Information Technology Management

1
Information Technology Management

• Perspectives, Focus, and Change in the 21st
  century

2
Paradigm shift

• The models for managing IT strategy, the IT
  function, and IT projects are changing in the
  twenty-first century.
• The past is inadequate for fitting the
  environmental turbulence .

3
Environmental scanning

• External IT fundamental changes
• High computing power
• Network-oriented processing
• Wireless-oriented accessing
• Organizational behavior/structure adaptation for
  searching fitness
• The computer-literate network-centric knowledge
  worker

4
Five eras of IT evolution

• First era pioneers, penetration, and chaos
  (1954-1963) (the proud age of transistor)
• Second era gaining control-centralization and a
  technical monopoly (1964-1976) (after the IC
  breakthrough against the tyranny of numbers)
• Third era letting loose-distribution and
  decentralization (1977-1984) (the dominant age of
  IBM)
• Fourth era distribution-a free market with
  issues of architecture and management (1985-1996)
  (the frog-leap of Wintel )
• Fifth era the worldwide web and anytime/anyplace
  computing (1997 into the 21st century) (the
  Internet era)

5
First era

• The first commercial computer was installed in a
  General Electric Plant in 1954
• Univac I machine was once a leader in the market
  place.
• Scientific applications were dominant in the age
  of Cold War.
• FORTRAN and COBOL did not emerge as the popular
  programming languages until the late of this era.
  

6
First era (Cont.)

• Computing isolated machines
• Applications Scientific and engineering
  machine-specific programs
• Management in-house training of technical staff
• Organization unplanned, chaotic
• Key issues few concerns computing is a mystery,
  scattered and hidden from top management view

7
Second era

• Technological advances
• IBM system 360 seriesa modularized design
  ignited the dramatic growth of computer industry
  and brought consolidation of organizational
  computing resources
• direct-access storage devices (DASD),
  telecommunication, Multiple access computing
• Beyond the function of accounting included
  several efficiency-enhanced transaction
  processing systems, e.g., inventory control,
  banking, airline, taxing, healthcare, etc.

8
Second era (Cont.)

• Computing Distributed access to mainframes
  compatible product lines
• Applications accounting, inventory, and business
  transactions
• Management standardized programming languages,
  early database technology
• Organization consolidation of control within the
  data processing function
• Key issues rising cost, unmet user expectations

9
Third era

• Minicomputer emerges DEC VAX series, Wang, and
  equipments of Japans electronic firms
• Increasing demands of IT processing services
• Focusing on the effective efficient IS
  development methodsSDLC User involvement
• Externally-developed software packages were
  available (the spill-over effect of IBM)
• IT organization and management in a advisory,
  service-oriented role
• IT as a source of competitive advantage in the
  marketplace (focus on efficiency)

10
Third era (Cont.)

• Computing midrange computers, easy-to-use
  interfaces
• Applications commercial and user-developed
  applications complement internal systems
  development efforts
• Management systems development life cycle
  procedures distributed IT development
• Organization greater business unit control of IT
• Key issues coordination of centralized and
  business-unit IT efforts

11
Fourth era

• PC innovation and widely uses of software
  packages
• The Wintel standard move the computing
  infrastructure forward
• Network technologies connected the legacy systems
  and the current PCs
• A harmonious IS settings with flexibility
• Emerging inter-organizational data exchange
  applications ERP, SCM, etc.

12
Fourth era (Cont.)

• Computing personal computers, LANs, Internet and
  extranets
• Applications user-friendly applications, desktop
  systems followed by groupware and workflow system
• Management user-driven systems management
  everyone is an IT manager project control
  techniques
• Organization federated or free market approach
  to IT, including centralized, decentralized, and
  outsourced IT operations
• Key issues incompatible systems, integration
  difficulties, Y2K

13
Fifth era

• This is a dotcom era contributed greatly after
  Netscape IPO
• The business model of click-and-mortar
  integration
• N-generation M-generation workers
• The new economics of information

