IT strategy, 4 main design phases

With digital transformation, IT now plays a key role in how most companies are organized. Businesses can leverage it to develop workstreams aligned with their strategic objectives. An IT strategy helps simplify operational decision-making, maintain or improve performance, stand out from the competition, and prevent security breaches, among other goals.

In essence, it’s a detailed plan outlining how a company intends to use its IT department to achieve its business objectives. Here’s how to develop an effective IT strategy step by step.

Phase 1: Analysis of existing situation

To implement an IT strategy, begin by defining the company’s business objectives. These must be SMART: Specific, Measurable, Ambitious, Realistic, and Timely. Without clear goals, an effective strategic IT plan is impossible.

Next, analyze the current state of the company’s digital strategy to identify its strengths, weaknesses, and areas for improvement. Several aspects should be assessed:

• The maturity of processes, meaning the status of each IT operation (e.g., case management, response times, and software development).
• The IT systems, applications, and platforms used across all departments.
• The company’s methodology, structure, skills, infrastructure, IT security, and governance in relation to its objectives.

Phase 2: IT strategy formulation

To formulate a new IT strategy, identify the gaps between the current state of your IT network and the company’s overall objectives. You should also consider existing market solutions and practices adopted by other organizations.

This approach enables you to create multiple scenarios that account for IT resources, costs, and manpower requirements. Your plan should clearly outline the core elements of the IT strategy, such as:

• the future business model,
• implementation of new technologies,
• adoption of new tools and methodologies,
• re-engineering of IT processes,
• staff recruitment,
• supplier management,
• governance practices, etc.

The pillars of an effective IT strategy vary from one company to another, depending on their objectives. Once these are defined, select the most relevant solutions in terms of quality, cost, and ease of implementation.

Phase 3: Evaluation and planning

At this stage, evaluate each scenario to determine the resources the company will need. Depending on your objectives and available means, select the most suitable IT strategy and develop a precise implementation roadmap.

This roadmap should include all relevant information regarding costs, timelines, and resources required.

Once the IT strategy is implemented, measure the results to verify whether the plan is helping achieve your objectives. The company should rely on clear performance indicators (KPIs) such as:

• revenue growth,
• time to delivery,
• cost efficiency,
• number of cyberattacks or system failures, etc.

If the results are unsatisfactory, the IT strategy must be optimized. Based on these findings, benchmarks can be set for teams to reach monthly, quarterly, or long-term goals.

Phase 4: Reporting

The final phase involves gathering and presenting feedback. Implementation maps, outlines, and IT strategies are compiled and presented to the company’s key stakeholders for approval.

These stakeholders usually include decision-makers such as the CEO, Board of Directors, and the Information Systems Department (ISD).

The team responsible for implementing the IT strategy must present its work clearly and comprehensively. Senior IT managers often provide feedback before the final approval of the IT master plan. It’s important to remain open to constructive criticism and suggestions to refine the overall business strategy.