Chapter+1+-+Introduction+to+IS+Management

Hi Group 1, add or modify your content in this page by Friday Sep 25 at 2359 (due to the typhoon impact to the lab on Week 3). - For Group 1, you can do the write-up anytime after the tutorial.

= What is ISM ? =

ISM stands for Information System Management, which we define as the development and use of information systems that help businesses achieve their goals and objectives. This definition has three key elements: development and use, information systems and business goals and objectives.

Components of an Information System
A system is a group of components that interact to achieve some purpose. Below figure shows the five-component framework – the five fundamental components of an information system: computer hardware, software, data, procedures, and people. These five components are present in every information system, from the simplest to the most complex. For example, when you use a computer to write a class report, you are using hardware (the computer, storage disk, keyboard, and monitor), software (Word, WordPerfect, of some other word-processing program), data (the words, sentences, and paragraphs in your report), procedures (the methods you use to start the program, enter your report, print it, and save and back up your file), and people (you).

The important point here is that the five components in the figure are common to all information systems, from the smallest to the largest. As you think about an information system, learn to look for each of these five components. Realize, too, that an information system is not just a computer and a program, but rather an assembly of computers, programs, data, procedures, and people.

These five components also mean that many different skills are required besides those of hardware technicians or computer programmers when building or using an information system. People are needed who can design the databases that hold the data and who can develop procedures for people to follow.

Development and use of information systems
ISM is concerned with development because information systems do not pop up like mushrooms after a hard rain; they must be constructed. To have an information system that meets your needs, you need to take an active role in that system’s development. Even if you are not a programmer or a database designer or some other IS professional, you must take an active role in specifying the system’s requirements and in helping manage the development project. Without active involvement on your part, it will only be good luck that causes the new system to meet your needs.

Achieving business goals and objectives
ISM exists to help businesses achieve their goals and objectives. Information systems are not created for the sheer joy of exploring technology. They are not created so that the company can be “modern” or so that the company can claim to be a “new-economy company.” They are not created because the information systems department thinks it needs to be created or because the company is “falling behind the technology curve.” In order to achieve business goals and objectives, not just develop or upgrade the information system, but need effective management to control it.

Reference: Using MIS 2nd edition by **David Kroenke** G1-2816

= = = Introduction to IS Management =

During the last years of the 20th century, when CHANGE was the recognized certainty among enterprises and, one after another, innovative new competitors rose up from every corner of the world to fight for dominance of the world marketplace, enterprise organizations came to realize that the key factor to survival or even better to win the competition is Information Technology (IT).

IT is not IS. An organization which manages IT (the technology) is the Information Systems (IS) organization. While IS combines IT, people, processes, and organizational mechanisms in an any organized way for the purpose of fostering the use of IT to improve organizational performance.

Nowadays IT is taken as a strategic asset which contributes to competitive strategies and organizational processes improvement. The situations in which organizations are applying IT have increased in complexity, including more inter-organizational environments. Further, the considerable growing need of the IT capabilities and the complexities of using the technologies make Information Systems Management (ISM) to have become an indispensably essential topic.

= = = =

 =Introduction to IS Management =

A management information system is a system or process that provides the information necessary to manage an organization effectively. IS MANAGEMENT and the information it generates are generally considered essential components of prudent and reasonable business decisions. The importance of maintaining a consistent approach to the development, use, and review of IS MANAGEMENT systems within the institution must be an ongoing concern of both bank management and OCC examiners. IS MANAGEMENT should have a clearly defined framework of guidelines, policies or practices, standards, and procedures for the organization. These should be followed throughout the institution in the development, maintenance, and use of all IS MANAGEMENT. IS MANAGEMENT is viewed and used at many levels by management. It should be supportive of the institution's longer term strategic goals and objectives. To the other extreme it is also those everyday financial accounting systems that are used to ensure basic control is maintained over financial recordkeeping activities. Financial accounting systems and subsystems are just one type of institutional IS MANAGEMENT. Financial accounting systems are an important functional element or part of the total IS MANAGEMENT structure. However, they are more narrowly focused on the internal balancing of an institution's books to the general ledger and other financial accounting subsystems. For example, accrual adjustments, reconciling and correcting entries used to reconcile the financial systems to the general ledger are not always immediately entered into other IS MANAGEMENT systems. Accordingly, although IS MANAGEMENT and accounting reconcilement totals for related listings and activities should be similar, they may not necessarily balance. An institution's IS MANAGEMENT should be designed to achieve the following goals: • Enhance communication among employees. • Deliver complex material throughout the institution. • Provide an objective system for recording and aggregating information. • Reduce expenses related to labor-intensive manual activities. • Support the organization's strategic goals and direction. Because IS MANAGEMENT supplies decision makers with facts, it supports and enhances the overall decision making process. IS MANAGEMENT also enhances job performance throughout an institution. At the most senior levels, it provides the data and information to help the board and management make strategic decisions. At other levels, IS MANAGEMENT provides the means through which the institution's activities are monitored and information is distributed to management, employees, and customers. Effective IS MANAGEMENT should ensure the appropriate presentation formats and time frames required by operations and senior management are met. IS MANAGEMENT can be maintained and developed by either manual or automated systems or a combination of both. It should always be sufficient to meet an institution's unique business goals and objectives. The effective deliveries of an institution's products and services are supported by the IS MANAGEMENT. These systems should be accessible and useable at all appropriate levels of the organization. IS MANAGEMENT is a critical component of the institution's overall risk management strategy. IS MANAGEMENT supports management's ability to perform such reviews. IS MANAGEMENT should be used to recognize, monitor, measure, limit, and manage risks. Risk management involves four main elements: • Policies or practices. • Operational processes. • Staff and management. • Feedback devices. Frequently, operational processes and feedback devices are intertwined and cannot easily be viewed separately. The most efficient and useable IS MANAGEMENT should be both operational and informational. As such, management can use IS MANAGEMENT to measure performance, manage resources, and help an institution comply with regulatory requirements. One example of this would be the managing and reporting of loans to insiders. IS MANAGEMENT can also be used by management to provide feedback on the effectiveness of risk controls. Controls are developed to support the proper management of risk through the institution's policies or practices, operational processes, and the assignment of duties and responsibilities to staff and managers. Reference: Comptroller's Handbook: Management Information Systems g1-2300

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=__What is Information Systems (IS)?__ The Information System consists of five parts which include: people, procedures, software, hardware, and data. There are various types of information systems, for example: transaction processing systems, office systems, decision support systems, knowledge management systems, database management systems, and office information systems. Critical to most information systems are information technologies, which are typically designed to enable humans to perform tasks for which the human brain is not well suited, such as: handling large amounts of information, performing complex calculations, and controlling many simultaneous processes. A more details framework of Information Systems will be cover later on this pages. =

Information technologies are a very important and malleable resource available to executives. Many companies have created a position of Chief Information Officer (CIO) that sits on the executive board with the Chief Executive Officer (CEO), Chief Financial Officer (CFO), Chief Operating Officer (COO) and Chief Technical Officer (CTO).The CTO may also serve as CIO, and vice versa. The Chief Information Security Officer (CISO), who focuses on information security within an organization, normally reports to the CIO.

Here are some of details for each Officer:

[|CEO] (Chief Executive Officer) is often but not always also the President of a company, reporting to the Chairman of the Board and board members. [|CFO] (Chief Financial Officer), is seen as the second most important person in the company (since managing the quarterly results often depends on an understanding of how to keep the books). is the corporate official in charge of a company's finances. [|CIO] (Chief Information Officer), is responsible for a company's internal information systems, and, especially with the arrival of the Internet, sometimes in charge of the company's [|e-business] infrastructure. CTO (Chief Technology Officer), is likely to be seen as the second or third most important person in any technology company. The CTO is responsible for research and development and possibly for new product plans. [|CSO] (Chief Security Officer), is responsible for the security of a company's communications and business systems. [|CCO] (Chief Compliance Officer), is responsible for ensuring that a company and its employees are in compliance with government regulations and internal policies.

Reference: []

As new information technologies are developed, new categories emerge that can be used to classify information systems. Some examples are:
 * __More types of Information Systems__ **

TPS automate the handling of data about business activities or transactions, which can be thought of as simple, discrete events in the life of an organization. Data about each transaction are captured, transactions are verified and accepted or rejected and validated transactions are stored for later aggregation. Reports may be produced immediately to provide standard summarizations of transactions and transactions may be moved from process to process in order to handle all aspects of the business activity.
 * Transaction processing systems

An 'MIS' is a planned system of the collecting, processing, storing and disseminating data in the form of information needed to carry out the functions of management. In a way it is a documented report of the activities those were planned and executed.
 * Management information systems

A Decision Support Systems (DSS) is a class of information systems (including but not limited to computerized systems) that support business and organizational decision-making activities. A properly designed DSS is an interactive software-based system intended to help decision makers compile useful information from a combination of raw data, documents, personal knowledge, or business models to identify and solve problems and make decisions.
 * Decision support systems

An expert system is software that attempts to provide an answer to a problem, or clarify uncertainties where normally one or more human experts would need to be consulted.
 * Expert systems

Office automation refers to the varied computer machinery and software used to digitally create, collect, store, manipulate, and relay office information needed for accomplishing basic tasks and goals. Raw data storage, electronic transfer, and the management of electronic business information comprise the basic activities of an office automation system. Office automation helps in optimizing or automating existing office procedures.
 * Office Automation

Business intelligence (BI) refers to skills, technologies, applications and practices used to help a business acquire a better understanding of its commercial context. Business intelligence may also refer to the collected information itself.
 * Business intelligence

__**The Importance of Information Technology**__ In the world of globalization, Information system is such where data are collected, classified and put into process interpreting the result thereon in order to provide an integrated series of information for further communicating and analyzing. In In a progressively more spirited worldwide atmosphere, Information System plays the role as 'enabler and facilitator', which endows with tactical values to the officialdom and considerable step up to the excellence of administration. 'An Information System is a particular type of work system that uses information technology to detain, put on the air, store, retrieve, manipulate or display information, thereby partisan one or more other work structure'. In totting up to taking sides assessment making, co-ordination and control, information systems may also help managers and workers investigate problems, envisage complex subjects and generate new merchandise or services.

More than that, below illustrate the relationship between IT & Business

**Reference:** 1. [] 2. [] 3. [] - Information Systems Management 4. []

G1-1258

__What is Information Systems (IS)?__
Information Systems (IS) refers to the interaction between people, processes, and technology. This interaction can occur within or across organizational boundaries. An information system is not only the technology an organization uses, but also the way in which the organization’s people interact with the technology and the way in which the technology works with the organization’s business processes. Information systems are distinct from information technology in that an information system has an information technology component that interacts with the people and processes components.

An Information system (IS) can be any organized combination of people, hardware, software, communications networks, data resources, and policies and procedures that stores, retrieves, transforms, and disseminates information in an organization. People reply on modern information systems to communicate with each other using a variety of physical devices (hardware), information processing instructions and procedures(software), communications channels(networks), and stored data (data resources).

__What is Information Technology (IT)?__
Information technology (IT), as defined by the Information Technology Association of America (ITAA), is "the study, design, development, implementation, support or management of computer-based information systems, particularly software applications and computer hardware." IT deals with the use of electronic computers and computer software to convert, store, protect, process, transmit, and securely retrieve information.


 * Computer hardware technologies
 * Computer software technologies
 * Telecommunications network technologies
 * Data resource management technologies

Information technology provides means of constructing aspects of information systems, but is distinct from information systems. We should to understand that information systems have existed in organizations before the invention of IT. At that time, IS do not need modern IT to exists.

But nowadays, in complex organisational world, most IS rely on hardware, software, data and communications technology to a greater or lesser degree because of the efficiency and effectiveness gains possible with the use of such technology.

__Information System versus Information Technology__



 * I**nformation **S**ystem means an interconnected set of information resources under the same direct management control that shares common functionality. A system normally includes hardware, software, information, data, application, communication, and people. It is also defined as an organized collection, storage, and presentation system of data and other knowledge for decision making, progress reporting, and for planning and evaluation of programs that can be either manual or computerized, or a combination of both.

Information systems play a very important role in organizations, as they provide the information required for many kinds of decision-making. However, information systems can contribute to an organization in other ways. Information systems perform three vital roles in any types of organizations. They provide support for managerial decision-making, support for business operations and support for strategic competitive advantage in organizations.

A manager in an organization has to provide leadership and direction in organizations. Information systems provide the support for managerial decision-making. Wrong decisions made due to lack of information on the side of the manager will affect the organization.

To be able to decide between two alternatives, a manager must be equipped with the right information. For example, in considering retrenchment, they would need information on the number of staff and information on the labor laws. On the other hand, in considering the salary cut they would have to look at information on the annual budget and current salary. Information systems also provide support for business operations. Many organizations today make use of computer-based information systems to automate parts of their daily operations. This helps to improve internal efficiency. Cashiers in some supermarkets today, do not even have to key in the price of the items bought when calculating the total amount to be paid by the customers. They just put the items under the scanner and the price would appear on the screen automatically, minimizing clerical work.

