The document outlines key information systems practices and indicators that are evaluated. It is divided into sections on planning practices, administrative practices, delivery practices, and strategy and direction, resource management, financial management, and quality management best practices. The best practices sections list indicators such as maintaining an I/S strategy aligned with business needs, ensuring proper budgeting and cost/benefit analysis of projects, and having quality management practices such as portfolio management and a commitment to quality assurance.

1. ES Key Indicators
Key Information Systems
Practices and Indicators Evaluated
Planning Practices
Strategy and Direction
• I/S Strategy • Vision/Architecture • Organization
• Business and I/S Alignment – Applications – Roles and
• Priority Alignment – Technology Responsibilities
– Data – Ownership
– Executive Sponsorship
• Migration Planning
Administrative Practices
Resource Management Financial Management Quality Management
• Human Resources • Budgeting • Portfolio Mgt.
• I/S Skills • Cost/Benefit Mgt. • Performance Goals
• Outsourcing • Risk Management • Commitment
• Organization
• Education
• Business Skills
• Continuous Improvement
Change Management Service Management Administration Management
• Project Orientation • Metrics • Policies
• QA Function • Service Agreements • Procedures
• QC Function • Achievement/Performance • Standards
• Culture Impact • Contracts
• Business Impact • Backup/Recovery
• Security
• Business Resumption
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2. ES Key Indicators
Key Information Systems
Practices and Indicators Evaluated
Delivery Practices
Applications Development/Maintenance Support Service
• Life Cycle Management • Project Mgt. • Problem Resolution
• Documentation Mgt. • Data Mgt. • Responsiveness Tracking
• Functional Quality Mgt. • Request Mgt. • EUC Assistance
• Technical Quality Mgt. • Standards • Help Desk
• Maintenance Mgt. • Methodologies • Technical Training
• Development Tools • Technology Coaching
• Alternative Techniques
Relationships Technology Operations
• Expectation Management • Capacity Mgt. • Customer Focus
• Client Focus • Vendor Mgt. • Scheduling
• Ongoing Communications • R&D • Performance Standards
• Computing Mgt. • Responsiveness
• Data Administration • Contingency
• Communications Mgt.
• Project Orientation
• Systems Software Mgt.
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3. Strategy and Direction Best Practices
I/S Strategy Vision/Architecture
Comprehensive business driven strategies are A business description of I/S's technology,
defined for evolving I/S’s organizations, data, applications, and organizational
architecture’s, and applications direction is available and communicated to
management and staff.
Business and I/S Alignment
I/S plans and strategies are fully supportive of Organization
business culture, needs, and direction Strategies and plans are used to develop
and maintain an appropriate mix of internal
Priority Alignment and external resources and skills for both the
Business/technology dependencies are I/S and user environments.
identified and priorities are established for
both areas to provide maximum value with Migration Planning
minimal waste/costs. A transition plan guides the activities,
schedules, and milestones for achieving the
goal architectures and business systems.
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4. Resource Management Best Practices
Human Resources Organization
Provide the required level and maintain career Maintain appropriate logical and physical
planning, performance evaluation/reward. and organizations to support the company's
compensation programs to ensure protection culture, use of information technology, and
of human resource assets. support of business needs.
I/S Skills Business Skills
Maintain skill evaluation and training programs I/S staff has the required understanding of
for I/S staff and appropriate business staffs. the company's culture and business
practices to effectively contribute more than
Outsourcing basic technology expertise for supporting
Maintain a cost effective balance of internal business systems.
and external resources. Maintain awareness
of sourcing
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5. Financial Management Best Practices
Budgeting Risk Management
Support the company's planning and Financial controls are required for all project
budgeting processes by translating I/S's activities and acquisitions to minimize
business drivers into budgeted resource financial risk from project overruns,
requirements and maintain effective control unauthorized financial commitments, and
and reporting. delays in recognizing run-away costs.
