Introduction to MIS
Chapter 13
Organizing the MIS Resources
Copyright © 1998-2002 by Jerry Post
Introduction to MIS
1
Organizing IS Resources
Strategy
Tactics
Operations
Introduction to MIS
2
Outline
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Managing Information Systems Functions
MIS Roles
MIS Jobs
International Comparisons
Outsourcing
MIS Organization: Centralization
Intranets and Thin Clients
Cases: Financial Services
Appendix: Project Management
Introduction to MIS
3
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Hardware administration
Software support
Corporate data access
Software development
End user support
Computing standards
DB administration
Advocacy
MIS Roles
Advocacy
Corporate
computing
standards
Database
administration
Access to
corporate data
Software
development
Hardware
administration
Software training
and support
Introduction to MIS
Support end user
development
4
Some MIS Roles
Hardware Repair
Network and Telecommunications
Training and User Support
Introduction to MIS
5
Salaries 2001
IS Management
CIO/VP IS/CTO $165,000
Database
Systems Development
Networks
Director
$123,000
Manager
88,000
Project manager
85,000
System analyst
79,000
Senior developer
74,000
Programmer/analyst
55,000
Junior programmer
45,000
Director
$106,000
Manager
83,000
Administrator
60,000
Network analyst
40,000
Junior analyst
34,000
Internet
Manager
Webmaster
Application developer
EC specialist
EDI specialist
Introduction to MIS
Manager
Administrator
Database analyst
$94,000
89,000
67,000
User Support
Manager
Help desk operator
PC technical support
Security
$94,000
72,000
70,000
74,000
66,000
Includes bonus
Manager
$86,000
Administrator
72,000
Specialist
64,000
IS audit manager 81,000
IS audit staff
53,000
$69,000
40,000
43,000
Operations
Director
Manager
Lead operator
Computer operator
http://careers.wsj.com
http://www.computerworld.com
$106,000
74,000
42,000
35,000
9
International Salaries
Nation
Programmer/Analyst Salary
United States
55,000
Britain
57,000
Russia
10,800
India
Introduction to MIS
2,508
11
Skills in Demand
Rank
2001
1998
1994
1
ERP
ERP
Networking
2
Object engineering
Groupware
Database
3
Data warehouse and data
visualization
Database
UNIX
4
Groupware
Networking
Visual Basic
5
Wireless
COBOL
COBOL
Introduction to MIS
13
Outsourcing
Company
1991
1995
1997
1999
2000
IBM Global Services
0.4
17.7
24.6
35.0
37.0
EDS
1.2
12.4
15.2
18.7
19.2
CSC
0.4
4.2
6.6
9.4
10.5
Accenture
0.5
4.2
6.3
9.5
9.8
ADP
0.3
3.0
4.9
6.3
7.0
Affiliated Computer
0.16
0.4
1.2
2.0
2.1
Fiserv
0.23
0.7
1.0
1.4
1.7
Perot Systems
0.16
0.3
0.8
1.2
1.1
Total (billion dollars)
3.4
42.9
60.6
83.5
88.4
Introduction to MIS
15
Outsourcing Evaluation
Cost of reaching
state of the art
Specialized Talent Needed
When any of these characteristics
increases (moves outwards), there
is less reason to use outsourcing.
Security & Control
Level of
Technology
Fixed Costs
Complex Market Structure
Introduction to MIS
16
Globalization, new competitors.
Pressure on profits.
Shorter product life-cycles,
mass customization.
Need to focus on increasing
revenues and decreasing
fixed/semi-fixed costs.
Rapidly changing markets,
flexible manufacturing.
Cost cutting, staff cuts,
loss of middle management.
Need for flexibility
and responsiveness.
Outsourcing
Forces
Outsource
non-revenue
generate functions
(staff/operations)
Desire to minimize amount
of management time devoted
to non-revenue generating
functions.
Economies of Scope
Want one vendor to
provide multiple
functions.
Economies of Scale
- leverage expertise and
methodologies.
- invest in expensive
technologies (state-of-the-art)
- process-oriented approach
Big Outsourcing Vendors
& Big 6 Firms
Introduction to MIS
17
Summary of MIS Organization
Hardware
Software
Data
Personnel
Centralization
Share data
Control purchases
Control usage
Less duplication
Efficient use of resources
Compatibility
Bulk buying discounts
Easier training
Ease of maintenance
Easy backup
Easier to share
Less duplication
Security control & monitoring
Similar worker backgrounds
Easier training
Straightforward career path
Specialized staff
Easier to see & control costs
Introduction to MIS
Decentralization
Less chance of breakdown
Users get personalized machines
Different user preferences
Easier access
Customization
Not all data needs to be shared
Control & politics
Faster response to users
More time with users
Better understanding &
communication
Different career path
18
Complete Centralization
Hardware
Data and
software
MIS personnel
User departments
Introduction to MIS
19
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Easier to share
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Data
Expensive hardware (printers)
Easier to control