The second role of information systems is providing organizations with support for strategic competitive advantage. These systems support organizations in developing products, services, processes or capabilities that give them a strategic advantage over their competitors. In addition to this, information systems are able to influence the environmental forces to gain extra advantage.

An environmental force is a term describing the suppliers, customers, investors, bankers and wholesalers who surround an organization. These forces have the potential to either support or break the organization. Like the example of using scanners at the cashier counters. The task of keying in prices is now automated. Automation minimizes human error. With errors minimized, production costs goes down and the finished products can be sold at a cheaper price. Now, that is an advantage over competitors and it would also attract. The competitive edge that an organization has over other organizations will attract the attention of the environmental forces. Banks for instance, would certainly be more willing to provide the necessary loan or investment if they see a bright future in the products or services introduced to them. The support provided by an information system in creating strategic competitive advantage can be seen from the perspective of cost strategy, differentiation strategy and innovation strategy. Low production cost means low customers' cost. Customers would indeed prefer a product of a low price to an identical product at a higher price. By providing the three forms of support, information systems play an essential role in molding the success or failure of organizations.

Tools in IT can be divided into physical tool and symbolic tool. Physical tool consists of telephones, computers, cameras and any peripherals or devices that can achieve the objectives mentioned above. For symbolic tool, it consists of written and spoken languages, mathematical symbols, computer languages and tables of natural elements.
 * I**nformation **T**echnology, Information is basically facts and ideas that are expressed through a mutually understandable language. It has been around even in the days of the caveman. Information Technology or IT for short in the other point is any tools or techniques used to collect, store, process, use and disseminate information.

There are several categories of IT. It includes Input Technologies, Communications Technologies, Processing Technologies, Storage Technologies and Output Technologies. Input Technologies include devices that help us gather information from the environment and translate that information in a form that can be understood by a computer. It also related with Sensing Technologies. Example of input devices are keyboard, mouse, light pen, touch screen, touch pad, joystick and etc.

Communication Technologies are technologies that tie together and communicate information between input, analyzing and output technologies. Some of the examples are the implementation of LAN, MAN and WAN, cellular telephones, fax, resource sharing and etc. These technologies have overcome the difficulties in distributing information at distance area. Processing Technologies include computer hardware and software. It is also known as Analyzing Technologies. The main concern of this technology is to get raw facts turn to useful information. Computers take in raw facts (input) from sensing and communicating devices and then store and process the raw facts and turn it out as useful information (output). Storage Technologies refer to devices that are used to keep or store data and instruction. The examples such as floppy disk, hard disk, optical disk, micro chip, magnetic strip card and etc. Finally, is the Output Technologies. Output technologies describes computer hardware and software that make processed data available to human users, either through sight or sound. This is also known as Display Technologies. Examples are monitor, speaker, printer and etc. With the application of IT, it helps much in managing our daily activities efficiently. It can create and keep track of documents, control production in manufacturing site, design new products, software and etc. market products around the world and also expand interaction and communication to the whole world.

Nowadays, IT has influenced much in our lives be it in our daily activities, organization, education, communication or socialism. With the emergence of telecommunications, the role of IT is much beyond the expectations. From air mail to electronic mail, retails to electronic commerce and mobile commerce, window shopping to tele-shopping and also online transaction that could ease the burden of crowded banks. Education for example, we could see the major changes in the traditional way of acquiring knowledge or learning in some higher learning institution. They are now make full use of the IT by promoting virtual learning or online learning to attract the people regardless of their age to further their studies. Telecommunication on the other side, also promotes the flexible and convenient way of communicating. From wire line to wireless, it now seems like everybody could enjoy the benefits derived from its emergence. Many technologies also arise from telecommunications such as WiFi, Bluetooth, Edge, 3G, GPRS and etc that could be implemented to make use of messaging system. In socialism, IT has changed the way we interact and socialize. Information transfer is done also much faster compared to the traditional way. If air mail could reach the recipients in few days, electronic mail has cut it to few seconds. By using video conferencing too, your loved ones who are far away could see you as if you were right in front one another. That is why distance is not a gap anymore.

By summarized what we said, Information system concern more with managing and manipulate data where as IT is the tools or techniques that could help in managing and manipulate the data. Both are not the same but they are actually interrelated with each other. Either party would not function well with the absence of one of it.

Reference: []

G1-0000

__What is Information Systems Management (ISM)?__
Information Systems Management (ISM) is the application of information technology to support the major functions and activities of either a private sector business or public sector institution. In the past, organizations recognized the importance of managing resources such as labor, capital, and raw materials. Today, it is widely accepted that managing the information resource is very often equally important. ISM supports the process of collection, manipulation, storage, distribution and utilization of an organization's information resources.

ISM also is the planning management, risk management, evaluation of strategy, policy & development and use the professional knowledge as I.T. to apply it works and also it is a huge resource management, It include 5 components are( For the details of each aspect, it will be mentioned on " Difficulties in Information Systems Management"
 * People resources
 * Hardware resources
 * Software resources
 * Network resources
 * Data resources
 * Data resources

Generally, ISM distributed as following modules:
 * Top Management Roles & Leadership Issues
 * Strategic IT Evaluation & Innovation
 * IT Governance
 * IT Sourcing/Out-Sourcing
 * Planning and Managing Infrastructure
 * Integration System & Development
 * Electronic-Business Technologies
 * Manage the Essential Technologies
 * System for Supporting Knowledge-Base Work

**Why is IS management important?**
The global organizations have different branches in the world. These branches need to communicate with others. We have to ensure all the data and information is updated. Moreover, every department has different kinds of data. They need to store, transform and disseminate these data. Examples: 1. Sales department data consist of product, service, customer, region, retail store, policy and inventory. 2. Marketing department include products, services, promotion, market, survey, customer, industry trends, strategies, and guidelines. 3. Information technology (IT) department has, software, network, policy, guidelines and security information. 4. The human resources department has job, policy, training, and development information. On the other hand the information system can support the organization to do the decision making. It also ensures that headquarter can send the decisions, policies and data to branches directly. The following diagram shows that the information system management is used to control all the data resources among departments, branches and the headquarter.

The difficulties are language barrier, time zones and the branches locations. This data synchronization process is important for the 21st century business organizations.

So the information management is very important for the global organization because IS management is used to plan, control and support the business. Moreover, information system is not just only used to support the business enterprise’s operations, it is also used to improve competitiveness and enable the global working environment.

__E-Business in the global and Internet economy__ In the past twenty years, the Internet grows very fast. The information technology changed a lot of business organization operation. Therefore these organizations use the Internet as the core for business dealings. E -Business is the use of electronic communications and digital information processing technology in business transactions to create, transform among the organizations. It is the combination of real business and e-tools. Although this change will cost organization a lot, it brings business more efficiency, competitive and the following advantages : 1. Removes Location and Availability Restrictions 2. Reduces Time and Money Spent 3. Heightens Customer Service 4. Gives Competitive Advantage The e-business market value is very large (figure1). This large value of market can attract the global organization or small business to join. International Data Corp (IDC) estimates the value of e-commerce in 2000 at US$350.38 billion. IDC also predicts an increase in Asia’s percentage share in worldwide e-commerce revenue from 5% in 2000 to 10% in 2004 (See Figure 1).
 * The external business environment **

Today e-business is very popular, a lot of global organizations survive in this way. So the IS management can help the organization to have smooth daily operation, reduce cost, reorganize human resources. So IS management is not only just for the global organization, but also for the small business.

reference: e-Commerce and e-Business Zorayda Ruth Andam http://ezinearticles.com/?E-Business-and-Its-Advantages&id=280089 http://www.ecademy.com/node.php?title=the+e-business+advantage#overview

_

Traditional Planning of IS
In many organizations, the process of overall information resources planning has not been structured in the same way as the business planning process. Instead, the majority of IS lpanning emphasis was on major application systems internal development project planning rather than on overall organization planning. When a urgent, sepcific business need called for a new information system, some form of formal project planning process was invoked to address the situation.

These IS planning may not have enough considerations. This make the potential impact that one proposed system might have on another proposed or existing system. Although practical from the perspective of the IS department and perhaps the individual business manage, often resulted in lost strategic business opportunities, incompatible systems and databases, unacceptable implementation time frames, and a host of other problems.

This needed-based IS planning approach often failed to give adequate considerations to the toal information requirements of the organization across operating units, possible economies of scale, and avoidance of duplication of efforts.

__Impact of the Information System Management__

 * It creates an impact on the organisation’s functions, performance and productivity. The impact of ISM on the functions is in its management. With a good ISM support, the management of marketing, finance, production and personnel becomes more efficient. The tracking and monitoring of the functional target becomes easy.
 * It creates another impact in the organisation which relates to the understanding of the business itself. The ISM begins with the definition of a data entity and its attributes. It uses a dictionary of data, entity and attributes, respectively, designed for information generation in the organisation.
 * The ISM calls for a systemisation of the business operations for an effective system design. This leads to streamlining of the operations which complicate the system design. It improves the administration of the business by bringing a discipline in its operations as everybody is required to follow and use systems & procedures. This process brings a high degree of professionalism in the business operations.
 * The ISM helps indirectly to pull the entire organisation in one direction towards the corporate goals and objectives by providing the relevant information to the people in the organisation.

__Learning Objectives of ISM__

 * Identify the changes taking place in the form and use of decision support in E-business enterprises or other aspect.
 * Identify the role and reporting alternatives of ISM.
 * Describe how online analytical processing can meet key information needs of managers.
 * Explain the decision support system concept and how it differs from traditional ISM.
 * Explain how executive information systems can support the information needs of executives and managers.
 * Identify how complex networks, fuzzy logic, genetic algorithms, virtual reality, and intelligent agents can be used in business or other aspect.

__The Evolving IT Environment__
IS are transforming business enterprises from inside to outside.

Competitive Business Environment
The External Business Environment - external forces cause IS executives to re-examine how their firms compete. The Internal Organization Environment - internal structural forces affect how organizations operate or are managed. The working environment is changing, and the art of managing people is undergoing significants shifts. Stragegies in the new work environment:
 * Information can move faster in IT. Therefore, increasing the speed at which events take place and the pace at which individuals and organizations respond to events.
 * Internet economy, such as B2B, B2C, where IT is the major enhancement of the way old and new worlds interface.
 * Global marketplace. The whole world has become the marketplace. Companies can work globally through Internet. Business environment becomes global.
 * Faster business cycles reply on IT.
 * Rising societal risks of IT. Many people are negatively affected by IT through network shutdowns, computer viruses, identity theft, email scams, movement of white collar jobs offshore.
 * From Supply-Push to Demand-Pull
 * OLD
 * Companies tried the best to figure out what customers wanted
 * The supply of products are organized. Then, 'push" them to the customers in stores
 * NEW
 * Closer and one-click contact between customers and seller
 * The components of product sre offered to customers and customers can make their own version by 'pulling' what they want
 * Self-Service - In 1990s, there was an increase in customers accessing corporate computer systems by themselves to know more about the products, buy products, check the delivery status of the products and communicate with the company.
 * Team-based working - working together in project base
 * Real-time working
 * Salesmen have the up-to-date information about the customers
 * Know the inventory and cash levels as they are now and not a week ago
 * Be rechable when someone want to
 * Anytime, anyplace information work
 * Demise of hierarchy
 * In traditional structure, several people doing the same type of work, overseen by a manager
 * Hierarchical structures cannot cope with rapid change - communications up and down the chain of command takes too much time for today's environment
 * IT enables team-based organizational structures by facilitating rapid and far-flung communication
 * Outsourcing and strategic alliances
 * Bcome more competitive, organizations are examining types of work that should be done internally or externally by otheres
 * Ranges from a simple contract for the services to a long-term strategic alliance
 * Focus on what we do best and outsource the other functions to people who specialize in them
 * Leverage knowledge globally
 * Tap tacit knowledge by fostering sharing and supporting sharing through technology
 * Driving force is the culture. Happens through organizational pull rather than organizational push which overloads people with information
 * Organize for complexity
 * Right information at the right time
 * Information will be overloaded
 * Work electronically
 * Taking the advantage of the Internet and networks
 * Needs different organizing principles, management tenets, compensation schemes, structure
 * Changes on how organizations interact with others
 * The microchip moved power within companies. bandwidth moves power all the way to customers
 * Increases exponentially as bandwidth capability increases and cost decrease
 * Handle continuous and discontinuous change

Trends

 * Hardware trends
 * Client-Server computing - Client machine user interfaces with server on the networking holding the data and applications
 * Current development - hand-held device, wireless
 * Software trends
 * In 1960s, the productivity of in-houes programmers who created transaction processing systems were improved
 * Then, for programming issues, modular and structured programming techniques were used. After that, life cycle development methodologies and software engineering were used.
 * Later, protoyping was developed quickly
 * Purchasing software became viable alternative to in-house development
 * Applications were focused rather than transaction processing.
 * End users developed their own systems
 * Customers were pushed to open systems
 * In 1990s, trend towards Enterprise Resource Planning. It was expensive and troublesome
 * Software is moving to become network centric. Web front ends to empower employees rather than replacing legacy systems
 * Data trends
 * File management - Organizational techniques for files that served individual applications
 * Corporate databases
 * Distributing data from data resources to information resources - Data management organizes internal facts into data record format
 * Data warehousing (Stores huge amounts of historiacal data from systems.) and data mining (Advanced statistical techniques are used to explore data warehouses looking for perviously unknown relationships in data.)
 * Security (Protecting data from those who should not see it.) and privacy (Safeguarding the personal data of employees, customers.)
 * Network trends
 * Security trends
 * Communications trends
 * Telecommunications
 * Online and time-sharinf systems
 * Public and provate data networks
 * Internet protocols

__**Difficulties in Information Systems Management**__
__Hardware__

Hardware consists not only of the computers used in an organization but also of networking hardware. Network hardware is needed to connect different systems to allow for collaboration and information sharing.

