7-1 Management Information Systems for the Information Age Chapter 7 IT Infrastructures Business-Driven Technology

7-7-11 Management Information Systems Management Information Systems

for the Information Agefor the Information Age

Chapter 7Chapter 7

IT InfrastructuresIT Infrastructures

Business-Driven TechnologyBusiness-Driven Technology



Presentation OverviewPresentation Overview Organizational Goals and StrategiesOrganizational Goals and Strategies Increase Employee ProductivityIncrease Employee Productivity Enhance Decision MakingEnhance Decision Making Improve Team CollaborationImprove Team Collaboration Create Business Partnerships and AlliancesCreate Business Partnerships and Alliances Enable Global ReachEnable Global Reach Facilitate Organizational TransformationFacilitate Organizational Transformation IT Infrastructures and The Real WorldIT Infrastructures and The Real World



Opening Case StudyOpening Case StudyWhat’s The Difference Between Napster What’s The Difference Between Napster

and Gnutella?and Gnutella?

Napster and Gnutella have similar Napster and Gnutella have similar products that use different IT products that use different IT infrastructures.infrastructures.

Why is it important for a company to build Why is it important for a company to build a solid IT infrastructure?a solid IT infrastructure?



IntroductionIntroduction

IT infrastructure - IT infrastructure - includes the hardware, includes the hardware, software, and software, and telecommunications telecommunications equipment that, when equipment that, when combined, provide the combined, provide the underlying foundation to underlying foundation to support the support the organization’s goals.organization’s goals.



Organizational Goals and Organizational Goals and StrategiesStrategies

1.1. Increase employee productivityIncrease employee productivity

2.2. Enhance decision makingEnhance decision making

3.3. Improve team collaborationImprove team collaboration

4.4. Create business partnerships and Create business partnerships and alliancesalliances

5.5. Enable global reachEnable global reach

6.6. Facilitate organizational transformationFacilitate organizational transformation



Increase Employee ProductivityIncrease Employee Productivity

Client/server networkClient/server network

InternetInternet

Intranets and extranetsIntranets and extranets

Backup/recoveryBackup/recovery

Disaster recovery planDisaster recovery plan



Increase Employee Productivity Increase Employee Productivity

Client/Server NetworkClient/Server Network Client/server networkClient/server network - a network in - a network in

which one or more computers are servers which one or more computers are servers and provide services to the other and provide services to the other computers which are called clients. computers which are called clients.

Thin clientThin client - a workstation with a small - a workstation with a small amount of processing power and costs amount of processing power and costs less than a full powered workstation. less than a full powered workstation.



Increase Employee Productivity Increase Employee Productivity Client/Server NetworkClient/Server Network



Increase Employee ProductivityIncrease Employee ProductivityInternetInternet

Global reach - Global reach - the ability to extend a the ability to extend a company’s reach to customers anywhere company’s reach to customers anywhere there is an Internet connection, and at a there is an Internet connection, and at a much lower cost. much lower cost.



Increase Employee Productivity Increase Employee Productivity Intranets and ExtranetsIntranets and Extranets

IntranetIntranet - an internal organizational - an internal organizational Internet that is guarded against outside Internet that is guarded against outside access by a special security feature called access by a special security feature called a firewall (which can be software, a firewall (which can be software, hardware, or a combination of the two).hardware, or a combination of the two).

ExtranetExtranet – is an intranet that is restricted – is an intranet that is restricted to an organization and certain outsiders, to an organization and certain outsiders, such as customers and suppliers. such as customers and suppliers.



Increase Employee ProductivityIncrease Employee Productivity Backup/RecoveryBackup/Recovery

BackupBackup - the process of making a copy of - the process of making a copy of the information stored on a computer. the information stored on a computer.

RecoveryRecovery - the process of reinstalling the - the process of reinstalling the backup information in the event the backup information in the event the information was lost.information was lost.



Increase Employee Productivity Increase Employee Productivity Disaster Recovery PlanDisaster Recovery Plan

Disaster recovery planDisaster recovery plan - a detailed process for - a detailed process for recovering information or an IT system in the event recovering information or an IT system in the event of a catastrophic disaster such as a fire or flood. of a catastrophic disaster such as a fire or flood.

