1. SISP Tools Introduction Grouping SISP Tools Selected SISP Tools
Conclusion

2. Introduction
Over the years a number of tools have been developed to assist with the IS strategy planning process
Some organisations use 1 or 2 models only, others use a number of tools to deal with different aspects of IS planning

3. SISP Tools (Some Examples)
Checklists
Business Analysis e.g. Swot, PLEETS
Sector Analysis
Business Opportunities
Opportunity Search
Strategic Analysis
Internal Position
Analysis of the internal position
Generic IS Strategies
Value Chain Analysis
Evolutionary Models
E.g. Stages of Growth Model
Information Requirements Analysis
E.g. CSF Analysis
Portfolio Management Approach
E.g. Internet Value Matrix
External Position
Analysis of Competitive Position e.g.
Five forces model
Generic Strategies
Strategic Thrusts
Linkage/Future Models
Linkage Models
E.g Linkage Analysis Planning
Future Models
E.g. Scenario planning

4. SISP TOOLS Analysed Further (10)
Checklists
SWOT
Business Opportunities
Strategic Analysis Matrix
Analysis of the Internal Position
Value Chain Analysis
Stages of Growth Model
CSF Analysis
Internet Value Matrix
Analysis of Competitive Position
Competitive Five Forces Model
Generic Business Strategies
Linkage/Future Models
Linkage Analysis Planning
Scenario Planning

5. CHECKLISTS

6. Evaluation of IS Capability
SWOT Analysis
Attack
Beware
Opportunity
Situation IS Faces
Threat
Explore
Play Safe
Strength
Weakness
Evaluation of IS Capability

7. BUSINESS OPPORTUNITIES

8. Strategic “IS Portfolio” Analysis(1996)
Ward and Griffiths (1996)
Star (Invest)
Wild cat (Examine)
(Market Growth)
importance
Turnaround
Strategic
advice
Strategic competitive importance of planned IS
Dog (Divest)
Cash Cow (Milk)
Support
Factory
Strategic competitive importance of current IS
(Market Share)
BCG Matrix Robson ch 2 page 53, McFarlan & McKenney (1983) IS Strategic Grid

9. ANALYSIS OF THE
INTERNAL POSITION

10. Firm’s Value Chain Analysis (1985)
Firm Value Chain Analysis ...

11. Stages of Growth Model (Nolan, 1974)
Initiation
cost
reduction
Contagion
new
functions
Control
“hold”
Learning
Cost
STAGES OF GROWTH
(Nolan)
Maturity
database+
telecomms+
end user computing
time

12. Stages of Growth Model contin..
Expenditure on IT/ IS followed an S-curve over time
Organisational learning also followed an S-curve
Each stage marks a new approach to managing and using IT/IS
Movement between stage often prompted by an organisational crisis in the life of the IT function
Stages of Growth Model ….

13. Critical Success Factors (Rockart,1977)
Identify Critical Success Factors
Identify Key Decisions related to the CSFs
Identify the Information Required to support those decisions

14. CSF Analysis Successful application requires skilled team
Attractive to top management teams
Managers not experienced in strategic planning may find it difficult
Incorporated into a number of methodologies e.g. Andersen Consulting’s Method/1

15. Internet Value Matrix( Alexander, 2000)
Criticality to Business
Newness of Idea
New fundamentals
Low
Operational Excellence
High
Rational experimentation
Breakthrough Strategy

16. Internet Value Matrix contin..
This is a Portfolio planning technique used by Cisco to ensure it develops a well-rounded Portfolio of IT projects
Today, Cisco’s portfolio revolves around the internet

17. ANALYSIS OF COMPETITIVE POSITION
(EXTERNAL)

18. Porter’s Competitive 5 Forces Model (1985)
Porters 5 Forces ...
Can IS Build barriers to entry?
Can IS Change the balance of power with suppliers?
Can IS build in switching costs?
Can IS change the basis of competition ?
Can IS generate new products or services?
Porter’s five forces
Robson, ch 5, pg 128

19. Generic Business Strategies (Porter, 1985)
Low Cost
Reduce overall costs in production and operations
At point of sale
Differentiation
Add features to the product or service directly
Focus/niche
Identify and create market niches directly

20. Strategic Thrusts (Rackoff, 1985)
Extends Porters Generic strategies into five:
Low Cost
Differentiation
Innovation
Growth
Alliance
These are targeted at
Suppliers
Customers
Competitors

21. Strategic Options Generator
What is the strategic Target?
Supplier
Customer
Competitor
What is the strategic Thrust?
Differentiation
Low Cost
Innovation
Growth
Alliance
What is the Mode?
Offensive
Defensive
What is the Direction?
Use
Provide

22. LINKAGE/FUTURE MODELS

23. Linkage Models (Primozic, 1991)
Examines links organisations have with one another
Goal – create a strategy utilising electronic channels
Step 1: Define power relationships among the various players and stakeholders
Step 2: Map out the extended enterprise to include suppliers, buyers and strategic partners
Step 3: Plan electronic channels to deliver the information component of products and services

24. Scenario Planning (Schwartz, 1991)
SCENARIOS
stories about the way the world might be in the future
The goal is not to predict the future
Explore forces that may cause different futures to take place
Decide on actions if forces materialise
Case Example – Scenarios on the Future of IS Management

25. Scenario Planning contin..
Step 1:
Define a decision problem and timeframe to bound the analysis
Step 2:
Identify major known trends that will affect the decision problem
Step 3:
Identify just a few driving uncertainties
Step 4:
Construct the scenarios