Strategic Information Technology Part 1 essay

StrategicInformation Technology


Optionsfor Organizational Strategy

Anorganizational strategy denotes the activities that a companyendeavors to cultivate to attain long-term objectives and missions.The organizational strategy allows a company to implement a strategicplan that will help in achieving the objectives and goals (Mantere,2013, p.1409). As such, the organizational strategy focuses onenvisaging the future of a company by structuring and supporting astrong position in the industry, as well as, creating value forclients and all stakeholders. The strategy allows a firm to attainand sustain a competitive edge in the market over rivals and relatecomprehensively to information systems. It takes a minimum of oneyear for an organization to realize its organizational strategy fully(Balaton, 2007, p.17). This shows that organizational strategyrequires planning, assignment of key concepts to particulardepartments, and linkages of different networks to a particularframework. For a company to cultivate a comprehensive organizationalstrategy, it must assign its concepts and networks to align with theindustry it operates in, as well as, ensure that all employeespartake to the strategy (Mantere, 2013, p.1410). In this regards,numerous options for organizational strategy exists, and ifimplemented well companies can easily attain their objectives,missions, and competitive edge.

Allcompany levels have to participate in the implementation of anorganizational strategy. Some of the most notable options fororganizational strategy include integration, diversification, andgrowth (Balaton, 2007, p. 22). The growth strategy involves achievinghigh levels of growth such as the addition of new locations.Diversification is another option for organizational strategy, and itmay involve the addition of dissimilar product lines or expansioninto new markets. Diversification usually entails the divergence orexpansion of a company’s line of product, for example, a companydealing in the production of consumer electronics diversifying itsproduct line to include commercial electronics. On the other hand,integration involves having complete control of the supply anddistribution channels without depending on external companies, andthis form of integration is commonly referred to as verticalintegration. Integration may also involve the addition of similarproducts or products to the lineup in what is referred to ashorizontal integration. In most cases, integration encompassesharmonizing business cultures, objectives, and information technologyand aligns business goals and strategy with technology.

CocaCola’s growth strategy

Coca-Colaas a company focuses on both internal and external growth strategiesas a way of achieving competitive advantage. The company has managedto remain competitive over the years through the reliance on thedevelopment of the same but highly differentiated products, forexample, Fanta, Sprite, and Coca-Cola. Moreover, the company hasopened new production units, regional offices in almost all worldregions, the growth of customer base, and utilizing supply channelsaligned to its strategy. Coca Cola’s external growth strategiesinclude establishing relationships with third parties such asco-branding allies, franchisees, licensees and strategic alliancepartners. The growth strategy has improved Coca Cola’s positioningand market share. The company has continued to maintain marketdominance as it is always looking for opportunities to grow. In itsgrowth strategy, the company has adopted numerous marketingstrategies and revamped its manufacturing units.

Microsoft’sDiversification Strategy

Microsofthas drastically changed its organizational strategy in the recentyears because of its evolving goals. Previously, the company dependedon its software segment alone, but it has decided to diversify itsoffering to include new product lines. Microsoft has taken advantageof the many opportunities in seamless technology and currently dealsin networking software, entertainment, and information services, forexample, the company runs Skype, the video calling service. Thecompany has also diversified into unrelated areas such as investmentsand finance. To mitigate market dominance as well as marketsaturation, Microsoft has extended its diversification into manyareas. The company is now in a position to use the surpluses earnedfrom one business portfolio to cross-subsidize another, and thisgives the company a competitive advantage (Yoffie &amp Cusumano,2015, p.187). Most of Microsoft’s competitors may not subsidizetheir business in such a way because of limited business portfolios.Moreover, the company’s decision to diversify into game consolesand video games has proven to be very successful.

Apple’sIntegration Strategy

Appleis one of the most successful technology companies in the world, andthis success is attributed to the company’s vertical integrationstrategy. The company has been using this option of an organizationalstrategy for the last three decades and the fact that the company hasthe resources to fund major expansions has made the strategy to bevery successful. The company integrates its devices with itssoftware, a decision that has made its products global brands. Inthis case, the company can control the entire production process. Itis difficult for other companies to copy the Apple Model successfullybecause Apple’s products are more appealing to the market. Thecompany can control its product prices because it allows retailers tosell directly to customers (Yoffie &amp Cusumano, 2015, p.216).Vertical integration has enabled Apple to maintain high-profitmargins.


