EDEM

Reginald

DEPARTMENT OF COMPUTER SCIENCE

Session 1 – Introduction To
Information Technology and
Management
Contact Information: [email protected]

2015/2016

DEPARTMENT OF COMPUTER SCIENCE

 Session Overview
• Information Technology ( IT ) has a significant role to play in
many organizations. They are assisting a lot of organizations
to increase their profit margin. It is thus important that
management of such organizations prepare adequately before
deploying IT. In this session I shall discuss with you IT and the
organizational issues.
• The session will cover the following topics
– TOPIC 1 : Fundamentals of IT
– TOPIC 2 : Understanding Organizational Information
– TOPIC 3 : Systems Theory and Concepts
– TOPIC 4 : Information Systems
– TOPIC 5 : Management and Managerial Levels
– TOPIC 6 : Management Support Systems

Mr. Joseph Ecklu (DCS)

 Session Objectives
By the end of this Session, you should be able
to
• describe fundamentals of IT
• understand the difference between an
Information System and a Data Processing
System
• recall definition of management and identify
the various managerial levels
• recognize the existence of formal methods,
the need for clear time scales, agreed
deliverables and approval to proceed
Mr. Joseph Ecklu (DCS)
 Reading List
• ADMN303 – Computer Applications In Management by
Afari-Kumah E. (Unit 1 Session 1 to 6)

Mr. Joseph Ecklu (DCS)

 Fundamentals of Information
Technology ( IT )
Welcome to the first topic of this session. In this
topic I shall discuss with you the fundamentals of
IT. As indicated earlier, this Session and
subsequent ones, will assume that you have a prior
knowledge of the basic components of modern
computer systems, that is hardware and software,
the ability to relate to business and the basic
structure of a computer, as well as computer
peripherals and communication devices.

Mr. Joseph Ecklu (DCS)

 Fundamentals of Information
Technology ( IT )
Objectives
By the end of this topic, you should be able to
• define Information Technology ( IT )
• identify the technology available to
organizations
• explain ( data ) information processing

Mr. Joseph Ecklu (DCS)

 Fundamentals of Information
Technology ( IT )

Data is defined as the raw facts and figures

pertaining to an entity or object of interest.

Information is data which is changed into

meaningful output through a process

Technology on the other hand, refers to the use of

hardware and software to meet the requirements of
the system ( e.g. Buisness organization )

Mr. Joseph Ecklu (DCS)

 Fundamentals of Information
Technology ( IT )

describes the equipment used to

capture, store, process, transmit or present
information.

Some important Technologies required include :-

• 1. Computer
• 2. Data
• 3. Communication devices
• 4. Application Systems

Mr. Joseph Ecklu (DCS)

 COMPUTER

Recall the John von Neumann Computer

Architecture
INPUT PROCESS OUTPUT

INFORMATIO
DATA N
PRIMARY
MEMORY

SECONDARY
STORAGE

Mr. Joseph Ecklu (DCS)

 COMPUTER

• Supercomputers
• Mainframes
• Mini computers
• Microcomputer or Personal Computer (PC)
systems
• Servers
• Microcontrollers / Embedded Systems

Mr. Joseph Ecklu (DCS)

 COMPUTER
Typical features
• are one of the fastest computers currently available
• are very expensive and are employed for specialized
applications that require immense amount of
mathematical calculations (number crunching).
– For example, weather forecasting, scientific
simulations, (animated) graphics, fluid dynamic
calculations nuclear energy research, electronic design,
and analysis of geological data (e.g. in petrochemical
prospecting).
COMPUTER

Supercomputer
 COMPUTER
: Typical features
• is used to describe large computer systems
• Traditionally been used for decades
• Have vast processing and data handling systems
• Incorporate a number of Central Processing Units
(CPUs)
• Large organizations use them
• In most cases, are the central computer of a
national network
• Need high professional technical support

Mr. Joseph Ecklu (DCS)

 COMPUTER
• Need environmental conditions such as air
conditioning to maintain high level of
performance
• Originally, the idea of a mainframe involved a
computer configuration in an organization
which might have a number of smaller
computers linked to it and serving it.
 COMPUTER
• the main frame is the workhorse of the business
world
• allows hundreds of people to work at the same
time on the same data.
 COMPUTER
: Typical features
• similar in nature to mainframes
• do not require high technical maintenance or their
own specialised environment as mainframes do
• tend to have a lower initial capital and
maintenance cost
• a number of mini computers may be linked
together to give the combined processing
capability of mainframes

Mr. Joseph Ecklu (DCS)

 COMPUTER
• the minicomputer has become less import since the
PC has gotten so power on its own
• In fact ,the ordinary new PC is much more powerful
than minicomputer used to be
• Originally this size was
developed to handle specific
task, like engineering and
Computer Aided-Designs(CAD)
calculations, which tended
to tie up the mainframe.
 COMPUTER
: Typical
features
• micro means small
• quite small in physical size compared to its
predecessors – mainframe, minicomputers
• portable machines
• are becoming smaller yet powerful
• the machines dedicated to single-access
(personal) applications
• basically, consists of microprocessor ( version of
Central Processing Unit ), monitor, keyboard and
mouse

Mr. Joseph Ecklu (DCS)

 COMPUTER
• a number of microcomputers may be linked together in a
Local Area Network ( LAN )

• the price far less than that of its predecessors –

affordable by the individual
• do not require high technical maintenance or
their own specialised environment as
mainframes do
• tend to have a lower initial capital and
maintenance cost
 COMPUTER
• Office microcomputers are called Personal
Computers (PCs)
• the top of the range models are referred to as
workstations e.g. SUN and Apollo systems.

desktop
Laptop / Notebook
 COMPUTER
•
• – flat based system unit
➢ these are small computers with system units that
can fit next to a desk, on a desktop, or can be
carried around.
• – tall system unit
➢ they have system units that are higher than they
are wide and can be placed on the floor.
•
➢ this is a portable PC, may be either AC-powered,
battery powered, or both.
➢ These computers are ideal for users who have to
work away from home.
➢ Combines PC power with mobility.
 COMPUTER
•
➢ they are smaller notebooks with less display/monitor and
keyboard capabilities to enable less weight.
➢ they typically have an external floppy disk drive.
•
➢ they are much smaller than subnotebooks.
➢ they combine pen input, writing recognition, personal
organizational tools, and communication capabilities in a
very small package (palmtops / electronic organizers)
•
➢ PCs are now found in most businesses either used as
machines or connected to a as Local
Area Network (LAN)
➢ A LAN connects, usually by special cable, a group of PCs
and peripheral devices in an office or a building
 COMPUTER
Flat based System
Unit Tower System Unit

Basic Personal
Computer

PCs in a Local Area Network

 COMPUTER
Typical features
• are also single-user computers like PC but are typically
linked together to form a Local-Area Network
• they can also be used as stand-alone systems
• generally come with a large, high-resolution graphics
screen, large amount of RAM, inbuilt network support,
and a graphical user interface
• most workstations also have a mass storage device
such as a disk drive
• but a special type of workstation, called a diskless
workstation, comes without a disk drive
 COMPUTER
Typically used for
• engineering applications(CAD/CAM)
• desktop publishing
• software development, and
• other such types of applications which require a
moderate amount of computing power and
relatively high quality graphics capabilities.
 COMPUTER
Typical features
• In a technical sense, a is an instance of a
computer program that accepts and responds to
requests made by another program; known as a
• Less formally, any device that runs server software
could be considered a server as well.
• In most LANs, one PC is assigned the role of server, meaning
that it stores data and software for use by the other PCs and/
or performs services for them, such as printing

• Servers are used to manage network resources.

 COMPUTER
• For example, a user may setup a server to control
access to a network, send/receive e-mail,
manage print jobs, or host a website.
• Some servers are committed to a specific task;
often referred to as dedicated.
• As a result, there are a number of dedicated
server categories, like print servers, file servers,
network servers and database servers.
 COMPUTER
• Because they are commonly used to deliver services
that are required constantly, most servers are never
turned off.
• For such tasks a computer would need to be
somewhat more capable than a desktop computer.
It would
• Need:
1. More power
2. Larger memory
3. Larger storage capacity
4. High speed communication
 COMPUTER
•
➢ These are also called

➢ They are tiny computers installed in or

appliances like pocket calculators, the
microwave ovens, traffic lights, radios and more.
➢ They are dedicated to performing a restricted
number of tasks
 COMPUTER

•
– The speed of computers is seen when we consider that
problems which require days, weeks, or years to solve
by man
– This is conceivable when we consider that a single
arithmetic operation(e.g. 40 + 7) can be solved and
stored by a computer in few milliseconds whereas a
mathematician will need a few seconds to do same
and record( or store ) on paper
 COMPUTER
•
– Once a computer is provided with the correct
instructions, the planned operations can be repeated
millions of times without a single error.
– Computers make errors only when there is a breakdown
in the computing system, or when there is human error in
the prepared instructions.
– Once the human errors get corrected, the computer
again operates without error.
 COMPUTER
•
– Computer systems can store tremendous amounts of data,
making it possible to
efficiently sort data
find data
retrieve data
at lightning speed.
– The capability to store volumes of data is especially
important in an information age.
 COMPUTER
•
• The three already discussed
- speed
- accuracy and
- storage capability,
are the fundamental capabilities of computers.
• But there are by-products of computers that are just as
important, especially for business organizations :-
 COMPUTER

•
•
•
 COMPUTER
•
•
– computers can increase productivity, especially where
dangerous, boring, or routine tasks are involved.
– In offices, the first hoped-for change, with the introduction
of computers, is increasing productivity as workers learn
to use computers to do their jobs better and faster
•
– to make essential business, scientific and governmental
decisions, managers need to take into account a large
variety of financial, geographical, logistical and other
factors.
– Using problem-solving techniques originally developed by
humans, the computer helps decision makers things
out, the and make better choices
 COMPUTER
•
•
– because it improves productivity and aids decision
making, computers help to eliminate wasteful
practices and hold down the cost of labour, energy
and paperwork.
– Portability of systems enables the user to make
greater use of the system therefore reducing the cost
per process
 include
• internal sources
( data generated by the activities done within the
organization and available in the organization )
• external sources
( data from stakeholders and statutory organizations
available to the organization)

and may be primary data or secondary data

Mr. Joseph Ecklu (DCS)

 • The access to data is critical
• The development of a centralised database via a
communication link would help to improve the access.
• can be
successfully applied to the use of external sources
provided by the Internet
• along with the internal development of
which allow exception reporting and
the filtering of information

Mr. Joseph Ecklu (DCS)

 Data capture is the point at which the data enters the system.

