Information Systems for Managers - PowerPoint Presentation

Slide1

InformationSystemsforManagersSlide2

Understand and be able to clearly articulate what the Internet is, its principal characteristics, and the principal services it makes available to users.Broaden your definition of the Internet from a network of computer networks to an information grid connecting a staggering range of devices, both wired and wireless.

Be able to compare and contrast

electronic commerce

and

electronic business

, and provide examples of each. Identify and understand the enablers of electronic commerce trends.

Categorize electronic commerce phenomena on a number of different dimensions, including the type of transactions taking place and the structure of the organizations involved.

Understand and apply the concept of

business model

, and explain why the Internet has led to so much business model experimentation. Identify the principal

revenue models

employed in electronic commerce and explain the dominant business model in use today.

Understand and evaluate the principal implications of electronic commerce for both established firms and new entrants.

Be able to evaluate the

Web 2.0

phenomenon and be able to discuss both its technological and organizational manifestations.

Discuss some of the more relevant future electronic commerce and electronic business trends.Slide3

A « textbook » for better learningIntroduction

Ch. 1 : Information

Systems

and the

Role

of General and

Functionnal

Managers

Ch. 2 : Information

Systems

Defined

Ch.

3 :

Organizational

Information

Systems

and

Their

Impact

Ch. 4 : The

Changing

Competitive

Environment

Ch. 5 :

Electronic

Commerce: New

Ways

of

Doing

Business

Ch.

6 :

Strategic Information

Systems

Planning

Ch. 7 : Value

Creation

& Strategic Information

Systems

Ch. 8 : Value

Creation

with

Information

Systems

Ch.

9 :

Appropriating

IT-

Enabled

value Over Time

Ch. 10

:

Funding

&

Governance

of Information

Systems

Ch. 11

:

Creating

Information

Systems

Ch. 12

:

Information

Systems

Trends

Ch. 13

:

Security,

Privacy

&

EthicsSlide4

IntroductionNOT involved in the strategic planning and management of information systems in your firm IntroductionSlide5

The Changing FaceMost successful organizations are those that are able to establish a productive partnership between IT executives and their functional counterpartsThe changing face of who the CIO reports toIntroductionSlide6

Strategic AlignmentA high degree of fit and consonance between the priorities and activities of the IS function and the strategic direction of the firmCareful planning is critical for strategic alignments, especially for firms in highly competitive environmentsIntroductionSlide7

Creating Value with ITIntroductionSlide8

Six Key IS Decisions How much should we spend on IT?This question is designed to force senior executives to discuss and decide on what the role of information systems and technology should be in the organization.

Which business processes should receive the IT dollars?

This question requires executives to decide what business processes are most important to the firm at a given point.

Which IT capabilities need to be companywide?

This question requires executives to weigh the cost/benefits of standardization and flexibility.

How good do our IT services really need to be?

This question forces executives to make conscious decisions about the degree of service the firm needs and that they are willing to pay for.

What security and privacy risks will we accept?

This question forces executives to make conscious decisions about privacy and security risk management.

Whom do we blame if an IT initiative fails?

This question forces executives to clearly identify and assign responsibility for information systems projects.

IntroductionSlide9

Six Key IS Decisions & Their ActionsHow much should we spend on IT?Define the role of IS and technology should beWhich business processes should receive the IT dollars? Define which business processes are most importantWhich IT capabilities need to be companywide? Focus on the cost/benefits of standardization and flexibility How good do our IT services really need to be?Decide on the degree of service the firm needs and are willing to pay for What security and privacy risks will we accept? Decide on which risk are

willing

to accept, based upon the controls we have in place

Whom do we blame if an IT initiative fails?

Allocate resources and assign responsibility for IS projects

PurposeSlide10

Strategic IS Planning A partnership between Those with technical skillsThe information systems groupGeneral and functional managersObjective:Define how the firm plans to use and manage IS resources to fulfill its strategic objectivesPlanningSlide11

Advantages of IS Planning ProcessPlans enable communicationTo enable and support intra-organizational communicationTo create a shared mental image of team members’ rolePlans enable unity of purposeTo specify the objective of IS deployment Clear responsibilities are agreed upon Plans simplify decision making over timeTo create a context for decision makingPlanningSlide12

Strategic IS Planning ProcessGathering information about the current availability and performance of IS resourcesProviding a roadmap for decision-making about information systems PlanningSlide13

Strategic IS Planning ProcessStrategic business planningIS assessment IS vision IS Guidelines Strategic InitiativesAn Iterative Process PlanningSlide14

Strategic Business Planning Know Who You AreAn organization's mission and future direction, performance targets, and strategy.Effective IS planning can only occur when there is a clear understanding of the firm:What makes it successfulThe business strategyIts future goals and objectives PlanningSlide15

Information Systems Assessment Know Where You Start The process of Taking stock of the firm’s current IS resources Evaluating how well they are fulfilling the needs of the organizationIS resources IT resourcesTechnical resources: hardware, software and networking components of the IT infrastructure Data and information resources: databases and other information repositories Human resources: skills, attitudes, preconceptions, reporting structures and incentive systems of IS professionals and the user communityOutput: a snapshot of the current “state of IS resources” in the organization

PlanningSlide16

Information Systems Vision Know Where You Want To Go Based on the role that information systems should play in the organization Defines the ideal state the firm should strive for, in its use and management of its resourcesMore IT-intensive firms: IS may play a strategic role Less IT-intensive firms: IS may be a “necessary evil”PlanningSlide17

Information Systems VisionThe Information Systems Vision The Firm’s Business Strategy The IS vision is unique and highly specific to a given firmTwo analytical toolsCritical Success Factors (CSF) methodology Strategic impact grid aligned and reflect

