© prentice hall 2002 15.1 chapter 15 managing the is function

15.1

© Prentice Hall 2002

CHAPTER 15CHAPTER 15

Managing theManaging the

ISIS Function Function

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CHALLENGES OFCHALLENGES OF IS IS LEADERSHIPLEADERSHIP

• RAPID TECHNOLOGICAL RAPID TECHNOLOGICAL CHANGECHANGE

• GROWTH IN USER-GROWTH IN USER-MANAGEMENT MANAGEMENT UNDERSTANDINGUNDERSTANDING

• FREQUENT EXTERNAL SHOCKSFREQUENT EXTERNAL SHOCKS

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CRITICAL AREAS OF CRITICAL AREAS OF ITIT MANAGEMENT SYSTEMMANAGEMENT SYSTEM

• AGREED-UPON AGREED-UPON ISIS ROLE ROLE• LEADER HAS POSITION, SKILLS, LEADER HAS POSITION, SKILLS,

STYLE THAT FIT EXPECTATIONSSTYLE THAT FIT EXPECTATIONS• CLEARLY DEFINED, ACTIVE ROLE FOR CLEARLY DEFINED, ACTIVE ROLE FOR

USER-MANAGER: USER-MANAGER: ISIS/customer partnership/customer partnership

• RATIONALE FOR IS OUTSOURCING: RATIONALE FOR IS OUTSOURCING: Based on economic & strategic factorsBased on economic & strategic factors

• EQUITABLE FINANCING SYSTEMEQUITABLE FINANCING SYSTEM

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CRITICAL AREAS OF CRITICAL AREAS OF ITIT MANAGEMENT SYSTEMMANAGEMENT SYSTEM

• CONSISTENT DEVELOPMENT EFFORT: CONSISTENT DEVELOPMENT EFFORT: For For both both ISIS professionals & users professionals & users

• DEPLOYMENT OF GLOBAL INFORMATION DEPLOYMENT OF GLOBAL INFORMATION SYSTEMSSYSTEMS

• IS IS ORGANIZATION DESIGN SUPPORTS ORGANIZATION DESIGN SUPPORTS MISSIONMISSION

• REGULAR PERFORMANCE REGULAR PERFORMANCE MEASUREMENTMEASUREMENT

• ETHICAL USE OF ETHICAL USE OF ITIT RESOURCES RESOURCES

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SENIORSENIOR IT IT LEADERSHIPLEADERSHIP

CHIEF INFORMATION OFFICER CHIEF INFORMATION OFFICER (CIO)(CIO)

CHIEF TECHNICAL OFFICER CHIEF TECHNICAL OFFICER (CTO)(CTO)

ISSUES:ISSUES:• IMPROVE DATA & IMPROVE DATA & IT IT PLANNINGPLANNING• GAIN BUSINESS VALUE THROUGH GAIN BUSINESS VALUE THROUGH ITIT• FACILITATE ORGANIZATIONAL LEARNING: FACILITATE ORGANIZATIONAL LEARNING:

About & through About & through ITIT

• REFINE REFINE IS IS UNIT’S ROLE & POSITIONUNIT’S ROLE & POSITION

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SENIORSENIOR IT IT LEADERSHIPLEADERSHIP

ISSUES:ISSUES:• GUIDE END-USER DEVELOPMENTGUIDE END-USER DEVELOPMENT• MANAGE DATA AS AN ASSETMANAGE DATA AS AN ASSET• MEASURE IS EFFECTIVENESSMEASURE IS EFFECTIVENESS• INTEGRATE INFORMATION INTEGRATE INFORMATION

TECHNOLOGYTECHNOLOGY• DEVELOP SYSTEMS PERSONNELDEVELOP SYSTEMS PERSONNEL

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CIOCIO PRIORITIES PRIORITIES

