Chapter 4: Measuring the Success of Stratigic Initiative.

Hai again, this is just another post :) 
Shall we just jump right into the chapter?

To begin with, one should know that IT success is EXTREMELY difficult to measure. 

"How does a company identifies the success fulness of a strategic initiative?"

The answer lies in the metrics...Key performance indicators (KPIs) is the measures that are tied to business drivers. Thus metrics are the detailed measures that feed theso KPIs.

EFFICIENCY & EFFECTIVENESS

=> Efficiency IT metrics, measure the performance of the IT system itself including throughput,speed, and availability.

=>  Effectiveness IT Metrics, measure the impact IT has on business process and activities including customer satisfaction, conversation rates, and effectiveness.


In a nutshell, effectiveness focuses on how well we achieve our goals and objective, whilst efficiency focuses on the optimal way use the resources.  

THE INTERRELATIONSHIP OF EFFICIENCY AND EFFECTIVENESS IT METRICS.

Most managers are familiar with financial metrics but unfamiliar with information system metrics. These are the metrics that will help managers measure and manage their strategic initiative....   

Website Metrics..

 Supply Chain Management (SCM)

 Customer Relationship Management (CRM) Metrics

Business Process Reengineering(BPR) and Enterprise Resources Planning(ERP) Metrics

for this strategic initiative the method to measure is the.....

 balance scorecard - a management system, in addition to a measurement system, that enables organizations to clarify their vision and strategy and translate them into action

that is it for this chapter :) have a great day!