CHAPTER 10 MANAGING IT SYSTEMS Staying on Track

As the Business Environment Changes... Introduction Your IT systems will not take care of themselves - they must be managed. The MANAGEMENT OF AN IT SYSTEM means providing an environment of stability without stagnation( ) and change without chaos for information, information technology, and knowledge workers. 10-2

YOUR FOCUS IN THIS CHAPTER l Managing Information l Managing Information Technology l Managing Knowledge Workers Introduction10-3

MANAGING INFORMATION l ROLE - Raw Material and Capital l ACCESS - Content, Time, and Form l SECURITY - Protecting IT Systems l PRIVACY - Personal Information Managing Information10-4

INFORMATION AS RAW MATERIAL Managing Information10-5 l Raw materials are the components from which a product is made. l The CIO of UPS says that package without information has no value.

INFORMATION AS CAPITAL Managing Information10-6 l Capital is a type of asset you use to produce a product or service. l Capital can also be sold or leased to others.

ACCESS TO THE RIGHT INFORMATION Managing Information10-7 l Information must not only be the information that you want, it must also be accurate and consistent. l For example, a textbook with no price, the wrong price, or two different prices impedes the purchasing process.

ACCESS TO INFORMATION AT THE RIGHT TIME Managing Information10-8 l Information must be available when you need it. l For example, you need to know the answers to an exam while you e taking the exam, not a week later.

ACCESS TO INFORMATION IN THE RIGHT FORM Managing Information10-9 l Information must be presented in a way that is understandable and useful. l For example, if you can read Japanese, a textbook in Japanese will not help you much.

INFORMATION SECURITY Managing Information10-10 l Information can be lost or damaged by mistake or on purpose. l What does it cost to replace information? See page 393. means protecting information from loss and damage.

BACKUP Managing Information10-11 The simplest and easiest way to protect your information is to make backups on one or more of the following media... l Floppy disks l Removable hard disks l CD-ROMs l Tape

Store Backups in a... Managing Information10-12 l Safe l Different building l Televault

Guard Against Information Theft... Managing Information10-13 by using one or more of three levels of application security. l Log-in passwords at the operating system level l Utilities that restrict access l Application-level security

GUARD AGAINST DANGER FROM OUTSIDE Managing Information10-14 l A VIRUS is a program which someone develops with malicious intent to harm an IT system. How do you get a virus? See page 395. l An INTERNET LOOPHOLE is an entry point into a company internal IT system from its Internet site.

PRIVACY OF INFORMATION Managing Information10-15 deals with the protection of personal information about employees, clients, or other individuals. The Supreme Court has defined privacy as the right to be let alone.

Privacy Conflict Between Employer and Employee Refers to... Managing Information10-16 l What can employers find out? See page 396. the employee right to privacy versus the company need to have information on its employees.

Employers Need Information on Employees to... Managing Information10-17 l Hire the best possible employees l Protect themselves from liability l Satisfy legislative demands

Privacy Conflict Between Business and Customers Refers to... l What can businesses find out? See page 397. Managing Information10-18 the customer right to privacy versus the company need to know about the customer in order to provide the customer moment of value.

Businesses Need Information on Customers to... Managing Information10-19 l Identify potential customers and tailor goods and services to their preferences. l Provide perfect service to customers.

MANAGING INFORMATION TECHNOLOGY Managing IT10-20 l Control of IT Components l Ergonomics l Disaster Recovery

Control of IT Means... Managing IT10-21 l Striving for interoperability l Keeping track of costs

INTEROPERABILITY Managing IT10-22 l The phone system has interoperability - you can connect any modem or answering machine to any phone line. also called standardization, means that IT equipment and software components are compatible.

COST CONTROL Managing IT10-23 l Repair l Inventory of spare parts l Software updates l Hardware updates PCs are expensive to operate because of such considerations as...

ERGONOMICS Managing IT10-24 is the study of how to design and arrange your workplace so that you can achieve maximum productivity and reduce discomfort and adverse health effects.

