CONTENTS: CASE STUDIES
CASE STUDY 1 Midsouth Chamber of Commerce (A): The Role of the Operating Manager in Information Systems
CASE STUDY I-1 IMT Custom Machine Company, Inc.: Selection of an Information Technology Platform
CASE STUDY I-2 VoIP2.biz, Inc.: Deciding on the Next Steps for a VoIP Supplier
CASE STUDY I-3 The VoIP Adoption at Butler University
CASE STUDY I-4 Supporting Mobile Health Clinics: The Children’s Health Fund of New York City
CASE STUDY I-5 Data Governance at InsuraCorp
CASE STUDY I-6 H.H. Gregg’s Appliances, Inc.: Deciding on a New Information Technology Platform
CASE STUDY I-7 Midsouth Chamber of Commerce (B): Cleaning Up an Information Systems Debacle
CASE STUDY II-1 Vendor-Managed Inventory at NIBCO
CASE STUDY II-2 Real-Time Business Intelligence at Continental Airlines
CASE STUDY II-3 Norfolk Southern Railway:The Business Intelligence Journey
CASE STUDY II-4 Mining Data to Increase State Tax Revenues in California
CASE STUDY II-5 The Cliptomania™ Web Store: An E-Tailing Start-up Survival Story
CASE STUDY II-6 Rock Island Chocolate Company, Inc.: Building a Social Networking Strategy
CASE STUDY III-1 Managing a Systems Development Project at Consumer and Industrial Products, Inc.
CASE STUDY III-2 A Make-or-Buy Decision at Baxter Manufacturing Company
CASE STUDY III-3 ERP Purchase Decision at Benton Manufacturing Company, Inc.
CASE STUDY III-4 The Kuali Financial System: An Open-Source Project
CASE STUDY III-5 NIBCO’s “Big Bang”: An SAP Implementation
CASE STUDY III-6 BAT Taiwan: Implementing SAP for a Strategic Transition
CASE STUDY III-7 A Troubled Project at Modern Materials, Inc.
CASE STUDY III-8 Purchasing and Implementing a Student Management System at Jefferson County School System
CASE STUDY IV-1 The Clarion School for Boys, Inc.– Milwaukee Division: Making Information Systems Investments
CASE STUDY IV-2 FastTrack IT Integration for the Sallie Mae Merger
CASE STUDY IV-3 IT Infrastructure Outsourcing at Schaeffer (A):The Outsourcing Decision
CASE STUDY IV-4 IT Infrastructure Outsourcing at Schaeffer (B): Managing the Contract
CASE STUDY IV-5 Systems Support for a New Baxter Manufacturing Company Plant in Mexico
CASE STUDY IV-6 The Challenges of Local System Design for Multinationals: The MaxFli Sales Force Automation System at BAT
CASE STUDY IV-7 Meridian Hospital Systems, Inc.: Deciding Which IT Company to Join
CASE STUDY IV-8 Mary Morrison’s Ethical Issue
Managing Information Technology
Prentice Hall Boston Columbus Indianapolis New York San Francisco Upper Saddle River
Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montreal Toronto Delhi Mexico City Sao Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo
Seventh Edition
Carol V. Brown
Howe School of Technology Management, Stevens Institute of Technology
Daniel W. DeHayes
Kelley School of Business, Indiana University
Jeffrey A. Hoffer
School of Business Administration, The University of Dayton
E. Wainright Martin
Kelley School of Business, Indiana University
William C. Perkins
Kelley School of Business, Indiana University
Editorial Director: Sally Yagan Editor in Chief: Eric Svendsen AVP/Executive Editor: Bob Horan Editorial Project Manager: Mary Kate Murray Editorial Assistant: Jason Calcano Director of Marketing: Patrice Lumumba Jones Senior Marketing Manager: Anne Fahlgren Production Manager: Debbie Ryan Art Director: Jayne Conte Cover Designer: Bruce Kenselaar Photo Researcher: Karen Sanatar Manager, Rights and Permissions: Hessa Albader Cover Art: Fotolia Media Editor: Denise Vaughn Media Project Manager: Lisa Rinaldi Full-Service Project Management: Integra Software Services Pvt. Ltd. Printer/Binder: Edwards Brothers Cover Printer: Leghigh-Phoenex Color Text Font: 10/12, Times
Credits and acknowledgments borrowed from other sources and reproduced, with permission, in this textbook appear on appropriate page within the text.
Microsoft® and Windows® are registered trademarks of the Microsoft Corporation in the U.S.A. and other countries. Screen shots and icons reprinted with permission from the Microsoft Corporation. This book is not sponsored or endorsed by or affiliated with the Microsoft Corporation.
Copyright ©2012, 2009, 2005, 2002, 1999 Pearson Education, Inc., publishing as Prentice Hall, One Lake Street, Upper Saddle River, New Jersey 07458. All rights reserved. Manufactured in the United States of America. This publication is protected by Copyright, and permission should be obtained from the publisher prior to any prohibited reproduction, storage in a retrieval system, or transmission in any form or by any means, electronic, mechanical, photocopying, recording, or likewise. To obtain permission(s) to use material from this work, please submit a written request to Pearson Education, Inc., Permissions Department, One Lake Street, Upper Saddle River, New Jersey 07458.
Many of the designations by manufacturers and sellers to distinguish their products are claimed as trademarks. Where those designations appear in this book, and the publisher was aware of a trademark claim, the designations have been printed in initial caps or all caps.
Library of Congress Cataloging-in-Publication Data Managing information technology / Carol V. Brown . . . [et al.]. — 7th ed.
p. cm. Includes bibliographical references and index. ISBN-13: 978-0-13-214632-6 (alk. paper) ISBN-10: 0-13-214632-0 (alk. paper) 1. Management information systems. I. Brown, Carol V. (Carol Vanderbilt), 1945- T58.6.M3568 2012 658.4'038011—dc22
2010048598
10 9 8 7 6 5 4 3 2 1
ISBN 10: 0-13-214632-0 ISBN 13: 978-0-13-214632-6
www.pearsonhighered.com
BRIEF CONTENTS
Chapter 1 Managing IT in a Digital World 1
PART I Information Technology 17
Chapter 2 Computer Systems 19 Chapter 3 Telecommunications and Networking 60 Chapter 4 The Data Resource 95
PART II Applying Information Technology 187
Chapter 5 Enterprise Systems 189 Chapter 6 Managerial Support Systems 223 Chapter 7 E-Business Systems 253
PART III Acquiring Information Systems 327
Chapter 8 Basic Systems Concepts and Tools 329 Chapter 9 Methodologies for Custom Software Development 361 Chapter 10 Methodologies for Purchased Software Packages 390 Chapter 11 IT Project Management 410
PART IV The Information Management System 517
Chapter 12 Planning Information Systems Resources 519 Chapter 13 Leading the Information Systems Function 536 Chapter 14 Information Security 561 Chapter 15 Social, Ethical, and Legal Issues 575