Structuring IT function: Imperative for the new millennium

Abstract

Globalization of the world economy is made possible only by advances in information technology (IT). The IT function has come a long way from being organized as a centralized function to becoming a more distributed architecture that is pervasive in all organizational functions. The fast changes in the technology landscape have brought several challenges in managing IT function. The IT function has to adapt continually to the changing organizational and market needs. Structuring the IT function has wide implications in achieving competitive advantage and thus requires careful consideration of factors influencing the decision and finding the right fit that supports the strategic orientation of the firm. This chapter briefly analyses the importance of structuring the IT function and the influencing factors in the context of the changing global business environment.