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WEEKNAPPLIGATIOM DEVELOPM

[DECEMBER 5, 196€

S ARPLJED INTELLIGENCE |
Developing a Strategic Vision for businesS

In this, the sec- | late a variety of factors that would One of the dangers of most method: a AE O SEEVIh Ri dona
ond of five col- | raise the costs of competition. ologies used for strategic planning Is aH E žne poet SE fadiičele
umns on strate- With innovation, there should be a that they tend to prevent their users -t 5 BE | titive thrusts. Rather than
gic systems, |. constant search for innovative ideas—to from seeing the strafegic-sysvemS Eu niki nin method which excludes
James Martin improve products, services, production tunities. The reason is that they are con- usea f: si ne tlis desirable to specifičal
discusses the technigues and so on. Innovation may cerned with automating today s corpo- these fac ski gdje rabat 7 PA OSE
business risks of. be used offensively to pre-empt competi- rate functions. Strategic-systems vision Iy focus on al is češ sa še Me
building strate- tion or defensively to lessen an advan- is concerned with changing the corpo- able strategi za. KE sa brpejiv
gic information tage the competition has. | rate functions or building new activities enterprise migh ka di ii žene,
Systems. Growth may be geographical expan- in the corporation. than to solely examine ana n
Strategic sys- sion, expansion within an existing terri- Many strategic planning methodolo- exists today. | otihe pse Uf
tems often re- tory, vertical expansion of a product gies are derived from IBM s Business Wiseman observes ti a e TO
guire a corpora- line or diversification by adding new Systems Planning (BSP). Methodologies computers in corporatlons O) rom
M ARTIN tion to do busi- aa NA in traditional data-processing dah ii
4 ness in a | rer tems to management-support systems
different. way. AA ed, (MSS) and now needs to evolve to stra-
They are innovative in the sense that Raki tegic information systems (SIS). Tradi-
an entrepreneur is innovative. Not all PEAK tional data processing systems processed
business innovations succeed, just as not |':.' predefined transactions to produce
all entrepreneurial startups succeed. predefined results. They included pay-

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| And some strategic systems have failed. diki MALE mil Mia A EN Pritake č roll, invoicing, purchasing, inventory
Federal Express, for example, reaped ČAJ Supplier: ' Customer .Competit control, accounts payable, accounts re-

ceivable and so on. Management-support
systems were designed to satisfy the in-
formation needs of managers and assist
in the decision-making process. They
provided guery facilities, "what-if" capa-
bilities, spreadsheets and decision-sup-
port tools.

Wiseman says that. many traditional
data-processing veterans resisted the
vč] emergence of MSS, refusing to admit
5] their existence. Others argued that they
'u/]. were merely extensions of existing MIS
systems. Similarly, many of today's sys-
tems planners are ignoring strategic-in-
formation systems and concentrating
solely on the functions of today's enter-
prise. |

MSS systems were often built by peo-
ple who differed culturally from those
who built traditional MIS systems. MIS
developers learned to observe what, was
happening, to draw charts of it and to
design systems to replace existing proce-

great benefits from the innovations that s

led to its basic business, but it failed SA seno sie
when it attempted to innovate ZapMail. | :.:./s:%.%ztiv:
ZapMail was a system for using elec- ek, vožno ječi
tronic transmission combined with the |: <Differentlat
Federal Express computer-controlled de- [|.'iii;iji ssd aič vaš

m ee .a v be, Ti

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livery fleet for delivering documentsin |: '':4 Gec!

an hour or so. The strategic thrust that nr mai RE V SPE

ZapMail represented was a very expen- |: zs'š: 'isšew ost:

sive failure. NR NE ib

If the American Airlines Sabre system |.::..: .4,ijs%yšii? be

for travel agents had failed, that would iš pd sre. Infiov tion RSI

have been disastrous for American Air- RE ar ari. o vo oc.

lines. American spent $350 million to Ne a Ki ŠE ši

build the system. It was taking a major

business risk in the same way a startup

company takes a business risk. But the

| payoff justified the risk handsomely.

pra "Because a strategic information sys:

| tem is a business risk, the decision to
build it cannot, be taken by an informa-
tion-systems executive alone. The deci-
sion must. come from top management.

