Management of Technological Organizations - Working with Money and Performance Management

1. Management of TechnologicalOrganizations-Working with Money and Performance Management Catherine L. Smith Friday April 18, 2008 9:50 AM to 12:50 PM

2. Today’s Agenda Student Instructional Rating Carr – Does IT Matter? Performance Planning and Assessment Review for Exam 2 Work on Individual Portfolio Projects (for) Management of Technological Organizations (04:547:210)

3. Student Instructional Rating Start today’s class with Student Instructional Rating (Class Evaluation) Need volunteer to collect and turn into office (either Marsha or Mary Beth) Thanks! College: 04 Department: 547 Class: 210 Section: 03 Instructor: Catherine Smith Class title: Management of Technological Organizations (for) Management of Technological Organizations (04:547:210)

4. Comments on …. appreciated • The textbook • The materials (handouts, lecture slides and notes) • The assignments: • Case study • Individual portfolio project • Others • Team focus • The teacher (Cathy!) • The lectures • The lab work • Anything else important College: 04 Department: 547 Class: 210 Section: 01 Instructor: Catherine Smith Class title: Management of Technological Organizations (for) Management of Technological Organizations (04:547:210)

5. DOES IT MATTER ANY MORE?

6. Some comments… “Carr states that IT management should spending more frugally and think more pragmatically, waiting for IT strategic values to rise anew. This is essentially a safe approach, but doesn't the IT field itself require taking risks for more beneficial results in the future?” “I do not fully agree with Carr's comparison of electricity to IT. Electricity serves one function only and there is only a certain extent to which its technology can be improved upon. Obviously more efficient power plants/alternative forms of power can be deployed but in the end the electricity is doing the same thing. IT however, even in a business context, does many different things. Computer technology can always be improved upon. The main area for growth is software. New programs will always be written for accomplishing new tasks. There will not be a standard program, excluding OS's, that every corporation will use.” (for) Management of Technological Organizations (04:547:210)

7. ..some more… “Carr's idea is that businesses need to implement rare, scarce applications that give them a competitive edge. After all, you can't have an edge over your competition unless you can offer something they can't. As IT costs decreased, more and more companies began to implement technologies, making ICTs less of a competitive advantage. This notion is provocative, but I happen to agree with it. IT has become more affordable, more prevalent, and less of an edge. The need today is to create ICTs that are useful and that are dynamic.” … so IT does matter? …. (for) Management of Technological Organizations (04:547:210)

8. Does IT Matter Anymore? After publication of Carr’s article there was a firestorm of responses. Why do you think this happened? Some of those who responded to Carr’s article include… • John Seely Brown, former chief scientist at Xerox Parc • Hal Varian, Dean, School of Information management and Systems UC Berkeley What are your thoughts? • What is the point? • What are the arguments? • What are the historical precedents? • What are proprietary and infrastructural technologies? • Do you agree or disagree with Carr? Interview with Carrhttp://www.news.com/1606-2-5201774.html (for) Management of Technological Organizations (04:547:210)

9. Performance Management (for) Management of Technological Organizations (04:547:210)

10. Working with People Challenges of attracting and retaining talent “Talent wars” as one of the challenges of today’s IT/IS departments. It is imperative to have good people in order to run an excellent IT department. What are some good practices for staffing IT organizations? • Job analysis, etc. • Recruiting • Reviewing applicants, Interviewing, Hiring • Training • Retention (for) Management of Technological Organizations (04:547:210)

11. Job Analysis Let’s begin with job analysis Job analysis is a method for obtaining important facts about a job. Specifically, the job analysis obtains answers to four major questions which the job description and job specification require. • What physical and mental tasks does the worker accomplish? • How does he or she do the job? Here the methods used and the machinery or equipment are explored • Why is the job done? (A brief explanation of the purpose and responsibilities of the job) • What qualifications are needed for this job? (knowledge, skills, and abilities) (for) Management of Technological Organizations (04:547:210)

12. Job Analysis(Cont’d.) A job analysis provides a summary of a job: • Duties & responsibilities • Relationships to other jobs • Knowledge and skills • Working conditions of unusual nature (for) Management of Technological Organizations (04:547:210)

13. Job Description Outline from Job Analysis Three descriptions are required for your portfolio project. Use this format! A job description should include: • Date • Job Title • Statement of the Job – a brief summary • Major Duties (usually 3 – 8 duties) • Minor Duties (those only performed occasionally) • Relationships (Report to? Work with?) • Job Specification (special requirements for successful performance; hazards; unusual conditions, etc.) • Knowledge, skills and abilities • Education • Experience • Physical and mental requirements (for) Management of Technological Organizations (04:547:210)

14. Hints on Writing Job Descriptions Points to consider… • Think of responsibilities as well as perks • Spell out categories: Major Duties, Minor Duties, etc. • Executive positions require special knowledge of financials, personnel law, and interpersonal communication skills. • Don’t confuse personals ads with job descriptions. • Duties are action words expressed in verbs. • Educational levels are necessary. • Level of experience (how many years, etc.) must be included. Why is it critical to analyze a job well and write careful job descriptions? People should only be evaluated on the work they have been contracted to perform (for) Management of Technological Organizations (04:547:210)

