Barbara and Electra Case Study

Question(1):How might top management have done a better job changing Elektra Products into a new kind of organization? What might they do now to get the empowerment process back on track? Analysis of the case study Main issues – 1. Declining of Market shares 2. Few new product ideas or far between 3. Poor staff relationship 4. Low staff morale Weaknesses- 1. approach in change management 2. Organizational culture 3. creating problem solving team 4. the process of employee involvement and empowerment 5. the facilitation by Martin GriffinThe attempt to do staff empowerment is a nice try but it alone is not the complete solution for the root cause of the problems. In order to reach to the solution of all these issues, they have to find out what are the underlying causes of these issues. The newly hired Martin Griffin mentioned in the opening speech that â€Å"As we face increasing competition, we need new ideas, new energy and new spirit to make this company great. And the sourc e for this change is you—each one of you. † Though he mentioned that each of the staff is important, he failed to allow everyone actively participates and play important role in the program.He neglected the importance of each and everyone’s contribution and effort to the program. He should have made understand what does it means by employee involvement and empowerment; how it will help the company solves the issues and, the ways to do and requirements for the staff involvement and empowerment program. It was worsen when the main facilitator, Martin Griffin, had excused from the session at the time Barbara and team enthusiastically presented their innovative ideas to department heads. The facilitator also fails to aim what kind of outputs he expects at the end of the session.For the successful empowerment program, the organization structure and its enabling environment is very critical. Trust building is very important part of the program especially in this situat ion where staff relationship and morale is poor. It is not only important for the top management level but also the department heads or managers from all other departments are important to accept the concept of staff involvement and empowerment. As the company is on its way of changing to a new era, every staff will have different perspective of interest on how it will affect their current roles, responsibilities and job security.All of which are worth to take in consideration in managing the change process. The managers are not so sure why they require these changes as they have been doing well in the past and they believe they can do it again. On the other hand, every staff has a different management theory and surely they are not on the same page with other management staff or with the company’s current management. It is quite critical to ensure that every management staff equipped with relevant knowledge and skills that will contribute the company’s strategic goals .The staff must have a common understanding of the organizational value, culture, strategic goals and how the empowerment process will add on the success of the organization. Instead of creating problem solving team with managers selected by top management, allow all managers to voluntarily work as cross-functional teams and come up with innovative ideas and opinions. By doing so, each team will have a representative from each specialized departments who has his or her own perspective and issue on the ideas.Contribution from different expertise and background will provide the ideas reach wider scope and reality. Then, each team should discuss the ideas with other teams which may require some modification and negotiation process. If everyone satisfies with the ideas, the staff involvement will be improved and the ideas will become action. It is natural that someone could resist the ideas or changes made by others. But if they are put in a position to be part of a cross-functional tea m that needs to come up with an innovative idea, the discussion environment among the team will tend to be more constructive.In addition, since the company is to undergo a big change, the top management should have implemented a good change management strategy and plan. They should also prepare a communication strategy and plan to inform the staff accordingly. So that it will be clear what is going to happen, why, how and who will be responsible in the change process. The communication strategy and plan is also important as the staffs are very concerned with the change and restructuring process.If the staffs are not well communicated about the changes, the restructuring with many rumors will encourage the staff leaving the organization and looking for a new job which will be a lost the trained and skillful human resources of Elektra. Recommendation to top management in changing Elektra to a new kind of organization and to get back empowerment process on track: * Ensure all staff und erstands what are the vision, mission and strategic goals of Elektra. * Recruit or train staff to ensure the organization is equipped with necessary skills for change management. For eg.Hire a skillful and experienced facilitator who can give time and have a sound facilitation plan. A good facilitation plan must aim some specific objectives, processes of facilitation and expected results * Make sure that everyone understand what empowerment is and why it is important and how it will contribute to the vision, mission and long-term strategic goals * Remove the process of selected problem solving team in an attempt to change Elektra and instead make them voluntarily participate in the cross-functional team which includes representative from each department, different backgrounds etc. Facilitate the department heads/managers to address the underlying causes of each problems in their sector from their perspective and reflect their past experiences * Group the causes and brainstorm all th e managers what should they do to reach a solution to these problems so that they understand and practically involve in the change process * Create an organization structure that will encourage enabling environment and culture for the staff so that they can use their abilities and energies which can then lead to job satisfaction, motivation, commitment by employee. Implement a change management strategy and plan that will ensure the process is on track ( what, why, how and by who throughout the change process) and how it will be sustained. * Identify the transformation leadership team to steer the change and operational leadership team to manage the day-to-day deliverables. * Set a time frame for the change process to reach its goal as to ensure the urgency of the change and effectively response to the continuously evolving environment and available opportunities. * Make your strategy and plan be flexible, daptable, acceptable by all stakeholders and suitable for your company and op erational environment so that the plan will be realistically implemented. * Implement a communication strategy and plan to ensure staff received relevant information with regards to the changes which will reflect their interests. * Ensure that the road map and milestones are carefully prioritize and aligned to reach strategic goals so that the manager can monitor and manage the success or failure in each step towards the strategic goals. Set your operating values in trying to achieve the goals that employee understand what the organization expect and values what kinds of behavior and attitude. * Organize programs and trainings that could enhance the leadership, shared value, cooperate culture and trust building * Build capacity of the staff to gain necessary skills and knowledge in implementing staff involvement and empowerment program Questions (2): Can you think of ways Barbara could have avoided the problems her team faced in the meeting with department heads?The problems with th e department heads are due to the lack of cross-functional contribution, communication, mind-set, role and planning. It could be possible for Barbara to handle the situation by; Barbara and her team should have considered the impact of their ideas and possible response by concerned departments. If Barbara has carefully analyzed what could be the challenges of their ideas, she would have prepared for a back-up or contingency plan to negotiate the departmental heads. By this way her team will have full confident on their own ideas and the department heads will feel confident that the plan was crafted carefully.Barbara should open her mind by accepting for their active feedback with thanks as this is a good opportunity to turn the different department heads in the process. She should have faced the resistance and brought up the concern from each department heads. So that and she can start a cross-functional team to brainstorm the more realistic ideas looking from different perspective. Barbara should explain that the ideas shared by her team are only part of the solution to these problems within their scope and the team requires feedback and opinion in a wider scope from other departments.And before Martin Griffin leaves the workshop, she has to confirm with him that when will be the next workshop to hear feedback from Martin griffin about her team’s presentation. So that when the department heads resist and debate on the new ideas, she can note down the issues raised and let that the feedback from the department heads will be thoroughly discussed in next workshop. By doing so, the department heads will feel they also have a role in the process and Barbara got time to do a plan and consider possible solution to the issues so as to move forward the process.Questions (3): If you were Barbara Russell, what would you do now? Why? If I were Barbara Russell, I will work out to keep motivate my team. I will appreciate the team for their effort and contribution to ward the company. I will make sure the team understands that for our ideas to be stronger, more realistic and practical for all of us, we need to look our ideas from various aspects as we have experienced that various departments have their own issues on our ideas.So, in order to successfully implement our ideas, we need collaboration and commitment from all other departments that we must find ways to solve the concerns of other departments. As working within our own team will limit our expertise and other resources, we require contribution of expertise from different sectors. We must find out a way to get support and collaboration from different departments. I will encourage my team to revisit our ideas, gather information from all departments, try to open our mind to accept, and respect the others’ perspective and ideas.I will discuss with Top management and Martin griffin about our team’s ideas, several issues raised by the department heads. I will reflect my experi ence during the presentation of our team’s ideas, expectation of other staff, feeling and concerns of other departments. I will discuss ways to allow all departments to work together as a whole and discuss what specific strategy and plan should we implement to manage the change process to ensure achievement of our strategic goals.

Victoria Secret Pink Case Study

1. Analyze the buyer decision process of a typical Pink. * Consumers, not only Pink consumers, have a buyer decision process. This decision process includes need recognition, information search, evaluating alternatives, purchase decision, and post-purchase decision. In Pink buyer’s case, I believe many of them find the â€Å"need† to buy because they want to keep up with the newest trends and be fashionable. They are not buying this line of clothes because they do not have any and desperately need clothes, but rather it is being based on external factors whether it’s what they see possibly on TV, internet, or in magazines. When it comes to the information search, I believe it is mainly external, although some loyal consumers do have internal information. I think teens and tweens are buying the Pink brand based on what they hear from friends and family members and also the advertising they see on TV and the internet. When evaluating the alternatives, it depends on why the consumer is buying Pink. If they are buying the brand to be fashionable and trendy, they are less likely to seek out an alternative since in their eyes they see Pink as the only brand. If they are looking for sweats to use for athletic events rather than being casual around the house or dorms, they might consider looking at brands such as Nike or Adidas as being alternatives, but once again, it depends on why the consumer buys the Pink brand in the first place. The purchase decision comes down to whether or not Pink is the best choice. There are also other factors that come into play such as friends or family comments or reactions to the product. The post-purchase decision will form lasting impressions on the consumer and be a base as to whether or not the consumer stays loyal in future purchases. If the Pink brand meets or exceeds the expectations of the consumer, the consumer will most likely stay loyal to the company and spread the word to friends. 2. Apply the concept of â€Å"aspirational groups† to Victoria’s Secret Pink line. Should marketer’s have boundaries with regard to this concept? * There are a few aspirational groups when it comes to the Victoria Secret Pink line. First, one of the target markets in college girls, consumers of the Pink line may be ones of a sorority or club at college. Another aspirational group includes celebrities, or celebrities who endorse the Pink line. Tween and teenage girls might aspire to be like one of the celebrities therefore wanting to look or dress just as them. The last aspriational group is the tween girls looking up to the teenage girls and wanting to be and dress just like them. This creates a problem when it comes to boundaries because Pink was not looking to market the brand towards ten and eleven year olds. I believe times have changed though so it is hard to distinguish a boundary for what is right and wrong. A certain concept/style might seem wrong to the parent or marketing director from generation X, but that same concept/style might be perceived as just fine from someone in my generation. I do believe there should be some sort of boundary set by marketer’s on who they choose to market the brand to, but in the end they have no choice over who decides to consume the products. 3. Explain how both positive and negative consumer attitudes toward a brand like Pink develop. How might someone’s attitude toward Pink change? An attitude shows a person’s feeling or tendency towards an idea or product. Marketers throughout all areas try to persuade consumers’ attitudes in their favor. I believe in today’s generation, attitudes are based on very general and basic perceptions. Kid’s today aspire to be like many notable people in the media including the music and movie industry, therefore wanting to dress just like him or her. Also, perceptions could come fr om loving all the articles of clothing the child has bought from a particular store, such as Pink. Negative perceptions could come from someone who does not enjoy shopping in crowded places such as malls, but this is where marketers might try to lead this particular consumer to their online outlet. Marketers are always trying to work on changing and persuading consumers attitudes whether it’s who they endorse, or something as simple as directing a consumer who does not like shopping in crowded places to shop at their online store. Marketers certainly know their trends and try to capitalize by things such as advertising and product placement.