Hot siteHot site - a separate and fully equipped facility - a separate and fully equipped facility where the company can move immediately after the where the company can move immediately after the disaster and resume business. disaster and resume business.

Cold siteCold site - a separate facility that does not have any - a separate facility that does not have any computer equipment, but is a place where the computer equipment, but is a place where the knowledge workers can move after the disaster. knowledge workers can move after the disaster.



Increase Employee Increase Employee Productivity Productivity Disaster Recovery PlanDisaster Recovery Plan

Disaster recovery Disaster recovery cost curve – cost curve – chartscharts

1.1. The cost to your The cost to your organization of the organization of the unavailability of unavailability of information and information and technology.technology.

2.2. The cost to your The cost to your organization of organization of recovering from a recovering from a disaster over time. disaster over time.



Increase Employee ProductivityIncrease Employee Productivity Factors That Increase Employee Factors That Increase Employee

ProductivityProductivity Availability - determining when your IT system will be Availability - determining when your IT system will be

available for knowledge workers to access. available for knowledge workers to access.

Accessibility - determining who has the right to access Accessibility - determining who has the right to access different types of IT systems and information. different types of IT systems and information.

Reliability - ensures your IT systems are functioning Reliability - ensures your IT systems are functioning correctly and providing accurate information. correctly and providing accurate information. Data cleansingData cleansing - the process of ensuring that all information is - the process of ensuring that all information is

accurate. accurate.



Increase Employee ProductivityIncrease Employee Productivity Factors That Increase Employee Factors That Increase Employee

ProductivityProductivity ScalabilityScalability – how well your system can adapt to – how well your system can adapt to

increased demands.increased demands.

Flexibility - the systems ability to change quickly. Flexibility - the systems ability to change quickly.

Performance -Performance - measures how quickly an IT measures how quickly an IT system performs a certain process. system performs a certain process. BenchmarkBenchmark - a set of conditions used to measure - a set of conditions used to measure

how well a product or system functions. how well a product or system functions.



Increase Employee ProductivityIncrease Employee Productivity

Factors That Increase Employee Factors That Increase Employee ProductivityProductivity

Capacity planningCapacity planning - - determines the future IT determines the future IT infrastructure infrastructure requirements for new requirements for new equipment and additional equipment and additional network capacity. network capacity.

Team Work

IT Components and Factors

(p. 339)



Increase Employee Productivity Increase Employee Productivity Factors That Increase Employee Factors That Increase Employee

ProductivityProductivity

On Your Own

Increase StudentProductivity

(p. 340)



Enhance Decision MakingEnhance Decision Making

IntegrationIntegration

Enterprise application integration (EAI)Enterprise application integration (EAI)

Enterprise application integration middleware Enterprise application integration middleware (EAI middleware)(EAI middleware)

Storage devicesStorage devices



Enhance Decision MakingEnhance Decision MakingIntegrationIntegration

IntegrationIntegration - allows - allows separate systems to separate systems to communicate directly communicate directly with each other by with each other by automatically automatically exporting data files exporting data files from one system and from one system and importing them into importing them into another. another.



Enhance Decision MakingEnhance Decision MakingEnterprise Application Integration (EAI)Enterprise Application Integration (EAI)

Enterprise application integration Enterprise application integration (EAI)(EAI) - the process of developing an IT - the process of developing an IT infrastructure that enables employees to infrastructure that enables employees to quickly implement new or changing quickly implement new or changing business processes. business processes.



Enhance Decision MakingEnhance Decision MakingEnterprise Application Integration Enterprise Application Integration

Middleware Middleware Enterprise application integration Enterprise application integration

middleware (EAI Middleware)middleware (EAI Middleware) - allows - allows organizations to develop different levels of organizations to develop different levels of integration from the information level to the integration from the information level to the business process level. business process level.



Enhance Decision MakingEnhance Decision MakingStorage DevicesStorage Devices

A storage architecture takes into account A storage architecture takes into account the types and sizes of devices where the types and sizes of devices where information is stored. information is stored.

Archived information is stored on a Archived information is stored on a storage server. storage server.