Companies often face difficult decisions regarding their hardware. Constant innovations within the information technology sector lead to ever-increasing processor speeds and storage capacities but also rapid obsolescence. Information systems executives therefore face countless complex questions, such as technologies choices, replacement time, security, performance and storage for future usage, reliability, etc...

__Software__

Various type of software enable companies to utilize their information systems hardware and networks. This software assists organizations in executing their business processes and competitive strategy. Consequently, with increased reliance on information systems for managing the organization, effectively utilizing software resource is becoming increasingly critical and complex.

Companies have to manage the software installed on each and every computer used, including managing updates, fixing bugs, and managing issues related to software licenses. In addition, companies have to decide whether to upgrade their software or switch to new products and when to do so.

__Peoples__

One of the issue faced by companies is the availability of a trained workforce. Although even large facilities do not require large support staff, the staff that is needed should be well trained. For some countries, permanent jobs will likely require special skills so that much of the workforce will be imported from other cities, or even other countries. For this reason, some companies try to locate the facilities in common areas.

__Data__

Data are essential for both gaining business intelligence and executing business processes. Managing this resources thus requires facilities with sufficient capacity, preformance, and reliability. For example, companies such as ebay, they need to store user information, product information, transactions, etc. Many companies operating in the digital world rely heavily on their databases not only to store information but also to analyze this information to gain business intelligence.

In addition to effectively managing their data resources, organizations must also effectively manage their knowledge. Professionals who are relatively well educated and who create, modify and synthesize knowledge, organization must effectively utilize their knowledge to gain a competitive advantage.

 __Network__

Information systems in organization have become more powerful and important is the ability to interconnect, allowing internal and external constituents to communicate and collaborate with each other.

Having a number of interconnected computers are necessary but not sufficient for enabling communication and collaboration. Companies also need various other hardware and software, such as email server, Microsoft Outlook. Similarly, companies have to decide on whether to utilize tools such as instant messaging and which system to use for such applications. Further, it has becomes increasingly important for companies to be able to utilize video-conference to bridge the distances between a company and its business partners, saving valuable travel time and enhancing collaboration.

However, the differences in terms of quality, costs, and functionality of these systems, companies have to assess their communication needs and carefully decide which combination of technologies best support the goals of the organization.

__ISM is not omnipotent__
A potential problem with relying on electronic communication and processing of information is the loss of the vital human element. Sometimes because of the complexity of information, an ISM report cannot effectively summarize it. Very rich information is needed to coordinate and run an enterprise and certain classes of information cannot be quantified. For example, it might be wrong to evaluate an employee's performance solely based on numbers generated by an ISM. Numbers can indicate a performance problem but a face-to-face meeting will be necessary to discuss the nature of the problem.

source: http://www.ehow.com/about_5194585_types-management-information-systems.html

Information System Components
The main components of IS are People Resources, Hardware Resources, Data Resource and Network Resources.
 * People Resources
 * End users – the people who use the IS or the information from the IS
 * IS specialists – the people who develop and operate IS
 * Hardware Resources
 * All physical devices used in information processing
 * Machines, data media, peripherals
 * Software Resources
 * All information processing instructions including programs and procedures
 * System software, application software and procedures
 * Data Resources
 * Facts about the business transactions
 * Processed and organized information
 * Databases of organized data
 * Network Resources
 * Communications media
 * Network infrastructure (both hardware and software)

=__**Information System Components**__=


 * Input of data resources
 * Data entry activities
 * Capturing and assembling elements that enter a system to be processed
 * Processing of data into information
 * Transformation process that convert input into output
 * E.g., calculate, compare, sort, classify, summarize
 * Output of information products
 * Transferring elements that have been produced by the transformation process to their ultimate destination
 * Messages, reports, forms and graphic images
 * Storage of data resources
 * Data elements and databases
 * Control of system performance
 * Monitoring and evaluating feedback

__**Type of Information System**__
Information systems differ in their business needs. Also depending upon different levels in organization information systems differ. Two major information systems are:

1. Operations Support Systems

 * Efficiently process business transactions
 * Control industrial processes
 * Support communications and collaboration
 * Update corporate databases

The three type of Operations Support Systems are: 1. Transaction Processing Systems -It record and process data from business transactions for examples the sales processing, inventory systems and accounting systems.

2. Process Control Systems -It monitor and control physical processes, for example the building security systems.

3. Enterprise Collaboration Systems -It can enhance team and work group communications, for example the e-mail and videoconferencing systems.

2. Management Support Systems

 * Provide information and support for effective decision making by managers

The three type of Management Support System are: 1. Management Information Systems -It can provide reports and displays to managers, for example the daily sales analysis reports.

2. Decision Support Systems -It can provide interactive ad hoc support for decision making for example a what-if-analysis to determine where to spend advertising dollars

3. Executive Information Systems -It can provide a critical information for executives and managers for example easy access to actions of competitors

__Performance Measure of IS in Organisation__
Effeiciency The degree of IS helping the organisation to operate with minimum resources

Effectiveness: The degree of IS helping the manager to spend their time doing right things

Competitiveness: The degree of IS helping the organisation to attract business project and strengthen the competitive poisiton in te market

__Information Technology Governance (IT Governance)__
IT Governance is one discipline of Corporate Governance but only focused on Information Technology. It is used to refine the policies and standards of a group, company, organization, even country. It means that "governance" is a process, we need to define a series of actions, changes or function and finally they can generate a good business value and minimize the risk that are associated with IT. IT Governance is mainly consisted of Computer Audit, IT Risk Management and Information Security Management.

Taditionally, the All IT-related discussion is proceeded in a black box, no one know the key decisions made by the company's IT professionals. Therefore, we need to prevent IT Governance from independently making and later being held solely responsible for poor decisions. 



__**E-Business Technologies**__

 * E-Business**

= =

__IT-Sourcing/ Out-Sourcing__
Nowadays, a most SMB company has face a different problem, her business also cant without I.T.supporting but its too heavy cost of her revenue, and the return of investment is saying as a long period like ten years or above, such of that those of the company will be preferred I.T.out-Sourcing company. Company may not have an idea what technology can improve her business. Therefore, the suggestion or proposal will be useless from Out-sourcing company.
 * Risks of Out-Sourcing - Misunderstanding**

Ref:{ www.irmplc.com/downloads/.../Managing_Outsourcing.pdf www.artechhouse.com/GetBlob.aspx?strName=Axelrod-ch4.pdf http://www.pultorak.com/html/strategic_it_sourcing_-_pultor.html http://www.deloitte.com/view/en_BE/be/services/consulting-services/cio-services/it-sourcing-and-outsourcing/index.htm http://www.pwc.com/us/en/increasing-it-effectiveness/it-sourcing-competency.jhtml }

What we learn from this chapter?
As we know that this is the Introduction of ISM, the key information is that with in good practice of management IS/IT, it will strengthen the competitive of IT/IS obviously. Finally, we gain from it, as we learn from IT, work in IT.

Is that one course will change our life? Absolutely not, but with this kind of mindset come with us in a life, finally it changed. Especially for those newbie who want to achieve his career into management level. First thing should know what the management people think. Adopt such thinking into daily work, this would help those guys to make a good bridge between them and the management. With such a practical use of ISM in daily working environment, will show the importance of ISM as a result.

[]

**Waves of innovation**
1. reducing cost - it is start from 1960s, to achieve clerical and administrative savings by automating manual processes. 2. leveraging investments - it is start from 1970s, to make more effective on business asset to increase profitability. 3. Enhancing products and services - it is start from 1980s, using IT to produce revenue. creating a new business and services. or improve the "outward-looking" function by using IT. 4. Enhancing executive decision making - it is start after 1980s, to think about the IT on the real-time business management. 5. reaching the consumer - it is start from 1990s, to communicate with customers directly and creating the new businesses using the Internet. 6. Other forms of collaboration - it is start after 1990s, to share the information and business processes.

**Traditional IS functions :**
1. develop and manage long term architectural plan. 2. maintain a process to evolve company standards. 3. planing and design new system. 4. manage the data and network.

Here is the maturity and Management Challenge:

Reference: From BMC Software vendor

Today, information systems affect everyone in organizations.

Information systems work through the interaction of people, computers and communication networks. They exist to help people complete transactions faster and more accurately, make better decisions, or perform work more effectively. They help organizations perform better, as well as to create a competitive edge or develop new markets.

To achieve these goals, information system developers must work closely with their business clients in identifying needs, recommending solutions and implementing new IT application systems. In general, Information Systems consisits of : - Input that the system takes to produce information A computer and its peripheral equipment: input, output and storage devices; hardware also includes data communication equipment Sets of instructions that tell the computer how to take data in, how to process it, how to display information, and how to store data and information Hardware and software that facilitate fast transmission and reception of text, pictures, sound, and animation in the form of electronic data Information systems professionals and users, who analyze organizational information needs, design and construct information systems, write computer programs, operate the hardware, and maintain software Rules for achieving optimal and secure operations in data processing; procedures include priorities in dispensing software applications and security measures
 * Data**
 * Hardware**
 * Software**
 * Telecommunications**
 * People**
 * Procedures**

This framework outlines the major areas of information systems knowledge needed by business end users.

Operations and management classifications of information systems. Note how this conceptual overview emphasizes the main purpose of information systems that support business operations and managerial decision making. [References] Introduction to Information Systems (8th Edition) by James A. O'Brien []

= =

Introduction of ISM
Modern commercial society, want to make an ideal business development, faster than any other opponent, business process must be embedded some kinds of IT element, But the investment is reliable, effective and efficient, that is, depending on IS Management

Some kinds of issue need to resolve by the ISM. So, IS Management is the planning and control the IT related to make business run better and growing fast, to achieve the business goal. Practical examples transform a traditional business to e-business

Short for //**m**anagement **i**nformation **s**ystem// or //**m**anagement **i**nformation **s**ervices,// and pronounced as separate letters, MIS refers broadly to a computer-based system that provides managers with the tools for organizing, evaluating and efficiently running their departments. In order to provide past, present and prediction information, an MIS can include [|software] that helps in decision making, data resources such as [|databases], the [|hardware] resources of a system, [|decision support systems], people management and project management [|applications], and any computerized processes that enable the department to run efficiently. Within companies and large organizations, the department responsible for computer systems is sometimes called the MIS department. Other names for MIS include //IS (Information Services)// and //IT (Information Technology).//

Followed by the 19th century a lot of company's business gradually Join the IT elements, the first use of hardware such as computers, supply-push software, followed by more use of the Internet to an information access, demand-pull programs, such as ERP, aims to make business globalization to create more opportunities, become leverage growth.

Traditional business cycle

IT embedded in the business cycle

IS Management Issues for the 1990s In the above, that is some major issues followed the 1990S by SIM ref:MIS Quarterly/DEC 1991 []
 * 1) Continued concern for traditional issues such as strategic planning and organizational alignment
 * 2) Technology infrastructure
 * 3) IS human resources, software development and telecommunication system
 * 4) Data-related issues occupy
 * 5) Rising importance of technology infrastructure issues
 * 6) Internal effectiveness issues
 * 7) Application portfolio

Introduction
The IT Evolution Plan is developed according to the plan created during the Plan Development of the IT Evolution Plan activities. The IT Evolution Plan serves as an IT //master plan,// coordinating all the IT projects and related activities. The IT Evolution Plan covers the entire systems development life cycle for all programs and IT infrastructure within its scope.

