- Management Reference Guide
- Table of Contents
- Introduction
- Strategic Management
- Establishing Goals, Objectives, and Strategies
- Aligning IT Goals with Corporate Business Goals
- Utilizing Effective Planning Techniques
- Developing Worthwhile Mission Statements
- Developing Worthwhile Vision Statements
- Instituting Practical Corporate Values
- Budgeting Considerations in an IT Environment
- Introduction to Conducting an Effective SWOT Analysis
- IT Governance and Disaster Recovery, Part One
- IT Governance and Disaster Recovery, Part Two
- Customer Management
- Identifying Key External Customers
- Identifying Key Internal Customers
- Negotiating with Customers and Suppliers—Part 1: An Introduction
- Negotiating With Customers and Suppliers—Part 2: Reaching Agreement
- Negotiating and Managing Realistic Customer Expectations
- Service Management
- Identifying Key Services for Business Users
- Service-Level Agreements That Really Work
- How IT Evolved into a Service Organization
- FAQs About Systems Management (SM)
- FAQs About Availability (AV)
- FAQs About Performance and Tuning (PT)
- FAQs About Service Desk (SD)
- FAQs About Change Management (CM)
- FAQs About Configuration Management (CF)
- FAQs About Capacity Planning (CP)
- FAQs About Network Management
- FAQs About Storage Management (SM)
- FAQs About Production Acceptance (PA)
- FAQs About Release Management (RM)
- FAQs About Disaster Recovery (DR)
- FAQs About Business Continuity (BC)
- FAQs About Security (SE)
- FAQs About Service Level Management (SL)
- FAQs About Financial Management (FN)
- FAQs About Problem Management (PM)
- FAQs About Facilities Management (FM)
- Process Management
- Developing Robust Processes
- Establishing Mutually Beneficial Process Metrics
- Change Management—Part 1
- Change Management—Part 2
- Change Management—Part 3
- Audit Reconnaissance: Releasing Resources Through the IT Audit
- Problem Management
- Problem Management–Part 2: Process Design
- Problem Management–Part 3: Process Implementation
- Business Continuity Emergency Communications Plan
- Capacity Planning – Part One: Why It is Seldom Done Well
- Capacity Planning – Part Two: Developing a Capacity Planning Process
- Capacity Planning — Part Three: Benefits and Helpful Tips
- Capacity Planning – Part Four: Hidden Upgrade Costs and
- Improving Business Process Management, Part 1
- Improving Business Process Management, Part 2
- 20 Major Elements of Facilities Management
- Major Physical Exposures Common to a Data Center
- Evaluating the Physical Environment
- Nightmare Incidents with Disaster Recovery Plans
- Developing a Robust Configuration Management Process
- Developing a Robust Configuration Management Process – Part Two
- Automating a Robust Infrastructure Process
- Improving High Availability — Part One: Definitions and Terms
- Improving High Availability — Part Two: Definitions and Terms
- Improving High Availability — Part Three: The Seven R's of High Availability
- Improving High Availability — Part Four: Assessing an Availability Process
- Methods for Brainstorming and Prioritizing Requirements
- Introduction to Disk Storage Management — Part One
- Storage Management—Part Two: Performance
- Storage Management—Part Three: Reliability
- Storage Management—Part Four: Recoverability
- Twelve Traits of World-Class Infrastructures — Part One
- Twelve Traits of World-Class Infrastructures — Part Two
- Meeting Today's Cooling Challenges of Data Centers
- Strategic Security, Part One: Assessment
- Strategic Security, Part Two: Development
- Strategic Security, Part Three: Implementation
- Strategic Security, Part Four: ITIL Implications
- Production Acceptance Part One – Definition and Benefits
- Production Acceptance Part Two – Initial Steps
- Production Acceptance Part Three – Middle Steps
- Production Acceptance Part Four – Ongoing Steps
- Case Study: Planning a Service Desk Part One – Objectives
- Case Study: Planning a Service Desk Part Two – SWOT
- Case Study: Implementing an ITIL Service Desk – Part One
- Case Study: Implementing a Service Desk Part Two – Tool Selection
- Ethics, Scandals and Legislation
- Outsourcing in Response to Legislation
- Supplier Management
- Identifying Key External Suppliers
- Identifying Key Internal Suppliers
- Integrating the Four Key Elements of Good Customer Service
- Enhancing the Customer/Supplier Matrix
- Voice Over IP, Part One — What VoIP Is, and Is Not
- Voice Over IP, Part Two — Benefits, Cost Savings and Features of VoIP
- Application Management
- Production Acceptance
- Distinguishing New Applications from New Versions of Existing Applications
- Assessing a Production Acceptance Process
- Effective Use of a Software Development Life Cycle
- The Role of Project Management in SDLC— Part 2
- Communication in Project Management – Part One: Barriers to Effective Communication