Potential financial losses resulting from the
Cost/Benefit Management accidental or deliberate destruction of data or
Adopt a program to ensure peer and senior systems must be identified and managed.
management understanding of the investment
and support costs for I/S's products and
services and share in the identification and
realization of business benefits.
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6. Quality Management Best Practices
Applications Portfolio Management Commitment
Apply asset management concepts to ensure The I/S department should be recognized by
the application systems are measured, other business units as having a serious
monitored, and managed to effectiveness, commitment to deliver the best service and
performance, financial, and quality goals at products without compromise. Quality
reasonable support and operating costs. Assurance and Quality Control concepts are
included in I/S methodologies, procedures,
Education and practices.
Staff participates in ongoing education and
training programs in support of the organization's Performance Goals
objective to continually increase the level of Using accepted measures, monitor all service
quality for all aspects of the business. activities to ensure they are executed in a
manner which continually meets or exceeds
Ownership expectations.
A "Quality Belongs To Everyone" attitude is
present throughout the organization which Continuous Improvement
encourages each individual to understand the Channels are open for improvement
company's quality commitment and to assume suggestions and individuals are recognized for
ownership for improving quality for all job related initiative and creativity in improving the overall
activities. quality of services and products.
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7. Change Management Best Practices
Project Orientation Quality Control
I/S initiated changes (e.g., application Key development and operations activities
systems, software releases, new technology, are subject to formal quality control
personnel, etc..) should be performed with a inspections to ensure that the activities are
project discipline. Tasks schedules, expected being performed in accordance with the
results, and controls should be identified and company's and industry standards and
managed to prevent business disruption. accepted practices. Quality control activities
will often extend beyond I/S into the user and
Quality Assurance internal audit groups.
Quality Assurance reviews are conducted, for
all projects resulting in significant business or Culture Impact
technology change, to ensure that the Although some I/S initiated changes are
appropriate activities are scheduled and intended to change the behavior of specific
performed, qualified resources are assigned, groups, the change process should consider
and controls are identified and used. Quality the cultural constraints of the organization to
assurance has an active project role with avoid rejection or indifference.
authority and accountability for ensuring
quality results.
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8. Change Management Best Practices
Business Impact
All areas of the business which are directly or
indirectly affected by the I/S initiated change
participate in planning, testing, and
acceptance. This ensures that business staffs
and management are properly trained and
positioned to use the new process and that
the change will immediately provide the
planned business benefits.
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9. Service Management Best Practices
Metrics Achievement/Performance
Appropriate measures are defined for On-going reviews are conducted of all
quantifying service levels and systems are in services and service providers which result in
place to collect information for performance improvement programs or recognition of
analysis. excellence for specific groups or staff.
Service Agreements
Formal definitions of what services will be
provided, roles and responsibilities and how
the services will be measured are available for
key services provided by the I/S department.
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10. Administration Best Practices
Policies Standards
The I/S department's "Rules of Conduct" are Administrative standards are used and
consistent, known, enforceable, and reflect enforced to help guide the performance and
the company's business, ethical, and activities of the staff, e.g., performance
management values. reviews, timely reporting, conduct.
Procedures Contracts
The administrative "how to" guidelines are Prudent contract control and administration
understood, used, and available for reference processes are enforced to ensure business
and new employee orientation. protection, standardization, enforceability,
renewal leveraging, and safe business
Security practices.
A comprehensive security protection program
is evident to protect the company's identified Business Resumption
resources from deliberate or accidental loss of Business risks and critical I/S dependencies
confidential or critical assets. are identified and plans, resources, and
procedures can be readily activated to
expediently and safe restore key I/S and
business staff operations.
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11. Applications Best Practices
Life Cycle Management Technical Quality Management
Applications are managed as business assets Standards and quality control techniques are
with each having investment costs, operating used to help ensure that key systems' technical
expenses, and value. Each key application's underpinnings and architecture are protected
condition and expenditures are tracked to from premature obsolescence.
manage cost effectiveness and to maximize
resource value. Maintenance Management
Existing systems are modified/enhanced in a
Functional Quality Management timely manner to reflect current business
Key systems evolve with the business to help requirements. Maintenance is managed on a
ensure that they support changing business software release basis, when appropriate, to
requirements and that the business staff are minimize complexity and maximize asset
not required to develop alternate processes to longevity.
offset systems deficiencies.
