book notes Ch.1

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Slide 1.1
MIS – Boddy et al. Ch1.
Information systems and organisations
Overview
•
•
•
•
•
A dependence on information
Information and information systems
The technology infrastructure
Using technology to add value
Managing IS in context: an interaction model
– stakeholders, contexts, processes, outcomes
• Management challenges of IS
• Case: tesco.com
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.2
Tesco Clubcard
•http://www.tesco.com/clubcard/
•http://en.wikipedia.org/wiki/Tesc
o_Clubcard
•https://www.google.no/#q=tesco
+clubcard&tbm=nws
http://www.clubcardtv.com/
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.3
A dependence on information
• People need information about inputs, outputs and
transformation processes
• How will information help managers to use the ‘Steering Wheel’
in managing operations?
– The factors measured in the steering wheel include information about
input, transformation and output at successive levels of the company.
Having timely and accurate information on factors known to affect
business performance helps to make more profitable use of resources.
Figure 1.1 Role of IS in organisations
- The Steering Wheel
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.4
Information and
information systems
Figure 1.2 The links between data, information and knowledge
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.5
Technology infrastructure
(PDA, mobile)
helpdesk
OS & apps
• Look at the BBC
website: identify one
new development in
each of the technology
areas.
– What is is called?
– What do they hope to
data warehouse achieve, also
data mining
economically?
– Who are the customers?
LAN, WAN,
wifi
Figure 1.3 Components of the IT infrastructure
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.6
Convergence of voice, image and data
technologies
• Telephone – fiber optic
cables dramatically
increase capacity; near
zero cost of added
traffic, IP-telephony
• TV- broadcasting from
audio to digital;
programs received via
computer terminals
• Networked computer –
great increases in
processor power &
storage capacity
• Internet – worldwide
communication,
connectivity, enabling
exchange of voice,
image and data
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.7
Using technology to add value
• Adding value to physical products
– supporting information exchange between those making the
products
– linking otherwise isolated activities, including customers and
suppliers
• Adding value to information products
– information is the product
• Adding value depends on technology AND organization –
see Figure 1.4 (previous slide).
Activity 1.3 (p.14): ID 2 new examples of IS which have
been introduced to add value to the delivery of: (a) a
physical product and (b) an information product.
–
–
–
–
What companies are making or using it;
what does it do;
who uses it;
Successful or not.
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.8
Technology AND organisation
Tesco case:
• What are the inputs and
outputs of the system?
Figure 1.4 The elements of a
computer-based IS
• What are the elements of the Tesco
system (e.g. Info, Hardware,
Software, processes, people)?
– Inputs - Every purchase, profiles of
new customers joining the Clubcard
scheme, costs and prices, accumulated
data showing trends, data on staff.
– Outputs- info for suppliers on
replacement stock, info on customer
buying patterns, sales data which is
processed to run the business, such as
#staff required at particular times to
meet the demand, or the relative
profitability of each store and section
within it.
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.9
Managing IS in context
Figure 1.5 An interaction model for managing information systems
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.10
Stakeholders in IS
• ‘All those affected by an organisation’s actions or
policies’
• Aim is to understand stakeholders attitudes and
actions towards an IS
• Motivated by normal range of human needs
• These shape their attitudes towards a system, in
the specific organisational context.
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.11
The contexts of IS
• Who are the main
stakeholders of the
Tesco Clubcard
system?
• Who will gain/lose
the most?
• Who will
favour/oppose the
system?
Figure 1.6 The contexts of information systems
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.12
The contexts of IS (Continued)
• The effective use of modern IS depends on
understanding the relationship between the system and
its context.
• External
– general, macro factors – see Chapter 3
– competitive, micro – industry specific factors, more immediate
strategic choices – see Chapter 4
• Internal
– organisational factors – see Table 1.1 (p.20).
• Historical
– any project takes place in a historical context, which shapes
attitudes and actions. Inherited context affects the present – e.g.
legacy IT.
– At an individual level, how people react to current proposals is
influenced by the memories of what had happened before – if
change had been well-managed and generally beneficial, they
are likely to be well-disposed to a new proposal, and vice versa.
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.13
Interaction shapes implementation
• Quality of the implementation process shapes
the outcomes
– how stakeholders interact: does implementation lead
to productive interaction, or not?
• Implementation is when people influence (shape)
the context by designing technology and
organisation, to influence others:
• That (new) context now in turn influences them:
• Continuing subjective interpretations
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.14
The implementing challenges of IS:
– Complexity and complementary internal changes –
change effects the change process.
– Dynamic nature of the context – both the technology
and business context change.
– Stakeholders do not share the organizations view of
problems, and not the same solutions – need a
common starting point .
– People need to learn from implementing systems –
change management & planning needed.
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.15
The unpredictable
outcomes of IS projects
Table 1.2 Measures of information system success
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
Slide 1.16
In conclusion:
The management challenges of IS:
• Foundations – organizational issues must be delt with at the same
time as IS. There are a lot of failures.
• Strategy- identifying and implementing applications/projects that
are good for the business(parts/divisions) (Ch. 4).
• Organizational – designing IS within context; help people design
effective systems (Part 3).
• Implementing and Learning – creating organizational structures
that support new ways of working and managing projects (Ch. 9).
Context – is always important. We never talk about IS/IT as
independent of context.
– e.g. the Interaction Model; political context, economic context;
social context; organizational context.
Boddy et al., Managing Information Systems, 3rd Edition, © Pearson Education Limited 2009
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