Information resource management for corporate decision support by WILLIAM H. GRUBER Research and Planning, Inc. Cambridge, Massachusetts and

GEORGESONNEMANN Nationwide Insurance Company Columbus, Ohio

ABSTRACT Decision support systems were a major force that ended the monopoly of information processing resources once held by the traditional corporate data processing function. In order to gain direct access to the data and models that the decision makers needed but could not get from data processing, users increasingly turned to the microprocessor and the use of timesharing from outside vendors. This created a proliferation of information technology to support management deCisions. During the very early history of this move toward decision support systems, the corporate data processing function remained focused on its initial mission of processing accounting transactions. This paper traces the next stage in the management of decision support systems, whereby both corporate data processing, or the information systems function, and the user share the responsibility for decision support as a team. This new integration of the information systems function and users provides an extraordinary improvement in the effectiveness of decision support via the sharing of data and modeling; the integration of decision makers' and corporate functions; and the teaming of information systems professionals knowledgeable in the technology with users who are experts in the management of the business. A case study demonstrates the effectiveness of this integration between information systems and the users and the management of corporate decision support services.

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From the collection of the Computer History Museum (www.computerhistory.org)

From the collection of the Computer History Museum (www.computerhistory.org)

Information Resource Management for Corporate Decision Support

PROLIFERATION OF INFORMATION RESOURCES During the last decade, there has been a proliferation of information technology to support management decisions. The field of data processing has evolved from one in which the primary focus was the processing of accounting transactions to one that focuses on support for management decisions and other kinds of professional and secretarial functions. This proliferation of information resources has resulted in a number of new concepts and acronyms such as decision support systems (DSSs), management support systems (MSSs), executive information systems (EISs), the information center, endusers, hybrids, executive information room, office technology and office automation (OT/OA), teleconferencing, graphics, micros, and the micro mainframe. Thus the power of the technology to support management decision making has improved at an extraordinary rate during the last decade. The proliferation of information resources to support management activity has been purchased at a huge expense by many companies. It has been largely uncontrolled in the vast majority of the companies with which we have worked. The management issues created by the proliferation of DSS activity are listed in Table I.

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and the very large investments in information assets and information processing, leading companies have implemented information resource management to achieve greater productivity and more effective use of information resources. The scope of the IRM function can be seen from the list of its responsibilities in Table II. TABLE II-Information systems management responsibilities 1. 2. 3. 4. 5. 6. 7. 8. 9.

to. 11. 12. 13. 14. 15. 16.

Hardware Software Information-based company products Information-based customer relations Traditional application systems Technical staff Data and information management Telecommunications Office technology/office automation Corporate policies/procedures Micros Graphics Executive information room Information center Decision support systems Management support systems

TABLE I-Management issues in corporate decision support systems (DSSs) 1. Management responsibility for the corporate decision support systems capability 2. Adequacy of DSS by major corporate function/decision category 3. Data adequacy/access/security 4. Sharing of DSS resources 5. Hardware/software resources 6. Staff resources 7. Security for DSS models

This transformation from traditional data processing to information resource management requires new roles for professionals who have been trained in data processing technology.1 The information management function of the 1980's, in contrast to the ADP/EDP function of the 1950's and 1960's or the information systems function of the 1970's, proactively assists business managers in improving their effectiveness through improved use of information resource managementthe decision support and management support roles of the modern corporate information management function.

INFORMATION RESOURCE MANAGEMENT

USING A DSS

It is now timely to focus on the role of information resource

The initial history of the use of DSS is one that Peter Keen has called "cherry picking." Relatively simple problems were solved using inexpensive technology such as Apples and VisiCalc. The more difficult management problems involving strong data architecture, sizeable databases, links to the corporate management information systems, and integration among several corporate functions were not attempted. In Figure 1 we present a more complete structure of a decision support system than was used in most of the early applications of DSS technology. In this view of DSS, the manager has a

management (IRM) for corporate decision support. Out of the chaos that resulted from the proliferation of information technologies has emerged this concept of information resource management. The primary mission of information resource management is the effective use of information resources. Information is today one of the largest categories of corporate assets. In fact, it can be said that information and people are the two most important kinds of corporate assets. In response to the extraordinary importance of information

From the collection of the Computer History Museum (www.computerhistory.org)

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National Computer Conference, 1983

MANAGER

E DSS

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HISTORICAL RESULTS

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