Establishing New Business Strategy

(by H Rubijanto)

To response the new paradigm in Information Technology business, considering an alternative or even different strategy become the most considerable decision of corporate management. The rise of the new open, networked enterprise constitutes a new organizational paradigm. The nature and purpose of computing are being altered and a new technology era is unfolding, entering a second era of information technology in which the business application of computers and the leadership for use of technology are all going profound change. Organization that cannot understand the new era and navigate a path through the transition are vulnerable and will be bypassed. One department is no longer content to depend on another department to get any information needed, they want to control its use and determine the effect it will have on their on work. Managers more understand that their effective use of information technology will determine their personal and organizational success.

Cuts across traditional organizational boundaries.
An important change is the shift in focus from traditional highly structured and hierarchical organization to the dynamic business team, which cuts across traditional organizational boundaries, to be thin and smart learning organization. Organizations are establishing new form of flattened corporate layers and at the same time are changing the way people work. The pyramid structure that has been part of the business culture for decades is being replaced by a new responsive form. In both front liner and managers are being organized into laterally based work teams with new accountabilities and responsibilities. The open networked organization is based on cooperative, multidiciplinary teams and business networked together across the enterprise and linked to the external customer and partners.
“Rather than a rigid structure, it is a modular organizational architecture in which business teams operate as a networked of what we call ‘client’ and ‘server’ functions. Teams are both clients and servers for other teams, who are both internal and external to the organization” (Paradigm Shift – The New Promise of Information Technology by Don Tapscott and Art Caston ). On the other hand the old style of leadership is not adequate for the transformation that is required by employment and to confront broader social and environment issues, and quality of life. In the modern business world intensive competition, everywhere and every day managers confront shattering and accelerating change, change paced by constant innovations in computer and telecommunications technologies. To survive and become superlative in today’s economic Dealing with the typical management challenges created by competitive intensity the management challenge appears sometimes to be almost overwhelming. But in many situations today, the technological, competitive, market, economic, and political uncertainties make strategic decision making more complicated. Fortunately the work based team and networked management emerges as a smart and cooperative team to overcome business problem solving. In general, it will be a world in which the leadership factor in management will become increasingly important for companies prosperity and even survival.

Constant restructuring of business sectors.
The main expression of turbulent of the emerging global civilization is the constant restructuring of business sectors. The global up and down in all industries , manufacturing and service is strong influence by emerging markets that are engaged in selective global expansion. To deal with this condition some companies are consolidating through mergers and acquisition to reach the scale considered necessary to compete in the global arena. The global alliances and market means several countries and many different cultures to consider. And a kind of successful cross cultural leadership should be build under the awareness of different values in different countries and regions. The appreciation of different values will bring about the successful adaptation in the period of adjustment and long life production process.

Infotech Business Management needs to operate in the many new extended network and alliance structures. These have emerged in order to adopt new competitive approaches and because the technology requirements of many products and services exceed the competencies of any one organization. The organization challenge here is to find a common purpose, to derive common strategies and to engage in common action. This often means recognizing segments of customer opportunity and mobilizing the different players in a loose network of organizational alliances to seize that opportunity. Technology’s impact used to be limited mainly to product improvement and manufacturing process improvement. It was concentrated in the high technology sectors of the economy. While even smaller companies leaders could not ignore technology, it seemed possible to them to manage it through others with more technical competence.

Leadership career paths
Today, these leadership career paths are in question due to technology is providing new ways to integrate supply, manufacturing and distribution, and is producing large gains in customer value at much lower cost. Nowadays technology’s role is not limited to high technology, it is becoming a decisive factor many others sector such as distribution, services even public administration and government.
In all this field, the leadership or the superleadership challenge to build and use technology effectively and responsibly. Leaders therefore need to have a much firmer grasp of technology and a greater ability to manage it than in the past. Because leaders today need ‘two sides coin’ strategy, they have to run their business as efficiently as possible, yet at the same time they have to change it. They need to have a much firmer grasp on technology, which is providing new ways to integrate supply, manufacturing, distribution and e-com. which is redrawing the boundaries between historically separate industries.

In implementing Infotech-Management, we have to take into account the main forces are affecting the process of leadership like the development of newer, flatter matrix forms of organization, the growing number of alliances and informal networks and people’s changing expectations and values. Recently, leadership has become more focused on customer satisfaction and the empowering bottom line, but the pressure is increasingly to create more meaningful environment there is an urgent imperative beyond competitive, the wisdom and open mindedness to build infotech-leadership as the source of excellence business advantage. This is the key of for tomorrow’s winners which is targeting prominent areas of management including responsiveness, innovation, empowering staff, and information technology. Tomorrow’s managers will create new roles for their people, converting today’s technology to tomorrow’s needs; finding new niches and customers through their capabilities using info – technology.

Managers will become more dedicated to attracting and retaining experts and will become skilled in coordinating their talents in professional networking. Development discussions and knowledge – sharing will focus on what contribution is needed to allow the organization and individual to grow. Effective leaders will balance short-term achievement with long-term development, integrating programs departments into the whole objective of organization. Leaders who seek to ensure long-term viability commit time, money, and resources to research and development. Supporting the company’s research plans helps us to keep in touch with industry trends, new technologies, growth opportunities, and changes in competency and skill requirements. Learning shows up in results, bringing in clients from other cultures, seeing a way to use a technical process from another company, recognizing financial patterns that suggest the need for a new pricing or payment schedule.
We each have our unique ways of learning alone, with others, through experimenting, reading, preparing papers for conferences, researching, tinkering, shadowing the best, scanning the Internet, and taking courses. Organizations that foster learning reward breakthroughs in thinking, solving problems, creating new products, or expanding existing lines of service. They recognize and reward learning that serves the mission and strategy, and applaud the inventions of their experts. They expect people to keep learning and adding value.