Documentation Management
A cost effective process is consistently used to
ensure continuity of knowledge and
understanding of all products and services
developed and supported in the I/S
environment.
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12. Development and Maintenance Best Practices
Project Management Request Management
Project management, involving business and Business staff understand and use an official
all appropriate I/S functions, is established for channel to request I/S services. Appropriate
all significant changes. Minor maintenance checks and balances are in place to
changes also require a project discipline for effectively prioritize requests based upon
change control and software maintenance. need, business plan, and cost benefits.
Data Management Standards
Data is logically organized and managed to Standards for developing new products and
ensure accurate and timely reflection of services are established and understood by
business activity with minimal duplication and all staff members. Managers and lead staff
barriers to access. are accountable for ensuring that
new/modified products and services conform
to accepted standards.
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13. Development and Maintenance Best Practices
Methodologies Alternative Techniques
Practical and appropriate methodology are Appropriate analysis is conducted to ensure
consistently used to guide the I/S that alternative resourcing, design
department's project activities to help ensure techniques, and technologies have been
leveraging of staff resources, maximize prudently evaluated to maximize the
system life cycles, and enhance team company's systems development
reporting and communications. investments.
Development Tools
Appropriate development tools are used to
improve staff effectiveness and efficiency and
increase systems life cycles. Staff is trained
and the portfolio of tools and techniques
support one another.
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14. Support Services Best Practices
Problem Resolution Help Desk
Users (business and I/S) have a means of A service organization, specializing in
reporting problems and obtaining assistance emergency and production level assistance,
in resolving I/S related questions and/or is available to all business users during all
issues. scheduled business hours.
Responsiveness Tracking Technical Training
Metrics are used to track service request to Technical skills improvement programs are
monitor service responsiveness in addition to conducted for both I/S and key business staff
initiating corrective action projects to eliminate to ensure effective and appropriate use of
frequently occurring questions/problems software, equipment, and communications.
End User Computing Assistance Technology Coaching
I/S assistance is available to help business In conjunction with other services, special
staff in using distributed technologies within coaching sessions are available to help
the parameters agreed to by the business. sharpen the skills of both I/S and business
staffs in the effective use of more advanced
and complex technologies.
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15. Relationships Best Practices
Expectation Management On-Going Communications
New direction, projects, and all key changes I/S staff and management is actively
are regularly communicated to all levels of integrated into the business organization at
management and staff (business and I/S) to all levels to openly discuss I/S activities as
minimize misunderstanding and false they relate to the business. Communication
expectations of availability, functionality, costs, with the business goes beyond status
use, and benefits. reporting and selling new concepts.
Client Focus
The I/S department has a reputation for
understanding the business needs and
priorities and provides leadership and
guidance toward ensuring the business
maximizes the use of technologies, systems,
and available information.
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16. Technology Best Practices
Capacity Management Research and Development
All I/S hardware, software, and I/S has sufficient visibility of the company's
communications resources are continually needs and new technology offerings to guide
monitored to ensure that sufficient capacity is the evolution of technology resources and
available for changing business needs and tools to maximize short and long-term value
new I/S activities, and that sufficient cushions to the business.
(internal and external) are available for peak
demands. Computing Management
The technology infrastructure evolves to
Vendor Management mirror the business by responding to
Vendor roles and responsibilities are business, organizational, and geographical
understood by all parties and managed by I/S needs.
to ensure that the company is receiving
maximum value for acquired products and
services by influencing, as appropriate,
revisions, service offerings, and problem
resolution.