• E-BUSINESSE-BUSINESS• PEOPLE/STAFFINGPEOPLE/STAFFING• ENTERPRISE RESOURCE PLANNINGENTERPRISE RESOURCE PLANNING• INFRASTRUCTUREINFRASTRUCTURE• CUSTOMER RELATIONSHIP MANAGEMENTCUSTOMER RELATIONSHIP MANAGEMENT• APPLICATION INTEGRATIONAPPLICATION INTEGRATION• MERGERS & ACQUISITIONMERGERS & ACQUISITION• SECURITYSECURITY• OUTSOURCINGOUTSOURCING

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OUTSOURCINGOUTSOURCING

HIRE OUTSIDE PROFESSIONAL HIRE OUTSIDE PROFESSIONAL ISIS SERVICES TO RUN PART OFSERVICES TO RUN PART OF IS IS OPERATIONS: OPERATIONS: Base on economic valueBase on economic value

KEY FACTORS:KEY FACTORS:

• VENDOR REPUTATIONVENDOR REPUTATION• QUALITY OR SERVICEQUALITY OR SERVICE• FLEXIBLE PRICINGFLEXIBLE PRICING

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MANAGING MANAGING ITIT COSTS COSTS

• TOTAL TOTAL ITIT BUDGET AS % OF TOTAL BUDGET AS % OF TOTAL ORGANIZATIONAL REVENUESORGANIZATIONAL REVENUES

• TOTALTOTAL IT IT BUDGET AS % OF TOTAL BUDGET AS % OF TOTAL ORGANIZATIONAL BUDGETORGANIZATIONAL BUDGET

• ISIS PERSONNEL COSTS AS % OF TOTAL PERSONNEL COSTS AS % OF TOTAL ORGANIZATIONAL PROFESSIONAL ORGANIZATIONAL PROFESSIONAL SALARIES & WAGESSALARIES & WAGES

• RATIO OF HARDWARE & SOFTWARE RATIO OF HARDWARE & SOFTWARE COSTS TO COSTS TO IS IS PERSONNEL COSTSPERSONNEL COSTS

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MANAGING MANAGING ITIT COSTS COSTS

• ITIT HARDWARE & SOFTWARE COSTS PER HARDWARE & SOFTWARE COSTS PER MANAGER/KNOWLEDGE WORKERMANAGER/KNOWLEDGE WORKER

ADDITIONAL FACTORS:ADDITIONAL FACTORS:• HIDDEN HIDDEN ITIT COSTS: COSTS: Elements appear in other Elements appear in other

budgets or expense categoriesbudgets or expense categories

• RELATIONSHIP OF COSTS TO BENEFITS RELATIONSHIP OF COSTS TO BENEFITS OFTEN DIFFICULT TO DETERMINEOFTEN DIFFICULT TO DETERMINE

• BENEFITS OCCUR AFTER DEVELOPMENT BENEFITS OCCUR AFTER DEVELOPMENT COSTS OCCURCOSTS OCCUR

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SOME SOME ISIS POSITIONS POSITIONS

• CIOCIO: : Senior executive responsible for Senior executive responsible for leadership of leadership of ITIT efforts efforts

• ISIS DIRECTOR: DIRECTOR: Responsible for day-to-day Responsible for day-to-day ISIS operations in entire organizationoperations in entire organization

• ISIS EXECUTIVE: EXECUTIVE: Responsible for day-to-Responsible for day-to-day day ISIS operations in one divisionoperations in one division

• INFORMATION CENTER MANAGER: INFORMATION CENTER MANAGER: Oversees computer operations, hot line, Oversees computer operations, hot line, help desk, traininghelp desk, training

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• SYSTEMS DEVELOPMENT MANAGER: SYSTEMS DEVELOPMENT MANAGER: Coordinates new projects, allocates systems Coordinates new projects, allocates systems analysts & projectanalysts & project managers, schedules workmanagers, schedules work

• SYSTEMS MAINTENANCE MANAGER: SYSTEMS MAINTENANCE MANAGER: Coordinates maintenance projects, allocates Coordinates maintenance projects, allocates people, schedules workpeople, schedules work

