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Emerging IS Technologies and Process




                           Submitted to:
                        Prof. Sumeet Gupta



                            Submitted by:
                       Rohit Garg      12PGP091




                Management Information System
             Indian Institute of Management, Raipur
                           2012 – 2013




IIM Raipur                                            1 | Page
Abstract: Information technology has had a major impact in most industries, from grocery
stores to trucking, and has literally transformed some industries, such as financial services.
Every day brings new types of information technologies into existence, making it very
difficult for managers and board members of organizations to stay informed. This report
discusses several emerging types of information technologies and process that organizations
can use to improve their performance. Emerging technologies discussed include expert
systems, neural networks, geographic information systems, groupware, and a variety of
internet applications.


1. Introduction
Information technology has had a major impact in most industries, from grocery stores to
trucking, and has literally transformed some industries, such as financial services. Many
organizations have been relatively slow to take advantage of emerging IT.

  The Information Age
  The current era is commonly referred to as the “information age” because of the rapid
  developments taking place in information technology, the volume and variety of
  information available, and our expanding ability to process information.
   Employees who work primarily at producing, managing and using information are
      called “knowledge workers”.
   Most managers and board members of business organizations understand how
      important IT is to being competitive, or to just surviving.
   Three forces seem to be converging to force organizations to use emerging IT more
      effectively.
           The growing government requirement for organizations to conduct their
              billing and collection transactions electronically.
           The growing amount of information available on the Internet, about everything
              from demographics to funding sources.
           The growing infiltration of personal computers making technology accessible
              to both the buyers and the suppliers.


Information technology infrastructure is the set of physical devices and software required to
operate enterprise. Set of firm-wide services including:
 Computing platforms providing computing services
 Telecommunications services
 Data management services
 Application software services
 Physical facilities management services


                         • General-purpose mainframe and minicomputer era:
                           1959 to present
    Evolution of IT      • Personal computer era: 1981 to present
    infrastructure       • Client / server era: 1983 to present
                         • Enterprise computing era: 1992 to present
                         • Cloud Computing: 2000 to present




 IIM Raipur                                                                         2 | Page
Technology drivers of infrastructure evolution

      Moore’s law and micro-processing power: Computing power doubles every 18
       months
      Law of Mass Digital Storage: The amount of data being stored each year doubles
      Metcalfe’s Law and network economics: Value or power of a network grows
       exponentially as a function of the number of network members
      Declining communication costs and the Internet: An estimated 1.5 billion people
       worldwide have Internet access. As communication costs fall toward a very small
       number and approach zero, utilization of communication and computing facilities
       explodes


2. Internet & Groupware
Internet access has become a routine part of all businesses. Businesses are eagerly leaping on
the E-commerce band-wagon as net-companies like Amazon.com and E-Bay skyrocket to
success.
 Gathering information via the web: Like individuals and businesses, organizations use
    Internet access to get virtually any kind of information they need.
         Development officers use the Internet to search for information needed to
            complete grant proposals.
         Case workers use the Internet to find information on services ranging from
            counselling to apartments for clients.
         Teachers in schools at all levels use the Internet to find information for research
            papers and to teach their classes.
         Researchers can now do most such searches from the office or home, and the full
            text of the article is often available for downloading.
 Disseminating information on a web site: Just as companies are using the Internet to
    provide product information and technical support, organizations are using the Internet to
    provide programmatic information to a variety of constituents.
 Building community: Many businesses use Internet web sites to build community.
         Organizations use the formal means of distributing information to build
            community, and the informal, interactive, groupware tools then let individuals
            participate actively in building community.
         The groupware interpersonal communication tools include E-mail, lists,
            discussion boards and chat rooms.
         There are an incredible variety of support groups on the Internet, for everything
            from alcohol abuse to home schooling.


                         •   Computer hardware platforms
                         •   Operating system platforms
     IT Infrastructure   •   Enterprise software applications
        has 7 main       •   Data management and storage
       components        •   Networking/telecommunications platforms
                         •   Internet platforms
                         •   Consulting system integration services




 IIM Raipur                                                                         3 | Page
     Advocacy: The Internet and groupware can be tailored for advocacy groups and cause-
      oriented organizations. The ease with which existing list members can forward individual
      items of interest to friends can drastically expand the reach of such advocacy activities.