•
The keyboard is the most common type of input method;
although users often find them time consuming,
uncomfortable and prone to error.
•
the user places the input onto scanner and an optical
device will scan the document that will then be entered
onto the system
Mr. Joseph Ecklu (DCS)
 •
software will be required and it is supplied with the
hardware to allow this process to take place.
The computer has the ability to read and decipher
individual characters, therefore can successfully edit like a
word processor reducing the time required to enter text.

Mr. Joseph Ecklu (DCS)

 •
areas of a document are shaded
the document is then fed through a sensor and the computer then
records the responses against the position which is installed within
the system,
these two will be matched to enable a score or mark to be calculated.
The best example of this type of system is when an examination body
such as the West African Examinations Council (WAEC) uses multiple
choice questions and the candidate are asked to responds by
selecting an option and shading with an HB or 2B pencil.

Mr. Joseph Ecklu (DCS)

 •
These are series of lines and gaps, which have different
widths; they represent an individual item.
Many manufacturers produce items with labels with a bar
code printed on them.
The result of Bar coding technology is that it has
completely revolutionised the retailing industry with the
introduction of
this is when the bar coding system is linked to a magnetic
swipe system to speed up the purchase and payment of
items

Mr. Joseph Ecklu (DCS)

 Bar coding have greatly improve the handling of data, stock
handling and accuracy of forecasting. (Insert bar code)

• –
this is a system where data is encoded onto a magnetic
strip This information cannot be seen by the human eye.
The only way that the information can be read is when it is
swiped through a machine known as a
. This type of data capture device is used
extensively in the payment system such as debit and
credit cards and also as an

Mr. Joseph Ecklu (DCS)

 entry mechanism to rooms, hotels and offices to reduce unauthorised
access as well as the e-zwich system just introduced in Ghana. (Insert
e-zwich)

•
these items of hardware allow the user to input large volumes of data
by voice; i.e. the user speaks in to the , the system inputs
the speech and turns it into words, which can then be viewed on
screen.
The enables the user to play back the recording and edit as
required.
These elements of hardware have also become the basis of systems
such as

Mr. Joseph Ecklu (DCS)

 is the analysis and organization of data by the repeated use of one or more
computer programs.

• is used extensively in business, engineering, and science, and to an

increasing extent in nearly all areas in which computers are used.
• Business uses it for such tasks as payroll preparation, accounting, record
keeping, inventory control, sales analysis, and the processing of bank and
credit card account statement.
• Engineers and scientist use it for a wide variety of application, including the
processing of seismic data for oil and mineral exploration, the analysis new
products design, the processing of satellite imagery, and the analysis of
data from scientific experiments.

Mr. Joseph Ecklu (DCS)

 1. Database processing and
2. Transactional processing

• 1. Database processing
• A database is a collection of common records that can be searched,
accessed, and modified
• Examples of such records - bank account records, school transcripts, and
income tax data
• In database processing, a computerized database is used as the central
source of reference data for computations

• 2. Transactional processing
• refers to interaction between two computers in which one computer
initiates a transaction and another computer provides the first with the data
or computation required to function.
Mr. Joseph Ecklu (DCS)
 •
• Most modern data processing uses one or more databases at one
or more central sites.
• Transaction processing is used to access and update the
databases when users need to immediately view or add
information
• other data processing programs are used at regular intervals to
provide summary reports of activity and database status.
• Examples of systems that involve all of these functions are
Automated Teller Machines (ATM), Credit Sales Terminals, and
Airline Reservation Systems.

Mr. Joseph Ecklu (DCS)

 There are two ways data can be processed.
1. Batch Processing and 2. Real time processing

• This type of processing has been associated with mainframe centralised

type systems.
• Batch processing is the collection of a group of similar transactions over a
period of time, and their processing at a single time as a batch.
• It remains though as an important form of processing as many systems
currently in use are based on batch processed systems.

Mr. Joseph Ecklu (DCS)

 • is the processing of individual transactions as they occur without the need
for batching them together

• allows the user to up date the master files immediately

• An example is the purchase of a flight ticket on an airline

- the seat will be removed from availability as soon as the ticket has been
raised. The recorded level on the master file and the actual level within the
aeroplane will be exactly the same therefore improving the accuracy and
integrity of the information held on the file.

Mr. Joseph Ecklu (DCS)

 • This is becoming vital to provide the continuous flow of information that we
often require to make our decisions.
• It may include the consideration of digital connections such as WiFi, ISDN to
improve the speed and quality of communication and enable the organisation to
develop opportunities such as teleconferencing.

The method of data communication is important as it will enable the receiver to

easier pick up and interpret the information given by the system.

Mr. Joseph Ecklu (DCS)

 :

• :
This is the physical output from the system and a printer is required this
hard copy can then be used as the evidence of the output.

•
This is when the user receives the information on screen
this type of communication is quick and easy when the user has only a small
amount of information to use e.g. email message confirming a meeting.

•
This may be used effectively to communicate the response from a task that
has been performed such as the confirmation of a ticket payment or ATM
(automatic teller machine) cash withdrawal.

Mr. Joseph Ecklu (DCS)

 The following are some other ways in which the user may receive information:
•
This is when people meet to discuss issues.
it can be both formal and informal examples include, meetings, presentation,
lecture or conversation

• :
This is the most widely used type of communication within the organisation as
it will provide evidence to the decisions made by staff
Examples include reports, letters, agenda, minutes and memos; to improve the
communication of written information a word processing package such as
Microsoft Word may be used
•
This method of communication enables people to pass on verbal information
for example a telephone conversation.
Mr. Joseph Ecklu (DCS)
 •
Communication will occur when staff meet together physically to discuss
issues either formally or informally.
This type of communication will allow important body language to be
interpreted such as the reaction to a proposal at a meeting.

•
This is perhaps the most important type of communication; it does not replace
the above types but helps to improve their efficiency.
For example a system of teleconferencing may be used to enable staff to hold
a meeting without staff having to travel long distances. This can increase the
speed of decision-making and reduce costs.
Other examples of electronic communication include email, voice mail, word
processing and Internet (chat rooms or message boards)

Mr. Joseph Ecklu (DCS)

 These will include the development of application systems such as
- Management Information System
- Decision Support System
- Executive Information System
- Payroll System

that will enhance the technologies being used in the organisation.

Mr. Joseph Ecklu (DCS)

 Fundamentals of Information
Technology
( IT ) : Summary

In this topic , I have discussed with you the fundamentals of information

technology. You have learnt the various Technologies namely computer, data,
communication and application systems. These are the technologies required to
capture, store, process , transmit and present information. Each of the technologies
was discussed extensively and you will on your own explain what an Information
Technology is.

Mr. Joseph Ecklu (DCS)

 Q1. Define Information Technology.

Q2. Differentiate between data and information.

Q3. Name one Ghanaian business organization and

describe any 10 of its data requirement.

Q4. Consider the monthly payroll system of Ghana

Government employees.
a. List any 10 employee data elements that would be
required to prepare the payroll.
b. Identify and describe any five important
calculations that could be done during the
processing of the monthly payroll.
c. List any 10 pieces of information that could
be generated by the payroll system.
Mr. Joseph Ecklu (DCS)
 Q5. Name the data capture devices appropriate for the
following operations and explain why –
i. Customer input at a Bank’s ATM terminal.
ii. Transactions at a Shop’s Point of Sale
iii. Identify and bill vehicles at an Electronic Toll Gate.
iv. Customer service for an Airline Reservation
System.
v. WAEC shaded MCQs for Electronic marking.

Q6. Give two practical examples each, of

i. Batch Processing
ii. Real Time Processing

Q7. Name any four types of microcomputers used by

modern businesses and identify their comparative
advantage(s).

Mr. Joseph Ecklu (DCS)

Session 2 – Understanding
Organizational Information
Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Session Overview
• You have learnt from the previous topic that IT describes
the equipment used to capture, store, process and
transmit or present information. In this topic, I shall help
you to understand ways in which the manager makes
use of the information provided within the organisation.
In addition, sources and qualities of organisational
information shall be discussed.

Mr. Joseph Ecklu (DCS)

 Session Objectives
By the end of this section, you should be
able to
• distinguish between data and information
• identify the information requirements of
organisations
• identify the sources or organisational
information
• state the qualities of good information
Mr. Joseph Ecklu (DCS)
 Reading List
• ADMN303 – Computer Applications In Management by
Afari-Kumah E. (Unit 1 Session 1 to 6)

Mr. Joseph Ecklu (DCS)

 DATA AND INFORMATION
The difference between data and information should
be understood as they have very different meaning
and the words are often used interchangeably.

• Data is the raw facts or input into the system from

which information can be derived.

• Information is the output from the processing

system that adds an increment in knowledge to
the user and has value to them.

Mr. Joseph Ecklu (DCS)

 All organisations require information for a range of
purposes including
• Planning
• Recording
• Controlling
• Decision making
• Evaluation

Mr. Joseph Ecklu (DCS)

 • –
– the manager may be required to plan the costs and
benefits in association with the purchase of a new
capital item
– the manager will research the various relevant costs
and use modelling software such as a Electronic
Spreadsheet to design the various alternatives to the
decision
– this approach will enable them to plan and review the
output before the implementation of the decision
takes place

Mr. Joseph Ecklu (DCS)

 •
– recording the information is very important, as it will
become the evidence needed for further reference
and decisions
– a plan such as the one described above is the formal
process by which the organisation is able to ensure
that their targets and goals are achieved
– if the process of recording information is
computerised the process of communicating that
information as evidence becomes easier e.g. email
the manager with document attachments

Mr. Joseph Ecklu (DCS)

 • –
– is not possible unless there is a plan in place against
which the output can be compared

– for example the plan would have laid out the

expected costs over a period time, as the costs are
incurred the manager can them against the
details within the plan therefore enabling them to take
action

Mr. Joseph Ecklu (DCS)

 •
– I shall discuss decision making extensively in section
5

• –
– the recorded information will then enable the
manager to evaluate the performance of the decision
that resulted from having that information
– the evaluation process is vital for the success of the
business, where the expected objectives are
compared to the actual performance.
Mr. Joseph Ecklu (DCS)
 Basically two sources of information

•
•

Mr. Joseph Ecklu (DCS)

 •
Internal information is generated by the organization.
Examples are
inventory levels
cash flow
customers
orders
personnel
sales

Internal information is entered into system by keyboard

operators or through the use of scanners
Mr. Joseph Ecklu (DCS)
 • Other sources of information include: -
–
–
–
–
–

Mr. Joseph Ecklu (DCS)

 • Financial information –
– information produced from the finance function
– may include the costs, profits, budgets, and cash flow
and investment forecasts
– master files within the department may include the
purchase and nominal ledgers which will be updated
by the internal transactions which take place within
the function including purchase orders, cash from
customers, and cheques payments to suppliers.

