Sesi01 Basic Terms of SPIS
Understanding the Basic Terms,
Defini4ons, and Background of Strategic
Planning for Informa4on Systems (SPIS)
By: Zainal A. Hasibuan
Faculty of Computer Science
University of Indonesia
September 2009
Session ObjecAves
• To understand the basic terms use in
SPIS.
• To understand the components of SPIS.
• To understand the underlying philosophy
of why SPIS is needed.
Agenda
•
•
•
•
•
•
DefiniAon of SPIS
DefiniAon of Basic Terms Use in SPIS
Reasons to have SPIS
Requirements to Develop SPIS
Advantages of Having SPIS
Exercises of this Session
DefiniAon of SPIS
• The creaAon of a strategy or direcAon for the
procurement and use of informaAon systems within an
organizaAon.
• The process of idenAfying a porNolio of computer‐based
applicaAons that will assist an organizaAon execuAng its
business plans and realizing its business goals. Lederer &
Gardiner 1992
• The means of idenAfying applicaAon systems which
support and enhance organizaAonal strategy. It also
provides a framework for the effecAve implementaAon of
these systems. Fidler & Rogerson, 1996
DefiniAon…..
• The process of developing a plan for the use of
informaAon systems within an organizaAon
which is both cost‐effecAve and aligned with
the prioriAsed management and operaAon
needs of the organizaAon
Coverage of SPIS
• Long‐term plans of IS/IT based on the
organizaAon overall business objecAves.
• Organize by senior management to define the
enterprise demands of its IT.
• Defining IS/IT mission based on the enterprise’s
mission and objecAves
• Defining IT policies
• Defining business processes and informaAon
flows of the enterprise
Pause….How IS/IT can support the
business goals relaAng to managing
current and future operaAons and for
obtaining compeAAve or strategic
advantage?
September 2009
Basic Terms of SPIS
•
•
•
•
•
•
•
Strategy
Strategic
Planning
Strategic Planning
InformaAon
InformaAon Systems
InformaAon Technology
What is Strategy?
• An elaborate and systemaAc plan of acAon
• Long term acAon plan for achieving a goal
• We need strategy in order to be flexible to respond
rapidly to compeAAve and market changes
• CompeAAve strategy is about being different
• The essence of strategy is choosing to perform
acAviAes differently than rivals do
• Generic strategies: cost‐leadership, differenAaAon,
and focus
What is Strategic?
• Highly important to or an integral part of a
strategy or plan of acAon especially in war.
• Strategic posiAons can be based on customer’s
needs, customers’ accessibility, or the variety
of a company’s products or services
“Challenge: How to create a sustainable
strategic posiAon?”
What is Planning
• Planning is the acAon of anAcipaAng the
future
• IS/IT Planning is designed to counteract the
possibility the IT/IS will be implemented in a
piecemeal fashion
• Three levels of planning
– Long‐term planning
– Medium‐term planning
– Short‐term planning
What is strategic planning?
• Long‐term plans based on the organizaAon
overall business objecAves.
• Strategic plans are typically mulAple years (5‐10)
using scenarios or other planning methods that
idenAfies assumpAon, risks, and environmental
factors
• Focus on the external environment and making
decisions about the allocaAon of resources for
compeAAve advantage
InformaAon
• Manipulated from data
– Numeric
– Text
– Graphic
– Image
– Etc
• Basis to create knowledge and wisdom
• Have various degree of certainty
What is informaAon system?
• InformaAon System is a set of interrelated
elements or components that collect (input),
manipulate (process), and disseminate (output)
data and informaAon and provide a feedback
mechanism to meet an objecAve of organizaAon
• Confined to Computer‐based InformaAon System
• It’s a computer applicaAon to perform a certain
tasks
What is informaAon technology?
• The technology that support IS to perform
certain tasks.
• IT comprises artefacts for collecAon, storage,
disseminaAon and manipulaAon of data.
• CompuAng plaNorms used to provide
compuAng services that connect employees,
customer, and suppliers into a coherent digital
environment.
Why SPIS is Needed?
• Business opportuniAes are missed
• Systems and technology investments do not support
the business objecAves
• Lack of integraAon of systems
• IneffecAve informaAon management
• No prioriAes of IS/IT
• Resource levels are not opAmal
• IT strategy is incoherent
• Lack of understanding and commitment among
users, senior management, IS/IT specialist
• Conflict sAll exist
SPIS Requirements
• Understanding the nature of the organizaAon, its goals and
objecAves, where it is going, its culture, and how it ‘thinks’;
• Understanding the informaAon technology, what is available,
how IT is changing, what the potenAal uses are;
• Understanding the informaAon needs, what informaAon flows
through the organizaAon; what decisions are made as a result;
how informaAon supports business processes;
• Understanding the people, what their roles are in the
organizaAon, what their objecAves and moAves are, how they
implement business processes;
• Understanding the environment, what influences the
organizaAon ‐ legislaAon, markets, technology, media.
Other Requirements
• It requires technical and managerial
understanding;
• Planning the details and thinking holisAcally;
• RaAonal, analyAcal know‐how and poliAcal
sensiAvity
Failure to Have SPIS Will Cause….
•
•
•
•
•
•
•
•
Missed business opportunities
Duplicated systems exist
IS/IT cannot support business processes
Ad-hoc approaches
Priorities are not based on business needs
Incompatible systems
Wasted resources, and underutilized resources
Lack of agreement on IT/IS strategic direcAon
Session Exercises
Describe the meaning of SPIS
Define the coverage of SPIS
Analyze the advantages and disadvantages of SPIS
List 3‐5 strategies in an organizaAon you encounter
and relate them to the strategic posiAon of the
organizaAon’s aim.
