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Managing Information:

Information Technology
Architecture
Infsy 540
Dr. R. Ocker

Strategy

What is a business strategy?

Strategy

What is the relationship between IT and


the business strategy?

managers dilemma
managers dilemma:
cannot leave important IT decisions to
computer professionals to make alone,
but managers are not technically
competent to make the right decisions
without technologists

managers dilemma

dilemma resolved by developing an


information technology architecture
bridge between strategy and technology
defines a companys IT infrastructure
includes policies and guidelines that govern the

IT resources
computers, data, software, communications facilities

Link IS plan to business plan

Linkage achieved if
corporate business plan states information
needs
IS plan refers to requirements of business
plan & is checked against plan
non-IS managers participate in IS planning
process and vice versa
corporate & IS planning calendars are in
synch

Strategy

IT must support the business strategy


3 dimensions of support
content
timing
people involved in planning process

Information Technology
Architecture

provides a structure to facilitate


decision making about technology
investment and use

Architecture is the metaphor

Architecture is the metaphor - building


IT infrastructure
to build a skyscraper:
owner starts with vision of building
works with architect who translates vision
into a plan

Architecture is the metaphor

builders uses plan to construct building


owner does not have expertise in
structural engineering, but must have
clear ideas of what and how the building
will be used.
Must understand some basics of design
in order to communicate vision to the
architect.

Architecture is the metaphor

to build an IT architecture:
executives start with a vision of doing
business
vision has certain implications for information
requirements

dont have technical computer expertise


do have clear idea of business strategy
must communicate this to IT
architect/planner

Architecture is the metaphor

general managers must be able to


effectively integrate IT into their vision
for the organizations competitive
strategy

Components of an IT Architecture

1. Information technology inventory


2. Functional use of the IT
3. Strategic plan for the IT

1. Information technology
inventory

answers the question what do we


have?
basic building blocks of an IT
architecture
hardware
software
data
communications links

1.Information technology
inventory

this level is the hard technology from which


most general managers are far removed

general manager should have a basic familiarity


with computer systems to bridge the gap between
his/her world and that of the IT architect;

IT architect must have a good understanding of


the business and the organization

2. Functional use of the IT

answers the question how do we use it?


baseline blueprint - IT components and
functions already in place
planned blueprint - prescription for future IT
investments and designs
general manager and IT architect
communicate on this conceptual level
3 functional categories:applications, data and
communications

3. Strategic plan for the IT

past - general managers were unfamiliar with


technology and delegated IT architecture
decisions to gurus
however, these experts in technology often
had little knowledge of business strategies
now - cant afford this approach; technology
too expensive and too important
business strategy must drive IT architecture
strategy

Developing an IT Architecture

designing and building an architecture


is an ongoing business process

goal - to reach consensus between the


IS organization and the business
leaders - not easy to do

Developing an IT Architecture
Steps:

1. articulate business strategy and


implications for IT architecture
start from the top with the overall business
strategy and its functional IT requirements
2. baseline the company architecture
baseline blueprint - assess existing IT
bottom-up approach

Developing an IT Architecture
Steps:

3. determine key architecture questions


outline set of questions to be answered,
such as:
what technologies do we have?
are these the right technologies?
how does the current architecture support our
business?
are we getting a strategic advantage from our
architecture?

Developing an IT Architecture
Steps:

then look into the future to the planned


blueprint:
in what technologies should we invest?
how should it be structured?
how will it give us a competitive
advantage?
should we outsource any functions?
etc.

Developing an IT Architecture
Steps:

4. design a planned architecture


blueprint
decide what the architecture should be

Developing an IT Architecture
Steps:

5. initiate the architecture plan


two approaches - revolutionary vs.
evolutionary
revolution - radical replacement of old
technology
evolution - new technology layered on
top of existing infrastructure; old systems
gradually replaced over time

Understand?
Questions?

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