Abstract

The lack of alignment between IT and business strategy (strategic alignment) is believed as the main reason why some IT investments fail in creating appropriate business value. Though the importance of strategic alignment is indisputable, aligning IT with business strategy is not a piece of cake issue. A better understanding of strategic alignment perspectives is crucially needed as a guidance on how strategic alignment could be accomplished. In addition, while the difficulties faced by firms in accomplishing strategic alignment tend to be varied, organizational culture is one interesting factor that is still rarely studied on previous literatures. Therefore, this research aims to furtherly explore on strategic alignment perspectives and how organizational culture affects the way firms align their IT with business strategy. To fulfil that purposes, this research was conducted in four stages using focus group discussion in a state-owned enterprise in Indonesia. The initial stage aimed to understand firms’ culture by determining the dominance of GLOBE’s nine cultural dimensions. The following stage tried to identify firms’ strategic alignment perspective based on Henderson and Venkatraman’s theory. A measurement of strategic alignment maturity was conducted on the third stage by relying on Luftman’s Strategic Alignment Maturity Model. The latter stage aimed to identify organizational culture impact on strategic alignment based on the assessments in previous sessions. This research concluded that: a) the firm adopts technology transformation perspective in achieving strategic alignment, and b) organizational culture has various impacts on strategic alignment maturity.

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