Slide 1.1 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 MIS – Boddy et al. Ch1. Information systems and organisations Overview A dependence on information Information and information systems The technology infrastructure Using technology to add value Managing IS in context: an interaction model –stakeholders, contexts, processes, outcomes Management challenges of IS Case: tesco.com

Slide 1.2 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Tesco Clubcard o_Clubcard o_Clubcard +clubcard&tbm=nws +clubcard&tbm=nws

Slide 1.3 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 A dependence on information People need information about inputs, outputs and transformation processes How will information help managers to use the ‘Steering Wheel’ in managing operations? –The factors measured in the steering wheel include information about input, transformation and output at successive levels of the company. Having timely and accurate information on factors known to affect business performance helps to make more profitable use of resources. Figure 1.1 Role of IS in organisations - The Steering Wheel

Slide 1.4 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Information and information systems Figure 1.2 The links between data, information and knowledge

Slide 1.5 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Technology infrastructure Look at the BBC website: identify one new development in each of the technology areas. –What is is called? –What do they hope to achieve, also economically? –Who are the customers? Figure 1.3 Components of the IT infrastructure (PDA, mobile) OS & apps data warehouse data mining LAN, WAN, wifi helpdesk

Slide 1.6 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Convergence of voice, image and data technologies Telephone – fiber optic cables dramatically increase capacity; near zero cost of added traffic, IP-telephony TV- broadcasting from audio to digital; programs received via computer terminals Networked computer – great increases in processor power & storage capacity Internet – worldwide communication, connectivity, enabling exchange of voice, image and data

Slide 1.7 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Using technology to add value Adding value to physical products –supporting information exchange between those making the products –linking otherwise isolated activities, including customers and suppliers Adding value to information products –information is the product Adding value depends on technology AND organization – see Figure 1.4 (previous slide). Activity 1.3 (p.14): ID 2 new examples of IS which have been introduced to add value to the delivery of: (a) a physical product and (b) an information product. –What companies are making or using it; –what does it do; –who uses it; –Successful or not.

Slide 1.8 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Technology AND organisation Tesco case: What are the inputs and outputs of the system? –Inputs - Every purchase, profiles of new customers joining the Clubcard scheme, costs and prices, accumulated data showing trends, data on staff. –Outputs- info for suppliers on replacement stock, info on customer buying patterns, sales data which is processed to run the business, such as #staff required at particular times to meet the demand, or the relative profitability of each store and section within it. Figure 1.4 The elements of a computer-based IS What are the elements of the Tesco system (e.g. Info, Hardware, Software, processes, people)?

Slide 1.9 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Managing IS in context Figure 1.5 An interaction model for managing information systems

Slide 1.10 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Stakeholders in IS ‘All those affected by an organisation’s actions or policies’ Aim is to understand stakeholders attitudes and actions towards an IS Motivated by normal range of human needs These shape their attitudes towards a system, in the specific organisational context.

Slide 1.11 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 The contexts of IS Who are the main stakeholders of the Tesco Clubcard system? Who will gain/lose the most? Who will favour/oppose the system? Figure 1.6 The contexts of information systems

Slide 1.12 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 The contexts of IS (Continued) The effective use of modern IS depends on understanding the relationship between the system and its context. External –general, macro factors – see Chapter 3 –competitive, micro – industry specific factors, more immediate strategic choices – see Chapter 4 Internal –organisational factors – see Table 1.1 (p.20). Historical –any project takes place in a historical context, which shapes attitudes and actions. Inherited context affects the present – e.g. legacy IT. –At an individual level, how people react to current proposals is influenced by the memories of what had happened before – if change had been well-managed and generally beneficial, they are likely to be well-disposed to a new proposal, and vice versa.

Slide 1.13 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 Interaction shapes implementation Quality of the implementation process shapes the outcomes –how stakeholders interact: does implementation lead to productive interaction, or not? Implementation is when people influence (shape) the context by designing technology and organisation, to influence others: That (new) context now in turn influences them: Continuing subjective interpretations

Slide 1.14 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 The implementing challenges of IS: –Complexity and complementary internal changes – change effects the change process. –Dynamic nature of the context – both the technology and business context change. –Stakeholders do not share the organizations view of problems, and not the same solutions – need a common starting point. –People need to learn from implementing systems – change management & planning needed.

Slide 1.15 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 The unpredictable outcomes of IS projects Table 1.2 Measures of information system success

Slide 1.16 Boddy et al., Managing Information Systems, 3 rd Edition, © Pearson Education Limited 2009 In conclusion: The management challenges of IS: Foundations – organizational issues must be delt with at the same time as IS. There are a lot of failures. Strategy- identifying and implementing applications/projects that are good for the business(parts/divisions) (Ch. 4). Organizational – designing IS within context; help people design effective systems (Part 3). Implementing and Learning – creating organizational structures that support new ways of working and managing projects (Ch. 9). Context – is always important. We never talk about IS/IT as independent of context. –e.g. the Interaction Model; political context, economic context; social context; organizational context.