Project Description - Essay Example

Project Chapter 8 Question Assigning IT budgets to user departments presents a number of advantages key among which is the cost effectiveness of such a management mechanism. It is common knowledge that every department has its unique information management needs. By assigning every department its own budget, it allows the departments to use the funds in accordance with its unique needs without straining the management of the organization. In allocating the funds, every department receives money in accordance with its information management needs and therefore its size. Additionally, such budgets are flexible. This eases the management of the departments since every department has control over its funds. The heads of the respective departments determine the most important operations that require immediate monetary attention. This has often proven more effective in introducing newer and better technologies in the respective departments thereby improving the efficiency of service delivery. Concisely, budgetary allocation per department devolves the management of the organization to every department. This results in a more challenging work environment, one that is most likely to improve productivity in the organization. Question 2 Slush fund is a colloquial expression that mostly refers to reserve funds. These are money stashed away from the daily operations of the organization mainly for use during emergencies. In IT, this category of monetary advantage is of essence especially in enhancing both reliability and efficiency of operation in the organization. Just as the name suggests, information technology is a highly technical discipline that relies on the use of sophisticated machines (Austin, Richard and Shannon 142). Machines have their unpredicted inefficiencies most of which arise from the fact that all machines rely on electricity for operation. Additionally, technology develops rapidly and within a financial year, a better technology that promises better returns may possibly develop. However, with reserve funds, the organization avoids any operational anomaly arising from the technicalities of operations such as power failures and breakdowns or obsolete technology since the organization easily replaces defunct machines. Effective management of the slush funds requires informed purchase decisions. Before buying a facility, the department must conduct effective market research thereby obtaining adequate information on all the options in the market. This infers that every purchase made promises a return on the investment. Question 3 Budget control is a tool in management that monitors the manner in which the organization uses money. This includes an effective audit of the organization’s worth in a fiscal year and a stringent yet workable regulation of the finances in the organization. In the essay, Barton asks for a budgetary control, this is the best move he ever makes in the organization. Despite the probable several operational impediments, budgetary control improves accountability in the organization by demanding a bill of sale or a provision of proof for every financial transaction conducted in the organization. This does not only improve efficiency but also promises a more challenging work place that motivates employees. Budgetary control does not only imply a reduction in the organizational spending, during the review or financial audit. The auditor determines the financial need for every department in the organization. This therefore informs the subsequent budgetary review of the annual information technology budgetary allocation per department in the organization. This infers that some departments receive a hike on their annual allocations while others receive a reduced amount of money owing to their development and information technology needs. Barton therefore stands to benefit from such. Chapter 9 Question 1 Owing to the structuring of the agenda, the last item on the meeting did not warrant much attention. It was therefore on the agenda to solicit reaction from the board members in their subsequent meeting. The item, which implored the possibility of replacing the backup mechanism, was not of much importance at the time since the existing backup mechanism still served as effectively as the next. Meeting agendas have specific structures that move from a point of discussion to the next based on their importance to the board. The last section in every agenda is always the Any Other Business. This sections provides an opportunity for the members of the board to discuss other non-pertinent issues relating to the operation of the organization. The last item on the agenda featured for mentioning since the board thought of its possibility even though the technology had a significant amount of irrelevance. The mention therefor gives the board members an opportunity to contemplate the issue and develop effective deliberations in subsequent meetings but only if the issue gains both operational and financial relevance to the board and the organization. Question 2 Oversight committees supervise operations of the organization. These committees operate in a similar manner to the audit committee only that their membership entails of the organization’s stakeholders. These are people with stakes in the operations and the profitability of the company and are therefore entitled to the operational and financial information of their investments. However, oversight committees gain more relevance when the organization is in either an operational or a financial jeopardy following a catastrophe or financial misappropriation both of which incapacitate the organization. In the case, the board delays the creation of an oversight committee. The reasoning for the delay has both positive and negative connotations. The board had held the view that the organization is stable and operates at its optimum level. They therefore do not find it necessary to constitute the oversight committee to while they perform a role similar to that which the committee would. By considering the committee redundant, the board saves the organization money but considering the fact that some of the board members have misappropriated funds from the organization makes their actions suspicious. They therefor refuse to create the committee to cover up their ill operations in the organization (Austin, Richard and Shannon 149). Question 3 Carrarro and William are both Barton’s colleagues. He therefore needs to build and sustain a working relationship with the two; however, the two have proven gullible in most some of their previous operations. Instead of working as a team, the two have often sought for Barton’s weaknesses and tried to capitalize on them to gain both financial and professional advantage over him. The realization of this therefore definitely changes the nature of their relationship. Despite the knowledge, Barton should stay in control of his actions and more specifically those relating him with the two. It is advisable that he maintains a professional relationship with the two. However, he should not involve them in his social life since giving them a chance to know him better with only make him more vulnerable to their schemes. The two view him as a competition and now that he knows it, he should work harder and eliminate all the flaws in his actions most of which the two may capitalize on. Work cited Austin, Robert D, Richard L. Nolan, and Shannon ODonnell. The Adventures of an It Leader. Boston, Mass: Harvard Business Press, 2009. Print. Read More