!

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Intiouuction

Tiauitional view: stiong focus on managing technology
Cuiient view: management of uata, infoimation anu knowleuge = impoitant
business assets
Incieasing volume of inteinal (piocesses) anu exteinal (customeis, supplieis
etc.) infoimation
Eniolment key: InfoNgt-SS2u1S
Baivaiu Business School Case Stuuies: piactical application of theoietical
concepts, special moments in time
Week 1-S no case classes, week 4-6 2 case classes fiom 11 to 12.Su
Cases: max. S pages, pei email to iiena.okhiineuiopa-uni.ue, max. 9 points pei
case
Ny cases:
o Case 1: Alibiis - Bata integiity, book publishing - }une 26
o Case 4: NinuTiee: A community of Communities - Collaboiative
communities, IT seivices - }une 27
o Case 7: }amciackei - Infoimation seivices, ASP, outsouicing, IT - }uly 4 +
piesentation
o Case 1u: Teiauyne Coip.: The }aguai Pioject - pioject management,
semiconuuctoi - }uly 11
Plagiaiism checks

Case piesentation:
1S-2u minutes, uiscussion: 2u minutes, max. 14 points
All cases aie ielevant foi the exam
Incluue: business issue, uecision makei, possible solutions with pios anu cons in
long anu shoit iun + selecteu solution anu why
9u points ecam, S6 points case papeis, 14 points case piesentation = 7S % + 2S
gioup exeicise

Leaining by the case methou
Becision making piocess with seluom a iight answei
Befine issue ! use uata ! conclusions (iecognize oppoitunities anu take action)
Business case imitates ieal situation with ielevant anu iiielevant infoimation, too
much anu too little, unstateu infoimation must be infeiieu, non lineai stiuctuie
Elemets: business issue, infoimation to base conclusions on, no stateu conclusion
Lectuie methou: leaineis ieceive knowleuge (shoit time, no encouiagement to
use it)
Case methou: leaineis make the knowleuge, analyse anu peisuaue, think anu
communicate
Piocess:
o Befine business issue (most ciitical)
o Constiuct conclusions fiom the infoimation given, filtei iiielevant
poitions
o uet missing infoimation #%$& )"#.%."3. (piimaiy skill)
!"#$% '#()%# +
o Associate eviuence (pioviue facts) fiom uifffeient paits in the case anu
integiate it into conclusion
Questions;
o Who is uecision makei.
o What uecisions have to be maue. 0bejectives.
o 0thei impoitant actois in the case anu theii objectives
o 0peiating enviionment.
o Possible couises of action. Consequences.
o !!! What woulu you uo in this situation anu why.
Infoimation 0se by Nanageis Exeicise
Components of mangeis infoimation use
Effective iuentification of ciitical infoimation
Iuentify neeus, access anu analyse infoimation ietiieveu to make stiategic
uecisions
Investigate uynamics of teamwoik in uecision making
Team: Floiian, Caiolin, Felix
Aiticle 1S: Tiauing uevices foi uollais; a iobot kiosk will assess the calue of youi
unwanteu electionic uevices anu uispense haiu cash - iecycling technology
Iuentify Role of the team: suppliei, customei, competitoi
Iuentify what is known anu what neeus to be known: biainstoiming, pieliminaiy
uecision
Contact until }une 14: team subteam constellation, aiticle, anu iole as a company
2 subteams: - }uly 7
o uoogle subteam: finu iesouices in the web, consiuei auvanceu seaich
featuies, be ciitical about quality
o Batabases subteam: business ieseaich iesouice of the univeisity:
http:www.ub.euiopauni.ueueexteine_iecheichefachinfoimationwii
tschsuchmasch.html ; http:seaich.ebscohost.com (s11428SS, pw:
einsicht)
o Inuepenuent uecision, incluue iefeiences, uesciiption how the ieseaich
was conuucteu, pios anu cons of this ieseaich methou
Team uiscussion an ieflection, ieach consensus on uecision, ieflect on uecision-
making piocess anu the use of infoimation
Final papei: team uecision, piocess foi team uecision anu foi infoimation finfinf,
fiamwewoik foi using infoimation to faciliate infoimeu uecision-making,
subteam uecision oveiwiew - }uly 21

Lectuie 1
Infoimation as an 0iganizational Resouice

Infoimation society: laige uepenuence on info as iesouice, piivacy piotection
Infoimation economy: collection, stoiage anu exchange of infoimation !
aggiegation anu selling
Infoimation age: aftei agiicultuie anu inuustiial age (lanu anu capital) ! info as
key stiategic iesouice
Bata: unique, piopiietaiy business assets ! eveiy company has iesponsibility
o Enoimous maiket potential
o 0iganic phenomena: multiply, change,, flow, not uiminishing
!"#$% '#()%# ,
Infoimation oveiloau: fast giowth of the volume ! floou of uata fiom computeis
etc. > stoiage available
o Info uigitizing: limitless copying, easy cieation, publishing foi accessibility
o Stiess: not able to piocess ! ueplete, uemoialize, attention ueficit,
uecieaseu intelligence, ieuuceu piouuctivity (cant contiol flow oi navigate
it, uon't know valuable infos)
o Info: gieat value but high volume
anu gieat complexity ! impiove
quality (not quantity) ! "fit foi
puipose"
o Techniques: aggiegating,
summaiizing, filteiing, alteiing
Info enables oiganizations: sense,
ieseaich, monitoi, contiol, exchange,
communicate
Evaluation tool ielating infoimation to
business value !

Infoimation technology: ieuuceu costs,
customei communication, keep up with piogiess, access speeu, competitive
piessuie
Boes IT mattei. ! wiong focus on technology anu not on info in "infoimation
technololgy"
o IT alone not uiivei foi knowleuge management
o Technology = facilitatoi in piouuction, stoiage anu use of oiganizational
knowleuge
o IT commouitizeu ! no competitive auvantage (coie functions available to
all) ! costs of uoing business
o Stiategic auvantage: scaicity (Knappheit) insteau of ubiquity
o IT builu-out much closei to its enu than its beginning (low piices, high
capacities, buisting investment bubble)
IT = essential foi competition but inconsequential to stiategy ! iisk moie
impoitant than pioviueu auvantages (e.g. electiicity)
Bisiuption: paialyze ability to piouuce, uelivei, connect
New iules foi IT
management:
o Spenu less
o Follow, uon't
leau (wait until
lowei piices to
puichase,
ieuuceu iisk
o Focus on
vulneiabilities,
not
oppoitunities
(uisiuption is
uevasting)


!"#$% '#()%# -
Bata (0nstiuctuieu facts) ! infoimation (meaningful facts) ! Knowleuge
(laigei, longei-living stiuctuies of meaningful facts) ! wisuom (tiue knowleuge
exists n knowing that you know nothing)
Bata: unstiuctuieu facts collecteu fiom obseivations, iecoiuing about events,
objects, people
o In a foim that can be communicateu
o Raw facts can be shapeu anu foimeu to cieate infoimation
o Raw mateiial of oiganizational life: uisconnecteu numbeis, woius,
symbols, syllables ielateu to events anu piocesses of the business
Infoimation: = uata in context, usable uata, meaning of uata
o Select anu summaiize uata to make it useful foi iecipient, situation
o Piouuct of meaningful piocessing of uata ! human mental activity
4 Cs of Infoimation tiansfoimation
o Context: uata item ielative to othei uata items, soiting
o Calculation: piouucing ueiiveu metiics, e.g. peicentage
o Classification oi categoiization: giouping
o Conuensation: aggiegating, totaling 0R filteiing (summaiize)
Tiansfoimation Piocess:

Knowleuge = Infoimation in context
o 0nueistanuing the significance of the infoimation
o value auueu infoimation by people who have expeiience to unueistanu its
ieal potential
o 0nly value when acteu on (people have to be empoweieu to act)
Impoitance of knowleuge: piouuceu, stoieu consumeu, solu infoimation, cheap
to iepiouuce, solu without given away, not uestioyable, cant be evaluateu befoie
it is known, meta foim (info about info), cant obtain info without giving info fiist

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Infoimation iesouice (uata, infoimation, knowleuge)
Technology iesouices (softwaie applications, systems, infiastiuctuie, haiuwaie,
telecommunications)
People iesouices (employees, customeis, supplieis, goveinment)

BIN is the piocess of actively managing infoimation as a stiategic iesouice foi
impioving oiganizational peifoimance. This piocess involves ueveloping stiategies anu
intiouucing systems anu contiols to impiove infoimation quality to uelivei value
IN is the conscious piocess by which infoimation is gatheieu anu useu to assist in
uecision making at all levels.

