Strategy Introduction

In recent years the word strategy has been overused in a wide-variety of business contexts to the point of almost becoming content-free. However, here are several definitions we find useful:

  • Simply put, strategy is a way to get from here to there.
  • Strategy defines how you get from "where you are today" to "where you want to go".
  • A formal definition is that strategy is the pattern or plan that integrates an organization’s major goals, policies, and action sequences into a cohesive whole.  A strategy allocates an organization’s resources into a unique and viable posture based on relative internal strength’s and weaknesses, anticipated changes in the external environment. (Adapted from The Strategy Process, Strategies for Change, by James Brian Quinn of Darmouth College). 
  • And finally, strategy is a match between what an organizations "can do" versus what it "might do".

What is an IT Strategy?

An IT Strategy sets out how business is expected to be deployed across an enterprise in the future. It describes how technology will support the enterprise’s mission, goals and business objectives, thereby, aligning IT with the business direction.

An IT Strategy considers the changes an enterprise is facing -- both internally and externally -- and the potential IT opportunities available to it. IT opportunities might include ways to use Internet technology to gain competitive advantage, to reduce cost, increase revenue, improve the efficiency of the value chain, etc. IT opportunities are weighted against the strengths and weaknesses of the current environment – both technologically and organizationally – to determine what IT strategy to pursue.

An IT Strategy lays out the broad directions that an organization must pursue and the technology architecture necessary to achieve the strategy. It also lays out the degree of change required of the organization – vision, style, structure, staffing, skills, processes – which is necessary to achieve the strategy. Lastly, it specifies the initiatives and projects necessary for implementing the architecture and the organizational changes.

Strategy is a Process

The pressures of global competition and the rapidly evolving nature of Internet demands that strategy be an on-going process. Strategy is not a document, but is a process.  And strategy formation is the joint responsibility of the business and the IT organization. 

Our approach establishes strategy as an on-going process including establishing organizational roles, responsibilities, processes and governance.

The IT Strategic Planning 2.0 Methodology

We use a proven method for developing digital strategies based on well-founded best-in-class strategic planning principles. (Refer to our bibliography of books and articles). 

Our three-phased approach answers the following questions:

Phase I. Where do we want to go?

  • What is our business direction?
  • What are our IT opportunities to take advantage of the new models enabled by the Internet such as Web 2.0 and others?
  • What should our broad strategy be?
  • How can we attain a "confluence" of the Business and IT strategies?
  • What are the IT architectures required?
  • What governance to we need between IT and the business?
  • How can we change our systems, process and people to achieve the strategy?

Phase II. Where are we today?

  • How well does our current capabilities meet the IT needs of the organization?
  • How does our capability compare to that of our competitors?
  • What competitive strategies are we likely to face?
  • What are the industry and technology trends and which should we follow?

Phase III. How do we get there?

  • What is the gap between where we are and where we want to go?
  • What are the initiatives and projects required to close the gap?
  • What changes need to be made to our capabilities and organization to close the gap?
  • What is our roadmap for success?

Phase IV. What progress are we making?

  • What are our measures/metrics?
  • What progress are we making against our measures?
  • How can we adapt to the changes?
  • How can we improve?

Web 2.0

The Internet and Web 2.0 technology is forcing major changes upon businesses around the world.   Organizations are incorporating Internet technology throughout their businesses.   Raumer & Associates assists clients in developing their e-Business strategies.

Client Team Participation

Raumer & Associates uses a process consulting orientation to guide our clients through the three strategic planning phases. We emphasize client participation throughout by utilizing structured workshops as the primary forum for developing the strategy. The workshops promote organizational learning and build a team consensus and momentum toward the strategy and its deployment.

Benefits

The benefits of an IT Strategic Plan developed using the R&A IT Strategy 2.0 Method include:

  • Establishes an agile and flexible IT capability which can rapidly respond to changes whether a downturn or upturn in the economy.
  • Positions IT to make a "strategic" contribution to the business and the company’s key strategic thrusts.
  • Deployment of the appropriate Web 2.0 technologies necessary to compete in a Web 2.0 world.
  • Achieves "confluency" and aligns the business direction with the technology direction in three ways:
    • Achieves coordination, perseverance and concentration of IT effort toward a shared set of business goals and e-business objectives.
    • Aligns the uses and directions of IT by each department with each other
    • Aligns IT with the needs of external customers
  • Builds consensus and commitment to the plan because all key stakeholders -- the business and IT -- are involved in the process.
  • Establishes a strategic planning mindset into the company’s culture.
  • Provides a roadmap for deploying the strategy and achieving success.
  • Builds momentum toward implementing the plan and realizing the intended value from IT.

Strategy Resources and References

If you want to learn more about Strategic Planning, refer to our bibliography of books and articles or send us an inquiry at info2007@raumer.com.