Mr. Joseph Ecklu (DCS)

 • Marketing information –
– the marketing and sales department are a primary
function within the organisation
– the information provided by these departments is
vital to the continued success and profitability of the
business
– examples of information produced include marketing
surveys; discount trends and product costs,
geographical reports area by area

Mr. Joseph Ecklu (DCS)

 • Production Information –
– the production department is also a primary activity and
information provided by the information systems within this
department will improve the ability for the organisation to
reach its production targets and objectives
– the information provided will include job costing, lead times,
material usage and wastage

• Human Resource Information –

– the Human Resource department is a support activity adding
value to the operations of the business
– the department will be responsible for providing information
relating to the costs and welfare of the staff employed
throughout the organisation, information provided include
costing allocations, appraisal reports and job specifications.

Mr. Joseph Ecklu (DCS)

 • –
– the organisation may decide to develop an Intranet
– this system uses the same principles as the Internet as it
enables the user to browse through a number of pages of
information
– the intranet will only be available to the staff that works
within the organisation
– For example there may be a number of regions within the
organisation each producing similar products or services,
each region may develop its own pages of information
relating to its structure, staff and objectives
– staff working in other areas of the business may be able to
access these pages and review them and as a result be
able to increase their knowledge in relation to the
operations of other parts of the organisation.

Mr. Joseph Ecklu (DCS)

 All of the above internal sources of information will
enable the organisation to create a database that
can be accessed on network systems.

This database will become a corporate asset to be

used by the organisation to achieve strategic
competitiveness such as Target Marketing.

Mr. Joseph Ecklu (DCS)

 •
– External information is information about market
trends, the economy, competitors, and mailing lists of
potential customers.
– They are available from news sources (Graphic Business,
Business and Financial Times, among others.
), company publications, industry magazines, and
increasingly through the World Wide Web.
– There are a number of external sources of information
which should be considered. These areas are becoming
more and more important as the market for a company’s
products and services grow into a worldwide market.

Mr. Joseph Ecklu (DCS)

 •
–
–
–
–
–
–

Mr. Joseph Ecklu (DCS)

 • Trade Magazines –
– specialist magazines may be used to allow the
manager to access information relating to a special
area of knowledge
– the problem of accessing this information can be
reduced with the use of a CD-ROM or the Internet as
magazines can take time to source information due
to the sequential nature of the organisation.
– Some examples include Newsweek, ZAIN magazine
among others.

Mr. Joseph Ecklu (DCS)

 • Advertisements –
– placed by other companies operating in a similar
environment may become a valuable source of information
for managers in their decision making process enabling
them to evaluate and compare their own adverts with those
of their competitors.

• Internet –
– the Internet is a global network of millions of business and
individual users who wish to gain access to shared
information and communicate with each other
– a search engine will need to be used to allow the user to
search through the information on the Internet to allow the
manager to complete their research, an example is google.
com.

Mr. Joseph Ecklu (DCS)

 • Other people
may become an important source of information
specialised consultants may be contacted when the information
required is lacking internally within the organisation
Examples may include lawyers, market consultants and
accountants.

• Specialised databases –
– the information provided on the Internet may be too general for the
manager and may take too long to source therefore the
organisation may subscribe to specialist database services.
– An example could be DataStream who is a provider of financial
information to the service sector allowing the user to search
information relating to competitors and markets.
– Example Jstor.com, Ebsco,

Mr. Joseph Ecklu (DCS)

 • Trade associations –
– the organisation may belong to an industry that has
its own trade association
– this group would provide information that relates
specifically to that industry and would notify all
organisations of changes in legislation or technology
which may affect them
– Example Association of Ghana Industries (AGI),
Private Enterprises Foundation (PEF), among

Mr. Joseph Ecklu (DCS)

 The quality of information provided to management is
vital for the manager to make accurate and successful
decision.

include:
• Accuracy
• Timely
• Cost effective
• Communicated to the right person
• Communicated via the right channel
• Concise
• Clear
• Complete

Mr. Joseph Ecklu (DCS)

 •
– this relates to the preciseness of the
information such as the number of decimal
points within a report or the accuracy of the
level of stock
– Are the figures yesterdays or today’s levels?
– the higher the level of manager the less
information can be precise, as often, these
managers are dealing with external factors
which are almost impossible to predict in terms
of the accuracy.

Mr. Joseph Ecklu (DCS)

 •
– the information must be provided at the right time i.e.
before the manager makes the decision.
– The time flexibility will vary depending on the level of
management i.e.
– the lower level operational manager will require
information which is immediate to support their
decisions
– whereas higher level managers have a flexibility built
in i.e. monthly information.

Mr. Joseph Ecklu (DCS)

 •
– the cost of collecting and processing the information must be
perceived as being less than the benefit derived from having
the information
– If for example the cost of collecting the data is GH¢50 and the
benefit from having that information is GH¢30 then the
information is not cost effective and the decision should not
be carried out

•
– this is where the person who needs to use the information to
make a decision is the person who actually receives it
– If for example the accounts manager is expecting an email
concerning the payment of an outstanding customer debt
and the email goes to the sales manager then the information
has no value to either of the managers

Mr. Joseph Ecklu (DCS)

 •
– there are various methods of communication available to the
manager including email, letters by post and fax the method
used will depend on the speed of the desired information
– If the manager is expecting a certain type of communication
such as fax and another type is used, there is a chance that
the manager may not receive it at all.
•
– this quality of information relates to the level of detail in
which the information is provided for example in graphical or
report format
– Usually the higher level of manager the more summarised the
information enabling them to quickly assimilate the
information and make their decision quickly.
– A lower level manager requires high levels of detail due to the
high degree of accuracy required to make their decision.

Mr. Joseph Ecklu (DCS)

 •
– can the person who receives it understand the
information?
– Is the information presented in a clear and easy to
understand format such as can their handwriting be
understood.
•
– has all the information necessary to make the decision
been included within the documentation
– Often the more summarised the information the more
information will be omitted and there be a need for the
manager to drill through the information to increase the
completeness.

Mr. Joseph Ecklu (DCS)

 •
– this relates to the preciseness of the
information such as the number of decimal
points within a report or the accuracy of the
level of stock
– Are the figures yesterdays or today’s levels?
– the higher the level of manager the less
information can be precise, as often, these
managers are dealing with external factors
which are almost impossible to predict in terms
of the accuracy.

Mr. Joseph Ecklu (DCS)

 Understanding Organizational
Information - Summary

In this topic, you have learnt to distinguish between

data and information and also identified the
purposes of information requirements by
organisations. In addition, sources of organisational
information and as well as the qualities of good
information were discussed.

Mr. Joseph Ecklu (DCS)

 Q1. With reference to the published Semester
Examination results of University of Ghana
students, distinguish between data and
information.

Q2.

Mr. Joseph Ecklu (DCS)

Topic 3 – Systems Theory and
Concepts
Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Topic Overview
• From Topic 2, you have learnt about organisational
information and the importance of such information. In
this topic I shall discuss with you Systems Theory and its
concepts. We shall also discuss the relevance of the
systems theories to organizations and information.

Mr. Joseph Ecklu (DCS)

 Topic Objectives
By the end of this topic, you should be able to
• identify what a system is and provide
examples
• appreciate systems view and system thinking
• understand the systems theory and its
concepts
• look at your environment through systems
perspective and applying these new
principles to the world around you.

Mr. Joseph Ecklu (DCS)

 Reading List
• ADMN303 – Computer Applications In Management by
Afari-Kumah E. (Unit 1 Session 1 to 6)

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

Since a system is a subjective concept, there is no

unanimously accepted definition of a system. In order to
study this phenomenon more closely, we will adopt the
following definitions by Eccles et al (2003):

A system is an organised assembly of components with special

relationships between the components.
– The system does something, i.e. it exhibits a type of behaviour
unique to the system or has a specific objective or purpose.
– Each component contributes specifically towards the behaviour
of the system and is affected by being in the system.
– If a component is removed, it will change the system behaviour.
– Someone has identified the system as being of special interest.

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

An is a system that gathers

and transforms data in order to produce
information for its end-users.
If it is to function successfully, then its developers
and its users must agree on
– the purpose of the system
– its components and
– the relationships between them.

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

• According to Eccles et al (2003), the real essence of

systems theory is being able to look at the world
from a different perspective.
• The systems view involves adopting the reference
framework and the terminology of systems theory
• Trying to apply various analogies with other systems
and checking which of the systems laws and
theories hold for the system of interest.
• System thinking is just a whole new way of thinking
about the world in which you live.
• Being able to adopt this approach is quite an eye-
opener
Mr. Joseph Ecklu (DCS)
 System Theory and Concepts
• Because it takes into consideration both
– the technology of information systems and the
– = the inter-relation of problems and proposed
solutions
• The study of information systems is about solving an
organisation’s problems with respect to its information needs.
• Installing a computer is often a quick fix but may turn out to be
a very sub-optimal solution, not taking into account many of
the human and organisational factors.
• It is proper when solving organizational problems using
computer systems to consider non-technical aspects of the
organization as influencing factors that shapes the technical
solution

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

include
• Environment
• Boundary
• Inputs, Transformation Process and Outputs
• Objectives
• Control and
• Feedback Loops

Mr. Joseph Ecklu (DCS)

 Parts of a System and their
Relationship to each other

What the
INPUTS system does OUTPUT
(PROCESS)
Feed- Forward
Feedback
CONTROL
How the
system is
CONTROLLED

Boundary Internal
System Environment
External
 System Theory and Concepts

•
As soon as we identify a system, our area of interest
– a boundary is automatically defined
– what is inside the boundary belongs to the system
– everything outside the boundary is not part of the
system
– most systems do not exist in isolation
– Systems, or their components, inter-act with the world
outside their boundary
– The part of the outside world with which the system
interacts is called the system’s environment.

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

•
– The interactions of a system with its environment can take
the form of inputs or outputs
– Inputs take the form of material objects, energy and/or
information flowing from the environment into the system
– Outputs are released or sent from the system back into its
environment. This output can either be useful (to some
outside system) or waste.
– Within the system, the inputs usually undergo some kind of
transformation process so that the outputs are different from
the inputs.
– Often, inputs and outputs undergo further specific
transformations at the system boundary; the system
components responsible for these transformations are called
the interfaces.

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

– IS accepts data as input, via an interface such as a

computer keyboard or barcode scanner
– Transformations may be trivial (counting or adding a set of
numbers, copying a set of data)
– Transformations may be slightly more complex (e.g.
drawing a map from co-ordinate data)
– Transformations may be extremely complex (making a
medical diagnosis based on symptoms and signs, deciding
whether to launch a new product range, translating a poem).
– The information outputs of the system will finally be
presented to end users, via an interface such as a computer
screen or a printer.

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

An is a system that gathers

and transforms data in order to produce
information for its end-users.
If it is to function successfully, then its developers
and its users must agree on
– the purpose of the system
– its components and
– the relationships between them.