Activities
These activities are performed in an iterative manner to build the IT Evolution Plan. Consolidated guidelines are available to perform the following key activities: Generally, an IT project is a small, focused set of activities that produces a tangible IT product or part. The product from one project will be used by other projects (e.g., a systems analysis product used to guide the application design, the design used to guide the application programming, or a set of applications integrated into a release). Project products include, but are not limited to the following: Include the following in a project-level schedule: Detailed planning within the IT projects is done by the individual IT Project Mangers during the Fabrication, Deployment, and Operations activities. Detailed planning for the Technical Architecture is done by the Technical Architecture Team. Incorporate those lower-level, detailed plans by reference into the IT Evolution Plan and coordinate them to meet the higher-level plan's constraints. Document the results of this activity in Gant and Network charts, as appropriate. Use historical data to calibrate the size, effort, and cost estimates, when available. Document all planning assumptions (such as expected productivity rates). For plateaus that are anticipated to occur in the distant future (2 or more years), details on the approach may not be available. You may estimate these plateaus holistically and note any assumptions. Once you have derived the estimates, you can establish the funding source and budgets for the individual projects/tasks. For each measure, define the following: Assemble the information needed as follows:
 * 1) **Define Projects and Associated Work.**
 * Applications or a part (including executable and source code with related documentation and data)
 * Engineering data (such as requirement specifications, design documentation, test procedures, and results).
 * Target system infrastructure (system software, platforms, or equipment)
 * End-user documentation or manuals (user, operator, maintenance, installation)
 * Training and support materials
 * Risk reduction data (such as results of prototypes used to determine implementation decisions)
 * 1) **Perform Make or Buy Analysis.** As a project's products or activities are established, the means by which the product will be obtained is determined. Likely choices are: to develop it within the IT organization, purchase a packaged solution and adapt it, hire a contractor to develop a custom product, outsource the capability, or a combination of the choices. This activity identifies and focuses on business needs when evaluating make or buy alternatives. To ensure objectivity, individuals that are employees of the State should perform this activity, rather than outsourcing it to a vendor or contractor.
 * 2) **Develop Project-Level Schedules.** Define dependencies between the projects, using the projects' products as a guide. Each project will have is own project charter, requirements, detailed task plan, budget, schedule, and measurement plan. As this network develops, you may need to adjust the definition of the plateaus and projects to keep them from becoming overly large and complex.
 * All major evolution milestones (e.g., time period for when the plateau end-states should occur)
 * Intermediate Plateau decision points (e.g., such as when a decision must be made on the outcome of a risk reduction project in order to adjust dependent projects)
 * The projects and their product dependencies (e.g., integrating some off-the-shelf products into a target that the application builds upon)
 * Project-independent tasks (e.g., level-of-effort tasks, such as plateau management)
 * Expected time periods (e.g., optimistic, expected, and worst case)
 * Dependencies with groups or activities beyond the scope or outside the control of the IT Evolution Plan (e.g., State IT group)
 * 1) **Estimate Cost and Establish Budget.** Perform this activity for each of the projects/tasks defined for the Plateaus. Develop estimates of costs for the projects in labor units and dollars. Generally, this estimating includes the following:
 * Estimate the size of each project's product, and any significant, intermediate work products.
 * Estimate cost (in labor units and dollars) to produce each product (assuming the methods to be used to build the product, such as the engineering tools and methods).
 * Estimate level-of-effort and duration of support tasks, such as CM, QA, and Plateau and project management.
 * Identify and estimate costs for other categories, and such resources (tools, facilities), travel, coordination with external groups.
 * 1) **Develop Measurement Plan.** Define measurements to determine whether the overall IT Evolution Plan is on track and is fulfilling the strategic direction from the IT Strategic Plan. The measurements may provide evidence to support the cost/benefit analysis. Each of the projects will report measurements specified in this measurement plan. These measures include:
 * Risk
 * Financial
 * Product and process (defects, cost, schedule performance)
 * Issues and selected measures
 * Measurement specifications and definitions
 * Data sources
 * Measurement attributes and aggregation structures
 * Frequency of data collection
 * Methods of data delivery
 * Lines of communication and interfaces
 * Frequency of analysis and reporting
 * 1) **Develop Cost/Benefit Analysis.** Perform a cost-benefit analysis of the IT Evolution Plan or to review the value of the evolution approach and identify those projects that return the greatest long-term value.
 * **Feasibility Study and Alternatives Analysis.** The Technical Architecture Team will evaluate the technical alternatives. Implementation choices can be derived from the approaches (buy, build, outsource).
 * **Cost/Benefits Analysis.** The only information not developed as a part of the previous planning activities is the cost of the status.
 * 1) **Documents**
 * Statement of need (from the Strategic Plan)
 * Summary of requirements (from individual project plans)
 * Summary of feasibility study (from architecture study)
 * Summary of alternatives analysis (from architecture study and evaluation of other alternatives, such as make or buy analyses)
 * Cost/benefit analysis (from the Cost/Benefit Analysis activity)
 * Project Management plan (from all previous planning activities)
 * Proposed budget (from estimate cost activity)
 * Prospective cost allocation (allocation of projected costs over the appropriate programs)
 * 1) **Commit to Proceed.**

Roles and Responsibilities
The key roles and their responsibilities are as follows:
 * Evolution Management Team. These individuals have primary responsibility for IT Evolution Plan and either perform or delegate the planning activities.
 * Technical Architecture Team. These individuals provide insight into the Technical Architecture-related issues during the planning, such as insight into the appropriate technologies to consider for each Plateau.
 * Risk Analyst. This individual is responsible for planning all risk-related activities that are included in the IT Evolution Plan. The Risk Analyst provides advice to help ensure that the resultant IT Evolution Plan is well balanced in order to meet evolution goals and reduce risk.
 * Other Key Stakeholders. These individuals or groups have a vested interest in the establishment, approval, or oversight of the evolutionary path as laid out in the IT Evolution Plan. They may include IT management, IT Project Managers, agency program management, and the Agency Decision Makers, among others.

=**Project management approaches**= added by g1-4909, reference from : @http://en.wikipedia.org/wiki/Project_management

There are various approaches to managing project activities including agile, interactive, incremental, and phased approaches.

Regardless of the approach employed, careful consideration needs to be given to clarify surrounding project objectives, goals, and importantly, the roles and responsibilities of all participants and stakeholders.

A traditional phased approach identifies a sequence of steps to be completed. In the "traditional approach", we can distinguish 5 components of a project (4 stages plus control) in the development of a project:
 * The traditional approach**

Typical development phases of a projectProject initiation stage; Not all the projects will visit every stage as projects can be terminated before they reach completion. Some projects don't have planning and/or monitoring stages. Some projects will go through steps 2, 3 and 4 multiple times.
 * Project planning or design stage;
 * Project execution or production stage;
 * Project monitoring and controlling systems;
 * Project completion stage.

Many industries use variations on these stages. For example, in bricks and mortar architectural design, projects typically progress through stages like Pre-Planning, Conceptual Design, Schematic Design, Design Development, Construction Drawings (or Contract Documents), and Construction Administration. In software development, this approach is often known as the waterfall model[15], i.e., one series of tasks after another in linear sequence. In software development many organizations have adapted the Rational Unified Process (RUP) to fit this methodology, although RUP does not require or explicitly recommend this practice. Waterfall development can work for small tightly defined projects, but for larger projects of undefined or unknowable scope, it is less suited. The Cone of Uncertainty explains some of this as the planning made on the initial phase of the project suffers from a high degree of uncertainty. This becomes especially true as software development is often the realization of a new or novel product, this method has been widely accepted as ineffective for software projects where requirements are largely unknowable up front and susceptible to change. While the names may differ from industry to industry, the actual stages typically follow common steps to problem solving — "defining the problem, weighing options, choosing a path, implementation and evaluation."

Critical Chain Project Management (CCPM) is a method of planning and managing projects that puts more emphasis on the resources required to execute project tasks. It is an application of the Theory of Constraints (TOC) to projects. The goal is to increase the rate of throughout (or completion rates) of projects in an organization. Applying the first three of the five focusing steps of TOC, the system constraint for all projects is identified as resources. To exploit the constraint, tasks on the critical chain are given priority over all other activities. Finally, projects are planned and managed to ensure that the resources are ready when the critical chain tasks must start, subordinating all other resources to the critical chain.
 * Critical Chain Project Management**

For specific projects, the project plan should undergo Resource Leveling, and the longest sequence of resource-constrained tasks is identified as the critical chain. In multi-project environments, resource leveling should be performed across projects. However, it is often enough to identify (or simply select) a single "drum" resource—a resource that acts as a constraint across projects—and stagger projects based on the availability of that single resource.

In critical studies of Project Management, it has been noted that several of these fundamentally PERT-based models are not well suited for the multi-project company environment of today.[citation needed] Most of them are aimed at very large-scale, one-time, non-routine projects, and nowadays all kinds of management are expressed in terms of projects.
 * Extreme Project Management**

Using complex models for "projects" (or rather "tasks") spanning a few weeks has been proven to cause unnecessary costs and low maneuverability in several cases. Instead, project management experts try to identify different "lightweight" models, such as Agile Project Management methods including Extreme Programming for software development and Scrum techniques.

The generalization of Extreme Programming to other kinds of projects is extreme project management, which may be used in combination with the process modeling and management principles of human interaction management.

Event chain methodology is the next advance beyond critical path method and critical chain project management.
 * Event chain methodology**

Event chain methodology is an uncertainty modeling and schedule network analysis technique that is focused on identifying and managing events and event chains that affect project schedules. Event chain methodology helps to mitigate the negative impact of psychological heuristics and biases, as well as to allow for easy modeling of uncertainties in the project schedules. Event chain methodology is based on the following major principles.


 * **Probabilistic moment of risk:** An activity (task) in most real life processes is not a continuous uniform process. Tasks are affected by external events, which can occur at some point in the middle of the task.
 * **Event chains:** Events can cause other events, which will create event chains. These event chains can significantly affect the course of the project. Quantitative analysis is used to determine a cumulative effect of these event chains on the project schedule.
 * **Critical events or event chains:** The single events or the event chains that have the most potential to affect the projects are the “critical events” or “critical chains of events.” They can be determined by the analysis.
 * **Project tracking with events:** If a project is partially completed and data about the project duration, cost, and events occurred is available, it is possible to refine information about future potential events and helps to forecast future project performance.
 * **Event chain visualization:** Events and event chains can be visualized using event chain diagrams on a Gantt chart.

The PRINCE2 process modelPRINCE2 is a structured approach to project management, released in 1996 as a generic project management method.[16] It combined the original PRINCE methodology with IBM's MITP (managing the implementation of the total project) methodology. PRINCE2 provides a method for managing projects within a clearly defined framework. PRINCE2 describes procedures to coordinate people and activities in a project, how to design and supervise the project, and what to do if the project has to be adjusted if it does not develop as planned.
 * PRINCE2**

In the method each process is specified with its key inputs and outputs and with specific goals and activities to be carried out, which gives an automatic control of any deviations from the plan. Divided into manageable stages, the method enables an efficient control of resources. On the basis of close monitoring, the project can be carried out in a controlled and organized way.

PRINCE2 provides a common language for all participants in the project. The various management roles and responsibilities involved in a project are fully described and are adaptable to suit the complexity of the project and skills of the organization.

Capability Maturity Model, predecessor of the CMMI ModelAlso furthering the concept of project control is the incorporation of process-based management. This area has been driven by the use of Maturity models such as the CMMI (Capability Maturity Model Integration) and ISO/IEC15504 (SPICE - Software Process Improvement and Capability Determination).
 * Process-based management**

Agile Project Management approaches based on the principles of human interaction management are founded on a process view of human collaboration. This contrasts sharply with traditional approach. In the agile software development or flexible product development approach, the project is seen as a series of relatively small tasks conceived and executed as the situation demands in an adaptive manner, rather than as a completely pre-planned process.



What is Information Systems (IS)?

The last few decades, we’ve witnessed an amazingly rapid development of information technology, spearheaded by the computer. The term information technology was associated with modern technology, electronic-based, for handling information. Nowadays, Information technology has became very complex, thus people needs to develop a system to handle this technology.

Information Systems (IS) can refer to any form of system that used by people to handle information. The primary purpose of Information systems is designed to provide financial and quantitative information to all the levels of management in an organization. Information systems provide the data from an integrated computer database, which is constantly updated from all areas of the organization in a structured way. Access to the data is usually restricted to the areas regarded as useful to particular managers, and access to confidential information is limited to top management.

Large corporations are widely recognized that developing competence in information technology is important, expensive, and difficult. As the use of Information system become more and more important, there are several major problems that needs to be solved, which include improved systems and software technology, advanced programming techniques, enlarge the storage memory and improved human-computer interfaces.
 * Future Improvement **

Ref: [] = [] http://www.oxfordreference.com/views/ENTRY.html?subview=Main&entry=t18.e3905

Four Major IS Activities :
 * 1) Daily operations (backup, support)
 * 2) Development and maintenance of new application systems
 * 3) Digital convergence and integration
 * 4) Search for innovative business ideas and systems requirements

= __IS Lite Model from Gartner EXP__ =

Four IS Lite Trends
IS Lite envisions a slimmed-down IS organization due to four major structural trends:
 * 1) Process-based Working
 * 2) Outsourcing
 * 3) Specialist Centers of Excellence
 * 4) Application Development Embedded in Business Units (//BUs//)

Three IT Macro-processes
In a federal structure, IS units sit in the middle of a value chain - "from External Service Providers (//ESPs//) on the supply side to Business Units (//BUs//) on the demand side". IT activities would take place in three IT Macro-processes:
 * 1) **__Driving Innovation__** - It includes strategic planning, architecture design and business requirements definition.
 * 2) **__Delivering Change__** - It includes system development and support of user changes.
 * 3) **__ Supporting Infrastructure __** - It includes desktop support, data center operations and network operations.