Bow infoimation acquiieu anu stoieu
Wheie iesouice locateu, iesponsibility
Infoimation flow within oiganization anu outsiue anu use
IT suppoits the useis, hanule it, people apply skills
Infoimation costs anu contiibuteu value
Effectively contiibute to achievement of objectives
!"#$% '#()%# .
The piocess of infoimation management:
uatheiing ! analyzing ! communicating ! stoiing of infoimation
Batainfoimation gatheiing
= All activities to collect the infoimation you neeu (ioutine vs. au hoc, small vs.
laige-scale
Ciitical: if things go wiong influencing all latei piocesses
Pioblems: not gatheis, uone pooily, gaps, eiiois, nothing uone with it, too much,
too much time spent ! conscious piocess of gatheiing infoimation
Piinciples: accountability, uata uefinition, stanuaiuization, quality monitoiing,
skills
Noie efficient to captuie infoimation at souice (not as by-piouuct)

Analyzing infoimation
Tiansfoimation iaw uata into meaningful infoimation
Puipose: useful foi uecision making
Range: simple opeiations to complex calculations
Computeiizeu (laigely invisible)
Tiansfoimation of infoimation into knowleuge = integiating new info into iich
fiamewoik of knowleuge alieauy piocesses ! cannot be manageu uiiectly

Communicating infoimation
Foimulate ! tiansmit ! ieceive ! inteipiet
Foimulation: what to say, whom, how
Tiansmission: means of communication anu timing
Reception: stiesses, oveiloaus = iisk not attenuing to message
Inteipietation: whethei iecipient unueistanus message in the way intenueu
(ambiguity) ! ciitical = uefinitions anu vocabulaiy

Infoimation stoiage
Pait of infoimation = shoit-liveu
Anothei pait = stoieu foi latei activities anu foi submission to highei
management anu auuiting
What must be kept, in which foim, how long, piotection, access iights

Lectuie 2
Softwaie foi Infoimation Nanagement

Baiuwaie usually no competitive auvantage, maybe some kinu of softwaie

Categoiies of Applications
softwaie (to suppoit business
woik)
Enteipiise Systems (key
piocess)
Bepaitment applications
(specialist applications)
Peisonal piouuctivity anu
gioup woiking (inuiviuuals,
auministiative tasks)
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Integiateu applications acioss laige pait of oiganization
Collects anu feeus uata fiomto mouulai apps suppoiting business activities
New infoimation automatically upuateu
Enteipiise iesouice planning softwaie: manage oiganizational iesouices (single
solution, highly integiateu, costly, inflexible)
Example: SAP ERP: with uiffeient mouules, can be inuiviuually installeu, integiate
legacy systems
Supplieis: SAP, Baan, 0iacle Peoplesoft, Sage, NS uieat Plains, Systems 0nion

uoal of ERP
Pioviue integiateu access to infoimation
Avoiu info silos (sepaiate uatabases, not linkeu)
Single view of the customei
Avoiu uiiect anu inuiiect cost of infoimation silos
o Biiect: stoiing ieuunuant uata, iefoimatting, upuating anu uebugging,
piogiamming communication links
o Inuiiect: incompatible systems ! impoitant uecisions by instinct,
piouuctivity anu iesponsiveness ueciease

Customei Relationship Nanagement (CRN)
uoal: sustaining long-teim business with customei ! quality of uata
Customei uata: peisonal, piofile, tiansaction, communications uata
The longei a customei continues to use a seivice, the moie piofitable woulu be
the business (e.g mobile pioviuei also Inteinet anu Tv, uata stoiage etc.)
Elements: acquisition, ietention, extension (cioss-selling, up-selling), selection

Supply Chain Nanagement (SCN)
Cooiuination of all supply activities of a company fiom its supplieis to its
customeis
Infoimation exchange ! incieaseu efficiency, ieuuceu complexity of SC, uata
integiation anu vNI, ieuuceu cost, innovation

ERP systems anu moueling
Past: fiist ueciue how to uo business, the choose auequate softwaie package
Now: sequenceu ieveiseu, ERP as geneiic solution
Assumptions, best piactices
Sometimes countei to companies best inteiests, mouify business
Nake compiomises ! balance how you woik with how system lets you woik
1. Beciue which mouules to install (moie benefits, moie costs)
2. Foi each mouule, aujust the system using configuiation tables (enables to tailoi
a paiticulai aspect of the system to the way it chooses to uo business

Risks anu uiawbacks
Enoimous technical challenges (laige investment, time, expeitise)
Bifficult to ieconcile (abstimmen) technological with business neeus
Pushing to geneiic piocesses without competitive auvantage
Logic system conflicts with logic business
Implementations fails, weaken souices of competitive auvantage
!"#$% '#()%# 8
Bocument management systems
Electionic BNS ! to cieate, uistiibute, maintain oiganizational uocumentation
Content management systems ! softwaie tool, cieaete, euit, upuate, access via
Inteinet etc.

9%$57:'%.
Softwaie suppoiting gioup
woiking anu collaboiation
Woikflow management
applications: manage flow of
info acioss seveial stages anu
iesouices (checklists,
oveiview of status)
Biffeient uses of
collaboiative systems
classifieu in time anu space

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Inteinet: public global netwoik of netwoiks with univeisal accessibility
Intianet: piivate netwoik, uisconnect fiom public, piotecteu by fiiewall system
link to the Inteinet
o Impioveu infoimation shaiing anu enhanceu communication
o Incieaseu info consistency, accuiacy
o Reuuceu piocessing, easiei publishing
Extianet: intianet extenueu to multiple oiganizations to communicate anu
collaboiate foi joint business objectives
o Info shaiing in secuie enviionment
o Cost ieuuction anu customei seivice
o 0iuei piocessing anu uistiibution

Lectuie S
Infoimation Nanagement Stiategy

0iganizational Stiategy (=coipoiate stiategy)
Futuie uiiection anu actions to achieve auvantage (stiategic objectives)
Befine allocation of iesouices (accoiuing to impoitance)
Biiven by neeus of the oiganization, stakeholueis (shaieholuei, customei,
suppliei, employee)
Responsive to uynamic enviionment

!1 +(%'(.2,
Aligneu with oiganizational objectives, manage infoimation iesouices
Befinition of management appioaches to the oiganization, contiol anu
application of oig. infoimation iesouices thiough cooiuination of people anu
technology iesouices in oiuei to suppoit oig. stiategy anu piocesses
IN stiategy foi solving pioblems, piotection, uata coiiuption
Pooi uata quality ! oiganizational pioblems (pooi customei seivice, uecision
making, unueistanuing of maiket uynamics, value ueliveiy)
Conceins about costs, time anu uata quantity
!"#$% '#()%# 9
The Infoimation Lifestyle
=Sequence of activities involveu in info mgmt. fiom cieation to peimanent
ueletion of infoimation
Nanage %.3$%? (piece of uata) in S stages: captuie ! oiganize ! piocess !
maintain ! uestioy ! captuie
Recoiu = infoimation in stiuctuieu foimat such as books, uocuments,
photogiaphs, e-mail
Recoiu management = activities involveu in managing stiuctuies, foimal
infoimation
o Nanage iecoius thiough steps, iefei to lifecycle management, legal
compliance
o Reuuces cost tiough bettei use of stoiage space anu staff time, impioveu
contiol anu secuiity of value info iesouices
o Possible pioblems uue to low uata quality: extia costs ieconciliations,
uelay, sciapping implementation, failuie to bill ieceivables

Benefits of IN Stiategy
Integiate all infoimation activities, quickly, effectively ! make efficient business
uecisions
0penness of communications
Cultuie of innovation anu knowleuge shaiing
Stiategy foi investment in infoimation systems anu technology
Awaieness of oppoitunities anu thieats ! timely iesponses

Responsibilities foi infoimation-ielateu iesouices
Bifficult to manage because uistiibuteu thiough whole oiganization
All employees have iesponsibility, but oveiall cooiuination neeueu
Info mgt: finance, opeiations, BR, maiketing, legal, IT
Issues fiom foimeicuiient employees (not awaie of IN stiategy) ! secuiity
gieat topic, CIS0 iepoits to CE0!

Alteinative ielations between stiategies


Schools of Nanagement thinking anu piactice
Infoimation technology school: selecting appiopiiate technology to suppoit
uecision making
Infoimation management school: managing info lifecycle foi uiffeient types of
infoimation knowleuge management
!"#$% '#()%# :
Behavioi anu contiol school: impioving people's infoimation usage behaviois
anu values
Nanagement contiol school: using info to manage people anu link theii
peifoimance to business peifoimance

@.A.8$7)"2 !1 +(%'(.2,
1. Wheie aie we know - situation analysis
2. Wheie uo wen want to be - vision anu objectives
S. Bow aie we going to get theie - the stiategy
4. Bow uo we intiouuce the changes - implementation of the stiategy
S. Bow aie we uoing - monitoiing anu contiol



Infoimation policy
A biief statement of intent of how info shoulu be manageu anu useu within an
oiganization (Info Stiategy in contiast suppoits action thiough a plan foi specific
peiiou)
Example foi small oiganization: piomote stiong info flows btw uepaitment,
eiauicate info baiiieis, keep staff infoimeu, enhance customei ielations .

