Corporate Information Strategy and Management: Text and Cases

by Applegate, Lynda M.; Austin, Robert D.; McFarlan, F. Warren

• ISBN13: 9780072947755
• ISBN10: 0072947756
• Edition: 7th
• Format: Hardcover
• Copyright: 2005-10-19
• Publisher: McGraw-Hill/Irwin

Summary

Corporate Information Strategy and Management: Text and Cases 7/e by Applegate, Austin and McFarlan is written for students and managers who desire an overview of contemporary information systems technology management. It explains the relevant issues of effective management of information services activities and highlights the areas of greatest potential application of the technology. No assumptions are made concerning the reader's experience with IT, though it is presumed that the reader has some course work or work experience in administration and/or management. This text is comprised of an extensive collection of Harvard Business cases devoted to Information Technology.

Author Biography

F. Warren McFarlan is the Albert H. Gordon Professor of Business Administration Emeritus at the Harvard Business School.

Table of Contents

Preface	vi
Introduction: Challenges of Managing in a Networked World	1	(2)
Case I -1: Li & Fung (A): Internet Issues	3	(16)
Appendix A	19	(2)
MODULE ONE BUSINESS IMPACTS	21	(256)
IT and Strategy	25	(32)
Understanding the Forces that Shape Strategy	26	(1)
Conducting a Strategy Audit	27	(7)
Strategic Shifts: Evolution and Revolution	32	(2)
Assessing IT Impact and Alignment	34	(6)
The Strategic Grid	35	(3)
The Strategic Alignment Model	38	(2)
Opportunities and Risks	40	(15)
The Search for Opportunities	40	(8)
Strategic Risk	48	(7)
Summary	55	(2)
IT and Organization	57	(22)
The Need for New Capabilities	58	(6)
Is History Repeating Itself?	60	(2)
Learning from Mistakes	62	(2)
Information, Organization, and Control	64	(8)
Organizing for Innovation and Execution	64	(4)
Organizing for Accountability and Collaboration	68	(4)
Appendix 2A Characteristics of the Hierarchy, Entrepreneurial, and Networked Organization	72	(5)
Summary	77	(2)
Extending the Enterprise	79	(36)
Understanding Business Networks	80	(8)
Framing Decisions Concerning Network Differentiation and Unit Groupings	82	(2)
Framing Decisions Concerning Governance of Interdependencies	84	(2)
Framing Decisions Concerning Network Ownership	86	(2)
Designing Hybrid Governance Models	88	(7)
NASDAQ Securities Exchange: A Collaborative Community in Action	90	(1)
Laying the Foundation	91	(1)
From Flawless Execution to Innovation	92	(1)
Role of IT in Operating and Governing the NASDAQ Securities Exchange	93	(1)
Linking IT to the Evolution of Partnerships and Trust	94	(1)
Building Collaborative Community: Lessons from the Field	95	(4)
Key Insight: Hybrid Forms of Governance Are Emerging That Unite Hierarchy, Market, and Partnership	96	(1)
Key Insight: A Network Orchestrator Role is Emerging to Coordinate Inter-Firm Interdependencies within Business Ecosystems, Like NASDAQ and GHX	97	(1)
Key Insight: Network Orchestrators Design Organizational Solutions That Reflect the Interests of All Parties	97	(1)
Key Insight: Collaborative Community and Trust Co-evolve Over Time	98	(1)
Summary	99	(1)
Appendix 3A Emerging Network Business Models	100	(15)
Making the Case for IT	115	(162)
Building the Business Case for IT	118	(16)
Leveraging Infrastructure and Creating Options	120	(5)
Driving Profitable Growth	125	(1)
Achieving Proprietary Advantage	126	(1)
IBM's Decade of Transformation: A Case Study in Turnaround Leadership and Delivering IT-Enabled Business Value	126	(8)
Nicholas Carr Revisited	134	(1)
Summary	135	(2)
Case 1-1: Charles Schwab in 2002	137	(26)
Case 1-2: Learning from LeapFrog	163	(29)
Case 1-3: Wyndham International: Fostering High-Touch with High-Tech	192	(28)
Case 1-4: Global Healthcare Exchange	220	(28)
Reading 1-5: IT Doesn't Matter	248	(29)
MODULE TWO MANAGING INFRASTRUCTURE AND OPERATIONS	277	(140)
Understanding Internetworking Infrastructure	279	(26)
The Drivers of Change: Better Chips, Better Pipes	281	(4)
The Basic Components of Internetworking Infrastructures	285	(11)
The Technological Elements of Networks	286	(3)
The Technological Elements of Processing Systems	289	(3)
The Technological Elements of Facilities	292	(2)
Operational Characteristics of Internetworks	294	(2)
The Rise of Internetworking: Business Implications	296	(6)
The Emergence of Real-Time Infrastructures	297	(2)
Broader Exposure to Operational Threats	299	(1)
New Models of Service Delivery	300	(2)
Managing Legacies	302	(1)
The Future of Internetworking Infrastructure	302	(1)
Summary	303	(2)
Assuring Reliable and Secure IT Services	305	(26)
Availability Math	307	(3)
The Availability of Components in Series	307	(2)
The Effect of Redundancy on Availability	309	(1)
High-Availability Facilities	310	(4)
Uninterruptible Electric Power Delivery	310	(1)
Physical Security	311	(1)
Climate Control and Fire Suppression	311	(1)