How to Survive an Ied

Paper – Process Analysis Rough Draft Discussion: Writer’s Workshop – Process Analysis Rough Draft– This topic is designed to assist you with your writing and editing skills. When you have completed your rough draft of the Process Analysis paper, post it here. Then, review another student posting and offer advice on how he or she can improve his or her paragraph. For example, you may note that the author of the paragraph has failed to support his or her topic sentence fully. Give that person advice on how he or she can add details that will make the paragraph more compelling.Or, you may wish to practice your grammar and punctuation skills on your fellow students by reviewing a paragraph or two for errors. Paper: Process Analysis – This paper is due week eight This week you will expand from paragraph to essay. Because this is a longer paper, please use this week and next for writing and revising. Please make sure to place your final draft in the appro priate Dropbox prior to the end of class in week eight. Please take the time to review the assigned chapters for detailed guidance on essay construction. Review the following websites for more information on essay construction: lt;! –[if ! supportLists]–>? <! –[endif]–>Sheey, Geoff. â€Å"5 Paragraph Essay Construction. †Ã‚   SlideShare. http://www. slideshare. net/sheehy/5-paragraph-essay-construction <! –[if ! supportLists]–>? <! –[endif]–>â€Å"The Five Paragraph Essay. †Ã‚   Guide to Grammar and Writing. Capital Community College Foundation. http://grammar. ccc. commnet. edu/GRAMMAR/five_par. htm 1. Using the methods you read about in Chapters 16, 17, 26 and 30, write a 500 word essay based on one of the Activities found in Chapter 21 pages 422 – 425.For example, you may choose to write a paper about â€Å"How to Accomplish a Daily Task† or â€Å"How to Write a School Assign ment. †Ã‚   However, any of the topics listed within the pages are fine. You may decide which topic best suits you. 2. Length:   500 words – see page 471 for a Step-by-Step approach to writing a paper in the Process Analysis style. 3. Make sure your paper format includes the following: * Lines – Double spaced * Name Box – at top left corner * Page Numbers * Title 4. Above your paper, I want to see a short outline as describe on page 11 in Chapter 1.4. * Conclusion 5. Make sure your paper has a TITLE – see the MLA section in your grammar handbook for step-by-step instructions. You may seek help on MLA by visiting the Columbia College writing website at http://www. ccis. edu/departments/WritingCenter/writing. html or Purdue’ Online Writing Lab http://owl. english. purdue. edu/owl/resources/557/01/   6. Start your paper with an Introduction that grabs the reader’s attention. Remember that you only get one opportunity to make an impres sion. . Move on to the Thesis Statement. Remember that the Thesis lets the reader know what the overall paper will be about. For this paper, a thesis that states the nature of your idea and the two or three areas you plan to cover is a good idea. See the following websites for more information on thesis formation:* â€Å"Thesis Statements. †Ã‚   The Writing Center. University of North Carolina at Chapel Hill. http://www. unc. edu/depts/wcweb/handouts/thesis. html * Brunswold, Libby. â€Å"Thesis Statement. †Ã‚   Literacy Education Online. The Write Place. St. Cloud State University. 4 October 2003. http://leo. stcloudstate. edu/acadwrite/thesistatement. html 8. Your paper should have at least two Body Paragraphs that start with a Topic Sentence that includes only one idea aka a Controlling Idea. Remember that a topic sentence should focus on a single point you wish to convey to the reader. Remember that you support your topic sentence with detail. Review the assigned c hapters if you are having trouble discerning what a topic sentence is. 9. Support your Topic Sentence aka Controlling Idea with sentences that include personalized examples.These sentences come from the â€Å"supporting detail† sections within your outline. 10. Remember a paragraph moves from the general idea (Topic Sentence) to specific examples that support your overall thought. Review Chapters 16 and 17 if you are still struggling. Remember that you are illustrating your point for the reader. 11. Finally, don’t forget your Conclusion. Simply wrap up your idea by returning to the topic sentence and adding one or two other thoughts or summarizing your entire paper. 12. See a sample Process Analysis

UK IT Related Laws Essay Example | Topics and Well Written Essays - 2000 words

UK IT Related Laws - Essay Example Illegally obtained data, records or information about an individual are often used in crimes that involve identity theft. Other usage of data about a person includes blackmail, kidnapping and other crimes. Data Protection Act of 1998 The Data Protection Act of 1998 was in response to the European Directive of 1995 that required member states to protect the right to privacy of every citizen in the European Union. Recognizing the borderless nature of internet transactions, the need for this law to be passed in every state is of outmost importance to ensure that no European will be victimized within the European Union by fellow Europeans engaged in criminal activities. The Data Protection Act was very explicit in limiting the information to be gathered by organizations from an individual to ensure that only what is needed by the organization can be gathered. The Data Protection Act also mandates that the information gathered from an individual or generated for an individual by an establ ishment should not be kept longer than necessary. The provision cited herein has the intention of ensuring that no data or information can be obtained that can be used in stealing and replicating an identity. However, there are instances where problems still occur. In September 2010, Brighton General Hospital was robbed of Hard Drives that contained confidential information of patients of the said hospital. Although, the Chief Executive of Brighton and Sussex University Hospitals NHS Trusts stated that the Hard Drives have been released to a contractor who was paid to destroy the Hard Drives, unfortunately the contractor sold them on E-Bay. As soon as they have been informed of the theft, they were able to catch and recover the hard drives with the help of the local police. The Information Commissioner’s Office stated that the watchdog suggested that the fine of the hospital be 375,000 pounds. The 375,000 pound fine is the biggest fine that the Information Commissionerâ€℠¢s Office has issued. (OUT-LAW.com, 2012) Kent County Council has been named as the number one organization that loses private data of their clients in the United Kingdom. There had been 72 reports of theft between the years 2008 and 2011. One incident was mentioned in the article where a worker lost a USB drive that contained information regarding students somewhere. Most of the Kent County Council’s loss of data incidents includes the loss of laptops, documents that were misplaced or accidentally left outside a car. Another incident mentioned were parents receiving a report of a different child. Although the Kent County Council was not held liable for some incidents which is illustrated in an incident where one family posted case notes pictures on Facebook, making it accessible to anyone. However, it is no big surprise that they came out as Number One with respect to data loss since they are a big authority in the United Kingdom. (BBC, 2011) Zurich Insurance was issued a fi ne of 2,300,000 million pounds by the Financial Service Authority for the data loss incident in August 2008 involving 46,000 of its customers. The data loss occurred when they were transferring data to storage

Socical computing Essay Example | Topics and Well Written Essays - 3000 words

Socical computing - Essay Example on management tool is social computing, which is the social aspect of interaction of people via computer systems and networks such as the internet, and encompasses a number of internet-based applications such as email, blogs, instant messaging, social book marking, social networking service, wikis, and polls (Dasgupta, 2010). Social computing has been identified to add value to the organization in a number of by enabling the management and development of business information assets (Tredinnick, 2006, pp. 228-234). Social computing tools such as wikis, blogs, and social networking sites offer a solution to information management related issues due to the inherent networking nature, which allows users to find, explore, and solve organizational problems. Moreover, social computing provides a platform for developing or improving on employee networks and permits participation (Ropes, 2010), which can lead to better employ performance, hence improved organizational performance. Furthermore , social computing can lead to more innovation, better staff abilities, and increase staff efficiency if competently employed as a powerful information management tool. This paper seeks to discuss and critically analyse the benefits, potential disadvantages and challenges of using social computing as an information management tool in the organization, and its future prospects. The advantages that this paper will focus on include enhanced customer relations, contributions to product development and innovation, increased productivity and efficiency, and general impact on employee information sharing and turnover levels. The disadvantages will be focusing on related security and privacy risks, loss of brand loyalty and fragmentation and cluttering of information. The critical analysis of social computing is, therefore, limited to the aspects of social computing that entail the various ways through which it influences information management in the organization. Such aspects include social

