MIGRATING TO NEW TECHNOLOGY Part 2 SELECTING NEW TECHNOLOGY.

MIGRATING TO NEW TECHNOLOGY

Part 2SELECTING NEW

TECHNOLOGY

There is so much technology availableChoose by evaluating the options and determining what is most relevant for your needs. THEN select the BEST specific products and services for you

TRENDS and DIRECTIONS

More powerful computersFasterGreater processing speedGreater storage capacityCheaper

Communications – global society

SOURCES of INFORMATION

How can you keep informed?

CONSULTANTS

The experts in ITResearch available and new solutions

Research companies

SUPPLIERS

New Product showsBill Gates, MicrosoftAppleAdobeIBMDigital

Mailing lists

CONTACTS

Other peopleColleagues, past and presentPeople you studied withPeople you’ve met at

Suppliers presentationsUser group meetingsProfessional organisations – ACS

Network People

Provided confidentiality and competitive advantage are not compromised, people are usually happy to share information and experiences – you get to share too

PUBLICATIONS

Get information on the latest developments and future trends from

IT specific publications Generic publications with IT articlesInternet searching most companies have websites

TRADE SHOWS

Exhibitors at IT trade shows are suppliers showing their latest products and services.By attending a trade show, you can find out which of the latest developments might be useful to you in your IT strategy

EVALUATING NEW TECHNOLOGY

There are always new IT products But is it good for your organisation? Does it fit in with the strategic plan?

IT BUSINESS STRATEGY

Business Strategy Information Technology

Develop closer relationships with customers

Implement a customer information system

Make better management decisions

Implement a decision support system

NEW PRODUCT CONSIDERATION

IT action General ledger system

Customer knowledge base

Decision support system A

Decision support system B

WP Voice Recognition system

Implement a customer info system

x x

Implement a decision support system

x x

Evaluation shows that ….

customer knowledge databasedecision support system A and decision support system B are consistent with the IT strategic plan and worth further consideration

SELECTING NEW TECHNOLOGY

new products and services identified they fit the IT plan select the right ones for your

organisation

FUNCTIONALITY

what does it do?how well does it do it? Comparisons

COMPARE PRODUCTS

Functionality Product A

Product B

Reports by age groups Reports by geographical areas

Reports on spending patterns

Reports on product preferences

Reports by income categories

x

NET BENEFITS

benefits less costs

BENEFITS

tangible benefits $$$$ staff reductionsstorage savings

intangible benefits positive changes improved customer servicebetter decision making

COSTS

Tangible costs softwarehardwarelabour to implement technology

Intangible costs decreased staff moralelower productivity

SECURITY

user log-in codes and passwordsselective accessdata encryptionpassword-protected screensavers

GROWTH

can the new technology keep up with your company’s expected growth?for example, if you expect to increase customers by 10% each yearincrease sales orders by 15% each year

DELIVERY TIME

Is the time frame achievable?For example:

Strategic plan calls for one-year implementation, but two years to complete

SOFTWARE and HARDWARE

does the new technology fit with existing infrastructure?

SUPPORT

TrainingDocumentationhelp desk supporttime frames – if computer breaks down, expected maintenance time?

RISK

What is the chance of success? What level of risk are you willing to accept?HIGH RISK – greater chance of problems, more possibility of failureFailure may be high if its new and untriedRewards may be high if you have gained a business advantage over others

SELECTING the TECHNOLOGYComparison of similar products

Criteria Product A Product B

Functionality Satisfies all requirements Satisfies all requirements except providing details of customer’s income

Net benefits Expected to save $50,000 per year

Expected to save $45,000 per year

Security Adequate Adequate

Growth Will satisfy expected growth for the next 5 years

Will satisfy expected growth for the next 5 years

Software & hardware environment

Needs an upgrade of hardware

Runs on existing hardware

Support Training, documentation and help desk support provided

Training, documentation and help desk support provided

Risk New product from an established company - medium

Existing product used by several well known users - low

MEASUREMENT CRITERIA

After implementation – compare your business goal and planned action to see if the new technology has achieved success

Business Goal Planned action

Reduce costs by $10,000 a year

Automate a labour-intensive function

Increase efficiency by increasing production by 10% with current staffing levels

Implement a more efficient production control system

• Have costs been reduced by $10,000 per year ?• Has production increased by 10% ?

Activity 7.5Think of an IT related goal for the second and third business goals in table that could be used to measure the effectiveness of the new technology

Business Goal Planned Action

Increase quality by reducing the number of defects by 10%

Increase the number of inspections of products during production

Increase customer service by developing a special relationship[ with profitable clients

Identify profitable clients and their requirements

SUMMARY – IT

IT will continue to change rapidlyMore computer power at a lower priceCommunications an integral part of ITNew applications of technology will be developed

SUMMARY - professionals

IT professionals need to keep up with developmentsInformation sources are

ConsultantsSuppliersContactspublications,trade showsthe internet

SUMMARY- relevance

Examine organisation’s IT strategic planWorth considering IF it fits with the direction of the planIf its relevant, select products and services according to cirteria relevant to organisation

SUMMARY – evaluation

measure success against the strategic business plan

The End