Strategic Value Chain Analysis Model

Comparing the models

Introduction:

SISP stands for strategic information systems planning and is the framework to follow when there is to be an acquisition of an information system within and organisation. Cecil Bozarth. (2006). explains what SISP is and its components by stating that “Strategic information systems planning, or SISP, is based on two core arguments. The first is that, at a minimum, a firm’s information systems investments should be aligned with the overall business strategy, and in some cases may even become an emerging source of competitive advantage.” Bozarth. C , (2006).

Secondly, the second argument of SISP is “The second core argument behind SISP is that companies can best achieve IS-based alignment or competitive

Value chain analysis from the Jurevicius. O, (2013). perspective “is a process where a firm identifies its primary and support activities that add value to its final product and then analyze these activities to reduce costs or increase differentiation.” Jurevicius. O, (2013). When organisations cannot identify there business activities, it becomes a difficult task to align IT plans to business strategy. Value-chain-analysis helps by separating primary activities such as inbound logistics, operations, marketing and sales, outbound logistics from support activities such as HCM (Human resources management), Technology, procurement and

Simister P. (2011). explains one value chain analysis's strength as “give you a much deeper understanding of your strengths and weaknesses” Simister P. (2011). Critical success factor on the other hand looks at the goals to which the organisation is to work towards and which goals are likely to be the most successful. “The main advantage of critical success factors lies in the fact that they provide goals and benchmarks for the organization.” Waugh R.