Chapter 18 Information Resources Information Systems MANAGEMENT INFORMATION SYSTEMS 8/E Raymond...
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Transcript of Chapter 18 Information Resources Information Systems MANAGEMENT INFORMATION SYSTEMS 8/E Raymond...
Chapter 18Information ResourcesInformation Resources
Information SystemsInformation Systems
MANAGEMENT INFORMATION SYSTEMS 8/ERaymond McLeod, Jr. and George Schell
Copyright 2001 Prentice-Hall, Inc.18-1
Information Resources Information Resources Include:Include:
Specialists Specialists – Systems analysts, programmers, database Systems analysts, programmers, database
administrators, network specialists, operations administrators, network specialists, operations personnel, and otherspersonnel, and others
Hardware Hardware SoftwareSoftware UsersUsers DataData InformationInformation
Represents a largeorganizationalinvestment!
18-2
Information SpecialistsInformation Specialists
Most located in the information services Most located in the information services unitunit
There is a trend to locate specialists There is a trend to locate specialists throughout the firmthroughout the firm
Actual organization chart depends on the Actual organization chart depends on the needs of the firmneeds of the firm
18-3
A Functional Organization StructureA Functional Organization Structurefor Information Servicesfor Information Services
Networkmanager
Managerof computeroperations
Managerof systems
maintenance
Managerof systems
administration
CIO
Managerof systems
development
Systemsanalyst
Systemsanalyst
Operationspersonnel
Databaseadministrators
Networkspecialists
Programmers Programmers
18-4
Information ResourcesInformation Resources
Most are located in information servicesMost are located in information services Most that are centrally located are CIO’s Most that are centrally located are CIO’s
responsibilityresponsibility Those located in functional areas are the Those located in functional areas are the
responsibility of the area managerresponsibility of the area manager
18-5
Model of an IRISModel of an IRIS Input subsystemsInput subsystems
– AISAIS
– Information resources researchInformation resources research
– Information resources intelligenceInformation resources intelligence Output subsystemsOutput subsystems
– HardwareHardware
– SoftwareSoftware
– Human resourcesHuman resources
– Data and InformationData and Information
– Integrated resourceIntegrated resource
18-6
A Model of an Information ResourcesA Model of an Information ResourcesInformation SystemInformation System
Dat
abas
e
Accountinginformation
system
Informationresourcesresearch
subsystem
Informationresources
intelligencesubsystem
Hardwaresubsystem
Softwaresubsystem
Human resourcessubsystem
Data andinformationsubsystem
Integratedresource
subsystem
Inte
rnal
so
urce
s
Env
iron
men
tal s
ourc
es Users
18-7
Information Resources Information Resources Research SubsystemResearch Subsystem
Describes functions involved in special Describes functions involved in special research projects within the firmresearch projects within the firm
Performed by systems analysts interacting Performed by systems analysts interacting with userswith users
18-8
Information Resources Information Resources Intelligence SubsystemIntelligence Subsystem
Describes functions involved in gathering Describes functions involved in gathering information from elements in the firm’s information from elements in the firm’s environmentenvironment– GovernmentGovernment
– SuppliersSuppliers
– Labor unionsLabor unions
– Global communityGlobal community
– CustomersCustomers
– CompetitorsCompetitors
18-9
CIO ResponsibilitiesCIO Responsibilities Can be top-level executive who participates on Can be top-level executive who participates on
executive and MIS steering committeeexecutive and MIS steering committee Contributes to strategic planning for firm and IS Contributes to strategic planning for firm and IS
functionsfunctions Primary source of leadership for:Primary source of leadership for:
– Achieving and maintaining information qualityAchieving and maintaining information quality
– Keeping information resources secureKeeping information resources secure
– Planning for contingenciesPlanning for contingencies
– Keeping information costs under controlKeeping information costs under control
18-10
Achieving Quality Products Achieving Quality Products and Servicesand Services
1) Identify IS customers1) Identify IS customers– MIS steering committeeMIS steering committee– Use of a formal system works bestUse of a formal system works best
2) Define customer quality needs2) Define customer quality needs– Product quality needsProduct quality needs– Service quality needsService quality needs
18-11
IS Takes Six Basic Steps inIS Takes Six Basic Steps inAchieving Quality ManagementAchieving Quality Management
11
22
33
44
55
66
Identify IS customers
Define customer quality needs
Establish quality metrics
Define quality strategy
Implement IS quality programs
Monitor IS quality performance
