CHAPTER 15
Managing the
IS Function
15.1
© Prentice Hall 2002
CHALLENGES OF IS
LEADERSHIP
• RAPID TECHNOLOGICAL CHANGE
• GROWTH IN USER-MANAGEMENT
UNDERSTANDING
• FREQUENT EXTERNAL SHOCKS
*
15.2
© Prentice Hall 2002
CRITICAL AREAS OF IT
MANAGEMENT SYSTEM
• AGREED-UPON IS ROLE
• LEADER HAS POSITION, SKILLS, STYLE
THAT FIT EXPECTATIONS
• CLEARLY DEFINED, ACTIVE ROLE FOR
USER-MANAGER: IS/customer partnership
• RATIONALE FOR IS OUTSOURCING: Based
on economic & strategic factors
• EQUITABLE FINANCING SYSTEM
*
15.3
© Prentice Hall 2002
CRITICAL AREAS OF IT
MANAGEMENT SYSTEM
• CONSISTENT DEVELOPMENT EFFORT: For
both IS professionals & users
• DEPLOYMENT OF GLOBAL INFORMATION
SYSTEMS
• IS ORGANIZATION DESIGN SUPPORTS
MISSION
• REGULAR PERFORMANCE
MEASUREMENT
• ETHICAL USE OF IT RESOURCES
*
15.4
© Prentice Hall 2002
SENIOR IT LEADERSHIP
CHIEF INFORMATION OFFICER (CIO)
CHIEF TECHNICAL OFFICER (CTO)
ISSUES:
• IMPROVE DATA & IT PLANNING
• GAIN BUSINESS VALUE THROUGH IT
• FACILITATE ORGANIZATIONAL
LEARNING: About & through IT
• REFINE IS UNIT’S ROLE & POSITION
15.5
*
© Prentice Hall 2002
SENIOR IT LEADERSHIP
ISSUES:
GUIDE END-USER DEVELOPMENT
MANAGE DATA AS AN ASSET
MEASURE IS EFFECTIVENESS
INTEGRATE INFORMATION
TECHNOLOGY
• DEVELOP SYSTEMS PERSONNEL
*
•
•
•
•
15.6
© Prentice Hall 2002
CIO PRIORITIES
•
•
•
•
•
•
•
•
•
E-BUSINESS
PEOPLE/STAFFING
ENTERPRISE RESOURCE PLANNING
INFRASTRUCTURE
CUSTOMER RELATIONSHIP MANAGEMENT
APPLICATION INTEGRATION
MERGERS & ACQUISITION
SECURITY
OUTSOURCING
*
15.7
© Prentice Hall 2002
OUTSOURCING
HIRE OUTSIDE PROFESSIONAL IS
SERVICES TO RUN PART OF IS
OPERATIONS: Base on economic value
KEY FACTORS:
• VENDOR REPUTATION
• QUALITY OR SERVICE
• FLEXIBLE PRICING
*
15.8
© Prentice Hall 2002
MANAGING IT COSTS
• TOTAL IT BUDGET AS % OF TOTAL
ORGANIZATIONAL REVENUES
• TOTAL IT BUDGET AS % OF TOTAL
ORGANIZATIONAL BUDGET
• IS PERSONNEL COSTS AS % OF TOTAL
ORGANIZATIONAL PROFESSIONAL
SALARIES & WAGES
• RATIO OF HARDWARE & SOFTWARE
COSTS TO IS PERSONNEL COSTS
*
15.9
© Prentice Hall 2002
MANAGING IT COSTS
• IT HARDWARE & SOFTWARE COSTS PER
MANAGER/KNOWLEDGE WORKER
ADDITIONAL FACTORS:
• HIDDEN IT COSTS: Elements appear in other
budgets or expense categories
• RELATIONSHIP OF COSTS TO BENEFITS
OFTEN DIFFICULT TO DETERMINE
• BENEFITS OCCUR AFTER DEVELOPMENT
COSTS OCCUR
*
15.10
© Prentice Hall 2002
SOME IS POSITIONS
• CIO: Senior executive responsible for leadership of
IT efforts
• IS DIRECTOR: Responsible for day-to-day IS
operations in entire organization
• IS EXECUTIVE: Responsible for day-to-day IS
operations in one division
• INFORMATION CENTER MANAGER:
Oversees computer operations, hot line, help desk,
training
*
15.11
© Prentice Hall 2002
SOME IS POSITIONS
• SYSTEMS DEVELOPMENT MANAGER:
Coordinates new projects, allocates systems analysts
& project managers, schedules work
• SYSTEMS MAINTENANCE MANAGER:
Coordinates maintenance projects, allocates people,
schedules work
• IS PLANNING MANAGER: Analyzes business,
develops architecture to support future needs,
forecasts technology trends
