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A Study on Evaluating the Strategic Importance of Information Systems in Korean Government-Invested Institutions

Kim, Hyoseok · Lim, Yeongha

Published: January 1993 · Vol. 23, No. 1 · pp. 93-122
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Abstract

Government-invested institutions are expected to differ in the strategic importance of their information systems depending on their founding purposes and business environments. This study utilized the Strategic Grid model of McFarlan and McKenney, a strategic information systems planning methodology, to evaluate the strategic importance of information systems at each institution and to analyze whether there are differences in information systems planning activities according to their positions on the strategic grid. Among five variables related to information systems planning, two variables—the overall importance of information systems planning in the organization and the degree of resource support—were found to differ across the four groups on the strategic grid. Therefore, government-invested institutions should differentiate their information systems-related activities, including MIS planning and investment, according to their positions on the grid. Furthermore, since public enterprises, unlike private enterprises, must simultaneously emphasize both public interest and profitability, these characteristics should be reflected in their information systems. This study examined how public enterprise information system characteristic variables are reflected in Korean government-invested institutions, and found that while public enterprise characteristics were reflected in information system objectives, they were not found in other variables.