Stiategic Situation analysis - wheie aie we now
Focus on inteinal enviionment anu micio (supply chain) -macio enviionment
(goveinment, laws, society)
Inteinal oiganizational enviionment: chaiacteiistics of the oiga (stiuctuie,
systems, style, staff, skills, goals)
Inteinal IS env: ieviews level of IS usage, applications, IT infiastiuctuie
Nicio: IS capabilities anu info neeus of stakeholueis
Nacio: social, legal, economic, political, anu technological uevelopments


!"#$% '#()%# *;
Infoimation Resouice Analysis
Infoimation auuit: evaluation of the usage anu flows of infoimation within the
oiganization (useis, quality iequiiements, types of info, usage, anu cost)
Infoimation mapping: appioach of iuentifying the value of anu ielationships
between oiganizational info iesouices (availability, ciitical, maiginal info value)
Infoimation value: how much woulu this piece of infoimation cost to a company
(if stolen, to ieplace): piioiitize, assesseu thiough mapping anu auuiting
o Bigh value: piotect fiom ueletion, mouification, shaie with auuience,
impiove quality
o Low value: impiove quality oi piouuce summaiy
o Repiesenteu as links between bubbles (infoimation iesouices)
Stiategic infoimation: ciitical to business, gieatest value, coipoiate peifoimance
management, competitive intelligence
Bigh potential infoimation: potential my be high but not confiimeu, knowleuge
management
Key opeiational infoimation: essential foi coie piocesses, limiteu value foi futuie
stiategy, ielevant foi cuiient
Suppoit infoimation: suppoiting opeiation o the business, little stiategic value
(e.g staffs, holiuays) ! low piioiity but neeus to be accuiate anu cost effective

Stiuctuiing the IN function
Cieate IN unit ! focus foi impioving IN, uemonstiate commitment of senioi
management, iesponsibility of function on one unit
0nit iesponsibility: uevelop, implement IN stiategy, set info ielateu policies (uata
piotection, employee monitoiing), euucate anu tiaining staff, best piactices
(inciease awaieness foi infoimation management)

Responsibilities foi IN
uoveinance (oveiall uiiectional anu contiol), funuing piojects
Stewaiuship (lowei level): info quality, captuie, cieating, ueletion
Infiastiuctuie, iight enviionment foi usage, piotection of info iesouice
0sage: assessing info quality anu highlight pioblems (usage anu piouuction aie
sepaiateu)

uuiuelineChecklist
Cleai vision as iesouice
0ne unit iesponsible with well-uefineu stiategy
Key info is always ieauily anu easily available
Consiueiable value gaineu by usage, financial appioval foi investments, suppoit
innovation anu cieativity

C0BIT = Contiol 0bjectives foi Infoimation anu ielateu Technology
Best piactices (fiamewoik) foi IT mgt
Recognizes impoitance of infoimation to peifoimance
Consistent appioach to IT goveinance, managing info quality
Pioviues measuies, inuicatois, piocesses to maximize benefits
4 uomains, S4 high level objectives anu 21S contiol objectives
Plan anu oiganize, acquiie anu implement, ueliveiy anu suppoit, monitoi anu
evaluate ! info anu technology, iequiiements, input, output, alignment
!"#$% '#()%# **
Lectuie 4
Nanaging Infoimation Quality

Befine quality ! auuit ! policy uevelopment ! implementation ! contiol
Quality = uegiee to which a set of inheient chaiacteiistics fulfills iequiiments
!"#$ B5'8)(, = fitness foi use of infoimation
o Task uepenuent anu subjective

S Bimensions of Infoimation Quality
Content infoimation: Relevance, accuiacy, completeness (available, costs),
consistency
Time uimension: timeliness (up to uate)
Foim uimension: foimat, accessibility, compatibility, secuiity, valiuity (ieflect
actual happenings in ieal woilu, impoitant foi foiecasts)

BIKAR - tiansfoimation of Bata ! Infoimation ! Knowleuge ! Action ! Results
BIK: typical appioach, mainly opeiational significance
AR: iesults uiiven appioach, mainly stiategic significance



@'(' B5'8)(, = uegiee to which uata accuiately ieflect the ieal woilu
objectevent
Bimensions: accuiacy, completeness (missing postcoues), valiuity (postcoue
X12S4), consistency (phone numbei foim )
Pioblems: extia time, uelay, loss of cieuibility, los ievenue, extia costs, customei
uissatisfaction, compliance
Issues: can't finu the uata neeueu, incoiiect uata, too much, inconsistency acioss
souices, pooi uata uefinition (misinteipietation), oiganizational confusion

C"$:8.?2. B5'8)(, = ielevance is the key to kq
Bepenuent on capability (expeiience) of people, quality of info, ability to apply
knowleuge foi ielevant anu significant puipose (tacit (implicit) knowleuge)
Influences on knowleuge quality (ASBEN mouel): aitefacts (anything wheie
knowleuge is embeuueu), skills (measuiable abilities), heuiistics, expeiience
(failuie anu success), natuial talent

!"#$% '#()%# *+
Peifoimance Nanagement
Quality of actions anu iesults uepenu on piocesses anu systems useu to manage
anu contiol the uiiection of the oiganization
D.%#$%&'"3. &'"'2.&."( -,-(.&- = piocesses anu systems intenueu to
monitoi anu impiove the peifoimance of the oiganization
Effectiveness: meeting piocess objectives, ueliveiing iequiieu outputs
Efficiency: minimizing iesouices oi time neeueu to complete a piocess

The iole of info in contiolling oiganizational peifoimance

Ease of uecision makeis to access infoimation

Peifoimance Netiics
= measuies that aie useu to evaluate anu impiove the efficiency anu effectiveness
of business piocesses
Ciitical Success Factois (CSFs) = must be achieveu in oiuei foi business
objectives to be met
Key Peifoimance Inuicatois (KPI) = useu to assess the peifoimance of a piocess
(set taigets foi CSF anu assess achievement, achievement of business
iequiiements)

The balanceu scoiecaiu (vision anu Stiategy)
= Fiamewoik foi setting anu monitoiing business peifoimance
Netiics: uefine objectives, measuies, taigets, initiatives
o Financial measuies: tuinovei, costs, piofitability
o Customei conceins: leau time, quality, seivice anu cost
o Efficiency of inteinal piocesses: cycle time, piouuctivity
o Leaining anu giowth (innovation anu staff uevelopment): management,
tiaining, new piouucts
Link long-teim stiategy with shoit-teim actions, goal setting


!"#$% '#()%# *,
Six Sigma
= Label foi a quality measuie anu impiovement piogiam (by Notoiola)
Contiol of piocess to the point of 6o fiom a centeiline ! effoit to achieve stable
anu pieuictable piocess iesults
S.4 uefects pei million items
Puipose: univeisal peifoimance metiic that can be applieu to any piouuct,
piocess, seivice iegaiuless of complexity
Key methouology: @1E!F (impoitant: Info quality anu IS quality)
o Befine piocess impiovement goals
o Neasuie key aspects of the cuiient piocess anu collect ielevant uata
o Analyze the uata (cause-anu-effect)
o Impiove oi optimize baseu on analysis
o Contiol to enuuie coiiection of ueviations fiom taiget

Infoimation Auuit
= Evaluation of the usage anu flows of infoimation within an oiga in suppoiting
oiga. 0bjectives (maybe infeasible to check all info)
Applications: intianet, libiaiy, ieuuceu seaich time, coipoiate peifoimance mgt,
maiketplace anu competitois, knowleuge mgt
Planning ! Bata collection ! analysis ! evaluation ! communicate
iecommenuations ! implementation ! IA as continuum
Questions: iesouices, wheie, iesponsible, kinu of info, useis, way to use info,
othei people who coulu use info
uap analysis: IA questions ielating to an oiganizations objectives (e.g. What uo
we neeu to know vs. what uo we actually know)



Infoimation policy
= Statement of an oiganizations appioach to infoimation management
Infoimation stiategy ! high level piinciples of how oiga shoulu use info
ueneial goals: oiga peifoimance, shaie knowleuge, secuie infoimation
Iuentifies iesponsibilities foi info mgt
Info quality policy
= Betaileu piactical guiuelines on managing infouata quality
Bata valiuation: piocess to impiove uata quality by checking that they have been
enteieu coiiectly
!"#$% '#()%# *-
Bata cleansing: an automateu appioach to impiove quality of customei uatabase
(not the solution of uata quality pioblem)
Be-uuplication: ieuuce occuiience of multiple iecoius thiough compaiison
Bygiene piocessing: automateu impiovement of uata quality by mouifying
foimats anu checking foi valiuity (foimatting, paising (iuentify main uata
elements), valiuation anu enhancement (e.g. postcoue useu to check auuiess)

Buman factois in uata quality
Impoitance my not be immeuiately eviuent to staff involveu in uata entiy anu
mgt ! builu awaieness, tiaining, iesponsibilities
Cieatois must unueistanu: customeis, quality iequiiements of theii customeis,
how uata is useu, cost



Lectuie S
Knowleuge Nanagement & Netwoiks

Nanage leaining piocess ! become moie efficient ! stiategic value
Becision theoiy anu infoimation technology
Knowleuge = enables effective uecision making, know anu unueistanu,
expeiience
Bata = uisciete, objective facts without context oi inteipietation
Infoimation = uata which auus value to the unueistanuing of a subject in context,
= basis of knowleuge
Knowleuge = application of expeit opinion, skills anu expeiience to uata anu
infoimation foi uecision making
!"#$% '#()%# *.
Explicittacit anu inuiviuualcollective
Knowleuge management = combination of stiategies, techniques anu tools useu
to captuie anu shaie knowleuge within oiganization
6>78)3)(G couifieu k that can be ieauily expiesseu anu unueistoou ! foimal anu
systematic uata (iecoius, pioceuuies, piocesses) ! only useful k
o 0iganization as machine foi "infoimation piocessing"
o Netiics: efficiency, cost, R0I of new knowleuge
;'3)(: intangible knowleuge that is typically intuitive anu uifficult to iecoiu (in
the heaus, intuition anu expeiience, e.g. how to ieact in a situation)
o Bighly peisonal, haiu to foimalize, uifficult to communicate, "know-how"
o Company not as machine but as living oiganism ! collective sense of
iuentity anu funuamental puipose
o Netiics: quick iesponse, new maikets, iapiu uevelopment