PlanningSlide18

Critical Success FactorsThe limited number of areas which managers must effectively control to ensure that the firm will survive and thriveIt ensures that the planning team is able to prioritizeIt focuses on business objectives, not on information systemsPlanningSlide19

The Strategic Impact GridIt enables simultaneous evaluation of the firm’s current and future information systems needsPlanningSlide20

The Strategic Impact GridCurrent need for reliable information systemsFocuses on current day-to-day operations and the functionalities of the existing systemsFuture needs for new information system functionalitiesFocuses on the strategic role that new IT capabilities play for the organizationThe strategic impact grid defines what the use of information systems resources should be going forwardPlanningSlide21

Factors Affecting Grid Selection If there is the risk of a tangible loss of business if one or more systems fail for a minute or more?Are there are serious negative consequences associated with even small degrading response time of one or more systems?What core business activities are online and require real-time or near-real-time information processing?Can the firm handle

repeated

service interruptions of up to twelve

hours without affecting the

viability of the

business?

Can the firm quickly

revert to manual operations for the majority of transaction types when systems failure

occurs?

PlanningSlide22

Factors Affecting Grid Selection Will new systems and new functionalities of existing systems promise major process and service improvements?Will new systems or new functionalities of existing systems promise major cost reductions and efficiency improvements?Will new systems or new functionalities of existing systems promise to close (or create!) major gaps in service, cost, or process performance with competitors?Can the firms survive without major

new

systems?

PlanningSlide23

Support Quadrant IS are not mission critical for current operationsNew systems promise little strategic differentiationThe firm:Views IS as a tool to support and enable operationsConsiders IS to offer little potential to significantly benefit the organizationIs generally conservative in IS investments PlanningSlide24

Factory Quadrant Even a small disruptions to IS infrastructure can endanger the firm’s well-being and future viability.A limited potential for new systems and functionalities to make a substantial contributionThe firm:Closely monitors its current systemsNeeds to be willing to fund their maintenance and upgrade. But takes a conservative stance toward future investments.PlanningSlide25

Turnaround Quadrant IS are not mission critical for current operations New IS or new functionalities of existing systems will be critical for the business’ future viability and successThe firm:Is readying to change its information systems postureNeeds to engage in some reorganization PlanningSlide26

Strategic Quadrant IS are critical to the firm’s current operationsNew IS or new functionalities of existing systems is critical for the future viability and prosperity of the businessThe firm:should be extremely proactive with respect to information systems and IT investmentsPlanningSlide27

Information Systems Guidelines Know How You Are Going To Get There Information systems architectureA set of statements specifying how the firm should use its technical and organizational IS resources to achieve the IS visionPurposesEnable communicationEstablish responsibilityGuide future decision makingPlanningSlide28

Purposes of IS GuidelinesCommunicationTo simplify tactical and operational decision-makingTo ensure that future decisions are aligned with the information systems visionIdentify responsibilitiesTo set expectations for behavior Long range decision supportMust be general enough to provide direction over a number of yearsMust be actionable PlanningSlide29

Technical IS GuidelinesAddress future decisions pertaining to The hardware and software infrastructureNetworking servicesThe storage and protection of organizational data and informationDo not specify vendor, particular platforms or applicationsThey are relatively generalPlanningSlide30

Organizational IS GuidelinesAddress those decisions that pertain toHuman resourcesThe organization of the IS functionReporting and hierarchical structuresFocus on IT governance issueOutsourcing and vendors relationshipsHuman resource decisions PlanningSlide31

Information Systems SWOT Know How Well Equipped You Are To Get There SWOT analysis focused on the firm’s current IS resources and capabilitiesRemember IS planning is iterative The IS vision may need to be revised according to the result of the SWOT analysis.The firm should be clear about what to do during the current planning cycle afterHaving read the SWOT analysis Given the proposed vision and the guidelines PlanningSlide32

Proposed Strategic Initiatives From Planning To Action Long-term (three to five year) proposals that identify new systems and new projects or new directions for the IS organization.These initiatives need to Identify a set of future avenues for exploitation of the IS resourcesBe tightly aligned with the IS vision and the proposed role of IS in the organization PlanningSlide33

The RecapStrategic information systems planning is the process by which the firm, by way of the planning team, develops a shared understanding of the role of information systems resources use in the organizationGeneral and functional managers play a crucial role on the planning team, despite the fact that they typically lack technical knowledgeTheir role is to help identify the firm’s strategy, and, in light of that business strategy, to help decide how information systems resources should be used to achieve itGeneral and functional managers should also take the lead in answering questions, such as how much money should be spent on IT, to what business processes these funds should be directed, what IT capabilities should pervade the organization, what levels of IT service should be

ConclusionsSlide34

The RecapAs critical members of the planning team, general and functional managers will help in crafting the firm’s information systems vision and guidelinesThe information systems vision provides an articulation of the ideal state of information systems resource use, while the guidelines offer a context for decision makingWith the basic planning mechanisms in place, the firm moves to action and identifies strategic initiatives to be implemented in order to achieve the stated information systems visionThese strategic initiatives often stem from what the organization believes are available opportunities, as well as weaknesses that must be

managed

ConclusionsSlide35

What We LearnedWhy general and functional managers must be involved in information systems planning decisions despite their lack of technical expertise.The purpose that strategic information systems planning serves in modern organizations.What the key components of the strategic information systems planning process are, including information systems assessment, information systems vision, and information systems guidelines.How to perform an information systems assessment.How to decide what role information systems resources should play in your firm using available analytical tools to develop an information systems vision.What role information systems guidelines play in the planning process, and how to develop them upon having established an information systems vision.

How to evaluate how well positioned your organization is to achieve its information vision following the guidelines, and to develop consistent strategic initiatives.

Conclusions