Strategic alignment rule of thumb: how do a firm’s objectives, management information needs, and MIS performance criteria relate in the proper causal order?

Introduction / Context:
Aligning information systems with business strategy requires a clear causal chain: strategy → information needs → system design and performance criteria. This prevents “technology push” and keeps the MIS focused on outcomes that matter to the enterprise. The question asks you to select the correct order of influence.

Given Data / Assumptions:

• Firm objectives are strategic aims (growth, profitability, service levels).
• Management information needs derive from these objectives (KPIs, dashboards, analytics).
• MIS performance criteria (timeliness, accuracy, availability, scalability) are chosen to satisfy those information needs.

Concept / Approach:
The logical flow is: objectives → information needs → MIS performance criteria. Objectives determine what decisions must be supported; those decisions dictate the information required; the MIS is then specified to meet these needs. Reversing the order would let technology drive strategy, which is poor governance.

Step-by-Step Solution:

Verification / Alternative check:
Enterprise architecture and IT governance frameworks (strategy → business capability → information needs → applications/technology) reinforce this order.

Why Other Options Are Wrong:

Common Pitfalls:
Letting tool capabilities define KPIs; always derive metrics and system SLAs from business goals first.

Final Answer:
the firm's objective determine management information needs, and these needs determine MIS performance criteria