Monday, August 23, 2010

There is an ironic truth in the management complaint that computers have made the business so complex that if the power goes off or the information technology freezes up, everybody may as well go home. It has come to pass that we are so deeply invested in computers to operate on a daily business that we can not continue to operate without them. While this is literally true in many manufacturing and financial sectors, it is also beginning to be the state of affairs for nearly every company, and highlights the need for systems management software.

 

In the days before the information systems tidal wave, managers still made decisions based on information. Certainly the information was lower in volume and less sophisticated, but it was relevant information the manager could use to operate his business. The advent of computers allowed the manager to widen the pool of data he could tap into and therefore make his decisions more accurately and confidently. As this ability has progressed, the dearth of information has turned into a flood.

 

The manager is now faced with so much information about every topic that discerning the valuable information from background noise data is seriously problematic. Hiring decisions used to be made following an interview, with questions and answers and the unquantifiable interpersonal ques an interview provides. Today a successful candidate of yore may be electronically eliminated by an insignificant criterion before an interview is even conducted.

 

There is no question that the greater the quantity of valuable accurate data a business has to feed into the decision making process, the more likely a correct decision will be arrived at to the benefit of the company. The problem is knowing how much data is enough, and which data is useful. A manager needs to know what data was collected and under what conditions to understand the information from it. Trying to keep track of all the individual input through his area of operational control necessarily requires precious time sacrificed from running the business.

 

The reason for the explosion of information technology is that, when used well, it is a tremendous boost to corporate efficiency. Communication can be immensely more effective when all the decision makers of a large organization all have the same information at hand when discussing significant strategy and tactics. But it dos not always tell us what is important. A small airline company can produce thousands of data entry points to track and report the systemic progress of getting an airplane in the air on time. But this will never help a manager figure out that what the customer cares about is not the takeoff time, but the landing time at destination.

 

Not surprisingly, this phenomenon is known to information system specialists, who are working feverishly to reign in the complexities of using management tools. It should also be no surprise that the solution will likely entail software designed to run or enhance the existing management tools, computers in charge of computers. This secondary iteration of control is much like the levels of management in a company, with each successive level designated to run the level below, allowing the higher levels to focus on a more strategic role.

 

If a business is in the manufacturing industry, management does not want or need to spend its time gathering and inputting data about the supply chain, constructing statistical process control charts, or gathering data on trends in the demand for their product or the prices of their supply chain. What they need is that data collected for them by an automated system that collects and collates the information and packages it in a readily identifiable format and delivered to their desktop before the day begins.

 

This is the ultimate purpose of and advantage to using systems management software. It keeps the onus of detailed data input and collection distributed across a workforce with the appropriate specialists. Individual employees input the data relevant to their portion of the company process.The software then executes the appropriate queries to collate the correct data to provide managers with the usable information they need in a format they can readily put to operational use.

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