Strategic IT Management

Fru Akumawah
AAM1-Integration Engineering
The book

Authors are Dirk Buchta, Marcus Eul and Helmut Schulte-Croonenberg

Based on many years of experience in consulting at A.T. Kearney

220 Page book

Currently in the 3rd edition (Feb 2009)

Printed by the Gabler printing in Wiesbaden

Agenda

Motivation

The Author

Main topics of book

Core of work

Critical opinion

Resumée

Question and discussion session

Motivation

What is Strategic IT mangement?

-conduct of drafting,
implementing and
evaluating cross-functional decisions
in the IT division

= Achievement of long term goals

Motivation

Focuses on how added value can be created for companies using IT

Stabilizing and increasing sales of a company through new IT-assisted

processes and IT systems

Requires a combination of strategic know-how and a thorough knowledge

of the company and relevant sector

The solutions it presents have been tried and tested, and with very
practical advice to CIO
Motivation
The Authors SCENE

Dr.
Dr. Heinze
Heinze
Dr.
Dr. Dirk
Dirk Buchta
Buchta Dr.
Dr. Marcus
Marcus Eul
Eul Schulte-Croonenberg
Schulte-Croonenberg
The Authors SCENE

Dr.
Dr. Dirk
Dirk Buchta
Buchta

Partner
Partner and
and managing
managing director
director of
of A.T.
A.T. Kearney
Kearney Middle
Middle East
East


12
12 Years
Years experience
experience inin strategic
strategic consulting
consulting


Current
Current consultation
consultation topics
topics are
are IT
IT strategy,
strategy, Offshoring
Offshoring and
and IT-driven
IT-driven
Company-transformation
Company-transformation


Other
Other works
works include
include
“Offshore-Outsourcing
 “Offshore-Outsourcing und und dessen
dessen Konsequenzen
Konsequenzen für für das
das
Berufsbild
Berufsbild des
des Wirtschaftsinformatikers“
Wirtschaftsinformatikers“ -interview
-interview
IT-Innovationen
 IT-Innovationen -- Wird
Wird die
die IT
IT zum
zum Katalysator
Katalysator des
des Wachstums?
Wachstums?
Hauptsache
 Hauptsache strategisch
strategisch –eManager
–eManager
Checkliste:
 Checkliste: Innovationsmanagement
Innovationsmanagement für für die
die IT
IT (Krankenhas
(Krankenhas ITIT
Journal
Journal 06/2005)
06/2005)
The Authors SCENE

Dr.
Dr. Marcus
Marcus Eul
Eul

Dr.
Dr. rer.
rer. pol.
pol. ++ Dipl.-Kfm
Dipl.-Kfm atat the
the university
university ofof Cologne
Cologne


Vise
Vise president
president atat A.T
A.T Kearney
Kearney Düsseldorf
Düsseldorf


Was
Was Business
Business Analyst
Analyst for
for Thyssen
Thyssen Stahl
Stahl AG,
AG, Department
Department manager
manager for
for
SAP,
SAP, E-Plus
E-Plus Mobilfunk
Mobilfunk andand Direcor
Direcor of
of IT
IT && Organisation
Organisation at
at Thyssen
Thyssen
Mining
Mining && Construction
Construction International
International

Other
Other works
works include
include
To
 To what
what degree
degree is
is IT
IT enabling
enabling corporate
corporate growth?
growth?
The Authors SCENE

Dr.
Dr. Helmut
Helmut Schulte-Croonenberg
Schulte-Croonenberg

Current
Current location
location unknown
unknown


Vice
Vice president
president at
at A.T
A.T Kearney
Kearney as
as book
book was
was published
published


20
20 years
years experience
experience as
as management
management consultant
consultant


ABB,
ABB, Accenture,Booz
Accenture,Booz and and Allen&Hamilton
Allen&Hamilton

Other
Other works
works include
include
Dyer-Lashof-Operationen
Dyer-Lashof-Operationen in
in Bordismustheorien
Bordismustheorien (Brochure)
(Brochure)
Main topics of book

Enhancing Value Controlling

Performancee
IT as a value driver for a
company Value oriented IT
Management
Strategic IT
Management

Reducing cost
Increasing efficiency and
effectiveness through cost
Choosen topic : Enhance Value

IT
IT as
as aa value
value driver
driver for
for aa company
company

Kern


IT
IT Strategy,
Strategy, Enterprise
Enterprise Transformation,
Transformation, IT
IT Merger
Merger
Integration and
Integration and IT
IT Carve-Out
Carve-Out

