---
title: "Elements of IS planning"
subject: "Information System"
chapter: 5
key: "semester_8/information_system:is-planning-elements"
source: https://www.bctengineer.com/q/semester_8/information_system/is-planning-elements
site: BCT Engineering
---

# Elements of IS planning

Information System · Chapter 5: Planning for IS

- Asked in: 2074 Bhadra, 3+5 marks
- Answer checked by Claude Opus 5.5 (high effort) on 2026-10-14
- Page: https://www.bctengineer.com/q/semester_8/information_system/is-planning-elements
- Whole chapter: https://www.bctengineer.com/md/semester_8/information_system/chapter-5

## Question

What are the elements of IS planning? Explain with example of the strategic IS planning of an organization.

## Short answer

IS planning elements include aligning with business mission, analysing current systems, defining information requirements, creating a strategic architecture, prioritising an application portfolio, resourcing, scheduling, and establishing evaluation and risk controls. For example, a bank might plan core banking first, then mobile and CRM, tied to its convenience goal.

## Answer

**IS planning** is the process of deciding what information systems an organization needs, how they support business goals, and how they will be built and resourced over time. **Strategic IS planning** is the long-term (3-5 years) part of it, aligned with the corporate strategy.

#### Elements of IS planning
1. **Mission, vision and objectives:** the business goals the IS must support.
2. **Situation analysis:** study of the current systems, hardware, software, staff and the external environment (SWOT).
3. **Information requirements:** what information managers need at each level.
4. **Strategic IS architecture:** the overall blueprint of applications, data, hardware and networks.
5. **Application portfolio:** list of existing and proposed systems, with priorities.
6. **Resource plan:** budget, people, technology and schedule.
7. **Implementation and migration plan:** order of projects, timeline and responsibility.
8. **Control and evaluation:** performance measures, review and updating of the plan.
9. **Risk and security planning.**

#### Example: strategic IS plan of a commercial bank
- **Business goal:** become the most convenient bank in Nepal within five years.
- **Analysis:** branches use separate old systems; no mobile service; weak data sharing.
- **Architecture:** a core banking system with central database, ATM/mobile/internet banking and a data warehouse.
- **Portfolio and priority:** (1) core banking, (2) mobile banking, (3) CRM and analytics.
- **Resources:** budget per year, a data centre with a disaster-recovery site, hiring of IT staff.
- **Schedule:** core banking in year 1, mobile in year 2, analytics in years 3-4.
- **Evaluation:** transactions per day, customer satisfaction, cost per transaction, reviewed every year.

## Check yourself

The answer's key points as multiple-choice questions, with the correct option and why.

1. Strategic IS planning is:
   A. Daily scheduling of clerks
   B. The long-term (3-5 years) part of IS planning aligned with corporate strategy
   C. Only buying hardware
   D. Short-term bug fixing
   Answer: B. Strategic IS planning is long-term and aligned with corporate strategy. (Key point: Strategic IS planning)

2. What does the situation analysis element involve?
   A. Studying current systems, hardware, software, staff and the external environment (e.g. SWOT)
   B. Writing program code
   C. Hiring a vendor
   D. Setting the final budget only
   Answer: A. Situation analysis studies current systems, resources and the external environment. (Key point: Situation analysis)

3. What is the application portfolio?
   A. A list of existing and proposed systems with priorities
   B. A set of employee CVs
   C. The network cable layout
   D. The list of customers
   Answer: A. The portfolio lists existing and proposed applications and their priorities. (Key point: Application portfolio)

4. In the bank example, what is the stated priority order of the portfolio?
   A. Analytics, mobile banking, core banking
   B. Core banking, mobile banking, CRM and analytics
   C. Mobile banking, analytics, core banking
   D. CRM, core banking, mobile banking
   Answer: B. The plan prioritises (1) core banking, (2) mobile banking, (3) CRM and analytics. (Key point: Bank example)

## Related in Information System

- [IS planning need; strategic IS](https://www.bctengineer.com/question.md?key=semester_8%2Finformation_system%3Ais-planning-strategic-is) — Information System, chapter 5

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