CHAPTER 6: VALUING ORGANIZATIONAL INFORMATION

CHAPTER 6: VALUING ORGANIZATIONAL INFORMATION

Assalamualaikum..hello everybody..! 

            0rganizational Information

 Information is everywhere in an organization

•         Employees must be able to obtain and analyze the many different levels, formats, and granularities of organizational information to make decisions

•         Successfully collecting, compiling, sorting, and analyzing information can provide tremendous insight into how an organization is performing

Table below shows the Levels, Formats, and Granularities of Organizational Information.

While, the below diagram shows the transactional versus analytical information.

The Value of Timely Information

•         Timeliness is an aspect of information that depends on the situation

–     Real-time information – immediate, up-to-date information

–     Real-time system – provides real-time information in response to query requests

The Value of Quality Information

•         Business decisions are only as good as the quality of the information used to make the decisions

•         You never want to find yourself using technology to help you make a bad decision faster

            

             Here some of characteristics of high-quality information include:

             Picture below shows the Low-Quality Information Example

            Understanding The Cost Of Poor Information

            The four primary sources of low quality information include:

1.      Online customers intentionally enter inaccurate information to protect their privacy

2.      Information from different systems have different entry standards and formats

3.      Call center operators enter abbreviated or erroneous information by accident or to save time

4.      Third party and external information contains inconsistencies, inaccuracies, and errors

Potential business effects resulting from low quality information include:

–     Inability to accurately track customers

–     Difficulty identifying valuable customers

–     Inability to identify selling opportunities

–     Marketing to nonexistent customers

–     Difficulty tracking revenue due to inaccurate invoices

–     Inability to build strong customer relationships

Understanding The Benefits of Good Information

•          High quality information can significantly improve the chances of making a good decision

•         Good decisions can directly impact an organization's bottom line

             Thats all from me..thank you for visiting.. :)

                                                                      

THE END....

CHAPTER 5: ORGANIZATIONAL STRUCTURES THAT SUPPORT STRATEGIC INITIATIVES

CHAPTER 5: ORGANIZATIONAL STRUCTURES THAT SUPPORT STRATEGIC                 INITIATIVES

Olla everyone..! Previously my post is about chapter 4 in IT. And today I would like to share with

you guys about chapter 5 in IT which is organizational structures that support strategic

initiatives. Lets check it out..!

Organizational Structure

·         Organizational employees must work closely together to develop strategic initiatives that create competitive advantages

·         Ethics and security are two fundamental building blocks that organizations must base their businesses upon

IT Roles and Responsibilities

•          Information technology is a relatively new functional area, having only been around formally for around 40 years

•          Recent IT-related strategic positions:

–      Chief Information Officer (CIO)

–      Chief Technology Officer (CTO)

–      Chief Security Officer (CSO)

–      Chief Privacy Officer (CPO)

–      Chief Knowledge Office (CKO)

           

•          Chief Information Officer (CIO) – oversees all uses of IT and ensures the strategic alignment of IT with business goals and objectives

•          Broad CIO functions include:

–      Manager – ensuring the delivery of all IT projects, on time and within budget

–      Leader – ensuring the strategic vision of IT is in line with the strategic vision of the organization

–      Communicator – building and maintaining strong executive relationships

      The table below shows the average CIO compensation by industry

While in this picture shows what concerns CIOs the most?

•          Chief Technology Officer (CTO) – responsible for ensuring the throughput, speed, accuracy, availability, and reliability of IT

•          Chief Security Officer (CSO) – responsible for ensuring the security of IT systems

•          Chief Privacy Officer (CPO) – responsible for ensuring the ethical and legal use of information

•          Chief Knowledge Office (CKO) - responsible for collecting, maintaining, and distributing the organization’s knowledge

THE GAP BETWEEN BUSINESS PERSONNEL AND IT PERSONNEL

•          Business personnel possess expertise in functional areas such as marketing, accounting, and sales 

•          IT personnel have the technological expertise 

•          This typically causes a communications gap between the business personnel and IT personnel

Improving Communications

•          Business personnel must seek to increase their understanding of IT

•          IT personnel must seek to increase their understanding of the business

•          It is the responsibility of the CIO to ensure effective communication between business personnel and IT personnel

Organizational Fundamentals- Ethics and Security

•          Ethics and security are two fundamental building blocks that organizations must base their businesses on to be successful

•          In recent years, such events as the Enron and Martha Stewart, along with 9/11 have shed new light on the meaning of ethics and security

Ethics

Here I would like to share with you guys with Issues Affected by Technology Advances

While there is one of the main ingredients in trust is privacy. Privacy is one of the biggest ethical issues facing organizations today. Trust between companies, customers, partners, and suupliers is the support structure of the ebusiness world

.  