Toward IS Lite
As the consequence of IS Lite Trends, the three IT Macro-processes would become:
 * 1) **__Driving Innovation__** - It would be retained internally and mostly centralized for coherence and exploitation across the enterprise.
 * 2) **__Delivering Change__** - It would be mostly moved out to the business units to get the benefits of being close to customers.
 * 3) **__Supporting Infrastructure__** - It would be selectively outsourced under central control for cost and efficiency.

The Extent of Restructuring around IS Lite

 * Process-based Working, Outsourcing and Centers of Excellence had already been established.
 * Application Development Embedded in Business is much less evident.
 * Process-based Working has had the greatest positive impact on both IS and the business.
 * Process-based Working is also the strongest contributor to benefits.
 * The benefits of IS Lite are broad-based except for cost reduction.

The Challenges in Adopting IS Lite

 * Lack of the necessary competencies and IS resistance to change are the two challenges having the most impact.
 * The challenges reflect a change in focus and roles:
 * From technical to business and behavioral
 * From cost to value
 * Five key roles should be retained in house:
 * 1) ** IT Leadership **
 * 2) ** Architecture Development **
 * 3) ** Business Enhancement **
 * 4) ** Technology Advancement **
 * 5) ** Vendor Management **
 * IT Leadership will still remain the most important role with vendor management and technology advancement in the future.
 * Compared with technical competencies, the new business and behavioral IS Lite competencies are relatively difficult to acquire.

The Way to Move Toward IS Lite
There are eight steps to move toward IS Lite successfully:
 * 1) Analyze the enterprise's business drivers to determine the IS Lite priorities.
 * 2) Strengthen the skills of IT leadership team.
 * 3) Centralize the architecture development role to coordinate internal and external architectural direction.
 * 4) Use the business enhancement role to encourage process-based working throughout the enterprise.
 * 5) Use the technology advancement role to develop knowledge-sharing centers of excellence.
 * 6) Centralize and expand the scope of the vendor management role.
 * 7) Consolidate the roles in an IS Lite organization.
 * 8) Demonstrate the business value of IT by running IS like a business.

=
How ISM can help the business growing fast in demand pull because more of the customer and firm are needed the professional and customize the specify business process and operation it help to improve them goal business. ======

Alibaba.com

 * Alibaba.com is the largest online business-to-business trading platform
 * Alibaba.com exactly a e-commerce firm, and it make successful to reach the competitive business environment and demanding customer after the 1990s.
 *  Alibaba.com also build up the virtual storefronts, benefit not only Alibaba to what the business sector, also formed a big Business Ecosystem and Global Marketplace
 * Alibaba.com already launch a international edition page, it make the intangible ideas more success to speed up the economy running cycle, and it can resolve diffierent country in diffierent time sector and diffierent language of the customer
 * Alibaba.com can collaboration long distance business commercial cooperation such as China and US. It can help many small and individual Founder to create many opportunity and build up very fast extended global economy.



**eBay **
Another one famous website – eBay, an online auction and shopping website, which also make people and other business buy and sell a broad variety of goods and services worldwide, many city are included eBay also development an additional tools and demand-pull software provide to the customer, to attract more opportunity even eBay or their customer, also improve competitiveness. aBay fully reach the Wave of Innovation Wave 1:Online shipping total decrease both buyer side and seller side time and the cost. Wave 2:Customer and eBay self, can use low cost platform to run their business, also eBay also management side more easier Wave 3:eBay also develop many tools which can convenience the Buyer and the Seller, expend the usability such as Moblie Wave 4:eBay also build in report and analysis in the system, for sell report provided, stuff of data store to the database for future business and system planning and analysis Wave 5:demand-pull also distribute in eBay system In the above, both two Digital Enterprise also have excellent planning in IT/IS using the internet. Real-Time Working can be applied in the 24 hrs non-stop Internet marketplaces. Make more invest in IT in the future, more recourses to planning and Management development 
 * Conclusion**

Future of the IS and the trends of the ISM

IS/IT could probably be outsourced, but Total Outsourcing is unwise due to the criticality of the service to the business. How can achieve that not only buy the book and some rule and step can resolve, this only and IT activities, How to plan a well-structure management it need to experience and analysis the environment and the goal what is the high value benefit to the business.


 * Information System Management (ISM)

Introduction** Information system is an organized resources which help to solve the business problems such as costing a product, service or a business-wide strategy. The system processes those data from resources into information and has a control of system performance by using it. ISM includes planning, management, control and use of information systems in order to support business objective.

IS is an organization which using the information is delivered from all components and resources but IT represent the several component like hardware, software, networking and data management which are used for the system to operate. So business professional would like to apply a suitable information system with various information technologies. People resource** - End users and IS specialists
 * Information System (IS) is not equal Information Technologies (IT)**
 * There are five major resources of ISM
 * Hardware and software resource** - Machines, Media and programs
 * Communcation networks** - communicate media and network suppport
 * Data resources** - Date and knowledge basses
 * Policies and procedures** - orperation policies and procedure

**The Important of Information System Management** 
 Due to the globalization of business, the business environment is different from traditional. Since the most of marketplaces are global now, it brings lots of globalization challenges and opportunities to business. Most of businesses need to handle global customer, partner and delivery system. Some of businesses have a need to transform to a digital firm and work with internet. To against the challenge of it, Information System Management is important because it helps to transform the business enterprises. There are three major environments involved in the transformation.

**External business environment** External business environment means the f actors that influence the firm from outside. They are business cycles, marketplace and economy, etc. In those environments, IS and IT help business to face the new  challenges. For example, IS and IT underpins both old and new ways of doing business. Moreover, IS improve the global business with IT by analysis data and

<span style="font-family: 'Arial','sans-serif'; font-weight: normal;">Internal business environment means the f ** actors that influence inside the firm. They are working time, working place, service, and resource, etc. For example, IS and IT help to transform the working time and place to be global. This transformation brings business more easily to get in the global marketing. Furthermore, it increases the teamwork between global place and it has no time differences between day and night shift. <span style="font-family: 'Arial','sans-serif'; font-size: 10pt;"> <span style="font-family: 'Arial','sans-serif';">**Goal of new work environment** IS and IT transform the business into a new model which is fit the marketplace. Most company work electronically and organize easily for complexity process. IS and IT also handle continue and discontinuous change.
 * <span style="font-family: 'Arial','sans-serif';">Internal business environment

//Hi all, I believe it will be more interesting if we can apply the things we learnt in the lecture. Please feel free to add your options in this topic. by g1-2895//

=**<span style="font-family: 'Arial Black',Gadget,sans-serif; font-size: 140%;">Why is IS Management Important in HK **= Near the year end of 2008, the Financial Tsunami cause a great impact on Global economies. The harsh of economic challenging results the business decided to have a sharp-cut on their expenditures. Compulsory no-paid leave, pay docked, and restructure division and dismissal of employees…etc, all these terms are not difficult to find in the news.

Although the business is tough enough, the IT managers in Asia still expected not to have a budget cut in IT, and some even more than half reported a slight increase on that, regarding Gartner report - "User Survey Analysis: Software Base Budget, Asia/Pacific, 2009-2010" (ref: [], []).

<span style="font-family: 'Arial Black',Gadget,sans-serif; font-size: 120%;">Why Information Technology is important for HK enterprises

Source : Census and Statistics Department (HKSAR) 2009 ([])

Regarding the information from Census and Statistics Department, the percentage of revenue from electronic means in total business receipts has sharply increasing, starting from less then 0.2%, in 2000 to nearly 1.2%, in 2007, which is 500% grow within 7 years. More and more business receipts are relied on IT.

<span style="font-family: 'Arial Black',Gadget,sans-serif; font-size: 120%;">IS Management in HK __The Internal Business Environment Facts__ After the nightmare of SARS and Swine flu(H1N1),most of business management started to consider how to keep their business run when the disaster comes. Here are some example that IS Management introduced: 1) Anytime, anywhere works: IS manager help to introduce the corresponding IT Technologies to support this business decision like: Citrix, SSL VPN, Terminal Service, video conferenceing.etc. These IT technologies provide a service to let the staffs to continue their duties at home 2) Business Continuity Planning: Hot/Warm/Cold remote site to provide a second tier of service backup when the disaster was occurred in the Main Office. __Outsourcing and strategic alliances__ Because of the economic challenging, more and more IT managers are willing to outsource the new system to external vendor, who has a more skillful techniques and experiences on a specified areas, to reduce the new technology learning cost and time from internal staff.

= =
 * Restructure to all topics above **

=**Introduction to IS Management**= media type="youtube" key="scrv8ZjyTzI" height="344" width="425"

During the last years of the 20th century, when CHANGE was the recognized certainty among enterprises and, one after another, innovative new competitors rose up from every corner of the world to fight for dominance of the world marketplace, enterprise organizations came to realize that the key factor to survival or even better to win the competition is Information Technology (IT).

IT is not IS. An organization which manages IT (the technology) is the Information Systems (IS) organization. While IS combines IT, people, processes, and organizational mechanisms in an any organized way for the purpose of fostering the use of IT to improve organizational performance.

Nowadays IT is taken as a strategic asset which contributes to competitive strategies and organizational processes improvement. The situations in which organizations are applying IT have increased in complexity, including more inter-organizational environments. Further, the considerable growing need of the IT capabilities and the complexities of using the technologies make Information Systems Management (ISM) to have become an indispensably essential topic.

**What is Information Technology**
<span style="font-family: Arial,Helvetica,sans-serif; font-size: 10pt;">Information technology (IT), as defined by the Information Technology Association of America (ITAA), is "the study, design, development, implementation, support or management of computer-based information systems, particularly software applications and computer hardware." IT deals with the use of electronic computers and computer software to convert, store, protect, process, transmit, and securely retrieve information.
 * Computer hardware technologies
 * Computer software technologies
 * Telecommunications network technologies
 * Data resource management technologies

Information technology provides means of constructing aspects of information systems, but is distinct from information systems. We should to understand that information systems have existed in organizations before the invention of IT. At that time, IS do not need modern IT to exists.

But nowadays, in complex organisational world, most IS rely on hardware, software, data and communications technology to a greater or lesser degree because of the efficiency and effectiveness gains possible with the use of such technology.

**What is Information System**
<span style="font-family: Arial,sans-serif; font-size: 10pt;"> Information system is an organized resources which help to solve the business problems such as costing a product, service or a business-wide strategy. Th system processing those data from resources into information and have a control of system performance by using it. <span style="font-family: arial,helvetica,sans-serif;"> The last few decades, we’ve witnessed an amazingly rapid development of information technology, spearheaded by the computer. The term information technology was associated with modern technology, electronic-based, for handling information. Nowadays, Information technology has became very complex, thus people needs to develop a system to handle this technology.

And it also can refer to any form of system that used by people to handle information. The primary purpose of Information systems is designed to provide financial and quantitative information to all the levels of management in an organization. Information systems provide the data from an integrated computer database, which is constantly updated from all areas of the organization in a structured way. Access to the data is usually restricted to the areas regarded as useful to particular managers, and access to confidential information is limited to top management.

Large corporations are widely recognized that developing competence in information technology is important, expensive, and difficult. As the use of Information system become more and more important, there are several major problems that needs to be solved, which include improved systems and software technology, advanced programming techniques, enlarge the storage memory and improved human-computer interfaces.
 * Future Improvement **

Reference [1], [2], [3]

Four Major IS Activities :
 * 1) Daily operations (backup, support)
 * 2) Development and maintenance of new application systems
 * 3) Digital convergence and integration
 * 4) Search for innovative business ideas and systems requirements

=<span style="color: #800000; font-family: Arial,Helvetica,sans-serif;">__IS Lite Model from Gartner EXP__ =

Four IS Lite Trends
IS Lite envisions a slimmed-down IS organization due to four major structural trends:
 * 1) Process-based Working
 * 2) Outsourcing
 * 3) Specialist Centers of Excellence
 * 4) Application Development Embedded in Business Units (//BUs//)

Three IT Macro-processes
In a federal structure, IS units sit in the middle of a value chain - from external service providers (//ESPs//) on the supply side to business units (//BUs//) on the demand side. IT activities would take place in three IT Macro-processes:
 * 1) **__Driving Innovation__** - It includes strategic planning, architecture design and business requirements definition.
 * 2) **__Delivering Change__** - It includes system development and support of user changes.
 * 3) **__Supporting Infrastructure__** - It includes desktop support, data center operations and network operations.