*
15.12
© Prentice Hall 2002
SOME IS POSITIONS
• DATA CENTER MANAGER: Supervises day-today operations of data center, data entry, staff,
schedules computer jobs, downtime, plans system
capacity
• PROGRAMMING MANAGER: Coordinates
application programming, organizes staff for teams,
acquires tools to improve productivity
• MANAGER OF WEB-BASED
TECHNOLOGIES: Supervises Internet/Intranet
technologies, consults with users to keep site
current
15.13
*
© Prentice Hall 2002
SOME IS POSITIONS
• COMMUNICATIONS MANAGER: Plans,
designs, coordinates data & voice networks
• SYSTEMS PROGRAMMING MANAGER:
Responsible for systems software, including updates
& request changes
• DATABASE ADMINISTRATOR: Plans
databases, coordinates use of data
• PROJECT MANAGER: Supervises analysts &
programmers in an IT project
*
15.14
© Prentice Hall 2002
SOME IS POSITIONS
• QUALITY ASSURANCE MANAGER:
Coordinates activities to set standards, checks
compliance with standards, improves quality &
accuracy
• COMPUTER SECURITY MANAGER: Develops
procedures & policies, installs & monitors software
to ensure data safety and authorized use
*
15.15
© Prentice Hall 2002
TEN COMMANDMENTS OF
COMPUTER ETHICS
THOU SHALT:
1. NOT USE A COMPUTER TO HARM OTHER
PEOPLE
2. NOT INTERFERE WITH OTHER PEOPLE’S
COMPUTER WORK
3. NOT SNOOP AROUND ANOTHER’S FILES
4. NOT USE A COMPUTER TO STEAL
5. NOT USE A COMPUTER TO BEAR FALSE
WITNESS
*
15.16
© Prentice Hall 2002
TEN COMMANDMENTS OF
COMPUTER ETHICS
THOU SHALT:
6. NOT COPY PROPRIETARY SOFTWARE FOR
WHICH YOU HAVE NO AUTHORITY
7. NOT USE ANOTHER’S COMPUTER RESOURCES
WITHOUT AUTHORITY OR PAYMENT
8. NOT APPROPRIATE ANOTHER’S INTELLECTUAL
OUTPUT
9. THINK ABOUT SOCIAL CONSEQUENCES OF
YOUR COMPUTER WORK
10. ALWAYS USE A COMPUTER INSURING
CONSIDERATION & RESPECT FOR OTHERS
*
15.17
© Prentice Hall 2002
USER SATISFACTION
CRITERIA FOR IS UNITS
• QUALITY OF SYSTEM SPECIFICATION
DOCUMENTS
• SIZE OF REQUEST BACKLOG OR
WORKLOAD
• PROJECTS COMPLETED ON TIME, WITHIN
BUDGET
• SPEED AT WHICH REQUESTED WORK IS
DONE
*
15.18
© Prentice Hall 2002
USER SATISFACTION
CRITERIA FOR IS UNITS
• PROFESSIONALISM OF IS STAFF
• NATURE OF RELATIONSHIP WITH IS
STAFF
• BUSINESS KNOWLEDGE OF IS STAFF
• QUALITY OF USER TRAINING
• USER FEELING OF INVOLVEMENT IN
SYSTEMS MANAGEMENT
*
15.19
© Prentice Hall 2002
REASONS FOR GLOBAL SYSTEMS
1.
2.
3.
4.
5.
6.
7.
15.20
GLOBAL CUSTOMER REQUIREMENTS
GLOBAL PRODUCTS
RATIONALIZING OPERATIONS
FLEXIBLE OPERATIONS
JOINT RESOURCES
DUPLICATE FACILITIES
SCARCE RESOURCES
*
© Prentice Hall 2002
REASONS FOR GLOBAL SYSTEMS
8. RISK REDUCTION
9. LEGAL REQUIREMENTS
10. ECONOMIES OF SCALE
*
15.21
© Prentice Hall 2002
PLANNING FOR GLOBAL SYSTEMS
1.
2.
3.
4.
5.
6.
CREATE STRATEGIC ALLIANCES
DEVELOP INTERNATIONAL SYSTEMS SKILLS
BUILD ANTICIPATED INFRASTRUCTURE
TEAR DOWN “NATIONAL” MODEL
CAPTURE RESIDUAL VALUE
EXPLOIT LIBERALISM IN INTERNATIONAL
TELECOMMUNICATIONS
7. HOMOGENIZE DATA STRUCTURES
8. GLOBALIZE HUMAN RESOURCES
*
15.22
© Prentice Hall 2002
CHAPTER 15
Managing the
IS Function
15.23
© Prentice Hall 2002