The Right Mind Set for Managing IT
From Wikireedia
Article by Bensaou and Earl Typically complaints about IT by company executive cite these problems
- IT investments are unrelated to business strategy.
- Payoff from IT investments is inadequate.
- There's too much "technology for technology's sake."
- Relations between IT users and IT specialists are poor.
- System designers do not consider users' preferences and work habits.
Earl and Bensaou Compare US and Japanese Mindsets towards IT
- 2. Framing - US sees it as a separate function requiring large investment to align it to Business Strategy.
- 3. Japanese see it as more deeply embedded in the organization - part of operations rather than adjunct to it - Strategic Instinct
- 4. US focuses on investments and projects and systems. Japan focuses on appropriate technology and training
- 5 Us Investment in IT is based upon payback Japanese see it in terms of Continuous Improvement.
Consequently, Japanese companies' expenditures on IT are half that of Western companies.
How Japanese and Western Managers Irame TT Management | ||
---|---|---|
Issue | Western Thinking | Japanese Thinking |
How do we decide what IT to use? | Alignment -Try and align IT with Business Strategy | Intent - Have operational goals drive investments |
How do we assess payback of IT investments? | Value for money - Capital budgeting | Based on operational performance |