1. Answer the following discussion question and use the grading rubric to see how you will be evaluated. Compared with some of the other models you have read in the textbook, another increasingly common way to view IT-Business strategy and strategic use of information resources is through the lens of Digital Business Strategy and Digital Transformation. View the following video then answer the related questions – the presentation is titled – [approximately 45-minute presentation] – 1. Other than a difference in terminology, how is a “Digital Strategy” as presented in the video different than an IT Strategy that you read about in Module 1? 2. What is SMACIT? How are the technologies included in SMACIT disrupting businesses? What operational or digital foundations must be in place in order for a business to successfully build an integrated digital strategy with SMACIT? 3. After reviewing the video, provide an example of a company you believe is successfully employing a digital business strategy and provide several examples as related to SMACIT and backbone? (Please choose a company other than one in the presentation. You may consider choosing a manufacturer. Avoid choosing a tech company such as Facebook or Amazon.)

In recent years, the concept of Digital Business Strategy and Digital Transformation has gained increasing prominence in the field of IT-Business strategy. This alternative approach to viewing the strategic use of information resources is distinct from traditional IT strategies that have been explored in Module 1. In order to better understand the differences between Digital Strategy and IT Strategy, it is important to analyze the key concepts and implications highlighted in the provided video.

1. Differences between Digital Strategy and IT Strategy:
One of the primary distinctions between Digital Strategy and IT Strategy lies in their scope and focus. Traditional IT strategies primarily center around the management and implementation of technology infrastructure within an organization. These strategies often revolve around improving operational efficiency, implementing software and hardware solutions, and optimizing IT processes.

On the other hand, Digital Strategy encompasses a broader perspective that focuses on leveraging digital technologies to drive business growth and transformation. It involves not only the implementation of IT systems and infrastructure but also the integration of digital technologies into various aspects of the organization’s operations, products, and services.

Another key difference pertains to the level of impact and disruption these strategies have on businesses. While traditional IT strategies may enhance operational efficiency and effectiveness, Digital Strategies aim to fundamentally transform business models, customer experiences, and value creation. Digital Strategy emphasizes the adoption and integration of emerging technologies like social media, mobile technology, analytics, cloud computing, and the Internet of Things (referred to as SMACIT in the video) to drive innovation and competitive advantage.

2. SMACIT and its Disruptive Impact:
SMACIT is an acronym that represents four key digital technologies: social media, mobile technology, analytics, and cloud computing. These technologies, when combined, have the potential to disrupt traditional business models and operations in various ways.

Social media enables organizations to engage with customers, build brand awareness, and gain insights into consumer behavior. Mobile technology facilitates anytime, anywhere access to products and services, while analytics provides organizations with powerful tools to extract valuable insights from vast amounts of data. Cloud computing, on the other hand, offers cost-effective and scalable solutions for data storage, processing, and application deployment.

The disruptive impact of SMACIT on businesses can be seen in multiple areas. It has paved the way for new business models, such as the sharing economy, by enabling peer-to-peer interactions and resource sharing. It has also transformed marketing and customer relationship management by allowing targeted advertising, personalized communication, and real-time customer feedback. Additionally, SMACIT has facilitated data-driven decision making, automation of business processes, and improved collaboration within organizations.

However, in order for a business to successfully build an integrated digital strategy with SMACIT, certain operational and digital foundations must be in place. These include a robust IT infrastructure, capable of supporting the data volumes and processing demands of digital technologies, as well as a culture of digital innovation and agility within the organization. Furthermore, organizations must develop a deep understanding of their target customers and their digital preferences to effectively leverage SMACIT in their strategies.

3. Example of a Successful Digital Business Strategy:
When considering a company successfully employing a digital business strategy, one can look beyond the examples presented in the video. A manufacturer that has effectively utilized digital technologies and SMACIT in its strategy is General Electric (GE). GE has embraced the concept of the Industrial Internet of Things (IIoT), leveraging digital advancements in analytics, cloud computing, and connectivity to transform its traditional manufacturing operations.

One key aspect of GE’s digital business strategy lies in its use of analytics and data to optimize its product performance and maintenance. Through its Predix platform, GE collects real-time data from its industrial equipment, enabling predictive maintenance and reducing downtime. This has resulted in increased operational efficiency and cost savings for both GE and its customers.

Additionally, GE has embraced social media and mobile technology to engage with its customers and provide personalized experiences. For instance, the GE Appliances division has developed a mobile app that enables users to control and monitor their appliances remotely. This not only enhances convenience for customers but also allows GE to gather valuable data on product usage and customer preferences.

Overall, GE’s successful adoption of digital technologies and SMACIT in its business strategy highlights the transformative power of digitalization in traditional industries like manufacturing. By building strong digital foundations and leveraging SMACIT, GE has been able to improve operational performance, enhance customer experiences, and drive innovation in its products and services.