15. Performance Management There are several purposes for conducting performance reviews: • To give the employee feedback on how they are doing on the job; • To intervene if there are problems; • To set goals for future work; • To reward the employee for a job well done. The review is often used as a basis for promotion, raises and bonuses as well as other perks. (for) Management of Technological Organizations (04:547:210)

16. Performance Management (Cont’d.) Performance Management Use of Deming’s PDCA Cycle “Design or revise process components to improve results” “Decide on changes needed to improve the process” “Assess the measurements and report results” “Implement the plan and MEASURE ITS PERFORMANCE” (Arveson, P. (1998). The Deming Cycle. Accessed 20 April 2006. Available at http://www.balancedscorecard.org/bkgd/pdca.html.) (for) Management of Technological Organizations (04:547:210)

17. Performance Management (Cont’d.) How often is a performance review conducted? • Once a year is standard. • Mid-year (interim) reviews are common. • For a new employee, a performance review is often done quarterly or every six months. (for) Management of Technological Organizations (04:547:210)

18. Performance Management (Cont’d.) What exactly is the process? • Typically, a form is available in the organization that cover items such as • Meeting responsibilities • Quality of work • Quality of supervision • Timeliness of work performed • Taking initiative • Supporting the mission of the organization • Working with others as a team member • Attitude and dependability, etc. • Goals for the future • The form usually has a numeric rating scale and a place for comments. (for) Management of Technological Organizations (04:547:210)

19. Performance Management (Cont’d.) Who conducts the performance review? • Typically, the individual is asked to do a self review (on paper). • Then the supervisor conducts a review (on paper). • Then a conference is scheduled where the employee and the supervisor discuss performance face to face. • Recently, a peer review process has become more common where fellow employees rate each other. • The 360o process is a performance review where everyone in the organization who works with the individual has a part in the performance review. (for) Management of Technological Organizations (04:547:210)

20. Performance Management (Cont’d.) It’s not an easy thing to do! • When you shy away from evaluation (e.g. just giving all team members an ‘okay’ rating without making any comments), it’s a sign that you are not yet ready to manage. • A good manager should also find the positive aspects of a person’s work and comment on those as well as any negatives. Constructive criticism provides means of improvement and managers should support employees’ efforts to improve by giving them time or financial support to learn and grow in their skills, knowledge and abilities. Let’s take a look at a real-world example (for) Management of Technological Organizations (04:547:210)

21. Performance Management (Cont’d.) Step 1: Establish ANNUAL Cascaded Goals & Objectives Establish Responsibilities BY NAME (for) Management of Technological Organizations (04:547:210)

22. Performance Management (Cont’d.) Step 2: Perform Mid-year Performance Assessments Provide brief, direct & quantified statuses (for) Management of Technological Organizations (04:547:210)

23. Performance Management (Cont’d.) Step 3: Perform Year-end Performance Assessments (for) Management of Technological Organizations (04:547:210)

24. Performance Management (Cont’d.) Step 3: Perform Year-end Performance Assessments (Cont’d.) (for) Management of Technological Organizations (04:547:210)

25. Performance Management (Cont’d.) Step 3: Perform Year-end Performance Assessments… and Compensation X (for) Management of Technological Organizations (04:547:210)

26. Job Performance Outline A performance assessment criteria should include: • Performance Period Covered • Job Title • Name of person filling role • Statement of the work done during assessment period. What were the tasks, responsibilities, key deliverables. Clearly identify linkage to higher organizational objectives. • What was person’s performance against those objectives? • Other items of note (e.g., training, education, and so on) • Relationships (Report to? Work with?) • Overall assessment. Typically this is a classification based on organizational framework (e.g., “Exceeded objectives,” “Met most and exceeded some objectives;” or “Fully accomplished,” “accomplished,” “Needs improvement”) (for) Management of Technological Organizations (04:547:210)

27. Exam 2 Review (for) Management of Technological Organizations (04:547:210)

28. For your second exam includes ideas from beginning of semester • Mintzberg & Westley models of approaches to decision making • McNurlin and Spragues’s model of IT infrastructure • McNurlin and Spragues’s dimensions or attributes of distributed systems, and types • Stages of SDLC (what’s that?) • Database planning, ERDs, tables, fields, and relationships • Knowledge management as seen by McNurlin and Sprague and by McInerney • Decision support systems • Budgets • Carr and Does IT Matter? Study the readings, lecture slides and your notes (for) Management of Technological Organizations (04:547:210)

29. Preview and Review of Next Week’s Exam (Cont’d.) STUDY BEFORE YOU GET TO CLASS THERE WILL BE NO TIMETO STUDY BEFORE THE EXAM (for) Management of Technological Organizations (04:547:210)

30. Keeping up Readings Study for your test! Assignment Study for your test! Upcoming: Submission of individual portfolio project DROP BOX no later than Friday, May 9, 5 PM sharp (for) Management of Technological Organizations (04:547:210)