MANAGEMENT OF

INFORMATION TECHNOLOGY

MSPM1-GC1025.100
Class Twelve
 Management of Information Technology
MSPM1-GC1025.100

Agenda – Class 12
•The Internationalization of Business
•International Information System Architectures
•Business Drivers and Challenges
•Global Systems Strategies
•Best Practices
•International Systems Integration

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 Management of Information Technology
MSPM1-GC1025.100

The Internationalization of Business

• 21st century IT makes the world
smaller!
• International trade barriers have
been reduced
• Global supply chains are now
possible and necessary
• Global operations and
ecosystems produce competitive
advantage
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 Management of Information Technology
MSPM1-GC1025.100

International Information Systems Architectures

(IISAs)

Global business
environments
demand global IT
solutions!

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 Management of Information Technology
MSPM1-GC1025.100

Key Management Issues To Consider

• Division of labor
• Location of functions
• Who handles IT?

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 Management of Information Technology
MSPM1-GC1025.100

Major Dimensions of IISAs

• Business drivers &
management challenges
• Corporate global strategies
• Organization structure
• Management and business
processes
• Technology platforms
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 Management of Information Technology
MSPM1-GC1025.100

Business Drivers and Challenges

General Cultural Factors
• Global communication and
transportation technologies
• Global culture
• Global social norms
• Political stability
• Global knowledge base

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 Management of Information Technology
MSPM1-GC1025.100

Business Drivers and Challenges

Specific Business Factors
• Global markets
• Global production and
operations
• Global coordination
• Global workforce
• Global economies of scale

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 Management of Information Technology
MSPM1-GC1025.100

Global Business Systems Obstacles

Global:
• Particularism
• Social expectations
• Laws
Specific:
• Standards
• Infrastructure speed and reliability
• Personnel
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 Management of Information Technology
MSPM1-GC1025.100

The Problem of Legacy Systems

Patchworks of multiple legacy systems inhibit
collaboration and business processes

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 Management of Information Technology
MSPM1-GC1025.100

Global Strategies and Business Organization

• Domestic exporter (centralized)

• Multinational (decentralized)
• Franchiser (mixed)
• Transnational (global)

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 Management of Information Technology
MSPM1-GC1025.100

Global Systems Strategies

• Centralized
• Duplicated
• Decentralized
• Networked

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 Management of Information Technology
MSPM1-GC1025.100

Principles for Reorganization

• Place core activities where they can best be
performed
• Deploy systems staff at each level of activity
• Establish and empower a global CIO

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 Management of Information Technology
MSPM1-GC1025.100

Global System Implementation Challenges

• Agreeing on common requirements
• Changing business processes
• Coordinating applications
development
• Coordinating software releases
• Winning over the global user
community
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 Management of Information Technology
MSPM1-GC1025.100

The Typical Situation

Chaos
and
disorder

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 Management of Information Technology
MSPM1-GC1025.100

Global Systems Strategies

• Define core business processes

• Identify core systems to
coordinate centrally
• Choose an approach
• Make the benefits clear

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 Management of Information Technology
MSPM1-GC1025.100

Best Practices:
Agreeing on Common User Requirements
• Create a short list of core business
processes and supporting systems
• Develop a common language and
understanding of the processes and
systems
• Identify what can be globalized and
what must remain local
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 Management of Information Technology
MSPM1-GC1025.100

Best Practices:
Introducing Business Process Changes
• Establish authority and legitimacy for your
efforts
• Develop an evolutionary, incremental
strategy
• Involve the user community in designing
process and system changes
• Secure executive support!
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 Management of Information Technology
MSPM1-GC1025.100

Best Practices:
Coordinating Applications Development
• Define a long-term vision
• Devise an incremental plan to
achieve it
• Use experience on early increments
to guide later increments!
• Keep transnational systems to a
minimum
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 Management of Information Technology
MSPM1-GC1025.100

Best Practices:
Coordinating Software Releases

• Release new systems simultaneously

to all
• Develop automated systems to
facilitate releases

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 Management of Information Technology
MSPM1-GC1025.100

Best Practices:
Encouraging Local User Support
• Involve users in system design
• Try tiger teams!
• Coopt resistance
• Establish centers of excellence
• Actively recruit groups of local users
• Create a change management plan!
• Training and support are critical!
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 Management of Information Technology
MSPM1-GC1025.100

International Systems Integration

The main
challenge:
Overcoming
local
preferences and
requirements

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 Management of Information Technology
MSPM1-GC1025.100

Systems Integration: Critical Success Factors

• Connectivity
• Integration with legacy
systems
• Software localization

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 Management of Information Technology
MSPM1-GC1025.100

Team Project Discussion and Breakout

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