MIS 3534 – Prof. Min-Seok Pang

Week 06 – Cost of IT (I)

Online discussion questions – Oct 10

  • On Page 58, it reads “we’ve run closer to 5 to 6 percent of sales on IT spending. Which, by the way, Davies thought wasn’t enough to keep IT assets from degrading over time..” Why does Mr. Davies mean by degrading?
  • What are the examples of IT systems that have high strategic impacts but not operational dependency?
  • What are the examples of IT systems that have high operational dependence but not strategic impacts (other than flight scheduling systems)?

Week 6 – Cost of IT (I) – class slides and videos

Week 06 – Cost of IT (I) (color).pdf

Week 06 – Cost of IT (I) (bw).pdf

Sandy’s Impact on DC Travel – NBC Washington (http://www.nbcwashington.com/video/#!/weather/Sandys-Impact-on-D-C–Area-Travel/176499231)

Computer Failures Bring Southwest Airlines to a Halt – NBC News (http://www.nbcnews.com/nightly-news/video/computer-failures-bring-southwest-airlines-to-a-halt-543189571733)

Week 6 – IT Adventures Ch. 4 and 5 – Brief Guideline

Read IT Adventures Chapter 4 and 5 and write ONE reading brief (NOT two) up to 200 words that includes both chapters.

  • What is the funding mechanism for IT at IVK? What is a chargeback? (Ch. 4)
  • How have IT portfolio and spending at IVK evolved for the last several years? (Ch. 4)
  • Describe the concepts of “Competes vs. Qualifiers” and IT Strategic Grid (Ch. 5)

In-class discussion questions – Week 7 (Oct 10)

  • Why does an IT system need maintenance? It does not become rusty!
  • On Page 58 of the textbook, it reads “we’ve run closer to 5 to 6 percent of sales on IT spending. Which, by the way, Davies thought wasn’t enough to keep IT assets from degrading over time..” Why does Mr. Davies mean by degrading?
  • If it needs to spend money in maintaining IT systems, how much does a company need to spend on it?
  • What happens with too little spending in maintenance? What happens with too much?
  • Spending in IT maintenance should depend on what?