6 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Digital options Figure 4.8 Products, processes and players can be physical, digital, or both

7. Slide 4.7 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Examples of digital options Figure 4.9 Examples of digital options

8. Slide 4.8 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 IS and competitive rivalry Figure 4.10 Dell’s business model Source: Bidgoli (2004). Reprinted with permission

9. Slide 4.9 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 IS and alignment Figure 4.11 Alignment between IS and organisation, in plans and in operations Source: Sabherwal et al. (2001). Reprinted with permission

10. Slide 4.10 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 IS alignment Figure 4.12 Strategic approach to alignment, based on contingencies

11. Slide 4.11 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 E-business strategy Figure 4.13 Strategic options in relation to the importance of the Internet as a channel Source: Adapted from Chaffey (2007) with permission

12. Slide 4.12 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Product features and the Internet Products vary in their suitability to be sold over the Internet: –Digitisability e.g? –Standardisability e.g? –Portability e.g? –Low touch e.g?

13. Slide 4.13 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 In conclusion Ambiguous link between IS and strategy Interaction between IS and strategy 5 forces model helps to analyse relationships Internet challenging many assumptions Using IS strategically depends on handling the organisational aspects