|Type of paper:||Essay|
|Categories:||Management Information technologies Google|
The case is presented of Goody AG, a family-owned bakery and confectionery company that has been in existence since 1962. A traditional company, Goody AG´s most crucial intention is to stay stable in the market for the long run. It is, however, evident that the conventional stability-oriented approach by Goody AG has limited the company´s ability to take leading roles in embracing the information society. The mostly advanced-aged population of employees as Goody have grown somewhat apprehensive to the adoption of the disruptive technological advancements of the day. However, the company´s takeover by a largely digital-oriented new-generation manager offers new opportunities towards digitization. This piece thereby discusses the position of the company and their future targets in adopting a digitized service system.
Application Portfolio Management
To help Goody AG adopt digital strategies, the analyst must discuss the position of APM framework in the development of these strategies. APM purposes of gathering data regarding the company´s digital assets of the company to evaluate and measure their business value (Peppard & Ward, 2016a). The IT analyst uses a scoring algorithm to assess the applications in terms of their installation and maintenance costs, lifespan as well as their business value. This APM framework intends to streamline a company´s applications inventory and assess their contributions to the company´s overall technology vision.
Through the adoption of an effective APM, a company can assess the value of all its applications and propose a way forward towards a forward-thinking IT strategy (Peppard & Ward, 2016a). Application scalability and flexibility are the critical intentions of the IT management processes. The strategic approach to managing applications portfolio involves various steps and strategies. These strategies include inventory creation, eliminating redundant applications, identifying the business value of the remaining applications, mapping the applications, and finally optimizing resources to actualize the applications.
Goody AG, for instance, must begin the application portfolio management process by rationalizing and categorizing the applications they currently use. Currently, the company applies only basic applications for various services. The company´s departments prefer such basic data computing procedures, including excel spreadsheets and media breaks, for managing customer interactions and transactions. Though the customers can interact with the company through the online shop and company website, these online spaces have only limited interaction functionalities. The company´s website is furthermore limited when compared with modern requirements for online presence. Goody AG accounting and HR departments also use ERP in managing their data. The ERP database for the company is, however, too limited and is hardly given any meaningful focus. Finally, the company´s stores also make use of point of sale systems (POS). The company, however, lacks a Customer Relationship Management (CRM) system that monitors the company´s reciprocal interactions with the customers.
After this categorization of available applications and systems, the next APM strategy involves eliminating the redundant applications and systems. In Goody´s case, the analyst should advocate for the removal of the customers´ interaction platforms and the use of manual excel spreadsheets in monitoring customer data. The company´s website and the online shop also appear to have run obsolete and need to be declared redundant to start the process of creating more interactive interfaces.
The next strategy in the Application Portfolio management framework for Goody should involve analyzing the business value presented by the remaining systems and applications (Peppard & Ward, 2016a). In this case, the ERP and POS are assessed for their present value on the business front. The success of the ERP in managing back-office interactions is thoroughly evaluated, and the business value determined. Retail client transactions through the POS system is also assessed to understand the strengths and potential weakness. The analysts determine the strategic alignment of these applications as well as their architecture, risk, and revenue factors. Since the manager also requires a database and dashboard for managing corporate data, the analysts need to propose the most effective Corporate Data Management (CDM) software for the best global application management. Finally, an analysis must also ensure the value that CRM might present to the company´s customer relations.
Finally, the APM framework ends in an analysis of the resource constraints and the mapping of the application strategies (Peppard & Ward, 2016a). As the financial provision for marketing and development is restricted for the company, the analyst must attempt to make strategic decisions towards cost-effective and functionally stable applications. The mapping of apps follows the TIME chart (Tolerate, innovate, migrate, and eliminate strategy).
Reorganization of IT Services and IT Infrastructure
The future success of Goody business in the modern IT-dominated postindustrial setting depends on the proper leveraging of the present and potential IT services and infrastructure (Peppard & Ward, 2016b). The IT infrastructure and service management in an organization can be conducted either through the ITIL (Information Technology Infrastructure Library) or customized to the specific company context. ITIL can allow companies to minimize their over-involvement in infrastructure development. The ITIL approach to IT service management (ITSM), instead, employ pre-defined, non-focused procedures, and checklists while aligning the IT services and the needs of the business. Goody should adopt the ITIL processes as an essential approach to managing incidents, change, and problems with the infrastructure. Such infrastructure management processes then allow the company to improve productivity, efficiency, and business value.
The approach to IT infrastructure management in Goody AG is somewhat ad hoc. The organization has not set up an IT infrastructure department and personnel. They instead rely on general technicians to monitor the computing and other machines. No signs exist of properly defined ITIL to link the machines that mediate the production and human interaction processes to the computing system. IT infrastructure optimization allows for proper management of valuable offerings and customer requirements (Peppard & Ward, 2016b). The organization´s infrastructure must then be reorganized to allow for appropriate coordination of the businesses needs and customer demands with the innovative IT infrastructure. The level of availability of infrastructure must be balanced with its service value and the cost of installation and management. Installing a control and command center for corporate and customer information at Goody AG must, for instance, provide a tradeoff with the necessity levels of such services.
ITSM allows the company to control the actual services offered by the company´s IT department (Peppard & Ward, 2016b). This service assists in managing the IT services provided by the organization to the customers. An improvements-oriented process approach to IT service management is essential in attaining customer satisfaction and the effectiveness of the services. Goody AG appears to manage their IT services through the efforts of non-experienced personnel (trainees) and a smalltime computer scientist. While the external IT personnel may provide skilled labor on the technical aspects of service management, they are limited in the process management aspect of ITSM. Proper process management of IT services requires an understanding of the value proposition for the service and customer relations instead of strict focus on technical aspects of system development.
In conclusion, portfolio, service, and infrastructure management in Goody should be re-strategized to attain the full impact of the company´s IT services. From reinstallation to continued management, the IT establishment must depart from the reactionary and ad hoc methods and instead adopt strategic directions taken by the other vital components of the organization.
Peppard, J., & Ward, J. (2016a). Chapter 8: Managing the Portfolio of Business Applications. The Strategic management of information systems: building a digital strategy (4th Edition, pp. 273–310). Wiley.
Peppard, J., & Ward, J. (2016b). Chapter 11: Strategic Management of IS/IT Services and IT Infrastructure. The Strategic management of information systems: building a digital strategy (4th Edition, pp. 395–444). Wiley.
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