Mr. Joseph Ecklu (DCS)

 System Theory and Concepts

An is a system that gathers

and transforms data in order to produce
information for its end-users.
If it is to function successfully, then its developers
and its users must agree on
– the purpose of the system
– its components and
– the relationships between them.

Mr. Joseph Ecklu (DCS)

 Understanding Organizational
Information - Summary

In this topic, you have learnt to distinguish between

data and information and also identified the
purposes of information requirements by
organisations. In addition, sources of organisational
information and as well as the qualities of good
information were discussed.

Mr. Joseph Ecklu (DCS)

 Q1. With reference to the published Semester
Examination results of University of Ghana
students, distinguish between data and
information.

Q2.

Mr. Joseph Ecklu (DCS)

Session 5 Internet Security
Issues
Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In Management by
Afari-Kumah E. (Unit 1 Session 1 to 6)

Mr. Joseph Ecklu (DCS)

 Session Overview
• Introduction
security dangers. It is important you appreciate the
issues to be discussed in this section to ensure
that you obtain good return on your investments
into Information Technology

Mr. Joseph Ecklu (DCS)

 Session Objectives
By the end of this Session, you should
be able to
• explain what computer crime is
• identify computer criminals
• identify security issues associated with the
internet

Mr. Joseph Ecklu (DCS)

•
• As establish in the earlier sections, keeping
information private depends on keeping computer
systems safe from criminals, natural hazards, and
other threats.
• Thus threats to computer security in the internet
age include criminals, computer crime, and
hazards.
• A computer is an illegal action in which
the perpetrator uses special knowledge of
computer technology.

– Five types of computer criminals can be

identified. They are
•
• The largest category of computer criminals
consists of those with the easiest access to
computers-namely, employees.
• Sometimes the employee is simply trying to
steal . something from the employer-equipment,
software, electronic funds, propriety information,
or computer time.

• Sometimes the employee may be acting out of

resentment and is trying to get back at the
company.
•
• Not only employees but also some suppliers or
clients may have access to a company's
computer system.

•
• . Some people think of these two groups as
being the same, but they are not.
• are people who gain unauthorized
access to a computer system for fun and
challenge of it.
• do the same thing but for malicious
purposes.
• They may intend to steal technical information or
to introduce what they call a bomb- a destructive
computer programe into the system.
•
• An increasing problem often associated with
remote access is that of viruses.
• Viruses can be transmitted via a network system
when emails are sent with a file attached; also the
Internet is becoming an increasing source.
• Many recent worldwide virus infections have
increased the profile and awareness of both
companies and users. We can never be 100%
certain of never obtaining a virus unless the
computer system can be completely isolated.
• Sources of viruses include the use of floppy disks to
transfer data, Internet (a number of web sites have
been created specifically for the purpose of
transmitting viruses) and games as these types of
software are rapidly transferred within the
organization.
• To reduce the risks a number of controls may be
implemented including:
– All incoming mail, web files
and floppy disks are scanned to determine if a
virus has infected them. If a virus is detected
then the software will identify the file, repair
and destroy the virus.
– The organization will need to update the software
regularly as the scans will only detect 'known'
viruses, therefore by updating newer viruses can
then be identified and destroyed.
– the organization may have a
policy of no games use within the organization and,
anyone found to be using a game or copying one
might face disciplinary procedures.
– There are two main reasons for this control one, to
reduce the chance of a virus being introduced
through the use of a game and also to reduce the
amount of that staff may waste playing them
during office hours.
– this control is quite difficult
to implement and may rely on the removal of
all drives from pcs.
– As you can imagine this may be a problem as
there may be occasions where there is a need
to make use of floppy disks to install software
and access data.
•
• A scam is a fraudulent or deceptive act or
operation designed to trick individuals into
spending their time and money from little or no
return.

• An internet scam is simply a scam using the

internet. Internet scams are becoming a serious
problem and have created financial and legal
problems for thousands of people. All the
and the "419" fall in this category
•
• A DoS attack attempts to slow down or stop a
computer system or network.

• A DoS attack floods a computer or network with

requests for information and a data.

• The targets of these attacks are usually internet

service providers (ISPs) and specific websites
•
• This section has been devoted to explaining
what computer crime is and identified computer
criminals. Take some 30 minutes break and
come back for us to continue with Section 5.
 Trial Question
• Enumerate five measures you will put in place to
minimize the effect of viruses.
Session 6– Security, Social, and Ethical
sues in Information Systems

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Session Overview
• In order to be responsible with information people
must understand the importance of ethics in the
ownership and use of information, the importance
of personal privacy and the ways in which it can
be compromised the impact on society that the
growing volume and accessibility of information
has had, threats to information and the security
measures that can be undertaken to protect
against them.
• These topics would be discussed in detail in this
unit.

Mr. Joseph Ecklu (DCS)

 Session Objectives

• This unit will cover the following topics:

• Section 1 Moral Dimensions of IS
• Section 2 Security
• Section 3 Risk Management
• Section 4 Internet Security Issues
• Section 5 Ergonomics

Mr. Joseph Ecklu (DCS)

 Reading List
• ADMN303 – Computer Applications In Management by
Afari-Kumah E. (Unit 1 Session 1 to 6)

Mr. Joseph Ecklu (DCS)

•
• The use of information technology presents
major security challenges, poses serious ethical
questions, and affects society in significant ways
 Objectives
By the end of this section , you should be able to
• understand the social, ethical and political
effects of Information Systems .
• appreciate the moral dimensions social, ethical
and political effects of Information Systems
•
• Ethics are the rules and principles that govern the
conduct of a person.

• Ethics have to do with fairness, and what is right and

wrong.

• This is easy to state but quite often in practice this is

not so simple since some situations are complex or
ambiguous.
• Ethical problems normally come in
shades of grey and are not black or white

• Ethical guidelines such as the following (O'Brien

& Marakas, p.438) help business professionals
to act in an ethical manner, but they are not the
definitive answer:
• acting with integrity
• increasing your professional competence;
• setting high standards of personal performance;
• accepting responsibility for your work; and
• advancing the health, privacy, and general
welfare of the public.
• Diagram 1.1: The relationship between ethical,
social and political issues in an information
society
• Laudon & Laudon (2004, p.147
• Diagram 1.1 also illustrates the main five moral
dimensions raised by information systems. These
moral dimensions are:
• Information rights and obligations (information that
pertains to oneself),

• Property rights (intellectual property and copyright),

• Accountability and control (who is accountable for
individual & collective property rights),
• System quality (standards to safeguard individuals
and society),
• Quality of life (cultural values that should be
preserved).
• Information technology has had a major impact
on society in both positive and negative ways.
Some of the benefits of information technology
have been:
• Opportunities for people with disabilities
• Quality of Life improvements
• Improvements in health care
• Crime fighting
• Access to governmental and other services for
citizens in remote locations
• Online access to education
• Some of the problems with information technology
which include the privacy issues mentioned above are:
• Scanning crowds for criminals

• Cookies and individual privacy

• Possible massive unemployment resulting from the

increased use of IT
• The digital divide or gap between those who have
technology and those who do not.

• Impact of globalization on culture .

•
• I discuss with you the social, ethical and political
effects of Information Systems as well as made
you to appreciate the moral dimensions social,
ethical and political effects of Information
Systems in this section
 Trial Questions

• Identify and discuss the five moral dimension

raised by information systems.
 2 Security

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In Management by
Afari-Kumah E. (Unit 1 Session 1 to 6)

Mr. Joseph Ecklu (DCS)

 Session Overview
• Security is an issue for any organization whether their
systems are computerized or manual.

• With the increase in the use of computer based

information systems, there has also been a
subsequent increase in the issue of security.
• This will especially be the case if the organization
makes use of the Internet, wide area networks or
maintains the computer systems in a number of
locations. Security would be discussed in this section.
Mr. Joseph Ecklu (DCS)
 Session Objectives
By the end of this Session, you should be able to
• what security is and why information systems
needs it
• identify the various types of .threats to
information systems
• specify how each of the threats should be
controlled.

Mr. Joseph Ecklu (DCS)

•
• Security generally can be said to be the protection of
data from accidental or deliberate threats and the
protection of an information system from such
threats.
• Security, however in information management terms,
means the protection of data from accidental or
deliberate threats which might cause unauthorized
modification, disclosure, or destruction of data, and
the protection of the information system from the
degradation or non-availability of services.
• Security can be subdivided into a number of
aspects. These are
• It is in practice impossible to prevent
all threats cost-effectively
• Detection techniques are often
combined with prevention techniques: a log can
be maintained of unauthorized attempts to gain
access to a computer system .
• . As an example; computer misuse by
personnel can be made grounds for disciplinary
action.

• . If the threat occurs, its

consequences can be contained.
• . These ensure the
vulnerability is dealt with.

• . This might mean changing the

design of the system.
• Two main categories of threats to an information
system can be identified. These are
threats and . I shall now
take turns to explain each of them.

•
• Physical threats to security may be natural or man made.
They include fire, flooding, weather, lightning; terrorist
activity and accidental damage. These are risks that
threaten the physical environment in which the
information system is located. A physical threat may
cause damage either to the computer system itself or
to the building in which it is contained.
•
• For an individual or organization to be able to
control a physical threat information system, they
have to implement any of the following controls

• . You can use extinguishers, smoke detectors,

and also use anti-flammable materials and
cameras. Many organizations are making use of
these controls to maintain safety of the people
who work within the organization and to reduce
the damage to manual and computerized data.
• : e.g. flooding. The location is the
main precaution against damage from flooding;
Computer systems should not be located in a
basement or under a flat roof.
• . Older computers such as
mainframes are more susceptible to temperate
changes therefore air conditioning may be required.
Modern computers such as PCs will require regular
cleaning and policies over eating at workstations.
These controls will help to ensure that the system is
operating 100%
•
• Physical access controls are ones that may
include ensuring the safety of staff and visitors or
the control of movement within a building or
department.

• The more locations an organization has for its

information systems, the greater the risk of
physical access as essentially the organization
has to maintain more controls over the access
points to the organization.
• A number of physical access controls may be used.
These include:

• . All employees have a badge with

their photograph, employee number written on it.

• Any visitor to the organization also carries an

identification card or visitors pass.

• This will improve the identification of unauthorized

people within the organization.
• log all movements of
personnel within the building, physical deterrent
to unauthorized access they are also likely to be
responsible for monitoring the images provided
by cameras and closed circuit television (CCTV)

• . Employees have keys to

individual areas within the building.
• . Entry to a certain part of
the building may require a person to enter a
password or a sequence of numbers, magnetic
swipe systems; finger print sensing may also be
used.

• Many organizations are increasing the use of these

types of controls, although they are perhaps more
expensive to implement they do have the added
advantage of reducing operating costs such as the
replacement of cards rather than locks and keys.
•
• People are at the heart of all security systems.
These threats are increasing as more
organizations opt for the use of networks to store
and share data over large areas.