Promoting Jordan as a cultural destination being the only open air Research Paper - 1

Jordan as a Cultural Destination - Research Paper Example The organizer of the said event was the Friends of the Jordan Festivals, which is a non-profit organization that tirelessly strives to promote Jordan as an ideal cultural destination. The Friends of the Jordan Festivals (FJF) was formed by individuals and groups that possess a deep-seated passion for culture and the arts, and are committed to the goal of making Jordan the topnotch cultural destination in the world. FJF organizes a variety of cultural events for a varied mix of entertainment audiences. FJF exerts its greatest effort to make King Abdullah’s vision a reality. King Abdullah aims to transform Jordan into a first-class economic and touristic destination. Besides satisfying local tastes for culture and arts, FJF aspires to create globally renowned entertainment products. However, FJF is not the first organization to try to boost the country’s cultural scene for local and international consumption; yet, it is considered to be the most successful among those that attempted to form and launch the same ideas. The unending commitment of FJF to the success of Jordan in tourism and cultural promotion is revealed in its triumphant organization of major cultural events, such as the 2010 Jordan Festival, the Cirque du Soleil, Saltimbanco Show, Cirque de Glace, and the Evolution Show. And on July 2013, FJF publicized the opening of the Amman Citadel Festival for this year. The Festival showed off the finest artists of Jordan and other Middle Eastern countries. FJF organizes both major and minor cultural events at leading heritage sites in order to show to the world the richness of the country’s history and culture.  

The Financial Times reported on 18 April 2005 that William Hill is in Essay

The Financial Times reported on 18 April 2005 that William Hill is in talks with Stanley - Essay Example On William Hill portfolio diligence, I will discuss the working capital management for acquisition of Stanley Leisure. In this report, I analyse the due diligence guidelines that are predisposed to assist William Hill in capital evaluation of Stanley Leisure, with statistical precision and performance reports. According to Horne and Wachowicz (2000), working capital management is an important component of corporate finance; it directly affects the liquidity and profitability of William Hill in acquisition of Stanley Leisure. Purpose, findings, and research questions that will guide the study are generated from the shareholders’ effects and the motives for acquisition. The data for this study will be the secondary data from Journal of Financial Economics. In the background study, I analyse the reasons for William Hill’s takeover and stipulate the post-takeover performance of the company. Motives for acquisition of Stanley Leisure and shareholders’ value are critiq ued in the following project. In this project, I have used the capital assets pricing model (CAPM) in methodological analysis and OLS Regression for data sources. I can resolve if William’s merger was worthwhile through liquidity-based explanations. Introduction Mergers and acquisitions involve the amalgamation of two or more firms or the purchase directed to current firm within the foreign country. This was established by Whiting (1976) that acquisitions are effected through capital transfer, use of marketing skills, and presence of skill for management to increase the efficiency of the companies concerned. The development of better information systems in the global trade can enable a company increase its level of performance and meet its customer needs better. I will discuss in detail the research questions that will assist William Hill in acquisition of Stanley Leisure; due diligence need by William Hill is to enable the shareholders with adequate concept of underlying Wil liam acquisition portfolio than the prevailing market allocation of betting services. This gives the company sufficient evidence and confidence to leverage the funding of the acquisition of Stanley Leisure. (Christen 2009). According to Robert (2009), due diligence gives a comprehensive analysis of appraisal techniques and interpretation of acquisition results for both the firms involved. William Hill has to identify the risks associated with acquisition portfolio and formulate dynamics to make up for the loss that might come along. Research Questions In this, research William Hill has to investigate various pieces of information and statistics. It has to: 1. Evaluate how working capital management will assist in the profitability of its firm. 2. Analyze how working capital management affects its profitability. 3. Find areas where investments activities need to be implemented. 4. Are the components of working capital of high importance in

Comparison of Accounting Standards of FASB and IASB Research Paper

Comparison of Accounting Standards of FASB and IASB - Research Paper Example The International Accounting Standards Board (IASB) is an independent body in the private sector. It develops and approves International Accounting and Financial Reporting Standards. The International Accounting Standards Board (IASB) functions under the International Financial Reporting Foundation oversight. It was formed in 2001 in replacement of the International Accounting Standards Committee. International Accounting Standards Board (IASB), under the constitution of International Financial Reporting Foundation, has a full responsibility for all technical issues of the financial reporting standards such as: preparation and issuing the interpretations of exposure drafts and International Financial Reporting Standards, full discretion in pursuing and developing technical agenda dependent on requirements of consultation with the public and trustees, the issuing and approval of interpretations by the International Financial Reporting Standards Interpretations Committee.

What scams are on the Federal Trade Commission's List of Top 10 Speech or Presentation

What scams are on the Federal Trade Commission's List of Top 10 Consumer Scams, and how can consumers avoid falling for them - Speech or Presentation Example However, the Federal Trade Commission (FTC) has been able to identify these scams and provided measures to counter future occurrences. Federal Trade Commission (FTC) is a self-governing federal organization of the United States government and it was established in 1914 by the federal trade commission act. The Federal Trade Commission’s (FTC) main goal is to protect consumers and guarantee a strong competitive market by implementing a variety of consumer protection and antitrust laws. The laws are used to guard against destructive business practices. They also protect markets from any anti competitive practices and these include price fixing conspiracies and huge mergers. The agency collects complaints about companies, business practices and identity theft.

Nelson mandela Essay Example for Free

Nelson mandela Essay in India, discriminatory attitudes towards men and women have existed for generations and affect the lives of both genders. Although the constitution of India has granted men and women equal rights, gender disparity still remains. There are limited opportunities for women in sectors which traditionally demand for men to participate, such as armed forces. Although women also have mostly off-front job opportunities within the army. There is specific research on gender discrimination mostly in favour of men over women. Due to a lack of objective research on gender discrimination against men, it is perceived that it is only women who are suffering. The research often conducted is selectively sampled, where men are left out of the picture.[1] Women are perceived to be disadvantaged at work, and conclusions are drawn that their capabilities are often underestimated. Discrimination towards Women Infancy to childhood Both women and men are important for reproduction. Sex is very important between a male and a female to ensure continuity of human species on the earth. The cultural construct of Indian society which reinforces gender bias against men and women, with varying degrees and variable contexts against the opposite sex,[3] has led to the continuation of India’s strong preference for male children. Female infanticide, a sex-selective abortion, is adopted and strongly reflects the low status of Indian women. Census 2011 shows decline of girl population (as a percentage to total population) under the age of seven, with activists estimating that eight million female fetuses may have been aborted in the past decade.[4] The 2005 census shows infant mortality figures for females and males are 61 and 56, respectively, out of 1000 live births,[5] with females more likely to be aborted than males due to biased attitudes. A decline in the sex ratio was observed with India’s 2011 census reporting that it stands at 914 females against 1,000 males, dropping from 927 in 2001 the lowest since India’s independence.[6] The demand for sons among wealthy parents is being satisfied by the medical community through the provision of illegal service of fetal sex-determination and sex-selective abortion. The financial incentive for physicians to undertake this illegal activity seems to be far greater than the penalties associated with breaking the law.[7] Childhood to adulthood and education Education is not widely attained by Indian women. Although literacy rates are increasing, female literacy rate lags behind the male literacy rate. Literacy Rate Census of India 2001 and 2011 Comparison Literacy for females stands at 65.46%, compared to 82.14% for males.[8] An underlying factor for such low literacy rates are parents perceptions that education for girls are a waste of resources as their daughters would eventually live with their husbands families and they will not benefit directly from the education investment.[9] Adulthood and onwards Discrimination against women has contributed to gender wage differentials, with Indian women on average earning 64% of what their male counterparts earn for the same occupation and level of qualification.[10] Discrimination against women has led to their lack of autonomy and authority. Although equal rights are given to women, egality may not be well implemented. In practice, land and property rights are weakly enforced, with customary laws widely practised in rural areas. Women do not own property under their own names and usually do not have any inheritance rights to obtain a share of parental property.[1] D

