Lecture Business management information system - Lecture 32: Summary

We shall cover in summary: Information and MIS, top is job, strategic uses of IT, IS planning, distributive systems, managing telecommunications, managing information resources, managing operations, technologies for developing systems, management issues in system development, system for supporting knowledge based work, data warehousing/data mining, knowledge management, supporting collaboration, challenges ahead, a networked business.

Summary Lecture 32

Today’s Lecture

n We shall cover in summary

¨Information and MIS

Today’s Lecture

¨Managing Operations

¨Technologies for Developing Systems

¨Management Issues in System Development

¨System for supporting Knowledge Based

Information and MIS

n Information is based upon processed, useful, meaningful facts and figures which any organizing keeps to run its daily business

n Information systems are software’s which are there to

run organizational business

n Management of Information system is being changed

with the introduction of Chief Information Officer

Importance of IS Management

Top is Job

n Responsibilities of the CIO consist of

• Understand the business

• Establish credibility of the IS department

• Develop a competent IS staff and IT-savvy users

• Create a vision and sell it

• Implement an information system architecture

• Foster relationships

Top is Job

IT Department is headed towards,

n Reducing Costs

n Leveraging Investments

n Enhancing Products and Services

n Enhancing Executive Decision Making

n Reaching the Consumer

Strategic uses of IT

n Over the years, a few innovative

companies have achieved strategic

advantage using IT

n These firms served as models of what could be done, but most companies did not have the resources or skills to follow their example

Strategic uses of IT

n With the growth of the Internet and the development of online business, IT has become a strategic tool in every industry.

n As their employees become dispersed, enterprises are looking for ways to bring cohesion Intranets and portals are ways

to use IT strategically inside the firm.

Strategic uses of IT

n In working outward, enterprises are creating electronic tenders to provide services that make their products more valuable and help them better know their customers and develop more personal

relationships with them.

n This customer-centric view, now so prevalent in the business world,

is affecting the strategic use of IT in working across

n Value chains are looking to shift from supply-push to demand-pull.

n Perhaps the most promising technology in the near future is the adoption of mobile computing in supply-chain execution As IT

continues to evolve, so do its strategic uses.

IS Planning

n Based on the successes and failures of past IS planning efforts, we see two necessary ingredients for good

strategic planning efforts

n One is that the plans must look toward the future This point may seem obvious, but in unstable times, the

future is not likely to be an extrapolation of the past

Therefore, a successful planning effort needs to support

“peering into an unknown future”—most likely in a and-respond fashion This future will undoubtedly impact us

sense-IS Planning

n A second necessary ingredient is that IS planning must

be intrinsic to business planning

n This point may also seem obvious, but, again, unless the planning process specifically requires joint development, the systems plans may not be relevant because they do not align with corporate strategy

n A misalignment is not so likely with the advent of Internet commerce, but it is also not yet natural in many

companies

IS Planning

n No single technique is best, and no single one is the

most widely used in business In fact, many companies use a combination of tools because each deals with

different aspects of planning

n The main goal these days is to meld speed with flexibility That goal can best be achieved by creating an overall

strategic envelope and conducting short experiments

within that envelope, moving quickly to broaden an

experiment that proves successful

n Sense-and-respond is the new strategy-making mode

Distributed Systems

n A distributed system is a computer

network system, shown to end users as a

single machine but actually work with a set

of independent computers connected.

Distributed Systems

n Four Main Attributes

Where is the process done?

Managing Telecommunications

n Telecommunications is an electronic

highway system (an infrastructure)

¨Facilitates the flow of information among

individuals, work groups, departments,

customer sites, regional offices, enterprises, and the outside world

n The Internet has opened up a different

view of telecommunications—cyberspace

¨People exist in a virtual world(s)

n Second Life (http://secondlife.com/)

Managing Telecommunications

n Telecommunications is huge and getting

bigger and more complex

n Internet is the very foundation of

e-commerce

n Traditional business also depends on the Internet for communication, interoperability and link establishment

¨Global integration

¨Personalized service

n Across space and time

Managing Information Resources

n No longer “managing databases”

n Much more information (good thing)

Four Types of Information

Internal External

Record 

Based

Traditional EDP/MIS

Public  Databases

Document 

Based

Word Processing/

Record Management

Corporate  Library Web  Site

Managing Operations

n Operations vary for every company

¨Hardware, communications lines and

equipment, software, data center personnel, disaster recovery, etc.

n The Operations management perspective

¨Moving from an inward to an outward

approach

Technologies for Developing

Technologies for Developing Systems

n 1990s:

¨ Client-server

¨ Internet-based systems

¨ Integration of components and packages

n The 1990s brought the need for integrated enterprise systems and Internet-based systems

n Development now focuses on the Internet,

interorganizational development, and ecosystem

applications

¨ Systems where project management skills are even more

important due to the complexity of the systems

Management Issues in System Development

n 3 critical points include

¨Recruiting IS staff

¨Designing Motivating Work

¨Successful Project Implementation

Systems for supporting Knowledge Based Work

n Use of IT to support decision making

covers a broad swath of territory

n Some technologies aim to alert people to anomalies, discontinuities, and shortfalls

n Others aim to make decisions, either as

recommendations to people or to act on behalf of people

n Handing over decisions to systems has its pros and cons, thus their actions need to

be monitored

Systems for supporting Knowledge

Based Work

n CIOs need to alert their management team

of potential social and economic effects of computer-based decision making because errant computer-based decisions have

devastated corporate reputations and cost

a lot of money

n With vendors pushing toward the real-time enterprise, this is a use of computers that should give pause to explore the

ramifications

databases designed to support the DSS function,  where each unit of data is non­volatile and relevant 

to some moment in time.

Data Warehouse Purpose

n The key to survival:

¨ Is the ability to analyze, plan, and react to changing 

business conditions in a much more rapid fashion

Data Mining

n “data mining is a collection of

techniques for efficient automated

discovery of previously unknown, valid,

novel, useful and understandable patterns

in large databases The patterns must be actionable so they may be used in an

enterprise’s decision making.”

Data Mining

The following steps should normally be followed:

1. Requirements analysis

2. Data selection and collection

3. Cleaning and preparing data

4. Data mining exploration and validation

5. Implementing, evaluating and monitoring

6. Results visualisation

Knowledge Management

n Knowledge Management focus on how knowledge within organization can be created, captured, stored, and reused within organization.

Business Intelligence

• Business Intelligence (BI) refers to skills,

processes, technologies, applications and

practices used to support decision making.

• Systems that provide directed background data and reporting tools to support and improve the decision-making process.

• A popularized, umbrella term used to describe a set of concepts and methods to improve

business decision making by using fact-based support systems The term is sometimes used interchangeably with briefing books and

executive information systems.

Supporting Collaboration

n The structure of organizations is changing

rapidly: flatter, less middle-management, greater focus on teams, collaboration across disciplines, times and locations, and the use of virtual teams

n Technology is advancing to support these

changes, providing the tools to communicate

and interact, solve problems, and

manage/document knowledge in this new

environment

Challenges Ahead

n Technology is just a support

n Relationships are key to people working

effectively

n IT is shifting from amplifying thinking and processing to amplifying communications and connecting

n It is the people who will determine whether the company succeeds or fails, not the

technology

A Networked Business

n We are indeed in a business revolution

n With it, the use of IT is changing in kind

¨ It has shifted from amplifying thinking and processing

to amplifying communicating and connecting

n It is now much more about relationships than transactions (which happen in the background) and are becoming increasingly sophisticated

presents