    Caveats: The Dark Side of the Internet and Groupware
     While it costs very little to get Internet access, there are many hidden costs.
       Employees may spend time surfing the net instead of working.
     Most lists are open and un-moderated. Some lists have experienced serious disruption.
       Another downside of lists is the lack of historical perspective. Some lists have
       searchable archives, which is very useful if you come into the middle of an interesting
       discussion.
     Problems arise when an organization decides to develop its own web site. The
       development and maintenance costs and the difficulty of matching IT applications
       with organizational strategy and existing operations are far larger. Many organizations
       that jumped onto the Internet without adequate planning have paid dearly for their
       haste.
     Web sites must be maintained to be effective. To keep viewers coming back, you have
       to provide new, current, interesting information.
     If your Internet site includes one or more E-mail addresses, it is important to respond
       to messages sent to those addresses. In a busy organization, this can become a serious
       time sink.



3. Expert Systems & Neural Networks
Artificial intelligence is the science of making IT replicate human behaviour, judgments and
decisions. Expert systems and neural networks are two branches of artificial intelligence that
have been widely applied in business settings and show promise for organizations.
 Expert Systems: Are also called “rule based” systems. An information technology
    specialist called a knowledge engineer elicits the expert decision process from the domain
    expert to create a set of rules that become the knowledge base of the expert system. When
    a new instance arises that requires an expert judgment, the data is fed into the expert
    system, which then makes a decision by applying the rules to the new data. They can also
    be used to train new human experts using an explanation facility that tells the users what
    rules the expert system applied to reach its conclusion.
 Neural Networks: The fundamental design of a neural network is based on the neural
    structure observed in animal brains. Neural networks can recognize and match patterns.
    Unlike an expert system, a neural net requires neither an expert nor rules. Neural
    networks can be used as stand-alone applications, or run in conjunction with popular and
    familiar spreadsheet packages.

4. Geographic Information Systems
Geographic information systems are used to graphically present and analyze spatial data,
basically anything that can be shown in map form.
 Geographic information systems have been applied to police reports to analyze crime
    patterns, and decide where to locate police station.
 Community associations and economic development agencies have probably been the
    heaviest users to date.



    IIM Raipur                                                                        4 | Page
5. Contemporary Hardware Platform Trends
    The emerging mobile digital platform: Cell phones, smart phones, net-books, and
     Tablets. These are small, low-cost lightweight devices optimized for wireless
     communication and core computing tasks.
    Grid computing: Connects geographically remote computers into a single network to
     combine processing power and create virtual supercomputer.
    Virtualization: Allows single physical resource to act as multiple resources. It reduces
     hardware and power expenditures and facilitates hardware centralization.
    Cloud computing: On demand computing service obtained over a network. Cloud can be
     public or private and it allows companies to minimize IT investments.
    Green computing: Practices and technologies for manufacturing, using, disposing of
     computing and networking hardware.
    Autonomic computing: Industry-wide effort to develop systems that can configure, heal
     themselves when broken, and protect themselves from outside intruders.

6. Contemporary Software Platform Trends
    Linux and open-source software: Produced by community of programmers, free and
     modifiable by user.
    Web Services: Software components that exchange information using Web standards and
     languages. XML (Extensible Mark-up Language), SOAP (Simple Object Access
     Protocol), WSDL (Web Services Description Language), UDDI (Universal Description,
     Discovery, and Integration)
    SOA (Service-oriented architecture): Set of self-contained services that communicate
     with each other to create a working software application. Software developers reuse these
     services in other combinations to assemble other applications as needed.
    Software outsourcing and cloud services: Three external sources for software:
             Software packages and enterprise software
             Software outsourcing
             Cloud-based software services


                                      • Domestic: Primarily for middleware, integration
                                        services, software support
       Software outsourcing
                                      • Offshore: Primarily for lower level maintenance,
                                        data entry, and call centre



                                      • Cloud computing: Ranges from free or low-
                                        cost services for individuals to business and
                                        enterprise software. It is accessed with Web
                                        browser over Internet.
       Cloud-based software           • Mash-ups: Combinations of two or more online
             services                   applications, such as combining mapping
                                        software with local content
                                      • Apps: Small pieces of software that run on the
                                        Internet, on your computer, or on your cell
                                        phone.




