3) Briefly describe the strategic planning process; including the SWOT analysis. Which method do you think businesses use most when identifying IT projects? Why?
The strategic planning process involves upper management making decision on what long term objectives that must be pursued. This is accomplished by analysing which projects would be beneficial and profitable to the organization on the merits of strength, weakness, opportunities and threat (SWOT analysis) .
Strengths:- Potential project characteristics that are more advantageous over other projects
Weaknesses:- Potential characteristics of the project that gives it a disadvantage compared to other similar projects.
Opportunities:- All the possible deliverables that the project could exploit to its advantage.
Threats: - External and internal factors that could be potential opposition and trouble for the project.
By using the analysis it helps the decision makers to identify and select potential projects that can be meaningful progression to the organizational strategic objective.
In my opinion I believe that most business uses the method of performing net present value or other financial analyses when identifying IT projects. The reason why this method is used is because it has a more detailed analysis of the cost and the possible profit and benefits from the project. This method shows a more detailed idea of how much the project will cost and at what point the benefits will manifest as in the case of Return on Investment (ROI) and Payback analysis.
Post by Nicholas Clarke
Post by Nicholas Clarke
I completely agree with you. Most of the businesses would like to know the cost or the project and the benefits they are going to get from it. well explained answer and very informative
ReplyDeletePost by Daniel Vasquez
My opinion is that indeed cost , and ROI, are critical for stakeholders to support most of the projects.
ReplyDeleteGood! Pf Forman
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