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Implementing Internet in the Organization.

1-0 Introduction.

The fundamental purpose of this report is to outline the risks and the benefits associated with the implementation of Internet in a particular organization and the implementation options available. It should be clear that the risks and benefits discussed in this research may only apply to the organization in question and may not be applicable to a different organization (especially the discussion of potential benefits).

The organization of this research will be based on the following outline: Logically, following this introduction of the layout of this research, a clear description of the organization in question is made. Please note that this organization is the benchmark for the complete research. Furthermore, a brief introduction to Internet will be furnished in order to understand some of the key concepts of the "Information Superhighway". In addition, the implementation options will be outlined. Secondly, the benefits of implementing Internet will be discussed in great detail. Thirdly, potential risks to the organization will be assessed in order to contrast the benefits section. Fourth, a discussion assessing and contrasting potential benefits and risks will be made. Finally, recommendations on how the organization can cope with and solve problems and opportunities discussed throughout the earlier sections of this research. Emphasis will be placed on the process of introducing Internet to the organization. A conclusion will re-address some important concepts covered.

1-2 Description of the Business Organization in Question.

Pacific Marketing Corporation is a medium sized organization with 120 office based employees. The primary objective and the company mission is to deliver quality marketing research to Domestic and Multinational corporations. The organization is highly decentralized and it is synthesized by a range of Participative Management Teams. A wide range of people characteristics are representing the work force, including proficient computer users and computer illiterates.

In order to cope with increasing competition, the organization has decided to gain a competitive advantage throughout the implementation of a new strategic computer based system, which should aid the process of research on a global basis. Presently, the organization relies upon Statistical data year books, national census publications, professional librarians and other research methods. Computers are only used for compiling basic spreadsheets, word processing and data base maintenance (all Microsoft Windows™ Based). Only 60 percent of the work force of 120 has access to a Personal Computer (PC). A Local Area Network (LAN's) is installed. However, the results of employee feedback show that there is a desperate need for an improved communications system within the organization and with external stakeholders.

The Chief Executive Officer is highly interested in computer technology and has recently asked me, the organization's IT manager to redesign the computer system, at as low a cost as possible to meet the organization's future needs. The IT department consist of three employees, excluding myself.

1-3 A Brief Description of Internet.

Internet is a global network, connecting thousands of host servers worldwide. It was established in the beginning of the 1960's by the United States Department of Defense. Today, what most people refer to as Internet is really a "jumble of networks rooted in academic and research institutions" (Coursey, 1991: 43). There are now 10 to 20 million people using an Internet comprised of more than 30,000 networks spread out over 78 nations all over the world (Bradner, 1994: 31). Presently, the Internet provides the closest approximation of the information superhighway. However, According to Flanigan (1994: 35), "Corporations haven't begun to explore electronic communication outside their own walls and are missing serious opportunities to streamline communications."

1-4 Options Available.

Naturally, one of the options would be not to implement Internet, and thereby not meet organizational needs and requirements, nor establishing a comparative advantage over competition. If implemented, three options are available to the organization. First, an Internet site can be published with a gopher server that the organization serves. Second, complete Internet access can be obtained throughout the use of an access vendor. Finally, the E-mail function only of Internet can be implemented. Please refer to Appendix #2 for a summary of implementation options.

2.0 Benefits.

As the "Information Superhighway" consists of large numbers of inter-connected networks all over the world, there are almost unlimited sources of information available to the Internet user. Statistical yearbooks, data books, customer registers, business trends, weather service and the latest news are only a few examples of the large range of information accessible. In addition, specially designed "Gopher Conferences" make it possible to actively discuss a specific topic with other users on the network. For instance, many Delphi study programs are conducted over Internet and numerous academic authors and business experts consult each other in various conferences. Internet is also known as the "library without walls" and a "highway of ideas, a collective brain for the world's people" (Kalin, 1991: 28). All options except from the E-mail only alternative provide wide access to this information.

2-2 Low Costs

The initial start-up costs associated with the implementation of Internet are relatively low in comparison to the implementation of other network services. Furthermore, much of the hardware needed is already available in the organization. However, this proposal recommends that Internet should be implemented throughout the use of an access vendor (option #3). Naturally, initial cabling, labor and software costs will be high, but when the system is in place, very little maintenance is necessary. The monthly cost of an Internet service provider is very low and communications expenses can be kept low by using a local vendor (Quarterman, 1993: 82). If Internet is implemented by publishing a site (option #2), initial hardware outlays and initial training (IT personnel) would be significantly higher.

2-3 Electronic-Mail.

