Operating Models in the IT Decision Making Framework PPT

This PPT slide, part of the 20-slide IT Decision Making Framework PowerPoint presentation, presents the IT Decision Making Framework, which categorizes 4 distinct operating models based on the work of Jeanne W. Ross, Peter Weill, and David C. Robertson. This framework is structured as a two-by-two matrix, focusing on 2 primary variables: business-process standardization and business-process integration.

The 4 operating models outlined are Coordinated, Shared, Isolated, and Replicated. Each model reflects varying levels of integration and standardization within an organization.

The Coordinated model is characterized by a high level of integration, but a low level of standardization. This suggests that while different units may work closely together, they do not necessarily follow uniform processes. The Shared model, conversely, achieves both high integration and high standardization, indicating a cohesive approach across the organization that promotes efficiency and consistency.

The Isolated model represents a scenario with low integration and low standardization, where business units operate independently with minimal collaboration or common processes. Finally, the Replicated model features low integration, but higher standardization, implying that while units may not coordinate closely, they adhere to similar processes.

The framework serves as a strategic tool for organizations to determine the most suitable operating model for their specific needs. By understanding these models, executives can make informed decisions regarding technology and process alignment, ultimately enhancing operational effectiveness. This slide effectively summarizes the essence of the framework and its practical applications in guiding technology decisions.

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Decision Making Information Technology