CHAPTER 5: ORGANIZATIONAL STUCTURES THAT SUPPORT STRATEGIC INITIATIVE

  ROLES AND RESPOSIBLELITY

·         Information technology is a relatively new functional area, having only around formally for around 40 years.

·         Recent IT- related strategic positions:

1.      Chief Information Officer (CIO)

-          Oversees all uses IT and ensures the strategic alignment of IT with business goals and objective.

-          Broad CIO function:

*Manager - ensuring the delivery of all IT projects, on time and within budget

*Leader     - ensuring the strategic vision of IT is line with the strategic vision                                                       

                       of the organization

*Communicator – building and maintaining strong executive relationships

2.      Chief Technology Officer (CTO)

-          Responsible for ensuring the throughput, speed, accuracy, availability, and reliability of IT.

3.      Chief Security Officer (CSO)

-          Responsible for ensuring the security of IT system.

4.      Chief Privacy Officer (CPO)

-          Responsible for ensuring the ethical and legal use of information.

5.      Chief Knowledge Officer (CKO)

-          Responsible for collecting, maintaining, and distributing the organization’s knowledge.

·         Skills pivotal for success in executive IT roles.

THE GAP BETWEEN BUSINESS PERSONNEL AND IT PERSONEL

Ø Business personnel possess expertise in functional areas such as marketing, accounting, and sales.

Ø  IT personnel have the technological expertise.

Ø  Use different terms

Ø  Different language

IMPROVING COMMUNICATIONS

• ·         Business personnel must seek to increase their understanding of IT
• ·         IT personnel must seek to increase their understanding of the business
• ·         It is the responsible of the CIO to ensure effective communication between business personnel and IT personnel

ORGANIZATIONAL FUNDAMENTALS ETHICS AND SECURITY

·         Ethics and security are two fundamental building blocks that organizations must base their business on to be successful.

·         In recent years, such events as the Enron and Martha Stewart, along with 9/11 have shed new light on the meaning of ethics and security.

ETHICS

• ·         Ethics is the principles and standards that guide our behavior toward other people.
• ·         Privacy is a major ethical issue

-          Privacy is the right to be left alone when you want to be, to have control over your own personal possessions, and not to be observed without your consent.

·         Issues affected by technology advances

1.      Intellectual property – Intangible creative work that is embodiment in physical 

                                          form.

2.      Copyright – The legal protection afforded an expression of an idea, such as a

                       song, video game, and some types of proprietary in physical

                       documents.

3.      Fair use doctrine – In certain situations, it is legal to use copyright material.

4.      Pirated software – The unauthorized use, duplication, distribution, or sale of

                                   copyright software.

5.      Counterfeit software – Software that is manufactured to look like the real thing

                                            and sold as such.

·         One of the main ingredients in trust is privacy.

·         Primary reasons privacy issues lost for e-business

Loss personal privacy is a top concern for Americans in the 21st century.

Among Internet users, 32 percent would be “a lot” more inclined to purchase a product on a Web site that had a privacy policy.

Privacy or security is the number in factor that would convert Internet researchers into Internet buyers.

SECURITY

• ·         Organization information is intellectual capital must be protected.
• ·         Information security is the protection of information from accidental or intentional misuse by persons inside or outside an organization.
• ·         E-business automatically creates tremendous information security risks for organizations.