14
Fifth era (Cont.)

• Computing PDA, mobile technology, Internet as
  primary platform
• Applications electronic commerce systems
• Management professionalism and team skills are
  paramount flexibility is added to project
  control
• Organization downsizing of corporate IT,
  integration of business and IT operations
• Key issues embracing both old and new models of
  IT management

15
IT advantage transformation

• From transaction processing to business
  relationship exploration
• From IS scalability to IS mobility agility
• From the alignment with business strategy to the
  reach beyond the traditional business scopes

16
IT management transformation

• Centralization decentralization
• A total business approach around IT
• In-sourcing outsourcing (the make-or-buy
  decision)
• Top management engagementactive participation

17
Project management transformation

• Project management team may change along with
  shifts in business needs
• Rapid everything and virtual many things (the
  object-oriented programming project)
• Trust innovation rather than control
• Action and risk assessment more than system
  analysis (standard betting selection)
• Up-to-the-minute clarity of information

18
Extending readings

• Malone, Thomas W,. Robert Laubacher, and M. S.
  Scott Morton, ed., (2003), Inventing the
  Organizations of the 21st Century, MIT Press.
• Evans, P. and T. Wurster (1997), Strategy and
  the New Economics of Information, Harvard
  Business Review, 75(5), Sept.-Oct., pp.71-82.
• Thomas, J. Allan, and M. S. Scott Morton, ed.,
  (1995), Information Technology and the
  Corporation of 1990s Research Studies, Oxford
  University Press.
• Scott Morton, M. J., ed., (1991), The Corporation
  of 1990s Information Technology and
  Organizational Transformation, Oxford University
  Press.
• Nolan, R. L. (1979), Managing the Crisis in Data
  Processing, Harvard Business Review, 57(2),
  pp.115-26.

19
Referred papers

• Lyytinen, Kalle and Gregory M. Rose (2003), The
  Disruptive Nature of Information Technology
  Innovations The Case of Internet Computing in
  Systems Development Organizations, MIS
  Quarterly, Volume 27, Number 4.
• Rogers, E.M. (1995), Diffusion of Innovations,
  4th ed., The Free Press, New York.
• Henderson, R.M. and K.B. Clark (1990),
  Architectural Innovation The Reconfiguration of
  Existing Product Technologies and the Failure of
  Established Firms, Administrative Science
  Quarterly, Vol. 35, pp.9-30.
• Teece, D. J. (1986), Profiting from
  Technological Innovation Implications for
  Integration, Collaboration, Licensing and Public
  Policy, Research Policy, 15(6), pp.285-305

20
Referred papers (cont.)

• Keil, Mark, Joan Mann, and Arun Rai (2000), Why
  software projects escalate An empirical analysis
  and test of four theoretical models, MIS
  Quarterly, Vol. 24, Iss. 4.
• Kahneman, D. and A. Tversky (1979), Prospect
  Theory An Analysis of Decision Under Risk,
  Econometrica, vol.47, pp.263-291.
• Jensen, M. C. W. H. Meckling (1976), Theory of
  the Firm Managerial behavior, Agency Costs, and
  Ownership Structure, Journal of Financial
  Economics, vol.3, pp.305-360.

21
Referred papers (cont.)

• Reich, Blaize Horner and Izak Benbasat (2000),
  Factors that influence the social dimension of
  alignment between business and information
  technology objectives, MIS Quarterly, Vol. 24,
  Iss. 1.
• Cohen, Wesley M. and Daniel A. Levinthal (1990),
  Absorptive Capacity A New Perspective on
  Learning and Innovation, Administrative Science
  Quarterly, Vol. 35, pp.128-52.
• Yin, R. K. (1989), Case Study Research Design
  and Methods, 2nd ed., Sage, CA.
• Wastell. David G. (1999), Learning dysfunctions
  in information systems development Overcoming
  the social defenses with transitional objects,
  MIS Quarterly, Vol. 23, Iss. 4.
• Argyris, C. (1990), Overcoming Organizational
  Defenses, Allyn Bacon, Boston.
• Beer, S. (1994), Decision and Control, Wiley,
  Chichester, England.