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Hardware Centralization
Advantages
Purchases
Usage
Less duplication
Efficiency — less unused resources
Introduction to MIS
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Software Centralization
Advantages
Compatibility
Bulk buying discounts
Easier training
Ease of maintenance & upgrades
Introduction to MIS
21
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Easy backup
Easier to Share
Less duplication
Security control\monitoring
Introduction to MIS
Data Centralization
Advantages
22
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Personnel Centralization
Workers with similar backgrounds
Advantages
Easier training
Straightforward growth path
Specialized staff
Easier to see/control costs
Introduction to MIS
23
Growth of PCs
Share of Market Value
Worldwide Computer Sales
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Server
Midrange
Personal
1970
1980
1990
1995
1998
Year
Introduction to MIS
24
Complete Decentralization
Human Resource Management
MIS personnel are members
of user departments
Finance
Marketing
Accounting
Introduction to MIS
25
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Hardware Decentralization
Less chance of total breakdown
Advantages
Users get personalized equipment
Micros are cheaper than mainframes
Introduction to MIS
26
Software Decentralization
Advantages
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Different users have different preferences
Easier access
Customization without affecting others
Can overcome objections



Lower prices minimize benefits of bulk purchases.
Similarities of packages make training easier.
Conversion tools enable sharing.
Introduction to MIS
27
Data Decentralization
Advantages
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Not all data needs to be shared
Easier find and access
Control & politics
Introduction to MIS
28
Personnel Decentralization
Advantages
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Closer to users
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Faster response
More time spent with users
Better understanding/communication
Different career path
Introduction to MIS
29
Thin Clients
Server
Data and applications
Thin client
Browser-based access
User interface
Introduction to MIS
30
Intranet Network Solutions
High-bandwidth
connections
between servers.
Standard Internet
connections to
users.
Introduction to MIS
31
Simple Object Application Protocol
Your Company Server
The Internet
Bank Server
Bank Service
Your Financial Application
Year
Revenue
2000 € 34,231
2001 € 39,983
2002 € 36,421
Cost
€ 27,333
€ 32,132
€ 31,456
SOAP
Sales and Costs
€50,000
Currency
converter:
Date,
InCurrency,
Outcurrency
€40,000
€30,000
Revenue
€20,000
Cost
€10,000
€2000
2001
2002
Introduction to MIS
Manager or Client
32
Decentralization Summary
Organizational
Strengths
Weaknesses
Are operations
interdependent?
-planning
-development
-physical resources
-operations
End users gain control.
Possible short term bias
in decision making.
Can subunits relate
solely through
information &
messages?
Supports workgroups.
Enables new
organizational
structures.
Increased organizational
flexibility.
Might not be optimal
use of resources for
corporation.
IS staff might lose
cohesiveness and
support.
Does corporate culture
support
decentralization?
Introduction to MIS
35
Cases: Financial Services
Introduction to MIS
36
Cases: Fidelity Investments
Charles Schwab & Co.
www.fidelity.com
www.schwab.com
What is the company’s current status?
What is the Internet strategy?
How does the company use information technology?
What are the prospects for the industry?
Introduction to MIS
37
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Projects

Goal
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Size and complexity of the project.
Match the management techniques to the project scope.
Schedule
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
Need a well-defined goal
Good example: Put a man on the moon.
Bad example: Improve the IRS information systems.
Scope


