Strategies In Managing Information Systems - MyAssignmenthelp.com

Question: Discuss about the Strategies In Managing Information Systems. Answer: Introduction Fantasy Film can be described as a digital animation studio, which specializes in animated features movies. It is also involved in digitally animated advertising, digital special effects for movies and digital animation software. The company has facilities around the country like in Brisbane, Los Angeles and San Francisco. These facilities are generally the production facilities of the firm. The management approach that is followed by the company is top down approach, which means that all the decisions relating to a particular product or a project are taken by the company senior executives. The business units of the Fantasy Film Company are: Fantaspace Advantage Anisoft DigiFX The BCG Growth Share Matrix can be described as a portfolio-planning model, which was developed by Bruce Henderson of the Boston Consulting Group. The matrix aims to analyze the business units of the firm and classify them into four categories. This category is based on the combination of market growth and market share. The market growth is the proxy, which is used for the attractiveness of the industry whereas the market share serves as the proxy for the competitive advantage of a firm (Coyne 2013). Dogs- DigiFX The first category is the Dog, which has the lowest market share and the lowest scope for growth. This neither consumes lot of cash nor is it able to earn a large amount of cash Question Marks- Anisoft Question marks can be described as the industries, which are growing rapidly and consume large amount of cash because they tend to have lower market share than its competitors. This tends to result in a larger consumption of cash. Stars- Fantaspace Star units are believed to generate large amount of cash because they have a great market share and even consume high cash balance. Cash Cows- Advantage The source of income unit is the leader in the market as they reflect great returns on assets, which are, much more than the expected returns The GE-Mckinsey Matrix is a strategic tool, which is used to identify and determine the current procedure, which needs to be undertaken for a company in order to determine the next move. The following companies have been described as below: FantaSpace- The Fantaspace Company is currently in its Growth stage as the industry attractiveness as well as the competitive strength of the business is extremely high. The company is doing well in strategic scope. Anisoft- The software unit is currently in a high attractiveness, low competitive advantage stage. This means that the company needs to strategize for itself in order to turn the direction of the company. It should only be investing if it feels that the company has potential. Advantage- The advertising company has a similar strategic position to that of the Anisoft, which needs to be taken care of by the company in order to make sure that it is back on track. DigiFX- The Dignifx Company is in its harvest component stage, which means that the company needs to disinvest in this unit. Synergy Matrix From the given section, it can be stated that the following companies tend to undertake the following grid: Anisoft- the Company has extremely high incoming benefit, which is derived from staying in the portfolio and low outgoing benefit. Hence, it is a fit in the given case. Advantage- It is a company with low incoming benefit and very high outgoing benefit. DigiFX- The company has a low incoming benefit as well as a low outgoing benefit therefore it is Fantaspace- High incoming high outgoing unit (Peteraf, Gamble and Thompson Jr 2014). Business Categorization Hence, as per the three forms of analysis, it can be stated that out of the four businesses, the Fantaspace, which is an animated film-producing unit, and the Advantages are the main performers of the company portfolio. They are the units with the highest generation of income and the lowest income. Whereas on the other hand, the companies like DigiFX is a loss to the company as it is underperforming as per all the strategic tools. The Anisoft software company is under great risk as it has the potential to perform well but is not doing so (Hill and Jones 2013.). It puts it in a risky position (Wang and Ge 2013). Analysis of the units As per the BCG Matrix analysis as well as the Mc-Kinsey Matrix analysis, it could be clearly seen that the company is a star performer in the portfolio. The given unit is in a state of dilemma. This is because the unit is not being able to perform well in a high growth market. The DigiFX is a poor performer. This company, as per the statistical data and other relevant sources, has been performing extremely poor. Recommendations: For Fantaspace- It must strategize its move so that it can perform better and inculcate extra profits by making an effort to reduce the costs. The company`s aim should be to make this portfolio a cash cow in order to strengthen the base of the company. Advantage-The Company has a large share in a slow growth market. Therefore, the company can use its strength and experience to establish itself in emerging markets (Matrix 2014). Anisoft-It must be seen to it that only a single chance is provided to the company. If the company keeps investing its money into the unit, it might miss important reserves. Digi Fx-Instead of wasting money to turnaround the company the organization should disinvest and transfer the funds to the beneficial units of the organization. Dynamic Capability Introduction The dynamic capability of any company can be described as the ability of the company to adapt to the dynamic nature of the external environment of an organization. The three primary components, which will be assessed in the given capability, analysis will include: Identify and assess opportunities. As per the case study, it can be easily stated that the company was unable to assess the opportunities that were available to the company. It has been suggested that the managers of the unit need to be more communicative and convey their ideas to take the viewpoint of the senior managers first. Mobilize resources The resources of the unit were not utilized properly. The research that took place behind the product, was inadequate as it failed to realize the existences of a similar technology in its sister unit itself. In such a case, the resources of the company, which were being used behind the given research, should have been utilized in a better manner. Because of the inefficient use of the technology, the unit suffered a huge blow especially with respect to the finances of the company. Transform and Reconfigure The company unit must possess the ability to change the way their organization works while it aims to make the products of the organization more innovative. The company needs to put in more efforts in the research and development part. Conclusion Therefore, from the given section it can be stated that the company needs to make efficient use of its research and development team in order to make sure that the company has been able to establish a firm ground in the innovation of a new product. It needs to have a good team who will be able to analyze the environment and utilize any opportunity available. Anisoft was unable to do so and this lead to a huge loss for the unit and the business of the organization in general. References Coyne, K., 2013. Enduring ideas: The GE-McKinsey nine-box matrix Galliers, R.D. and Leidner, D.E. eds., 2014.Strategic information management: challenges and strategies in managing information systems. Routledge. Goetsch, D.L. and Davis, S.B., 2014.Quality management for organizational excellence. Upper Saddle River, NJ: pearson. Hill, C.W. and Jones, G.R., 2013.Strategic management theory. South-Western/Cengage Learning. Matrix, B.C.G., 2014. Business Strategy. Morecroft, J.D., 2015.Strategic modelling and business dynamics: a feedback systems approach. John Wiley Sons. Peteraf, M., Gamble, J. and Thompson Jr, A., 2014.Essentials of strategic management: The quest for competitive advantage. McGraw-Hill Education. Wang, Z.J. and Ge, L.L., 2013. Comparison between SWOT model and BCG matrix in competitive intelligence.Library Information. Lanzhou,3, pp.87-93.