IS for Managers (INFO 640)

IS for Managers (INFO 640) L1(a): Exploring the nature and scope of IS and IT in organizations GP Dhillon, PhD Associate Professor of IS School of Business, VCU

What is a system? • A system is made up of a number of parts combined in a particular way to do something useful. We think of the combined parts as a single thing and we give it a name. • Wheels, axles, pedals, gears, chain, seat and • handlebars are combined to form a single whole • we call a bicycle. A bike is a system when all the • parts are connected correctly because it allows the rider to move from • one place to another more easily. • If the same parts were connected in a different way • it would not be a system because it would not be useful.

Organization as a system • Technical aspects of the organizational system • preparing reports; auditing (via checklists) activities etc • Formal aspects of the organizational system • taking care of formal responsibilities; controlling; planning etc • Informal aspects of the organizational system • taking care of obligations; responding to questions by friends etc

Accomplishing work in an organization • Via communication • All managerial work (informal, formal and technical) is realized by communicating with each other • Via information handling • The process of communication is nothing more than handling information

An organization therefore really is a collection of information handling activities

Classifying information handling activities • Technical • technology used to handle information • Formal • a procedure (or rule) via which information is delivered from point ‘a’ to ‘b’ • Informal • by talking to someone in the corridor, face to face communication loaded with obligations

meaning useful Understanding the nature of information unstructured, uninformed facts To conceive of knowledge as a collection of information seems to rob the concept of all of its life... Knowledge resides in the user and not in the collection. It is how the user reacts to a collection of information that matters Information is a difference that makes a difference Data Information Knowledge

Oracle; Access Databases Data meaning Some Proprietary Information Management Information useful Knowledge What do organizations do to managing information? Groupware Intranets Our Aspiration Data- mining Knowledge Management

Oracle; Access Databases Groupware Intranets Data meaning Some Proprietary Interpretation Gap Information Management Data- mining Information useful Usefulness Gap Knowledge Management Knowledge Problems with managing information

Organizational responses • The advent of integrated systems • Business Process Reengineering • Enterprise Resource Planning

Consequences • Integrated systems: Focused on best technology that could fit the need (…without really assessing the need) • Business process reengineering: Reduced number of organizational layers; Started with a clean sheet. • Enterprise Resource Planning: Almost same as integrated systems.

Problem: We forget what it means…

Informal IS Formal IS Technical IS Understanding the nature and scope of IS

IS for Managers (INFO 640)