- Communication in Project Management – Part Two: Examples of Effective Communication
- Safeguarding Personal Information in the Workplace: A Case Study
- Combating the Year-end Budget Blitz—Part 1: Building a Manageable Schedule
- Combating the Year-end Budget Blitz—Part 2: Tracking and Reporting Availability
- References
- Developing an ITIL Feasibility Analysis
- Organization and Personnel Management
- Optimizing IT Organizational Structures
- Factors That Influence Restructuring Decisions
- Alternative Locations for the Help Desk
- Alternative Locations for Database Administration
- Alternative Locations for Network Operations
- Alternative Locations for Web Design
- Alternative Locations for Risk Management
- Alternative Locations for Systems Management
- Practical Tips To Retaining Key Personnel
- Benefits and Drawbacks of Using IT Consultants and Contractors
- Deciding Between the Use of Contractors versus Consultants
- Managing Employee Skill Sets and Skill Levels
- Assessing Skill Levels of Current Onboard Staff
- Recruiting Infrastructure Staff from the Outside
- Selecting the Most Qualified Candidate
- 7 Tips for Managing the Use of Mobile Devices
- Useful Websites for IT Managers
- References
- Automating Robust Processes
- Evaluating Process Documentation — Part One: Quality and Value
- Evaluating Process Documentation — Part Two: Benefits and Use of a Quality-Value Matrix
- When Should You Integrate or Segregate Service Desks?
- Five Instructive Ideas for Interviewing
- Eight Surefire Tips to Use When Being Interviewed
- 12 Helpful Hints To Make Meetings More Productive
- Eight Uncommon Tips To Improve Your Writing
- Ten Helpful Tips To Improve Fire Drills
- Sorting Out Today’s Various Training Options
- Business Ethics and Corporate Scandals – Part 1
- Business Ethics and Corporate Scandals – Part 2
- 12 Tips for More Effective Emails
- Management Communication: Back to the Basics, Part One
- Management Communication: Back to the Basics, Part Two
- Management Communication: Back to the Basics, Part Three
- Asset Management
- Managing Hardware Inventories
- Introduction to Hardware Inventories
- Processes To Manage Hardware Inventories
- Use of a Hardware Inventory Database
- References
- Managing Software Inventories
- Business Continuity Management
- Ten Lessons Learned from Real-Life Disasters
- Ten Lessons Learned From Real-Life Disasters, Part 2
- Differences Between Disaster Recovery and Business Continuity , Part 1
- Differences Between Disaster Recovery and Business Continuity , Part 2
- 15 Common Terms and Definitions of Business Continuity
- The Federal Government’s Role in Disaster Recovery
- The 12 Common Mistakes That Cause BIAs To Fail—Part 1
- The 12 Common Mistakes That Cause BIAs To Fail—Part 2
- The 12 Common Mistakes That Cause BIAs To Fail—Part 3
- The 12 Common Mistakes That Cause BIAs To Fail—Part 4
- Conducting an Effective Table Top Exercise (TTE) — Part 1
- Conducting an Effective Table Top Exercise (TTE) — Part 2
- Conducting an Effective Table Top Exercise (TTE) — Part 3
- Conducting an Effective Table Top Exercise (TTE) — Part 4
- The 13 Cardinal Steps for Implementing a Business Continuity Program — Part One
- The 13 Cardinal Steps for Implementing a Business Continuity Program — Part Two
- The 13 Cardinal Steps for Implementing a Business Continuity Program — Part Three
- The 13 Cardinal Steps for Implementing a Business Continuity Program — Part Four
- The Information Technology Infrastructure Library (ITIL)
- The Origins of ITIL
- The Foundation of ITIL: Service Management
- Five Reasons for Revising ITIL
- The Relationship of Service Delivery and Service Support to All of ITIL
- Ten Common Myths About Implementing ITIL, Part One
- Ten Common Myths About Implementing ITIL, Part Two
- Characteristics of ITIL Version 3
- Ten Benefits of itSMF and its IIL Pocket Guide
- Translating the Goals of the ITIL Service Delivery Processes
- Translating the Goals of the ITIL Service Support Processes
- Elements of ITIL Least Understood, Part One: Service Delivery Processes
- Case Study: Recovery Reactions to a Renegade Rodent
- Elements of ITIL Least Understood, Part Two: Service Support
- Case Studies
- Case Study — Preparing for Hurricane Charley
- Case Study — The Linux Decision
- Case Study — Production Acceptance at an Aerospace Firm
- Case Study — Production Acceptance at a Defense Contractor
- Case Study — Evaluating Mainframe Processes
- Case Study — Evaluating Recovery Sites, Part One: Quantitative Comparisons/Natural Disasters
- Case Study — Evaluating Recovery Sites, Part Two: Quantitative Comparisons/Man-made Disasters
- Case Study — Evaluating Recovery Sites, Part Three: Qualitative Comparisons
- Case Study — Evaluating Recovery Sites, Part Four: Take-Aways