InformationSystems Security

Asecure information security infrastructure means that all theinformation or data in the information system remains confidentialand accessible. Without security program, a firm or business cannotimplement a comprehensive information system. A secure informationsystem should be secure, reliable, encompass a proof of concept, andcan protect data and systems from unauthorized disclosure,destruction, utilization, access, disruption, and modification (Kim &ampSolomon, 2010, p.33 Von Solm &amp Van Niekerk, 2013, p.98). In thisregards, information system security denotes the methodologies,concepts, channels, and process involved in ensuring that informationor data remains safe, indestructible, inaccessible to unauthorizedpersonnel, and rigid to modify. Unauthorized personnel should not inany way access the system, and that is why it should have accesscontrols. The information should remain safe regardless of whether itis in the storage areas or transit. Furthermore, a secure systemshould detect and document all security breaches and provideremediation for all the detected security breaches (Von Solm &ampVan Niekerk, 2013, p.98). Information should be protected in allforms regardless of whether it is a telephone conversation or in anemail. Moreover, it is important to determine the information thatposes the biggest risk by performing a risk assessment to ensure thatprotective measures are put in place. A security risk assessment isimportant in the sense that it helps an organization to put moresecurity measures in a system that contains more information. It isalways advisable to identify a system that contains more importantand sensitive information because it is always at a high risk ofsecurity breaches as compared to a system that has less sensitiveinformation (Kim &amp Solomon, 2010, p.36). Information systemssecurity also involves disaster recovery planning as well ascontinuity planning. There should always be elaborate plans andmeasures in place to ensure that information is completely secure inthe event of a disaster.


Ethicalbehavior involves acting in a manner that is consistent with expectedsocietal norms and values. It involves a clear demonstration ofrespect to moral principles such as individuals’ rights, humandignity, equality, fairness and more importantly honesty. Everysociety or business organization has its ethical standards that everymember is expected to follow. Moreover, ethical behavior is alsoassociated with demonstrating moral principles in academic,professional and interpersonal relationships. It is always importantfor individuals to demonstrate ethical behavior regardless of theirprofession or background (De Cremer, 2009, p.14). Ethical behavior isvery important in the sense that making moral decisions reducesstress, helps one succeed in business or secure meaningful employmentand making the society better. For instance, a buyer can demonstrateethical behavior by returning extra goods supplied by a retailer.This a clear show of honesty because some customers do not botherabout returning extra goods supplied by mistake. A real life exampleof a good ethical behavior is one I observed when undertaking anattachment in a firm where the manager was charismatic, gave theemployees freedom, appreciated their work, and helped them attaintheir objectives. Moreover, the manager rewarded successful employeesand cultivated numerous measures before dismissing an employee.However, in one incident, the manager found a mid-level executive, avery valuable asset to the company watching pornography in hisworkplace. The manager made an outright decision to fire theexecutive and later made the announcement at an all-employee meetinglater in the day without giving specific details. The manager let thestaff know that he had taken the right action. The case provides aclear example of an ethical behavior since the company as all othercompanies had laid down regulations on such behavior and irrespectiveof the importance or the status of the executive, the manager actedin an ethical manner.

Differencesbetween TPS and MIS

TransactionProcessing Information System (TPS) is a type of information systemassociated with computerized transactions, and these transactions mayinclude sales transactions and financial transactions. On the otherhand, Management Information System (MIS) deals with thecomputerization of management information or data (Mishra, 2013,p.71). In this regards, one system deals with computerizedtransactions while the other deals with computerizing data. TPS ismeant for daily transaction activities while MIS is meant forstrategic decision-making and medium term planning. This means thatTPS is a day-to-day concept that highlights transactional activitieswhile the MIS is a managerial concept and process designed tostrategize and plan the numerous strategies of a firm. On the otherhand, TPS data is frequently computed, while in an MIS process orconcept, frequent computation of data does not exist, which showsthat TPS focuses on computing information. Since MIS is a planningand a strategizing tool, the data analyzed is in small volumes unlikein TPS where high volumes of data are involved (Mishra, 2013, p.74).In addition, supervisors and operators utilize TPS data whilemanagers usually utilize MIS data.


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DeCremer, D. (2009). PsychologicalPerspectives on Ethical Behavior and Decision Making.New York: IAP

Kim,D. &amp Solomon, M. (2010). Fundamentalsof Information Systems Security.New York: Jones &amp Bartlett.

Mantere,S. (2013). What Is Organizational Strategy? A Language‐BasedView.&nbspJournalof Management Studies,&nbsp50(8),1408-1426.

Mishra,U. (2013). ManagementInformation Systems Vs. OtherInformationSystems.Bangalore: Selected Works.

VonSolms, R., &amp Van Niekerk, J. (2013). From information security tocyber security.&nbspcomputers&amp security,&nbsp38,97-102.

Yoffie,D. B., &amp Cusumano, M. A. (2015).&nbspStrategyRules: Five Timeless Lessons from Bill Gates, Andy Grove, and SteveJobs.Harper Business.