Relationship between Business Strategy and IT Strategy

Relationship between Business Strategy and IT Strategy BUSINESS-IT ALIGNMENT (BITA) The relationship between Business strategy and IT strategy and the influence of organisation culture on this strategic alignment in Saudi firms will form the basis of the research in this research. As such, the literature reviewed here will survey major research and practice in the business-IT strategic alignment domain for the purpose of deriving a research framework, or model, of business-IT strategic alignment that will unite the key principles contained within the literature. The intention is to develop a model simple enough for application that will provide a practical tool both for management and IT practitioners. 2.1 BITA A CHRONLOGICAL HISTORY Study on the strategic alignment concept will soon be reaching a quarter of a decades worth of knowledge. Henderson Sifonis (1988) began studying this notion during the late 80s when alignment emerged from a focus on strategic business planning and long-range IT planning where IT plans were created in support of corporate strategies Chan Reich (2007, p. 298). Nevertheless, strategic alignment has retained its interest and value in the business and IT communities and is still a popular topic today for organisations; perhaps even more so as technological advancement continues to dominate the exchange of information. Not surprisingly, its evolution has followed closely the developmental progress of IT itself which began with the operational era continuing through the re-engineering viewpoint and the new economy as figure 2.1 illustrates: The initial phase, the operational era, was concerned primarily with the operations that an organisation performed and focused on setting up mainframes, managing networks of PCs, and backing up organisational data. IT provided the nuts and bolts to facilitate automation of back-office functions through the development of software and had only a supportive role. Strategic alignment was thus viewed merely as a supporting act for every-day operations with its software applications. The second phase, re-engineering, arose from the increasing trend toward dependency on the automation of business processes by IT which not only offered back-office functions support but the promise of total automation within an organization as a whole through IT software applications. At this stage, IT was still viewed only as a supportive tool with no representation in the business end of an organisation. For example, business managers expressed their system needs which the IT department embraced and went on to develop and deploy a new software application in isolation. These early strategic alignment projects were not always successful. It was discovered that the development of software (with embedded processes) for automation of a business function was no guarantee of improvement over its earlier manual operation, indeed it could end up being more time-consuming and therefore less efficient as operators were not necessarily au fait with the application. There was not a full unde rstanding of what IT could do and how it could enhance a companys position beyond speeding up communications and thereby creating more ‘time for production or interfacing. A ‘Them and Us atmosphere prevailed with the ‘techies in a separate world to the mangers or drivers of the business, neither fully understanding the others needs [elements that are also considered further in the organisation culture aspect of this research and dealt with in the next chapter]. In the 1990s, Baets study of European banks (Baets, 1996) supported the findings of Vitale and colleagues ten years earlier (Vitale et al., 1986) that knowledge of IT had to be on a par with expert business knowledge for the two to create any comprehension and thereby effective application of strategic alignment in organisations. The third phase, new economy, saw IT commanding greater importance and status as organisations began to emerge that were embracing e-commerce. The demands of the new e-business projects required involvement of IT representatives in their management and strategic planning. The implementation of Internet technologies to augment business processes for productivity or profitability improvements brought the role of IT into the spotlight, according it recognition and strategic responsibility. Along with the newly elevated status of the old IT department there was a greater familiarity with technology and its capabilities and the prejudice that had previously scorned the ‘nerds dissipated somewhat as managers and personnel became more knowledgeable and the IT personnel more essential beyond a lab coat and a screwdriver [cf: artifacts causing division, Schein (1992) and Trompenaars (1997) in chapter 3]. Despite the current global economic crisis and the demise of the new economy IT con tinues to assume new responsibilities and organisations have even more need for strategic alignment projects. An IT department in 2010 must manage relations with partners and bear business responsibilities concerned with the development and customisation of software that will improve how a business functions; practice effective project management to control costs and maximise efficiency and ensure that the introduction of any new hardware or software support operations and infrastructure, â€Å" maintaining the crucial corporate data that helps managers throughout the enterprise to make intelligent and informed decisions Hoque (2002, p. 31). Kearns Lederer, (2003) and Seggie et al. (2006) agree that strategic alignment is a means to gain competitive advantage and Sabherwal Chan (2001), Wagner et al. (2005) and Zhou et al. (2008) further add that it improves organisational performance. 2.2 DEFINING BITA Determining a conclusive definition for alignment is as challenging as its function and application. There are many perspectives and multiple definitions including in chronological order: strategic alignment (Henderson and Venkatraman, 1993); harmony (Luftman, 1996); fit (Porter, 1996); bridge (Ciborra, 1997); integration (Weill and Broadbend, 1988); fusion (Smaczny, 2001); IS alignment (Chan et al., 2006; Benbya and McKelvey, 2006) business-IT alignment (Luftman, 2007); and IT alignment (Chan, 2007). It is understandable that there is such diversity as definitions depend on our understanding of language. The semantics involved are precarious because the new technologies are often described in technical terms and applying simplistic synonyms to explain the intention of alignment in the context of business IT in terminology that is understood without associated jargon is very difficult. Overall, the definitions offered, though they have nuances of difference between them, do relate to the improvement of organisational capability through technology. Broadbent and Weills (1993) early definition, purports that it is the degree to which information strategies support, stimulate and/or enable any business strategies. A later definition offered by Reich and Benbasat (1996) asserts much the same but frames it in terms of the missions of the IT and business objectives and plans on both sides. Luftman (2000) was the first to introduce the element of evolution into the definition and argued that it required strength [as the key element] from leadership, senior management and working relationships, combined with a complete understanding of the business and technical environments, fitting prioritisation, mutual trust, and of course, effective communication. Hirschheim and Sabherwals (2001) definition included the idea of a reciprocal arrangement as fundamental to its meaning and stated that alignment was the achieved between strategy and supporting structures that allowed both IS (information systems) and business to function and communica te responsively each way to one another. Most accepted definitions do highlight the alignment dichotomy described by Kearns and Lederer, (2000), where the argument is that the IS plan ought to align with the business plan (ISP-BP) and vice versa (BP-ISP) the business plan ought to align with the IS plan. Each perspective serves to increase the understanding of IT at organisational level and assist the prioritisation of IT projects. Reich and Benbasat (1996) were protagonists of the ISP-BP model, which they declared signified, IS managements comprehension of the business strategy. Whereas Bensaou and Earl (1998) contrarily preferred the BP-ISP alignment model as they believed it assumed a greater understanding on the part of the business comprehension of the IT aspects and thus the plan and the resources would ally more effectively together as a result of this knowledge, understanding and commitment. These elements are believed to be enablers of alignment (Luftman et al., 1999). In the definitions offered some view alignment as a specific happening or event and others regard it is an ongoing process. Duffy (2001) saw BITA as a process of achieving competitive advantage through a developed and sustained business and IT symbiosis. Maes et al. (2000) claimed BITA to be a continuous and continual process that involved management and design sub-processes with conscious and coherent interrelation of all elements and mechanisms within the business/IT relationship offering contribution to the ongoing performance of the organisation. Moodys (2003) definition saw BITA as a form of comprehensive resources management (people/ technology/ outside resources) that provides a set of IT services and capabilities that are in line with the business needs and priorities. And Senn (2003) was assured that each action executed by IT individuals was to focus on the creation and delivery of shareholder/stakeholder value through supporting business operations and/or achieving business goals. 2.3 BITA PERSPECTIVES AND DIMENSIONS With the diversity of definitions offered to explain the meaning of the strategic alignment concept, as outlined in the previous section, there is a need to further explore the differences to discover why there is such variety. Part of the explanation may be that as the concept has evolved it has been closely linked to the evolution of technological capabilities. Attitudes have changed as organisations have adopted new technologies and personnel have become more familiar with their potential and their operation. These dynamics and the evolution of strategic alignment are reflected in the number of conceptualisations and their definitions will be analysed in the context of the differing perspectives afforded to them. BITA with regard to its perception as a strategy, an event, a continuous process, a performance indicator, an assessment tool, a social influence and as an operation will be briefly outlined below to expand on the definitions in the literature from their different dimensi ons. 2.3.1 BITA AS A STRATEGY It has been a tradition for literature to refer to Business-IT alignment as ‘strategic alignment. Considering it in these terms frames it as an intellectual notion rather than something more concrete or practical and as such it can be high-jacked to represent whatever strategy suits the organisation that is considering alignment. There is no harm in referencing alignment in this manner for it allows debate and therefore change, essential for evolution and adopting a ‘strategy suitable to the structure, culture and level of alignment required. By referring to it in this way however, the literature suggests that strategic alignment is dependent on the fit between IT strategy and business strategy, and on how the IS plans are established to support such a fit (Teo and King, 1997). Many authors in the strategic alignment field approach alignment purely at the strategic level, e.g. Baets (1992), Broadbent and Weill (1993), Chan et al. (1997), and Luftman (2003). At the core of their conceptualisations is the notion that business strategy itself must first be analysed and only thereafter be used to determine a complementary IT strategy. In this scenario the business strategy is paramount and the IT strategy contribution secondary, it is a means to an end rather than a means in its own right. However, despite the alignment between business strategy and IT strategy where emphasis is laid on defining IS strategy plans (Benbya and Mckelvey, 2006) strategic alignment continues to be problematical in many organisations. Thus, reaching an agreed definition that details IS strategic plans is important for strategic alignment; however, is it not enough on its own for the achievement of such alignment (van der Zee and de Jong, 1999). 