• access in these cases can be made

from a number of locations and is known as
and ranges from of data increasing
as more organizations opt for the use of networks
to store and share data over large areas.
• Unauthorized access in these cases can be
made from a number of locations and is known
as hacking and ranges from theft of data to
inserting viruses onto the systems.

• Therefore the organization will need to consider

the controls that it will need to implement to
reduce the following risks namely, Theft,
Remote access, and Viruses.
•

• .
•
• Theft is becoming an increasing issue for
organizations as equipment becomes more
portable (downsized equipment such as PCs
and Notebooks) making them easier to remove.
Some of the ways protect your equipment
against theft are discussed below:
• . The main reason for theft is
that the organization is unable to keep an
accurate inventory on the location of its
equipment, i.e. an employee leaves the
organization and they fail to hand over the
machine, as there are no controls in place there
is little chance of recovering the hardware.
• . Smaller more valuable pieces are locked
away requiring the entry of a physical security a
swipe card etc.
• . Make the
equipment more difficult to remove by making the
equipment physically larger.
• . This is an expensive method of
security therefore most useful to more expensive
pieces of equipment, when they are removed an
alarm sounds.
• Such as electronic entry
systems to reduce the unauthorized physical access
to the information system.
•
• A risk to equipment and resources within the
organization may come from people, either employees
or people who independently find their way into the
organization.

• The organization needs to consider the use of remote

access controls. This remote access is often referred to
as hacking and is an increasing risk due to the
installation of network systems giving people the ability
to access data from a location remote to the server.
• The provision of information to staff such as a
password also gives them the knowledge and
ability to access information for unauthorized
purposes. The main control for the reduction of
remote access risks is the development of a
logical Access system.

• Some of the ways protect your equipment using

logical Access systems are discussed below:
• Passwords. These are sequence of letters or
numbers or perhaps a combination of, which
prevent the access to data from remote location,
restrict to authorized personnel.

• Passwords are an effective way or restricting

access but often they can be long and forgotten,
the organization must have a proper policy in
place for the use of its passwords
• The introduction of this type of control is the
most common that adds to the problems as
often we have too many passwords increasing
the chance of confusing their use.
• After a period of inactivity the PC switches onto
a screen saver, requiring the input of a valid
password to continue use. This will help to
prevent the use of a terminal by another member
of staff seeing that the terminal is vacant and is
currently connected to the server.
• Often the length of time to shut down is linked to
the sensitivity of the data e.g. the higher the
sensitivity the shorter the shut down time.

• The length of time for the shutdown will need to

be investigated as the shorter the time the more
frustrating for the user as they will have to keep
logging back onto the system interrupting the
flow of their work
• . Data can be coded during
transmission and storage; therefore if access is
made to the data it has little value without the
cipher to decode the data.

• This approach increases both the time to access

the data and costs of data handling therefore
most suitable to be applied to sensitive data.
• Dial back.
• When the user makes a request for data the
system will not provide the user with their
requirements immediately but the central
computer will call or dial back the user to
authenticate the terminal.

• This helps to prevent the hacker gaining access

through a number of systems to disguise their
tracks. If the computer is unable to dial back to
the user in the location that they specified, the
access is denied.
• Systems log.
• Each time a transaction is made the computer
system makes a record of the date, time,
terminal and user 10. This record helps the
auditor to determine when transactions were
made and by whom.

• If an anomaly is found then they are able to trace

back the transaction to its source.
• Data encryption. Data can be coded during transmission and
storage; therefore if access is made to the data it has little
value without the cipher to decode the data. This approach
increases both the time to access the data and costs of data
handling therefore most suitable to be applied to sensitive data.
• Dial back. When the user makes a request for data the system
will not provide the user with their requirements immediately
but the central computer will call or dial back the user to
authenticate the terminal. This helps to prevent the hacker
gaining access through a number of systems to disguise their
tracks. If the computer is unable to dial back to the user in the
location that they specified, the access is denied.
• Systems log. Each time a transaction is made the computer
system makes a record of the date, time, terminal and user 10.
This record helps the auditor to determine when transactions
were made and by whom. If an anomaly is found then they are
able to trace back the transaction to its source.
•
• In this section, I have discussed with you what
security is and why an information system needs
it. I went on to identify the various types of
threats to information systems and how each of
the threats should be controlled.
 Trial Questions

• You are have appointed as a trainee manager (finance)

in JTL (Ghana) Limited. The company is in the process
of installing a mainframe computer, and because your
department will be the primary user, you have been co-
opted onto the project team with responsibility for
systems installation. You have a meeting at which the
operations manager will be present, and you realized
that no-one has yet mentioned the risks of fire or
flooding in the discussions about the site. Make a note
of the issues which you would like to raise under these
two headings (i.e. risks of fire or flooding)
 Trial Questions
2. You have been appointed as the Human Resources
Manager for your Company. Your department is
located in an open-plan office, has seven networked
desktop PCs, three laser printers and two dot matrix
printer
•
• You have just read an article suggesting that the
best form of security is lock hardware away in
fireproof cabinets, but you feel that that is
impracticable. Make a note of any alternative
security measure which you could adopt to protect
the hardware
Session 5 – Risk Management
Topic 2
Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Session Overview
• The organization must assess the potential
threats to the organization assets and data
resources. To help the organization to plan
security procedures it may use .

• The use of this type of analysis will enable the

organization to assess the main risks posed to
the information system and then enable them to
put the controls in place which best reduces
these risks.
Mr. Joseph Ecklu (DCS)
 Session Objectives
By the end of this Session, you should be able to
• explain risk management
• understand disaster planning and management

Mr. Joseph Ecklu (DCS)

 Reading List
• ADMN303 – Computer Applications In
Management by Afari-Kumah E. (Unit 1 Session 1
to 6)

Mr. Joseph Ecklu (DCS)

 Risk Management
• Risk management can be divided into three steps. These
are Risk assessment, Risk handling/ minimization, and Risk
transference.
• They are each discussed below.

• 1. Risk-Assessment
• The organization assesses and identifies the main risks to
the information system and, analyses the probability and
expected frequency of the occurrence of each identified risk.
• Risks will vary depending on the type of system
the organization uses; for example if the
organization has a decentralized information
system with the use of the internet and a wide
area network the possible risk of hacking and
viruses increases.
• To help assess the risk of threats or potential
threats the organization may develop risk
scenarios.

• The organization with the involvement of both

experts and users develop situations or
scenarios where a particular security issue has
arisen, and then they assess the ability for the
organization to continue its normal business.
• If for example the organization is unable to
process transactions after the suggested risk
has arisen, the organization should therefore
consider the installation of the controls to
reduce these weaknesses.
•
• Risk handling or minimization is where steps are
put in place, which will protect the system from
the threats outlined in the assessment. The main
factor for the organization to consider that the
cost of the procedures must be less than the
potential loss if the threat occurred, as the control
would not be cost effective. The introduced
controls will include many of the examples
covered within the previous pages i.e. remote and
physical access controls.
• 3. Risk Transference
• An organization may decide to transfer the risk
onto a third party such as insurance agency or
the provision of outsourcing services if for
example a fire or flood does occur.
 Disaster planning

• Organizations may need to consider the

development of a plan, which will enable the
organization to recover if a disaster occurred.
Disaster planning would be linked to risk
scenarios -developing scenarios only for high-
risk areas. The importance of disaster planning
is to develop standby or recovery procedures,
which will enable the organization to resume
normal operations as soon as possible.
• These types of controls are the most expensive
to implement and although the organization may
have them in place they hope that they will never
be used as it implies that earlier controls have
failed. Some of the recovery options available
today include:

• . These are parallel systems, in the

event of a disaster they can be immediately
switched to as they have the correct hardware,
software and data available..
• Organizations which are heavily reliant on IS,
such as banks, must have this type of system to
ensure continuous operations and customer
interaction.
• This method ensures that continuous processing
can be carried out without disruption, but it is an
expensive method as the systems processing is
paid for even when not in use.
• . These are procedures where the
organization has an empty computer room
consisting of available hardware; if a department
has a disaster they transfer the back up data and
software onto the system.

• This method helps to reduce costs as it can be

shared by a number of user departments and has
low maintenance costs, but there may be
disruption to normal processing while the system
is updated.
• The organization may have an
agreement with a third party that in the event of
the disaster occurring, the agent is used. Costs
are reduced as only paid for when in use but the
agent may not be able to meet the exact
requirements of the users greatly reducing the
quality of processing produced
• . An important point to remember about the
implementation of standby options is that if an
organization makes use of these options (i.e. the
disaster has occurred) they will not have any
recovery options available to them.

• Therefore the organization must attempt to

immediately put into action the procedures to
return to a normal state of processing as soon as
possible to provide back up if another disaster
occurs.
 Privacy and data protection

• Privacy is the right of the individual not to suffer

unauthorized disclosure of information. This
confers the right of the

• Data Protection. A country may decide to

introduce a data protection act to protect data
held on magnetic disk of a personal data.
Personal data examples include Medical records,
Banking and credit data, employment personal
references held by an Employment agency, and
The Data Protection Register
• Any country is likely to hold a register of data
users' e.g. The National Identification Systems in
Ghana, which hold personal data and therefore
improving the implementation of the law and
offences for non-compliance of the Act by a data
user.
• Failure to register may be an offence within the
act, it will be the responsibility of the senior
managers within the organization to determine if
the data held by the organization needs to
compile with the act and then register with the
registrar.
Vehicle
Rental
DVLA
Companie
s,
Property
Rental
Companie
s,
GOVERNE
MENT
Ministries,
Postal&
Courier
Services,
Universitie
s
& Colleges
Of Higher
Education,
 Accreditation and data protection principles
t
• Before an organisation can carry out identity checks, they will need to
be fully accredited by the National Identification Authority.

• The data protection premised on the following principle;

– Processed lawfully and fairly.
– Held only for one or more specified and lawful purposes.
– Not disclosed incompatible with its purpose.
– Shall be accurate, and where necessary kept up to date.
– Relevant and not excessive.
– Kept for no longer than necessary.
– A. At a reasonable intervals
– Be informed of data being held
– Access and see data held.
– B . Have data corrected and erased if necessary.
– Provide adequate physical and remote controls.
 Smart National Identity Cards

Card
Owner
Higher Security
Security
Security through
through
Digital
Biometrics
Certificates

Services for
Everyone

Savings (and Reduction in

Convenience
Financial Identity
to Citizens
Services) Fraud

Access Capturing of
Life and Financial
Control and the Informal
Health Inclusion
Loyalty Economy
Insurance
Programs
 Service Delivery Strategy
Biometric
Social POS
Services Banks

Mobile Franchise
Phones e
Network(s)
Governmen
t Services

Insurance,
and other
services
Benefits to Citizens and the State
Improvement of the Electoral Registrar

• The existing electoral register can be easily cleaned and

updated.

