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Strategic Grid Quadrants Used for: Tool to tell us the current impact of applications to the potentical impact Tells you: Identify Specific Roles for IT Strategic (attack) Support Factory Turnaround Analysis of Applications Basis of Gap Analysis A Way of doing Application Portfolio Management The level of dependence on IT Systems How long can you survive without each system Strategic Impact of IS/IT Applications on the Business IT as a Product or Service Better Value Chain Linkages through IT Differenciate Products and Services from Competitors Oppertunity of Chnage the basis of Competition Lock-in Customers/Suppliers by creating switching costs Barriers to Entry IT Function Critically Important Not critical to business, low dependence e.g. word processing reliable operation of IS/IT but not strategically important great potential for IT, yet to be exploited PC Skills Training Premium (on-site) Support Online Order Process JIT Manufacturing Negataive Cash Conversion Cycle Custom Build / Quality (?) Delivery (Monitor) Support & Service Website Build-to-Order Manuf Process Enhanced Services - Poor Differenciation API - Entertainment Extend Value Chain/Network Printer Cartrages Leasing Lobby - Carbon Symbiotic Relationship - Encourage Suppliers to build close Innovation Properitery Technology R&D Procurement - local suppliers Stock Control System - JIT R&D - More Innovation Needed Production Line Systems - Move to using ODMs for Laptops Distribution - Quicker Delivery / Instant Gratification HR Systems Finance Systems Customer Relationship Management Customer Intellegence System Electronic Catalog System (Website) Dist - move to strategic India