How Should CIOs Align IT With Their Companys Economic Model?
There are time-honored principles for aligning IT with your company’s economic model, starting with an understanding of the business architecture. This business architecture includes: • Industry context, consisting of changes to the competitive landscape • Business context, consisting of the company’s approach to revenue growth, margin expansion, cash flow and quality • The business model, which is how the company is organized and governed to deliver value • Business processes, or how operations work end-to-end to deliver results The IT architecture must be well-aligned with the business architecture and designed to deliver consistent quality over time. To do so, you must have an application and data architecture that is mapped to durable business processes and technology that is appropriate to the scale at which the company operates. In addition, the IT organization must reflect how the business is organized, and a governance process must be defined to manage investment decisions and
