The iPremier Company Team #4 Dalal Ahmad, Sayed Almohri Aliza Levinsky Andy Rupp Avinash Sikenpore ISQS 5231-IT for Managers Qing Cao The company iPremier, a iPremier was Web-based Seattle based one of the few commerce, company, was companies to selling luxury, founded in survive the rare, and 1994 by two technical vintage goods students from stock recession over the Swathmore of 2000. (B2C Internet. College. Market) Advantage: flexible return policies. Management Management at iPremier consisted of young people who had been with the company for some time and a group of experienced managers Well educated technical and business professionals with high performance reputation Values: The company professionalism, had a strong commitment to orientation to delivering “do whatever it results, and takes” to get partnership for projects done achieving on schedule. profits. Name Bob Turley Position Chief Information Officer Jack Samuelson CEO Joanne Ripley Head of IT operations Vice president of Warren Spangler business development Chief Technology Tim Mandel Officer Leon Ledbetter Operations assistant Peter Stewart Legal consultant Jack Samuelson Warren Spangler Bob Turley Joanne Ripley Leon Ledbetter Tim Mandel Peter Stewart Stakeholder Customers iPremier Chief Officers iPremier Operation Managers Qdata-Outsourcer Administrative and Technical Employees Role The most important asset for the company. Build up the company’s reputation and develop and drive its business future. Determine administrative policy and procedures. Address management issues company culture, outsourcing, management relationships, risk management. Develop alternatives to quickly recover from an attack mitigating the system’s downtime. Implement high standards for security and back up systems to ensure business continuity. Forms the backbone for the company. Administrative and Technical Employees Capability to develop and invest in advanced technology. Responsible for administering, operating, and maintaining the company’s systems. Degree of impact High Very high Very high High High Architecture Qdata Facility Qdata Private Network VPN Cust A Router Cust A Ethernet switch DNS Servers VPN Cust B Router Cust B VPN Cust… Router Cust… Internet Router Network Management VPN iPremier Company iPremier Co. Case Firewall Router Web Accelerator Router to HQ Ethernet Switches Web Server Cluster SMTP/POP Server Network Management Database Server Ownership Community Alliance Corporation Market Hierarchy Partnership Governance Since it consisted of a legally defined organization with different departments like legal, marketing, IT etc, we categorize it as a CORPORATION. A formal contract is not formed in a B2C relationship which places iPremier in the MARKET section of the matrix as it provides goods, processes payments and maintains customer profiles. Market positioning Broad Narrow Low Cost Value-Added Product positioning Since it currently serves a niche market(mostly affluent) we categorized it as NARROW , but with it’s plans for growth it is moving up to reach BROAD . Since it sells luxury-rare items we recognize it as VALUE ADDED. Impact on business operations High low Low High Impact on strategy At the early beginnings of the company it’s IT placed it in a HIGH strategic impact position . Later on when competitors entered the market the IT strategic impact became LOW . Since it’s an online business IT impact on operations is HIGH. Coupling Tight Loose Linear Complex Interactions Since all the operations of an e-commerce are mostly online iPremier is reasonably COMPLEX. It is also reasonably tight COUPLING because its operations are interdependent Founded by two students at Swarthmore College Initial public offering Stocks fell in the NASDAQ crash but then stabilized iPremier had $32 million in sales and $2.1 million in profits January 12th DoS attack Call Turley!!! We have a problem with the website Leon Ledbetter Joanne Ripley Leon Ledbetter Bob Turley Web Site is locked up!! Customers can’t access it Someone might have hacked us Bob Turley • How long until we are back and running? • Did someone hack us? • Is it a DoS attack? • Should we pull the plug? • Is credit card information being stolen? • Do we have emergency procedures? . • • • • • I think it is deliberate Most of our customer are asleep I’ll restart the server I’ll call you back We have a binder. I can’t find Joanne Ripley Joanne is in the way to Qdata Leon said something about suspicions mail, should I call FBI? Warren Spangler We have a problem…..Should we pull the plug? Bob Turley We don’t want the press involved No, we need to preserve evidence… but detailed logging is not enabled Bob Turley I’m in Qdata, there is no one that knows about the network, the only one went in vacation to Aruba. Do you have an escalation contact? Pull the plug, credit cards can be stolen. This is my legal perspective Peter Stewart . Tim Mandel . Joanne Ripley Thanks so much for your thoughts Bob Turley Bob Turley • Are we working a plan? • The stock is probably going to be impacted. • Focus on getting us back and running Jack Samuelson Call someone senior at Qdata, and tell them we need immediate support Joanne Ripley • Looks like a SYN flood from multiple sites • It’s a DoS attack, due to a lack of proper firewall • The attack is coming from 30 different sites • Every time we shoot traffic from an IP, the zombie triggers attack from 2 sites Bob Turley Bob Turley Attack is over, it stopped at 5:46 a.m., the website is running, and we can resume business as usual Joanne Ripley Bob Turley . . For a moment everything was quiet • Summarize what you think we should do • Whatever you recommend will impact our customers • I got to figure out what to tell Samuelson Bob Turley VIDEO DoS DoS (Denial of Service) is simply rendering a service incapable of responding to requests in a timely manner. Stay with Qdata Outsource to another provider Develop own IT infrastructure Strengths: Weaknesses: •Leaders in the e-commerce •Resourceful pool of employees (talented young people, experienced managers) with reputations of high performance. •iPremier targeted at high-end customers and had flexible return policies. •Credit limits on charge cards are rarely an issue. •Problem in internal communication and escalation deficiencies. •iPremier does not have detailed transaction logs as it involves a trade off with speed •Building all of their systems on poor performance IT services provider. Opportunities: Threats: •iPremier is one of the few success stories of ecommerce business •Given that iPremier established a very strong high-end customer base, it now has the opportunity of extending and tapping into the mid-class consumer •Security issues that can harm the overall performance and success of iPremier •Due to the lack of detailed transaction logs, possibility of repeated attack. •IT operations outsourced to Qdata, (don’t have required immediate access and control over their data center and network). •Qdata was not investing in advanced technology and upgrades. Technical Public relations Management Perspectives Management Actions • Allocate appropriate resources towards IT security • Create a standard protocol assigning roles and responsibilities and escalation of communication in such situations • Implementation of a disaster recovery and business continuity plan (alternate website) • Use external vulnerability assessment services to periodically check the security level maintained by the IT department. • Review management culture orientation of end-result which leads to managers taking shortcuts to expedite delivery of software systems and ignore the controls. • Appoint an external audit committee for risk assessment and management Technical Actions • Implement a robust firewall. • Enable logging and regularly monitor them. • Install Network-based intrusion detection software. • Train and educate all staff on basic systems security. • Encrypt sensitive information on the servers • Provide guidelines and information regarding people to contact when issues arise • Switch the IT services to IBM or HP. Public relations Inform the press and customers about: • Investment in state of the art network security systems. • Performing an in-depth analysis and evaluation of the collocation facility and switch if needed • Encryption of all customer data on its servers.. Importance of contingency planning Handling core business operations in a responsible and careful manner (make sure the core business is in the right hands) Importance of support from senior executives Unconditional collaboration in moments of crisis Importance of a good cultural environment (relationships, innovations, entrepreneurship, team collaboration) Define protocols and clear channels of communication Regular evaluation of the IT infrastructure (vulnerability analysis, update protocols)