From Business Strategy to IT ActionFamiliar MarkersWhy Do IS/IT Budgets Grow?Lights-On ProjectsQuality Assignment for Lights-On ProjectsAssessmentRisk AssessmentWhat You Should Take Away From This ChapterSlide 9From Business Strategy to From Business Strategy to IT ActionIT ActionChapter 8Chapter 8Make the Right DecisionsMake the Right DecisionsFamiliar MarkersFamiliar Markersoutcome elementsoutcome elementsdevelopment projects - development projects - new direction, strategicnew direction, strategicenhancement projects enhancement projects –– hone a current direction, hone a current direction, tacticaltacticallights-on projects lights-on projects - operational- operationalmeasures of improvementmeasures of improvementcostcostbottom-line impactbottom-line impactWhy Do IS/IT Budgets Grow?Why Do IS/IT Budgets Grow?look at Exhibit 8.5 on page 134look at Exhibit 8.5 on page 134what types of “strategic intentions” have what types of “strategic intentions” have the greatest weight?the greatest weight?what weights do “lights on” projects get?what weights do “lights on” projects get?can you reduce the IS/IT expenditures can you reduce the IS/IT expenditures when “lights on” projects have low rates?when “lights on” projects have low rates?can you reduce the IS/IT expenditures can you reduce the IS/IT expenditures when strategic impact projects have high when strategic impact projects have high rates?rates?Lights-On ProjectsLights-On Projectshow to reduce expenditureshow to reduce expenditurescan’t return excess computer capacity – can’t return excess computer capacity – what are alternatives?what are alternatives?can productivity increases be used to can productivity increases be used to fund and/or offset needs for strategic fund and/or offset needs for strategic projects?projects?Quality Assignment for Lights-On Quality Assignment for Lights-On ProjectsProjects5 categories, what are the consequences of 5 categories, what are the consequences of each?each?1.1.abandonabandon2.2.non-criticalnon-critical3.3.improve only as neededimprove only as needed4.4.excellentexcellent5.5.crisiscrisis[see Exhibit 8.11 on page 139[see Exhibit 8.11 on page 139also note who “does the assessments” on page 141]also note who “does the assessments” on page 141]AssessmentAssessmentassign a manager the authority and assign a manager the authority and responsibility for demonstrating IS/IT project responsibility for demonstrating IS/IT project valuevalueIS/IT assessment must directly relate to the IS/IT assessment must directly relate to the responsible manager’s merit assessmentresponsible manager’s merit assessment[what manager would want[what manager would wantresponsibility under these rules?]responsibility under these rules?]Risk AssessmentRisk Assessmentproject/organizational riskproject/organizational riskrequirements definitional uncertaintyrequirements definitional uncertaintytechnical uncertaintytechnical uncertaintyIS/IT infrastructure risks (i.e. does the IS/IT IS/IT infrastructure risks (i.e. does the IS/IT department have the physical and department have the physical and managerial assets?)managerial assets?)technical risktechnical riskinvestment riskinvestment riskproject management riskproject management riskWhat You Should Take Away From This What You Should Take Away From This ChapterChapterIS/IT needs planning that is aligned IS/IT needs planning that is aligned with organizational goalswith organizational goalsIS/IT needs measurable assessmentIS/IT needs measurable assessmentHow would you accomplish these with How would you accomplish these with your Learning Alliance company?your Learning Alliance company?assessment by consensus assessment by consensus (alignment, bottom-line impact, cost) (alignment, bottom-line impact, cost) is a theme in the text; while that is a theme in the text; while that gathers political buy-in it may not be gathers political buy-in it may not be the best methodthe best methodIS/IT is an area requiring expertise for IS/IT is an area requiring expertise for judging successjudging