Toward IS Lite
As the consequence of IS Lite Trends, the three IT Macro-processes would become:
 * 1) **__Driving Innovation__** - It would be retained internally and mostly centralized for coherence and exploitation across the enterprise.
 * 2) **__Delivering Change__** - It would be mostly moved out to the business units to get the benefits of being close to customers.
 * 3) **__Supporting Infrastructure__** - It would be selectively outsourced under central control for cost and efficiency.

The Extent of Restructuring around IS Lite

 * Process-based Working, Outsourcing and Centers of Excellence had already been established.
 * Application Development Embedded in Business is much less evident.
 * Process-based Working has had the greatest positive impact on both IS and the business.
 * Process-based Working is also the strongest contributor to benefits.
 * The benefits of IS Lite are broad-based except for cost reduction.

The Challenges in Adopting IS Lite

 * Lack of the necessary competencies and IS resistance to change are the two challenges having the most impact.
 * The challenges reflect a change in focus and roles:
 * From technical to business and behavioral
 * From cost to value
 * Five key roles should be retained in house:
 * 1) IT Leadership
 * 2) Architecture Development
 * 3) Business Enhancement
 * 4) Technology Advancement
 * 5) Vendor Management
 * IT Leadership will still remain the most important role with vendor management and technology advancement in the future.
 * Compared with technical competencies, the new business and behavioral IS Lite competencies are relatively difficult to acquire.

The Way to Move Toward IS Lite
There are eight steps to move toward IS Lite successfully:
 * 1) Analyze the enterprise's business drivers to determine the IS Lite priorities.
 * 2) Strengthen the skills of IT leadership team.
 * 3) Centralize the architecture development role to coordinate internal and external architectural direction.
 * 4) Use the business enhancement role to encourage process-based working throughout the enterprise.
 * 5) Use the technology advancement role to develop knowledge-sharing centers of excellence.
 * 6) Centralize and expand the scope of the vendor management role.
 * 7) Consolidate the roles in an IS Lite organization.
 * 8) Demonstrate the business value of IT by running IS like a business.

Another IS Lite Model from Gartner EXP


IS is an orgranzation which using the information is delivered from all components and resources but IT represent the several component like hardwarem software. networking and data management which are used for the system to operate.
 * <span style="font-family: Arial,sans-serif; font-size: 10pt;">Information System (IS) is not equal Information Technologies **<span style="font-family: Arial,sans-serif; font-size: 10pt;">( **<span style="font-family: Arial,sans-serif; font-size: 10pt;">IT) **<span style="font-family: Arial,sans-serif; font-size: 10pt;">

A sucessfull bussinesss should apply a correct information system with various infromation technologies. The Information System consists of five parts which include: people, procedures, software, hardware, and data. There are various types of information systems, for example: transaction processing systems, office systems, decision support systems, knowledge management systems, database management systems, and office information systems. Critical to most information systems are information technologies, which are typically designed to enable humans to perform tasks for which the human brain is not well suited, such as: handling large amounts of information, performing complex calculations, and controlling many simultaneous processes. A more details framework of Information Systems will be cover later on this pages. Information technologies are a very important and malleable resource available to executives. Many companies have created a position of Chief Information Officer (CIO) that sits on the executive board with the Chief Executive Officer (CEO), Chief Financial Officer (CFO), Chief Operating Officer (COO) and Chief Technical Officer (CTO).The CTO may also serve as CIO, and vice versa. The Chief Information Security Officer (CISO), who focuses on information security within an organization, normally reports to the CIO.

Here are some of details for each Officer:

[|CEO] (Chief Executive Officer) is often but not always also the President of a company, reporting to the Chairman of the Board and board members. [|CFO] (Chief Financial Officer), is seen as the second most important person in the company (since managing the quarterly results often depends on an understanding of how to keep the books). is the corporate official in charge of a company's finances. [|CIO] (Chief Information Officer), is responsible for a company's internal information systems, and, especially with the arrival of the Internet, sometimes in charge of the company's [|e-business] infrastructure. CTO (Chief Technology Officer), is likely to be seen as the second or third most important person in any technology company. The CTO is responsible for research and development and possibly for new product plans. [|CSO] (Chief Security Officer), is responsible for the security of a company's communications and business systems. [|CCO] (Chief Compliance Officer), is responsible for ensuring that a company and its employees are in compliance with government regulations and internal policies.

ISM stands for Information System Management, which we define as the development and use of information systems that help businesses achieve their goals and objectives. This definition has three key elements: development and use, information systems and business goals and objectives. Reference [4]

Components of an Information System
A system is a group of components that interact to achieve some purpose. Below figure shows the five-component framework – the five fundamental components of an information system: computer hardware, software, data, procedures, and people. These five components are present in every information system, from the simplest to the most complex. For example, when you use a computer to write a class report, you are using hardware (the computer, storage disk, keyboard, and monitor), software (Word, WordPerfect, of some other word-processing program), data (the words, sentences, and paragraphs in your report), procedures (the methods you use to start the program, enter your report, print it, and save and back up your file), and people (you).



The important point here is that the five components in the figure are common to all information systems, from the smallest to the largest. As you think about an information system, learn to look for each of these five components. Realize, too, that an information system is not just a computer and a program, but rather an assembly of computers, programs, data, procedures, and people.

These five components also mean that many different skills are required besides those of hardware technicians or computer programmers when building or using an information system. People are needed who can design the databases that hold the data and who can develop procedures for people to follow.

Development and use of information systems
ISM is concerned with development because information systems do not pop up like mushrooms after a hard rain; they must be constructed. To have an information system that meets your needs, you need to take an active role in that system’s development. Even if you are not a programmer or a database designer or some other IS professional, you must take an active role in specifying the system’s requirements and in helping manage the development project. Without active involvement on your part, it will only be good luck that causes the new system to meet your needs.

Achieving business goals and objectives
<span style="font-family: Calibri,sans-serif; font-size: 12pt;">ISM exists to help businesses achieve their goals and objectives. Information systems are not created for the sheer joy of exploring technology. They are not created so that the company can be “modern” or so that the company can claim to be a “new-economy company.” They are not created because the information systems department thinks it needs to be created or because the company is “falling behind the technology curve.” In order to achieve business goals and objectives, not just develop or upgrade the information system, but need effective management to control it.

Reference [5] G1-2816

Information System components
The main components of IS are People Resources, Hardware Resources, Data Resource and Network Resources.
 * People Resources
 * End users – the people who use the IS or the information from the IS
 * IS specialists – the people who develop and operate IS
 * Hardware Resources
 * All physical devices used in information processing
 * Machines, data media, peripherals
 * Software Resources
 * All information processing instructions including programs and procedures
 * System software, application software and procedures
 * Data Resources
 * Facts about the business transactions
 * Processed and organized information
 * Databases of organized data
 * Network Resources
 * Communications media
 * Network infrastructure (both hardware and software)

**Types of Information System**
Information systems differ in their business needs. Also depending upon different levels in organization information systems differ. Two major information systems are:

1. Operations Support Systems

 * 1) Efficiently process business transactions
 * 2) Control industrial processes
 * 3) Support communications and collaboration
 * 4) Update corporate databases

The three type of Operations Support Systems are:

1. Transaction Processing Systems 2. Process Control Systems 3. Enterprise Collaboration Systems
 * It record and process data from business transactions for examples the sales processing, inventory systems and accounting systems.
 * It monitor and control physical processes, for example the building security systems.
 * It can enhance team and work group communications, for example the e-mail and videoconferencing systems.

2. Management Support Systems
Provide information and support for effective decision making by managers

The three type of Management Support System are: 1. Management Information Systems 2. Decision Support Systems 3. Executive Information Systems
 * It can provide reports and displays to managers, for example the daily sales analysis reports.
 * It can provide interactive ad hoc support for decision making for example a what-if-analysis to determine where to spend advertising dollars
 * It can provide a critical information for executives and managers for example easy access to actions of competitors

As new information technologies are developed, new categories emerge that can be used to classify information systems. Some examples are: TPS automate the handling of data about business activities or transactions, which can be thought of as simple, discrete events in the life of an organization. Data about each transaction are captured, transactions are verified and accepted or rejected and validated transactions are stored for later aggregation. Reports may be produced immediately to provide standard summarizations of transactions and transactions may be moved from process to process in order to handle all aspects of the business activity. An 'MIS' is a planned system of the collecting, processing, storing and disseminating data in the form of information needed to carry out the functions of management. In a way it is a documented report of the activities those were planned and executed. A Decision Support Systems (DSS) is a class of information systems (including but not limited to computerized systems) that support business and organizational decision-making activities. A properly designed DSS is an interactive software-based system intended to help decision makers compile useful information from a combination of raw data, documents, personal knowledge, or business models to identify and solve problems and make decisions. An expert system is software that attempts to provide an answer to a problem, or clarify uncertainties where normally one or more human experts would need to be consulted. Office automation refers to the varied computer machinery and software used to digitally create, collect, store, manipulate, and relay office information needed for accomplishing basic tasks and goals. Raw data storage, electronic transfer, and the management of electronic business information comprise the basic activities of an office automation system. Office automation helps in optimizing or automating existing office procedures. Business intelligence (BI) refers to skills, technologies, applications and practices used to help a business acquire a better understanding of its commercial context. Business intelligence may also refer to the collected information itself.
 * __More types of Information Systems__ **
 * Transaction processing systems
 * Management information systems
 * Decision support systems
 * Expert systems
 * Office Automation
 * Business intelligence

__**The Importance of Information Technology**__ In the world of globalization, Information system is such where data are collected, classified and put into process interpreting the result thereon in order to provide an integrated series of information for further communicating and analyzing. In In a progressively more spirited worldwide atmosphere, Information System plays the role as 'enabler and facilitator', which endows with tactical values to the officialdom and considerable step up to the excellence of administration. 'An Information System is a particular type of work system that uses information technology to detain, put on the air, store, retrieve, manipulate or display information, thereby partisan one or more other work structure'. In totting up to taking sides assessment making, co-ordination and control, information systems may also help managers and workers investigate problems, envisage complex subjects and generate new merchandise or services.

More than that, below illustrate the relationship between IT & Business

Reference [6], [7],[8],[9]

G1-1258




 * I**nformation **S**ystem means an interconnected set of information resources under the same direct management control that shares common functionality. A system normally includes hardware, software, information, data, application, communication, and people. It is also defined as an organized collection, storage, and presentation system of data and other knowledge for decision making, progress reporting, and for planning and evaluation of programs that can be either manual or computerized, or a combination of both.

Information systems play a very important role in organizations, as they provide the information required for many kinds of decision-making. However, information systems can contribute to an organization in other ways. Information systems perform three vital roles in any types of organizations. They provide support for managerial decision-making, support for business operations and support for strategic competitive advantage in organizations.

A manager in an organization has to provide leadership and direction in organizations. Information systems provide the support for managerial decision-making. Wrong decisions made due to lack of information on the side of the manager will affect the organization.

To be able to decide between two alternatives, a manager must be equipped with the right information. For example, in considering retrenchment, they would need information on the number of staff and information on the labor laws. On the other hand, in considering the salary cut they would have to look at information on the annual budget and current salary. Information systems also provide support for business operations. Many organizations today make use of computer-based information systems to automate parts of their daily operations. This helps to improve internal efficiency. Cashiers in some supermarkets today, do not even have to key in the price of the items bought when calculating the total amount to be paid by the customers. They just put the items under the scanner and the price would appear on the screen automatically, minimizing clerical work.

The second role of information systems is providing organizations with support for strategic competitive advantage. These systems support organizations in developing products, services, processes or capabilities that give them a strategic advantage over their competitors. In addition to this, information systems are able to influence the environmental forces to gain extra advantage.

An environmental force is a term describing the suppliers, customers, investors, bankers and wholesalers who surround an organization. These forces have the potential to either support or break the organization. Like the example of using scanners at the cashier counters. The task of keying in prices is now automated. Automation minimizes human error. With errors minimized, production costs goes down and the finished products can be sold at a cheaper price. Now, that is an advantage over competitors and it would also attract. The competitive edge that an organization has over other organizations will attract the attention of the environmental forces. Banks for instance, would certainly be more willing to provide the necessary loan or investment if they see a bright future in the products or services introduced to them. The support provided by an information system in creating strategic competitive advantage can be seen from the perspective of cost strategy, differentiation strategy and innovation strategy. Low production cost means low customers' cost. Customers would indeed prefer a product of a low price to an identical product at a higher price. By providing the three forms of support, information systems play an essential role in molding the success or failure of organizations.

Tools in IT can be divided into physical tool and symbolic tool. Physical tool consists of telephones, computers, cameras and any peripherals or devices that can achieve the objectives mentioned above. For symbolic tool, it consists of written and spoken languages, mathematical symbols, computer languages and tables of natural elements.
 * I**nformation **T**echnology, Information is basically facts and ideas that are expressed through a mutually understandable language. It has been around even in the days of the caveman. Information Technology or IT for short in the other point is any tools or techniques used to collect, store, process, use and disseminate information.