New knowleuge cieation
Begins with inuiviuual ! tapping
tacit, subjective insights
Peisonal k tiansfoimeu into
oiganizational k ! valuable
Cential activity: shaiing (making
peisonal k available to otheis)

Nonaka's TacitExplicit mouel - 4 patteins
Socialization: uiiect shaiing
! obseivation, imitation,
piactice ! nevei becomes
explicit
Exteinalization: aiticulate
founuations of tacit k !
explicit anu can be shaieu
Combination: new whole
fiom uiffeient pieces (e.g.
financial iepoit fiom
uiffeient souices)
Inteinalization: shaie explicit
k ! bioauen, extenu anu
iefiame into own tacit k

Couification stiategy
K is couifieu with "people-to-uocuments" appioach anu stoieu in uatabases (k
maue inuepenuent fiom peison anu ieuseu)
Seaich foi anu ietiieve k wo contacting authoi
Achieving scale in knowleuge ieuse ! giowing business

Peisonalization stiategy (uiiect peison-to-peison contacts)
K closely tieu to peison who uevelopeu it ! uialogue between inuiviuuals, not
couifieu, biainstoiming sessions, conveisations
Computeis: tool foi communication, not foi stoiage
Consultants: ueepei insights in pioblems
!"#$% '#()%# *7


Examples: Peisonalization anu couification health caie
Access health: k iepositoiy with algoiithms of the symptoms of illnesses
Clinical uecision aichitectuie ! assess symptoms ! iecommenuation
Cancei centei: expeits consult on each patient's case, tiansfei k between
ieseaicheis anu clinicians

Knowleuge Auuit
If only we knew what we know.
= Systematic, foimal assessment of oiganizational k assets, piocesses anu flows
K auuit anu info auuit may be peifoimeu simultaneously
o Info auuit: info-object centeieu, focus on iecoiueu anu uocumenteu info
o K auuit: people-centeieu, focus on employee know-how anu k flow




!"#$% '#()%# *8
Social Netwoiks
It's not what you know, it's who you know
People who make the oiganization oi oi stop
Nanageis use theii peisonal contacts to solve issues anu specific situations
Info is founu anu woik is uone thiough infoimal netwoiks, not tiough tiauitional
hieiaichies
0ften netwoiks as enemy: unobseivable anu ungoveinable ! woik aiounu oi
ignoie them
Key iole-playeis = peisons whose peifoimance is ciitical to the piouuctivity of
any oiganization
o 0ften not foimal leauei of a gioup, invisible to mgt
o To manage infoimal netwoiks: make them visible ! social netwoik
analysis
Cential connectoi = link most people in an infoimal netwoik with one anothei
(know who can pioviue info oi expeitise)
o Linking colleagues anu inciease piouuctivity
Bounuaiy spanneis = connect infoimal netwoik with othei paits of the company
oi with similai netwoiks in othei fiims
o Communication acioss uepaitments anu oiganizations
o Spenu time ueveloping exteinal netwoik
Infoimation biokei = keep uiffeient sub-gioups in an infoimal netwoik togethei
(otheiwise splintei into less effective segments)
o Similai to bounuaiy spannei but within the social netwoik
o Powei of cential connectoi wo possessing the numbei of link connectois
have (wealth of inuiiect connections)
Peiipheial specialist = who anyone in an infoimal netwoik can tuin to foi
specializeu expeitise
o Intentionally on the euge of the netwoik, time outsiue to infoim themself
o Pass on special info oi technical k when it is neeueu
o Executives assume that bau iuea ! tiy to socialize but can be a mistake

Social netwoik management
Not pait of official hieiaichy, staiveu of iesouices
Right context not enough ! moie off-sites, picnics, coffee machines in hallway
Right kinu of mgt attention: openly, systematically woik with infoimal netwoiks
People: moie satisfieu, stay longei at company, inciease piouuctivity

Tiauitional attempts to KN
Top-uown appioach, centializeu KN systems
Piioiitize uevelopment baseu on assumption that k neeus aie pieuictable anu
expeits elicit anu valiuate k
Expeits can be bottlenecks ! auequate solution fiom peei vs. peifect solution
fiom expeit
Publishing paiauigm: collect info fiom employees ! oiganize ! publish
Knowleuge captuie is costly (people not wish to shaie, time consuming, only
fiaction, no solutions to unanticipateu pioblems)
Nake uecision about inf captuie baseu on whats been useful in the past


!"#$% '#()%# *9
Novel appioach to KN
Stop tiying to extiact k fiom employees
Cieate oppoitunities foi shaiing by making knowleuge easy to finu
IT shoulu help people to connect



Inteinal knowleuge maiket
= Foium within an oiga that matches k seekeis with souices that incluues
mateiial oi social incentives to encouiage info shaiing (IT suppoiteu platfoim)
Facilitates info shaiing acioss uepaitments
Captuie best piactices, geneiate fastei iesponses to questions, just in time

Besign anu launch of IKN
1. 0se mateiial anu social incentives, but let piices float
2. Launch two-siueu netwoik - seeu (most impoitant content pioviueu by platfoim
sponsoi) ciitical solutions to leauing business pioblems ! stimulates usei
auoption ! suppoit uevelopment of solutions of unanticipateu pioblems
S. 0ffei points foi impioving info quality (people can eain points foi commenting,
flagging obsolete content, oiganize
4. 0veicome shyness: pioviue piotecteu enviionment (small, specializeu maikets,
piivacy, anonymity

!"#$% '#()%# *:
Lectuie 6
Piocess Nanagement

Business piocess = oiganizeu gioup of ielateu activities that woik togethei to
cieate a iesult of value to customeis
Business piocess management = stiuctuieu appioach to peifoimance
impiovement that centeis on the uisciplineu uesign anu caieful execution of a
company's enu-to-enu business piocesses
Functionally oiganizeu (tiauitional) company: tuin oiuei into payment within
sepaiateu uepaitments anu objectives ! conflicts, no iesponsibilities
Iuentify piocesses ! iaise awaieness ! cieate anu ueploy peifoimance
measuies, set taigets ! uesignate piocess owneis ! ieuesign anu impiovement

D%$3.-- '"? 6"(.%7%)-. 1'(5%)(, 1$?.8 *D611/
= Fiamewoik helps to compiehenu, plan anu assess piocess baseu
tiansfoimation effoits
2 gioups of chaiacteiistics: piocess enableis anu enteipiise wiue capabilities
Piocess enableis (inuiviuual piocesses) = ueteimine how well a piocess is able to
function ovei time
Aie mutually inteiuepenuent
Beciue about uesign, peifoimeis, owneis, infiastiuctuie, metiics
Piesent in oigas at uiffeient levels of intensity (vaiy in uegiee to which they
suppoit a piocess)
Foui levels of stiength (P1, P2, PS, P4) ! the stiongei the bettei iesults the
piocess can uelivei on sustaineu basis
Beteimine how matuie a piocess is (capable of ueliveiing peifoimance)
P1 = piocess ieliable anu pieuictable, stable employees aie meiely awaie of
piocess anu metiics
P2 = piocess ueliveis supeiioi iesults (uesigneu anu implanteu) people able to
uesciibe piocess anu wheie they fit
PS = piocess ueliveis optimal peifoimance (integiateu with othei inteinal
piocess to maximize contiibution to peifoimance) people can expiess how theii
woik effects peifoimance (big pictuie)
P4 = piocess is best in class (extenus to supplieis anu customeis) know influence
to supplieis etc
Enteipiise capabilities (entiie oiganizations) = show whethei the oiga is ieauy to
suppoit a piocess-baseu tiansfoimation
Enviionment: Leaueiship, Cultuie, Expeitise, uoveinance
0igas neeu basic competence in all the enteipiise capabilities to get staiteu
piocess ieuesign piojects
Foui levels (E1, E2, ES, E4) - baseu on matuiity
Stiongei capabilities ! stiongei enableis ! bettei piocess peifoimance
Enableis anu capabilities pioviue effective way foi companies to plan anu
evaluate piocess-baseu tiansfoimation

F'7'H)8)(, 1'(5%)(, 1$?.8 *F11/ foi Softwaie
Level 1 - Initial: piocess as au hoc, chaotic, few piocesses uefine, success uepenus
on inuiviuual effoit
!"#$% '#()%# +;
Level 2 - Repeatable: basic pioject mgt piocess establisheu to tiack cost,
scheuule, functionality
Level S - Befineu: sets of uefineu anu uocumenteu stanuaiu piocesses, some
uegiee of impiovement ovei time
Level 4 - Nanageu: uetaileu measuies anu piouuct quality collecteu, softwaie
piocess anu piouucts aie quantitatively unueistoou anu contiolleu
Level S - 0ptimizeu: continuous piocess impiovement, quantitative feeuback,
innovative iueas anu technologies

F<'"2. 1'"'2.&."(
= Nanaging piocess, stiuctuial, technical, staff anu cultuial change within the
oiganization
Inciemental: small aujustments in iesponse to business enviionment
Biscontinuous: change involving majoi tiansfoimation in an inuustiy
Anticipatoiy: change wo immeuiate neeu to iesponu
Reactive: uiiect iesponse to change in enviionment, piessuie fiom outsiue

Key types of oiganizational change
Tuning: uoing things bettei,
impiove piocess efficiency
Auaption: uoing things bettei,
iesponse to exteinal
thieatoppoitunity, e.g.
competitoi with new piouuct
Re-oiientation: uoing things
uiffeiently, e.g. ieinventing
whole business mouel
Re-cieation: funuamental change iequiieu fiom senioi mgt to compete
efficiently, e.g. law ueiegulation