Network Connectivity	311	(1)
N + 1 and N + N Redundancy	312	(2)
Securing Infrastructure against Malicious Threats	314	(15)
Classification of Threats	315	(4)
Defensive Measures	319	(5)
A Security Management Framework	324	(1)
Risk Management of Availability and Security	325	(2)
Incident Management and Disaster Recovery	327	(1)
Managing Incidents before They Occur	327	(1)
Managing during an Incident	328	(1)
Managing after an Incident	328	(1)
Summary	329	(2)
Managing Diverse IT Infrastructures	331	(86)
New Service Models	333	(5)
On Demand, Utility, and Grid Computing Models	336	(2)
Managing Risk through Incremental Outsourcing	338	(4)
An Incremental Outsourcing Example: Hosting	340	(2)
Managing Relationships with Service Providers	342	(6)
Selecting Service Partners	343	(2)
Relationship Management	345	(3)
Managing Legacies	348	(3)
Managing IT Infrastructure Assets	351	(1)
Summary	352	(1)
Case 2-1: CareGroup	353	(16)
Case 2-2: The Premier Company: Denial of Service Attack (A)	369	(8)
Case 2-3: Ford Motor Company: Supply Chain Strategy	377	(7)
Reading 2-4: The Power of Virtual Integration: An Interview with Dell Computer's Michael Dell	384	(11)
Case 2-5: Postgirot Bank and Provment AB: Managing the Cost of IT Operations	395	(22)
MODULE THREE LEADERSHIP ISSUES	417	(174)
Organizing and Leading the IT Function	419	(18)
Organizational Issues in the Control of IT Activities	419	(4)
From Centralized, IT-Driven Innovation to Decentralized, User-Driven Innovation	421	(1)
User-Driven Innovation over IT Department Protests	421	(1)
From Decentralized, User-Driven Innovation to Centralized IT Management	421	(1)
From Decentralized, User-Driven Innovation to Unexpected Centralized Innovation	422	(1)
Implications and Conclusions	423	(1)
Drivers toward User Dominance	423	(2)
Pent-Up User Demand	423	(1)
The Need for Staff Flexibility	424	(1)
Growth in the IT Services Industry	424	(1)
Users' Desire to Control Their Own Destiny	424	(1)
Fit with the Organization	425	(1)
Drivers toward a Centralized IT Structure	425	(4)
Staff Professionalism	425	(1)
Standard Setting and Ensuring System Maintainability	426	(1)
Envisioning Possibilities and Determining Feasibility	427	(1)
Corporate Data Management	427	(1)
Cost Estimation and Analysis	428	(1)
Coordination and Location of IT Policy	429	(4)
IT Responsibilities	429	(2)
User Responsibilities	431	(1)
General Management Support and Policy Overview	431	(2)
IT Leadership and the Management of Budgets	433	(1)
Summary	434	(3)
Managing IT Outsourcing	437	(16)
Why Outsourcing Alliances Are So Difficult	438	(1)
Outsourcing in Retrospect	439	(1)
Outsourcing in the Twenty-First Century	439	(2)
Acceptance of Strategic Alliances	440	(1)
IT's Changing Environment	440	(1)
What Drives Outsourcing?	441	(4)
General Managers' Concerns about Costs and Quality	442	(1)
Breakdown in IT Performance	442	(1)
Intense Vendor Pressures	443	(1)
Simplified General Management Agenda	443	(1)
Financial Factors	443	(1)
Corporate Culture	444	(1)
Eliminating an Internal Irritant	444	(1)
Other Factors	444	(1)
When to Outsource	445	(2)
Position on the Strategic Grid	445	(1)
Development Portfolio	446	(1)
Organizational Learning	446	(1)
A Firm's Position in the Market	447	(1)
Current IT Organization	447	(1)
Structuring the Alliance	447	(3)
Contract Flexibility	447	(1)
Standards and Control	447	(1)
Areas to Outsource	448	(1)
Cost Savings	448	(1)
Supplier Stability and Quality	449	(1)
Management Fit	449	(1)
Conversion Problems	450	(1)
Managing the Alliance	450	(2)
The CIO Function	450	(1)
Performance Measurement	451	(1)
Mix and Coordination of Tasks	451	(1)
Customer-Vendor Interface	452	(1)
Summary	452	(1)
A Portfolio Approach to Managing IT Projects	453	(138)
Sources of Implementation Risk	454	(1)
Project Categories and Degrees of Risk	455	(6)
Assessing Risk for Individual Projects	456	(1)
Managing the ``Dip'' during Project Implementation	457	(2)
Portfolio Risk	459	(2)
Project Management: A Contingency Approach	461	(10)
Management Tools	461	(1)
Influences on Tool Selection	462	(4)
Relative Contribution of Management Tools	466	(1)
Emergence of Adaptive Project Management Methods	466	(1)
Software Development Life Cycles	466	(2)
Adaptive Methodologies	468	(1)
Adaptive Methods and Change Management	469	(1)
Process Consistency and Agility in Project Management	470	(1)
Summary	471	(2)
Case 3-1: Cathay Pacific: Doing More with Less	473	(22)
Case 3-2: Royal Caribbean Cruises Ltd.	495	(26)
Case 3-3: Rakuten	521	(20)
Case 3-4: Telecomunicacoes de Sao Paulo SA (Telesp)	541	(36)
Case 3-5: Outsourcing IT: The Global Landscape in 2004	577	(14)
CONCLUSION The Challenges of Managing in a Network Economy Revisited	591	(46)
Case C-1: UCB: Managing Information for Globalization and Innovation (A) (Abridged)	594	(18)
Case C-2: Enabling Business Strategy with IT at the World Bank	612	(25)
Annotated Bibliography	637	(4)
Index	641