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Introduction to MIS 1
Copyright © 1998-2002 by Jerry Post
Introduction to MIS
Chapter 13
Organizing the MIS Resources
Introduction to MIS 2
Organizing IS Resources
Operations
Tactics
Strategy
Introduction to MIS 3
Outline Managing Information Systems Functions MIS Roles MIS Jobs International Comparisons Outsourcing MIS Organization: Centralization Intranets and Thin Clients Cases: Financial Services Appendix: Project Management
Introduction to MIS 4
Hardwareadministration
Softwaredevelopment
Support end userdevelopment
Databaseadministration
Advocacy
Access tocorporate data
Software trainingand support
Corporatecomputingstandards
MIS Roles Hardware administration Software support Corporate data access Software development End user support Computing standards DB administration Advocacy
Introduction to MIS 5
Network and Telecommunications
Hardware Repair
Training and User Support
Some MIS Roles
Introduction to MIS 9
Salaries 2001IS Management
Operations
NetworksSystems Development
User Support
http://careers.wsj.comhttp://www.computerworld.com
CIO/VP IS/CTO $165,000
Director $106,000Manager 74,000Lead operator 42,000Computer operator 35,000
Director $106,000Manager 83,000Administrator 60,000Network analyst 40,000Junior analyst 34,000
Manager $69,000Help desk operator 40,000PC technical support 43,000
Director $123,000Manager 88,000Project manager 85,000System analyst 79,000Senior developer 74,000Programmer/analyst 55,000Junior programmer 45,000
Includes bonus
Database
Manager $94,000Administrator 89,000Database analyst 67,000
InternetManager $94,000Webmaster 72,000Application developer 70,000EC specialist 74,000EDI specialist 66,000
Security
Manager $86,000Administrator 72,000Specialist 64,000IS audit manager 81,000IS audit staff 53,000
Introduction to MIS 11
International Salaries
Nation Programmer/Analyst Salary
United States 55,000
Britain 57,000
Russia 10,800
India 2,508
Introduction to MIS 13
Skills in Demand
Rank 2001 1998 1994
1 ERP ERP Networking
2 Object engineering Groupware Database
3 Data warehouse and data visualization
Database UNIX
4 Groupware Networking Visual Basic
5 Wireless COBOL COBOL
Introduction to MIS 15
Outsourcing
Company 1991 1995 1997 1999 2000
IBM Global Services 0.4 17.7 24.6 35.0 37.0
EDS 1.2 12.4 15.2 18.7 19.2
CSC 0.4 4.2 6.6 9.4 10.5
Accenture 0.5 4.2 6.3 9.5 9.8
ADP 0.3 3.0 4.9 6.3 7.0
Affiliated Computer 0.16 0.4 1.2 2.0 2.1
Fiserv 0.23 0.7 1.0 1.4 1.7
Perot Systems 0.16 0.3 0.8 1.2 1.1
Total (billion dollars) 3.4 42.9 60.6 83.5 88.4
Introduction to MIS 16
Specialized Talent Needed
Complex Market Structure
Security & ControlLevel ofTechnology
Cost of reachingstate of the art
Fixed Costs
When any of these characteristics increases (moves outwards), there is less reason to use outsourcing.
Outsourcing Evaluation
Introduction to MIS 17
OutsourcingForces
Globalization, new competitors.
Shorter product life-cycles,mass customization.
Rapidly changing markets,flexible manufacturing.
Pressure on profits.
Need to focus on increasingrevenues and decreasingfixed/semi-fixed costs.
Need for flexibilityand responsiveness.
Outsourcenon-revenuegenerate functions(staff/operations)
Desire to minimize amountof management time devotedto non-revenue generatingfunctions.
Economies of Scale- leverage expertise and methodologies.- invest in expensive technologies (state-of-the-art)- process-oriented approach
Economies of ScopeWant one vendor toprovide multiplefunctions.
Cost cutting, staff cuts,loss of middle management.
