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Contemporary Strategic

Summarizing the opinions and feedbacks as the result of reading of IT strategy related material, I want to underline that the topic of IT-strategy is highly related to the overall business strategy, thus business leaders are genially interested in information services. One of the most interesting and actual concepts was highlighted by Pr. Ansoff. He stressed on the ultimate importance of customers’ opinion and less on suppliers’ feedbacks (Ansoff 1965). The ideas expressed from customers’ side help to develop and differentiate the market niches.

The questions emerging at the time of IT strategically management investigation, make the IT leaders think about goals and objectives, which should be employed in order to pursue the development of IT strategy of organization. On the other side the attention of IS management is focused on the business strategy of organization and its influence on IT development: should IT department play the accounting and maintenance role, or here are more options available? (Barry, Elmes 1997)

Vladislav Dementev, the head of IT Department of “ITERA” company in his most recent report on the Fith Consultant-Practical Conference on Contemporary Concepts of Organizational Management and IT issues has identified the corporate IT strategy as an integrated part of the overall

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business strategy and the main driver for development of key success factors in the winning policy of organization (ITERA Press Release, 2008). This idea was supported by Alexander Moskvin, IT manager from Procter & Gamble Corporation.

He stated that in development any IT strategy using the principle of “cascading dawn”, IT managers should directly participate in the overall company business strategy. The both opinions prove the idea of important role that plays IT department in the overall structure of the enterprise. The role of IT department varies in accordance with business activity and market policy of organization current IT department belongs to (Forster, Browne 1996). Sergey Pegasov, the Head of Information Technology ICN Pharmaceutical, stated that strategic plans of IT department should completely meet objectives and challenges faced by organization.

Especially this initiative is vital for main business activity that contributes accordingly into realization of company’s business plans in the market. (ITERA Press Release, 2008) At the same time Michael Nosov, the Head of IT Department of AvtoVaz JSC claims that the most challengeable task for IT managers is not a definition and understanding of development lifecycle and investments required in the process, but practical ability to comprehend and use the expertise from the lessons learned. The process looks quite simple under his description.

It consists from several stages including the definition of business objectives, analysis of requirements, issues and challenges of IT solutions. The commonly used basis for determining the IT strategy is related to information about the user , which is carefully collected during the analysis of business processes. Any plan of IT department is a transaction of business knowledge and user‘s requirements, which are followed in order to achieve targeted goals and benefits (ITERA Press Release, 2008).

In order to achieve the quality of IT processes, which corresponds to overall business policy of organization, IS manager needs to find an answer to several ultimately important questions. How to define the level of service provided to business units and respond accordingly to their request regarding the quality of this service? Only best practices driven management will be effective and successful in this case.

The best practices based management of IT infrastructure of the organization is able to establish parameters to measure and to determine the qualitative indicators of IT services, also to obtain the arguments for investments into IT. This expertise allows auditing the information systems employed in the organization in accordance with the results and corporate IT strategy, saving and distributing documented recommendations for the next development lifecycles.

Minimization and optimization of the complexity cost of IT budgets for overall operations and development lifecycle is one of the main issues IS managers face during the process of planned IT costs justification and analyzing. (Luftman 2004) The most recent practices shows that creating and reasoning of IT budgets is a serious problem for managers of IT departments of many companies. The most efficient approach for structural solution of this issue is related to development of IT strategy, which corresponds to the business goals of organization.

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