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Challenges And Opportunities by LisaB1982

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									Accounting, Information Technology, and Business Solutions, 2nd Edition
By Hollander, Denna, Cherrington Chapter 9
PowerPoint slides by:
Bruce W. MacLean, Faculty of Management,
Dalhousie University

Business Solutions, Change, and the Solution Professional: Challenges and Opportunities
Irwin/McGraw-Hill The McGraw-Hill Companies, Inc., 2000

Chapter Objectives
  

Explain the nature of integrated business solutions. Explain the principles of managing change. Describe the opportunities confronting today’s accounting and IT professionals.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

The Nature of Business Solutions


Successful business solutions adhere to the following principles and characteristics:


First, solutions must integrate 5 key components:
– – – – – Business processes and events Business strategy Organization structure and individual stewardship responsibilities IT architecture Measurements

 

Second, the solution must be aligned with the organization’s culture. Third, solutions must constantly adapt to a complex, changing world in real-time.
The McGraw-Hill Companies, Inc., 2000

Irwin/McGraw-Hill

Business Solution Framework
Culture S1

Strategy Business Processes/ Events

People and Structures

Information Technology

Measurements

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

IT Application Architecture: Record, Maintain and Report

Business Events

Executive View

Finance View

Business Events

Audit and Record

Business Information Warehouse

Business Events
Marketing View
Irwin/McGraw-Hill

Production View

The McGraw-Hill Companies, Inc., 2000

Organization Structure Based on Business Processes
Multiple Process Owner

Process Owner

Process Owner

Process Owner

Solution Support Professional

Business Event Owners Salesperson Shipping Clerk Customer Payment Clerk

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Traditional View-Driven IT Application Architecture
Business Event

System A
Edit Audit Calculate Summarize Stored Data

System B
Edit Audit Calculate Summarize Stored Data

System C
Edit Audit Calculate Summarize Stored Data

System D
Edit Audit Calculate Summarize Stored Data

Functional Views
Irwin/McGraw-Hill

Functional Views

Functional Views

Functional Views

The McGraw-Hill Companies, Inc., 2000

IT Application Architecture: Record, Maintain, and Report
Operating Events Reporting Facility (instructions for generating outputs)

Business Event Processor

Business Data Repository

Useful Information

Operating Event (and other decision support) Data

Enterprise-wide Information Customers
The McGraw-Hill Companies, Inc., 2000

Irwin/McGraw-Hill

Systems Development Process
Existing system details and limitations

Systems Planning

Planned application development projects

Systems Support
Production information system

Existing system details and limitations

Systems Analysis
Business requirements statement

Systems Implementation

Technical design statement

Systems Design

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Types of Organizational Change


Organizational change can be classified according to its scope and depth.


Developmental change is the improvement of an existing system Transitional change is the implementation of a known new state
Transformational change is the emergence of a new state.
The McGraw-Hill Companies, Inc., 2000





Irwin/McGraw-Hill

Types of Organizational Change


Some important questions to ask when determining the type of change best suited for an organization include:
    

How far do we want to go? Is it too far or not far enough? What type of result do we want: short term or long term? How much change can the organization absorb in on change and cumulatively? Can the changes contemplated be presented positively? If not, why? What happens if we don’t change?

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Deciding When to Change


The decision about when to change is as important as what to change and how much to change.


Change when things are going well.



Change when results are mixed.



Change demanded by a full-fledged crisis.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Managing Change and Creating a Common Vision
   

Organization Culture Participation Performance Evaluation Dysfunctional Human Behaviour

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Organization Culture
 

Each organization has a unique culture that distinguishes it from all others. Changes should support rather than challenge the organization’s culture.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Participation


Allowing people to participate in identifying the problem, the solution approach, and the final product is the most powerful technique for creating a common vision and the support to achieve it.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Performance Evaluation




Because changes often alter people’s responsibilities, organization and system changes often impact the way individual performance should be measured and evaluated. Unless the performance evaluation process is updated, changes may obscure personal performance, thus creating disincentives for supporting the proposed changes.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Dysfunctional Human Behaviour


Most dysfunctional human behaviour is manifest in one, or more, of three ways:


 

Aggression involves any attempt by an individual or group to damage the organization or its information system. Projection involves any effort to blame the system for problems that people face. Avoidance involves any attempt to avoid using the system.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

IS Professionals Provide Integration and Structure
Culture Culture
IT architecture (technical/ application) Business processes

S3
S2

Culture Strategy
Stewardships and structures

S1

Culture

People and structures

Business processes/ events

Information technology

Strategy

Measurements Measurements

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Responsibilities for Managing Change


Management should:


   

Openly support efforts to continually improve all aspects of the organization. Determine timing for enterprise-wide changes. Approve suggestions for improvement. Monitor progress of approved changes and insure that measurement systems are adjusted quickly. Assist in resolving problems resulting from change.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Responsibilities for Managing Change


Employees should:


 

Commit to continual individual and organization improvement. Actively participate in suggesting and implementing changes. Demand creative solutions to business and information problems.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000

Responsibilities for Managing Change


Change agents (those who guide or develop the business solutions) should:
 

Understand the impact of IT as a change agent. Deal with problems in a timely and effective manner.

Irwin/McGraw-Hill

The McGraw-Hill Companies, Inc., 2000


								
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