This document discusses strategic business ICT management and investment. It covers the history of ICT from early computers in the 1930s-40s to modern developments. It also discusses the future of ICT, computer networks and management, eBusiness fundamentals, task management in ICT environments, and strategic ICT investment analysis. The key topics include the evolution of computing technology, types of computers and networks, best practices for technology management, components of eBusiness, and factors to consider for strategic ICT investment decisions.

1. Strategic Business ICT
Management and Investment
Tobe NNADOZIE
Head, IT Architecture and Strategy
First City Monument Bank PLC JULY 2009

2. Agenda
 Introduction
 The History of ICT
 The Future of ICT
 Computer Network and Management
 eBusiness Fundamentals.
 Task Management in ICT environment
 Strategic ICT investment: Investment
Analysis
 Question and Answers
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3. Introduction
Information and Communications Technology
remains one of the major critical value and
drain pipe for many organizations today.
It occupies a very strategic place in the running
of most businesses with the evolving global
village phenomenon. While it’s costs remains
a recurring dilemma, it’s importance and
unquestionable placing in the priority prism
of the business makes a strong case for our
discussion this morning: How can we make
the most strategic and value-adding decision
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regarding investment in ICT

4. The History of ICT
Year/Enter Inventors/Inventions Description of Event
1936 Konrad Zuse - Z1 Computer First freely programmable
computer.
1942 John Atanasoff & Clifford Berry Who was first in the
computing biz is not always
ABC Computer as easy as ABC.
1944 Howard Aiken & Grace Hopper The Harvard Mark 1
computer.
Harvard Mark I Computer
1946 John Presper Eckert & John W. 20,000 vacuum tubes later...
Mauchly
ENIAC 1 Computer
1948 Frederic Williams & Tom Kilburn Baby and the Williams Tube
turn on the memories.
Manchester Baby Computer & The
Williams Tube
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5. The History of ICT
1947/48 John Bardeen, Walter Brattain & No, a transistor is not a
Wiliam Shockley computer, but this invention
The Transistor greatly affected the history
of computers.
1951 John Presper Eckert & John W. First commercial computer
Mauchly & able to pick presidential
UNIVAC Computer winners.
1953 International Business Machines IBM enters into 'The History
of Computers'.
IBM 701 EDPM Computer
1954 John Backus & IBM The first successful high
level programming
FORTRAN Computer Programming language.
Language
1955 Stanford Research Institute, Bank of The first bank industry
America, and General Electric computer - also MICR
(In Use ERMA and MICR (magnetic ink character
1959) recognition) for reading
ISM checks.
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6. The History of ICT
1958 Jack Kilby & Robert Noyce Otherwise known as 'The
Chip'
The Integrated Circuit
1962 Steve Russell & MIT The first computer game
invented.
Spacewar Computer Game
1964 Douglas Engelbart Nicknamed the mouse
because the tail came
Computer Mouse & Windows out the end.
1969 ARPAnet The original Internet.
1970 Intel 1103 Computer Memory The world's first available
dynamic RAM chip.
1971 Faggin, Hoff & Mazor The first microprocessor.
Intel 4004 Computer
Microprocessor
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7. The History of ICT
1973 Robert Metcalfe & Xerox Networking.
The Ethernet Computer
Networking
1974/75 Scelbi & Mark-8 Altair & IBM The first consumer
5100 Computers computers.
1976/77 Apple I, II & TRS-80 & More first consumer
Commodore Pet Computers computers.
1978 Dan Bricklin & Bob Frankston Any product that pays for
itself in two weeks is a
VisiCalc Spreadsheet Software surefire winner.
1979 Seymour Rubenstein & Rob Word Processors.
Barnaby
WordStar Software
1981 IBM From an "Acorn" grows a
personal computer
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The IBM PC - Home Computer revolution
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8. The History of ICT
1981 Microsoft From "Quick And Dirty"
comes the operating system
MS-DOS Computer of the century.
Operating System
1983 Apple Lisa Computer The first home computer
with a GUI, graphical user
interface.
1984 Apple Macintosh The more affordable home
Computer computer with a GUI.
1985 Microsoft Windows Microsoft begins the friendly
war with Apple.
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9. The Future of ICT
…whatever you can conceive, you can achieve
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10. Computers, Network & Mgmt
There are 10 types of Computers
1. PC: The personal computer (PC) defines a computer
designed for general use by a single person.