18-12
Comparison of How IS and Middle-LevelComparison of How IS and Middle-LevelManager-Users Perceive Product QualityManager-Users Perceive Product Quality
Accurate 4.91 4.88 4.89Trusts output 4.90 4.86 4.87Works as specified 4.75 4.73 4.73User friendly 4.50 4.75 4.68Relevant 4.59 4.53 4.53Fast response time 4.12 4.55 4.42Meets all user needs 4.22 4.48 4.41No downtime 3.96 4.25 4.16Delivered on time 3.80 4.16 4.05Has user documentation 4.21 3.93 4.01Can be changed quickly 3.84 4.04 3.98Delivered on budget 3.45 3.67 3.61Low cost of operation 3.19 3.49 3.40Has programmer documentation 3.74 3.23 3.39Uses new technology 3.04 3.28 3.21
Dimension IS User AggregatePerceived Value
18-13
Achieving Quality Products Achieving Quality Products
and Services [cont.]and Services [cont.]3) Establish quality metrics3) Establish quality metrics
– Information Information productproduct quality quality– Information Information serviceservice quality quality
4) Define the IS quality strategy4) Define the IS quality strategy– Recruiting and trainingRecruiting and training– User-oriented systems development User-oriented systems development
» Market analysisMarket analysis» Product acceptance analysisProduct acceptance analysis» Task analysisTask analysis» Prototype testsPrototype tests» Operational Systems testsOperational Systems tests
18-14
See Table 18.2
Basic Competencies ExpectedBasic Competencies Expectedof IS Job Applicantsof IS Job Applicants
1. Concern for effectiveness 2. Initiative 3. Enthusiasm for work 4. Self-confidence 5. Concern with impact 6. Interpersonal astuteness 7. Conceptual thinking 8. Analytical thinking 9. Effective communication10. Flexibility
18-15
Special Attention to Human FactorsSpecial Attention to Human FactorsEnsures That Users’ Needs are Ensures That Users’ Needs are
IncorporatedIncorporatedinto Systems Designsinto Systems Designs1.
Planningphase
2.Analysis phase
3.Designphase
4.Implementation
phase
5.Use phase
Conduct amarket analysis
Conduct a productacceptance analysis
Conduct atask analysis
Conductprototype tests
Conductoperational
system tests
18-16
Achieving Quality Products Achieving Quality Products
and Services [cont.]and Services [cont.]
5) Implement IS quality programs5) Implement IS quality programs– Implementation varies with firmImplementation varies with firm
6) Monitor IS quality6) Monitor IS quality– Performance of IS specialists and the unitPerformance of IS specialists and the unit
18-17
Security ObjectivesSecurity Objectives
ConfidentialityConfidentiality AvailabilityAvailability IntegrityIntegrity
Current attention is focused on malicious software such as
computer viruses.
18-18
IntegrityIntegrityAvailabilityAvailability
InformationInformationUnauthorizedUnauthorized useuse
UnauthorizedUnauthorizeddisclosure disclosure and theftand theft
UnauthorizedUnauthorizeddestruction and destruction and denial of servicedenial of service
UnauthorizedUnauthorizedmodificationmodification
SecuritySecurity
ConfidentialityConfidentiality
Unauthorized Acts Threaten System Security Unauthorized Acts Threaten System Security ObjectivesObjectives
18-19
Identification
Authentication
Authorization
UserProfiles
Accesscontrol
files
DatabaseSoftwarelibrary
Auditlog
Reportwriter
Securityreports
Users
Access Control Functions18-20
Access ControlAccess Control Identification Identification
– What you know (password) or What you know (password) or – Where you are (terminal location)Where you are (terminal location)
Authentication Authentication – What you have (badge)What you have (badge)
Authorization Authorization – Level of useLevel of use
High-grade threats are from sophisticated computer criminals 18-21
Contingency PlanningContingency Planning
Emergency planEmergency plan Backup planBackup plan
– RedundancyRedundancy– DiversityDiversity– MobilityMobility
» Reciprocal agreementReciprocal agreement» Hot siteHot site» Cold siteCold site» Empty shellEmpty shell
18-22
Vital Records PlanVital Records Plan Electronic vaultingElectronic vaulting
– Day end backup of files electronicallyDay end backup of files electronically Remote journalingRemote journaling
– Transmission of transaction data as the transactions Transmission of transaction data as the transactions occuroccur
– Used to update remote database in batch form laterUsed to update remote database in batch form later Database shadowingDatabase shadowing
– Involves updating of duplicate database at remote site Involves updating of duplicate database at remote site as transaction occuras transaction occur
18-23
Cost-Reduction StrategiesCost-Reduction Strategies
ConsolidationConsolidation– Reduces number of separate locations for Reduces number of separate locations for
information resourcesinformation resources– Easiest to achieve in terms of information Easiest to achieve in terms of information
resourcesresources– More difficult by end-user computing needsMore difficult by end-user computing needs
18-24
Cost-Reduction Strategies Cost-Reduction Strategies [cont.][cont.]
