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Week 3: Systems Thinking and Managing Complexity
MIS5001: Management Information SystemsDavid S. McGettigan
Adapted from material by Arnold Kurtz, David Schuff, and Paul Weinberg
2
Agenda Prior Lecture Recap
Managing Complexity: Person: Role of the CIO Methodology: System Development Lifecycle Tool: Business Process Mapping (covered in last
week’s lecture and in this week’s reading)
Case study: STARS Air Ambulance: An Information Systems Challenge
Next Week
3
Prior Lecture Recap Decision making
Structured vs. Non-structured decision Recurring vs. Nonrecurring
Types of Systems Transaction Processing Systems Management Information Systems Decision Support Systems
Business Process Management Definition Benefits Linkage to IS
Role of the CIO
Effective leadership is not about making speeches or being liked; leadership is defined by results not attributes.
Peter Drucker
5
CIO Responsibilities Strategic Planning – Aligning the direction of IS with
that of the business
Operations – running the corporate information center
Project Management – responsibility for large scale and high cost technical initiatives
Discussion: what are the ideal characteristics of the CIO? Why can an effective CIO be difficult to find?
Source: Gray, Paul: Manager’s Guide to Making Decisions about Information Systems
6
IT Governance Steering Committees – objectives are to link IT with
Corporate strategy, establish priorities, allocate resources, and facilitate communication. IT Steering Committee – provides guidance across the company
or divisions. Program Steering Committee – provides guidance within a
particular initiative.
Discussion: What IT committees are likely to be in place within a firm? How can a firm avoid all IT decisions going to committee while ensuring appropriate business buy-in?
Case Study: What governance was in place at STARS Air Ambulance?
Source: Gray, Paul: Manager’s Guide to Making Decisions about Information Systems
7
State of the CIO Most Time Spent
Collaborating with CXOs Making Strategic Decisions Working on Strategic Business Planning
Obstacles to Success Overwhelming Project Backlog and Requests Ability to Execute Remains a Top Concern Focus on Cost Cutting
Opportunities Using IT to Enable / Standardize Business Processes Measuring Success and Proving Business Value
A Modern CIO Deputies Run Operations Focus on Strategy and Execution
Source: www.cio.com: “State of the CIO”
System Development Lifecycle
Good plans shape good decisions. That's why good planning helps to make elusive dreams come true.
Lester R. Bittel, The Nine Master Keys of Management
9
Introduction Systems development life cycle
(SDLC) - a structured step-by-step approach for developing information systems.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
10
Seven Phases in the SDLCPhase 1: Plan
Planning phase - involves determining a solid plan for developing your information system.
Critical success factor (CSF) - a factor simply critical to your organization’s success.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
11
Seven Phases in the SDLCPhase 1: Plan
Project scope – high-level system requirements.
Project scope document – written project scope definition.
Project plan – defines the what, when, and who questions.
Project milestones - key dates for deliverables.
Project manager - an expert in project planning.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
12
Seven Phases in the SDLCPhase 2: Analysis
Analysis phase - involves end users and IT specialists working together to gather, understand, and document the business requirements for the proposed system.
Business requirements - the detailed set of knowledge worker requests that the system must meet in order to be successful.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
13
Seven Phases in the SDLCPhase 2: Analysis
Joint application development (JAD) - knowledge workers and IT specialists meet, sometimes for several days, to define or review the business requirements for the system.
Requirements definition document – prioritizes the business requirements and places them in a formal comprehensive document.
Sign-off - the knowledge workers’ actual signatures indicating they approve all of the business requirements.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
14
Seven Phases in the SDLCPhase 3: Design
Design phase - build a technical blueprint of how the proposed system will work.
Technical architecture - defines the hardware, software, and telecommunications equipment required to run the system.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
15
Seven Phases in the SDLCPhase 3: Design
Modeling - the activity of drawing a graphical representation of a design.
Graphical user interface (GUI) - the interface to an information system.
GUI screen design - the ability to model the information system screens for an entire system.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
16
Seven Phases in the SDLCPhase 3: Design
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
17
Seven Phases in the SDLCPhase 4: Development
Development phase - take all of your detailed design documents from the design phase and transform them into an actual system.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
18
Seven Phases in the SDLCPhase 5: Test
Testing phase - verifies that the system works and meets all of the business requirements defined in the analysis phase.