• ISIS PLANNING MANAGER: PLANNING MANAGER: Analyzes Analyzes business, develops architecture to support business, develops architecture to support future needs, forecasts technology trendsfuture needs, forecasts technology trends

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SOME SOME ISIS POSITIONS POSITIONS• DATA CENTER MANAGER: DATA CENTER MANAGER: Supervises day-to-Supervises day-to-

day operations of data center, data entry, staff, day operations of data center, data entry, staff, schedules computer jobs, downtime, plans schedules computer jobs, downtime, plans system capacitysystem capacity

• PROGRAMMING MANAGER: PROGRAMMING MANAGER: Coordinates Coordinates application programming, organizes staff for application programming, organizes staff for teams, acquires tools to improve productivityteams, acquires tools to improve productivity

• MANAGER OF WEB-BASED MANAGER OF WEB-BASED TECHNOLOGIES: TECHNOLOGIES: Supervises Internet/Intranet Supervises Internet/Intranet technologies, consults with users to keep site technologies, consults with users to keep site currentcurrent

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• COMMUNICATIONS MANAGER: COMMUNICATIONS MANAGER: Plans, Plans, designs, coordinates data & voice networksdesigns, coordinates data & voice networks

• SYSTEMS PROGRAMMING MANAGER: SYSTEMS PROGRAMMING MANAGER: Responsible for systems software, including Responsible for systems software, including updates & request changesupdates & request changes

• DATABASE ADMINISTRATOR: DATABASE ADMINISTRATOR: Plans Plans databases, coordinates use of datadatabases, coordinates use of data

• PROJECT MANAGER: PROJECT MANAGER: Supervises analysts Supervises analysts & programmers in an & programmers in an ITIT project project

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• QUALITY ASSURANCE MANAGER: QUALITY ASSURANCE MANAGER: Coordinates activities to set standards, Coordinates activities to set standards, checks compliance with standards, checks compliance with standards, improves quality & accuracyimproves quality & accuracy

• COMPUTER SECURITY MANAGER: COMPUTER SECURITY MANAGER: Develops procedures & policies, installs Develops procedures & policies, installs & monitors software to ensure data & monitors software to ensure data safety and authorized usesafety and authorized use

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TEN COMMANDMENTS OF TEN COMMANDMENTS OF COMPUTER ETHICSCOMPUTER ETHICS

THOU SHALT:THOU SHALT:

1. 1. NOT USE A COMPUTER TO HARM OTHER NOT USE A COMPUTER TO HARM OTHER PEOPLEPEOPLE

2. 2. NOT INTERFERE WITH OTHER PEOPLE’S NOT INTERFERE WITH OTHER PEOPLE’S COMPUTER WORKCOMPUTER WORK

3. 3. NOT SNOOP AROUND ANOTHER’S FILESNOT SNOOP AROUND ANOTHER’S FILES

4. 4. NOT USE A COMPUTER TO STEALNOT USE A COMPUTER TO STEAL

5. 5. NOT USE A COMPUTER TO BEAR FALSE NOT USE A COMPUTER TO BEAR FALSE WITNESSWITNESS

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TEN COMMANDMENTS OF TEN COMMANDMENTS OF COMPUTER ETHICSCOMPUTER ETHICS

THOU SHALT:THOU SHALT:

6. 6. NOT COPY PROPRIETARY SOFTWARE FOR NOT COPY PROPRIETARY SOFTWARE FOR WHICH YOU HAVE NO AUTHORITYWHICH YOU HAVE NO AUTHORITY

7. 7. NOT USE ANOTHER’S COMPUTER RESOURCES NOT USE ANOTHER’S COMPUTER RESOURCES WITHOUT AUTHORITY OR PAYMENTWITHOUT AUTHORITY OR PAYMENT

8. 8. NOT APPROPRIATE ANOTHER’S NOT APPROPRIATE ANOTHER’S INTELLECTUAL OUTPUTINTELLECTUAL OUTPUT

9. 9. THINK ABOUT SOCIAL CONSEQUENCES OF THINK ABOUT SOCIAL CONSEQUENCES OF YOUR COMPUTER WORKYOUR COMPUTER WORK

10. ALWAYS USE A COMPUTER INSURING 10. ALWAYS USE A COMPUTER INSURING CONSIDERATION & RESPECT FOR OTHERSCONSIDERATION & RESPECT FOR OTHERS