2. Desktop: A PC that is not designed for portability is a
desktop computer. The expectation with desktop
systems are that you will set the computer up in a
permanent location. Most desktops offer more power,
storage and versatility for less cost than their portable
peers
3. Laptop: Also called notebooks, laptops are portable
computers that integrate the display, keyboard, a
pointing device or trackball, processor, memory and
hard drive all in a battery-operated package slightly
larger than an average hardcover book
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11. Computers, Network & Mgmt
4. PDA: Personal Digital Assistants (PDAs) are tightly
integrated computers that often use flash memory
instead of a hard drive for storage. These computers
usually do not have keyboards but rely on touchscreen
technology for user input. PDAs are typically smaller
than a paperback novel, very lightweight with a
reasonable battery life. A slightly larger and heavier
version of the PDA is the handheld computer
5. Workstation: A workstation is simply a desktop computer
that has a more powerful processor, additional memory
and enhanced capabilities for performing a special group
of task, such as 3D Graphics or game development.
6. Server: A computer that has been optimized to provide
services to other computers over a network. Servers
usually have powerful processors, lots of memory and
ISM large hard drives.
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12. Computers, Network & Mgmt
7. Mainframe: In the early days of computing,
mainframes were huge computers that could fill an
entire room or even a whole floor! As the size of
computers has diminished while the power has
increased, the term mainframe has fallen out of
use in favor of enterprise server. You'll still hear
the term used, particularly in large companies to
describe the huge machines processing millions of
transactions every day
8. Minicomputer: Another term rarely used anymore,
minicomputers fall in between microcomputers
(PCs) and mainframes (enterprise servers).
Minicomputers are normally referred to as mid-
range servers now.
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13. Computers, Network & Mgmt
9. Supercomputer: This type of computer usually costs
hundreds of thousands or even millions of dollars.
Although some supercomputers are single
computer systems, most are comprised of multiple
high performance computers working in parallel as
a single system. The best known supercomputers
are built by Cray Supercomputers
10. Wearable Computer: The latest trend in computing
is wearable computers. Essentially, common
computer applications (e-mail, database,
multimedia, calendar/scheduler) are integrated into
watches, cell phones, visors and even clothing.
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14. Computers, Network & Mgmt
There are various types of Networks:
1. LAN: This refers to Local Area Networks which
involve the interconnectivity between systems,
servers and accessories within a close range. The
can be connected via lead cables, fiber or via
wireless routers and switches
2. MAN: This refers to the interconnectivity between
LANs or systems within medium range of distance.
They can be connected via fiber (with amplifiers in-
between), radio and other technology
3. WAN: This refers to the interconnectivity of
networks and or systems that are widely
separated. Several technologies abound like DSL,
ISM Radio, Fiber, VSAT and others
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15. Computers, Network & Mgmt
Best Practice in Technology Management is centered on the
following:
1. Ensure that good governance is in place
2. Ensure that globally accepted standards are
implemented
3. IT should be strictly aligned to the business and strategy
of the organization
4. IT Group should be run by someone with an
understanding of the business and corporate goal
5. Outsourcing should be considered for support where the
core business of the organization is not. Do not develop
competencies that will be expensive to run and maintain
6. IT should be future proof
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16. eBusiness Fundamentals
Electronic Business, commonly referred to as
"eBusiness" or "e-Business", may be defined
as the utilization of information and
communication technologies (ICT) in support of
all the activities of business.
Commerce constitutes the exchange of products and
services between businesses, groups and
individuals and hence can be seen as one of the
essential activities of any business. Hence,
electronic commerce or eCommerce focuses on
the use of ICT to enable the external activities
and relationships of the business with individuals,
groups and other businesses
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17. eBusiness Fundamentals
It is important to note that eBusiness is much more than
eCommerce. eBusiness includes the following apart from
eCommerce:
 Application of knowledge management systems
 Electronic purchasing
 Supply chain management
 Processing orders electronically
 Handling customer service
 Cooperating with business partners.
 Brand Marketing, Messaging and Collaboration
E-business can be conducted using the Web, the Internet,
ISM intranets, extranets, or some combination of these.
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18. eBusiness Fundamentals
Electronic Banking (e-banking) is defined as the
automated delivery of new and traditional
banking products and services directly to
customers through electronic, interactive
communication channels.
