The information society
Lecture 5
Ewan Sutherland
Managing the changing computer
Topics
- changes in computer technology
- changes in methods
- consequences for organisations
- organisational structures
- management of the “IT function”
- Nolan’s stages of growth
- hybrids and chief information officers
Computer classes
- mainframe computers: UNIVAC 1952
- minicomputers: DEC PDP-1 1961
- microcomputers or personal computers: MITS Altair 1975
Computer generations
First generation
- 1951-1958
- valves
- magnetic drums
Second generation
- 1959-1964
- transistors
- magnetic cores
Third generation
- 1965-1979
- integrated circuits
Fourth generation
- 1971- today
- large scale integrated circuits
Generations of language
- machine code
- assembler
- programming languages: COBOL, FORTRAN
- 4GLs:
- artificial intelligence: PROLOG, Lisp
Structured programming
- documentation
- annotation
- indentation of the code
- modules
- re-use of ‘code’
Maintenance
- lack of recognition
- absence of a philosophy
- inadequate planning
- failure to define training needs
- absence of formal change control processes
- lack of knowledge amongst programmers and analysts of change in the business processes and environment
Re-engineering
- performed for individual programs
- still more than 77,000,000,000 line of COBOL program running
- need to undo and re-compile
Structured analysis
Formalisation of methods for systems analysis
why?
- complexity
- expense
- risk of overrun
- poor productivity
- poor performance of information systems in operation
- success of structured programming
Outcome
Success if used as specified.
Failure if:
- never delivered
- abandoned and re-developed
- delivered and never used
- used only after modifications
Design specification
- specific
- complete
- unambiguous
- non-contradictory
- clear
- concise
Computer Aided Software Engineering (CASE)
For example:
- James Martin Information Engineering Facility
- Oracle CASE*Designer
CASE is not a miracle cure!.
Changes in computers
From a few isolated computers we now have a complex infrastructure to support.
- customers
- suppliers
- managers and executives
Distributed systems
- move away from monolithic central systems
- remote access to central systems
- local processing (e.g. in a division)
- unconnected PCs
- fully distributed and networked
IT architecture
- integrated communications
- integrated databases
- integrated applications
- to allow flexibility for the organisation
Trends
- extensive communications networks
- accessible distributed databases
- powerful and easy-to-use workstations
- high-performance, reliable and comprehensive networks
Classes of information systems
- on-line transaction processing systems
- office information systems
- decision support systems
- factory automation
Information systems
- embody and institutionalise organisational knowledge
- grow and elaborate over time
- are remarkably long lived
- congregate and develop as families whose members are highly interdependent
Organisational effects
Historical perspective:
- technical control of programmers
- management of dispersed resources
- participation in company politics
Investment rationale:
- getting away from cost benefit analysis
- strategic initiatives
- strategic alignment
Aims
- improve organisational performance
- improve workgroup performance
- improve individual performance
Stages of Growth
Proposed by Gibson and Nolan (1974) Harvard Business Review.
- cost-reduction accounting
- proliferation in functional areas
- moratorium on new applications
- database applications
Organisational learning
- S-shaped curves
- crises in Data Processing departments
- more stages to come
- three types of growth
- computer applications
- specialisation of DP staff
- formal management techniques
Growth of specialisation
Computer efficiency
- operators,
- programmers,
- analysts
Development of applications
- systems programmers,
- systems analysts
Control and effectiveness
- maintenance programmers,
- systems analysts with expertise in a function, e.g. finance
Database and on-line systems
- database expertise
- telecoms expertise
Management techniques
- lax management
- pro-active or sales-driven
- control-oriented
- resource-oriented
Revised stages
- initiation
- contagion
- control
- integration
- data administration
- maturity
Nolan (1979) Harvard Business Review.
Causes of growth
- knowledge (internal and external sources)
- technology
- organisational control
Guidelines for action
- recognise the fundamental organisational transformation from computer management to data resource management
- recognise the importance of the enabling technologies
- identify the stages of the company’s operating unit to help keep data processing activities on track
- develop a multi-level strategy and plan
- make the steering committee work!
Development of a plan
- determine where the organisation stands in the evolution of data processing
- analyse strengths and weaknesses
- choose a strategy that fits the company’s business strategy
- outline growth for 3-5 years
Levels of risk
- high and low
- long and short term
- turnover of systems
- project management
End user computing
- direct, hands-on computing by non-specialists
- filling real needs of users
- loss of budgetary control
- loss of mystique
- growth of understanding about IT
- rapid responses
Origin of EUC
- IBM in Canada in 1974
- bridge between IS departments and “end users”
- focal point for support
- to meet a wide range of demands
Applications of EUC
- accounting, report generation
- search and retrieval
- presentation
- analysis
- decision making
- developing small programs
Organisational control
- hardware
- software
- data
- telecommunications
- training
- development of applications
Problems
- compatibility
- security
- integrity
- capacity
Hybrids
British Computer Society idea.
To combine:
- technical knowledge
- business knowledge
- managerial capability
Need for someone senior to run the show.
Designation in the USA has been Chief Information Officer
Price Waterhouse
Annual survey of DP managers
Issues in 1994 were:
- cost control
- integrating IT
- deadlines
- open and client/server systems
Expenditure on PCs is rapidly passing spending on mainframes and minicomputers.
Fall in staff numbers.
Increase in outsourcing some or all
Conclusion
- continuing changes in technology
- diffusion of technology into the hands of end users
- changes in the relationship with suppliers and IT/IS/DP departments
- changing needs for IT expertise
- embroiled in strategy and business process re-design
Reading
Beaumont, J R and Sutherland, E (1992) “Information Resources Management” Butterworth-Heinemann, Oxford.
Friedman, A L with Cornford, D S (1989) Computer Systems Development” John Wiley & Son, Chichester.
Copyright © Ewan Sutherland, 1995.