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MIS 648 Presentation Notes: Lecture 10

MIS 648 Presentation Notes: Lecture 10. Managing Global IT, Part II. AGENDA. Goals of the Lecture International IT Architecture Cultural influences on IT goal perception Key IT management issues, revisited A critical reexamination of the role of IT management in shaping IT planning.

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MIS 648 Presentation Notes: Lecture 10

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  1. MIS 648 Presentation Notes: Lecture 10 Managing Global IT, Part II MIS 648 Lecture 10

  2. AGENDA • Goals of the Lecture • International IT Architecture • Cultural influences on IT goal perception • Key IT management issues, revisited • A critical reexamination of the role of IT management in shaping IT planning MIS 648 Lecture 10

  3. Global IT Architecture • Manwani, 2002 • Defines global IT architecture (GITA) as “a vision for how a firm will select and deploy its corporate IT resources” and is also a “set of business-driven IT standards” • Points out importance of standards • These are problematic internationally • Many firms now are appointing global or regional architecture “overlords”. MIS 648 Lecture 10

  4. Global IT Challenges • Planning • Communication • Coordination • Control • Does this remind you of Bartlett and Ghoshall? Manwani refers to this as the Integration-Responsiveness Grid (after Prahald & Doz). MIS 648 Lecture 10

  5. Structure and Strategy Low Force toward Responsiveness High (Decentralization Localization) Exploit parent co. capability Global Trans- National Local Presence via Sensitivity Low Force toward Integration High (Centrality, Globalization) May vary among divisions and departments within a company Inter- National Multi National Cost Advantage is key Goal MIS 648 Lecture 10

  6. Propositions • There are multiple IT stakeholders with different roles in GITA • IT stakeholder influence depends on corporate style and organizational form • Multiple stakeholders with conflicting roles will engender conflict between IT subunits. MIS 648 Lecture 10

  7. Multiple Stakeholders • Corporate IT • Sector IT • Regional IT • Business Unit IT • Group IT services MIS 648 Lecture 10

  8. IT stakeholder Influence Management Style Organizational Form Stakeholder with Major influence Strategic Planning Global Corporate Strategic Control Transnational Sector/Regional Financial Control Multinational Business Unit MIS 648 Lecture 10

  9. Peterson, Kim & Kim • One source of the conflict that Manwani pointed to is a difference in understanding and value of IS objectives (and hence evaluation of success). • PK&K examined differences between IS professionals in the US and Korea • They found differences and these differences influence perception of success • Note: Professionals are not Managers MIS 648 Lecture 10

  10. Evaluation Process IS Objec’v Evalulations Perception of Success The Theory Culture MIS 648 Lecture 10

  11. The Research Plan • Four objectives, one at each level, were used as stimulus items • System: reliability of system • User: satisfaction of user needs • Strategic: improving customer service • Organizational: generating operational benefits • Measure was perceived importance • Ind. Variable was country (=culture) MIS 648 Lecture 10

  12. The hypotheses Level US Korea All System Higher H2 Lower H1 Highest User HigherH3Lower Strategic HigherH4Lower Organization’l Lower H5 Higher Success System Level  + H6 Org’l Level  - MIS 648 Lecture 10

  13. The Respondents • 137 American and 127 Korean IS professionals in 18 & 20 organizations • Used “back translation method” for questionnaire • US sample more highly educated, more likely to perform multiple tasks, a bit older and more experienced MIS 648 Lecture 10

  14. Results H1 OK; Not surprising • System level most important; organizational level least important. • Koreans rated system objectives more important than did Americans • American rated user and strategic objectives more important than did Koreans • No difference in importance of Organizational level objectives. H2 Nope; Why? H3,4 OK; Why? H5 Nope; Why? MIS 648 Lecture 10

  15. Results, Cont’d • IS professionals who perceive system level objectives as highly important also tend to perceive a high rate of success on IS projects (both US & Korea) • Those who perceive user and strategic objectives as highly important perceive low rates of success on IS projects (US only; Korean not significant but in expected direction). MIS 648 Lecture 10

  16. The Interpretation • Technicians view technical objectives as most important • These are short-term, tangible, and easier to measure • No responsibility past installation! • Other findings may have to do with level of economic development. • Cultural explanations are less appealing • Success ratings???? Perhaps the projects actually fail at higher levels???? MIS 648 Lecture 10

  17. Pimchangthong, Plaisent & Bernard • Key IS Management Issues • Yet another study • Comparisons across time are hard, because technology has changed • 7-10 year gap is problematic • Not all countries mentioned as “developing” are actually “developing” MIS 648 Lecture 10

  18. Research Goal • Examine emerging issues in IT management in Thailand • Compare practitioners with academics • Compare with developed countries • Compare with developing countries MIS 648 Lecture 10

  19. Research Procedures • Select 28 issues • Create on-line web-based instrument • Used Q-sort • Was performed in 2001 • Used unsystematic sampling • 161 responses (99 practitioners and 62 academics) from 250 solicitations Warning MIS 648 Lecture 10

  20. Results -1 • Top five issues: • Building IS infrastructure • IS strategic planning • IS human resources • S/W development process quality • Electronic data interchange • Academics and practitioners differed, but little in the top 5; lots less difference among academics, too. Warning MIS 648 Lecture 10

  21. Results -2 • Thai issues were different from developing countries. Why this might be so is unknown. • There were some differences with developed countries • Might refer to previous discussion. • Maybe Thailand is almost “developed”? MIS 648 Lecture 10

  22. Level of Economic Growth Key MIS Management Issues Multinational Business and IT Strategy Political System Culture Comprehensive Model for Global IT Environment How to Read This Diagram At the left are defining characteristics of countries. These create conditions under which the key MIS Management Issues arise From these business and IT strategyshould be based. MIS 648 Lecture 10

  23. Critical View • Does this model make sense? • Is there more here than meets the eye? • What lessons are there for IT management? For firms themselves? MIS 648 Lecture 10

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