E-banking includes the systems that enable
financial institution customers, individuals or
businesses, to access accounts, transact
business, or obtain information on financial
products and services through a public or
private network. The channels include Mobile
Banking; Internet banking; ATM (Automated Teller
Machine);POS (Point of Sales)
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19. eBusiness Fundamentals
eBusiness can also be grouped into:
 business-to-business (B2B)
 business-to-consumer (B2C)
 business-to-employee (B2E)
 business-to-government (B2G)
 government-to-business (G2B)
 government-to-government (G2G)
 government-to-citizen (G2C)
 consumer-to-consumer (C2C)
 consumer-to-business (C2B)
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20. eBusiness Fundamentals
What should guide our eBusiness
Strategy and Implementation:
 CUSTOMER: Our Customers are the reason we
remain in business. Their present and perceived
needs have to be fully considered in our
eBusiness implementations.
 COST: There is an eBusiness possibility for
every price. Before you implement, how much
are you ready to spend?
 CONTINUITY: Business Continuity plans should
also be considered to know who to partner with.
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This will reduce the rate of sunk costs.
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21. eBusiness Fundamentals
Financial eBusiness Plans
Strategy Strength
Execution
Effectiveness
Product and
portfolio
Diversity
Skills, People
Quality &
YOUR Internal
Customer
Culture FIRM satisfaction
Reach and Internal Process
market simplicity
coverage
Organization
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22. Task Mgmt in ICT Environment
ICT has been demystified and tasks which
ceremonially resides within a core techy caucus
can be simplified to empower users control their
usage. However, the following factors should be
considered before doing this:
 What is the Exposure Level of the Users?
o BASIC
o INTERMEDIATE
o ADVANCED
o EXPERT
Like we say, you can force a camel to the stream but you cannot
force it to drink! !! !!!
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23. Task Mgmt in ICT Environment
 What is the Security Requirement of the firm?
o LOW
o AVERAGE
o HIGH
o RISKY
 What level of business criticality is attached to
the ICT platform?
o VERY LOW IMPACT
o AVERAGE IMPACT
o HIGH IMPACT
o FULL SHUTDOWN
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24. Task Mgmt in ICT Environment
 What are the cost implications of hiring?
o INSIGNIFICANT
o IRRITANT
o MAJOR
o TOTAL
 What are the cost growth potentials?
o PREDICTABLE
o GEOMETRIC GROWTH (CURVED LINE)
o ARITHMETIC GROWTH (STRAIGHT LINE)
o DEALS-LINKED
o PRE-DEALS COMPULSORY
o OPERATIONAL
o ONE-OFF
ISM o REGULATORY/POLICY-DEFINED/EMOTIONAL RECRUITMENT
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25. Task Mgmt in ICT Environment
Looking at all the components mentioned, it is
therefore necessary to state that tasks can be
managed centrally, regionalized or fully
outsourced.
Tasks can also be fully automated, partially
automated or manual. Automated tasks have a
high take-off cost and a predictable running
costs while manual ICT tasks may be cheap to
run but are not efficient, do not generate spot-
on MIS data and are normally associated with
key man control risks
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26. Task Mgmt in ICT Environment
ICT has been demystified and tasks which
ceremonially resides within a core techy caucus
can be simplified to empower users control their
usage. However, the following factors should be
considered before doing this:
 What is the Exposure Level of the Users?
 What is the Security Requirement of the firm?
 What level of business criticality is attached to
the ICT platform?
 What are the cost implications of hiring?
Mainland What are the cost growth potentials?
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27. Strategic ICT investment:
Investment Analysis
 Why should I invest on ICT?
 What should dictate my investment?
 Are there tools to guide my
investment?
 How do we recover past investment?
 How do we create a balance between
investments and cost-savings?
ISM  Who should control IT Investment?
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28. Strategic ICT investment:
Investment Analysis
The following should guide you when you
want to make an ICT Investment
 Corporate Strategy and Policies
 Customer Needs
 Operating Countries Regulations
 Business Value
 Budget and Costs (Purchase, Maintenance, Escrow,
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Change, Licensing, Training, Dependencies and others)
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29. Strategic ICT investment:
Investment Analysis (cont’d)
 Future-proof state of the Investment
 Support Capacity (esp. Localized)
 Buy-back Opportunities
 Inter-operability with Existing Systems
(Open systems are better)
 Adherence with defined and globally
accepted standards
ISM  Time to deploy and start reaping value
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30. Question and Answer
Q
A
and
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