No No No
Missing Duplicate Inserted
Entries Entries Entries

No No
Duplicate Inserted
Entries Entries
 Broadening the Tax Net
Using Data Mining Techniques

List of
know Taxpayer
n tax- profile
payer
s
NIA
Datawarehous
e
List of
people
Taxpayer who
should be
profile paying
taxes
LAW ENFORCEMENT AND NATIONAL SECURITY

Custom
s

Integrated Improved License

Database of Plates and RFID
Vehicles Vehicle Tags

Database

Smart
Registration Video
Books and Drivers Surveillance
Licenses

Access Control Risk Management

and License Plate System and
Recognition Control Centre
Integrated Border Management System

NADRA
Database

Advance
Passenger Passports
Informatio Database
n (SITA)
IBMS
Central
Server
ASF
Visa
Surveillanc
Database
e Feeds

Exit Control
Database
 FORENSIC APPLICATIONS

• This becomes imperative through biometric and

fingerprints of individual suspect traced to the
Central Database.
 Efficient social support

Government provides social services for the aged

and others in need of financial support among
others.
 summary

• Risk management, as well as disaster planning

and management were discussed in this section.
In addition data protection and privacy were also
treated.
 Trial Questions
• Discuss in your own words ways to anticipate
disasters including physical and data security,
disaster recovery plans, hot sites, and cold sites
Session 5 Ergonomics

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In
Management by Afari-Kumah E. (Unit 1 Session 1
to 6)

Mr. Joseph Ecklu (DCS)

 Session Overview
•
• Computers have become a common business
tool, because they increase productivity.

• Unfortunately, there are certain ways in which

computers may actually make people less
productive. Many of those affected are in
positions that involve intensive data entry, such
as clerks and word processor operators.

Mr. Joseph Ecklu (DCS)

• However, anyone whose job involves heavy use
of the computer may be affected. In this section,
ways in which computers may make people less
productive would be discussed
 Session Objectives
• By the end of this section, you should be able to
• understand the term ergonomics
• identify physical health matters related to computer
usage
• identify mental health matters related to computer
usage
• identify the link between computer design and
ergonomics

Mr. Joseph Ecklu (DCS)

• is defined as the study of human
factors related to things people use.
• It is concerned with fitting the job to the worker
rather than forcing the worker to contort to fit the
job.

• As computer use has increased, so has interest

in ergonomics People are devising ways that
computers can be designed and used to
increase productivity and avoid health risks.
•
• Sitting in front of a screen in awkward positions for
long periods may lead to physical problems such as
eye strain, headaches, and back pain. Computer users
can alleviate these problems by taking frequent rest
breaks and by using well-designed computer furniture.
 – Below is a summary of the physical health
concerns and their remedies.
•
• Take frequent breaks, avoid screen glare, place
object at fixed local distance.
•
• Use adjustable equipment
•
• Computer technology offers many ways of
improving productivity, but it also creates some
irritants that may be counter-productive.

• Some of these irritants are Noise and Electronic

monitoring.
–Below is a summary of the mental health
concerns and their remedies.
•
• Use head-mounted microphones and earphones,
install acoustical tiel and sound-muffing covers,
and tighten system unit components.
•
• Remove electronic monitoring
•

• Examples of how ergonomic principles can be

incorporated in an IS environment included:
– The use of keyboards with built in wrist rests or
specially contoured design to reduce repetitive strain
injuries Chairs with variable seat height and back
support Correct adjustment of the angle of computer
monitors In addition to adjusting the brightness and
contrast of computer monitor,
– an additional transparent screen can be used to
reduce glare
•
• The term ergonomics was discussed in this
section. In addition, I also identified physical and
mental health matters related to computer usage.
• Societal issues that have arisen due to the increasing use of
information systems were also discussed. Finally I identified several
types of security management strategies and defenses, and
explained how they can be used to overcome various types of
security threats
 Trial Questions
• 1 What is ergonomics and why is it important ?
• 2. Discuss some of the most significant mental
concerns and how they can be avoided.
Session

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In Management by
Afari-Kumah E. (Unit 1 Session 1 to 6)

Mr. Joseph Ecklu (DCS)

 Session Overview
•
•

•
(Gragg, 1954)
• The above limerick was used some years ago by
Professor Charles Gragg to characterize the plight of
business students who had no exposure to cases.
The truth is that the mere act of listening to lectures
and sound advice about managing information
technology does little for anyone's IT management
skills.
Mr. Joseph Ecklu (DCS)
• You are most welcome to the last Unit of this
important course. In this Unit, I shall
• discuss with Information Technology (IT) Case
analysis.

• You are studying cases not so much to find the right

answer, but to train yourselves in systematic
analysis so that you will be effective decision
makers in the business world.
• This unit will cover the following topics:
• Section 1 IT Case Analysis
• Section 2 Benefits of studying cases
• Section 3 How to do a Case study
• Section 4 Approaches to Answering Cases in
Examinations
• Section 5 An IT Case
 Session Objectives
• By the end of this unit, you should be able to
• appreciate the importance of IT case analysis
• identify the steps involved in IT case analysis
• the Importance of Studying Cases

Mr. Joseph Ecklu (DCS)

•
• You are most welcome to Session 1 of Unit 6. In
most courses in management, students use
cases about actual companies to practice and
thus gain some experience in the tasks of
implementing the theories and principles
acquired in class.
• In this section, I shall introduce you to IT case
analysis.
• By the end of this section, you should be able to

– explain the terms Case and IT case

– explain the term Case Study
•
• A case sets forth, in a factual manner, the events
and organisational circumstances surrounding a
particular managerial situation.

• It puts the readers at the scene of the action and

familiarises them with all the relevant
circumstances. Thompson et al (2001)
• According to Robinson (2008), Business school
cases are quite long and complicated.

• We study cases not so much to find the right

answer, but to train ourselves in systematic
analysis so we will be effective decision makers in
the business world.

• Successful case preparation depends on multiple

readings of the case and multiple points of view
• Some cases are Alice in Wonderland cases -they
came, they looked around, everything was
strange and wonderful. Then they went home.

• In general, we work hard to avoid assigning

these vanity cases
• . (They may have a function in describing what a
great firm did to execute a successful IT strategy,
but they lack a state of tension -there is no decision
to be made, everything is perfect.)

• In other cases, the chief decision is often

introduced on page one and then recapitulated in
the last few paragraphs: And so, as he looked out
the window, he was wondering whether to invest
heavily in new Information Technology at a time
when the industry was competing heavily on price.
• Sentences like that pretty much set up for you the
main decision in the case.

• A few cases actually end with specific numbered

questions.

• However, in many briefs the most important task is

to figure out what really is where a firm decides to

• Everything is a mess and it's not clear where to start

• A case on Information Technology, can concern
single organizations, or some part of an
organization; the organization involved can be a
profit making, non-profit-making, governmental
or non-governmental.

• The essence of the student's role in case

analysis is to diagnose and size up the situation
described in the case and then to recommend
appropriate action steps.
• An IT case is a description of the use information
technology in an organization.
•
• Usually, in include information about the setting of ,
the situation.

• This information includes such things as

geographic location, organization size, and
business or sector. Often, the case describes the
background of the key factors involved in the
experience.
• A case study is a description of an actual
administrative situation involving a decision to
be made or a problem to be solved.

• It can a real situation that actually happened just

as described, or portions have been disguised
for reasons of privacy.
• Most case studies are written in such a way that
the reader takes the place of the manager whose
responsibility is to make decisions to help solve
the problem.

• In almost all case studies, a decision must be

made, although that decision might be to leave
the situation as it is and do nothing.
•
• In this section, I have discussed with you what
the terms Cases and IT cases are.

• In addition, you have also been introduced to

cases analysis.

• In Section 2, I shall discuss the benefits of using

cases with you. Come along with me
Session 6

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In
Management by Afari-Kumah E. (Unit 1 Session 1
to 6)

Mr. Joseph Ecklu (DCS)

 Session Overview
• You are warmly welcome to this section. In this
section, I am going to discuss with the benefits
of using case studies in this course.
• Cases focus on the problems of strategy
formulation, building the organization, and
accomplishing assigned tasks.
• Utilized effectively, this will maximize the benefit
you will receive in the development of additional
knowledge and skills.

Mr. Joseph Ecklu (DCS)

• The increasing complexity, both financially and
conceptually, of the cases you encounter in this
course should lead to a deeper understanding
and perspective of the business issues involved
in management information systems
• You are welcome, on board.
 Session Objectives
• By the end of this section, you should be able to
• identify the benefits of case analysis to a
students
• appreciate case studies

Mr. Joseph Ecklu (DCS)

•
• Concentration on cases will enable you to learn
about the functions,
• roles, and skills of senior management from the
perspective of the general manager.
• The benefits a student derives from case analysis
include:
– They help you develop techniques in setting goals,
outlining the' functions and activities that must be
performed to achieve the goals, and determining
the strategies needed to accomplish these
objectives. They clearly demonstrate the role that
risk plays in management.
• Cases will help you identify and deal
successfully with uncertainty and rapidly learn to
make decisions from limited information.

• Cases will provide experience in dividing the

organization into logical, understandable
assignments with limitations on authority and
provisions for individual decision-making.
• They provide practice with setting performance
standards.

• These standards will assist you in the application

of your skills to making leadership decisions
through insight self-confidence, and imagination.
• Finally, the cases will assist you with the
anticipation and acceptance of responsibility for
your actions and those of the organization as
you some day relate to the organization's
stakeholders, investors, employees, suppliers,
communities, countries, and environment.
• Learning from cases will also change the way
you interact with your professor. By emphasizing
student involvement and self-teaching, the use
of case-studies requires a substantial shift in the
traditional roles played by you and your professor.
• If you understand that these are the objectives of
case study, you are less likely to be consumed
with curiosity about case.

• Usually, case discussions produce good

arguments for more than course of action. As a
student, you can use cases to gain expertise in
responding quickly to new situations and
environments.
• The best decisions are made with perfect
information. Unfortunately, few decisions have
the luxury of being made with this background.

• Cases provide practice in

and responding quickly to a problem or
opportunity given a limited amount of
information and the time constraints under
which you must operate.
 Summary
• So soon I have finished the discussion of the
benefit of case analysis with you. How to do a
case study will be discussed in the next section.
Let us go to Section 3
 Trial Questions
• State and explain in your own words three
benefits a student may derive from case analysis.
Session

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In
Management by Afari-Kumah E. (Unit 1 Session 1
to 6)

10/12/2021
 Session Overview
• As noted earlier, a case study helps students
learn by immersing them in a real-world business
scenario where they can act as problem-solvers
and decision-makers. In this section, I shall teach
you the general steps you need to follow in order
to analyse a case.