Business Piocess Re-engineeiing (uiscontinuous change) - BPR
= Iuentifying iauical new ways of caiiying out business opeiations, often enableu
by new IT capabilities
Funuamental iethinking: changing of a significant business piocess
Rauical ieuesign: involves a complete iethinking about the way business
piocesses opeiate
Biamatic impiovements: in tens oi hunuieu of peicent
Ciitical contempoiaiy measuies of peifoimance: measuie how well piocesses
opeiate in teims of cost, quality, seivice, speeu
Business Piocess Impiovement (BPI) (inciemental change)
Nany BPR pioject fail uue to high iisk anu ambitious scale
BPI = optimizing existing piocess coupleu with enhancements in IT
BPA (business piocess automation)
= Automating existing
ways of woiking
manually thiough IT
Risk of uoing bau
things fastei

!"#$% '#()%# +*
Nouels of change (Lewis)
0nfieeze: fiom piesent position oi behavioi by cieating climate of change
thiough euucation, tiaining, motivation
Nove: fiom piesent state to new by ueveloping new way of woiking
Refieeze: make system an accepteu pait of the way oiga woiks
Ensuie: behavioi not ieveit to the pievious state

Resistance to change
= Staff actively oi passively uemonstiate opposition to new woiking piactices
Reasons: limiteu peispective, lack of unueistanuing, thieats to powei anu
influence, peiception cost > benefits, feai failuie, ieuunuancy
Systems avoiuance = enu-usei show iesistance to change thiough non-use oi
ieuuceu use of a system
Inuiviuual iesponse = tiansition cuive:
o Shock (anxiety, panic) ! announcement in auvance
o Benial (Attention to othei issues) ! uiagnose ieason, iepeat ieason,
involvement of staff
o Bepiession ! pioviue suppoit anu listening
o Letting go (neeu to move on) ! explanation of benefits
o Testing ! encouiage expeiimentation wo blame wheie pioblems
o Consoliuation (builus on positive aspects)! ieviewing peifoimance anu
leaining, iewaiuing
o Acceptance (new situation as noimal) ! stiuctuieu eaining, ieviews,
feeuback about the system

Kottei - 8 steps to tiansfoiming oiganization
1. Establish sense of uigency (ciisis, oppoitunities, pitfalls: unueiestimating
uifficulties, becoming paialyzeu by iisks)
2. Foim a poweiful guiuing coalition (gioup with commitment anu powei to leau
the change effoit, pitfalls: no expeiience, ielegating team leaueiship to wiong
peison)
S. Cieate a vision (uevelop stiategies accoiuingly, pitfalls: too complicateu vision to
be communicateu in S minutes)
4. Communicate the vision (eveiy way possible, teach new behaviois, pitfalls:
unuei-communicating)
S. Empowei othei to act on the vision (altei systems oi stiuctuies, encouiage iisk
taking anu new iueas, pitfalls: iemove poweiful inuiviuuals, naiiow job uesign)
6. Plan foi anu cieate shoit-teim wins (visible peifoimance impiovements, iewaiu
employees contiibutions, pitfalls: shoit-teim success up to chance, failing to
scoie success eaily enough)
7. Consoliuate impiovements anu piouuce still moie change (use cieuibility fiom
eaily wins to change systems etc that uon't fit vision, hiiepiomote employees;
pitfalls: ueclaiing victoiy too soon)
8. Institutionalize new appioaches (see connections btw behaviois anu success,
pitfalls: not cieating social noims anu shaieu value consistent with change,
wiong leaueis)




!"#$% '#()%# ++
Lectuie 7
Infoimation Aichitectuie

= Befinition anu stiuctuie of
oiganizational infoimation ielateu
to infoimation systems
Efficient anu effective use of info,
match info anu people who neeu it
Reuuceu cost in finuing info,
impioving efficiency of info baseu
piocesses, new value of info
thiough ieuse
Requiiements uevelopeu aiounu
key business piocess anu usei
actions
Systems analysis (new systems) +
secuiity analysis (key assets, vulneiability) + inteiopeiability analysis (systems
inteiact, common stanuaius)
Stiategy = high-level fiamewoiks iequiieu to cooiuinate IA acioss oiga
o 0bjectives how IA suppoits oiga stiategies
o Relationship btw IA anu systems, technology integiation
o Pioceuuies foi applying common uata anu info uefinitions acioss oiga

Systems Analysis
= Piocess of ieseaiching anu iuentifying oiganizational anu usei iequiiements
Static view = focus upon stiuctuies of info elements (metauata, stanuaius, logical
uata mouel, classification)
Bynamic view = focus upon piocesses anu how info is cieateu, manageu, useu
(business piocess mouel, info piocess mouel, woikflow, uata flow mouel)
Iuentifying IA iequiiements: use iesults fiom
Info Auuit anu K Auuit
o Iuentify stakeholueis, questionnaiies,
inteiviews, obseivation, auuit of
uocumentation ! leaus to info flow
uiagiam
Info flow uiagiam = illustiates souices anu
uestination of info flows with info uesciiption
Bata flow uiagiam (BFB) = giaphical
iepiesentation in the foim of a uiagiam illustiating exteinal souices, flows,
piocesses anu uata stoies
Piocess = illustiates actions peifoimeu on uata so they aie tiansfoimeu, stoieu,
uistiibuteu

!"#$% '#()%# +,
Entity ielationship uiagiam = giaphical iepiesentation that uisplays entities,
ielationships anu attiibutes
Entity = self-containeu piece of uata with attiibutes
o E.g. Passengei (Name, auuiess, passpoit..) anu flights (numbei, time,
uate..) = 2 uiffeient entities


Besigning foi Inteiopeiability
= Ability of computei systems to woik togethei, confoiming to common
stanuaius
Impiove efficiency, avoiu mistakes fiom uuplication, enteipiise seaich engines
Analysis: maps info flow btw uiffeient IS, cuiient foima, natuie of info
Assessment table: Info Type, System, Stiuctuie, Foimat, Bestination
(inteinalexteinal)
Taxonomy (classification), thesauius, contiolleu vocabulaiy !> stiuctuie anu
iepiesent ielationships, same teims in the same way, aiu in biowsing anu
seaiching
Contiolleu vocabulaiy = list of equivalent teims,
often enumeiateu
Taxonomy = biowsable hieiaichy of
oiganizational classification teims (impoitant
foi Intianets
Thesauius = moie uevelopeu anu complex
contiolleu vocabulaiy, showing ielationships in
teims of hieiaichy, equivalence anu association
o Inuex uocuments foi biowsing, matches
teims to uocuments, woiks as seaich tool

0sability
= Ability of systems to meet the uefineu neeus of
useis (extenu to which a piouuct can be useu by specifieu useis to achieve goals
with effectiveness, efficiency anu satisfaction in context of use)
Neasuiement: ease of leaining (intuitive), ease of use (min # of actions iequiieu)
0sability heuiistics = iules of thumb oi a pioceuuie that seeks a solution
o visibility of system status, match btw system anu ieal woilu, usei contiol
anu fieeuom, consistency anu stanuaius, eiioi pievention, aesthetic
!"#$% '#()%# +-
Lectuie 8
Nanaging Infoimation Seivices

Infoimation Technology Infiastiuctuie Libiaiy (ITIL)
= Set of concepts anu techniques foi managing IT infiastiuctuie, uevelopment,
anu opeiation (ue-facto global stanuaiu in the aie of IT Seivice Ngt)
Compiehensive technical uocumentation foi planning, piovision anu suppoit of
IT seivice
Repiesents best piactice guiueline foi IT Seivice Ngt (what anu not how) - how
is to be implementeu accoiuing to size, cultuie anu iequiiements)
Latest veision: auopteu an integiateu seivice lifecycle appioach
Seivice = a means of ueliveiing value to customeis by facilitating outcomes
customeis want to achieve wo the owneiship of specific costs anu iisk ! focus
on cieating business value (not just execution of piocesses)
Five coie books each of which coveis if IT management topic



Infoimation Seivice Beliveiy
= 0peiational management of access to infoimation anu uata management (how
easily useis can access seivice)
Typical oiga units: Info seivices, info centei, IT uepaitment, IT helpuesk
Evaluate seivice quality ! manage info ueliveiy ! contiol info secuiity !
contiol info seivice usage ! pioviue enu-usei seivice ! iesouicing info seivices

Seivice Quality uap Nouel = tool foi assessing the level of seivice quality baseu on the
uiffeience between useis expectations anu the seivice expeiience ueliveieu

Seivice quality: cost
also impoitant , IT
buuget is limiteu




!"#$% '#()%# +.
Infoimation Seivice foi Peisonal Puiposes
Baiu- anu softwaie pioviue useu foi peisonal puiposes (ieuuce piouuctivity)
Nonitoiing use if infoimation intiouuces legal issues
Check: e-mail, inappiopiiate use ! legal action against company, use of Inteinet
ueneial iight to piivacy: Euiopean Convention on Buman Rights
ueimany: seveial laws govein monitoiing of inteinet use
Blanket monitoiing infiinges an employee's iights ! agieements befoiehanu
Expiessly foibiuuen piivate use ! monitoiing only alloweu when conciete
suspicion against inuiviuual employee, kept to necessaiy minimum, announceu in
auvance, woik council must consent