Improve Team CollaborationImprove Team Collaboration

Document management systemDocument management system

Enterprise information portals (EIP)Enterprise information portals (EIP)

Workflow systemsWorkflow systems



Improve Team CollaborationImprove Team CollaborationDocument Management SystemDocument Management System

Document management systemDocument management system - - manages a document through its life cycle. manages a document through its life cycle.

Primary functions of a document Primary functions of a document management system include: management system include: Creation: For creating different document types.Creation: For creating different document types. Modification: Manages the integrity of a Modification: Manages the integrity of a

document as it’s edited.document as it’s edited.



Improve Team CollaborationImprove Team CollaborationDocument Management SystemDocument Management System

Security: Controls access to a document. Security: Controls access to a document. Approval: Sends documents to knowledge Approval: Sends documents to knowledge

workers for approval.workers for approval. Distribution: Knowledge workers distribute Distribution: Knowledge workers distribute

documents via e-mail or the web. documents via e-mail or the web. Archiving: Saving documents in a storage Archiving: Saving documents in a storage

facility.facility.



Improve Team CollaborationImprove Team CollaborationEnterprise Information PortalsEnterprise Information Portals

Enterprise information portals (EIPs) -Enterprise information portals (EIPs) - allow allow knowledge workers to access company knowledge workers to access company information via a Web interface. information via a Web interface.

Collaborative processing enterprise information Collaborative processing enterprise information portal - portal - provides knowledge workers with access to provides knowledge workers with access to workgroup information such as e-mails, reports, workgroup information such as e-mails, reports, meeting minutes, and memos. meeting minutes, and memos.

Decision processing enterprise information Decision processing enterprise information portal -portal - provides knowledge workers with corporate provides knowledge workers with corporate information for making key business decisions.information for making key business decisions.



Improve Team CollaborationImprove Team CollaborationWorkflow SystemsWorkflow Systems

Workflow - Workflow - defines all of the steps or defines all of the steps or business rules, from beginning to end, business rules, from beginning to end, required for a process to run correctly. required for a process to run correctly.

Workflow systemsWorkflow systems - automate business - automate business processes. processes.




Messaging-based workflow systemsMessaging-based workflow systems - send - send work assignments through an e-mail system. work assignments through an e-mail system.

Database-based workflow systems - Database-based workflow systems - store store the document in a central location and the document in a central location and automatically asks the knowledge workers to automatically asks the knowledge workers to access the document when it’s their turn to access the document when it’s their turn to edit the document. edit the document.




On Your Own

Working TogetherAs A Team

(p. 345)



Create Business Partnerships Create Business Partnerships and Alliancesand Alliances

Customer Relationship Management (CRM) Customer Relationship Management (CRM) SystemsSystems

Sales Force Automation (SFA) SystemsSales Force Automation (SFA) Systems

Electronic CatalogElectronic Catalog

Supply Chain Management (SCM) SystemsSupply Chain Management (SCM) Systems




Customer Relationship Management SystemsCustomer Relationship Management Systems

Customer relationship management Customer relationship management (CRM) systems - (CRM) systems - use information about use information about customers to gain insights into their needs, customers to gain insights into their needs, wants, and behaviors in order to serve wants, and behaviors in order to serve them better. them better.



Create Business Partnerships Create Business Partnerships and Alliances and Alliances

Customer Relationship Management SystemsCustomer Relationship Management Systems Front office systems - Front office systems - the primary the primary

interface to customers and sales channels, interface to customers and sales channels, and send all of the customer information to and send all of the customer information to the data warehouse. the data warehouse.

Back office systems -Back office systems - used to fulfill and used to fulfill and support customer orders, and send all of support customer orders, and send all of the customer information to the data the customer information to the data warehouse. warehouse.




Customer Relationship Management Customer Relationship Management SystemsSystems

A sample CRM infrastructureA sample CRM infrastructure




Sales Force Automation SystemsSales Force Automation Systems

Sales force automation (SFA) systems -Sales force automation (SFA) systems - automatically track all of the steps in the automatically track all of the steps in the sales process. sales process.