    IIM Raipur                                                                      5 | Page
7. Contemporary Management Issues
    Dealing with platform and infrastructure change: As firms shrink or grow, IT needs to
     be flexible and scalable. Scalability is the ability to expand to serve larger numbers of
     users.
    Making wise infrastructure investments: Amount to spend on information technology is
     a complex question but the managers need to analyze direct and indirect cost (hardware,
     software, and other costs including installation, training, support, maintenance,
     infrastructure, downtime, space and energy)


                  Competitive forces model for IT infrastructure investment

                              Market demand for firm’s services

                                   Firm’s business strategy

                          Firm’s IT strategy, infrastructure, and cost

                              Information technology assessment

                                   Competitor firm services

                        Competitor firm IT infrastructure investments




    IIM Raipur                                                                      6 | Page

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Mis 2

  • 1. Emerging IS Technologies and Process Submitted to: Prof. Sumeet Gupta Submitted by: Rohit Garg 12PGP091 Management Information System Indian Institute of Management, Raipur 2012 – 2013 IIM Raipur 1 | Page
  • 2. Abstract: Information technology has had a major impact in most industries, from grocery stores to trucking, and has literally transformed some industries, such as financial services. Every day brings new types of information technologies into existence, making it very difficult for managers and board members of organizations to stay informed. This report discusses several emerging types of information technologies and process that organizations can use to improve their performance. Emerging technologies discussed include expert systems, neural networks, geographic information systems, groupware, and a variety of internet applications. 1. Introduction Information technology has had a major impact in most industries, from grocery stores to trucking, and has literally transformed some industries, such as financial services. Many organizations have been relatively slow to take advantage of emerging IT. The Information Age The current era is commonly referred to as the “information age” because of the rapid developments taking place in information technology, the volume and variety of information available, and our expanding ability to process information.  Employees who work primarily at producing, managing and using information are called “knowledge workers”.  Most managers and board members of business organizations understand how important IT is to being competitive, or to just surviving.  Three forces seem to be converging to force organizations to use emerging IT more effectively.  The growing government requirement for organizations to conduct their billing and collection transactions electronically.  The growing amount of information available on the Internet, about everything from demographics to funding sources.  The growing infiltration of personal computers making technology accessible to both the buyers and the suppliers. Information technology infrastructure is the set of physical devices and software required to operate enterprise. Set of firm-wide services including:  Computing platforms providing computing services  Telecommunications services  Data management services  Application software services  Physical facilities management services • General-purpose mainframe and minicomputer era: 1959 to present Evolution of IT • Personal computer era: 1981 to present infrastructure • Client / server era: 1983 to present • Enterprise computing era: 1992 to present • Cloud Computing: 2000 to present IIM Raipur 2 | Page
  • 3. Technology drivers of infrastructure evolution  Moore’s law and micro-processing power: Computing power doubles every 18 months  Law of Mass Digital Storage: The amount of data being stored each year doubles  Metcalfe’s Law and network economics: Value or power of a network grows exponentially as a function of the number of network members  Declining communication costs and the Internet: An estimated 1.5 billion people worldwide have Internet access. As communication costs fall toward a very small number and approach zero, utilization of communication and computing facilities explodes 2. Internet & Groupware Internet access has become a routine part of all businesses. Businesses are eagerly leaping on the E-commerce band-wagon as net-companies like Amazon.com and E-Bay skyrocket to success.  Gathering information via the web: Like individuals and businesses, organizations use Internet access to get virtually any kind of information they need.  Development officers use the Internet to search for information needed to complete grant proposals.  Case workers use the Internet to find information on services ranging from counselling to apartments for clients.  Teachers in schools at all levels use the Internet to find information for research papers and to teach their classes.  Researchers can now do most such searches from the office or home, and the full text of the article is often available for downloading.  Disseminating information on a web site: Just as companies are using the Internet to provide product information and technical support, organizations are using the Internet to provide programmatic information to a variety of constituents.  Building community: Many businesses use Internet web sites to build community.  Organizations use the formal means of distributing information to build community, and the informal, interactive, groupware tools then let individuals participate actively in building community.  The groupware interpersonal communication tools include E-mail, lists, discussion boards and chat rooms.  There are an incredible variety of support groups on the Internet, for everything from alcohol abuse to home schooling. • Computer hardware platforms • Operating system platforms IT Infrastructure • Enterprise software applications has 7 main • Data management and storage components • Networking/telecommunications platforms • Internet platforms • Consulting system integration services IIM Raipur 3 | Page