Appendix: Project Management
Break project into tasks
Tasks depend on other tasks (you can’t paint a wall until it is
built).
Tasks take time to complete (duration)
Tasks require resources.
Resources
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
Worker time is usually the most important to schedule.
Workrooms, machinery, and so on.
Introduction to MIS
38
Project Management Steps
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Define the project.
Create the plan.
Track and manage the project as it proceeds.
Close the project when the goal is achieved
or the project is cancelled.
Introduction to MIS
39
Microsoft Project
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Specialized database
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
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Specialized views of the data

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


Tasks (start, duration, description, dependence)
Resources (costs, needs, assignments)
Gantt Chart
PERT Chart
Calendar
Task Usage
Tracking Gantt
Task Sheet
Highlight task duration.
Highlight task dependence.
Show scheduled tasks.
Show assigned resources.
Compare estimates to actual.
Detailed task data.
Resource views



Resource Graph
Resource Sheet
Resource Usage
Introduction to MIS
Track resources over time.
Detailed resource data.
Tasks assigned to resources.
40
Sample: Spring Forward Century
Sunday, April 2, 2000
25 miles
50 miles
100 miles
Planning the ride
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Choose starting point
Legal paperwork
Establish routes
Create databases
Create promotional materials
Create commemorative shirts
Register riders
Organize volunteer groups
Advertise ride
Plan rest stops
Plan registration
Ride day is a separate project
SpringForwardCentury.mpp
After the ride
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Final clean up
Thank you notes
Write project notes
Organize Spring Forward Century.mpp
Introduction to MIS
41
Organize Spring Forward Century.mpp
Microsoft Project: Gantt Chart
ID
1
Task Name
Choose starting point
2
Le gal paperw ork
Feb 23, '03
Duration
T
3 days
W
T
F
S
Se lf
Mar 2, '03
S M T
W
T
F
S
Mar 9, '03
S M T
W
T
F
S
Mar 16, '03
S M T
W
Get site permission
1 day
4
Get permits
1 day
5
Notify police
0.25 days
Se lf
6
Notify emergency squads
0.25 days
Se lf
7
Remind police
0.05 days
8
Remind emergency squad
0.05 days
9
Write release form
0.25 days
Se lf
Se lf
10
Get insurance
1 day
11
Establish routes
22.25 days
S
Mar 23, '03
S M T
W
T
F
S
Mar 30, '03
S M T
W
S
Apr 6, '03
S M T
W
T
Se lf
Se lf
Identify possible routes
Get detailed maps
14
Drive routes
15
Mark maps
0.5 days
16
Check w ith city and county
0.5 days
17
Finalize routes
0.5 days
Se lf
18
Set rest stop locations
0.25 days
Se lf
19
Copy maps
20
Highlight maps
21
Mark routes
22
Create database s
3 days
Se lf
1 day
Se lf
2 days
Se lf
Se lf
Se lf
0.5 days
Se lf
1 day
Voluntee rs
2 days
Voluntee rs
9.25 days
23
Build volunteer database
1 day
24
Build mailing list database
1 day
25
Build registration database
1 day
26
Build financial database
1 day
27
Create prom otional m ate rials
Se lf
Se lf
Se lf
Se lf
21.5 days
28
Get mailing lists
3 days
29
Create flyers
2 days
30
Copy flyers
31
Create posters
32
Copy posters
0.5 days
33
Take photographs
0.5 days
34
Write new spaper article
0.5 days
35
Create day-of-ride posters
Se lf
Se lf
0.5 days
3 days
Se lf
Se lf
Se lf
Se lf
Se lf
2 days
Voluntee rs
Create com m e m orative shirts 21.75 days
37
Choose logo and design
38
Finalize graphics art design
1 day