There are several categories of IT. It includes Input Technologies, Communications Technologies, Processing Technologies, Storage Technologies and Output Technologies. Input Technologies include devices that help us gather information from the environment and translate that information in a form that can be understood by a computer. It also related with Sensing Technologies. Example of input devices are keyboard, mouse, light pen, touch screen, touch pad, joystick and etc.

Communication Technologies are technologies that tie together and communicate information between input, analyzing and output technologies. Some of the examples are the implementation of LAN, MAN and WAN, cellular telephones, fax, resource sharing and etc. These technologies have overcome the difficulties in distributing information at distance area. Processing Technologies include computer hardware and software. It is also known as Analyzing Technologies. The main concern of this technology is to get raw facts turn to useful information. Computers take in raw facts (input) from sensing and communicating devices and then store and process the raw facts and turn it out as useful information (output). Storage Technologies refer to devices that are used to keep or store data and instruction. The examples such as floppy disk, hard disk, optical disk, micro chip, magnetic strip card and etc. Finally, is the Output Technologies. Output technologies describes computer hardware and software that make processed data available to human users, either through sight or sound. This is also known as Display Technologies. Examples are monitor, speaker, printer and etc. With the application of IT, it helps much in managing our daily activities efficiently. It can create and keep track of documents, control production in manufacturing site, design new products, software and etc. market products around the world and also expand interaction and communication to the whole world.

Nowadays, IT has influenced much in our lives be it in our daily activities, organization, education, communication or socialism. With the emergence of telecommunications, the role of IT is much beyond the expectations. From air mail to electronic mail, retails to electronic commerce and mobile commerce, window shopping to tele-shopping and also online transaction that could ease the burden of crowded banks. Education for example, we could see the major changes in the traditional way of acquiring knowledge or learning in some higher learning institution. They are now make full use of the IT by promoting virtual learning or online learning to attract the people regardless of their age to further their studies. Telecommunication on the other side, also promotes the flexible and convenient way of communicating. From wire line to wireless, it now seems like everybody could enjoy the benefits derived from its emergence. Many technologies also arise from telecommunications such as WiFi, Bluetooth, Edge, 3G, GPRS and etc that could be implemented to make use of messaging system. In socialism, IT has changed the way we interact and socialize. Information transfer is done also much faster compared to the traditional way. If air mail could reach the recipients in few days, electronic mail has cut it to few seconds. By using video conferencing too, your loved ones who are far away could see you as if you were right in front one another. That is why distance is not a gap anymore.

By summarized what we said, Information system concern more with managing and manipulate data where as IT is the tools or techniques that could help in managing and manipulate the data. Both are not the same but they are actually interrelated with each other. Either party would not function well with the absence of one of it.

Reference [10]

**Introduction of ISM**
Modern commercial society, want to make an ideal business development, faster than any other opponent, business process must be embedded some kinds of IT element, But the investment is reliable, effective and efficient, that is, depending on IS Management



Some kinds of issue need to resolve by the ISM. So, IS Management is the planning and control the IT related to make business run better and growing fast, to achieve the business goal. Practical examples transform a traditional business to e-business

Short for //**m** anagement **i** nformation **s** ystem// or //**m** anagement **i** nformation **s** ervices,// and pronounced as separate letters, MIS refers broadly to a computer-based system that provides managers with the tools for organizing, evaluating and efficiently running their departments. In order to provide past, present and prediction information, an MIS can include [|software]that helps in decision making, data resources such as [|databases], the [|hardware]resources of a system, [|decision support systems], people management and project management [|applications], and any computerized processes that enable the department to run efficiently. Within companies and large organizations, the department responsible for computer systems is sometimes called the MIS department. Other names for MIS include //IS (Information Services)// and //IT (Information Technology).//

Followed by the 19th century a lot of company's business gradually Join the IT elements, the first use of hardware such as computers, supply-push software, followed by more use of the Internet to an information access, demand-pull programs, such as ERP, aims to make business globalization to create more opportunities, become leverage growth.

Traditional business cycle

IT embedded in the business cycle

IS Management Issues for the 1990s In the above, that is some major issues followed the 1990S by SIM
 * 1) Continued concern for traditional issues such as strategic planning and organizational alignment
 * 2) Technology infrastructure
 * 3) IS human resources, software development and telecommunication system
 * 4) Data-related issues occupy
 * 5) Rising importance of technology infrastructure issues
 * 6) Internal effectiveness issues
 * 7) Application portfolio

Reference [11]

ISM also is the planning management, risk management, evaluation of strategy, policy & development and use the professional knowledge as I.T. to apply it works and also it is a huge resource management, It include 5 components are( For the details of each aspect, it will be mentioned on "
 * __Information Systems Management (ISM)__ is the application of information technology to support the major functions and activities of either a private sector business or public sector institution. In the past, organizations recognized the importance of managing resources such as labor, capital, and raw materials. Today, it is widely accepted that managing the information resource is very often equally important. ISM supports the process of collection, manipulation, storage, distribution and utilization of an organization's information resources. **

Generally, ISM distributed as following modules:
 * Top Management Roles & Leadership Issues
 * Strategic IT Evaluation & Innovation
 * IT Governance
 * IT Sourcing/Out-Sourcing
 * Planning and Managing Infrastructure
 * Integration System & Development
 * Electronic-Business Technologies
 * Manage the Essential Technologies
 * System for Supporting Knowledge-Base Work

**Difficulties in Information Systems Management**
__Hardware__

Hardware consists not only of the computers used in an organization but also of networking hardware. Network hardware is needed to connect different systems to allow for collaboration and information sharing.

Companies often face difficult decisions regarding their hardware. Constant innovations within the information technology sector lead to ever-increasing processor speeds and storage capacities but also rapid obsolescence. Information systems executives therefore face countless complex questions, such as technologies choices, replacement time, security, performance and storage for future usage, reliability, etc...

__Software__

Various type of software enable companies to utilize their information systems hardware and networks. This software assists organizations in executing their business processes and competitive strategy. Consequently, with increased reliance on information systems for managing the organization, effectively utilizing software resource is becoming increasingly critical and complex.

Companies have to manage the software installed on each and every computer used, including managing updates, fixing bugs, and managing issues related to software licenses. In addition, companies have to decide whether to upgrade their software or switch to new products and when to do so.

__Peoples__

One of the issue faced by companies is the availability of a trained workforce. Although even large facilities do not require large support staff, the staff that is needed should be well trained. For some countries, permanent jobs will likely require special skills so that much of the workforce will be imported from other cities, or even other countries. For this reason, some companies try to locate the facilities in common areas.

__Data__

Data are essential for both gaining business intelligence and executing business processes. Managing this resources thus requires facilities with sufficient capacity, preformance, and reliability. For example, companies such as ebay, they need to store user information, product information, transactions, etc. Many companies operating in the digital world rely heavily on their databases not only to store information but also to analyze this information to gain business intelligence.

In addition to effectively managing their data resources, organizations must also effectively manage their knowledge. Professionals who are relatively well educated and who create, modify and synthesize knowledge, organization must effectively utilize their knowledge to gain a competitive advantage.

 __Network__

Information systems in organization have become more powerful and important is the ability to interconnect, allowing internal and external constituents to communicate and collaborate with each other.

Having a number of interconnected computers are necessary but not sufficient for enabling communication and collaboration. Companies also need various other hardware and software, such as email server, Microsoft Outlook. Similarly, companies have to decide on whether to utilize tools such as instant messaging and which system to use for such applications. Further, it has becomes increasingly important for companies to be able to utilize video-conference to bridge the distances between a company and its business partners, saving valuable travel time and enhancing collaboration.

However, the differences in terms of quality, costs, and functionality of these systems, companies have to assess their communication needs and carefully decide which combination of technologies best support the goals of the organization.

**ISM is not omnipotent**
A potential problem with relying on electronic communication and processing of information is the loss of the vital human element. Sometimes because of the complexity of information, an ISM report cannot effectively summarize it. Very rich information is needed to coordinate and run an enterprise and certain classes of information cannot be quantified. For example, it might be wrong to evaluate an employee's performance solely based on numbers generated by an ISM. Numbers can indicate a performance problem but a face-to-face meeting will be necessary to discuss the nature of the problem. Ref [30] http://www.ehow.com/about_5194585_types-management-information-systems.html

**The Important of Information System Management**<span style="font-family: Arial,sans-serif; font-size: 10pt;">
<span style="font-family: Arial,sans-serif; font-size: 10pt;"> Due to the globalization of business, the business environment is different from traditional. Since the most of marketplaces are global now, it brings lots of globalization challenges and opportunities to business. Most of businesses need to handle global customer, partner and delivery system. Some of businesses have a need to transform to a digital firm and work with internet. To against the challenge of it, Information System Management is important because it helps to transform the business enterprises. There are three major environments involved in the transformation.

<span style="font-family: Arial,sans-serif;">**External business environment** External business environment means the f actors that influence the firm from outside. They are business cycles, marketplace and economy, etc. In those environments, IS and IT help business to face the new <span style="font-family: Arial,sans-serif; font-size: 10pt;"> challenges. For example, IS and IT underpins both old and new ways of doing business. Moreover, IS improve the global business with IT by analysis data and

<span style="font-family: Arial,sans-serif; font-weight: normal;">Internal business environment means the f ** actors that influence inside the firm. They are working time, working place, service, and resource, etc. For example, IS and IT help to transform the working time and place to be global. This transformation brings business more easily to get in the global marketing. Furthermore, it increases the teamwork between global place and it has no time differences between day and night shift. <span style="font-family: Arial,sans-serif; font-size: 10pt;"> <span style="font-family: Arial,sans-serif;">**Goal of new work environment** IS and IT transform the business into a new model which is fit the marketplace. Most company work electronically and organize easily for complexity process. IS and IT also handle continue and discontinuous change.
 * <span style="font-family: Arial,sans-serif;">Internal business environment

** Why ?**
The global organizations have different branches in the world. These branches need to communicate with others. We have to ensure all the data and information is updated. Moreover, every department has different kinds of data. They need to store, transform and disseminate these data. Examples: 1. Sales department data consist of product, service, customer, region, retail store, policy and inventory. 2. Marketing department include products, services, promotion, market, survey, customer, industry trends, strategies, and guidelines. 3. Information technology (IT) department has, software, network, policy, guidelines and security information. 4. The human resources department has job, policy, training, and development information. On the other hand the information system can support the organization to do the decision making. It also ensures that headquarter can send the decisions, policies and data to branches directly. The following diagram shows that the information system management is used to control all the data resources among departments, branches and the headquarter.

The difficulties are language barrier, time zones and the branches locations. This data synchronization process is important for the 21st century business organizations.

So the information management is very important for the global organization because IS management is used to plan, control and support the business. Moreover, information system is not just only used to support the business enterprise’s operations, it is also used to improve competitiveness and enable the global working environment.

__E-Business in the global and Internet economy__ In the past twenty years, the Internet grows very fast. The information technology changed a lot of business organization operation. Therefore these organizations use the Internet as the core for business dealings. E -Business is the use of electronic communications and digital information processing technology in business transactions to create, transform among the organizations. It is the combination of real business and e-tools. Although this change will cost organization a lot, it brings business more efficiency, competitive and the following advantages : 1. Removes Location and Availability Restrictions 2. Reduces Time and Money Spent 3. Heightens Customer Service 4. Gives Competitive Advantage The e-business market value is very large (figure1). This large value of market can attract the global organization or small business to join. International Data Corp (IDC) estimates the value of e-commerce in 2000 at US$350.38 billion. IDC also predicts an increase in Asia’s percentage share in worldwide e-commerce revenue from 5% in 2000 to 10% in 2004 (See Figure 1).
 * The external business environment **

Today e-business is very popular, a lot of global organizations survive in this way. So the IS management can help the organization to have smooth daily operation, reduce cost, reorganize human resources. So IS management is not only just for the global organization, but also for the small business.

Reference [12], [13], [14]

**Traditional Planning of IS**
In many organizations, the process of overall information resources planning has not been structured in the same way as the business planning process. Instead, the majority of IS lpanning emphasis was on major application systems internal development project planning rather than on overall organization planning. When a urgent, sepcific business need called for a new information system, some form of formal project planning process was invoked to address the situation.