10/12/2021
 Session Objectives
• By the end of this section, you should be able to
– identify the general steps involved in case
analysis

10/12/2021
• While there is no one definitive or
approach, there are common steps that most
approaches recommend to be followed in
tackling a case Study.

• It is inevitable that different Instructors will tell

you to do things differently; this is part of life and
will also be part of working for others

10/12/2021
• . This variety is beneficial since it will show you
different ways of approaching decision making.

• What follows is intended to be a rather general

approach, portions of which have been taken
from an excellent book entitled,
by Erskine, et al (1997)

10/12/2021
• Beforehand (usually a week before), you will get:

• the case study, (often) some guiding questions

that will need to be answered, and
• (sometimes) some reading assignments that
have some relevance to the case subject.

10/12/2021
• Your work in completing the case can be divided
up into three components:
– what you do to prepare before the class
discussion, what takes place in the class
discussion of the case, and
– anything required after the class discussion
has taken place.

10/12/2021
•
• The case presents facts about a particular
organization.

• Students are asked to analyze the case by

focusing on the most important facts and using
this information to determine the opportunities
and problems facing that organization.
• Students are then asked to identify alternative
courses of action to deal with the problems they
identify. 10/12/2021
• A case study analysis must not merely
summarize the case. It should identify key
issues and problems, outline and assess
alternative course of action, and draw
appropriate conclusions

•
• The case study analysis can be broken down into
the following ~ steps
• Identify the most important facts surrounding
the case: 10/12/2021
• Identify the most important facts surrounding
the case.
• Identify the key issue or issues.
• Specify alternative courses of action.
• Evaluate each course of action.
• Recommend the best course of action.

• I shall discuss each of these steps as follows:

10/12/2021
 Identify

• Read the case several times to become familiar

with the information it contains.
• Pay attention to the information in any
accompanying exhibits, tables, or figures.
• Many case scenarios, as in real life, present a
great deal of detailed information.

• Some of these facts are more relevant than

others for problem identification.

10/12/2021
• One can assume the facts and figures in the
case are true, but statements, judgments, or
decisions made by individuals should be
questioned.

• Underline and then list the most important facts

and figures that would help you define the
central problem or issue.

10/12/2021
• If key facts and numbers are not available, you
can make assumptions, but these assumptions
should be reasonable given the situation.

• The of your conclusions may

depend on the assumptions you make. Read the
questions requirements.

10/12/2021
• Read through the case again to

• Use the facts provided by the case to identify the key

issue or issues facing the company you are studying.
Many cases present multiple issues or problems.
• Identify the most important and separate them from
more trivial issues. State the major problem or
challenge facing the company.

10/12/2021
• You should be able to describe the problem or
challenge in one or two sentences.
• You should be able to explain how this problem
affects the strategy or performance of the
organization

10/12/2021
• You will need to explain why the problem occurred.

• Does the problem or challenge facing the company

comes from a changing environment, new
opportunities, a declining market share, or inefficient
internal or external business processes?

• In the case of information systems-related problems,

you need to pay special attention to the role of
technology as well as the behaviour of the
organization and its management.
10/12/2021
• Information system problems in the business world
typically present a combination of management,
technology, and organizational issues.

• When identifying the key issue or problem, ask what

kind of problem it is:
• Is it a management problem, a technology problem,
an organizational problem, or a combination of
these? What management, organizational, and
technology factors contributed to the problem?

10/12/2021
• To determine if a problem stems from management
factors, consider whether managers are exerting
appropriate leadership over the organization and
monitoring organizational performance.

• Consider also the nature of management decision-

making: Do managers have sufficient information for
performing this role, or do they fail to take advantage
of the information that is available?

10/12/2021
• To determine if a problem stems from
technology factors, examine any issues arising
from the organization's information technology
infrastructure: its hardware, software, networks
and telecommunications infrastructure, and the
management of data in databases or traditional
files. Consider also whether the appropriate
management and organizational assets are in
place to use this technology effectively.

10/12/2021
• To determine the role of organizational factors,
examine any issues arising from the organization's
structure, culture, business processes, work groups,
divisions among interest groups, relationships with
other organizations, as well as the impact of
changes in the organization's external environment-
changes in government regulations, economic
conditions, or the actions of competitors, customers,
and suppliers.

10/12/2021
• You will have to decide which of these factors -or
combination of factors -is most important in
explaining why the problem occurred.
• Remember, there is a difference between what an
organization and what that organization
actually do.
• Some solutions are too expensive or operationally
difficult to implement, and you should avoid solutions
that are beyond the organization's resources. Identify
the constraints that will limit the solutions available. Is
each alternative executable given these constraints?

10/12/2021
• List the courses of action the company can take to
solve its problem or meet the challenge it faces: For
information system-related problems, do these
alternatives require a new information system or the
modification of an existing system?
• Are new technologies, business processes,
organizational structures, or management behaviour
required? What changes to organizational processes
would be required by each alternative? What
management policy would be required to implement
each alternative?
10/12/2021
• State the risks as well as the rewards associated
with each course of action. Is your
recommendation feasible from a technical,
operational, and financial standpoint? Be sure to
state any assumptions on which you have based
your decision.

10/12/2021
• Evaluate each alternative using the facts and
issues you identified earlier, given the conditions
and information available.

• Identify the costs and benefits of each

alternative. Ask yourself "what would be the
likely outcome of this course of action?

10/12/2021
 the best

• State your choice for the best course of action and

provide a detailed explanation of why you made this
selection. You may also want to provide an
explanation of why other alternatives were not
selected.

10/12/2021
• Your final recommendation should flow logically
from the rest of your case analysis and should
clearly specify what assumptions were used to
shape your conclusion.

• There is often no single answer, and each

option is likely to have risks as well as rewards.

10/12/2021
• The various steps involved in Case Analysis were discussed. hope
you have enjoyed and understood case analysis

• Congratulations!! Let us go to the next session

10/12/2021
 Trial Question
• Briefly explain each of the steps in case analysis.

10/12/2021
Session

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In
Management by Afari-Kumah E. (Unit 1 Session 1
to 6)

Mr. Joseph Ecklu (DCS)

 Session Overview
• You have spent the previous section, learning the
general steps to analyzing cases. In this section,
however, I shall take you through how to answer
examination questions

Mr. Joseph Ecklu (DCS)

 Session Objectives
• By the end of this section, you should be able to
• understand the approaches to case questions
• use the approaches in answering a case
questions.

Mr. Joseph Ecklu (DCS)

• In answering cases, you will have to follow the
following steps:
• i) Read the first paragraph of the case so you
obtain an idea of the context of the case and
industry being used as an example.

• ii) Read the question requirements.

• iii) Start to produce an essay plan, using the
requirement as a structure for the plan and noting
down the areas of knowledge that will be used.
iv)Read through the case in detail, noting on the plan
relevant parts of the case that can be used to support
the knowledge you will be including in the answer.
• v) Check through the plan and order the comments
made into the order for your answer.
• vi) Write out the answer referring back to the
case and question requirement as necessary to
ensure you are on track with the answer.

• vii) Cross out comments in the answer plan as

they are transferred out your answer to avoid
making the same point twice.
• viii) If there is time, read through your answer,
brushing up on spelling and any grammatical error,
if you can.

•
• When you are ready, read through a case and
produce an answer according to the procedure
suggested above.
• Then compare this answer with the activity solution
and identify which points you managed to include -
and any that you missed
 Summary

• The various approached steps to answering case

questions have been spelt-one. the next
section, you shall apply your knowledge to a
specific situation.
Session

Contact Information: [email protected]

DEPARTMENT OF COMPUTER SCIENCE

2015/2016
 Reading List
• ADMN303 – Computer Applications In
Management by Afari-Kumah E. (Unit 1 Session 1
to 6)

Mr. Joseph Ecklu (DCS)

 Session Overview
• In this session, three real world scenarios are
presented for your practice. Try your hands on
them and see if you can find solutions to them
and that will give you and idea on what to expect
under examination conditions.
• Come along with me.

Mr. Joseph Ecklu (DCS)

 Session Objectives
• Fish out the salient points from each passage
and render the appropriate solutions to its
request.

Mr. Joseph Ecklu (DCS)

•
•

• More than once, Michael Dell has joked that the

only thing more direct than the Internet is mental
telepathy. He started moving Dell's business online
in 1994. Three years later, Dell introduced its
Premier Pages, an electronic catalogue that allows
corporate customers to purchase Dell machines
over the Web.
• Those early efforts have enabled Dell to build its
Internet sales to about $16 billion a year, accounting
for half of its revenues.
• But until the middle of last year, many of Dell's
incoming corporate orders were still handled mainly
by employees numbering the hundreds. To cut that
fat, Dell first had to make itself technologically
capable of implanting itself more deeply into its
business customers' electronic business systems." It
was obvious, "Michael Dell says. "I do not want to
overstate this as a brilliant blast."
• Last year, Dell installed software from Web
Methods, a maker of industrial-strength
business-to-business integration software, based
in Fairfax, Virginia. Web Methods' enterprise
application integration (EAI) technology acts as a
software translator and creates a kind of hub
that, using the Web, allows instantaneous
communication among networked companies'
internal business systems.‘
• For Dell, the first fruit of installing the Web
Methods soft Ware is what Dell calls e-
procurement, and it goes like this: a business
customer pulls product information directly from
Dell's server into the customer's Purchasing
system, which creates an electronic requisition.
After the requisition is approved online by the
customer, a computer-generated purchase order
shoots over the Internet back to Dell.
• The entire process can take 60 seconds. Dell
says the system, which went live in the spring of
2000, has automatically cut errors in its
procurement processes from about 20 per
million transactions to per million. And Dell has
been able to shave $40 to $50 off the cost of
processing each order. That adds up to $5
million a year in cost savings, since thousands of
orders "flow to Dell through its Web Methods
system daily.
• That system also looks good to business
customers like David Capizzi, who joined Litton
PRC three years ago as vice president systems
that run things like the U.S. Treasury
Department's human resource operation. Capizzi,
a former contract manager with the U.S. Navy,
was shocked by what he saw after he came on
board at Litton: it took an average of 16 days just
to get a requisition to the purchasing honchos;
getting a Dell PC took as long as a month
• Capizzi set about bringing Litton's procurement
into the modern age, and Dell became one of its
first partners in the effort. Litton hooked into
Dell's new e-procurement system, and since July
2000, Litton employees have been able to log on
to a Dell Premier Page and choose what they
need from an online catalogue that contains
approved product configurations, options, and
negotiated prices specific to Litton's account
with Dell.
• An order triggers a purchase requisition within Litton's internalsystem.
If a manager does not act to approve or reject a requisition within 24
hours, it is routed to that person's manager for immediate response.
After two approvals, the order goes to Dell, which starts building the
machines. On average, deliver is two days after the order is placed.
• For every early adopter like Litton, however, Dell faces many other
partners who are sceptical even though Dell is offering customers a
sweet deal to sign on to its program. Often, a company that creates a
Web Methods hub charges its customers to hook into it; the fees can
run into the tens of thousands of dollars. Dell is not charging its
partners a penny to tie into its system.
• Nonetheless, only about a dozen or so Dell's
thousands of corporate customers have signed up.
Customers remain uncertain of the payoff, and there
are costs involved, even with the free initial hook up.
Tom Fountain, Dell's B2B chief, says that there are
literally scores of different internal computer systems
among Dell's customers. The Web Methods software
that Dell uses can communicate with these disparate
systems, but often not without some significant -and
often expensive -customization that prospective B2B
customers would have to incur.