39
Contact and choose vendor
1 day
Se lf
40
Estimate number of shirts by size
0.25 days
Se lf
41
Order shirts
0.25 days
Se lf
42
Pick up shirts
0.25 days
43
Re giste r Ride rs
6.75 days
2 days
44
Create ride application
0.5 days
45
Copy ride application
0.5 days
46
Enter initial rider applications
0.5 days
Organize volunteer groups
Se lf
Se lf
Se lf
Se lf
Se lf
Se lf
22.5 days
48
Contact groups
1 day
49
Get names of people
1 day
50
Assign rest stops
0.25 days
51
Assign registration w orkers
0.25 days
52
Assign sag support
0.25 days
Se lf
53
Assign mechanical support
0.25 days
Se lf
54
Assign clean up crew s
0.25 days
56
F
Se lf
13
55
T
Se lf
12
47
F
26.5 days
3
36
T
Introduction to MIS
Advertise ride
Mail flyers
Se lf
Se lf
Se lf
Se lf
Se lf
1 day
0.5 days
Se lf
42
Se lf
41
Order shirts
0.25 days
42
Pick up shirts
0.25 days
43
Re giste r Ride rs
6.75 days
44
Create ride application
0.5 days
45
Copy ride application
0.5 days
46
Enter initial rider applications
0.5 days
47
Organize volunteer groups
Se lf
Se lf
Se lf
Se lf
Gantt Chart (continued)
Se lf
22.5 days
48
Contact groups
1 day
49
Get names of people
1 day
50
Assign rest stops
0.25 days
51
Assign registration w orkers
0.25 days
52
Assign sag support
0.25 days
Se lf
53
Assign mechanical support
0.25 days
Se lf
54
Assign clean up crew s
0.25 days
55
Advertise ride
56
Mail flyers
57
Distribute posters
58
59
60
61
Se lf
Se lf
Se lf
Se lf
Se lf
1 day
0.5 days
Se lf
1 day
Se lf
Notify new spapers
0.25 days
Se lf
Notify radio and television
0.25 days
Se lf
Plan re st stops
Get food and supplie s
15.25 days
10.75 days
62
Choose menu
0.25 days
Se lf
63
Estimate number of riders 0.25 days
Se lf
64
Get food per rider estimates0.25 days
65
Identify and choose vendors
1 day
66
Order food
1 day
67
Pick up non-perishables
1 day
Voluntee rs
68
Pick up perishables
0.5 days
Voluntee rs
69
Get medical supplies
0.5 days
Voluntee rs
70
Get equipm ent
Se lf
Se lf
Se lf
1 day
71
Find tables and chairs
1 day
Voluntee rs
72
Find, buy, or rent coolers
1 day
Voluntee rs
73
Get portable toilets
15.25 days
74
Estimate number of toilets required
0.25 days
and locations
75
Contact and choose vendor 0.5 days
Se lf
76
Order from vendor
Se lf
77
Verify delivery and placement
0.25 days
0.25 days
Se lf
Voluntee rs
78
Plan re gistration
0.5 days
79
Print rider lists
0.25 days
80
Get supplies (pens, tape, folders,0.5
cash
days
box)
Voluntee rs
81
Get cash for change
0.25 days
Se lf
0 days
4/6
82
Ride Day
83
Finis hing touches
84
Se nd Thank You notes
Se lf
0.5 days
0.25 days
85
Thank volunteer groups
0.25 days
Se lf
86
Thank police
0.1 days
Se lf
87
Thank emergency crew s
0.1 days
Se lf
88
Double-check clean up
0.25 days
Se lf
89
Check on removal of portable toilets
0.25 days
Se lf
90
Verify payment of all bills
0.5 days
Se lf
91
Write project notes
0.5 days
Se lf
Introduction to MIS
43
T
F
S
Mar 30, '03
S
M
T
W
T
F
S
Apr 6, '03
S
Resource Usage
M
1,600%
1,400%
You need to get some tasks done sooner,
or get more volunteers on the day before
the ride.
1,200%
1,000%
800%
600%
You need to start earlier, or get volunteers
to do more of the organizing tasks.
400%
200%
Peak Units: 100%
Self
100%
Overallocated:
300%
100%
100%
100%
300%
1,500%
Allocated:
Feb 23, '03
2/23
Mar 2, '03
3/2
Mar 9, '03
3/9
1,100%
1,100%
Mar 16, '03
3/16
Mar 23, '03
3/23
Mar 30, '03
3/30
Apr 6, '03
4/6
Apr 13, '03
4/13
1,600%
1,400%
1,200%
1,000%
800%
600%
400%
200%
Peak Units:
200%
Self
Introduction to MIS
Overallocated:
500%
200%
1,500%
Allocated:
44
SpringForwardCentury.mpp
Ride Day
Introduction to MIS
45