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17. Operations Best Practices
Customer Focus Performance Standards
A "customer service" attitude is evident in the Metrics, identifying standards of
organization. Operating and organizational performance, are consistently used to
changes are always validated to determine monitor and improve services,. Performance
their impact to the business and customer standards will often apply to both the I/S and
service. business organizations and should be jointly
developed
Scheduling
Availability of all technology resources are Responsiveness
understood by the business and strict Technology and staff responsiveness
operating and support schedules are continually meet or exceed the business's
maintained and managed as a key component expectations. A technology plan, driven by
of customer service. usage information and tuning programs, is
managed to ensure customer
responsiveness meets or exceeds quantified
expectations
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18. Operations Best Practices
Backup/Recovery Contingency Management
All data files and program libraries have All critical technology operating activities are
adequate versions readily available for seamlessly integrated into the company's
rebuilding and normal processing in the event business resumption procedures. Plans are
of loss or error. Backup and recovery developed and tested periodically for timely
processes are incorporated in all system's rebuilding/resumption of critical computing
designs and changes. activities.
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19. 1996 Network/IT Expenses
It’s not easy (or fun), but coming up with an accurate budget • Identify the major business initiatives planned for the
is the only way corporate networkers can keep from being coming year.
blindsided by overruns and unexpected expenses. Here’s
what it takes, step by step: • Determine the implementation, acquisition, and support
costs that will allow network/IT to support the new
• Compile a detailed inventory of the network/IT business initiatives.
infrastructure, including components, services, and
personnel. • Ascertain the development/training needs for all
network/IT support personnel.
• Determine how much is being spent on the
infrastructure. Be sure to figure in: • Find out how many people the company plans to add or
drop during the coming year.
– Maintenance agreements (software and hardware)
– Support contracts (software and hardware) • Establish which emerging technologies will be added
during the coming year and determine costs of pilot
– Communications services (monthly fixed charges
programs.
and usage-based costs)
– Salaries (including market adjustments and standard Find a quiet place to work, lock the door, take the phone off
merit increases) the hook, and build a budget factoring in all of the foregoing
expenses and issues. Submit it to the corporate finance
• Decide which aging, obsolete, or overburdened parts of committee for approval. Take a week off.
the infrastructure must be replaced.
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20. The Hidden Costs of Network Ownership
Software Personnel
• Applications • Network administrator
$495 per seat (assuming Microsoft Office suite of $65,000 per year (full-time)
applications with mail client)
• Applications Support
• Customization $55,000 per year (full-time)
$125 x (# of hours) x (# of seats)
Planning
• Setup/Installation
$75 x (# of hours) x (# of seats) • Network and system design
$41,250– based on a 200-node network with Microsoft
Infrastructure Office and e-mail, two protocols, one router with
collapsed backbone,, 64-user segments, 10Base-T
• Ethernet concentrators, and Category 5 cabling
$125 per seat (assuming 16-port concentrator)
• Cabling
$12 per seat (assuming 25-foot cables to outlet and
concentrator
• Routing
$75 per seat (assuming $4,800 per high-end-router port)
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21. BPR Success Factors: Teaming
Senior Management
Leadership
Willing Senior Business Sufficient emphasis on
Sponsor people
Cross-functional Full commitment of right
Strong user participation
participation resources
Management
Emphasis on change
Innovative use of IT communication of vision,
management
progress
Consistent application of Adherence to established
Team building Use of quick hits
methodology guidelines
Correct choice/emphasis
Choice of consultant Training of in-house staff Creation of BPR groups
on tools
Fully defined IT
Sufficient IT infrastructure Proactive IS group Emphasis on data quality Updated IT skill base
architecture
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22. Visioning Implement New Process
Build Infrastructure and Select and Analyze Engineer New Business
Optimize New Process
Set Macro Goals Process for BPR Process
Build and Assess
Current Core Process Build Transition Plan
Model
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23. Visioning Implement New Process
Build Infrastructure and Select and Analyze Engineer New Business