The dream of a paperless administrative environment will probably forever be a dream, but innovations such as Electronic Mail (E-mail) may reduce the need for administrative procedures (Bradner, 1993: 32 ). E-mail has significantly eased communications processes all over the world and has made it possible for organizations to communicate better with their stakeholders.

In addition to the flexibility that E-mail offers, it may reduce the time and money spent on telephone communications, urgent mail and messengers (Barney, 1994: 14). E-mail can also simplify purchasing, banking, and other administrative arrangements that now exclusively require mail, phone or fax (Flaningan, 1994: 36). Moreover, E-mail is immediate and easy to use. According to Flanigan (1994: 38), "It takes a few simple mouse clicks to read, answer and send a message."

There are however some problems associated with the E-mail system. First, as more users connect to the system, it will get slower. Secondly, the E-mail network is starting to get overloaded with nonsense messages. "The Internet is largely in electronic gridlock during business hours", and commercial users find the delays impossible (Flanigan, 1994: 39). More importantly, E-mail addresses are often complicated and difficult to remember due to their complexity and for an inexperienced user, the "!", "@" and "." used seem like they come from another world.

All options outlined provide E-mail access, however, by implementing E-mail only, costs will be significantly higher, since per-message charges apply.

2-4 Access to Information is Right on Your Doorstep.

"The realization that we live in an information-based economy, has turned Information into power" (Flanigan, 1994: 38).

As described in the earlier sections, Internet has almost everything in terms of information. Access to databases all over the world makes it possible to do market research. Also, marketplace feedback bulletin boards can aid in gaining customer satisfaction and trust. The same bulletin boards open the way for Professionals to discuss specific issues. Electronic publications and databases all over the world are accessible 24 hours a day from your own office (Quarterman, 1993: 81).

3-0 Risks.

The very fundamental purpose of Internet is to provide an open information framework with few access barriers to information. There are several potential security risks associated with the implementation of Internet in the organization.

First, Internet is a completely open system. Any user is able to access any information interconnected via the information superhighway. A member of the organization can easily mail confidential information from the local network to any site on the internet by the use of the E-mail function without anyone knowing it. Secondly, any information made available on an Internet site is difficult to secure. Telnet provides the most secure alternative to such a site, since it facilitates password protection, however, dial back functions are not available (Strom, 1994: 97).

It should be mentioned that as long as an organization does not publish an Internet site with vital information (i.e. option #2), it could be assumed that security concerns should only be addressed to the usage of E-mail and other on line services. The safest alternative would be to implement E-mail only (i.e. option #4), however, this option would not facilitate information requirements. By utilizing an access vendor (option #3), it is possible to establish a "firewall" between the organization and Internet (i.e. expose the access vendor to the fundamental risks).

3-2 Computer "Viruses" and "Worms".

Computer Viruses and Worms are known for causing harm to computer systems. Most computer viruses have one particular thing in common; they tend to multiply quickly and infect crucial areas of software. Even though there are many anti-virus applications on the market, many times, it is both difficult and time consuming to detect and disinfect an infected file or application (Veldman, 1995: 10).

Any computer network that is able to transfer files or data in other forms than simple ASCII text can be infected by a computer virus (Strauss, 1994: 40). Therefore, we can conclude that Internet, with its millions of users, could carry large amounts of undetectable viruses imbedded in files and applications. When downloaded and run on the host computer (or a personal computer), viruses may infect other software on the network stored on any form of storage devices.

However, it can be assumed that E-Mail should be safe from viruses as long as it is based on ASCII text transfers protocols. Likewise, screen only services available on Internet such as Telnet should be safe as only simple ASCII text is used. It is however questionable whether the object oriented "World Wide Web" and similar systems may carry infected software (Veldman, 1994: 10) Therefore, we can conclude that by implementing any option except publishing a site should significantly reduce this risk. Implementing E-mail only is clearly the safest approach.

3-3 Usually Low User friendliness.

What is holding back many potential users of the Internet is a lack of comfort with the technology and an unfamiliarity with many of the uses of the different services accessible.

In addition, software available on the Internet is usually compressed and archived in order to save transfer time, improve file management, and save valuable storage space. In order to be able to use the software, users have to be familiar with the use of popular extraction applications (among many, QuinZip, and PCBin). Furthermore, there are several different archiving formats for UNIX, Macintosh and DOS operated machines. Many of the utility applications that are needed for extraction of compressed software are not very user-friendly, and many are shareware, with no or few manuals. Likewise, user documentation and software support is usually absent (Simmonds, 1993: 63).

Moreover, terminal emulation software that is particularly used in PC's may be complicated to use and usually requires an installation made by a professional in the field. However, when the system has been properly set-up, the most inexperienced user should be able to use the emulation software, which is usually object oriented and Windows™ based.

