Management Information Systems-week4

Chapter 5: IT Infrastructure and Emerging Technologies

5.1 Learning Objectives

  • 5-1: Understand what IT infrastructure is and explore its stages and drivers of evolution.

  • 5-2: Identify the main components of IT infrastructure.

  • 5-3: Discuss current trends in computer hardware platforms.

  • 5-4: Analyze current computer software platforms and trends.

  • 5-5: Recognize challenges involved in managing IT infrastructure and explore management solutions.

5.2 Video Cases

  • Case 1: Rockwell Automation and IoT in the Oil and Gas Industry.

  • Case 2: ESPN.com and the future of sports broadcasting in the cloud.

  • Case 3: Netflix's cloud-based business model.

5.3 EasyJet Case Study

Problem

  • Challenges:

    • Costly IT infrastructure.

    • Operating in a highly competitive airline industry.

Solutions

  • IT infrastructure investment and innovation.

  • Adoption of Microsoft Azure for cost-effective cloud services.

    • Online seat selection service.

5.4 Defining IT Infrastructure

  • Definition: IT infrastructure consists of the physical devices and software necessary for operating an enterprise.

  • Includes firm-wide services:

    • Computation services.

    • Facilities management.

    • IT management and education.

  • Service platform perspective: highlights the value of investments in IT services.

5.5 Evolution of IT Infrastructure

  • Main eras:

    • Mainframe/Minicomputer Era: 1959 to present.

    • Personal Computer Era: 1981 to present.

    • Client/Server Era: 1983 to present.

    • Enterprise Computing Era: 1992 to present.

    • Cloud and Mobile Computing: 2000 to present.

5.6 Technology Drivers of Evolution

  • Moore’s Law: Computing power doubles every two years.

  • Mass Digital Storage Law: Data volume doubles yearly.

  • Metcalfe’s Law: Network value increases exponentially as more members join.

  • Declining Communication Costs: Growth and scalability of the Internet.

  • Technology Standards: Improve compatibility and economies of scale.

5.7 Components of IT Infrastructure

  • Key components:

    • Computer hardware platforms.

    • Operating system platforms.

    • Enterprise software applications.

    • Data management and storage solutions.

    • Networking/telecommunications platforms.

    • Internet platforms.

    • Consulting and system integration services.

5.8 Current Trends in Computer Hardware Platforms

Mobile Digital Platform

  • Devices including smartphones, tablets, and wearables.

  • Impact of BYOD (Bring Your Own Device) on business IT strategy.

Quantum Computing

  • Utilizes principles of quantum physics for fast processing.

Virtualization

  • Facilitates resource management by enabling multiple OS instances on one physical machine.

Cloud Computing

  • IT Services: IaaS, SaaS, PaaS, allowing flexible IT scaling and cost management.

    • Risks: Security and reliability concerns.

Green Computing

  • Focus on reducing environmental impact through efficient technologies and power-saving practices.

5.9 Current Trends in Computer Software Platforms

Open-Source Software

  • Community-driven production; examples include Linux and various web software.

Web Services and SOA

  • Использование XML and service-oriented architecture to enhance software functions.

Software Outsourcing

  • Growing reliance on outsourcing enterprise software and cloud services, emphasizing SLAs (Service Level Agreements).

5.10 Dealing with Platform and Infrastructure Change

  • Need for scalable IT infrastructure as firms grow or shrink.

  • Importance of establishing new management policies for mobile and cloud environments.

5.11 Management and Governance

  • Considerations for IT department organization: centralized vs. decentralized.

  • Cost allocation strategies across divisions and departments.

5.12 Strategic Infrastructure Investments

  • Balancing under- and over-investment to optimize firm performance.

  • Emphasis on choosing between renting and buying IT resources.

5.13 Total Cost of Ownership (TCO) Model

  • Analysis of both direct and indirect costs associated with IT assets.

  • Highlighting ways to reduce TCO through cloud services and centralizing resources.

5.14 Competitive Forces Model for IT Infrastructure Investment

Key Factors

  • Market demand for services and dynamics of the competitive environment.

  • Business strategy aligned with IT infrastructure and cost frameworks.