REPETITIVE STRAIN INJURY (RSI) Managing IT10-25 l RSI is the leading cause of injury, productivity loss, and financial strain on small businesses. l How do you avoid RSI? See page 402. l How much does RSI cost business? See page 402. also referred to as cumulative( ) trauma( ) disorder( ) (CTD), is characterized by headache, neckache, eyestrain, wrist pain, fatigue( ), and stress caused by repetitive actions.

A DISASTER RECOVERY PLAN Managing IT10-26 l Customers l Facilities l Knowledge workers l Business information l Computer equipment l Communications infrastructure is a plan for anticipating and recovering from undesirable events that cause loss and damage to your IT system. This plan should include consideration of...

MANAGING KNOWLEDGE WORKERS Managing Knowledge Workers10-27 l Telecommuting l Cultural Diversity l Ethics How important are knowledge workers to your business? See page 406.

TELECOMMUTING Managing Knowledge Workers10-28 Telecommuters are employees who don come into work everyday in the traditional sense. Setting up a telecommuting program requires careful management. You must consider: Why What Who How Where

The HY?of Telecommuting Managing Knowledge Workers10-29 l Increased productivity l Reduced costs l Retention of employees Telecommuting should be introduced for business reasons, such as...

The HAT?of Telecommuting Managing Knowledge Workers10-30 The best kind of jobs for telecommuting are those for which output is relatively self-contained such as the work of accountants, insurance claims processors, software developers, or sales representatives.

The HO?of Telecommuting Managing Knowledge Workers10-31 l Can produce results independently l Are self-starters l Can manage time well l Can balance work and home life The best candidates for telecommuting are knowledge workers who...

The OW?of Telecommuting Managing Knowledge Workers10-32 l Trust on the part of the supervisor l Accountability on the part of the employee l Clear policies on what is expected l Explicit assignment of costs l IT resources for the telecommuters A successful telecommuting program requires...

The HERE?of Telecommuting Managing Knowledge Workers10-33 l HOTELING - knowledge workers reserve space in advance. l MOTELING - space is allocated on a first- come-first-served basis. Two arrangements of central office space are possible for telecommuters.

CULTURAL DIVERSITY Managing Knowledge Workers10-34 is the difference in behavior and attitude between people from different cultures. Why worry about cultural diversity? See page 412.

CULTURE SHOCK Managing Knowledge Workers10-35 is the disorientation and confusion that you experience when you e accustomed to one culture and suddenly find yourself in another, where signals, behavior, and beliefs are different. Have you ever felt culture shock? See page 414.

Three Stages of Adjustment to a New Culture Managing Knowledge Workers10-36 l Isn that neat - differences are interesting. l Isn that stupid - differences are irritating. l It different, but it fine - differences are no longer remarkable.

ETHICS Managing Knowledge Workers10-37 are the sets of principles or standards that help guide behavior, actions, and choices. How can information be misused? See pages

Kohlberg Model of Ethical Development Has 3 Levels of Motivation Managing Knowledge Workers10-38 l PREADOLESCENT - fear of punishment. l ADOLESCENT - peer pressure. l ADULT - doing the ight?thing.

TO SUMMARIZE l Having an effective IT system involves managing information, IT components, and knowledge workers. l Managing information means: –Understanding the role of information –Providing access to the right information at the right time in the right form –Protecting IT systems from loss and damage, both malicious and unintentional –Protecting personal information on clients, employees, and others

TO SUMMARIZE l Managing information technology means: –Ensuring interoperability of IT components –Arranging IT components for maximum knowledge- worker productivity –Anticipating and planning for disaster

TO SUMMARIZE l Employees are the most important resource in any company. l Managing knowledge workers includes recognizing and accommodating differences in employees by such means as –Having a telecommuting program to allow varying work schedules –Recognizing cultural diversity –Establishing and maintaining an ethical work environment