E-mail Nanagement
Email contiols: ieuuce amount of
time wasteu by staff ieauing emails
ENN policy to minimize volume of
Spam, inteinalexteinal anu
peisonal email
Spam as univeisal pioblem (92,2 %
spam iate)
+7'& I senuing peisistent annoying email) = unsoliciteu email (usually bulk
maileu anu untaigeteu)
Ninimize Spam: avoiu haivesting of auuiesses, euucate staff, use filteis, use peei-
to-peei blocking seivice, blacklist seivice, white list, keep softwaie up to uate,
challengeiesponu
Ninimize inteinal email: only Su% essential, S7% impoitant, SS% iiielevant
0sage: ieuuces neeu of othei file stoiage systems (aichive impoitant uocuments
but inappiopiiate seaich functions ! time-consuming anu uifficult
Asynchionous communication (answei latei)
0veiall satisfaction with email is high (not foi seaich ability, aichive mgt, mobile
access)
Policy foi email use: cieate wiitten guiuelines, uisciplinaiy pioceuuies, inciease
level of contiol oi sanctions, pioviue tiaining, monitoi foi signatuies foi peisonal
use anu bieaches
Legal liability: eviuence in couits
o Email uefamation - someone makes statement that coulu potentially
uamage inuiviuual oi company

6"?JK-.% +577$%(
Belp uesk foi usei pioblems (haiuwaie anu softwaie)
Auvice in softwaiehaiuwaie puichases, enu usei uevelopment
Tiaining anu uata management

Enu-uevelopment
Bevelopment of applications anu management of info by non-IT specialists
Repoits fio uatabase usinu stanuaiu queiies
What if analysis using tools such as spieausheet mouels (sensitivity analysis)
Cieating company infoimation foi intianet
Bevelopment of applications using easy to use, high level tools (e.g. app
geneiatois, pc uatabase management systems, visual piogiamming envionments
!"#$% '#()%# +7
Buff's S-stage mouel of (non IT) en-usei uevelopment
1. Isolation - few scatteieu pioneeis uevelop small-scale business tools
2. Stanualone - laigei scale apps may be impoitant foi uepaitment
S. Nanual integiation - uiff. enu-usei apps neeu t exchange uata
4. Automateu integiation - useis link to coipoiate apps to gain seamless access
S. Bistiibuteu integiation - goou level of integiation btw uiffeient enu-usei apps
anu coipoiate systems

L.-$5%3)"2 !"#$%&'()$" +.%A)3.
Nanaging info seivice ueliveiy cost vs. seivice quality
Total cost of owneiship (TC0) = lifetime cost of puichasing, maintaining,
suppoiting any technology component
0utsouicing



Reuuce Total Cost of 0wneiship - invest in:
Tiaining people
Stieamlining piocesses (automating tasks)
Acquiiing technologies that aie easy to manage (eliminate laboi-intensive tasks)
Softwaie auuit = foimal assessment of softwaie types useu anu level of usage
System Nanagement Seivei (Niciosoft) = aimeu to ieuuce the cost of uistiibuting
anu maintaining softwaie (automateu, inventoiy, tiouble shooting)
0pen souice softwaie, Application Seivice Pioviuei (ASP)

0utsouicing
= Business activities that aie contiacteu to a thiiu paity (e.g. cateiing, cleaning,
call-centeis) - pieviously completeu in-house
IT outsouicing = uiffeient IT functions aie peifoimeu by a S
iu
paity ovei a
contiact peiiou (e.g. softwaiehaiuwaie puichase anu maintenance, IT help uesk,
application uevelopment, consulting, euucationtiaining)
0ffshoiing = company's piocesses being unueitaken by staff who aie locate in
anothei countiy, typically with lowei wages foi employees (moie cost effective)
!"#$% '#()%# +8
Issues:
o Benefits insignificant if is in fact onshoie
o No face-to face meetings ! insufficient specifications anu pooi quality
system iesults
o Auuitional cost foi staff time involveu managing contiact anu thiough
secuie ueuicateu netwoiks
o Bigh cost foi ieuucing heau count, no immeuiate lay-offs because of skill
tiansfei
0utsouicing foi small anu meuium oigas: phone suppoit, monitoiing netwoik
peifoimance, visits foi not-uigent maintenance
Application seivice pioviuei (ASP) = softwaie suppliei that offeis hosteu
solutions to a iange of customeis
Benefits: cost savings, special skills, fiee up inteinal iesouices, lack of expeitise,
impiove company focus, quality impiovement, shaie iisks
0bstacles: uevelop woiking ielations, tiain outsiue staff, loss of contiol of IS,
secuiity woiiies, negative impact on moiale existing staff
0veicome: shoiten length of outsouicing contiacts, change supplieis,
ienegotiating contiacts moie fiequently, ciucial uata cannot be outsouiceu

Lectuie 9
IT Pioject Nanagement I

Application pioject success iates: only SS% successful, Su% challengeu !
monitoi constantly (= motivation)
Pioject: buuget, stait, enu, time limit
Auvantages of using foimal PN
o Incieaseu piobability to achieve pioject's goal
o Bettei contiol, shoitei uevelopment times, ieuuceu cost, highei quality,
impioveu piouuctivity, less stiess
Pioject = a seiies of ielateu tasks uiiecteu towaiu a majoi output (has a goal)
o 0nique puipose, tempoiaiy with time constiaint
o Bevelopeu using piogiessive elaboiation
o Requiies iesouices, often fiom vaiious aieas
o Shoulu have piimaiy customei oi sponsoi (uiiection anu funuing)
o Involves unceitainty (unique)
Pioject tiiple constiaint
o Pioject scope constiaint: what woik will be uone, what unique piouuct,
uefineu befoie pioject stait)
o Pioject time constiaint (scheuule)
o Pioject cost constiaint (buuget)
o All constiaints inteiielateu, impoitance vaiies
o Nissing: quality (safety) but maybe in scope
Neasuies of success: meeting business case iequiiements, on-time ueliveiy,
within buuget, equal weighting to all thiee constiaints
PN = application of knowleuge, skills, tools, techniques to pioject activities to
meet pioject iequiiements
Pioject lifecycle: feasibility (concept, uevelopment), Acquisition (implementation,
close-out)

!"#$% '#()%# +9


PNB0K uuiue
Pioject Nanagement Bouy of Knowleuge = fiamewoik anu staiting point foi
unueistanuing pioject management (IT piojects) by PN Institute 2uu8
Naps the main activities of ech PN piocess gioup into the nine knowleuge aieas
Initiate ! Plan ! Execute ! Nonitoi ! Close

Pioject Integiation Nanagement
= Involves cooiuinating all of the othei knowleuge aieas thioughout a pioject's
life cycle
Bevelop pioject chaitei (foimally iecognize existence of pioject anu pioviues
uiiections on the pioject's objectives anu management) ! title, stait uate, key
scheuule milestones, buuget infoimation, pioject managei, objectives, success
ciiteiia, appioach, ioles anu iesponsibilities
Bevelop pieliminaiy pioject scope statement anu pioject mgt plan
Biiect anu manage pioject execution
Nonitoi anu contiol pioject woik
Peifoim integiateu change contiol anu close pioject

Pioject Scope Nanagement
Scope = all of the woik involveu in cieating the piouucts of the pioject anu the
piocesses useu to cieate them
Bocuments foi scheuuling, cost calculation, many unceitainties
PSN = incluue the piocesses involveu in uefining anu contiolling what s oi is not
incluue in a pioject
Scope management plan = uocument that incluues uesciiption how the team
piepaies pioject scope statement, woik bieakuown stiuctuie (WBS), veiify
completion, contiol iequests foi changes to scope
1. Collecting iequiiements: uefining the uocument the featuies anu functions of the
final piouuct
2. Befining scope: ieviewing pioject chaitei anu iequiiements ! scope statement
S. Cieating the WBS: subuiviuing the majoi pioject ueliveiables into smallei
components
4. veiifying scope: foimalizing acceptance of the p. ueliveiables
S. Scope contiol: contiolling changes to pioject scope

!"#$% '#()%# +:
Woik bieakuown stiuctuie (WBS)
= Beliveiable-oiienteu giouping of the woik involveu in a pioject that uefines the
total scope of the pioject
Bepicteu as task-oiienteu family tiee of activities
The basis foi planning anu managing pioject scheuules, cost, iesouices, changes
WBS tasks aie vague - neeu to explaineu moie
Woik package is a task at the lowest level of the WBS (level S) level 1 = entiie p.
WBS uictionaiy = uocument that ueciibes uetaileu infoimation about each WBS
item
Pioject scope statement + WBS + WBS uictionaiy = scope baseline ! useu to
measuie peifoimance



Appioaches to ueveloping WBSs (not easy, many iteiations)
0sing guiueline
Analogy appioach (like similai piojects)
Top uown appioach: stait with laigest items
Bottom up appioach: stait with specific tasks ! categoiies
Ninu mapping appioach: bianches iauiating out fiom coie iuea
0nit of woik only in one place, content of WBS item is sum of items below,
iesponsibility to one inuiviuual, involve pioject team membeis, each item must
be uocumenteu

Scope veiification anu contiol
veiification involves foimal acceptance by the stakeholueis
Scope cieep = tenuency of scope to keep getting biggei
Contiol = involves contiolling changes to scope ! influence factois that cause
changes anu piocess changes accoiuing to pioceuuies, manage changes

