On the necessity of an iterative design of business strategy, business organization and information technology

The starting point of this paper is the productivity paradox of information technology (IT). This means that, in spite of huge investments in IT, there has been no evidence of positive effects on the productivity of the economy as a whole. The paper shows that the positive effects of IT on productivity can only be fully exploited by implementing new strategies and new organization concepts. Most of traditional approaches are linear, i.e. they are either demand oriented or technology driven. Hence they do not consider all relationships between business strategy, business organization, and IT. MIASOI is an iterative design model presented which tries to take into account all interdependence between these three areas. Finally the current status of preconditions, necessary for a successful implementation, are evaluated