Past and Current Directions in ERP
In keeping with technological changes in IT sector as well as evolving business need, there are discernable changes in ERP market as well. The traditional strength of ERP in back office space such as basic manufacturing, financial management, procurement and distribution, is still unchallenged. But the mind set is changing rapidly and ERP system providers […]
Will London Still be the Financial Capital of the World ?
Experts believe that the effects of Brexit will be varied in nature. What has happened now is a mere announcement of the intention of Britain to leave the European Union. However, the effects are not really seen. There are contradictory views about the possible outcomes. Some believe that the outcome will be catastrophic for Great […]
Six Sigma Project Team Members
The actual work done in a Six Sigma project is done by the members involved. The Project Lead, Finance Certifier, Project Coach are all planning and enabling the team members to work in some way. Since the Project Team is usually a heterogeneous mix of people from different departments, there is no uniformity in the […]
Definition of Key Performance Indicator (KPI) and relationship with SLA
A KPI is a great tool to measure and control the performance of any given process. In management jargon, there is a famous saying which says “That which cannot be measured cannot be managed”. The whole process of control, therefore relies on real time measurement and transfer of information from the site where the task […]
What is Kaizen? – The 5 S Approach
“Kaizen” refers to a Japanese word which means “improvement” or “change for the better”. Kaizen is defined as a continuous effort by each and every employee (from the CEO to field staff) to ensure improvement of all processes and systems of a particular organization. Work for a Japanese company and you would soon realize how […]
In the digital age, information technology plays an important role in the success of an organization. Technology provides edge in this globalized world. Companies are facing competition not only from local companies but from international companies as well.
In such a scenario, it is important that company invest in technology which is aligned with overall strategy of the company. This calls for Mb>technology strategy formulation.
Technology strategy formulation talks about alignment between technology strategy and the overall strategy of the organization. Here the role of the Chief Information Officer (CIO) comes into prominence.
The CIO should have short term as well as long term vision of technology advancement. CIO should bridge implication of technology advancement and organization strategy. A clear communication of technology impact on organization needs to reach executive leadership.
This alignment between CIO and CEO revolves around issues like:
CIO faces challenge to provide technology value adds for organization in achieving its objective.
Corporate planning plays an important role in alignment of technology with organization strategy. In a perfect scenario CIO and CEO will have a same planning horizon. However, it is observed that the CEO and CIO do not share same vision, from planning to execution.
This introduces the concept of planning lead time. In some organization, strategy execution does not match to technology planning horizon and execution. By the time technology strategy is executed, more advancement is observed in that system, thus competitive edge is lost.
In the above scenario, companies become reactive rather than pro-active. Companies need to adjust with challenges posed by market leaders and trend setters. A strong CIO-CEO relationship ensure organization develop understanding of technological challenges and its impact on overall organization.
Organization needs to ensure that their structure is agile and flexible as to accommodate changes in the technology. They should be efficient and effective enough to deal demands of the market change.
Organization needs to develop and maintain technology systems, which are flexible and adaptive. There are three types of technology infrastructure available with companies’ ERP, data warehousing and knowledge management.
All three dimensions ERP, Data Warehousing and Knowledge Management provide cutting edge to the organization.
Organization invests in technology looking at its present needs; future requirements and its capability to provide a competitive edge. Systems can be classified into three categories depending upon technology timeline, new systems, matured systems and declining systems.
New systems have latest technology and provide a competitive edge. As time progresses system and technology are adopted by more companies, thus losing competitive edge. Finally, systems and technology reach the obsolete stage where its usage has declined and is to be phased out.
Executive leadership of organizations is responsible to manage new systems range as to enjoy competitive edge. However, this requires substantial investment and clear vision of future technology state. Therefore, organization has to walk a tight rope in investment in new technology and phasing out the obsolete.
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Communication Systems and Groupware – Information System Concepts that Apply in All Functional Areas of Business
February 12, 2025
