Volkswagen a Case Study

1337 words 6 pages
THE UNIVERSITY OF MELBOURNE

VWoA – A Case Study

VWoA – A Case Study

1.0. Introduction
Alignment of an enterprise’s goals with its IT1 and IS1 systems has been a challenge ever since IT became a business enabler. Proposing an IT alignment requires a thorough understanding of the business goals of the enterprise and the knowledge that alignment is an iterative process which requires constant measurement and honing (Chan, 2002). Enterprises often face the problem of balance of priorities between IT and Business objectives. This report deals with one such case that faced alignment and prioritization hardships resulting in an unclear approach to achieve a corporate strategy.
2.0. The internal
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Competency and Value Measurement 2+ VWoA’s projects were proposed at a functional level (NRG) which aimed to satisfy enterprise goals. Their project assessment was response based on how the project was going to solve certain problems that the company was facing. There was no link between business and IT metrics.
Governance 2 The company charted out plans that would result in the growth of the NRG (Next Round of Growth) thereby predicting the enterprise to grow. But new projects proposed were reviewed at a functional level. Projects of paramount importance from VWAG, for example the supply chain project, were missed. Strategic alignment is at a minimal level in the company
Partnership 1+ Initially IT was viewed as a cost to business. Only after establishing the BPTO projects followed particular standards and started being delivered on time and budget. But even after establishing the NRG there was conflict as to whether IT had a higher priority when compared to the other business projects.
Scope and Architecture 1+ Though the processes followed standards, there was increased rigidity. The goals were enterprise wide but the project approval and value analysis processes were not. Enterprise-wide integration was from Nil to minimum. There was a single point of governance and knowledge base for IT rather

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