2.3.2 STRUCTURAL TOPOLOGY AFFECTING BITA The literature often takes for granted the strategic element of the concept and delves further into its implications for organisations, concentrating on the behaviour and nature of BITA what it does when you introduce it [and also is a strong feature of the organisational culture types discussed in the following chapter]. This depends largely on what type of a structure into which it is introduced. A formal structure, an informal structure or a hybrid structure, each having its own merits and each being capable of effective function when the circumstances and environment are conducive to the choice made (Brown and Magill, 1994). Against their three identified structures, Earl (1989) identified five potentially suitable structures: centralized, business unit, business venture, decentralised, and federal. Tavakolian (1989) found a direct correlation between competitive and conservative strategies within an environment and the corresponding decentralised or centralised IT structures ev ident in an organisation and this finding is supported to some extent by Bergeron et al. (2001) with the caveat that it is not solely the complexity of structure that impacts performance but that other factors are influential too. Chans (2001) view is that informal structure, â€Å"†¦relationship-based structures that transcend the formal division of labour and coordination of tasks†¦Ã¢â‚¬  (Chan, 2001, p67) can be just as effective as formal structure with the human element rather than intellectualised models and processes driving alignment, often with more impact and success than a formal arrangement. Structure, therefore can add a new dimension to the perspective of alignment as it places it in a setting that will impose its own constraints on the practice and execution of alignment exercises and ideals. 2.3.3 BITA AS AN END IN ITSELF For some authors it alignment doesnt seem to ‘do anything rather it is a business unit that lacks the dynamics others see in it. The implication is that it is something that is ‘brought in like an object concrete and physical and recognised by its static end state where some sort of equilibrium is achieved between the IT and business sides in an organisation. In the previous section, some of the definitions only present strategic alignment as an outcome achieved through the employment and adoption of different models, techniques and processes (Ortiz, 2003). Broadbent and Weill (1993), Chan et al. (1997), Luftman (2003) and Reich and Benbasat (1996), also see strategic alignment as something to be arrived at, a destination that is terminated when an optimal situation has been achieved. This may be a misunderstanding of the full meaning as the attitude that having strategic alignment the business married with the technology required for effective fulfillment of objectives cannot stand alone and it would be naà ¯ve to believe that BITA was a panacea for all business problems so perhaps the authors see it as an optimal achievement when all the other factors, or perspectives, also come into play to make BITA a worthwhile ‘thing in itself. 2.3.4 BITA AS A CONTINUING PROCESS If a business is static it will stagnate and if a business wishes to grow, like IT, it must always continue to evolve through a naturally occurring dynamics that are integral to the implementation of policies such as strategic alignment. Baets (1996), Luftman et al. (1999), and Rondinelli (2001) agree that these dynamics require constant monitoring and appropriate adjustment. Therefore, strategic alignment is not something attainable but something constantly in development, as it is variously described by Henderson and Venkatraman (1993), Baets 1996, Maes et al. (2000), Duffy (2001), Moody (2003), and Senn (2004). â€Å"An issue that has remained relatively unchallenged and unquestioned is how to align IT that is relatively fixed once implemented in an organization, with a business strategy and associated information requirements that are constantly in need of adjustment Galliers (2007, p. 228). Even within this perspective there are two schools of thought; the classical school of thought with emphasis on contingency adaptations and the ‘processual approach (Whittington, 1993) that emphasises the importance of addressing internal and power issues, particularly how cultural elements influence the formal elements of rationality and the decision process in strategic alignment and rejects IT as merely an adaptation but gives it greater weight as a resource. Furthermore, practitioners are being advised to adopt a view of strategic alignment as a continual process. In Pearlmans (2004) article advice to CIOs, in summary, is that they should communicate, demonstrate, lead, collaborate, govern and build if they wish to achieve alignment. 2.3.5 BITA FOR PERFORMANCE INDICATION It is the consideration of several authors that strategic alignment is not only a process but also a tool whereby they can reflect on the business value that organisations might possess, or not. In studies analysed the relationship between strategic alignment and competitive advantage or organisational performance were tracked, (Venkatraman, 1989; Sabherwal and Chan, 2001; Kearns and Lederer, 2003; Wagner, 2005; Seggie et al., 2006; Zhou, 2008). Tallon and Kraemer (2003) were responsible for the additional concept of business value being included as an element to the performance indication point of view of strategic alignment and analyse business value by relating it to organisational IT goals and measuring the IT return of investment from a strategic alignment viewpoint. 2.3.6 ASSESSMENT USING BITA In response to the question: `how do organisations know how good their strategic alignment is? different authors have developed Maturity Models (MMs) (de Koning and der Mark, 2002; Duffy, 2001; Luftman, 2003; van der Raadt et al., 2005). MMs describe the development of a specific domain over time. This perspective is in itself a more mature outlook than other perspectives as it has to consider many of the dynamics before being able to construct an effective strategic alignment. Because of the in-built review and evaluation required for this perspective it has to look at all aspects that the alignment may affect. Researchwork and systems are subject to assessment and revision through these maturity models and their monitoring. On the basis of the assessments of those MMs, organisations can fine tune and calibrate their strategic alignment: Identify any alignment-related aspects/processes improvements required to obtain a higher level of strategic alignment maturity. Initiate any change processes to ensure that the identified improvements eventuate. In much the same way, acceptance of the cyclical nature of strategic alignment as posited by Burns (1996) ‘lead-lag model implies assessment in response to intermittent predictable and unpredictable changes as does the ‘punctuated equilibrium model of Sabherwal et al. (2001) where interruptions to stability demand a fresh look at the long term plan and goals of strategic alignment. 2.3.7 BITA AS A SOCIAL INFLUENCE If an organisation intends to work toward achieving strategic alignment it will necessitate communication that will involve negotiation, collaboration and mutual understanding elements not always present a specific organisational structure or culture. This communication can blur the boundaries of traditional or conventional approaches and therefore becomes a driving force behind social attitudes and perceptions. Chan (2002) and Huang and Hu (2007) uphold this view that maintaining effective communication in an organisation will impact on corporate strategic alignment culture. Concord must be developed for effective channels of communication, transparency in the exchange of knowledge and sharing of learning (Hoque, 2002; Daneva and Hu, 2007), and the use of informal communication is just as important a factor for adjustment and control (Mintzberg, 1993; Chan, 2002; vander Raadt et al., 2005), to generate an atmosphere of trust and an effective response to business needs from an IT pe rspective. Reich and Benbasats (2000) study further confirms that strategic alignment is more likely to succeed when business and IT executives have an [importantly] expressed and [understood] shared common vision of ITs contribution. 2.3.8 BITA AND OPERATIONS Strategic alignment [when it is all-encompassing and embraced by all as part of an organisational culture] necessarily involves organisational issues of communication, structure and, particularly, coordination processes that are operational to the business in specifically performed actions (Wieringa, 2008). Operational strategic alignment consists of aligning the operational activities of IT and business people with each other so that optimal IT support for business requirements is achieved. In this context, Peak and Guynes (2003) put the onus of success on the IT side of the equation, though it does imply some reciprocity in the initial communication of ‘quality requirements and they state that strategic alignment will only be attained when an organisations IT staff can deliver quality information and quality IT products and services to the business side. 2.4 BITA MODELS 2.4.1 MIT90S FRAMEWORK (1991) During the 1980s, research conducted at the world renowned MIT (Massachusetts Institute of Technology) initiated interest in the academic community to the potential of the strategic power of IT. In the attempt to exploit the possibilities revealed in the model from the research it was suggested that radical innovation involving IT investment could carry substantial reward if key elements of strategy, structure, technology, management processes and individuals and their roles were kept in alignment (Morton, 1991). Organisation can be visualised as a set of five forces in dynamic equilibrium subject to external influences from the technological environment and the socio-economic environment. In this view, a core task of general management is to ensure that all five ‘forces (represented by the boxes), can flow without restriction or impediment in order to achieve the organisations goals and objectives. With management at the centre of the model its role is central too. Though some areas might not necessarily be in direct contact with each other they are connected via the management process which plays the principal role and ensures organisational response to shifts in demands from the external variables. 2.4.2 THE HENDERSON AND VENKATRAMAN STRATEGIC ALIGNMENT MODEL (1993) Henderson Venkatramans (1993) strategic model (Figure 2.3) is a widely used four-part illustration favoured by many researchers and organisations for the assessment of the level of alignment in a company. Each of the four parts [quarters] contain three distinct and individuals elements which, when collectively analysed, can be used to define each quarter operationally. These twelve elements- further expanded in Table 1 are used to establish the level and type of alignment within a corporation (Henderson Venkatraman, 1993; Papp, 1995). Table 1 Components of the Strategic Alignment Model Within the model it can be seen how external influences may affect change on either processes [lower sectors] or strategies [upper sectors]. A vertical link couples the upper and lowers sectors and shows the relationship between strategic fit to accommodate strategy with infrastructure. A horizontal link for functional integration shows how IT strategies must adapt as business strategies change, and displays the dependence and required response of each sector upon anothers adaptations particularly in relation to skills and operation. Giving focus to three of the four quarters of the model at a given time can permit a simultaneous address to both strategic fit and functional integration (Papp, 1995; Luftman et al., 1999). The SAM (Strategic Alignment Model) model has proven empirical authenticity and has provided valid conceptual and practical value (Goedvolk et al,. 1997; Avison et al., 2004). Nevertheless, it is subject to confines, eg, the applicability of the SAM model may vary depending on the IT-intensity of an industry and the assumptions expounded might not be relevant to the circumstances (Burn and Szeto, 2000). As mentioned, the model does have recognition and a number of scholars have further elaborated on it (e.g., Luftman et al., 1993). Goedvolk et al.s (1997) extension of the SAM model gave greater focus to technical and architectural attributes. Avison et al.s (2004) addition to the SAM model was able to provide practitioners and academics with further practical ways to attain alignment in their advocacy of examining projects retrospectively to determine alignment. This form of alignment monitoring, can allow pre-emption in a change in strategy and implementation of a new alignment perspective by re-allocation of project resources. The SAM model inspired Maes et al. (2000) to produce a framework that incorporates even more layers pertinent to function and strategy where information providers are separated from the systems providing information in a new information domain representing knowledge, [and exchange of information through] communication and coordination. Their third dimension addresses specific sub-architecture areas. 