CLASS 1
SUPPLEMENTAL
INTRODUCTORY
MATERIAL
CSE 7360
THE INFORMATION RESOURCE
INTERNAL &
EXTERNAL DATA
COLLECTION
& STORAGE
COMMUNICATION
DATA
LINKS
TRANSFORMATION
PROCESS
INFORMATION
• Plan
• Control
• Operate
A Framework for Analyzing IT Impact on
Organizations
CONTEXT
External
Environment
• Industry
Structure
• Rate of
Change
• Competitive
Intensity
EXECUTION
Organization
• History
• Current State
• Industry Position Strategy
• Competitive
Benchmarks
Resources
• People/
Leadership
• Technology
• Capital
• Culture
Stimulus for
Change
• Type
• Urgency
• Clarity
• Shared
Understanding
Organization
Structure
ORGANIZATION EFFECTIVENESS
MEASURES
Process
Stakeholder
Results
• Time
• Customer/
Supplier
• Market
Share
• Employee
Satisfaction
• Financial
ROE P/E
• Quality
• Cost
People
• Innovation
Work
Technology
• Shareholder
Satisfaction
Management
Culture
Control
Processes
Competitive Benchmarks
Source: Applegate, L.M., IT-Enabled Business Transformation, Boston: HBS Publishing,
1992
IT-Enabled Business
Transformation Module
Scope of Change
Function
Organization
InterOrganization
Anticipatory
Stimulus
for
Change
Crisis
Source: Applegate, L.M., IT-Enabled Business Transformation, Boston: HBS Publishing, 1992
Guiding Principles for Managing
Information Technology
1. There are and will be opportunities, but they
won’t come easy and risk of failure may be
higher than value of success. However,
failure to act may mean failure.
2. Innovation in both the business and within IS
are important.
3. The “users” will continue to be able to do more
for themselves but they will need help as the
complexity of their problems increase.
4. Doing things faster (reduced cycle time), at
lower cost, with better service, being first to
market, … has “always” been a business
objective -- the intensity is dependent on the
threats, either perceived or real, and the
incentive for continued success.
5. Someone is “always” trying to sell you
something regarding IT -- be a smart buyer.
6. Remember who your audience is -- “sell” them
in terms they’ll understand.
7. Learn to determine “fads” from “trends”.
8. IT trends which depend on other IT trends
usually happen more slowly than projected.
9. Watch out for replacement/competitive
technologies/trends.
10. Be lucky if all else fails.
“The modern age has a false send of superiority
because of the great mass of data at its disposal.
The valid criterion of distinction is (not the
quantity of data available but) rather the extent
to which man knows how to form and master
the materials at his command.”