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USER SATISFACTION USER SATISFACTION CRITERIA FOR CRITERIA FOR IS IS UNITSUNITS

• QUALITY OF SYSTEM SPECIFICATION QUALITY OF SYSTEM SPECIFICATION DOCUMENTSDOCUMENTS

• SIZE OF REQUEST BACKLOG OR SIZE OF REQUEST BACKLOG OR WORKLOADWORKLOAD

• PROJECTS COMPLETED ON TIME, PROJECTS COMPLETED ON TIME, WITHIN BUDGETWITHIN BUDGET

• SPEED AT WHICH REQUESTED WORK SPEED AT WHICH REQUESTED WORK IS DONEIS DONE

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USER SATISFACTION USER SATISFACTION CRITERIA FOR CRITERIA FOR IS IS UNITSUNITS

• PROFESSIONALISM OF PROFESSIONALISM OF ISIS STAFF STAFF• NATURE OF RELATIONSHIP WITH NATURE OF RELATIONSHIP WITH ISIS

STAFFSTAFF• BUSINESS KNOWLEDGE OF BUSINESS KNOWLEDGE OF ISIS STAFF STAFF• QUALITY OF USER TRAININGQUALITY OF USER TRAINING• USER FEELING OF INVOLVEMENT IN USER FEELING OF INVOLVEMENT IN

SYSTEMS MANAGEMENTSYSTEMS MANAGEMENT

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REASONS FOR GLOBAL SYSTEMSREASONS FOR GLOBAL SYSTEMS

1. 1. GLOBAL CUSTOMER REQUIREMENTSGLOBAL CUSTOMER REQUIREMENTS

2. 2. GLOBAL PRODUCTSGLOBAL PRODUCTS

3. 3. RATIONALIZING OPERATIONSRATIONALIZING OPERATIONS

4. 4. FLEXIBLE OPERATIONSFLEXIBLE OPERATIONS

5. 5. JOINT RESOURCESJOINT RESOURCES

6. 6. DUPLICATE FACILITIESDUPLICATE FACILITIES

7. 7. SCARCE RESOURCESSCARCE RESOURCES

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REASONS FOR GLOBAL SYSTEMSREASONS FOR GLOBAL SYSTEMS

8. 8. RISK REDUCTION RISK REDUCTION

9. 9. LEGAL REQUIREMENTSLEGAL REQUIREMENTS

10.10. ECONOMIES OF SCALEECONOMIES OF SCALE

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PLANNING FOR GLOBAL SYSTEMSPLANNING FOR GLOBAL SYSTEMS

1. 1. CREATE STRATEGIC ALLIANCESCREATE STRATEGIC ALLIANCES

2. 2. DEVELOP INTERNATIONAL SYSTEMS SKILLSDEVELOP INTERNATIONAL SYSTEMS SKILLS

3. 3. BUILD ANTICIPATED INFRASTRUCTUREBUILD ANTICIPATED INFRASTRUCTURE

4. 4. TEAR DOWN “NATIONAL” MODELTEAR DOWN “NATIONAL” MODEL

5. 5. CAPTURE RESIDUAL VALUECAPTURE RESIDUAL VALUE

6. 6. EXPLOIT LIBERALISM IN INTERNATIONAL EXPLOIT LIBERALISM IN INTERNATIONAL TELECOMMUNICATIONSTELECOMMUNICATIONS

7. 7. HOMOGENIZE DATA STRUCTURESHOMOGENIZE DATA STRUCTURES

8. 8. GLOBALIZE HUMAN RESOURCESGLOBALIZE HUMAN RESOURCES

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CHAPTER 15CHAPTER 15

Managing theManaging the

ISIS Function Function

© prentice hall 2002 15.1 chapter 15 managing the is function

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