2.4.3 IS CAPABILITY AND ORGANISATIONAL PERFORMANCE MODEL (2004) Peppard and Wards model (2004) shows IS capability at the core of everything, inherently affecting competencies and emanating an influence on all areas that interrelate [business strategy/business operations/IT operations and services/IS/IT strategy] and impact upon the organisational performance. Such focus on the importance of this core element demonstrates the value IS capabilities can create and is therefore an organisation-wide responsibility that cannot be delegated to the IS function alone (Peppard et al., 2000). Peppard and Ward (2004) later asserted that though an organisation might envisage an IT based innovative strategy, it will be their IS capabilities that permit such a vision to come to fruition. 2.4.4 CO-EVOLUTIONARY IS ALIGNMENT (2006) By 2006 the model suggested by Benbya and McKelvey (2006) through its graphic presentation appears a more fluid representation suggesting, even visually, that there is more of a flow between relationships in alignment. It still addresses the need to analyse relationships between business and IT (horizontal IS alignment) but introduces a need to merge the views at different levels [strategic/operational/individual] of analysis (vertical IS alignment) through shared understanding and communication. The co-evolutionary IS alignment perspective conveys the necessity for mutual adaptation within a dynamic interplay of co-evolving elements. Co-evolution does not necessarily seek harmony between the elements but a respect for their position and the innovation that may result from the circumstances and environments in which they function. 2.5 ASSESSMENT APPROACHES OF BITA In this section MMs (maturity models) are referred to that have been developed for the assessment of BITA. 2.5.1 DUFFYS MM (2001) Duffys (2001) MM is founded on the principle that a dependable, mutually compatible partnership between IT and business executives is elementary in order to achieve a worthwhile BITA. Without this premise there cannot be a successful desired outcome. Accepting that there is a level of interdependence between IT and business objectives, any schism or division between IT and non-IT areas would sabotage any efforts to establish alignment. This model is arranged about a series of key success drivers (the domains: human resources organisation and management/innovation and renewal strategy/IT/business architecture/IT/business partnership/operational excellence/ROI strategy management) which are operationalised in KPIs (key performance indicators) that each contain five contributory factors aspects designed to address explicit and significant questions within the KPI where it is included. The six domains are briefly explained below: Human resources organisation and management. In this domain reference is made to an organisations personnel and emphasis is given to the importance of workforce recruitment, retention and management by an organisation. Innovation and renewal strategy. The focus here is how innovative an organisation is with an emphasis on currency and validity having a bearing upon understanding when renewal is required to processes and capabilities in an organisation. IT/business architecture. This domain is concerned with the relationship and interaction of entities involved in the information and applications in the business environment of an organisation. IT/business partnership. This domain reflects how the recent upgrading of the role of the IT function affects an organisation â€Å"Technology is critical to business success and this co-dependency drives the need for the IT and non-IT executives to pursue a win/win relationship Duffy (2003, p. 4). Operational excellence. This domain deals with the performance outcomes of the organisation. Duffy recognises that operational excellence can only be achieved if an organisation can recognise the value of ideals embedded in learning and partnerships, and can respond to market demands promptly. ROI strategy and management. This domain investigates the importance of the metrics and processes required for efficient and effective financial management within organisations and accepting IT costs and benefits as having parity with business ones. Duffys six domains address the â€Å"IT and non-IT assertion as well as certain strategic elements within an organisation but there are no explicitly stated maturity levels for them. Instead, Duffy merges the six domains of the model into four BITA scenarios where organisations fall into the following categories: â€Å"uneasy alliance†, â€Å"supplier/consumer relationship†, â€Å"co-dependence/grudging respect†, and â€Å"united we succeed, divided we fail†. These laymans terms are loose at best and though intended to be descriptive only serve to confuse in their interpretation. Such scenarios are the maturity levels in the model. 2.5.2 LUFTMANS MM (2003) Luftmans model (2003) was constructed on the basis of practical experience and research into enablers and inhibitors of alignment (Luftman et al, 1999), incorporating reference to various other models [here listed chronologically and not in order of importance or influence]: Nolans stages of growth model (Nolan, 1979), SAM (Henderson and Venkatraman, 1993) and CMMs (Capability Maturity Model) reach and range concept of (Keen, 1996). Luftmans MM is an endeavour based in six domains (skills/technology scope/partnership/governance/competency measurements/communications) to discover a specific organisations BITA profile. A brief description of each domain follows: Skills: addresses practical human resources issues such as cross-training in IT and business issues regarding the cultural environment and its impact on innovation and organisational change. Technology scope: refers to how much provision of comprehensible and flexible infrastructure comes from IT, the implementation of emergent technol Relationship between Business Strategy and IT Strategy Relationship between Business Strategy and IT Strategy BUSINESS-IT ALIGNMENT (BITA) The relationship between Business strategy and IT strategy and the influence of organisation culture on this strategic alignment in Saudi firms will form the basis of the research in this research. As such, the literature reviewed here will survey major research and practice in the business-IT strategic alignment domain for the purpose of deriving a research framework, or model, of business-IT strategic alignment that will unite the key principles contained within the literature. The intention is to develop a model simple enough for application that will provide a practical tool both for management and IT practitioners. 2.1 BITA A CHRONLOGICAL HISTORY Study on the strategic alignment concept will soon be reaching a quarter of a decades worth of knowledge. Henderson Sifonis (1988) began studying this notion during the late 80s when alignment emerged from a focus on strategic business planning and long-range IT planning where IT plans were created in support of corporate strategies Chan Reich (2007, p. 298). Nevertheless, strategic alignment has retained its interest and value in the business and IT communities and is still a popular topic today for organisations; perhaps even more so as technological advancement continues to dominate the exchange of information. Not surprisingly, its evolution has followed closely the developmental progress of IT itself which began with the operational era continuing through the re-engineering viewpoint and the new economy as figure 2.1 illustrates: The initial phase, the operational era, was concerned primarily with the operations that an organisation performed and focused on setting up mainframes, managing networks of PCs, and backing up organisational data. IT provided the nuts and bolts to facilitate automation of back-office functions through the development of software and had only a supportive role. Strategic alignment was thus viewed merely as a supporting act for every-day operations with its software applications. The second phase, re-engineering, arose from the increasing trend toward dependency on the automation of business processes by IT which not only offered back-office functions support but the promise of total automation within an organization as a whole through IT software applications. At this stage, IT was still viewed only as a supportive tool with no representation in the business end of an organisation. For example, business managers expressed their system needs which the IT department embraced and went on to develop and deploy a new software application in isolation. These early strategic alignment projects were not always successful. It was discovered that the development of software (with embedded processes) for automation of a business function was no guarantee of improvement over its earlier manual operation, indeed it could end up being more time-consuming and therefore less efficient as operators were not necessarily au fait with the application. There was not a full unde rstanding of what IT could do and how it could enhance a companys position beyond speeding up communications and thereby creating more ‘time for production or interfacing. A ‘Them and Us atmosphere prevailed with the ‘techies in a separate world to the mangers or drivers of the business, neither fully understanding the others needs [elements that are also considered further in the organisation culture aspect of this research and dealt with in the next chapter]. In the 1990s, Baets study of European banks (Baets, 1996) supported the findings of Vitale and colleagues ten years earlier (Vitale et al., 1986) that knowledge of IT had to be on a par with expert business knowledge for the two to create any comprehension and thereby effective application of strategic alignment in organisations. The third phase, new economy, saw IT commanding greater importance and status as organisations began to emerge that were embracing e-commerce. The demands of the new e-business projects required involvement of IT representatives in their management and strategic planning. The implementation of Internet technologies to augment business processes for productivity or profitability improvements brought the role of IT into the spotlight, according it recognition and strategic responsibility. Along with the newly elevated status of the old IT department there was a greater familiarity with technology and its capabilities and the prejudice that had previously scorned the ‘nerds dissipated somewhat as managers and personnel became more knowledgeable and the IT personnel more essential beyond a lab coat and a screwdriver [cf: artifacts causing division, Schein (1992) and Trompenaars (1997) in chapter 3]. Despite the current global economic crisis and the demise of the new economy IT con tinues to assume new responsibilities and organisations have even more need for strategic alignment projects. An IT department in 2010 must manage relations with partners and bear business responsibilities concerned with the development and customisation of software that will improve how a business functions; practice effective project management to control costs and maximise efficiency and ensure that the introduction of any new hardware or software support operations and infrastructure, â€Å" maintaining the crucial corporate data that helps managers throughout the enterprise to make intelligent and informed decisions Hoque (2002, p. 31). Kearns Lederer, (2003) and Seggie et al. (2006) agree that strategic alignment is a means to gain competitive advantage and Sabherwal Chan (2001), Wagner et al. (2005) and Zhou et al. (2008) further add that it improves organisational performance. 