[MSYS 50 - Reviewer] Strategic Management

strategy

• establishes direction and choices about how an organization will achieve its objectives w/ limited resources 🚏

• needs choices and tradeoffs, not only an ambitious slogan

strategic management

• continuing work of formulating, implementing, evaluating, and controlling those (strategic) choices across functions 🚙

• connects decisions in depts > treating finance, people, ops, and IT as unrelated plans

• continues as conditions change and results becomes visible

• stages: SFIEC

• continuing cycle of cross-functional choices and action

competitive advantage

• commercial: profitability above an industry average.

• academic: educational outcomes, accessibility, sustainability

strategic planning

develops a plan 🗺

strategic management five stages

scanning, formulation, implementation, evaluation, and control.

Feedback can send managers back to earlier stages

ea and strategic management

EA contributes knowledge about feasibility, dependencies, and the consequences of change, but strategy alone is not detailed enough to determine every IT choice.

Enterprises have several competing goals rather than one fixed destination.

mission

• states the org’s central purpose: why it exists and whom or what it serves

• gives a for judging whether an activity belongs within the org’s work.

• concerns enduring purpose rather than a particular system or short-term numerical target

• influences strategic choices but rarely specifies implementation

  • i.e. “Provide accessible education” does not select a database nor define workflows.

ea and mission

EA must connect that purpose to capabilities, processes, and requirements.

vision

• describes desired future condition or position of the organization

• answers “what does successful development look like?” for stakeholders

• aspiration, direction

• must be translated into choices and measurable

ea and vision

EA can help connect the aspiration to a feasible future state

values

• principles that guide behavior and choices WHILE organization pursues its mission and vision

• how can objectives and goals be achieved #legitly

• i.e. fairness, integrity, service

ea and values

• values becomes useful for EA when it becomes decision criteria

• ❌ replace requirements

• ✅ help justify tradeoffs among requirements

goals and objectives

• express intended results

• orgs have different definitions for these

goal

• broader outcome

• guide selection and evaluation of initiatives

• what do you want?

• i.e. “get fit”

objective

• makes the goal more specific and assessable

• good: clarifies result, scope, and timeframe, and, when appropriate, a target

• i.e. “walk a specified distance regularly by a set date”

• still needs business to IT translation

targets

• desired value of KPI

• e.g. 300 quality krabby pattys

KPI

• selected measure used to judge important performance

• needs an operational definition: what’s counted, over which population and period, from what data

• should relate to the objective and be interpreted with other relevant evidence

• e.g. krabby patty quality

ea and kpis

EA helps identify the info flows and ownership needed

environmental scanning

• systematically examines conditions affecting strategy

• internal and external analysis

• reduces uninformed assumptions but cannot eliminate uncertainty

• output: identify strategically relevant changes and implications

  • tldr ikonekt sa strategy

internal analysis

• part of environmental scanning

• considers resources abilities, limitations, and performance

external analysis

• part of environmental scanning

• considers customers, competitors, tech, economic conditions, and other forces outside direct organizational control

ea and environmental scanning

EA contributes an internal view of capability gaps and system dependencies 👓 and can help assess external change consequences 😱

swot analysis and ea

ea can validate claimed internal strengths or weaknesses by tracing actual processes, info, and systems.

tows strategies

• turns SWOT findings into strategic options by matching internal and external factors

• S-O or maxi-maxi: strengths to captrure opportunities

• W-O or mini-maxi: addresses weaknesses so opportunities can be pursued

• S-T or maxi-mini: strengths to reduce exposure to threats

• W-T or mini-mini: reduces weaknesses and avoids threats

strategy formulation

• develops alternatives and selects a course of action using evidence from scanning

  • so nakita niya ang pokemon world at dito siya magdedcide kung saan papunta

• markets? activities to pursue? basis for competing or serving stakeholders? resource allocation?

• good: makes tradeoffs visible. resources for the road travelled by, not for the other road

• not just selecting software!! how bout the services, staffing, partnerships?

• strategy is the result of this process

ea and strategy formulation

ea help test whether options are feasible with current capabilities and what changes they would require 🚏💳

strategy implementation

• turns selected direction (strategy) into coordinated action of people, processes, resources, and systems

• i.e. faculty training for “hybrid-program” strategy"

ea and strategy implementation

ea links the target state to a sequence of business and IT changes. considers dependencies. i.e. self service function is reliant on reliable data

strategy evaluation

• is the strategy (1) producing its intended results and (2) keeping its underlying assumptions sound

• iterative process!

• results can trigger renewed scanning or formulation

• i.e. survey says students can access lessons but not get timely advising

  • perhaps reconsider strategy, not just provide itil service support

ea and strategy evaluation

ea helps trace outcomes to capabilities and process dependencies

strategic control

• provides ongoing oversight that keeps action aligned with strategic direction

• enables response to change

• what will be monitored? who reviews it? how often reviews occur?

strategic evaluation vs strategic control

• evaluation: supplies judgments about performance

• control: supplies continuing arrangements for acting on such info

ea governance and strategic control

ea can support control by reviewing proposed initiatives against enterprise direction and monitoring significant architecture exceptions.

corporate strategy

overall scope and portfolio of the organization. where does the org participate?

corporate strategy and ea

ea helps examine whether shared capabilities and systems make the portfolio workable and what integration a new business would require.

business strategy

how a particular business competes or succeeds within its chosen market

cost leadership, differentiation, and focus

influences’ ea’s capability and architecture priorities. If this defines basis of success within market, architecture should support that basis.

cost leadership

• part of business strategy

• emphasizes favorable cost position

differentiation

• part of business strategy

• emphasizes valued distinctions

focus

• part of business strategy

• concentrates on a selected market segment.

functional strategy

• how departments such as operations, finance, human resources, marketing, and technology support the business strategy

• function-specific priorities and capabilities to support org’s business strat

ea and functional strategy

EA connects the plans of the sound team, ticket team, and performers in a concert. Each plan resembles a functional strategy; conflicts between them can spoil the shared result.

it strategy

related to other functional strategies and the business direction

corporate governance

systems and processes that organizes and directs an org. authority, oversight, accountability