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Aligning it and Business Strategy

Structuring the Interaction Between it and Business Units: Prototypes for Service Delivery

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Abstract

Companies have introduced innovative organizational structures to deal with rapidity of change, the globalization of markets, and expectations for increased quality and customer service. During this process, many have discovered that the interaction between IT and business units is key to success. This article presents the results of a pilot study that examined the structure of this interaction in eight Fortune 500 manufacturing companies. It answers the questions: What prototypes describe the interaction between IT corporate business units? What outcomes are associated with the various prototypes? What are the implications of these models of structure for the effective delivery of IT services?

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