Strategic Alignment Model and Competitive Advantage Business Plan by AussieGenius

Strategic Alignment Model and Competitive Advantage
A discussion on strategic alignment of business and technology processes at a large financial corporation.
# 147402 | 3,994 words | 18 sources | APA | 2011 | IL

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As businesses seek to gain competitive advantage in today's technology driven world, they are finding it difficult to realise benefits and value from their information system investments. This paper discusses the strategic alignment model as presented by Henderson and Venkatraman (1999) and the concept of business models as related by Osterwalder (2004) in the context of Advantage Credit Ltd. Firstly, a review of relevant concepts and literature is made in order to introduce the reader to the subject matter. Advantage Credit Ltd is the leading payment services organisation operating in Israel. The company's business model is explained in depth using Osterwalder's nine business model building blocks and its strategic strengths and weaknesses are discussed within the framework of the strategic alignment model. Recommendations for closer alignment between IT and general business processes are also made.

Executive Summary
Review of business models
Value Proposition
Target Customer
Distribution Channel
Value Configuration
Core competency
Partner Network
Cost Structure
Revenue Model
Suggested solutions

From the Paper:

"The concept of business models is not clearly understood as is evident in many publications by journalists, business executives and even academics (Osterwalder 2005). It is of paramount importance to reach an accurate definition of business models in order to utilise this concept in more complex models and strategies, including that of strategic alignment. The Strategic Alignment Model seeks to maximise the competitiveness of businesses by making optimum use of business and IT processes through symbiotic relationships, as opposed to having business and IT people competing within the same organisation. Osterwalder (2005) posits that a business model represents a conceptual blueprint of how an organisation goes about its business. It is a simple representation of the strategic positioning and strategic goals of the organisation which can be translated into a business structure and processes that are ultimately the organisation's daily operations and physical form. "

Sample of Sources Used:

  • BDICode - Credit Cards Companies, viewed 14 December 2010,
  • Boynton, A.C, Victor, B & Pine, B.J, 1993, "New competitive strategies: Challenges to organisations and information technology", IBM Systems Journal, vol 32, no. 1
  • Bucklin, C.B., 1997, Channel conflict: When is it dangerous? - McKinsey Quarterly - Marketing - Management, viewed 21 December 2010,
  • Chesbrough, H & Rosenbloom, R.S., 2002, "The role of the business model in capturing value from innovation: evidence from Xerox Corporation's technology spin-off companies", viewed 20 December 2010,
  • Demographics of Israel - Wikipedia, the free encyclopedia, viewed 19 December 2010,

Cite this Business Plan:

APA Format

Strategic Alignment Model and Competitive Advantage (2011, March 29) Retrieved December 01, 2022, from

MLA Format

"Strategic Alignment Model and Competitive Advantage" 29 March 2011. Web. 01 December. 2022. <>