Strategic Management of Information Technology

In recent years Information Technology has dramatically altered the structure of markets in a number of industries [6]. Information technology has a big impact on organization‟s performance in today‟s world. At present IT is increasingly recognized as a key resource of the organization compared to capital and human resources. In the paper I will examine the tools and methodologies involved in IT strategic planning that helps organizations align their business IT strategies with the organizational strategies. I will also focus on how Information technology adds value to the organization and how organization in turn utilizes IT for competitive advantage. With the help of some examples, I will analyze how IT Strategy has helped them to grow further and gain competitive advantage. According to my initial literature search all companies tend to grow their IT and they have different strategies depending on what they do. But why some firms outperform others using the same IT and why successful IT users often fail to sustain IT-based competitive advantages is a big discussed topic. I will investigate the linkages between IT and firm performance. In this paper I intend to examine the strategies of companies towards Information technologies and the critical issues faced by them. Also, I will examine different methods and tools that are involved in strategic management of IT. The methodologies used in this research paper are case studies and literature search