How does the factor of changes in technology affect IT strategy of a business organization? Illustrate with an example.

A Management Information System ICT Revision Questions and Answers

Answer
Changes in the business process, changes in technology, changes in the market trend all have significant impact on the different strategies of a business organization. IT strategy is also affected, even more so since it is the most closely attached to technology. IT strategy mainly involves planning the deployments of systems and services for the betterment of business processes. If the strategy is made without rigorous study of the technological and other changes, the system or service planned can be obsolete or of little use the time it is deployed and ready for organizational use. For example, let‘s assume a financial audit system is planned to integrate with existing old accounting platform. All the dimensioning, designing, testing is done with the old accounting system. However, suddenly the management decides to deploy a new accounting platform. However, the audit system is not tested with the new system. It might not integrate or create more delays in testing and customizing again. Hence, overall strategy should consider all possible aspects of current and future changes in the whole organizational ecosystem in terms of technologies and trends.



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