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SESSION REPORT ~SHARE~
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61 MS07 Information Technology Management 125
SHARE NO. SESSION NO. SESSION TITLE ATTENOhNCE INFORMATION TECHNOLOGY MANAGEMENT
Comp~ter Management and Evaluation (CME) S. Asad RCH A Framework for Planning and Controlling of New
PROJECT SESSION CHAIRMAN INST.CODE Information Technology Investments
RCA/CISS, Building 204-2, Route #38, Cherry Hill, NJ (609) 338-6543
SESSION CHAIRMAN'S COMPANY. ADDRESS. and PHONE NUMBER
INTRODUCTION
Every month articles appear in the business and popular press
proclaiming the importance of "Office Automation". They usually
Information Technology Management begin with a lengthy justification of the issue as a cause for
management attention. So much has been written and spoken on the
A Framework for Planning and Controlling subject that is unproductive to reproduce the efforts. Instead,
New Information Technology Investments we begin by identifying the conclusions which appear to be
universally accepted.
Harry A. Freedman For example, the U.S. work force continues to shift from one that
is blue collar (agricultural and manufacturing) dominated towards
RCA Corporation one that is white collar (information and service) dominated.
Two Independence Way Figure 1 shows the trend graphically. Automation on the farm and
Princeton, NJ 08540 in the factory has so significantly improved productivity that we
need no longer deploy as much of our labor force in these areas.
Installation Code: RCH Not only are new information- and service-based industries
growing, but the white-collar cost component of manufactured goods
()'! Computer Management and Evaluation Management Division is also increasing.
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M507 The continuing decline in unit costs and increase in functional
capabilities of electronic, storage, printing, communication and
software technologies will offer management significant new
opportunities to deploy these technologies within the business
Abstract processes.
Figure 2 graphically depicts trends in the technology-cost versus
New information technologies offer opportunities to improve labor-cost trade-offs. Tasks which could not be automated
organizational productivity and competitive position; however, yesterday because of function or cost now must be automated if one
these opportunities raise significant management issues that must is to remain competitive. In the future,--uils trend will enable
be addressed if our investments in these technologies are to be automation of processes that today are not perceived as attractive
profitable. opportunities.
In the next few years the management of all businesses will be These technological advances can and must be deployed to produce
called on to make significant investment decisions in office- significant gains in productivity in the management and
based equipment, communications facilities, software and professional segments of the white collar work force. Booz-Allen
training. This paper was developed to help provide management & Hamilton, Inc. has stated, "Firms actively pursuing new
with a framework for making these investment decisions. It technologies will be the winners while those that do not will be
raises issues for management consideration and suggests possible the losers