The table below shows the primary reasons privacy issues lost trust for e-business.

Security

•          Organizational information is intellectual capital - it must be protected

•          Information security – the protection of information from accidental or intentional misuse by persons inside or outside an organization

•          E-business automatically creates tremendous information security risks for organizations

The figure displays the typical size of an organization’s information security budget relative to the organization's overall IT budget

While this this figure below displays the spending per employee on computer security

THE END

Thank you for reading my blog..! :)

CHAPTER 4: MEASURING THE SUCCESS OF STRATEGIC INITIATIVES

CHAPTER 4: MEASURING THE SUCCESS OF STRATEGIC INITIATIVES

Assalamualaikum you alls..!! This week I would like to give a few information about chapter 4 in IT which is Measuring The Success of Strategic Initiatives. First is measuring information technology’s success.

MEASURING INFORMATION TECHNOLOGY’S SUCCESS.

·         Key performance indicators (KPIs)- measures that are tied to business drivers

·         Metrics are detailed measures that feed KPIs

·         Performance metrics fall into the nebulous area of business intelligence that is neither technology, nor business centered, but requires input from both IT and business professionals.

  EFFICIENCY AND EFFECTIVENESS

·             Efficiency IT metric – measures the performance of the IT system itself including throughput, speed,           and availability

·            Effectiveness IT metric – measures the impact IT has on business processes and activities including           customer satisfaction, conversion rates, and sell-through increases.

          BENCHMARKING-BASELINE METRICS

   ·         Regardless of what is measured, how it is measured, and whether it is for the sake of efficiency    or effectiveness, there must be benchmarks – baseline values the system seeks to attain

   ·         Benchmarking – a process of continuously measuring system results, comparing those results    to optimal system performance (benchmark values), and identifying steps and procedures to        improve system performance

This picture below shows the E-government benchmarks.

  THE INTERRELATIONSHIPS OF EFFICIENCY AND EFFECTIVENESS IT METRICS

·              Efficiency IT metrics focus on technology and include:

ü  Throughput

ü  Transaction speed

ü  System availability

ü  Information accuracy

ü  Web traffic

ü  Response time

        The table below shows the common types efficiency IT metrics

      While, in this table it is shows the common types of effectiveness IT metrics

·                    Security is an issue for any organization offering products or services over the Internet

·                    It is inefficient for an organization to implement Internet security, since it slows down processing

      -However, to be effective it must implement Internet security

       -Secure Internet connections must offer encryption and Secure Sockets Layers (SSL denoted by  

         the lock symbol in the lower right corner of a browser)

         METRICS FOR STRATEGIC INITIATIVES

·                         Metrics for measuring and managing strategic initiatives include:

-Web site metrics

-Supply chain management (SCM) metrics

-Customer relationship management (CRM) metrics

-Business process reengineering (BPR) metrics

-Enterprise resource planning (ERP) metrics

      WEBSITE METRICS

     Figure below shows a few metrics managers should be familiar with to help measure website success            along with an organization’s strategic initiatives.

 SUPPLY CHAIN MANAGEMENT (SCM) METRICS

 Supply chain management metrics can help an organization understand how it’s operating over a given          time period.

      SCM cover areas including:

§  Procurement

§  Production

§  Distribution

§   Warehousing

§  Inventory

§  Transportation

§  Customer service

                                             Common supply chain management metrics

  CUSTOMER RELATIONSHIP MANAGEMENT (CRM) METRICS

   The table below shows the common CRM metrics tracked by organization

BUSINESS PROCESS REENGINEERING (BPR) AND ENTERPRISE RESOURCE PLANNING        (ERP) METRICS

Balanced scorecard- a management system, in addition to a measurement system, that enables                 organizations to clarify their vision and strategy and translate them into action.

THANK YOU..!! :)