Big Outsourcing Vendors& Big 6 Firms
Introduction to MIS 18
Summary of MIS Organization
Introduction to MIS 19
Data andsoftware
MIS personnel
Hardware
User departments
Complete Centralization
Introduction to MIS 20
Hardware CentralizationAdvantages Easier to share
Data Expensive hardware (printers)
Easier to control Purchases Usage
Less duplication Efficiency — less unused resources
Introduction to MIS 21
Software CentralizationAdvantages Compatibility
Bulk buying discounts Easier training Ease of maintenance & upgrades
Introduction to MIS 22
Data CentralizationAdvantages Easy backup
Easier to Share Less duplication Security control\monitoring
Introduction to MIS 23
Personnel CentralizationAdvantages Workers with similar backgrounds
Easier training Straightforward growth path Specialized staff Easier to see/control costs
Introduction to MIS 24
Growth of PCs
Worldwide Computer Sales
0%
10%20%
30%40%
50%
60%70%
80%90%
100%
1970 1980 1990 1995 1998
Year
Sh
are
of
Mar
ke
t V
alu
e
Server
Midrange
Personal
Introduction to MIS 25
MIS personnel are members of user departments
Marketing
Finance
Accounting
Human Resource Management
Complete Decentralization
Introduction to MIS 26
Hardware DecentralizationAdvantages Less chance of total breakdown
Users get personalized equipment Micros are cheaper than mainframes
Introduction to MIS 27
Software DecentralizationAdvantages
Different users have different preferences Easier access Customization without affecting others Can overcome objections
Lower prices minimize benefits of bulk purchases. Similarities of packages make training easier. Conversion tools enable sharing.
Introduction to MIS 28
Data DecentralizationAdvantages
Not all data needs to be shared Easier find and access Control & politics
Introduction to MIS 29
Personnel DecentralizationAdvantages
Closer to users Faster response More time spent with users Better understanding/communication
Different career path
Introduction to MIS 30
Thin Clients
ServerData and applications
Thin clientBrowser-based access
User interface
Introduction to MIS 31
Intranet Network Solutions
High-bandwidth connections between servers.
Standard Internet connections to users.
Introduction to MIS 32
Simple Object Application Protocol
Bank Server
Your Company Server
Manager or Client
The Internet
Your Financial ApplicationYear Revenue Cost
2000 34,231€ 27,333€ 2001 39,983€ 32,132€ 2002 36,421€ 31,456€
Sales and Costs
€-
€10,000
€20,000
€30,000
€40,000
€50,000
2000 2001 2002
Revenue
Cost
Bank Service
Currency converter: Date, InCurrency, Outcurrency
SOAP
Introduction to MIS 35
Organizational
Are operations interdependent? -planning -development -physical resources -operations
Can subunits relate solely through information & messages?
Does corporate culture support decentralization?
Strengths
End users gain control.
Supports workgroups.
Enables new organizational structures.
Increased organizational flexibility.
Weaknesses
Possible short term bias in decision making.
Might not be optimal use of resources for corporation.
IS staff might lose cohesiveness and support.
Decentralization Summary
Introduction to MIS 36
Cases: Financial Services
Introduction to MIS 37
Cases: Fidelity InvestmentsCharles Schwab & Co.
What is the company’s current status?
What is the Internet strategy?
How does the company use information technology?
What are the prospects for the industry?
www.fidelity.com
www.schwab.com
Introduction to MIS 38
Appendix: Project Management Projects
Goal Need a well-defined goal Good example: Put a man on the moon. Bad example: Improve the IRS information systems.
Scope Size and complexity of the project. Match the management techniques to the project scope.
Schedule Break project into tasks Tasks depend on other tasks (you can’t paint a wall until it is
built). Tasks take time to complete (duration) Tasks require resources.
Resources Worker time is usually the most important to schedule. Workrooms, machinery, and so on.
Introduction to MIS 39
Project Management Steps Define the project. Create the plan. Track and manage the project as it proceeds. Close the project when the goal is achieved
or the project is cancelled.
Introduction to MIS 40
Microsoft Project Specialized database
Tasks (start, duration, description, dependence) Resources (costs, needs, assignments)
Specialized views of the data Gantt Chart Highlight task duration. PERT Chart Highlight task dependence. Calendar Show scheduled tasks. Task Usage Show assigned resources. Tracking Gantt Compare estimates to
actual. Task Sheet Detailed task data.
Resource views Resource Graph Track resources over time. Resource Sheet Detailed resource data. Resource Usage Tasks assigned to
resources.
