Walsham IT-Enabled Strategic Management - Case Study Example

Walsham IT-enabled strategic management plan report Names Course Instructor Date Table of Contents Table of Contents 2 Executive summary 3 1.0 Introduction 4 1.1 Case Background 4 1.2 Aim and purpose of the report 5 2.0Discussion 5 3.0 Conclusion 8 4.0 Recommendations for future project or future implementation 8 5.0 References 9 Executive summary Walsham Hotel endeavors to find new avenues to form and uphold competitive differentiation. In its strategic approach Information and technology play a key position. In order for Walshaw Hotel to excel it has come up with a program that can play multiple programs simultaneously. The program is supposed to create changes in business processes, operating models, product portfolios IT systems and target markets. As a result, the Hotel has introduced a program that necessitates a high degree of diligence expertise coordination to deliver the targeted business benefits. At Walshaw, IT-Enabled strategic plan will enable the management to plan and deliver the establishments plan coherently to increase efficacy, monitor the return on investments and to lucratively drive change. 1.0 Introduction 1.1 Case Background In the contemporary society IT has become the back bone of every business. In this perspective Walsham Hotel has initiated an IT enabled project much for strategic implementation of every day running of its business. The management of the hotel is keen on the implication, effects and benefits of IT in the running of the Hotel and the ability to create maintainable and sustainable competitive advantages. The management of the Walsham hotel wanted to introduce a ZigBee network that would link up the mini-bar that would increase both the effectiveness and the good organization of the mini-bar department without any wiring network; they would then use an IT-enabled strategy known as Mechatronic KoolNitro 346 (KN346). Introduction of the new system would require a very large budget however it improve strategic management of the hotel. The change was also projected to improve sales and hence profits without lowering commodity prices and the quality of services provided by the hotel. In fact one of the key issues addressed is improvement of service provision among efficiency and class. In keeping with David et al. (2005), IT-enable strategic plan of the hotel is used through the value chains of activities that enable Walsham Hotel to control function of the hotel’s operations for easy decision making. IT-enabled strategic plan implementation lays its ability to develop a concept “value chain” through creation of interdependent generic value activities involving the elements of finance, customer, stock, as well as strategic human resource management. 1.2 Aim and purpose of the report The aim and purpose of this report is to show how Walsham Hotel plans to implement KN346 system an IT-enabled strategic management plan. How the KN346 system would help Walsham Hotel to create linkage between all its activities through value chain. How the IT-enabled strategies will transform the value chain activities and the physical components of the products offer and also how the strategies will lower the cost of product activities. 2.0Discussion The first lesson learnt is that IT-enabled strategic plan is a source of sustainable competitive advantage. The customer expectations in the premises are high, the system also include electronic amenities such as the indoor audio systems, televisions and internet connections. The achievement of competitive advantage is a primary goal in the hotels strategic management. The hotel has a five year cycle of redecoration and renovation of the hotel rooms a factor that will keep the standards of the premises to have a competitive advantage. Although price adjustments create a transitory competitive advantage, it hardly differentiates the competitive services. In reference to David et al. (2005), IT-enabled strategic planning increase competitiveness, public relations, customer service, method of product delivery, calibre and employees dedication, marketing and social networking and product quality. Utilization of IT-enable strategic management makes Walsham Hotel product stand out. It helps both the establishment by provision of excellent services and enhancing consumer and business technology, it also creates a progressive market place. Nevo and Wade (2010) indicate that IT-enabled strategic management process force Walsham management to set objectives and gauges of success. The setting of success evaluation necessitates that the management first determine what is critical to its endeavours and forces its establishment of objectives. These critical measures are placed in front of the management. The management of the Walsham also sort to minimise lost revenue as a key success criteria for the renovation. The management also scheduled the work to be done during the dawdling summer months. To keep the competitive advantage constant supply of drinks in the mini-bar, introduction of sensing tray would be introduced. This would help the management to monitor the supply and easy monitoring of product movement. Sustainable competitive advantage comes from the capacity to ad infinitum improve, upgrade, innovate and configure resources and capability to match with the contemporary needs. Sustainable competitive advantages rarely rise from a few transient competencies. Sustainable competitive advantage rise from dynamic capability to reconfigure and accustom existing resources has been observed as the leading source of sustainable competitive advantage. Competitive advantage in Walsham would successfully be achieved by fully exploiting the already existing resources and adapt to new environments. IT-enabled strategy would bring about resource reconfigurability- this is the dynamic capability to bring out new opportunities, and improve in organizational management. The second lesson learnt is that IT-enabled strategic plan implementation gives the hotel financial advantage. The company