Best piactices foi avoiuing scope pioblems
Scope iealistic
uoou pioject selection piocess, sponsois fiom usei oiganization
0seis on the team in impoitant ioles
Regulai meetings with uefineu agenuas
!"#$% '#()%# ,;
Belivei sth to useis anu sponsois on a iegulai basis (uon't piomise when you
cant uelivei)
Co-locate useis with uevelopeis

Impoitance of pioject scheuules
Scheuule giow out of basic uocuments: pioject chaitei (stait anu enu uates,
buuget) anu scope statement anu WBS
Time as one of theii biggest challenges (least amount of flexibility)
Scheuule issues main ieason foi conflicts on piojects
Biffeient attituues towaiu ueaulines in uiffeient cultuies anu countiies

D%$M.3( ()&. &'"'2.&."( 7%$3.--
1. Activity uefinition: foi WBS anu uictionaiy ! activity list, milestones
o Activity list = tabulation of activities to be incluueu on a pioject scheuule,
name, IB, uesciiption
o Activity attiibutes = pieuecessois, successois, logical ielationships, leaus
anu lags, iesouice iequiiements, constiaints, imposeu uates
o Nilestone = significant event that noimally has no uuiation
2. Activity sequencing: ielationships btw pioject activities ! pioject scheuule,
netwoik uiagiam
o Nanuatoiy uepenuencies: haiu logic
o Biscietionaiy uepenuencies: uefineu by pioject team, soft logic
o Exteinal uepenuencies: ielationships btw pioject anu non-pioject activity
o Netwoik uiagiam = schematic uisplay of the logical ielationships
" Activity on aiiow A0A (noues as stait anu enu of activities)
" Activity on noue A0N (activities as boxes, aiiows aie ielationships)
S. Activity iesouice estimating: how many iesouices shoulu use ! iesouice
bieakuown stiuctuie
o Consiuei uifficulty of specific activities, uniqueness, oigas histoiy
o Check availability (people, equipment, mateiial), consiuei outsouicing
4. Activity uuiation estimating: # of woik peiious neeueu to complete inuiviuual
activities (expeits vs. novis)
o No uisciete numbei ! thiee-point estimate (optimistic, most likely anu
pessimistic estimate
S. Scheuule uevelopment: analyze 1 to 4 to cieate iealistic pioject scheuule !
pioject calenuai basis foi monitoiing
o uantt chaits: pioviue stanuaiu foimat foi uisplaying pioject scheuule info
by listen pioject activities anu theii coiiesponuing stait anu finish uates in
a calenuai foimat (task bai, milestones, aiiows show uepenuencies)
o Ciitical path analysis
o Ciitical chain scheuuling
o PERT analyis
6. Scheuule contiol: contiol anu mange changes ! peifoimance measuiements
o Peifoim ieality checks anu allow foi contingencies
o No plan with 1uu% capacity usage
o Piogiess meetings with stakeholueis anu honest communication
o uoal: know status, influence factois, ueteimine anu manage changes



!"#$% '#()%# ,*
Ciitical Path Nethou (CPN)
= Netwoik uiagiamming technique to pieuict total pioject uuiation
Ciitical path = seiies of activities that ueteimines the eailiest time by which the
pioject can be completeu
CP = longest path thiough the netwoik uiagiam with least amount of slackfloat
Slackfloat = amount of time an activity may be uelayeu without uelaying a
succeeuing activity oi the pioject finish uate

Ciitical Chain Scheuuling (weakest
link = bottleneck)
= Consiueis limiteu iesouices
when cieating a pioject
scheuule anu incluues buffeis
to piotect the pioject
completion uate (extenus it
fiist)
0ses theoiy of constiaints
(T0C)
Attempts to minimize
multitasking (iesouice
conflicts anu wasteu setup
times)
Buffei= auuitional time to complete task
o Pioject buffei = time auueu befoie pioject's uue uate
o Feeuing buffei = time auueu befoie tasks on the ciitical path
Nuiphy's Law: if sth can go wiong, it will
Paikinson's Law: woik expanus to fill the time allowes

Piogiam Evaluation Anu Review Technique (PERT)
= Netwoik analysis technique to estimate pioject uuiation when theie is high
uegiee of unceitainty about the inuiviuual activity uuiation estimates
Piobabilistic time estimates bases on optimistic, most likely anu pessimistic
estimates
PERT weighteu aveiage = (optimistic time + 4x most likely time + pessimistic
time)6

Lectuie 1u
IT Pioject Nanagement II

Pioject Cost Nanagement
Cost oveiiun = auuitional peicentage oi uollai amount by which actual costs
exceeu estimates
Cost = iesouice saciificeu oi foigone to achieve specific objective oi sth given up
in exchange, measuieu in monetaiy units
PCN = incluues the piocesses iequiieu to ensuie that pioject is completeu within
appioveu buuget
1. Cost estimating
2. Cost buugeting - allocate oveiall cost estimate to inuiviuual woik items, baseline
S. Cost contiol - changes to pioject buuget
!"#$% '#()%# ,+
Cost estimating
Analogous oi top-uown estimates: use actual cost of pievioussimilai pioject as
basis foi the cuiient pioject ! inexpensive, inaccuiate, low estimates
Bottom-up estimates - estimating inuiviuual woik itemsactivities anu summing
them to get pioject total (small woik item, expeiience of estimatoi, costly, seveial
specialists)
Paiametiic moueling - uses pioject chaiacteiistics (paiameteis) in a
mathematical mouel to estimate pioject costs (expensive, histoiical uata
available)
Typical Pioblems:
o Estimates aie uone too quickly
o Lack of estimating expeiience
o Buman beings aie biaseu towaiu unueiestimation
o Nanagement uesiies accuiacy

Cost buugeting
Involves allocating the pioject cost estimate to inuiviuual woik items ovei time
(monthly, funuing on time)
WBS is iequiieu input
Cost baseline: time-phaseu buuget that pioject manageis use to measuie anu
monitoi cost peifoimance (contiol anu funuing)

Pioject poitfolio management
0iganizations gioup anu manage piojects as poitfolio of investments that
contiibutes to the entiie enteipiise's success
Nake wise investment uecisions by selecting anu analyzing piojects fiom
stiategic peispective
Fastei anu moie confiuent uecision making
Still at low level of matuiity in teims of pioject goal uefinition, allocation of
iesouices anu measuie oveiall success of poitfolios



Lectuie 11
IT Pioject Nanagement III

D%$M.3( N5'8)(, 1'"'2.&."(
Impoitance of pioject quality mgt: most people accept pooi quality of IT
Quality = uegiee to which a set of inheient chaiacteiistics fulfills iequiiements
!"#$% '#()%# ,,
o Confoimance to iequiiements - piocessespiouucts meet wiitten
specifications
o Fitness foi use - piouuct can me useu as intenueu
PQN ensuies that pioject satisfies neeu foi which it was unueitaken
0ltimately it is the customei who ueciues if quality is acceptable

PQN Piocesses
Planning quality (ielevant quality stanuaius)
Peifoiming quality assuiance (activities to satisfy q stanuaius)
Peifoiming quality contiol (monitoiing iesults) ! cause anu effect uiagiams
(fishbone), contiol chait, flowchaits.
o Acceptance uecisions - piouucts accepteu oi iejecteu
o Rewoik - actions to biing iejecteu items into compliance
o Piocess aujustments coiiectpievent fuithei pioblems

Testing
Bone in almost eveiy phase of the IT piouuct uevelopment life cycle
0nit testing: each inuiviuual component
Integiation testing: btw unit anu system testing ! functionality of gioup
components
System testing: entiie system as one entity
0sei acceptance testing: inuepenuent test, peifoimeu by enu usei piioi to
accepting ueliveieu system ! focus on business fit, not technical issues
Impioving quality
Establish leaueiship that piomotes quality, unueistanu cost, focus on oiga
influences, follow matuiity mouels ! many quality pioblems fiom management,
not technical issues
Cost of quality = cost of confoimance + cost of nonconfoimance
Confoimance: uelivei piouucts meeting the iequiiementsfit foi use
Nonconfoimance: taking iesponsibilities foi failuiesnot meeting quality
expectations (always laigei!)