Test conditions - the detailed steps the system must perform along with the expected results of each step.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
Pharma Computer Systems Testing /Qualification
KEY:
Formal – Under Change Control; QA signatures required; full documentation required
Controlled – No QA signatures required; full documentation required; must track problems
Informal – No QA signatures needed; full documentation required
Formal - Protocol, scripts,PQ SOP’s, training
UnitTesting
ApplicationPQ
Testing
IntegrationTesting
SystemTesting
ApplicationIQ
Testing
ApplicationOQ
Testing
Development TestingTESTING
Validation Testing
ApplicationSitePQ
Testing
Traceability to URS and FRS across all testingValidation Plan
Technical Documentation
Infrastructure Qualification
Informal - Protocol, scripts, static verification, Unit Test SOP’s, training
Informal - Protocol, scripts, Integration Testing SOP’s, training
Controlled - Protocol, scripts, System Test SOP’s, training
Formal - Protocol, scripts, IQ SOP’s, training
Formal - Protocol, scripts,OQ SOP’s, training
Formal - Protocol, scripts,PQ SOP’s, training
Cu
stom
ization
Testing
Cu
stom
ization
/Integ
ration
Testing
En
d to
En
d Testin
g; B
ou
nd
aryTestin
g; E
rror H
and
ling
H/W
; S/W
; O/S
; En
vir.Q
ualificatio
n
Subset ofSystemTesting;Test CriticalFunctionality
SubsetOf OQ
Connectivity, possiblymini-workflow
Formal - Protocol,scripts, SOP’straining
Stress/Load TestingDR Scheme & Exercise
Matrices
Val Plan Doc(s)
Sizing; Config; etc.
Protocol; Scripts; SOP’s
Plan; Scripts;Summaries
20
Seven Phases in the SDLCPhase 6: Implement
Implementation phase - distribute the system to all of the knowledge workers for use.
User documentation - how to use the system.
Online training - runs over the Internet or off a CD-ROM.
Workshop training - is held in a classroom environment and lead by an instructor.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
21
Seven Phases in the SDLCPhase 6: Implement
Change Management – the “change curve”
Shock Denial Hostility Negotiation Depression Trial Acceptance
22
Seven Phases in the SDLCPhase 7: Maintain
Maintenance phase - monitor and support the new system to ensure it continues to meet the business goals.
Help desk - a group of people who responds to knowledge workers’ questions.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
23
Why System Projects Fail 20% of systems are successful, 80% of systems
fail. Five primary reasons why systems fail include:
Unclear or missing requirements Skipping SDLC phases Failure to manage project scope
Scope creep – project scope increases Feature creep – developers add extra features
Failure to manage project plan Changing technology
Relate to Case Study: were projects at Stars Air Ambulance “failing”? Why or why not?
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
24
Preventing Failure:Prototyping
Advantages: Encourages participation. Resolves discrepancies Gives a feel for the final system. Helps determine technical feasibility. Helps sell the idea of a proposed system.
Disadvantages: Leads to the belief that the final system will follow shortly. Gives no performance indication. Leads the team to skip testing and documentation.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
25
Advantages: Focus on unique core competencies. Exploit the intellect of another organization. Better predict future costs. Acquire leading-edge technology. Reduce costs. Improve performance accountability.
Disadvantages: Reduces technical know-how for future innovation. Reduces degree of control. Increases vulnerability of strategic information. Increases dependency on other organizations.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
Preventing Failure:Outsourcing Experience
26
The Role of Knowledge Workers Participation in the systems development process is
vitally important because they are … Business process expert Liaison to the customer Quality control analyst Manager of other people
User acceptance testing (UAT) – determines if the system satisfies the business requirements.
Management Information Systems for the Information Age
(Fourth Edition)
Copyright 2004 The McGraw-Hill Companies, Inc. All rights reserved
27
Case Study: STARS Air Ambulance Discussion Questions:
Identify three or four of the most critical challenges facing the new CIO and make recommendations for how Khan can tackle each of these challenges.
What should Kahn’s objectives be for his upcoming meeting with the CEO and how can he prepare to best meet them?
What should Kahn do about departments contacting their “favorite IS staff member” when they need technical assistance? How can he change this practice and still gain the trust
and support of the CEO and other senior managers?