Introduction to MIS 41
Sample: Spring Forward CenturySunday, April 2, 200025 miles50 miles100 miles Choose starting point
Legal paperwork Establish routes Create databases Create promotional materials Create commemorative shirts Register riders Organize volunteer groups Advertise ride Plan rest stops Plan registration
Final clean up Thank you notes Write project notes
Planning the ride
After the ride
Ride day is a separate project
SpringForwardCentury.mpp
Organize Spring Forward Century.mpp
Introduction to MIS 42
Microsoft Project: Gantt ChartOrganize Spring Forward Century.mpp
Introduction to MIS 43
Gantt Chart (continued)
Introduction to MIS 44
200%
400%
600%
800%
1,000%
1,200%
1,400%
1,600%
Peak Units:
Self Overallocated: Allocated:
2/23 3/2 3/9 3/16 3/23 3/30 4/6 4/13Feb 23, '03 Mar 2, '03 Mar 9, '03 Mar 16, '03 Mar 23, '03 Mar 30, '03 Apr 6, '03 Apr 13, '03
200% 1,100% 1,100% 500% 200% 1,500%
Resource Usage
200%
400%
600%
800%
1,000%
1,200%
1,400%
1,600%
Peak Units:
Self Overallocated: Allocated:
T F S S M T W T F S S MMar 23, '03 Mar 30, '03 Apr 6, '03
100% 100% 300% 100% 100% 100% 300% 1,500%
You need to get some tasks done sooner,or get more volunteers on the day before the ride.
You need to start earlier, or get volunteersto do more of the organizing tasks.
Introduction to MIS 45
Ride DaySpringForwardCentury.mpp
ID Task Name Duration
1 Set up registration 1 hr
2 Set up tents 0.25 hrs
3 Set up tables 0.25 hrs
4 Unload shirts 0.25 hrs
5 Review registration procedures0.25 hrs
6 Regis ter riders 2 hrs
7 Rest stop 1: 25-mid 2 hrs
8 Rest stop 2: 50/100-20 mile 2 hrs
9 Rest stop 3: 50/100-35 mile 3 hrs
10 Rest stop 4: 100-50 mile 2.5 hrs
11 Rest stop 5: 100-65 mile 2.5 hrs
12 Rest stop 6: 100-75 mile 2.5 hrs
13 Rest stop 7: 100-88 mile 2.5 hrs
14 SAG Route 1-1: 25 miles 1 hr
15 SAG Route 1-2: 25 miles 1 hr
16 SAG Route 1-3: 25 miles 1 hr
17 SAG Route 1-4: 25 miles 1 hr
18 SAG Route 1-5: 25 miles 1 hr
19 SAG Route 2-1: 50 miles 2 hrs
20 SAG Route 2-2: 50 miles 2 hrs
21 SAG Route 2-3: 50 miles 2 hrs
22 SAG Route 3-A1 : 100 miles 4 hrs
23 SAG Route 3-A2: 100 miles 4 hrs
24 SAG Route 3-B1 : 100 miles 4 hrs
25 SAG Route 3-B2 : 100 miles 4 hrs
26 Prepare for rider return 3 hrs
27 Enter applications in database3 hrs
28 Enter 15 mile riders 1 hr
29 Enter 25 mile riders 1 hr
30 Enter 100 mile riders 1 hr
31 Sort shirts 0.25 hrs
32 Count money 0.5 hrs
33 Press conference to donate money 1 hr
34 Clean up 3.5 hrs
35 Pack paperwork, shirts, and material0.5 hrs
36 Take down tables 0.5 hrs
37 Take down tents 1 hr
38 Clean area 1 hr
39 Deposit money 0.5 hrs
Drivers,Mechanics,Food stop service
Registration
Registration
Self
Registration[400%]
Food stop service[200%]
Food stop service[200%]
Food stop service[200%]
Food stop service[200%]
Food stop service[200%]
Food stop service[200%]
Food stop service[200%]
Drivers
Drivers
Drivers
Drivers
Drivers
Drivers
Drivers
Drivers
Drivers
Drivers
Drivers
Drivers
Self
Self
Self
Registration
Self
Self
Registration
Registration
Drivers,Food stop service,Registration,Miscellaneous
Miscellaneous,Registration,Food stop service
Self
6:00 AM 7:00 AM 8:00 AM 9:00 AM 10:00 AM 11:00 AM 12:00 PM 1:00 PM 2:00 PM 3:00 PM 4:00 PM 5:00 PM 6:00 PM 7:00 PM 8:00 PM 9:00 PM