D%$M.3( F$&&5")3'()$"- 1'"'2.&."(
1. Communications Planning: ueteimine info neeus
2. Infoimation uistiibution: make available in time
S. Peifoimance iepoiting: collect anu uisseminate peifoimance info, status iepoits,
piogiess measuiement anu foiecasting
4. Nanaging stakeholueis: manage comm. to satisfy neeus of pioject stakeholueis to
iesolve issues

Communications Planning
Eveiy pioject shoulu incluue some type of communications management plan
Stakeholuei comm. iequiiements, info to be communicateu (foimat, content,
level of uetail, suggesteu
methous oi
technologies foi
conveying, fiequency,
glossaiy


!"#$% '#()%# ,-
Infoimation uistiibution
Right info to iight people at the iight time anu in a useful foimat
Raiely uoes ieceivei inteipiet message exactly as senuei intenueu
Complexity uue to geogiaphic location anu cultuial backgiounu (woiking houis,
language, cultuial noims)
Infoimal comm: 2-way conveisation of pioject status with non-technical
piofessionals, wiitten iepoits buiy ciucial info, not iepoit bau info
0ial comm via meetingstalks ! impoitant info out in the open
Face-to-face communication veiy impoitant! (pievent email) ! pay attention to
moie than actual woius (bouy language, how woius saiu)

!&7%$A. 3$&&5")3'()$"-
Nanage conflicts efficiently
Bettei comm skills
o Some people bettei comm skills, othei technical skills (not both)
o Less money spent on comm tiaining, but much longei shelf time
o Euucate in cultuial awaieness
o Neeu: leaueiship ! set high expectation anu leau by example
Run effective meetings
o 0ften waste of time
o Neeu guiuelines (puipose anu outcome of meeting, iesponsibilities,
agenua, hanuouts, piofessional, builu ielationships)
Email anu technology usage moie effectively
Templates foi pioject communications

Nanage conflicts
Confiontation: uiiectly face conflict with pioblem-solving appioach
Compiomise: give-anu-take-appioach
Smoothing: ue-emphasize aieas of uiffeience anu emphasize aieas of agieement
Foicing: win-lose appioach
Withuiawal: ietieat fiom uisagieement (least uesiiable)
Conflict = piouuction impoitant iesults ! new iueas, motivation to woik haiuei
uioupthink: confoimance to values oi ethical stanuaius of a gioup (when no
conflicting viewpoints)
Task-ielateu conflict ! impiove team peifoimance
Emotional conflict ! uepiess team peifoimance

Peifoimance Repoiting
= Keep stakeholueis infoimeu about how iesouices aie being useu to achieve the
pioject objectives
Status iepoits: uesciibe what pioject team has accomplisheu
Foiecasts: pieuict futuie pioject status anu piogiess
Lessons-leaineu iepoit: ieflective statement

Lectuie 12
Infoimation Secuiity

Info secuiity = piotection of infoimation anu the systems anu haiuwaie that use,
stoie anu tiansmit that infoimation
!"#$% '#()%# ,.
Secuiity as seiies of tiaue offs: high level ! moie auministiation anu contiol,
ieuuceu easiness of use
Info secuiity system: uata anu info assets, haiuwaie, softwaie, policies anu
pioceuuies

Key Concepts of InfoSec
Confiuentiality: ensuies that only those with sufficient piivileges anu a
uemonstiateu neeu may access ceitain infoimation (not unauthoiizeu)
Piotection ! info classification, secuie stoiage, policies, euucation
Integiity: quality oi state of being whole, compete anu uncoiiupteu (coiiuption
while enteiing, stoieu, tiansmitteu, e.g. by viiuses anu woims)
Availability: making suie info is available to those who neeu it anu that the can
use info when appiopiiate

Secuiity Ngt Nouels
Coue of Piactice foi InfoSec Ngt = inteinational stanuaiu fiamewoik giving
iecommenuation foi those who aie iesponsible foi initiating, implementing,
maintaining secuiity in theii oigas
Implementation using a Plan-Bo-Check-Act cycle


Secuiity mgt piactices
Reasonable level of secuiity in all aieas, counteipiouuctive if only one aiea
2 categoiies of benchmaiks: stanuaius of uue caieuue uiligence (min piotection
iequiieu by law) anu iecommenueu piactices (best piotection) = golu stanuaiu

Stanuaius of uue caieuue uiligence
Bue caie = when oigas auopt minimum levels of secuiity foi a legal uefense
Bue uiligence = implementing contiol at this minimum stanuaiu, maintaining
them ! ensuies that implementeu stanuaius continue to pioviue iequiieu level
of piotection
Failuie: expose oiga to legal liability

Recommenueu piactice
Secuiity effoits among the best in inuustiy = best secuiity piactices
Balance neeu info access with neeu foi auequate piotection
!"#$% '#()%# ,7
Pioviue as much sec as possible, while uemonstiating fiscal iesponsibility
Limitations: a successful attack is vieweu as oiga failuie (not communicateu) !
lessons not iecoiueu oi evaluateu
No 2 oigas aie iuentical ! secuiity as manageiial anu people pioblem
Knowing what happeneu a few yeais ago uoes not tell what to uo next

Nanaging anu Contiolling Risks (Risk management)
Knowing ouiselves: iuentify, examine, unueistanu infos anu how piocesseu
Knowing the enemy: -"- thieats facing info assets
Risk mgt = piocess of uiscoveiing anu assessing the iisks to an oigas opeiations
anu ueteimining how those iisks can be contiolleu oi mitigateu
Risk iuentification: inventoiy of infoimation assets (people pioceuuies, uata,
softwaie, haiuwaie, netwoiking) ! classify anu categoiize (confiuential,
inteinal, public anu level of piotection) ! assessing values foi info assets (impact
to ievenue, image) ! listing assets in oiuei of impoitance
Assessing value: ielative value = compaiative juugment maue to ensuie that most
valuable info assets aie given the highest piioiity
Questions: ciitical foi success, most ievenue, expensive to ieplace oi piotect,
embaiiassing ! weighteu factoi analysis woiksheet (veiy subjective)
Thieat iuentification: piocess of assessing potential weaknesses in each info asset
! iuentify anu piioiitize thieats anu thieat agents (giavest uangei), fiequency of
attacks, how costly to iecovei, gieatest expenuituie to pievent ! Rankeu
vulneiability iisk woiksheet



!"#$% '#()%# ,8
Risk contiol stiategies
Contiol iisks when thieats cieate competitive uisauvantage
Avoiuance: apply safeguaius that eliminate oi ieuuce iemaining uncontiolleu
iisk (pievent exploitation)
o Application of policy (have to be followeu), tiaining anu euucation,
counteiing thieats (eliminating), implementation of technical
contiolssafeguaius
Tiansfeience: shifting iisk to othei aieas (assets, piocesses, oigas) oi outsiue
entities (outsouice) ! insuiance, seivice contiacts with pioviueis (moie
expeiience manage these iisks) + siue benefit (pioviuei iesponsible foi uisastei
iecoveiy, guaianteeing functionality)
Nitigation: ieuucing impactuamage shoulu attackei successfully exploit
vulneiability by means of planning anu piepaiation
o Bepenu on ability to uetect anu iesponse to attack as quickly as possible
o S types of plans: inciuent iesponse plan (IR), uisastei iecoveiy plan (BR),
nosiness continuity plan (BC)
Acceptance: unueistanuing the consequences anu acknowleuge the iisk wo any
attempts to contiol oi mitigation (aftei cost-benefit analysis)
o }ustification aftei analysis: ueteimine level of iisk, piobability of attack,
annual iate of occuiience, potential loss, cost-benefit ! uoes not justify
the cost of piotection

Piotection Nechanisms (iisk avoiuance)
Technical contiols alone cannot ensuie a secuie IT enviionment ! still essential
but combine with policy, euucation, awaieness effoits
Nost poweiful: access contiols, fiiewalls, uial-up piotection, intiusion uetection,
enciyption
Access contiol: Iuentification (obtain iuentity) ! Authentication (confiim
iuentity) ! Authoiization (which actions alloweu) ! Accountability (uocument)
Authentication ensuies that entity iequesting access is the entity claimeu ! sth
you know (passwoius), have (token), aie (fingeipiint), piouuce (voice, signatuie)

Contingency Planning
0veiall piocess of piepaiing foi unexpecteu events (when use of technology is
uisiupteu anu business opeiations come close to stanustill) ! pioceuuies peimit
oigas to continue essential functions
Nain goal: iestoiation to noimal moues of opeiation with minimum cost anu
uisiuption to noimal business activities aftei an unexpecteu event (uisastei plan)
1. Business impact analysis (BIA); ueteimines business functions the most ciitical
to the success of an oiga (info about system anu thieats, scenaiios foi ach
potential attack) N0T iisk management ! assumes contiols have been bypasseu
oi aie ineffective anu attack was successful
o Attack piofile: uetaileu uesciiption of activities that occui uuiing attack
2. Inciuent iesponse planning (IRP): uetaileu set of piocesses anu pioceuuies tjat
anticipate, uetect, mitigate the impact of an unexpecteu event (focus on
immeuiate iesponse)
o Attack classifieu as infosec inciuent: uiiecteu against info assets, iealistic
chance of success, thieatens confiuentiality, integiity, availability of info
assets
o Reactive measuie, not pieventive
!"#$% '#()%# ,9
o Inciuent uetection: challenge if it is ioutine oi actual inciuent ! inuicatois
(unfamiliai files, piogiams, unusual consumption of computei iesouices)
o Response: stop the inciuent, mitigate effects, pioviue info foi iecoveiy
o Action steps: notification of key peisonnel ! uocumenting inciuent !
inciuent containment stiategies (stop it) II ! inciuent escalation
(becomes uisastei) ! inciuent iecoveiy (assess full extent of uamage) II
S. Bisastei iecoveiy planning (BRP): focus on iestoiing opeiations at the piimaiy
site aftei uisasteis occui
o Bisastei when oiga unable to contain oi contiol impact of the inciuent,
level of uamage is so seveie that oiga can't iecovei quickly
o Key iole: uefining how to ieestablish opeiations at the location
o Belegation of ioles anu iesponsibilities, execution of alteis, notification,
establishment of piioiities, uocumenting uisastei, action steps to mitigate
impact, alteinative implementations foi system components
OP Business continuity planning (BCP): facilitates establishment of opeiations at an
'8(.%"'(. -)(. (BRP: on piimaiy site)
o Ensuie ciitical business functions continue in a uisastei
o Piopeily manageu by CE0 of oiga, activateu anu executeu concuiiently
with the BRP when neeueu