Book: From Business Strategy to IT Action : Right Decisions for a Better Bottom Line
Publisher: John Wiley & Sons
This book is based on a very simple idea: A company should only spend moneyon IT1 that directly supports its business strategy and its operational effectiveness,and should not spend money on IT that doesn’t. The management team cancontrol IT budgets and investments, and at the same time improve IT’s bottom-line impact, by consistentlyand persistently selecting the best IT investments, and eliminating underperforming existing IT activities. This book shows how to do that.Almost 20 years ago, Bob Benson of Washington University and Marilyn Parkerof IBM, with the help of Ed Trainor, broke new ground in understandingthe value relationship between IT and business. As co-principal investigators ina research project sponsored by the IBM Los Angeles Scientific Center andWashington University in St. Louis, Bob and Marilyn described a process andframework for assessing the business value of IT investments in any company.Their first book, Information Economics: Linking Business Performance andInformation Technology,1 established the view that, to be effective and valuableto the enterprise, IT has to fundamentally improve how a business2 performs; todo this, business management must be directly involved in IT decision-making.This insight defined performance improvement in strategic and operationalterms, in the areas strategically relevant to the company and not merely as measuredin traditional bottom line or ROI terms. Their book established a practicalmethodology for prioritizing IT investments, and it demonstrated thatfocusing new investment on achieving explicit business strategies and operationalexcellence helped maximize the bottom line impact of new investmentsfor the business.