Optimize New Process
Set Macro Goals Process for BPR Process
Build and Assess
Current Core Process Build Transition Plan
Model
Establish Executive
Committee
Establish BPR SWAT
Team
Set Macro Goals and
Drivers
Establish Methods and
Tools
Assemble Expertise and
Resource Requirements
Communicate Initiative
Throughout Enterprise
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24. Visioning Implement New Process
Build Infrastructure and Select and Analyze Engineer New Business
Optimize New Process
Set Macro Goals Process for BPR Process
Build and Assess
Current Core Process Build Transition Plan
Model
Identify Core Business
Processes
Build Core Process
Model
Establish Critical
Process Metrics
Define Core Process Re-evaluate Core
Drivers and Subgoals Process Model
Build Process Assess Core Business
Organization Map Processes
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25. Visioning Implement New Process
Build Infrastructure and Select and Analyze Engineer New Business
Optimize New Process
Set Macro Goals Process for BPR Process
Build and Assess
Current Core Process Build Transition Plan
Model
Select Core Business
Process
Build Project Team
Model Existing Process
Analyze Existing
Process
Review Key Metrics and
Baseline
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26. Visioning Implement New Process
Build Infrastructure and Select and Analyze Engineer New Business
Optimize New Process
Set Macro Goals Process for BPR Process
Build and Assess
Current Core Process Build Transition Plan
Model
Collect Ideas and
Perform Requirements
Analysis
Model and Prototype
New Processes
Deploy Obstacle
Analysis Teams
Test Competing New
Process Models
Reassess Viability and Select a New Process
Build Transition Plan
Financial Justification Model
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27. Visioning Implement New Process
Build Infrastructure and Select and Analyze Engineer New Business
Optimize New Process
Set Macro Goals Process for BPR Process
Build and Assess
Current Core Process Build Transition Plan
Model
Build Transition Team
Implement New Process
Measure New Process
Optimize New Process
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28. EC Methodology
“Where We Need to Go”
Phase I – Electronic Commerce Internet/Intranet Strategy
Positioning Core Competence Management
“What We Need to Get There, and When We Need It”
Phase II – Electronic Commerce Internet/Intranet Plan
Strategic Data & Strategic Core Application ES/Business
Technology Development Architecture & Partnership &
Platform Capability Implementation Plan Education Plan
“How We Will Get There”
Phase III – Electronic Commerce Quality (TQM/IS)
ES Development ES Management ES Operational
Effectiveness Effectiveness Effectiveness
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29. EC Methodology
Phase I – Electronic Commerce Strategy
Identify Electronic Refine Electronic
Assess Current Draft Electronic Commerce
Commerce Impacts on Commerce Strategy &
ES/Strategy Alignment Strategy Alternatives
Business Strategy Development Consensus
• Document Business • Document Best Industry • Identify Electronic • Review Electronic
Strategy from existing Practices in critical areas Commerce enablers or new Commerce strategy with
knowledge, strategy • Conduct technology scan business strategy profit center management
documents, and limited • Define implications for components • Provide Electronic
executive interviews business strategy • Identify Electronic Commerce inputs to profit
• Conduct Electronic Commerce enhancers of center strategy
Commerce strategy existing business strategy • Conduct executive review
Executive workshop components session to build consensus
• Identify implicit Electronic • Identify Electronic
Commerce strategy Commerce inhibitors of
• Assess ES/strategy business strategy
alignment
Phase II – Electronic Commerce Plan
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30. ES Methodology
Phase II – Electronic Commerce Plan
Develop and Finalize
Assess Current EC/Strategy Environment Review Current Business Processes Strategic Electronic Commerce
Infrastructure
• Assess current applications • Develop high level process model • Define strategic data & technology platform
• Assess current databases • Develop high level data model • Define strategic development capability
• Assess current technology • Identify high potential process • Develop core application architecture and
• Assess current organization and improvement opportunities (expensive, implementation plan
management non-value adding, etc.) • Define business IS/partnership plan
• Identify short term quality improvement • Identify short term quality improvement – Structure and staffing
action for IS actions for the business – Rules and responsibilities
– Performance measures and reporting
• Define user and education training programs
Phase III – Electronic Commerce Quality (TQM/IS)
EC Development Effectiveness
EC Management Effectiveness EC Operational Effectiveness
Programs
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