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Information technology (IT) infrastructure capabilities are critical to how firms compete in the marketplace. This is particularly the case for firms in industries going through dynamic change,
for firms reengineering their business processes, and for those with extensive international or geographically dispersed operations. Yet infrastructure investments are fraught with difficulty as they often
have to be made in advance of specific business strategies. This paper explains how business driven IT infrastructures are created in successful firms and
why this is important. Some firms make no investment in firm-wide infrastructure and this might be appropriate, while others invest up to 10% of their revenues in IT infrastructure, such as communication
networks, databases, and expertise that is shared across multiple business units. Both approaches can be correct, provided they each match firm specific needs.Creating business driven IT infrastructure
involves a series of decision points based on a sound understanding of the firm's strategic context. This understanding is articulated and communicated through a series of business maxims. These strategic
statements capture the essence of the future direction of the firm. Business maxims lead to the identification of IT maxims which express how information technology resources should be deployed and the ways
in which information and data needs to be accessed and used. IT maxims provide a basis for decision making about how the firm should view IT infrastructure and the specific infrastructure services required.
Developing successful infrastructures is the joint responsibility of executive and IT management and guidance is given on how this joint responsibility can be exercised. |