2.2 DEFINING BITA Determining a conclusive definition for alignment is as challenging as its function and application. There are many perspectives and multiple definitions including in chronological order: strategic alignment (Henderson and Venkatraman, 1993); harmony (Luftman, 1996); fit (Porter, 1996); bridge (Ciborra, 1997); integration (Weill and Broadbend, 1988); fusion (Smaczny, 2001); IS alignment (Chan et al., 2006; Benbya and McKelvey, 2006) business-IT alignment (Luftman, 2007); and IT alignment (Chan, 2007). It is understandable that there is such diversity as definitions depend on our understanding of language. The semantics involved are precarious because the new technologies are often described in technical terms and applying simplistic synonyms to explain the intention of alignment in the context of business IT in terminology that is understood without associated jargon is very difficult. Overall, the definitions offered, though they have nuances of difference between them, do relate to the improvement of organisational capability through technology. Broadbent and Weills (1993) early definition, purports that it is the degree to which information strategies support, stimulate and/or enable any business strategies. A later definition offered by Reich and Benbasat (1996) asserts much the same but frames it in terms of the missions of the IT and business objectives and plans on both sides. Luftman (2000) was the first to introduce the element of evolution into the definition and argued that it required strength [as the key element] from leadership, senior management and working relationships, combined with a complete understanding of the business and technical environments, fitting prioritisation, mutual trust, and of course, effective communication. Hirschheim and Sabherwals (2001) definition included the idea of a reciprocal arrangement as fundamental to its meaning and stated that alignment was the achieved between strategy and supporting structures that allowed both IS (information systems) and business to function and communica te responsively each way to one another. Most accepted definitions do highlight the alignment dichotomy described by Kearns and Lederer, (2000), where the argument is that the IS plan ought to align with the business plan (ISP-BP) and vice versa (BP-ISP) the business plan ought to align with the IS plan. Each perspective serves to increase the understanding of IT at organisational level and assist the prioritisation of IT projects. Reich and Benbasat (1996) were protagonists of the ISP-BP model, which they declared signified, IS managements comprehension of the business strategy. Whereas Bensaou and Earl (1998) contrarily preferred the BP-ISP alignment model as they believed it assumed a greater understanding on the part of the business comprehension of the IT aspects and thus the plan and the resources would ally more effectively together as a result of this knowledge, understanding and commitment. These elements are believed to be enablers of alignment (Luftman et al., 1999). In the definitions offered some view alignment as a specific happening or event and others regard it is an ongoing process. Duffy (2001) saw BITA as a process of achieving competitive advantage through a developed and sustained business and IT symbiosis. Maes et al. (2000) claimed BITA to be a continuous and continual process that involved management and design sub-processes with conscious and coherent interrelation of all elements and mechanisms within the business/IT relationship offering contribution to the ongoing performance of the organisation. Moodys (2003) definition saw BITA as a form of comprehensive resources management (people/ technology/ outside resources) that provides a set of IT services and capabilities that are in line with the business needs and priorities. And Senn (2003) was assured that each action executed by IT individuals was to focus on the creation and delivery of shareholder/stakeholder value through supporting business operations and/or achieving business goals. 2.3 BITA PERSPECTIVES AND DIMENSIONS With the diversity of definitions offered to explain the meaning of the strategic alignment concept, as outlined in the previous section, there is a need to further explore the differences to discover why there is such variety. Part of the explanation may be that as the concept has evolved it has been closely linked to the evolution of technological capabilities. Attitudes have changed as organisations have adopted new technologies and personnel have become more familiar with their potential and their operation. These dynamics and the evolution of strategic alignment are reflected in the number of conceptualisations and their definitions will be analysed in the context of the differing perspectives afforded to them. BITA with regard to its perception as a strategy, an event, a continuous process, a performance indicator, an assessment tool, a social influence and as an operation will be briefly outlined below to expand on the definitions in the literature from their different dimensi ons. 2.3.1 BITA AS A STRATEGY It has been a tradition for literature to refer to Business-IT alignment as ‘strategic alignment. Considering it in these terms frames it as an intellectual notion rather than something more concrete or practical and as such it can be high-jacked to represent whatever strategy suits the organisation that is considering alignment. There is no harm in referencing alignment in this manner for it allows debate and therefore change, essential for evolution and adopting a ‘strategy suitable to the structure, culture and level of alignment required. By referring to it in this way however, the literature suggests that strategic alignment is dependent on the fit between IT strategy and business strategy, and on how the IS plans are established to support such a fit (Teo and King, 1997). Many authors in the strategic alignment field approach alignment purely at the strategic level, e.g. Baets (1992), Broadbent and Weill (1993), Chan et al. (1997), and Luftman (2003). At the core of their conceptualisations is the notion that business strategy itself must first be analysed and only thereafter be used to determine a complementary IT strategy. In this scenario the business strategy is paramount and the IT strategy contribution secondary, it is a means to an end rather than a means in its own right. However, despite the alignment between business strategy and IT strategy where emphasis is laid on defining IS strategy plans (Benbya and Mckelvey, 2006) strategic alignment continues to be problematical in many organisations. Thus, reaching an agreed definition that details IS strategic plans is important for strategic alignment; however, is it not enough on its own for the achievement of such alignment (van der Zee and de Jong, 1999). 2.3.2 STRUCTURAL TOPOLOGY AFFECTING BITA The literature often takes for granted the strategic element of the concept and delves further into its implications for organisations, concentrating on the behaviour and nature of BITA what it does when you introduce it [and also is a strong feature of the organisational culture types discussed in the following chapter]. This depends largely on what type of a structure into which it is introduced. A formal structure, an informal structure or a hybrid structure, each having its own merits and each being capable of effective function when the circumstances and environment are conducive to the choice made (Brown and Magill, 1994). Against their three identified structures, Earl (1989) identified five potentially suitable structures: centralized, business unit, business venture, decentralised, and federal. Tavakolian (1989) found a direct correlation between competitive and conservative strategies within an environment and the corresponding decentralised or centralised IT structures ev ident in an organisation and this finding is supported to some extent by Bergeron et al. (2001) with the caveat that it is not solely the complexity of structure that impacts performance but that other factors are influential too. Chans (2001) view is that informal structure, â€Å"†¦relationship-based structures that transcend the formal division of labour and coordination of tasks†¦Ã¢â‚¬  (Chan, 2001, p67) can be just as effective as formal structure with the human element rather than intellectualised models and processes driving alignment, often with more impact and success than a formal arrangement. Structure, therefore can add a new dimension to the perspective of alignment as it places it in a setting that will impose its own constraints on the practice and execution of alignment exercises and ideals. 2.3.3 BITA AS AN END IN ITSELF For some authors it alignment doesnt seem to ‘do anything rather it is a business unit that lacks the dynamics others see in it. The implication is that it is something that is ‘brought in like an object concrete and physical and recognised by its static end state where some sort of equilibrium is achieved between the IT and business sides in an organisation. In the previous section, some of the definitions only present strategic alignment as an outcome achieved through the employment and adoption of different models, techniques and processes (Ortiz, 2003). Broadbent and Weill (1993), Chan et al. (1997), Luftman (2003) and Reich and Benbasat (1996), also see strategic alignment as something to be arrived at, a destination that is terminated when an optimal situation has been achieved. This may be a misunderstanding of the full meaning as the attitude that having strategic alignment the business married with the technology required for effective fulfillment of objectives cannot stand alone and it would be naà ¯ve to believe that BITA was a panacea for all business problems so perhaps the authors see it as an optimal achievement when all the other factors, or perspectives, also come into play to make BITA a worthwhile ‘thing in itself. 2.3.4 BITA AS A CONTINUING PROCESS If a business is static it will stagnate and if a business wishes to grow, like IT, it must always continue to evolve through a naturally occurring dynamics that are integral to the implementation of policies such as strategic alignment. Baets (1996), Luftman et al. (1999), and Rondinelli (2001) agree that these dynamics require constant monitoring and appropriate adjustment. Therefore, strategic alignment is not something attainable but something constantly in development, as it is variously described by Henderson and Venkatraman (1993), Baets 1996, Maes et al. (2000), Duffy (2001), Moody (2003), and Senn (2004). â€Å"An issue that has remained relatively unchallenged and unquestioned is how to align IT that is relatively fixed once implemented in an organization, with a business strategy and associated information requirements that are constantly in need of adjustment Galliers (2007, p. 228). Even within this perspective there are two schools of thought; the classical school of thought with emphasis on contingency adaptations and the ‘processual approach (Whittington, 1993) that emphasises the importance of addressing internal and power issues, particularly how cultural elements influence the formal elements of rationality and the decision process in strategic alignment and rejects IT as merely an adaptation but gives it greater weight as a resource. Furthermore, practitioners are being advised to adopt a view of strategic alignment as a continual process. In Pearlmans (2004) article advice to CIOs, in summary, is that they should communicate, demonstrate, lead, collaborate, govern and build if they wish to achieve alignment. 2.3.5 BITA FOR PERFORMANCE INDICATION It is the consideration of several authors that strategic alignment is not only a process but also a tool whereby they can reflect on the business value that organisations might possess, or not. In studies analysed the relationship between strategic alignment and competitive advantage or organisational performance were tracked, (Venkatraman, 1989; Sabherwal and Chan, 2001; Kearns and Lederer, 2003; Wagner, 2005; Seggie et al., 2006; Zhou, 2008). Tallon and Kraemer (2003) were responsible for the additional concept of business value being included as an element to the performance indication point of view of strategic alignment and analyse business value by relating it to organisational IT goals and measuring the IT return of investment from a strategic alignment viewpoint. 2.3.6 ASSESSMENT USING BITA In response to the question: `how do organisations know how good their strategic alignment is? different authors have developed Maturity Models (MMs) (de Koning and der Mark, 2002; Duffy, 2001; Luftman, 2003; van der Raadt et al., 2005). MMs describe the development of a specific domain over time. This perspective is in itself a more mature outlook than other perspectives as it has to consider many of the dynamics before being able to construct an effective strategic alignment. Because of the in-built review and evaluation required for this perspective it has to look at all aspects that the alignment may affect. Researchwork and systems are subject to assessment and revision through these maturity models and their monitoring. On the basis of the assessments of those MMs, organisations can fine tune and calibrate their strategic alignment: Identify any alignment-related aspects/processes improvements required to obtain a higher level of strategic alignment maturity. Initiate any change processes to ensure that the identified improvements eventuate. In much the same way, acceptance of the cyclical nature of strategic alignment as posited by Burns (1996) ‘lead-lag model implies assessment in response to intermittent predictable and unpredictable changes as does the ‘punctuated equilibrium model of Sabherwal et al. (2001) where interruptions to stability demand a fresh look at the long term plan and goals of strategic alignment. 