Three
Three critical
critical factors
factors of
of effective
effective IT
IT Management
Management
-- Drive
Drive value
value
-- Control
Control output
output with
with IT
IT Governance
Governance
-- Reduced
Reduced cost
cost (offshoring
(offshoring and
and outsourcing)
outsourcing)
Choosen topic : Enhance Value

IT
IT Strategy
Strategy


Strategic
Strategic IT
IT Management
Management has
has proven
proven to
to be
be effective
effective even
even in
in
Kern non-IT companies
non-IT companies
Choosen topic : Enhance Value

IT
IT Strategy
Strategy from
from corporate
corporate strategy
strategy

Kern
Choosen topic : Enhance Value

IT
IT Strategy
Strategy


Example
Example of
of IT
IT Strategy
Strategy
Kern

Reduced
 Reduced costs
costs in
in business
business processes
processes through
through
introduction
introduction and
and optimization
optimization of
of ERP
ERP

Increased
 Increased efficiency
efficiency and
and improved
improved customer
customer service
service with
with
IT
IT solutions
solutions and
and mobile
mobile communication
communication technologies
technologies

Cost
 Cost reductions
reductions and
and improved
improved supply
supply chain
chain performance
performance
through
through integrated
integrated supply
supply chain
chain management
management
system(SAP
system(SAP APO)
APO)

Faster
 Faster product
product development
development with
with Product
Product Lifecycle
Lifecycle
Management
Management (PLM)
(PLM) in
in engineering
engineering oriented
oriented industries
industries
Choosen topic : Enhance Value

Reduced
Reduced costs
costs in
in business
business processes
processes

Kern
Choosen topic : Enhance Value

Reduced
Reduced costs
costs in
in business
business processes
processes

Kern
Choosen topic : Enhance Value

IT
IT Strategy
Strategy

Kern
Between cutting

Between cutting IT
IT costs
costs and
and focusing
focusing on on using
using ITIT as
as aa value
value
driver,
driver, aa company
company can can find
find itself
itself in
in one
one of
of four
four stages:
stages:

IT as
IT as aa cost
cost driver
driver

Optimize business
Optimize business processes
processes with
with IT
IT

Ensure and
Ensure and increase
increase sales
sales with
with IT
IT

Develop new
Develop new business
business fields
fields with
with IT
IT
Choosen topic : Enhance Value

IT
IT Strategy
Strategy


Leading
Leading companies
companies
Kern

Modify
 Modify their
their IT
IT constantly
constantly

Align
 Align company
company structure
structure as
as part
part of
of company
company
transformation process
transformation process

Positive
Positive impact
impact of
of IT
IT on
on the
the business
business

Added
Added Value
Value
Choosen topic : Enhance Value

IT
IT Merger
Merger Integration
Integration

Kern

IT Merger

IT Merger Integration
Integration is
is when
when IT
IT supports
supports external
external
growth
growth strategy
strategy of
of companies
companies

One differentiates

One differentiates between
between 44 Phases
Phases

Opening
Opening

Accumulation
Accumulation

Focus
Focus

Balance
Balance
Choosen topic : Enhance Value

IT
IT Merger
Merger Integration
Integration

Kern
Critical opinion

Positiv
Positiv Negativ
Negativ

Easy to

Easy to read
read

Sources
Sources are
are not
not very
very actual
actual

Solutions are

Solutions are based
based on
on practical
practical

No
No clear
clear distintion
distintion of
of material
material to
to
example
example Author
Author

Topic is

Topic is actual
actual

Checklist at

Checklist at the
the end
end of
of each
each chapter
chapter

Can relate

Can relate itit with
with my
my working
working
experience
experience during
during my my Internship
Internship
Future Trends

-Infrastructure
-Development of non-company
specific applications

Basic IT supply

Strategic IT
demand

-Need for components

that make a difference
Resumée

Strategic IT management – What should the CIO do so that IT can support the
business processes in my company

Strategic IT Management is divided into 3 groups

Enhance Value
Controlling Performance
Reducing cost

Enhanced Value: IT Strategy, Enterprise Transformation, IT Merger Integration and

IT Carve-Out

Other books
Keuper,F and others: Strategisches IT-Management: Management von IT und IT-
gestütztes Management
 Thank you
for your precious time