These IS planning may not have enough considerations. This make the potential impact that one proposed system might have on another proposed or existing system. Although practical from the perspective of the IS department and perhaps the individual business manage, often resulted in lost strategic business opportunities, incompatible systems and databases, unacceptable implementation time frames, and a host of other problems. This needed-based IS planning approach often failed to give adequate considerations to the toal information requirements of the organization across operating units, possible economies of scale, and avoidance of duplication of efforts

**Competitive Business Environment**
The External Business Environment - external forces cause IS executives to re-examine how their firms compete. The Internal Organization Environment - internal structural forces affect how organizations operate or are managed. The working environment is changing, and the art of managing people is undergoing significants shifts. Stragegies in the new work environment:
 * Information can move faster in IT. Therefore, increasing the speed at which events take place and the pace at which individuals and organizations respond to events.
 * Internet economy, such as B2B, B2C, where IT is the major enhancement of the way old and new worlds interface.
 * Global marketplace. The whole world has become the marketplace. Companies can work globally through Internet. Business environment becomes global.
 * Faster business cycles reply on IT.
 * Rising societal risks of IT. Many people are negatively affected by IT through network shutdowns, computer viruses, identity theft, email scams, movement of white collar jobs offshore.
 * From Supply-Push to Demand-Pull
 * OLD
 * Companies tried the best to figure out what customers wanted
 * The supply of products are organized. Then, 'push" them to the customers in stores
 * NEW
 * Closer and one-click contact between customers and seller
 * The components of product sre offered to customers and customers can make their own version by 'pulling' what they want
 * Self-Service - In 1990s, there was an increase in customers accessing corporate computer systems by themselves to know more about the products, buy products, check the delivery status of the products and communicate with the company.
 * Team-based working - working together in project base
 * Real-time working
 * Salesmen have the up-to-date information about the customers
 * Know the inventory and cash levels as they are now and not a week ago
 * Be rechable when someone want to
 * Anytime, anyplace information work
 * Demise of hierarchy
 * In traditional structure, several people doing the same type of work, overseen by a manager
 * Hierarchical structures cannot cope with rapid change - communications up and down the chain of command takes too much time for today's environment
 * IT enables team-based organizational structures by facilitating rapid and far-flung communication
 * Outsourcing and strategic alliances
 * Bcome more competitive, organizations are examining types of work that should be done internally or externally by otheres
 * Ranges from a simple contract for the services to a long-term strategic alliance
 * Focus on what we do best and outsource the other functions to people who specialize in them
 * Leverage knowledge globally
 * Tap tacit knowledge by fostering sharing and supporting sharing through technology
 * Driving force is the culture. Happens through organizational pull rather than organizational push which overloads people with information
 * Organize for complexity
 * Right information at the right time
 * Information will be overloaded
 * Work electronically
 * Taking the advantage of the Internet and networks
 * Needs different organizing principles, management tenets, compensation schemes, structure
 * Changes on how organizations interact with others
 * The microchip moved power within companies. bandwidth moves power all the way to customers
 * Increases exponentially as bandwidth capability increases and cost decrease
 * Handle continuous and discontinuous change


 * Trends**
 * Hardware trends
 * Client-Server computing - Client machine user interfaces with server on the networking holding the data and applications
 * Current development - hand-held device, wireless
 * Software trends
 * In 1960s, the productivity of in-houes programmers who created transaction processing systems were improved
 * Then, for programming issues, modular and structured programming techniques were used. After that, life cycle development methodologies and software engineering were used.
 * Later, protoyping was developed quickly
 * Purchasing software became viable alternative to in-house development
 * Applications were focused rather than transaction processing.
 * End users developed their own systems
 * Customers were pushed to open systems
 * In 1990s, trend towards Enterprise Resource Planning. It was expensive and troublesome
 * Software is moving to become network centric. Web front ends to empower employees rather than replacing legacy systems
 * Data trends
 * File management - Organizational techniques for files that served individual applications
 * Corporate databases
 * Distributing data from data resources to information resources - Data management organizes internal facts into data record format
 * Data warehousing (Stores huge amounts of historiacal data from systems.) and data mining (Advanced statistical techniques are used to explore data warehouses looking for perviously unknown relationships in data.)
 * Security (Protecting data from those who should not see it.) and privacy (Safeguarding the personal data of employees, customers.)
 * Communications trends
 * Telecommunications
 * Online and time-sharinf systems
 * Public and provate data networks
 * Internet protocols

Reference [15]

**Waves of innovation**
1. reducing cost - it is start from 1960s, to achieve clerical and administrative savings by automating manual processes. 2. leveraging investments - it is start from 1970s, to make more effective on business asset to increase profitability. 3. Enhancing products and services - it is start from 1980s, using IT to produce revenue. creating a new business and services. or improve the "outward-looking" function by using IT. 4. Enhancing executive decision making - it is start after 1980s, to think about the IT on the real-time business management. 5. reaching the consumer - it is start from 1990s, to communicate with customers directly and creating the new businesses using the Internet. 6. Other forms of collaboration - it is start after 1990s, to share the information and business processes.

**Traditional IS functions :**
1. develop and manage long term architectural plan. 2. maintain a process to evolve company standards. 3. planing and design new system. 4. manage the data and network.

Here is the maturity and Management Challenge:

Reference: From BMC Software vendor

Today, information systems affect everyone in organizations.

Information systems work through the interaction of people, computers and communication networks. They exist to help people complete transactions faster and more accurately, make better decisions, or perform work more effectively. They help organizations perform better, as well as to create a competitive edge or develop new markets.

To achieve these goals, information system developers must work closely with their business clients in identifying needs, recommending solutions and implementing new IT application systems. In general, Information Systems consisits of : - Input that the system takes to produce information A computer and its peripheral equipment: input, output and storage devices; hardware also includes data communication equipment Sets of instructions that tell the computer how to take data in, how to process it, how to display information, and how to store data and information Hardware and software that facilitate fast transmission and reception of text, pictures, sound, and animation in the form of electronic data Information systems professionals and users, who analyze organizational information needs, design and construct information systems, write computer programs, operate the hardware, and maintain software Rules for achieving optimal and secure operations in data processing; procedures include priorities in dispensing software applications and security measures
 * Data**
 * Hardware**
 * Software**
 * Telecommunications**
 * People**
 * Procedures**

This framework outlines the major areas of information systems knowledge needed by business end users.

Operations and management classifications of information systems. Note how this conceptual overview emphasizes the main purpose of information systems that support business operations and managerial decision making. References [16], [17]

**Performance Measure of IS in Organization**
Effeiciency The degree of IS helping the organisation to operate with minimum resources

Effectiveness: The degree of IS helping the manager to spend their time doing right things

Competitiveness: The degree of IS helping the organisation to attract business project and strengthen the competitive poisiton in te market

Ref :http://www.orau.gov/pbm/sample/infosystems.html

**Why IS Management is important in HK**
Near the year end of 2008, the Financial Tsunami cause a great impact on Global economies. The harsh of economic challenging results the business decided to have a sharp-cut on their expenditures. Compulsory no-paid leave, pay docked, and restructure division and dismissal of employees…etc, all these terms are not difficult to find in the news.

Although the business is tough enough, the IT managers in Asia still expected not to have a budget cut in IT, and some even more than half reported a slight increase on that, regarding Gartner report - "User Survey Analysis: Software Base Budget, Asia/Pacific, 2009-2010" (ref: [], []).

<span style="font-family: 'Arial Black',Gadget,sans-serif; font-size: 16px;">Why Information Technology is important for HK enterprises <span style="font-family: arial,helvetica,sans-serif; font-size: 13px; line-height: 19px;"> Source : Census and Statistics Department (HKSAR) 2009 ([])

Regarding the information from Census and Statistics Department, the percentage of revenue from electronic means in total business receipts has sharply increasing, starting from less then 0.2%, in 2000 to nearly 1.2%, in 2007, which is 500% grow within 7 years. More and more business receipts are related on IT.

**Summary**
Information Technology Information technology (IT), as defined by the Information Technology Association of America (ITAA), is "the study, design, development, implementation, support or management of computer-based information systems, particularly software applications and computer hardware." IT deals with the use of electronic computers and computer software to convert, store, protect, process, transmit, and securely retrieve information.

Information Systems Information Systems (IS) refers to the interaction between people, processes, and technology. This interaction can occur within or across organizational boundaries. An information system is not only the technology an organization uses, but also the way in which the organization’s people interact with the technology and the way in which the technology works with the organization’s business processes. Information systems are distinct from information technology in that an information system has an information technology component that interacts with the people and processes components.

Information Systems Management (ISM) Information Systems Management (ISM) is the application of information technology to support the major functions and activities of either a private sector business or public sector institution. In the past, organizations recognized the importance of managing resources such as labor, capital, and raw materials. Today, it is widely accepted that managing the information resource is very often equally important. ISM supports the process of collection, manipulation, storage, distribution and utilization of an organization's information resources.

Components of Information Systems
 * People resources
 * Hardware resources
 * Software resources
 * Network resources
 * Data resources

IS Management in HK

__The Internal Business Environment Facts__ After the nightmare of SARS and Swine flu(H1N1),most of business management started to consider how to keep their business run when the disaster comes. Here are some example that IS Management introduced:

1) Anytime, anywhere works: IS manager help to introduce the corresponding IT Technologies to support this business decision like: Citrix, SSL VPN, Terminal Service, video conferenceing.etc. These IT technologies provide a service to let the staffs to continue their duties at home

2) Business Continuity Planning: Hot/Warm/Cold remote site to provide a second tier of service backup when the disaster was occurred in the Main Office.

__Outsourcing and strategic alliances__ Because of the economic challenging, more and more IT managers are willing to outsource the new system to external vendor, who has a more skillful techniques and experiences on a specified areas, to reduce the new technology learning cost and time from internal staff.

**Conclusion**
As we know that this is the Introduction of ISM, the key information is that with in good practice of management IS/IT, it will strengthen the competitive of IT/IS obviously. Finally, we gain from it, as we learn from IT, work in IT.

ISM exists could help businesses achieve their goals and objectives. In order to achieve ISM, not only develop or upgrade the information system, but effective management to control it information system concern more with maaging and manipulate data where as IT is the tools or techniques that could help in managing and manipulate the ata. Both are not the same but they are actually interrelated with each other. Either party would not function well with the absence of one of it

Is that one course will change our life? Absolutely not, but with this kind of mindset come with us in a life, finally it changed. Especially for those newbie who want to achieve his career into management level. First thing should know what the management people think. Adopt such thinking into daily work, this would help those guys to make a good bridge between them and the management. With such a practical use of ISM in daily working environment, will show the importance of ISM as a result.

=**FIN.**=

__//Information Technology Governance (IT Governance)//__
IT Governance is one discipline of Corporate Governance but only focused on Information Technology. It is used to refine the policies and standards of a group, company, organization, even country. It means that "governance" is a process, we need to define a series of actions, changes or function and finally they can generate a good business value and minimize the risk that are associated with IT. IT Governance is mainly consisted of Computer Audit, IT Risk Management and Information Security Management. Taditionally, the All IT-related discussion is proceeded in a black box, no one know the key decisions made by the company's IT professionals. Therefore, we need to prevent IT Governance from independently making and later being held solely responsible for poor decisions.

__//E-Business Technologies//__ [[image:http://www.noticebored.com/assets/images/IT_governance_trio.gif height="263"]]
References [18], [19], [20], [21], [22], [23],[24] <span style="font-family: Arial,Helvetica,sans-serif;">

__//IT-Sourcing/ Out-Sourcing//__
Nowadays, a most SMB company has face a different problem, her business also cant without I.T.supporting but its too heavy cost of her revenue, and the return of investment is saying as a long period like ten years or above, such of that those of the company will be preferred I.T.out-Sourcing company.

Company may not have an idea what technology can improve her business. Therefore, the suggestion or proposal will be useless from Out-sourcing company.
 * Risks of Out-Sourcing - Misunderstanding

Reference [25], [26], [27], [28], [29]

[1] <span style="font-family: arial,helvetica,sans-serif; font-size: 10pt;">[] [2][| http://www.oxfordreference.com/views/ENTRY.html?subview=Main&entry=t11.e2570] [3] http://www.oxfordreference.com/views/ENTRY.html?subview=Main&entry=t18.e3905 [4][| http://searchcio.techtarget.com/sDefinition/0,,sid182_gci214459,00.html#] [5] <span style="font-family: Calibri,sans-serif; font-size: 12pt;"> Using MIS 2nd edition by **David Kroenke** [6] [] [7] [] [8] [] [9] [] [10] [] [11] MIS Quarterly/DEC 1991[] [12]e-Commerce and e-Business by Zorayda Ruth Andam [13] http://ezinearticles.com/?E-Business-and-Its-Advantages&id=280089 [14] http://www.ecademy.com/node.php?title=the+e-business+advantage#overview [15] [] [16] Introduction to Information Systems (8th Edition) by James A. O'Brien [17] [] [18] <span style="font-family: Arial,Helvetica,sans-serif;">James A. O’Brien, George M. Marakas, "Management information systems", 8th edition, McGraw Hill, 2008. [19] Barbara C. McNurlin, Ralph H. Sprague, Jr., “Information systems management in practice”, 6th edition, Prentice Hall, 2003 [20] [] [21] [] [22] [] [23] [] [24] <span style="font-family: Arial,Helvetica,sans-serif;"> [] [25] www.irmplc.com/downloads/.../Managing_Outsourcing.pdf [26] www.artechhouse.com/GetBlob.aspx?strName=Axelrod-ch4.pdf [27] [] [28] [] [29] [] [30] http://www.ehow.com/about_5194585_types-management-information-systems.html