Implementing E-mail only is most probably the most user-friendly alternative. However, by using an access vendor, it is possible to implement an user-friendly system by "shopping around" for the best service provider.

3-4 Employee "Cyber Surfing".

"Cyber Surfing", or exploring the network may represent another potential risk related to the implementation of Internet in the organization. Decrease in productivity and lack of efficiency may be the cause of employees dedicating company time to engage in "Cyber Surfing" (Resnick, 1994: 68).

In order to avoid wasting time, management could decrease employee access to parts of the Internet and establish off-limits for employees. However, Resnick argues that it should be understood that by over-regulating employee access may reduce business benefits by making, perhaps, useful information inaccessible to employees (1994: 67).

Also, in recent years, it has been realized that E-Mail is often used for personal messages, rather than for business matters. This phenomenon will constitute higher costs for the organization, since efficiency and productivity may suffer. Likewise, there is a fundamental risk of jamming Internet with junk mail, if control is not enhanced in the organization. However, it would be impossible to screen all messages, even at random, as it would interfere with confidentiality issues.

All alternatives discussed are exposed to this risk. However, by publishing a site, the organization will be able to regulate access to information sources. By the use of an access vendor, access restrictions can be made in close co-opearation with the vendor.

3-5 Information Overload and Redundancies.

"Finding specific information on Internet can be almost impossible because of the sheer amount of data available"(Miller, 1995: 75)

The enormous amount of information available throughout the use of Internet can lead to disadvantages to the organization. The risk of employee "cyber surfing" ties in with information overload. Any organization should critically determine whether an information cite is usable for the organization. Any user of Internet knows that there are tremendous redundancies in the information provided (Strangelove, 1994: 11). Also, frequently, information is contradictory since it is published by various publications, interest groups and governments (Coursey, 1991: 57).

4-0 Discussion.

The organization is in the process of developing its premature IT structure in order to become more competitive in the market place. The organizational needs of meeting information requirements, improving research efficiency and establishing an effective communications system can be achieved by the strategy of implementing Internet. More importantly, this strategy can be achieved at a relatively low cost (Please refer to Table#1)

In addition, a competitive edge over a majority of commercial institutions can be achieved, since business users on the Internet are only now starting to realize the potential benefits that the network has to offer. If implemented, the organization will achieve a comparative advantage, however, it should be made clear that it will not be a long term strategic advantage. In the future, most organizations will utilize the benefits that Internet has to offer (Anthes, 1991: 50).

4-2 Benefits Can be Maximized.

By carefully examining the benefits that Internet has to offer this organization, it is possible to conclude that an implementation of Internet would comply with company strategy. By installing suitable hardware and software in co-operation with employee's ideas and expectations, it should be possible to increase the potential benefits that Internet has to offer this organization.

4-3 Risks Can be Minimized.

The word "risk" has a negative connotation to the organization. However, that is only the case when a risk cannot be eliminated. There are preemptive measures that can reduce the risks issues discussed in previous sections. The recommendations in this report are made in such a way as to dramatically reduce these risks.

4-4 Summary of Options.

Clearly, Implementing Internet throughout the use of an access vendor is the best alternative (option #3). This option provides the organization with information and communications requirements. In addition, it facilitates reasonable high security levels and low costs. Further, existing hardware and expertise can be utilized. As for option #2, implementing an Internet site, provides the same functions as option #3, however, security levels are low and initial costs can be considered high. Implementing E-mail only is clearly the safest alternative, however it must be excluded, since it does not facilitate information requirements.

5-0 Recommendations.

It has been concluded that an access vendor is the best implementation alternative, since it facilitates organizational information and communications needs at the lowest cost, by utilizing existing hardware and at an acceptable security level. Recommendations are based upon this alternative.

5-1 Set up a Strategic Plan.

Constructive change should always be properly backed up by a strategic plan. Therefore, the very first recommendation is to establish such a plan for the implementation of Internet. This plan should be communicated throughout the organization and it should be understood.

5-2 Form a Task Force.

The importance of the end user should not be neglected. Therefore, the establishment of a voluntarily task force of interested employees synthesized from all departments is a critical success factor. Users should comment on and make proposals on hardware and software issues (i.e. how to improve/simplifying operations). The primary IT function should be to live-up to user and management expectations and by closely monitoring the progress of the task force, the IT department should be able to understand some of the expectations.

By decentralizing decision making and fostering user involvement, the resistance to change problem should be reduced. Internet and the new system will not appear as alien to people, since they have actively participated in the development processes.

5-3 Introduce Training Programs.