would later assign Russ Foss an installation manager at KN346 to Walshaw, he would help to assist the staff familiarize with the system. According to Luiz (2003) the use of IT-enabled strategic management to augment Walsham’s market competitiveness will benefit the hotel bottom line. Slashing the prices can increase sale; however, such a strategy can also decrease the profitability of products services. In this regard, Walsham hotel must analyse the entire scope of its business practices and create the best IT-enable management strategy and leverage utmost financial gain. Financial benefits attached to IT-enabled strategic management are attained from various areas like; reduce products and service costs, acquisition of cheap resources, provision of helpful customer service, building brand recognition, and creation of focused marketing campaigns. In accordance with According to Luiz (2003) IT-enable strategic management will also help in increasing volumes of sales, customer satisfaction and at the same time decrease costs thus create financial advantage. Addressing the operational issues hardly looks at the entire establishment and its interrelatedness o f its different components. As argued by Nevo and Wade (2010), IT-enabled strategic management takes the manager’s perspective and is keen on the mechanisms and the interrelationship between different projects in order to come up with a strategy that covers the whole business. The third lesson learnt is that IT-enabled strategic plan implementation entails organization advantage attained through IT-enabled strategic management and planning. In reference to Piccoli and Ives (2005) human capital forms the most valuable foundation in business. IT-enabled strategic management provides tools that can manage human capital as well as create a positive culture that can help a business to thrive. Utilizing IT-enabled strategic management can create better workplace and a better workforce. Companies invest training and time into employees. However, these are only rudimentary necessities used to create a healthy and productive working environment. Increment of employees’ satisfaction can be sort from various arenas; employee empowerment, flexible work schedules, training programs among others (Peppard, Ward & Daniel, 2002). IT has been often regarded as a strategic necessity and an economic imperative, the effective use of IT can result to differential performance outcomes more so if directly applied to the development of dynamic capabilities (Nevo & Wade, 2010). In the Walsham management, the fundamental role o IT-enabled strategic plan is a fundamental platform for building capabilities. Resource reconfigurability would be posited as key mediating variable that enables the hotel to leverage existing resources and build more effective functional competencies that would match the existing environmental contingences. In reference to Nevo and Wade (2010) IT-enables strategic management plan improves functional competencies. Nevo and Wade (2010) state that using IT-enable strategic management with human capital lays foundation to formation of organizational booming business. Allowing the staff and the management to work together will enable them to have a better understanding of the chosen direction and associated benefits. To some employee knowing it adequate, in order to gain full support from some people they must fully understand the system. 3.0 Conclusion IT-enabled Strategic management endows with a discipline that allows the management to take some step back and think about the future of the facility (Piccoli & Ives, 2005). Without a plan for IT-enabled strategic management, the management of the hotel can become solely consumed with working through its problems without deliberation of a larger picture. Enabled strategic management provides a framework within which the employees can make their daily operational decisions and understand that their decision assist in moving the entire business ahead. The strategy further provides a vision of the future prospects, sets objectives, confirms the purpose of the business and determines the methods to leverage strengths and alleviate weaknesses. 4.0 Recommendations for future project or future implementation Walsham Hotel IT-enabled strategic change will help the company to excel in its large projects. The plan should assist the establishment to identify dependencies across its project portfolio and then make proposal with a long-standing impact in mind. The Walsham Hotel should establish a system that can manage the hotels projects holistically in order to create synergies and avoid silos. In keeping with Piccoli and Ives (2005) the management should also access the impact of change that can strengthen planning, maintain costs within the budget and avoid delays. They should also de sign a solution architecture that will pave way to change. In addition to these the management of the Walsham Hotel must analyze future business scenarios and assess their impact on IT structure hence, plan to manage such scenarios smoothly. In conclusion, the management should envision the transformation and desired change. They should also identify priorities to realize the vision. 5.0 References Bruce A. & Zaiyong T. (2006). IT-enabled strategic management increasing returns for the organization. Hershey PA: Idea Group Pub. David M, Alison B, & Tarek T. (2005). Operations management: a strategic approach. London Thousand Oaks, CA: SAGE Publications. Luiz, A.J. (2003). IT-based management challenges and solutions. Hershey, PA: Idea Group Pub. Nevo, S., & Wade, M. (2010). The Formation and Value of IT-Enabled Resources: Antecedents and Consequences of Synergistic Relationships. MIS Quarterly, 34(1): 163-183. Peppard, J., Ward, J., Daniel, E. (2002). “Managing the Realizing Business Benefits from IT Investments,” MIS Quarterly Executive 6(1): 1-11. Piccoli, G., & Ives, B. (2005). Review: IT-dependent strategic initiatives and sustained competitive advantage: A review and synthesis of the literature. MIS Quarterly, 29(4): 747. Read More