• Give 3‐5 jusAficaAons in any organizaAon why it
needs to develop SPIS
•
•
•
•
Defini4ons, and Background of Strategic
Planning for Informa4on Systems (SPIS)
By: Zainal A. Hasibuan
Faculty of Computer Science
University of Indonesia
September 2009
Session ObjecAves
• To understand the basic terms use in
SPIS.
• To understand the components of SPIS.
• To understand the underlying philosophy
of why SPIS is needed.
Agenda
•
•
•
•
•
•
DefiniAon of SPIS
DefiniAon of Basic Terms Use in SPIS
Reasons to have SPIS
Requirements to Develop SPIS
Advantages of Having SPIS
Exercises of this Session
DefiniAon of SPIS
• The creaAon of a strategy or direcAon for the
procurement and use of informaAon systems within an
organizaAon.
• The process of idenAfying a porNolio of computer‐based
applicaAons that will assist an organizaAon execuAng its
business plans and realizing its business goals. Lederer &
Gardiner 1992
• The means of idenAfying applicaAon systems which
support and enhance organizaAonal strategy. It also
provides a framework for the effecAve implementaAon of
these systems. Fidler & Rogerson, 1996
DefiniAon…..
• The process of developing a plan for the use of
informaAon systems within an organizaAon
which is both cost‐effecAve and aligned with
the prioriAsed management and operaAon
needs of the organizaAon
Coverage of SPIS
• Long‐term plans of IS/IT based on the
organizaAon overall business objecAves.
• Organize by senior management to define the
enterprise demands of its IT.
• Defining IS/IT mission based on the enterprise’s
mission and objecAves
• Defining IT policies
• Defining business processes and informaAon
flows of the enterprise
Pause….How IS/IT can support the
business goals relaAng to managing
current and future operaAons and for
obtaining compeAAve or strategic
advantage?
September 2009
Basic Terms of SPIS
•
•
•
•
•
•
•
Strategy
Strategic
Planning
Strategic Planning
InformaAon
InformaAon Systems
InformaAon Technology
What is Strategy?
• An elaborate and systemaAc plan of acAon
• Long term acAon plan for achieving a goal
• We need strategy in order to be flexible to respond
rapidly to compeAAve and market changes
• CompeAAve strategy is about being different
• The essence of strategy is choosing to perform
acAviAes differently than rivals do
• Generic strategies: cost‐leadership, differenAaAon,
and focus
What is Strategic?
• Highly important to or an integral part of a
strategy or plan of acAon especially in war.
• Strategic posiAons can be based on customer’s
needs, customers’ accessibility, or the variety
of a company’s products or services
“Challenge: How to create a sustainable
strategic posiAon?”
What is Planning
• Planning is the acAon of anAcipaAng the
future
• IS/IT Planning is designed to counteract the
possibility the IT/IS will be implemented in a
piecemeal fashion
• Three levels of planning
– Long‐term planning
– Medium‐term planning
– Short‐term planning
What is strategic planning?
• Long‐term plans based on the organizaAon
overall business objecAves.
• Strategic plans are typically mulAple years (5‐10)
using scenarios or other planning methods that
idenAfies assumpAon, risks, and environmental
factors
• Focus on the external environment and making
decisions about the allocaAon of resources for
compeAAve advantage
InformaAon
• Manipulated from data
– Numeric
– Text
– Graphic
– Image
– Etc
• Basis to create knowledge and wisdom
• Have various degree of certainty
What is informaAon system?
• InformaAon System is a set of interrelated
elements or components that collect (input),
manipulate (process), and disseminate (output)
data and informaAon and provide a feedback
mechanism to meet an objecAve of organizaAon
• Confined to Computer‐based InformaAon System
• It’s a computer applicaAon to perform a certain
tasks
What is informaAon technology?
• The technology that support IS to perform
certain tasks.
• IT comprises artefacts for collecAon, storage,
disseminaAon and manipulaAon of data.
• CompuAng plaNorms used to provide
compuAng services that connect employees,
customer, and suppliers into a coherent digital
environment.
Why SPIS is Needed?
• Business opportuniAes are missed
• Systems and technology investments do not support
the business objecAves
• Lack of integraAon of systems
• IneffecAve informaAon management
• No prioriAes of IS/IT
• Resource levels are not opAmal
• IT strategy is incoherent
• Lack of understanding and commitment among
users, senior management, IS/IT specialist
• Conflict sAll exist
SPIS Requirements
• Understanding the nature of the organizaAon, its goals and
objecAves, where it is going, its culture, and how it ‘thinks’;
• Understanding the informaAon technology, what is available,
how IT is changing, what the potenAal uses are;
• Understanding the informaAon needs, what informaAon flows
through the organizaAon; what decisions are made as a result;
how informaAon supports business processes;
• Understanding the people, what their roles are in the
organizaAon, what their objecAves and moAves are, how they
implement business processes;
• Understanding the environment, what influences the
organizaAon ‐ legislaAon, markets, technology, media.
Other Requirements
• It requires technical and managerial
understanding;
• Planning the details and thinking holisAcally;
• RaAonal, analyAcal know‐how and poliAcal
sensiAvity
Failure to Have SPIS Will Cause….
•
•
•
•
•
•
•
•
Missed business opportunities
Duplicated systems exist
IS/IT cannot support business processes
Ad-hoc approaches
Priorities are not based on business needs
Incompatible systems
Wasted resources, and underutilized resources
Lack of agreement on IT/IS strategic direcAon
Session Exercises
Describe the meaning of SPIS
Define the coverage of SPIS
Analyze the advantages and disadvantages of SPIS
List 3‐5 strategies in an organizaAon you encounter
and relate them to the strategic posiAon of the
organizaAon’s aim.
• Give 3‐5 jusAficaAons in any organizaAon why it
needs to develop SPIS
•
•
•
•