  • 4. Advocacy: The Internet and groupware can be tailored for advocacy groups and cause- oriented organizations. The ease with which existing list members can forward individual items of interest to friends can drastically expand the reach of such advocacy activities. Caveats: The Dark Side of the Internet and Groupware  While it costs very little to get Internet access, there are many hidden costs. Employees may spend time surfing the net instead of working.  Most lists are open and un-moderated. Some lists have experienced serious disruption. Another downside of lists is the lack of historical perspective. Some lists have searchable archives, which is very useful if you come into the middle of an interesting discussion.  Problems arise when an organization decides to develop its own web site. The development and maintenance costs and the difficulty of matching IT applications with organizational strategy and existing operations are far larger. Many organizations that jumped onto the Internet without adequate planning have paid dearly for their haste.  Web sites must be maintained to be effective. To keep viewers coming back, you have to provide new, current, interesting information.  If your Internet site includes one or more E-mail addresses, it is important to respond to messages sent to those addresses. In a busy organization, this can become a serious time sink. 3. Expert Systems & Neural Networks Artificial intelligence is the science of making IT replicate human behaviour, judgments and decisions. Expert systems and neural networks are two branches of artificial intelligence that have been widely applied in business settings and show promise for organizations.  Expert Systems: Are also called “rule based” systems. An information technology specialist called a knowledge engineer elicits the expert decision process from the domain expert to create a set of rules that become the knowledge base of the expert system. When a new instance arises that requires an expert judgment, the data is fed into the expert system, which then makes a decision by applying the rules to the new data. They can also be used to train new human experts using an explanation facility that tells the users what rules the expert system applied to reach its conclusion.  Neural Networks: The fundamental design of a neural network is based on the neural structure observed in animal brains. Neural networks can recognize and match patterns. Unlike an expert system, a neural net requires neither an expert nor rules. Neural networks can be used as stand-alone applications, or run in conjunction with popular and familiar spreadsheet packages. 4. Geographic Information Systems Geographic information systems are used to graphically present and analyze spatial data, basically anything that can be shown in map form.  Geographic information systems have been applied to police reports to analyze crime patterns, and decide where to locate police station.  Community associations and economic development agencies have probably been the heaviest users to date. IIM Raipur 4 | Page
  • 5. 5. Contemporary Hardware Platform Trends  The emerging mobile digital platform: Cell phones, smart phones, net-books, and Tablets. These are small, low-cost lightweight devices optimized for wireless communication and core computing tasks.  Grid computing: Connects geographically remote computers into a single network to combine processing power and create virtual supercomputer.  Virtualization: Allows single physical resource to act as multiple resources. It reduces hardware and power expenditures and facilitates hardware centralization.  Cloud computing: On demand computing service obtained over a network. Cloud can be public or private and it allows companies to minimize IT investments.  Green computing: Practices and technologies for manufacturing, using, disposing of computing and networking hardware.  Autonomic computing: Industry-wide effort to develop systems that can configure, heal themselves when broken, and protect themselves from outside intruders. 6. Contemporary Software Platform Trends  Linux and open-source software: Produced by community of programmers, free and modifiable by user.  Web Services: Software components that exchange information using Web standards and languages. XML (Extensible Mark-up Language), SOAP (Simple Object Access Protocol), WSDL (Web Services Description Language), UDDI (Universal Description, Discovery, and Integration)  SOA (Service-oriented architecture): Set of self-contained services that communicate with each other to create a working software application. Software developers reuse these services in other combinations to assemble other applications as needed.  Software outsourcing and cloud services: Three external sources for software:  Software packages and enterprise software  Software outsourcing  Cloud-based software services • Domestic: Primarily for middleware, integration services, software support Software outsourcing • Offshore: Primarily for lower level maintenance, data entry, and call centre • Cloud computing: Ranges from free or low- cost services for individuals to business and enterprise software. It is accessed with Web browser over Internet. Cloud-based software • Mash-ups: Combinations of two or more online services applications, such as combining mapping software with local content • Apps: Small pieces of software that run on the Internet, on your computer, or on your cell phone. IIM Raipur 5 | Page
  • 6. 7. Contemporary Management Issues  Dealing with platform and infrastructure change: As firms shrink or grow, IT needs to be flexible and scalable. Scalability is the ability to expand to serve larger numbers of users.  Making wise infrastructure investments: Amount to spend on information technology is a complex question but the managers need to analyze direct and indirect cost (hardware, software, and other costs including installation, training, support, maintenance, infrastructure, downtime, space and energy) Competitive forces model for IT infrastructure investment Market demand for firm’s services Firm’s business strategy Firm’s IT strategy, infrastructure, and cost Information technology assessment Competitor firm services Competitor firm IT infrastructure investments IIM Raipur 6 | Page