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Chapter 9

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COMM 190
Yasmeen Mufti

Ch. 9: IS Strategy, Governance and Ethics Q1. What is the relationship between organizational strategy and IT planning?  Use Porter’s five forces model to consider the industry structure and develop a competitive strategy for the organization  This competitive strategy is supported through activities in the value chain, which consist of a collection of business processes supported by information systems Q2. What Is Information Technology architecture?  IT architecture is the basic framework for all the computers, systems, and information management that support organizational services  Enterprise architect creates a blueprint of an organization’s information systems and the management of these systems o organizational objectives, business processes, databases, information flows, operating systems, applications and software, and supporting technology  Zachman framework divides systems into two dimensions (listed below) to provide a relatively holistic view of the enterprise o Communication: what – data, how – function, where – network, who – people, when – time, why – motivation o Stakeholder groups: planner, own, designer, builder, implementer and worker Q3. What is alignment, why is it important, and why is it difficult?  Alignment: process of matching organizational objectives with IT architecture  Ongoing -- fitting IT architecture to business objectives is continuous challenge  Measured as the degree to which the IT department’s missions, objectives, and plans overlapped with the overall business missions, objectives, and plans  Communication between business and IT executives is the most important indicator of alignment Q4. What is information systems governance?  Governance: some committee (or political party) has the ability to decide on expectations for performance, it authorize appropriate resources and power to meet expectations and perhaps eventually to verify whether expectations have been met  Goal of IS governance is to improve the benefits of an organization’s IT investment over time o Reporting structures and review processes to:  Improve quality, reduce service costs and delivery time, reduce IT risks and better supportbusiness processes Sarbanes-Oxley Act & the Budget Measures Act  Increasing interest in IS governance most likely due to these two laws, which force companies to comply with standards for collecting, reporting & disclosing info.  Require management to create internal controls sufficient to produce reliable financial statements & to project the organization’s assets, also management must issue a statement saying they have done so
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