- -- - --- - -------i I I STRATEGIC INFORMATION SYSTEMS MANAGEMENT Kevin Grant Ray Hackney David Edgar @www.cengage.eo.uk/grant Strategic Information Systems Management Strategic Information Systems Management Kevin Grant, Ray Hackney and David Edgar .. COURSE TECHNOLOGY I - CENGAGE Learning· Australia• Brazil• japan• Korea• Mexico• Singapore• Spain• United Kingdom• United States TECHNOLOGY I_. CENGAGE Learning· Strategic Information © 2010, Cengage Learning EMEA Systems Management ALL RIGHTS RESERVED. No part of this work Kevin Grant, Ray Hackney and covered by the copyright herein may be reproduced, David Edgar transmitted, stored or used in any form or by any means graphic, electronic, or mechanical, including Publishing Director: Linden Harris but not limited to photocopying, recording, scanning, Publisher: Thomas Rennie digitizing, taping, Web distribution, information Development Editor: Jennifer Seth networks, or information storage and retrieval systems, Content Project Editor: Lucy Arthy except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, or applicable Head of Manufacturing: Jane Glendening copyright law of another jurisdiction, without the prior Production Controller: Paul Herbert written permission of the publisher. Marketing Manager: Vicky Fielding While the publisher has taken all reasonable care in Typesetter: KnowledgeWorks Global, India the preparation of this book, the publisher makes no Cover design: Adam Renvoize representation, express or implied, with regard to the accuracy of the information contained in this book and Text design: Design Deluxe cannot accept any legal responsibility or liability for any errors or omissions from the book or the consequences thereof. Products and services that are referred to in this book may be either trademarks and/or registered trademarks of their respective owners. The publishers and author/s make no claim to these trademarks. For product information and technology assistance, contact [email protected]. For permission to use material from this text or product, and for permission queries, email [email protected]. British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library. ISBN: 978-1-4080-0793-8 Cengage Learning EMEA Cheriton House, North Way, Andover, Hampshire, SP10 5BE United Kingdom Cengage Learning products are represented in Canada by Nelson Education Ltd. For your lifelong learning solutions, visit www.cengage.co.uk Purchase your next print book, e-book ore-chapter at www.ichapters.co.uk Printed by Seng Lee Press, Singapore I 2 3 4 5 6 7 8 9 10-12 11 IO Kevin would like to dedicate this book to Sonia, Charlotte and Ben. Ray would like to dedicate this book to Marilyn and Rebecca. David would like to dedicate this book to Val, Andrew, Steven and 'wee' Jamsie. v Brief Contents Forewords xvii Preface xix Acknowledgements xxv Contributors xx vii About the Authors xxix 1 Business Strategy for the Digital World 1 2 Business Exploitation of Information and Communication Technology Systems 32 3 Information Systems Development Approaches 51 4 Disruptive Technologies and Applications 77 5 Business IT/IS Alignment 103 6 Strategic IS/IM in Context 139 7 Global Issues in Information Management 191 8 Strategic Knowledge Management 215 9 Organizational Change, Culture and Strategic IS/IT Led Change 246 10 IS/IT Benefits Management and Realization 273 11 Strategic IT/IS Leadership and IT Governance 300 12 IT/IS Professionalism, Ethics and Security 342 Index 379 vii Contents Forewords xvii Preface xix Acknowledgements xxv Contributors xx vii About the Authors xxix Walk-through Tour xli About the Website xliii 1 Business Strategy for the Digital World 1 1.1 Introduction 1 1.2 The development of strategic management 2 1.3 The development of the digital economy 6 1.4 The Positioning Approach 9 1.5 The competitive environment 12 1.6 The Resource-Based View 15 1.7 E-business and the Resource-Based View 16 1.8 Strategic information systems and the RBV 18 1.9 Dynamic capabilities 21 1.10 M-commerce 24 Conclusion 26 Key learning points 27 Review questions and tasks 27 Key further reading 28 References 29 2 Business Exploitation of Information and Communication Technology Systems 32 2.1 Introduction 32 2.2 The importance of ICT in contemporary organizations 33 2.3 Evidence on the exploitation of ICT by organizations 36 2.4 Challenges associated with exploiting ICT 38 2.5 Understanding ICT implementation and use 40 2.6 Improving the exploitation of ICT 43 Conclusion 44 Key learning points 45 Review questions and tasks 46 Key further reading 48 References 49 ix