DownsizingDownsizing– Migrating to smaller platformsMigrating to smaller platforms– Advantage of cost reductionAdvantage of cost reduction– Advantage of increased productivity with PCs Advantage of increased productivity with PCs
located in user areaslocated in user areas– Risk of lost securityRisk of lost security
18-25
Cost-Reduction Strategies Cost-Reduction Strategies [cont.][cont.]
OutsourcingOutsourcing– Data entry and simple processing (editing, Data entry and simple processing (editing,
formatting)formatting)– Contract programmingContract programming– Facilities management (FM)Facilities management (FM)– Systems integration (SI)Systems integration (SI)– Support for maintenance, service, or disaster Support for maintenance, service, or disaster
recoveryrecovery
18-26
Objectives of OutsourcingObjectives of Outsourcing
Manage costs betterManage costs better ReduceReduce ContainContain PredictPredict Obtain relief from systems maintenance so as Obtain relief from systems maintenance so as
to concentrate on new system developmentto concentrate on new system development Acquire needed expertiseAcquire needed expertise
18-27
Information Management Information Management in Three Pacific Rim in Three Pacific Rim
CountriesCountries Countries were U.S., Korea, and MexicoCountries were U.S., Korea, and Mexico Centralization versus decentralizationCentralization versus decentralization
– Most firms were centralizedMost firms were centralized CIO participation in strategic business CIO participation in strategic business
planningplanning– CIO has a long way to go before achieving CIO has a long way to go before achieving
status as a top-level executivestatus as a top-level executive
18-28
Information Management Information Management in Three Pacific in Three Pacific
Rim Countries [cont.]Rim Countries [cont.] Information systems planningInformation systems planning
– Most firms have IS planMost firms have IS plan– CIO is primarily responsibleCIO is primarily responsible
Sharing information resources with usersSharing information resources with users– In general, CIOs support end-user computing In general, CIOs support end-user computing
trendstrends
18-29
Proactive CIO StrategyProactive CIO Strategy
1) CIO must emphasize quality management of 1) CIO must emphasize quality management of the IS resourcethe IS resource
2) Achieve strong user ties2) Achieve strong user ties
3) Strengthen executive ties3) Strengthen executive ties
4) Assemble an IS management team4) Assemble an IS management team
5) Assemble staff competent in leading-edge 5) Assemble staff competent in leading-edge technologies technologies andand methodologies methodologies
6) Build an IRIS6) Build an IRIS
18-30
The Future of the CIOThe Future of the CIO Business computing is moving from centralized to Business computing is moving from centralized to
decentralized computing in terms of:decentralized computing in terms of:– EquipmentEquipment
– DevelopmentDevelopment
– Decision makingDecision making
CIO RolesCIO Roles– Big brotherBig brother
– Helping handHelping hand
– WatchdogWatchdog
– NetworkerNetworker
18-31
Equipment
Big brotherA
B Helping hand
D Network
WatchdogC
DecentralizedCentralized
Decentralized
Dev
elop
men
t Decentralized
Decisi
on m
aking
Centralized
Donovan’s Four Stages of Decentralized Donovan’s Four Stages of Decentralized ComputingComputing
18-32
SummarySummary Information resources located in IS are the Information resources located in IS are the
responsibility of the CIOresponsibility of the CIO IRIS is used to manage information resources IRIS is used to manage information resources
within an organizationwithin an organization CIO must: CIO must:
– Promote quality information products and servicesPromote quality information products and services
– Ensure security of ISEnsure security of IS
– Prepare for disastersPrepare for disasters
18-33
Summary [cont.]Summary [cont.] IS cost cutting considerationsIS cost cutting considerations
– ConsolidationConsolidation– DownsizingDownsizing– OutsourcingOutsourcing
CIO can be proactiveCIO can be proactive
18-34