Create Business Partnerships Create Business Partnerships and Alliancesand Alliances Electronic CatalogElectronic Catalog

Electronic catalog - Electronic catalog - designed to designed to present products to customers or present products to customers or partners all over the world via the partners all over the world via the Web. Web.




Supply Chain Management SystemSupply Chain Management System Supply Chain Supply Chain

Management Management (SCM) Systems - (SCM) Systems - track inventory and track inventory and information among information among business processes business processes and across and across companies.companies.



Enable Global Reach Enable Global Reach

Internet Service Provider (ISP)Internet Service Provider (ISP)

Application Service Provider (ASP)Application Service Provider (ASP)

Collocation FacilitiesCollocation Facilities

Server FarmsServer Farms



Enable Global Reach Enable Global Reach Internet Service ProviderInternet Service Provider

Internet service providerInternet service provider ( (ISPISP) - a ) - a company that provides individuals, company that provides individuals, organizations, and businesses access to organizations, and businesses access to the Internet. the Internet.



Enable Global Reach Enable Global Reach Application Service ProviderApplication Service Provider

Application service provider (ASP) - Application service provider (ASP) - a a company that provides an outsourcing service company that provides an outsourcing service for businesses software applications. for businesses software applications.

Service Level Agreements (SLAs)Service Level Agreements (SLAs) - define the - define the specific responsibilities of the service provider specific responsibilities of the service provider and set the customer expectations. and set the customer expectations.



Enable Global Reach Enable Global Reach Application Service ProviderApplication Service Provider

A sample ASP infrastructureA sample ASP infrastructure



Enable Global Reach Enable Global Reach Collocation FacilitiesCollocation Facilities

CollocationCollocation - a company rents space and - a company rents space and telecommunications equipment from telecommunications equipment from another company, or a collocation vendor. another company, or a collocation vendor.



Enable Global Reach Enable Global Reach Server FarmServer Farm

Server farmServer farm - the name of a location - the name of a location that stores a group of servers in a single that stores a group of servers in a single place. place.

Web farmWeb farm – is either a Web site that has – is either a Web site that has multiple servers, or an ISP that provides multiple servers, or an ISP that provides Web site outsourcing services using Web site outsourcing services using multiple servers. multiple servers.



Facilitate Organizational Facilitate Organizational TransformationTransformation

Enterprise Resource Planning (ERP) Enterprise Resource Planning (ERP) and Enterprise Softwareand Enterprise Software

Data Warehouse Data Warehouse

Infrastructure DocumentationInfrastructure Documentation



Facilitate Organizational Facilitate Organizational Transformation Transformation

ERP and Enterprise SoftwareERP and Enterprise Software

Enterprise resource planning (ERP)Enterprise resource planning (ERP) - - the the method of getting and keeping an overview of method of getting and keeping an overview of every part of the business (a bird’s eye view, so every part of the business (a bird’s eye view, so to speak), so that production, development, to speak), so that production, development, selling, and servicing of goods and services will selling, and servicing of goods and services will all be coordinated to contribute to the company’s all be coordinated to contribute to the company’s

goals and objectives.goals and objectives.




ERP and Enterprise SoftwareERP and Enterprise Software Enterprise softwareEnterprise software - a suite of software that - a suite of software that

includes: includes: 1.1. A set of common business applications.A set of common business applications.2.2. Tools for modeling how the entire organization Tools for modeling how the entire organization

works.works.3.3. Development tools for building applications unique Development tools for building applications unique

to your organization.to your organization.

Computer-aided software engineering Computer-aided software engineering (CASE) (CASE) tools -tools - software suites that automate software suites that automate systems development. systems development.




ERP and Enterprise SoftwareERP and Enterprise Software A sample enterprise software A sample enterprise software

infrastructureinfrastructure




ERP and Enterprise SoftwareERP and Enterprise Software Legacy systemsLegacy systems - - are IT systems are IT systems

previously built using older technologies previously built using older technologies such as mainframe computers and such as mainframe computers and programming languages such as COBOL. programming languages such as COBOL.

Business process reengineering (BPR)Business process reengineering (BPR) - the reinventing of processes within a - the reinventing of processes within a business. business.




