Managing and Using Information Systems: A Strategic Approach

Cover Page......Page 1
Title Page......Page 3
Copyright Page......Page 4
Contents......Page 10
Introduction......Page 15
The Case for Participating in Decisions about Information Systems......Page 16
A Business View......Page 17
Integrating Business with Technology......Page 18
What If A Manager Doesn’t Participate?......Page 19
Information Systems Must Support Organizational Systems......Page 20
How To Participate in Information Systems Decisions......Page 21
Organization of the Book......Page 22
Assumptions about Management......Page 23
Assumptions about Business......Page 24
Functional View......Page 25
Process View......Page 26
Information Hierarchy......Page 27
System Hierarchy......Page 29
Food for Thought: Economics of Information Versus Economics of Things......Page 30
Key Terms......Page 32
Case Study I-1: Terry Cannon, MBA......Page 33
Case Study I-2: Anyglobal Company Inc.......Page 35
CHAPTER 1 The Information Systems Strategy Triangle......Page 36
Brief Overview of Business Strategy Frameworks......Page 39
The Generic Strategies Framework......Page 41
Variants on the Differentiation Strategy......Page 43
Hypercompetition Framework......Page 44
Why Are Strategic Advantage Models Essential to Planning for Information Systems?......Page 47
Brief Overview of Organizational Strategies......Page 48
Brief Overview of Information Systems Strategy......Page 51
Food for Thought: The Halo Effect and Other Business Delusions......Page 52
Strategic Relationships......Page 54
Case Study 1-1: Roche’s New Scientific Method......Page 55
Case Study 1-2: Google......Page 57
CHAPTER 2 Strategic Use of Information Resources......Page 60
Evolution of Information Resources......Page 61
Information Resources as Strategic Tools......Page 62
How Can Information Resources Be Used Strategically?......Page 66
Using Information Resources to Influence Competitive Forces......Page 67
Using Information Resources to Alter the Value Chain......Page 71
Supply Chain Management......Page 74
Using the Resource-Based View to Attain and Sustain Competitive Advantage......Page 76
Co-opetition......Page 80
Risks......Page 82
Food for Thought: Co-creating IT and Business Strategy......Page 83
Discussion Questions......Page 85
Case Study 2-1: Lear Won’t Take A Backseat......Page 87
Case Study 2-2: Zipcar......Page 88
CHAPTER 3 Organizational Impacts of Information Systems Use......Page 90
Decision Rights......Page 91
Formal Reporting Relationships and Organization Structures......Page 93
Hierarchical Organization Structure......Page 94
Matrix Organization Structure......Page 96
Networked Organization Structure......Page 97
Informal Networks......Page 98
Information Technology and Management Control Systems......Page 99
Data Collection and Information Technology......Page 100
Performance Measurement, Evaluation, and Information Technology......Page 101
Incentives and Rewards and Information Technology......Page 102
Information Technology and Culture......Page 103
Food for Thought: Immediately Responsive Organizations......Page 106
Summary......Page 107
Case Study 3-1: US Air and America West Merger Case......Page 108
Case Study 3-2: The FBI......Page 110
CHAPTER 4 Information Technology and the Design of Work......Page 112
Work Design Framework......Page 115
How Information Technology Supports Communication and Collaboration......Page 116
IT to Facilitate Communication......Page 117
IT to Facilitate Collaboration......Page 120
New Ways to Do Traditional Work......Page 122
New Challenges in Managing People......Page 127
Telecommuting and Mobile Work......Page 129
Virtual Teams......Page 134
Gaining Acceptance for IT-Induced Change......Page 139
Food for Thought: Security With Remote Workers......Page 141
Summary......Page 143
Discussion Questions......Page 144
Case Study 4-1: Automated Waste Disposal, Inc.......Page 145
Case Study 4-2: Virtually There?......Page 146
CHAPTER 5 Information Technology and Changing Business Processes......Page 148
Silo Perspective Versus Business Process Perspective......Page 149
Functional (or Silo) Perspective......Page 150
Process Perspective......Page 151
Zara’s Cross-Functional Processes......Page 154
Radical Change......Page 155
The Process for Radical Redesign......Page 156
The Risk of Radical Redesign......Page 158
Shared Services......Page 159
Business Process Management (BPM) Systems......Page 160
Enterprise Systems......Page 161
Characteristics of Enterprise Systems......Page 163
Benefits and Disadvantages of Enterprise Systems......Page 164
Integrated Supply Chains......Page 166
When the System Drives the Change......Page 168
Food for Thought: Is ERP a Universal Solution?......Page 169
Summary......Page 171
Discussion Questions......Page 172
Case Study 5-1: Santa Cruz Bicycles......Page 173
Case Study 5-2: Boeing 787 Dreamliner......Page 174
CHAPTER 6 Architecture and Infrastructure......Page 176
From Vision to Implementation......Page 177
The Manager’s Role......Page 178
From Architecture to Infrastructure......Page 179
A Framework for the Translation......Page 181
Enterprise Architecture......Page 185
Understanding Existing Architecture......Page 188
Assessing Strategic Time Frame......Page 189
Assessing Technical Issues: Adaptability......Page 190
Assessing Technical Issues: Scalability......Page 191
Assessing Technical Issues: Security......Page 192
