Strategic Urbanization of Information Systems and Planning - Research Paper

Introduction

In the current world today, organizations and corporates are subject to many challenges and uncertainties they had never faced before due to the increasing development of Information and Communication Technology (ICT) together with the globalization, reduced geographical boundaries and increased market competition. Therefore, for them to keep their competence in the market and achieve their goals, they have adopted various strategies in their Information Communication Technology especially in strategically aligning their ICT objectives and organization's objectives.

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For them to survive in the competitive environment, they need a way to help them predict the unknown situations with utmost accuracy before they happen to help them plan for the future uncertainties before they happen instead of relying on the intuition. This also helps them meet the organization's goals and giving them an edge over others in the competitive market. In this environment, innovation and timely response to the needs of the market are determining factors for the survival of the organizations hence the need for the development of strategic planning with the quality of information got for the aligning the organization's goals and the ICT goals in the organization.

Information is vital to Enterprise Strategic planning (ESP), and a well-organized Information Systems (IS) is of great relevance since it helps in the collection, storage, retrieval and dissemination of information within and across the organization's departments. These systems are almost totally computer based in the world of today, and they support business functions and decision-making of the organizations at the managerial, operational and strategic levels. However, IS and ICT alone does not facilitate the competitive conditions of an organization in its operating market. Even though ICTs add value to the strategies of an organization, success will only be achieved if they are integrated into the business strategies of the organization (Loshin, 2012). Some recent plans adopted by several organizations are;

Knowledge Management Initiative

Managing knowledge is one of the main possessions of the organization thus providing the means to manage the knowledge is the primary significance underlying knowledge management initiative to leverage its intellectual capital. Knowledge management intends to signify an arrangement that leads to solving the problem, strategic planning and decision making in the organization. Knowledge management entails identifying, capturing, organizing, selecting, disseminating and passing knowledge across various departments of the organization.

This process has numerous aspects such as making the knowledge manageable, transferable and visible due to its stickiness, implicit nature and distribution nature as Carlie argued that knowledge is both a source of and a barrier to innovation as it is localized, embedded, and invested in practice (Carlile and Paul, 2002). Organizations would achieve efficient KM not only by focusing on knowledge process architecture (which involves, conversion, protection application, and acquisition) but also through concentrating in knowledge infrastructure (which involves structure, culture and technology). The critical factors for success of the knowledge management initiative in a project-based initiative organization include systems for handling the knowledge, cultural support, coordination among departments and employees, incentive for knowledge efforts and authority to perform knowledge activities(Ajmal et al.,2010).

Inter-Organizational Systems and E-Business Initiative

The underlying message of Inter-organizational Systems and E-Business initiative (IOS&EB) is that when implemented by an organization, it helps in achieving strategic sustainability, helps cut the cost of running a business, efficient smooth and effective running of the business, reshapes customer and supplier relationships, builds customer base quickly, streamlines business processes hence improving on the profits of the organization (Fillis & Wagner, 2005).

Since technology and the internet have reduced the barriers to entry, a flood of new entrants has come into many industries and organizations have been able to create value for their customers accompanied by ease-of-use and low-cost. The critical factors for the success of an e-business initiative are trust, information quality, management, and use, the Worldwide Web which is empathy and assurance and system quality (Cullen and Taylor, 2009).

There is a significant relationship between system quality and information quality based on Delone and Mclean Model and success dimensions of e-commerce initiatives are an intention to transact, intention to use and user satisfaction. The ease of understanding, reliability, and personalization helps in predicting the success of e-commerce especially reliability is more important than usability where security is vital, and the transaction is involved (Sharkey et al., 2010).

Enterprise Resource Planning (ERP) Initiative

ERP enterprise is a standardized software package that is used to integrate information within an organization. When implemented in an organization, since it improves the quality of information, it helps the company to cut on operational costs as it helps in reducing the time taken in operational works and improve managerial control over business processes which are deemed complex thus the organization's competitiveness in the market improves at it helps them stay focused on the market demands and customer needs (Avison and Malaurent, 2007).

