Slide 1.

Issues Senior Management

Lecture 9
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Outline
 Management Control of Information Technology.
 Management Issues
 Information Technology Issues For Management
Management Control of Information
Techno..
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Control Theory
 In this system, a sensor determines actual conditions, and a
comparison device compares the standard with what actually exists.
If the difference between reality and the standard is too great, the
comparison device sends a signal to take action. The action taken
 in turn affects the sensor and standard, and the cycle continues until
the compar­ison device finds agreement between sensor and
standard , and stops signaling for action
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This example shows how a basic control system functions. In an

organization,
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Control in the Organization

 some of the tools available to managers at different levels for
controlling the organization.
 Top management can create control through the

structure of the organization.

 Middle managers are also expected to exert direct supervision

over their subor­dinates, though more remote work makes this

difficult and control device is the budget. Many managers in the
organization receive periodic budget reports.
 lowest levels of management, we find procedures describing how

opera­tions should be done

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Failure of Control
 What happens when management control fails? Very often, a firm fails
as a result of a control breakdown. In the computer industry, there
are notable.
 absence of controls over expenditures.
 dropped, the failure to have budgets or control expenditures
pushed the firm into bankruptcy.
Management Issues
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MANAGEMENT ISSUES
Many of you will eventually be responsible for systems in your
functional areas of business. What are the issues you will confront in this
role?
 Backup. It is extremely important to have backup for systems.

 Security. Personal computers have created a host of security problems

because they are so accessible.

 few users physically lock their computers or use start-up password­

protection programs. As a manager, you will have to decide how much

security.
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 Keeping to the budget The appetite users have for technology seems
to be insa­tiable
 Project management. As mentioned earlier, IT projects frequently
lose control.
 Control over data. The accuracy of data used in making decisions
is always an important management consideration
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SECURITY ISSUES

SECURITY ISSUES: VIRUSES, WORMS, AND OTHER

CREATURES
 The proliferation of personal computers and the
development of communications networks gave rise to a
category of programs that can only be called malicious
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VIRUSES
INFORMATION TECHNOLOGY ISSUES
FOR MANAGEMENT
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MANAGEMENT IN A TECHNOLOGICAL
ENVIRONMENT
 No matter what their functional area, managers today and in the
future will face a
 highly technological environment. The costs of processing logic and

communica­tions networks are so low, and the potential of this

technology so high, that the
What are the management challenges‫؟‬
 The challenge for senior management in this changing world is

technolog­ical environment. The hardware and software infrastructure

is expanding rapidly as networks of servers and workstations grow
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The Chief Information Officer

The increased importance of IT to the firm has led to the
creation of a chief in­formation officer (CIO) position.
 The job demands someone who can assume a role in

planning, in­fluencing other senior managers, and

organizing information activities in the organization.
This person responsible for:
1. formation technology in the firm.
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Cont…
1. the chief information officer is also an influential member of senior
management and is usually a vice president or senior vice president
in the firm. In addition to traditional information process­ing
2. this individual is responsible for voice and data communications and
office technology.
3. The job of the CIO is to build relationships with other functional
man­agers so IT requirements become a part of business strategy.
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Continuous assessment 20%
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 Determine and Communicate Corporate Strategy:

If you and others in the organization are to help the firm achieve its
strategy, you must know what it is ! Develop a plan for how to use
information technology. The plan should include:
 Develop a long-range plan for the technological infrastructure :-
Reading
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chapter 25
 Outline
Social Responsibilities
 Technology

 Applications of IT

 The Impact of IT

 Ethics and Information Technology

 The Future with Information Technology

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