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Managing for Better Business-IT Alignment

Business-IT alignment is a complex and multidimensional problem that remains among the top-10 issues for many organizations. IT investment decisions usually fall to CIOs, and often the temptation is to base the decision to buy solely on superior technology. Clearly, organizations can gain a competitive advantage by such investments, but basing them only on the bells and whistles of a particular platform is foolhardy. Any competitive advantage would vanish as soon as the next platform enters the market, and the technological edge that the organization had briefly gained would evaporate. There are four themes in securing B-IT alignment: the role of IT, the business case, IT management intensity, and IT metrics, IT's role is important because not all organizations use IT in the same manner. The next three themes are natural intersections for business and IT investment. The business case is important because it determines how business and IT collaborate to justify the IT investment. The degree of IT management intensity both during and after the actual IT investment determines the organization's commitment to continuous process improvement. Finally, IT metrics are critical to demonstrate to business executives IT investment's value-generating potential