TEST BANK FOR MANAGEMENT INFORMATION SYSTEMS MANAGING THE DIGITAL FIRM 17TH EDITION KENNETH C. LAUDON, JANE P. LAUDON
Digital organisation summary
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hMIS summary 5-11
Chapter 5
What is IT infrastructure and what are its components?
An IT infrastructure consists of a set of physical devices and software applications that are required
to operate the entire enterprise. But an IT infrastructure is also a set of firm wide services comprising
both human and technical capabilities.
The services a firm is of providing to its customers, suppliers and employees are a direct function of
its IT infrastructure. Ideally, this infrastructure should support the firm’s business and information
systems strategy. New information technologies have a powerful impact on business and IT
strategies, as well as the services that can be provided to customers.
The service platform perspective makes it easier to understand the business value provided by
infrastructure investments. A new modern computer with a fast internet connection can reduce the
wait time for internet information about an hour per day. The value of this one employee’s output
might double with these services.
What are the stages and technology drivers of IT infrastructure evolution?
There are 5 stages in the evolution of IT infrastructure:
1. General purpose mainframe and minicomputer computing
2. Personal computers
3. Client/server networks
4. Enterprise computing
5. Cloud and mobile computing
1959 – Present: General-Purpose mainframe and minicomputer era
First commercial use of mainframe computers. The IBM 360 series were first commercial computers
that could provide time sharing, multitasking and virtual memory. From this point on IBM has
dominated mainframe computing. The mainframe era was a period of highly centralized computing
under control of professionals. This pattern changed with the introduction of the minicomputers.
,Powerful machines at a far lower price, making it possible to decentralize computing and customize it
to the specific needs of individual departments. Nowadays minicomputers evolved into a midrange
computer or server that is part of a network.
1981 – Present: Personal Computer Era
Although the first PC’s appeared in the 1970s the launch of the IBM PC in 1981 is considered the
beginning of the PC era because it was the first to be widely adopted by American businesses. It first
used the DOS operating system (a text based command system) and later Microsoft Windows. PCs
were stand-alone systems until PC operating system software in the 1990’s made it possible to link
them into networks.
1983 – Present: Client/Server Era
In Client/server computing, desktop or laptop computers called clients are networked to powerful
server computers that provide the client computers with a variety of services and capabilities. The
computer processing work is split between these two types of machines. The client is the user point
of entry, whereas the server typically processes and stores shared data, serves up web pages or
manages network activities. The term ‘server’ refers to both the software application and the
physical computer in which the network software runs. Nowadays servers typically are more
powerful versions of personal computers.
1992 – Present: Enterprise Computing Era
In the early 1990s firms turned to networking standards and software tools that could integrate
disparate networks and applications throughout the firm into an enterprise-wide infrastructure.
Business started linking different pieces of computer hardware and smaller networks into an
enterprise-wide network so that information can flow freely across the organization and between the
firm and other organizations. It can link different types of computer hardware and public
infrastructures such as the telephone, internet and public network services.
2000 – Present: Cloud and mobile computing Era
The growing bandwidth of the internet has pushed the client/server model one step further; Cloud
computing. Cloud computing refers to a model of computing that provides access to a shared pool of
computing resources over a network (often the internet). These ‘Clouds’ can be accessed on an as-
needed basis from any connected device and location.
, Technology drivers of infrastructure evolution
Moore’s Law is about microprocessor performance and computer power. It means more
performance.
There are at least 3 variations of Moore’s Law
1. Clai
The law of Mass Digital Storage = deals with the rapid decrease in costs of storing digital data. The
amount of data you could store on magnetic media for $1 from 1950 to present roughly doubled
every 15 months.
Metcalfe’s Law = claims that the value or power of a network grows exponentially as a function of
the number of network members.
IT infrastructure ecosystem
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