However, for it to be effective, there is a need for effective business plan, a change in the culture of management and program evaluation and monitoring of performance, software development systems coupled with testing and troubleshooting and business and IT legacy systems for ERP to lead to enhanced data visibility and transparency within the organization (Ngai et al., 2008).

IS-Sourcing Initiative

IS-sourcing refers to the act of hiring a person or a private firm with an expertise in management in business to come and run the operations of the organization. This kind of innovation leads to enhanced performance since the expert incorporates advanced external technologies and focusing on the vital competencies in the business's running thus cutting capital investments and challenging the rational planning view. There are two types of IS sourcing which are in-sourcing and outsourcing (Nicholson and Sahay, 2001).

Business Process Re-Engineering (BPR) Initiative

BPR is an act of re-designing core businesses processes to reduce the cost of operation and dramatically improving the quality of output of the organization. It involves analyzing the workflow of an organization, finding the processes and departments that are letting the company down and looking at the ways of improving on them or even doing away with them altogether. This is done without automating the processes of the organization (Hammer and Champy, 1993).

Comparative Analysis

From the plans discussed above, it is clear that both the ICT plans used currently by several organizations to run their business leads to tremendous improvement in the organization's profits, helps them stay on course with the current trends in the market which is competition and customer needs, helps to cut cost.

As much as they have these similarities, they vary regarding the dynamics of their implementation such as the cost of implementation, environment of implementation, cultural differences, barriers and the level of operation in which the individual organizations are operating in, and the type of competition business is experiencing.

Nevertheless, the implementation of ICT innovations is a very complicated process due to consistent interaction amongst people, business processes and technology thus these unique mixture makes the implementation and success of these initiatives unpredictable.

Issues and Challenges Affecting the Implementation of ICT Plans

• Aligning the ICT(s) implementation decisions and other related decisions.
• Lack of support from commitment and support from top management in organizations and corporates.
• Resistance to change by organizations top management.
• Organization's dynamics of power and politics within the various departments of the organization.
• Lack of clear boundaries among different ICT plans and initiatives.
• Some of the organizations lack financial resources and capabilities.
• Some of the organizations have inappropriate technological culture thus hindering the implementation of ICT initiatives.

Conclusion

From the findings of the ICT plans used by various institutions currently, it is clear that both have the power to change the dynamics of an organization financially. However, every initiative has its implementation plan and procedures of its implementation.

After a critical analysis of the ICT initiative, this paper proposes the implementation of Inter-organizational Systems and E-Business Initiative since it tremendously cuts on cost, links the customer and the business online and also builds in the customer base quickly. Since the web open to all, business is run smoothly without intermediaries and brokers. It also links the various departments of the organization hence the smooth operating of the organization and corporates and can be used by both micro and macro businesses.

References

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Ajmal, M., Helo, P., & Kekale, T. (2010). Critical factors for knowledge management in project business. Journal of knowledge management, 14(1), 156-168.

Avison, D., & Malaurent, J. (2007). Impact of cultural differences: A case study of ERP introduction in China. International Journal of Information management, 27(5), 368-374.

Carlile, P. R. (2002). A pragmatic view of knowledge and boundaries: Boundary objects in new product development. Organization Science, 13(4), 442-455.

Cullen, A. J., & Taylor, M. (2009). Critical success factors for B2B e-commerce use within the UK NHS pharmaceutical supply chain. International Journal of Operations & Production Management, 29(11), 1156-1185.

Fillis, I., & Wagner, B. (2005). E-business development: An exploratory investigation of the small firm. International small business journal, 23(6), 604-634.

Hammer, M., & Champy, J. (1993). Reengineering the Corporation: A Manifesto for Business Revolution, Harper Business Books. New York.

Loshin, D. (2012). Business intelligence: the savvy manager's guide. Newnes

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Sharkey, U., Scott, M., & Acton, T. (2010). The influence of quality on e-commerce success: an empirical application of the Delone and Mclean IS success model. International Journal of E-Business Research (IJEBR), 6(1), 68-84.