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The strategic vision may be initiated by ap o a SAJ Oftensive s a-I: SC]. dures. MSS developers, o the oth
a computer executive or chief informa- | PE že a o VO ranam NJA 1. ane o m
| | Za Taka rove NK a A EI NE da MAM, bo en RA ea NE AM EEA 11 :
Ka S tč poza PU AA DNS ŠI RA jo: hand, had to satisfy information needs
Saab s TREE ee

Hi Mad : 1 a; x
SE, peta i Ka š ; s! k ! 4 Š ri f se na
a PE ba mij ve 4 I ka Moj ea
Ba m. k ka | ke ai bi dijo 4 h if a. i še 1) kredi h p rom cepi
L a h. "4 ue k sa hi 4 1. " š " k a ute m 4 E s P fi "i Us s Ph k H z : kra k j i J Ca š

tion officer, but that vision must be RR a Ke Nina jej (uši |
passed to top management, who will re- a m VANJ
fine it and take action. | ; aaa

of managers and professionals, which
were not. observable and not expressed
Th tre si with precision. Some MSS systems were
s se za red na nee ANI a end users or planning staff in
SELE aii! thrust. w tome ee | se poča Sem: an inftormation-center environment.
aa nt keeti. ae me of Strategic systems vislon considers competition, Wiseman suggests that strategic-infor-
[O Oanece iii te posne de technology, suppliers, customers, industry trends— A ana
| ted in a: že gib | Seji go 4 O K | | | JA esigned | a different OUD | OKr-
| ca ga Z zov | Če ET factors that facilitate new, competitive thrusts. poration de that vhich designs MIS Or
strategic systems are less dramatic but | Na | MSS. Strategic-information systems are
sl major importance to the corporation se ge enea by observing existing func-
1 auesti z sena ons bu nventing nev ion
ONO a | pipe of products. Growth may be done with different, names that are used by They roube a dllrenk SEO
gy and Compu bera? očali k bi ei or it may be done to protect. large consulting or accounting firms are ity and business acumen. People good at
thrusts into five categories: differentia- TE BE rom competing thrusts. often variants on BSP. The ideas of BSP conceiving SIS differ culturally from
tion, cost, innovation, growth and alli- may NE Or aa ii on nee babi Eta o a be most of the people who design seNe
ance. | mu SAM aa SO LNeT COTPO: housands of IBM training classes and al MIS or MSS. On pecifi ishi
apo ei o be ib rt can be. order to epa li mak o ak a se pito TM videz o. be constructed by ie profeslonale ho
either offensive or defensive. There is product line more comnlete or mane; ystems Flanning. IBMs BSP manual construct other systems. adj
thus a matrix of possibilities, as the ac- ful Tnie ana k plete or more use- states that its objective is "to provid be Anni ZN Na enej
possibilities, as "ful. This, again, may be an offensive Pene Vika lo provide an Next week, we'll look at strategic a
y offensive information systems plan that supports  plications of personal z mkblenja p-

companying figure shows. o legi S |
in mijie. ae differentiation, a Slrategy to pre-empt competition, or it. the business's short- and longtermin: 5: ma ee ea
formation needs and is integral with the The James Martin Producttvity Series,

may be defensive to lessen an advantage
business plan."

eu a Ma "li le opeko ee dari
Poibetieii ne move to make a prod. | tegi zi teeanol sei zaje a, a bal nee delines "environment" as those la aile Ro dragi
NE NE ip renj 4tlon isan now from when. n de Data nač € sCope 0l the ductivity Software Inc. farble-
dene ae a defensive strategy — on from ii ii ei pe Rauter sa: Dar ; pana Šina sm economy, govern- head, Mass. TAN Je infor:
reduce the differentic oa s uci to ive advantage, A a na A 00T, Consumerlam, mation on seminars, please contact (i
S obeki, products ranah zanging, constantiy patidab ime industry position, industry — the United States and Canada) K,
As for the cost thrust. thera ar, sibilities, Types of — RSP m Ple and technology. The nology Transfer Institute, 741 10th St,,
product. A compan m | ra ui pe sla en CC 8305. In Europe, contact Savant, 2
teče iš Mi: | za . ve z dge da zasle ZE z | v k | - BOS k Z ni z ; New St., Carn [orth, Lanecs,, L A 5 9 B X
RAM mi ae ev mneh , Untled Kingdom (0524) 734 505.

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