Training programs should be highly casual in nature and consist of small teams. The need for continuous training should be understood. By structuring the training process for teams, training can be specifically adapted to fit a particular group of employees. In order not to interrupt daily work, sessions should not be longer than one hour in duration. Training should be open to everyone in the organization and whenever possible, the more experienced personnel should act as mentors. Furthermore, on the job training and usage of the new system is crucial in order to reduce resistance and alienation caused by change, and is also the most effective means of training.

5-4 Consult with Internal and External Customers.

In order to effectively align organizational strategies to customer needs, changes should be clearly communicated to the stakeholders of the company. By consulting with other organizations, one can learn from past experiences and adopt polices to strategic considerations. Furthermore, the company's new technology should be effectively communicated to customers, since it will perceived as being a competitive edge. Furthermore, employees and suppliers should be clearly informed on the changes.

5-5 Formulate Operational Policies.

It is highly recommended that operational policies should be developed together with the task force and users. Policies such as accessibility, security issues, hardware and software maintenance, operating hours, downloading policies, E-mail accounts and the distribution of computers should be formulated.

5-5-1 Accessibility and Security.

Accessibility and security policies are important, since they provide a blue print for operational procedures. Certain areas that promote employee "Cyber surfing" should not be accessible and confidential information should not be downloaded over Internet. Also, "virus" and "worm" action polices should be clearly identified. Other issues such as the minimum amount of symbols in passwords and periodic change of these passwords should be spelled out in the security policy.

5-5-2 Hardware and Software Maintenance and Repairs.

Perhaps the most important policies regards the maintenance of hardware and software and the responsibility of maintaining the system. It is recommended that formalized procedures are set-up for the maintenance of hardware and software. This would reduce response time and improve maintenance log documentation. All software should be the responsibility of the IT department and only software approved by the organization should be used on PCs. LAN and modem hardware should be safely located in the IT department and should have the highest priority of maintenance and repairs.

5-5-3 Other Necessary Policies.

Naturally, not every single employee will have access to a PC. However, every single employee should have an Internet and an E-mail account (Forbes, 1995: 40). PCs should be available in common areas for employees whom have not access to a computer. Possibly, time limits may be imposed in order to facilitate use for everyone.

The distribution of PCs could become a very sensitive issue in an organization. Scarce resources and poor asset management make it impossible to give every single employee a computer. The nature of job characteristics, requirements and hierarchical considerations must be taken into consideration in order to justify the distribution. Other administrative procedures, such as the establishment of new accounts and operating hours should also be addressed.

5-6 Proposed Network (Hardware) Configuration.

Several different practical elements must be taken into consideration in the implementation process. Moreover, the PC's available today should be utilized since this is a low cost strategy. An external Internet access vendor is crucial, since the organization should not set up its own Gopher server. It is important to chose the right vendor, since there is a direct correlation between the facilities and capacity available and the efficiency of the system (Strauss, 1994: 39). Monthly connection charges and system reliability should be carefully considered while "shopping" for the right vendor. Furthermore, it is important that the vendor operates a user friendly system (preferable object oriented).

In addition to E-mail, a separate inter LAN network mail server should be set up (improve internal messaging security and speed). The network should be connected to Internet via a PC that can filter user traffic and provide for password security for Internet access. It is highly recommended that a multi-node high speed modem is used to connect to the access vendor's Internet TCP/IT router that provides access to the Internet network.

5-7 Proposed Software Configuration.

The different levels of computer experience of the employees should be carefully considered in the process of determining suitable software.

5-7-1 An Object Oriented System.

It is highly recommended that a highly simplistic object oriented terminal application is used for internal LAN mail and for the Internet access. However, the simplicity of the application should not cause limitations to efficiency and performance of the system. The strategic task force of users should be actively involved in the software selection process and users should be given the opportunity to try out various software solutions.

Since Microsoft™ Office packages are presently being used on the individual PCs, it is most logical to introduce Microsoft™ compatible applications for an object oriented environment. Microsoft™ office provides for Local Area Mail features including many functions, such as address utilities and spelling. Preferable, the Internet access should be run on software with similar features (i.e. standardization of the operating system).

5-7-2 Other Miscellaneous System Utilities.

System password facilities and automatic log off functions should be used in order to make sure that non authorized access to the system is made and that users do not forget to disconnect from the Internet access when they are not using it. On line Virus detection should be priority and should be updated periodically (Veldman, 1994: 10).

Another important software issue regards decompressing and downloading of files. Easy to use "Unzip" applications should be used, preferable with in process oriented help. All downloaded files should be automatically downloaded onto the PC via the access provider into a directory named "Download".

Internal and external E-mail address lists should be updated periodically and each PC should have an updated version (Bauwens, 1994: 23). This should simplify the process of sending messages over Internet and over the LAN server.

6-0 Conclusion.

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