2.3.7 BITA AS A SOCIAL INFLUENCE If an organisation intends to work toward achieving strategic alignment it will necessitate communication that will involve negotiation, collaboration and mutual understanding elements not always present a specific organisational structure or culture. This communication can blur the boundaries of traditional or conventional approaches and therefore becomes a driving force behind social attitudes and perceptions. Chan (2002) and Huang and Hu (2007) uphold this view that maintaining effective communication in an organisation will impact on corporate strategic alignment culture. Concord must be developed for effective channels of communication, transparency in the exchange of knowledge and sharing of learning (Hoque, 2002; Daneva and Hu, 2007), and the use of informal communication is just as important a factor for adjustment and control (Mintzberg, 1993; Chan, 2002; vander Raadt et al., 2005), to generate an atmosphere of trust and an effective response to business needs from an IT pe rspective. Reich and Benbasats (2000) study further confirms that strategic alignment is more likely to succeed when business and IT executives have an [importantly] expressed and [understood] shared common vision of ITs contribution. 2.3.8 BITA AND OPERATIONS Strategic alignment [when it is all-encompassing and embraced by all as part of an organisational culture] necessarily involves organisational issues of communication, structure and, particularly, coordination processes that are operational to the business in specifically performed actions (Wieringa, 2008). Operational strategic alignment consists of aligning the operational activities of IT and business people with each other so that optimal IT support for business requirements is achieved. In this context, Peak and Guynes (2003) put the onus of success on the IT side of the equation, though it does imply some reciprocity in the initial communication of ‘quality requirements and they state that strategic alignment will only be attained when an organisations IT staff can deliver quality information and quality IT products and services to the business side. 2.4 BITA MODELS 2.4.1 MIT90S FRAMEWORK (1991) During the 1980s, research conducted at the world renowned MIT (Massachusetts Institute of Technology) initiated interest in the academic community to the potential of the strategic power of IT. In the attempt to exploit the possibilities revealed in the model from the research it was suggested that radical innovation involving IT investment could carry substantial reward if key elements of strategy, structure, technology, management processes and individuals and their roles were kept in alignment (Morton, 1991). Organisation can be visualised as a set of five forces in dynamic equilibrium subject to external influences from the technological environment and the socio-economic environment. In this view, a core task of general management is to ensure that all five ‘forces (represented by the boxes), can flow without restriction or impediment in order to achieve the organisations goals and objectives. With management at the centre of the model its role is central too. Though some areas might not necessarily be in direct contact with each other they are connected via the management process which plays the principal role and ensures organisational response to shifts in demands from the external variables. 2.4.2 THE HENDERSON AND VENKATRAMAN STRATEGIC ALIGNMENT MODEL (1993) Henderson Venkatramans (1993) strategic model (Figure 2.3) is a widely used four-part illustration favoured by many researchers and organisations for the assessment of the level of alignment in a company. Each of the four parts [quarters] contain three distinct and individuals elements which, when collectively analysed, can be used to define each quarter operationally. These twelve elements- further expanded in Table 1 are used to establish the level and type of alignment within a corporation (Henderson Venkatraman, 1993; Papp, 1995). Table 1 Components of the Strategic Alignment Model Within the model it can be seen how external influences may affect change on either processes [lower sectors] or strategies [upper sectors]. A vertical link couples the upper and lowers sectors and shows the relationship between strategic fit to accommodate strategy with infrastructure. A horizontal link for functional integration shows how IT strategies must adapt as business strategies change, and displays the dependence and required response of each sector upon anothers adaptations particularly in relation to skills and operation. Giving focus to three of the four quarters of the model at a given time can permit a simultaneous address to both strategic fit and functional integration (Papp, 1995; Luftman et al., 1999). The SAM (Strategic Alignment Model) model has proven empirical authenticity and has provided valid conceptual and practical value (Goedvolk et al,. 1997; Avison et al., 2004). Nevertheless, it is subject to confines, eg, the applicability of the SAM model may vary depending on the IT-intensity of an industry and the assumptions expounded might not be relevant to the circumstances (Burn and Szeto, 2000). As mentioned, the model does have recognition and a number of scholars have further elaborated on it (e.g., Luftman et al., 1993). Goedvolk et al.s (1997) extension of the SAM model gave greater focus to technical and architectural attributes. Avison et al.s (2004) addition to the SAM model was able to provide practitioners and academics with further practical ways to attain alignment in their advocacy of examining projects retrospectively to determine alignment. This form of alignment monitoring, can allow pre-emption in a change in strategy and implementation of a new alignment perspective by re-allocation of project resources. The SAM model inspired Maes et al. (2000) to produce a framework that incorporates even more layers pertinent to function and strategy where information providers are separated from the systems providing information in a new information domain representing knowledge, [and exchange of information through] communication and coordination. Their third dimension addresses specific sub-architecture areas. 2.4.3 IS CAPABILITY AND ORGANISATIONAL PERFORMANCE MODEL (2004) Peppard and Wards model (2004) shows IS capability at the core of everything, inherently affecting competencies and emanating an influence on all areas that interrelate [business strategy/business operations/IT operations and services/IS/IT strategy] and impact upon the organisational performance. Such focus on the importance of this core element demonstrates the value IS capabilities can create and is therefore an organisation-wide responsibility that cannot be delegated to the IS function alone (Peppard et al., 2000). Peppard and Ward (2004) later asserted that though an organisation might envisage an IT based innovative strategy, it will be their IS capabilities that permit such a vision to come to fruition. 2.4.4 CO-EVOLUTIONARY IS ALIGNMENT (2006) By 2006 the model suggested by Benbya and McKelvey (2006) through its graphic presentation appears a more fluid representation suggesting, even visually, that there is more of a flow between relationships in alignment. It still addresses the need to analyse relationships between business and IT (horizontal IS alignment) but introduces a need to merge the views at different levels [strategic/operational/individual] of analysis (vertical IS alignment) through shared understanding and communication. The co-evolutionary IS alignment perspective conveys the necessity for mutual adaptation within a dynamic interplay of co-evolving elements. Co-evolution does not necessarily seek harmony between the elements but a respect for their position and the innovation that may result from the circumstances and environments in which they function. 2.5 ASSESSMENT APPROACHES OF BITA In this section MMs (maturity models) are referred to that have been developed for the assessment of BITA. 2.5.1 DUFFYS MM (2001) Duffys (2001) MM is founded on the principle that a dependable, mutually compatible partnership between IT and business executives is elementary in order to achieve a worthwhile BITA. Without this premise there cannot be a successful desired outcome. Accepting that there is a level of interdependence between IT and business objectives, any schism or division between IT and non-IT areas would sabotage any efforts to establish alignment. This model is arranged about a series of key success drivers (the domains: human resources organisation and management/innovation and renewal strategy/IT/business architecture/IT/business partnership/operational excellence/ROI strategy management) which are operationalised in KPIs (key performance indicators) that each contain five contributory factors aspects designed to address explicit and significant questions within the KPI where it is included. The six domains are briefly explained below: Human resources organisation and management. In this domain reference is made to an organisations personnel and emphasis is given to the importance of workforce recruitment, retention and management by an organisation. Innovation and renewal strategy. The focus here is how innovative an organisation is with an emphasis on currency and validity having a bearing upon understanding when renewal is required to processes and capabilities in an organisation. IT/business architecture. This domain is concerned with the relationship and interaction of entities involved in the information and applications in the business environment of an organisation. IT/business partnership. This domain reflects how the recent upgrading of the role of the IT function affects an organisation â€Å"Technology is critical to business success and this co-dependency drives the need for the IT and non-IT executives to pursue a win/win relationship Duffy (2003, p. 4). Operational excellence. This domain deals with the performance outcomes of the organisation. Duffy recognises that operational excellence can only be achieved if an organisation can recognise the value of ideals embedded in learning and partnerships, and can respond to market demands promptly. ROI strategy and management. This domain investigates the importance of the metrics and processes required for efficient and effective financial management within organisations and accepting IT costs and benefits as having parity with business ones. Duffys six domains address the â€Å"IT and non-IT assertion as well as certain strategic elements within an organisation but there are no explicitly stated maturity levels for them. Instead, Duffy merges the six domains of the model into four BITA scenarios where organisations fall into the following categories: â€Å"uneasy alliance†, â€Å"supplier/consumer relationship†, â€Å"co-dependence/grudging respect†, and â€Å"united we succeed, divided we fail†. These laymans terms are loose at best and though intended to be descriptive only serve to confuse in their interpretation. Such scenarios are the maturity levels in the model. 2.5.2 LUFTMANS MM (2003) Luftmans model (2003) was constructed on the basis of practical experience and research into enablers and inhibitors of alignment (Luftman et al, 1999), incorporating reference to various other models [here listed chronologically and not in order of importance or influence]: Nolans stages of growth model (Nolan, 1979), SAM (Henderson and Venkatraman, 1993) and CMMs (Capability Maturity Model) reach and range concept of (Keen, 1996). Luftmans MM is an endeavour based in six domains (skills/technology scope/partnership/governance/competency measurements/communications) to discover a specific organisations BITA profile. A brief description of each domain follows: Skills: addresses practical human resources issues such as cross-training in IT and business issues regarding the cultural environment and its impact on innovation and organisational change. Technology scope: refers to how much provision of comprehensible and flexible infrastructure comes from IT, the implementation of emergent technol