Information Technology Workbook
10 Managing information systems
Businesses generate earnings by buying raw materials, adding
value to them, and selling them to customers at
costs that cover costs and overhead plus profit.
Properly implemented and managed
information systems can reduce costs and
increase business competitiveness. Value chain analysis
helps identify
the processes within a business that may be improved with information
technology. IT can also be used to distinguish
the way a business deals with customers, providing a unique
experience. In this way IT can become part of a
differentiation strategy. An effort known as
business process reengineering (BPR)
seeks to redesign business processes to reduce cost and
improve quality, service and speed. The
implementation of automated knowledge management systems
(KMS) can aid in BPR by capturing and making accessible
the knowledge gained by skilled employees.
Software maintenance is an ongoing IT
management responsibility. Complex modern systems mixing various
hardware and software platforms require almost constant attention
to upgrades and revisions due to vendor and business changes.
IT maintenance consumes as much as 50% of the skilled resources available.
Business continuity (disaster
recovery) measures are also a critical IT responsibility.
10.1 The IT organization and its funding
10.2 A significant IT role: software maintenance
10.3 Adding value: differentiation, the value chain, strategies
10.4 Tools for change and improvement
10.5 Business continuity planning, backup encryption, Knowledge Management
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