What is Business Strategy Alignment?

Definition of Business Strategy Alignment

Business Strategy Alignment, also known as Strategic Alignment, is a methodical process of evaluation regarding the accord between the business aims of a company and the resources used in order to attain such goals. Business Strategy Alignment studies if all the elements of a business are suitable for realizing the business purposes in the long run. Certainly, there is not a single “correct answer” to attain success, and it’s only natural that several dynamics differ from sector to sector. Yet, the process any business goes through to further analyse if their means and aims “align” with each other are quite similar in some aspects. This comprehensive “transformation” is known as Business Transformation.

The IT structure, for example, is always important today. Digital transformation is a trend that cannot be neglected, and businesses renovate their strategies and budgets accordingly. The business quality of the IT landscape is generally one of the most noteworthy subjects in a company’s agenda. Thus, aligning the IT resources and strategies with the greater picture (business, in general) holds utmost importance. A healthy and efficient IT landscape facilitates almost every business move and ensures growth. However, structuring such a seamless corporate architecture isn’t always easy. It requires insight into the IT assets of a company to make sense of how IT is doing and how this interrelation is affecting overall business. This action plan is, simply, Business Strategy Alignment.

So, emphasising the importance of the IT assets of a company to better conduct Business Strategy Alignment could be really beneficial. As the umbrella term, Business Strategy Alignment is associated with Application Strategy Alignment.

Why Application Strategy Alignment is important for Business Strategy Alignment?

Application Strategy Alignment refers to evaluating the software actively used by a company according to the long term goals of the company by using several metrics that fits the company’s needs. For example, if a company target user acquisition, software used by the marketing department would be critical both for Application Strategy Alignment and Business Strategy Alignment. So, understanding how these software answer to broader needs and aims is the key for Business Strategy Alignment.

Plus, if a business decision is to be taken at the corporate level, the decision-makers need concrete, factual data to be able to profoundly analyse the constitutions affecting their decision. Business Strategy Alignment is a sensitive process that might need making sharp decisions, resulting in rather big changes in the dynamics of their business. So, one of the imperative datasets that they need is about the IT landscape. As for providing this dataset, detailed evaluations of applications are important. So, Application Strategy Alignment becomes an integral part of Business Strategy Alignment. To wrap it up:

1. Application Strategy Alignment dwells on micro-levels of IT, the software. This is thanks to Application Portfolio Management (APM). Find out more about Application Portfolio Management.
2. It analyses how the software works with corporate strategies.
3. Then, it creates infographics or written reports.
4. Decision-makers conducting the Business Strategy Alignment need datasets in order to comprehend what is going well or badly.
5. The data provided by Application Strategy Alignment is used for Business Strategy Alignment.

What Does Application Portfolio Management Provide for Business Strategy Alignment?

As covered, Application Portfolio Management (APM) functions like the micro-management tool of Business Strategy Alignment.

1. APM monitors and analyses applications
2. Facilitates finding out economic strategies for retiring applications or investing them
3. Maps down applications’ lifecycles
4. Keeps track of dysfunctions, repairs, updates

All these benefits help make the IT landscape visible. In a visible environment, it is easier to find the correct track. That’s why decision-makers of Business Strategy Alignment might really benefit from Application Portfolio Management.