Data WarehouseData Warehouse The data warehouse consolidates the ERP The data warehouse consolidates the ERP

information along with other sources of information along with other sources of information in order to perform and support information in order to perform and support analysis. analysis.

A data warehouse can help knowledge workers A data warehouse can help knowledge workers organize, understand, and analyze the organize, understand, and analyze the information collected by the organization. information collected by the organization.




Infrastructure DocumentationInfrastructure Documentation One of the keys to building a solid IT One of the keys to building a solid IT

infrastructure is to ensure every infrastructure is to ensure every component is well documented and the component is well documented and the documentation is available to all company documentation is available to all company employees. employees.

A major issue for organizations today is A major issue for organizations today is the lack of system documentation. the lack of system documentation.



IT Infrastructures and the IT Infrastructures and the Real WorldReal World

Remember to ask yourself the following Remember to ask yourself the following questions before approving the IT questions before approving the IT infrastructure designs: infrastructure designs:

How big is your department going to grow? How big is your department going to grow? Will the system be able to handle additional users?Will the system be able to handle additional users? How are your customers going to grow? How are your customers going to grow? How much additional information do you expect to How much additional information do you expect to

store each year?store each year? How long will you maintain information in the How long will you maintain information in the

systems? systems? How much history do you want to keep on each How much history do you want to keep on each

customer?customer?




When do the people in your department work? When do the people in your department work? What are the hours you need the system to be What are the hours you need the system to be

available?available? How often do you need the information backed up?How often do you need the information backed up? What will happen to your system if there is a disaster? What will happen to your system if there is a disaster?

What is the disaster recovery plan for your system?What is the disaster recovery plan for your system? How easy is it to change the system? How easy is it to change the system? How flexible is the system?How flexible is the system?




Team Work

Choosing An ERP Vendor(p. 356)



Closing Case Study OneClosing Case Study OneUniversity InfrastructuresUniversity Infrastructures

A university’s IT infrastructure is an A university’s IT infrastructure is an important criterion students use when important criterion students use when deciding which university they want to deciding which university they want to attend.attend.

How can a university ensure they have How can a university ensure they have implemented a solid IT infrastructure?implemented a solid IT infrastructure?



Closing Case Study TwoClosing Case Study TwoDocument Management Solutions In The Document Management Solutions In The

Automotive IndustryAutomotive Industry Ford has helped to improve product quality and Ford has helped to improve product quality and

customer satisfaction by implementing a customer satisfaction by implementing a document management system and employee document management system and employee information portal.information portal.

What types of IT infrastructure components has What types of IT infrastructure components has Ford used to help increase employee Ford used to help increase employee productivity and team collaboration?productivity and team collaboration?



Summary Summary Student Learning Outcomes Student Learning Outcomes

1.1. Explain the relationship between the Explain the relationship between the organization’s roles and goals and the IT organization’s roles and goals and the IT infrastructure.infrastructure.

2.2. List and describe four of the seven List and describe four of the seven factors that help increase employee factors that help increase employee productivity.productivity.

3.3. Explain system integration and how it Explain system integration and how it enhances decision making.enhances decision making.



Summary Summary Student Learning OutcomesStudent Learning Outcomes

4.4. List and describe two different types of List and describe two different types of workflow systems.workflow systems.

5.5. List and describe two IT infrastructure List and describe two IT infrastructure components that create business components that create business partnerships and alliances.partnerships and alliances.

6.6. List and describe two of the four IT List and describe two of the four IT infrastructure components that enable infrastructure components that enable global reach.global reach.



Summary Summary Assignments & ExercisesAssignments & Exercises

1.1. An EIP for your courseAn EIP for your course

2.2. Sponsor of the IT InfrastructureSponsor of the IT Infrastructure

3.3. IT Infrastructure components and the IT Infrastructure components and the real worldreal world

4.4. Creating the ideal infrastructureCreating the ideal infrastructure

5.5. The complete IT infrastructureThe complete IT infrastructure

6.6. Creating a campus IT infrastructureCreating a campus IT infrastructure



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7-1 Management Information Systems for the Information Age Chapter 7 IT Infrastructures Business-Driven Technology