Assessing Financial Issues......Page 193
Differentiating between Architecture and Infrastructure......Page 194
Step 3: Apply Strategy-Architecture-Infrastructure Framework......Page 195
Step 4: Translate Architecture to Infrastructure......Page 196
Food for Thought: Cloud Computing......Page 197
Summary......Page 200
Discussion Questions......Page 201
Case Study 6-1: Hasbro......Page 202
Case Study 6-2: Johnson & Johnson’s Enterprise Architecture......Page 203
CHAPTER 7 Information Systems Sourcing......Page 204
Sourcing Decision Cycle Framework......Page 206
Outsourcing......Page 207
Outsourcing Drivers......Page 208
Outsourcing Challenges......Page 209
Avoiding Outsourcing Pitfalls......Page 211
Offshoring......Page 212
Selecting Offshoring Destinations......Page 213
Nearshoring......Page 218
Captive Centers......Page 219
Backsourcing......Page 220
Outsourcing Models......Page 221
Application Service Provider Model......Page 222
Full versus Selective Outsourcing Models......Page 223
Single versus Multiple Vendors......Page 224
Food for Thought: Outsourcing and Strategic Networks......Page 225
Key Terms......Page 226
Case Study 7-1: Sodexho Asia Pacific......Page 227
Case Study 7-2: Overseas Outsourcing of Medical Transcribing......Page 229
CHAPTER 8 Governance of the Information Systems Organization......Page 232
Chief Information Officer......Page 233
Chief Technology Officer, Chief Privacy Officer, and Other Similar Roles......Page 236
Anticipating New Technologies......Page 238
Developing and Maintaining Systems......Page 239
Promoting Enterprise Security......Page 240
Planning for Business Continuity......Page 241
Managing Internet and Network Services......Page 242
Providing General Support......Page 243
What the IS Organization Does Not Do......Page 244
Centralized versus Decentralized Organizational Structures......Page 245
Another Perspective on IT Governance......Page 248
Managing the Global Considerations......Page 252
Food for Thought: CIO Leadership Profiles......Page 254
Summary......Page 255
Case Study 8-1: IT Governance at UPS......Page 256
Case Study 8-2: The Big Fix at Toyota Motor Sales (TMS)......Page 257
CHAPTER 9 Using Information Ethically......Page 260
Stockholder Theory......Page 262
Stakeholder Theory......Page 263
Social Contract Theory......Page 264
Privacy......Page 267
Property......Page 270
Accessibility......Page 271
PAPA and Managers......Page 272
Security and Controls......Page 273
IT Governance and Security......Page 276
Sarbanes–Oxley Act of 2002......Page 279
Frameworks for Implementing SoX......Page 280
Other Control Frameworks......Page 283
Food for Thought: Green Computing......Page 284
Key Terms......Page 286
Discussion Questions......Page 287
Situation 3......Page 288
Situation 5......Page 289
Case Study 9-2: Midwest Family Mutual Goes Green......Page 290
Funding IT Resources......Page 292
Chargeback......Page 293
Allocation......Page 294
How Much Does IT Cost?......Page 295
Activity-Based Costing......Page 296
Total Cost of Ownership......Page 297
TCO Component Breakdown......Page 298
Building a Business Case......Page 301
IT Portfolio Management......Page 305
Valuing IT Investments......Page 306
The Balanced Scorecard......Page 310
IT Dashboards......Page 313
Options Pricing......Page 314
Food For Thought: Who Pays for the Internet?......Page 318
Summary......Page 319
Discussion Questions......Page 320
Case Study 10-2: Valuing IT......Page 321
CHAPTER 11 Project Management......Page 323
What Defines a Project?......Page 324
What is Project Management?......Page 326
Common Project Vocabulary......Page 328
Project Cycle Plan......Page 329
Elements of Project Management......Page 330
IT Projects......Page 333
Systems Development Life Cycle......Page 336
Prototyping......Page 339
Rapid Applications Development and Joint Applications Development......Page 340
Managerial Influences......Page 342
Technical Influences......Page 343
Managing Project Risk......Page 344
Complexity......Page 345
Size......Page 346
Managing Project Risk Level......Page 347
Sustaining Commitment to Projects......Page 349
Pulling the Plug......Page 350
Gauging Success......Page 351
The PMO......Page 352
Food for Thought: Open Sourcing......Page 353
Summary......Page 355
Discussion Questions......Page 356
Case Study 11-1: Sabre Holdings......Page 357
Case Study 11-2: Dealing with Traffic Jams in London......Page 358
CHAPTER 12 Managing Business Knowledge......Page 360
Knowledge Management......Page 361
Data, Information, and Knowledge......Page 362
Tacit versus Explicit Knowledge......Page 364
From Managing Knowledge to Business Intelligence......Page 365
Why Manage Knowledge?......Page 366
Sharing Best Practices......Page 367
Downsizing......Page 368
Knowledge Embedded in Products......Page 369
Knowledge Management Processes......Page 370
Knowledge Generation......Page 371
Knowledge Codification......Page 373
Knowledge Capture......Page 374
Knowledge Transfer......Page 378
Competing with Business Analytics......Page 379
Components of Business Analytics......Page 380
Software Tools......Page 381
Caveats for Managing Knowledge......Page 382
Food for Thought: Business Experimentation......Page 383
Summary......Page 384
Discussion Questions......Page 385
Case Study 12-1: GSD&M’s Virtual Crowd Uses Analytics......Page 386
Case Study 12-2: The Brain Behind the Big, Bad Burger......Page 387
Glossary......Page 389
Index......Page 399