Currently, all companies engaged in business use IT to support all their company performance, therefore IT plays a very important role and is very much needed. In planning the implementation of IT, the intent and purpose of planning the use of IT must be fully understood, this is based on the large costs that must be incurred, so that it must be properly understood, so that the positive contribution of IT support business application can be directly felt in the future. Business needs and the existence of a significant increase in company profits.
The relationship between business strategy, IS strategy, and IT strategy (business and ICT) in an approach to develop a system strategy and information technology that is integrated with the company’s business strategy. To plan an IS / IT strategy, it is necessary to know the environmental conditions, the direction and business objectives of the company, what information is needed, the business opportunities and obstacles faced and the alternative solutions. After knowing the environmental conditions, direction and objectives of the company’s business activities, then we can evaluate what systems are in accordance with the needs and support the company’s business strategy in achieving the company’s vision and mission, then to produce a strategic information system for the company.
The change in the IS / IT environment is very fast, especially in terms of technology development, this makes it difficult for companies to establish a standard planning process in the context of information systems planning. Therefore, planning information systems in relation to the planning process must be designed and aligned with business / organizational planning. (Pollack, 2010). Many people also ask: how to monitor an employee’s PC.
There are four things that need to be considered when aligning business and IT strategies, namely clear direction , commitment, communication, and integration between functions. Clear direction is the development of a clear strategy for the entire organization in the short and long term. Business strategy development and IT must be done together. Many organizations implement EA in the development of this business and IT strategy.
Commitment concerns the support provided by company leaders and managers. In developing company strategy by business managers, IT leaders must be included. These business and IT managers must work closely with company leaders to ensure that all company priorities have clear IT elements and business strategies.
Communication between elements is a very important thing that can determine success in the alignment of business and IT strategies. Clear communication starts with the hopes and goals to be achieved in the context of alignment. Communicating strategies, objectives, expectations to business managers and employees must be done systematically.
To be able to integrate business and IT strategy, the boundaries that exist in the parts of the company must be reduced. Integration between these parts must be carried out. Technology is used to create added value and to achieve predetermined business strategies. Ultimately, a corporate governance structure must be created for this alignment to occur.
GOVERNANCE WITH THE COBIT FRAMEWORK
The main focus in IT Governance according to ITGI (Information Technology Governance Institute). There are five main focuses in IT Governance Institute, all of which are driven by Stakeholder Value. Two of them are the desired results, namely value delivery and risk management, while the other three are driving factors, namely strategic alignment, resource management and performance measurement.
IT Strategic Alignment
focus on aligning IT solutions with business by providing added value to products and services, guiding competition, cost efficiency, improving managerial effectiveness. This alignment is more than just alignment between IT strategy and business strategy, but also maintaining alignment with IT operations and business operations.
concentration of cost expenditures and proof that IT produces optimal value and meets business needs, flexible to adopt future needs, easy to use, resilience and safe, integrated accurate and up to date information.
discusses protection of IT assets, disaster recovery, and continuous operations through the implementation of risk management that is transparent and communicated in order to increase competitive advantage. There are three ways to manage risk, namely mitigation – minimizing risk if it occurs, transferring risk, or accepting risk – accepting risk.
about optimizing knowledge, IT infrastructure and optimizing investment and resource allocation (people, applications, technology, facilities and data).
monitors and controls project delivery and IT services
CobIT classifies each IT Governance activity into 34 processes and is divided into 4 (four) IT domains including, Plan and Organize (PO), Acquire and Implement (AI), Deliver and Suppot (DS) and Monitor and Evaluate (ME).
The number of Control Objectives requires the management or company to determine the Control Objective that suits the company’s needs. For this reason, it is necessary to align business objectives and IT objectives in order to obtain an overview of what activities the company has related to IT in supporting the achievement of company targets. This alignment process is carried out by linking business goals (business goals) with IT goals (IT goals). By cross-referencing the two objectives, it makes it easier for management / companies to implement improvements in IT Governance easily and efficiently, this is possible because these best practices are formulated and researched by ITGI and used as a reference for the implementation of Governance in many companies with the implementation of good governance Best IT.