• .
• But the PC industry and Dell's current major
business challenges have only made Dell's push
for efficiencies more urgent -the only way, really,
for its last-man-standing strategy to succeed. So
besides building automated factories, Dell is
determined to weave customers and supplies
into its production network. In addition, Dell is
experimenting with more exotic IT concepts
such as data warehousing, event tracking, and
demand shaping
• Ultimately, if Michael Dell is right, all these
systems will merge to produce what he and
several manufacturing gurus have come to call "
frictionless trade". That is when a Web enabled
business enterprise automatically reacts to
stimuli from hundreds of sources, makes
thousands of adjustments in real time, and gets
products to customers with whirlwind speed.
Nowadays, no one in the industry is betting
against Mr. Dell.
 Trial Questions
1. What are the strategic benefits and challenges
of using the Web Methods technology for Dell
and its business customs?
2. Des Litton's use of the Dell e-procurement
system result in strategic or operational
business benefits for the company? Explain our
answer
3. How realistic is a frictionless trade goal for Dell
Computer? For other companies? Defend your
position
• On the business day of the new millennium, Duke
Energy initiated a guerrilla approach to e-business. A
small b and of advocates began to roam the utility,
living in the business units, seeding pilot projects,
assisting with implantations, coordinating resources,
and spreading success stories. Eighteen months later,
having launched more than a dozen successful
internet initiatives that saved the company $52 million
last year alone, the "e-team" is now handing off the
projects to the businesses.
• "Then," says senior vice president and chief e-
business officer A.R. Mullimax, "we will declare
victory. "Here's how they did it.

• In late 1999, Duke's corporate policy committee, at

the urging of CIO Cecil Smith, authorized Mullinax
to begin to harness the internet. The goal was to
weave e-business into the Duke fabric. "We did not
want to turn Duke into a dot-com, Mullinax recalls.
We wanted to find uses of the internet that would
advance our existing business.
• Mullinax, then senior vice president for
procurement, as given free reign to recruit a
team and carry out the mission. He chose Ted
Schultz from strategic planning; Steve Bush,
finance and administration; Dave Davies, IT
project management; Amy Baxter and Dennis
Wood, procurement; Elizabeth Henry, Customer
focus;
• and Anne Narang, Web design. Everybody
brought strengths to the table, Mullinax says, and
the other ingredient was chemistry. We worked
well as a team.

• From the start, the team planned to disband in

24 months. You should get to the point where
you don't need an e-business officer any more
than you need a chief telephone officer, Mullinax
says.
• The team spent first month getting a good
perspective on theCharlotte, N.C. -based
company, which ranks 17th among the Fortune
1100. Then, team members literally moved into
the businesses. If a unit had already launched an
internet initiative a
• team member would advise on strategy and
implementation. If a unit was new to the Web, a
team member would spearhead an initiative.
• .
• The e-team had a budget, but its mantra was
Invest little, save big. It looked for business units
that could use internet tools in the most effective
way, particularly those units where customers
were dependent on information, and easy access
to that information would add value to the
relationship. We could have taken on hundreds of
initiatives, but we looked for the ones that would
give us the most return compared with the level of
effort it was going to take, Mullinex explains
• Henry worked at Duke Solutions, which advises very
large industrial, commercial, and institutional customers,
such as Northfield, Illinois-based Kraft Foods, Inc., on
energy management. I was attached at the hip to Duke
Solutions' e-business strategist Jeffrey Custer, she
recalls. It worked so well to be with them, hearing what
their issues were every day. Custer, director of corporate
development at Duke Solutions, agrees. You have a fear
when you hear that corporate is going to create a new
group, but they were different, he says. I was the lead;
they were here to provide support and seed money. They
kept the focus and kept me moving.
• Meanwhile, Schultz worked with Duke Energy
Trade and Marketing in Houston, which provides
energy to very large customers, such as city power
companies. Henry and Schultz correctly suspected
that the needs of the two customer sets would be
similar. The e-team members funded and helped
the businesses stage comprehensive focus groups
to gather information on what customers wanted.
That turned out to be a customizable Web portal
where clients could obtain services like online
billing and account status as well as energy
industry information.
• Custer says the focus groups made a big
difference. I had some fantastic things I wanted to
put on the site, but the customers said, That's
great, .but this is what I need today, he says. The
s-team

• funded the prototype, and these businesses

provide coding and content-generation services.
Within 90 days, version 1.0 of the my duke-energy.
com customer portal was up and running
• The iterative, 90-day cycle was a hallmark of the
e-team, and it kept them in touch with customers.
When you go off and work on something for six
months, even if it's bad, you have invested too
much, so you try to put the. round peg into the
square hole, Custer says. But their strategy was
ask the customer, prototype it show it to them,
make changes and do it again, keep it moving.
You get a lot more feedback and buy-in that way.
• While Henry and Schultz worked on the customer
portal, Wood brought online auctions to Global
Sourcing, Duke Energy's procurement unit.
Working with Free Markets Inc., a Pittsburgh-
based online auction company, Wood also
explained the process and benefits to supply
chain folks throughout the businesses. More
important, he invited them all to the first live
auction in May of last year. Says Wood, you can
explain things all day long, but when they see it, it
clicks
• Top management is proud of the e-team's results.
E-business has helped accelerate cost savings,
and we also seeing performance enhancements,
sia executive vice president and chief
administrative officer, Ruth Shaw.
 Trial questions
1. Should Duke Energy's guerrilla, approach to
introducing e-business be adapted by other
companies? Why or why not?
2. Select and evaluate one of Duke Energy's e-
business projects. What are its business benefits
and limitation?
3. Are any of Duke Energy's e-business initiatives
applicable to other companies? Explain your
answer
• No company has made as vocal a commitment to
radically transforming business by shifting to e-
business and e-commerce as General Electric. What
motivated G E has been a fear that new competition
would cut into its extraordinary profits that's what
former CEO Jack Welch tried to hammer into his
managers in January 1999, ordering them to
destroy their businesses and rebuild them for the
internet. ...before start-up dot-corns get the chance
to destroy you.
• From that moment, the shift to e-business
became a policy imperative, with every GE
business unit jumping to integrate its suppliers
and customers with its internal processes Welch
had four major business strategies; globalization,
business services, e-business, and the total
quality program known as Six Sigma.
• Instead of unveiling a fifth, new CEO Jeff Immelt
says, "the best thing I can do is drive GE's four
initiatives broader and deeper, "under the banner
of "no back office, for instance, he's telling
managers to digitize or outsource the parts of
their businesses that don't touch the customer.
Immelt also supports the development of digital
cockpits or corporate information portals that let
managers track the vitals of their businesses
moment by moment. All told, ebusiness is
supposed tosaveGE$1-.6billionin2001
• Leading GE's technology charge is CIO Gary
Reiner. And Reiner isn't' afraid to pose
provocative questions and technology-based
solutions concerning the business potential of
information technology and its Impact on the
company's performance. Thus, Reiner has been
spearheading nothing less than a cultural
revolution at GE. The goal is to take full
advantage of the internet to sell products and
services, streamline internal operations, and
purchase materials and supplies. As a
consequence, GE is far ahead of the 50 largest
• G E's drive to apply internet power everywhere-an
initiative once dubbed "destroy your business.
com and now more soberly called digitization -
has been three-sided. On the sell side, online
sales across GE's divisions grew from nearly
nothing in 1998 to more than $7 billion in 2000,
about 5 percent of company revenue. That fell
short of an eventual goal of 30 percent -but was
still more than double Amazon.com's sales, as G
E sold everything from mutual funds to jet engine
repair services on the Web.
• On the buy side, by the end of 2000, GE had
purchased more than ..$6 billion in goods and
services through-online auctions, and this year it
plans to spend $14 to $30 billion online.
Engineers in its locomotive business, for
example, developed a Web tool that lets GE
holdup to 100 auctions a day for companies to
bid on contracts to supply GE with materials and
services. Online auctions are expected to cut
purchasing costs at GE through reductions in
prices and transaction costs by over $600
million in 2001.
• The rest of the $1.6 billion in costs GE plans to
vaporize in 2001 will come from the make side-the
internal processes the company is juicing up with
internet technologies. For example, one of the keys
to the planned cost reductions is n invasion of Net-
based collaboration tools. The company has made a
huge commitment to the Lotus Development tools
Quick Place (which lets employees set up web
based work spaces) and Same time (for real-time
online meetings), which permit adhoc collaboration
without help from the It department.
• These tools streamline the company's
communication in myriad ways. Thus, GE's
recruiting teams can set up Quick Places to
trade information about prospective hires. And
GE engineers share drawings, design
requirements, and production schedules with
foremen on manufacturing floors. In all, GE has
created almost 18,000 Quick Places for 250, 000,
users, says CTO Larry Biagini. And if we have an
engineering project with some outside the
company, we'll set up a Quick place or same
time session and invite outside people.
• There's also Support Central, a company wide
knowledge management system developed
using software from GE's Fanuc division.
Employees sign on and complete a survey about
their areas of expertise. The responses are
added to a knowledge base so people with
questions anywhere in GE can find people with
answers.
• Someone may have a question about, say,
titanium metallurgy, and they will be able to find
documents about it, or send e-mail or initiate an
on-line chat with someone who can help, says
Stuart Scott, CIO of GE Industrial Systems. The
result of all this collaborations? Faster workflow
and quicker, smarter decisions, GE executive
says.
 Trial Questions
1. Are the buy, sell, and make e-business and e-
commerce initiatives of GE applicable to other
companies -both large and small? Give examples
to support your answer.
2. Could the business value of GE's Web-based
collaboration tools be as great as their executives
Claim? Why or why not?
3. Evaluate the business value of Jeff Immelt's e-
business directives for GE. Do you agree with their
Strategic importance for GE at this time? Explain
your answer
• Mike G. Eccles, Jane M. Nash and Jean-Paul Van
Belle (2003): Discovering Information Systems
• Afari-Kumah, E (2008); Introduction to Computers.
Institute of Adult Education
• ACCA Paper 3: Business Information Management.
• Gabrielle Piccoli and Iris Liu.

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