Information Systems Management in Practice

Preface xvii

CONTRIBUTION OF THIS BOOK xviii
USE OF THIS BOOK BY PRACTICING MANAGERS AND
CONSULTANTS xviii
USE OF.THIS BOOK AS A TEXT xix
THE INSTRUCTOR'S GUIDE xx
FORMAT AND CONTENTS xxi
ACKNOWLEDGMENTS xxi

1 The Growing Importance
Of Information Systems Management 1

INTRODUCTION 1
A LITTLE HISTORY 1
The Classic Infrastructure, 3
Pressures for Integration, 4
THE TECHNOLOGY ENVIRONMENT 6
Hardware Trends, 6
Software Trends, 7
Data Trends, 8
Communication Trends, 8
THE BUSINESS ENVIRONMENT 9
The Changing Marketplace, 9
The Changing Work Environment, 10
THE MISSION OF INFORMATION SYSTEMS 12
A SIMPLE MODEL 13


A BETTER MODEL 15 COMPETITIVE SYSTEMS 60
The Products, 15 Case Example: McKesson Corporation, 60
The Customers, 16 Three Approaches to Use, 62
Bridging the Gap, 17 Two Processes to Follow, 68
Information Systems Management, 20 Case Example: GTE, 69
ORGANIZATION OF THIS BOOK 21 COOPERATIVE SYSTEMS 71
CASE EXAMPLE: MEAD CORPORATION 22 Electronic Data Interchange, 74
QUESTIONS AND EXERCISES 29 Case Example: The U.S. Chemical Industry, 75
REFERENCES 30 STRATEGIC SYSTEMS CAN CHANGE HOW
ORGANIZATIONS WORK 78
Changing How Decisions are Made, 79
PART I LEADERSHIP ISSUES Case Example: U.S. Navy, 80
Offering More Communications Options, 82
Providing Tools for Coordination, 84
2 Information Systems Management's SUMMARY 86
New Leadership Role 32 QUESTIONS AND EXERCISES 86
REFERENCES 87
INTRODUCTION 32
SUMMARY OF NEW RESPONSIBILITIES 33 4 Information Systems
Learn About the Business, 33 Planning 89
Establish Systems Department Credibility, 34
Increase Technological Maturity, 34 INTRODUCTION 89
Create a Vision and Sell It, 35 A Typical Planning Cycle, 90
Implement an Information System Architecture, 36 Case Example: The Boeing Company, 92
SEVEN WAYS TO LEARN THE BUSINESS 37 Linking Business and Systems Planning, 93
Have Project Teams Study the Marketplace, 37 VARIOUS APPROACHES TO SYSTEMS PLANNING 95
Concentrate on Lines of Business, 38 Stages of Growth, 95
Sponsor Weekly Briefings, 39 Critical Success Factors, 96
Attend Industry Meetings With Line Executives, 39 Case Example: Southwestern Ohio Steel, 98
Read Industry Publications, 39 Business Systems Planning, 102
Hold Informal Listening Sessions, 40 Investment Strategy Analysis, 104
Become a "Partner" with a Line Manager, 40 The Scenario Approach to Planning, 107
CREATING A VISION AND SELLING IT 42 Case Example: Denny's Inc., 112
Effective Visions, 43 The Architecture Building Approach, 113
Why Develop a Vision?, 45 Case Example: Spadab, 115
Who Should Create the Vision?, 45 SUMMARY 119
Creating a Vision, 47 QUESTIONS AND EXERCISES 119
Six Lessons About Selling, 50 REFERENCES 120
Case Example.: The Boeing Company, 52
QUESTIONS AND EXERCISES 55
REFERENCES 56 PART MANAGING THE ESSENTIAL TECHNOLOGIES

The New Strategic Role
3 of Information Systems 58 5 Distributed Systems:
1NTRODUCTION 58 The Overall Architecture 123
WHAT ARK STRATEGIC SYSTP:MS? 59 I NTROI "nON 123


What Is a Distributed System?, 124 CONCLUSION 183
Four Attributes, 126 QUESTIONS AND EXERCISES 184
Why Distributed Systems?, 129 REFERENCES 185

DISTRIBUTED SYSTEM ARCHITECTURES 131
A Six-Level Architecture, 131
A Three-Level Architecture: SUMURU, 133 7 Managing Information
Case Example: Texas Instruments, 136 Resources 187

GUIDELINES FOR DISTRIBUTING APPLICATIONS 141
Who Should Make the Key Management Decisions?, 142 INTRODUCTION 187
Are the Operations Interclependent?, 142 GETTING CORPORATE DATA INTO SHAPE 188
Are the Businesses Really Homogeneous?, 143 Inconsistent Data Definitions, 188
Does the Corporate Culture Support Decentralization?, 143 The Database Approach, 189
What Are the Characteristics of the Applications?, 143 Case Example: TRW Defense Systems Group, 192
DISTRIBUTING DATA 146 THE ROLE OF DATA ADMINISTRATION 194
Approaches for Distributing Data, 147 Four Main Functions, 195
Maintaining Data Quality, 149 The Importance of Data Dietionaries, 196
Case Example: Digital Equipment Corporation, 150 Case Example: An Information Resource Dictionary, 198
CONCLUSION 151 TOWARD MANAGING INFORMATION 199
QUESTIONS AND EXERCISES 152 Four Types of Information, 199
REFERENCES 153 Internal Record-Based Information, 200
Internal Document-Based Information, 201
External Record-Based Information, 201
Building the Telecommunications Case Example: PIMS, 201

Highway System 154 External Document-Based Information, 204
Emphasis on Managing Ali Data, 205
INTRODUCTION 154 MULTIMEDIA SYSTEMS 207
The Current Situation, 155 The Various Kinds of Data, 207
CREATING AN OVERALL ARCHITECTURE 158 Case Example: Home Savings of America, 209
Factors to Consider, 158 The Driving Forces, 212
Case Example: The Pillsbury Company, 160 Guidelines for Planning Multimedia Systems, 214

Planning for the 1990s, 162 SUMMARY 215
EMPHASIZING CONNECTIVITY 163 QUESTIONS AND EXERCISES 216
Technical Connectivity, 164 REFERENCES 217

Procedural Connectivity, 165
Difficulties in Getting Increased Connectivity, 166 8 Managing Information
Solutions to the Difficulties, 168 Systems Operations 220
Case Example: "Clark Fibers, Inc.," 170

USING INTERNATIONAL STANDARDS 171 INTRODUCTION 220
The OSI Reference Model, 172 WHAT ARE OPERATIONS? 221
The IBM Standard, 174 RUNNING AN EFFICIENT DATA CENTER 223
National Standards, 174 Case Example: Mutual of Omaha, 225

Migrating to OSI, 174 MOVING TOWARD UNATTENDED COMPUTER CENTERS 226
Case Example: Northrop Research and Technology Center, 176 How Close Are Fully Unattended Operations?, 228
NEW DEVELOPMENTS IN TELECOMMUNICATIONS 179 A Product Wish List, 229

T-Carriers. 179 Case Example: US West, 230
Fiber Opties, 180 nchnical Problems in Opera torkss Network s, 233
Satellite Transmission, 181 PI I YSICAI, IN 1 S1%111111'11) SYSTI.:MS 235
ISIIN, 182 Vulneroluld 'es in