Corporate Information Strategy and Management examines how information technology (IT) enables organizations to conduct business in radically different and more effective ways. The commercialization of the Internet and the steady stream of innovations have created a seismic change in the business environment. New channels of supply and distribution are emerging. New electronic marketplaces and exchanges are being created. The infrastructures of firms and the industries within which they operate have been permanently altered.

This is a fast-moving and global phenomenon. For established companies, the resulting challenges have been deep and pervasive. In many cases, the changes have threatened not just a firm's competitiveness but also its survival. Executives bear an enormous burden as they attempt to understand the challenges, keep abreast of events, and make intelligent decisions and plans.

The objective of this book is to provide readers with a better understanding of the influence of twenty-first-century technologies on business decisions. The book discusses today's challenges from the point of view of the executives who are grappling with them. It recounts stories of success and failure, focusing on the issues faced and the decisions made by executives in companies around the world.

The cases and readings presented here are organized in an Introduction, three modules, and a Conclusion. The first module is aimed at understanding the impact of IT on industries, markets, and organizations. It discusses issues of business model design, strategic positioning and explains how twenty-first-century IT provides opportunities to alter market/industry structure, power, and relationships. The first module also discusses the impact of IT on organizational capabilities and management/ leadership. The first module ends with a discussion of how to frame the business case for IT and measure business value and governance. The second module turns the reader's attention to operational issues at the interface of business and technology as it examines approaches to designing and managing open-standard, networked technology infrastructures. The third module concentrates on leadership and management of IT activities, focusing on the issues that arise at the boundary as four key constituents—business executives, IT executives, users, and IT partners—work together to leverage technology to create a sustainable advantage. The Conclusion summarizes key frameworks, insights, and themes. Case studies are provided at the end of each module to enable discussion of the issues that twenty-first-century executives must address.

The material presented here is the outgrowth of field-based research we have conducted at the Harvard Business School since the early 1970s. To Deans John McArthur, Kim Clark, and Jay Light we express our appreciation for making the time and resources available for us to complete this work.

We are particularly indebted to the executives who provided so much time and insight during the course of our research. All the cases in this book are based on observations of strategic decision making and action in real organizations. Without the cooperation of many executives, the preparation of this book would not have been possible.

We are grateful as well for the many valuable suggestions and insights provided by our Harvard Business School colleagues, especially Jim Cash, Alan MacCormack, Andrew McAfee, Jim McKenney, F. Warren McFarlan, Richard Nolan, Kash Rangan, and David Upton. In addition, we acknowledge the valued work of our doctoral students, fellows, and research assistants. Our heartfelt thanks go to Nancy Bartlett, Alastair Brown, Elizabeth Collins, Mark Cotteleer, Melissa Dailey, Brian Delacey, LeGrand Elebash, Cedric Escalle, David Lane , Marc Mandel, Felipe Monteiro, Beth Rochefort, Tom Rodd, Mary Rotelli, Frederick Soule, Erin Sullivan, George Westerman, and Fred Young. We also acknowledge the support of the directors of Harvard Business School research centers, including Christina Darwall of the California Research Center ; Gustavo Herrero, Director of the Latin America Research Center; Camille Tang Yeh, Director of the Asia Pacific Center ; and Carin Knoop, Executive Director of Global Research. Thanks go to Alan Murray, a superlative friend and former colleague, who provided important reviews of technical details, especially in the chapter on computer security. Finally, we express our appreciation to our editor, Tom Cameron, and to Jennifer Chalfin, Maureen Donovan, Zoya Omartian, Brooke Spangler, and Maurie SuDock, who provided administrative support. Lynda M. Applegate Robert D. Austin Deborah L. Soule