- Disaster Recovery Test Case Study Part One: Planning
- Disaster Recovery Test Case Study Part Two: Planning and Walk-Through
- Disaster Recovery Test Case Study Part Three: Execution
- Disaster Recovery Test Case Study Part Four: Follow-Up
- Assessing the Robustness of a Vendor’s Data Center, Part One: Qualitative Measures
- Assessing the Robustness of a Vendor’s Data Center, Part Two: Quantitative Measures
- Case Study: Lessons Learned from a World-Wide Disaster Recovery Exercise, Part One: What Did the Team Do Well
- (d) Case Study: Lessons Learned from a World-Wide Disaster Recovery Exercise, Part Two
This is the first part of a two-part series on IT governance and continuity/disaster recovery. In this first part I describe how the Sarbanes-Oxley Act placed additional accountability on Chief Information Officers for providing the reliability and availability of corporate financial reporting. In the second part I describe other recent legislation that extends this accountability to CIOs and other IT managers in different areas of reporting.
Impact of Recent Corporate Scandals on IT Management
On September 26, 2006, U.S. District Judge Kenneth Hoyt sentenced Andrew Fastow, the former Chief Financial Officer of Enron Corporation, to six years in prison for his role in the company’s $60 billion scandal that came to light in 2001. Prosecutors originally indicted Fastow on 98 felony and misdemeanor counts in conjunction with the scandal, including fraud, insider trading, money laundering and conspiracy. The Enron episode was just one of several scandals that occurred during the early years of the new millennium.
Adelphia Communications, AOL Time Warner, Bristol Myers Sqibb, Global Crossing, Merck, Qwest Communications, Tyco and WorldCom are some of the better known names of major corporations that were embroiled in significant lawsuits stemming from misleading financial reporting. Partnering companies who assisted in such practices also suffered collateral damage, chief among them Arthur Anderson who admitted to shredding documents in an attempt to shield their client, none other than Enron Corporation.
What, you may ask, does any of this have to do with IT management? Actually, a great deal. The United States congress, in reaction to an outraged Wall Street, disillusioned investors and a generally disappointed public, passed a number of pieces of legislation to minimize the likelihood of a re-occurrence of such malfeasance. Much of this legislation holds Chief Executive Officers and their direct reports, usually including Chief Information Officers, much more accountable for the accuracy and availability of financial reporting.
In the light of these various corporate scandals, as well as major disasters like 9/11, the December 2004 Tsunami, and hurricanes Katrina and Rita, and the high availability requirements of e-commerce, more interest is being taken in corporate governance, particularly in relation to business continuity/disaster recovery and availability.
Corporate and IT governance has taken on significant importance as regulations and external standards require organizations to provide proof of control measures to external auditors and assessors. Compliance with these laws, regulations and standards is now a key concern of the BC/DR personnel in any organization.
Compliance with more recent legislation and standards requires organizations to have not only disaster recovery plans in place, but also full business continuity plans that are current, thorough, documented and tested. This is to ensure that the whole organization (not just the IT systems, but also the personnel, functions and processes) can continue operating in the event of an emergency.
Business continuity plans include a set of disaster recovery plans to restore the IT infrastructure, but also include information about how disasters will be avoided and mitigated, who is responsible for which aspects of the business continuity procedures and plans; which risks have been identified and how different scenarios will be handled; how people will be evacuated and to where; how medical emergencies will be handled; alternate site locations, and how they will be used; communications/notification procedures; as well as how the business continuity plan will be tested, updated, reviewed and approved.
Many BCP / DR personnel are aware of these requirements, but are not sure how to demonstrate compliance with these requirements. A key piece of legislation helps ensure this compliance: the Sarbanes Oxley Act of 2002.
1.09.3 Effects of Sarbanes Oxley on IT Governance
The Sarbanes Oxley Act of 2002, drawn up in response to corporate scandals such as the Enron scandal and the Worldcom/MCI scandal, made many of these concerns more acute in the US (equivalent legislation is gradually coming into effect in many European countries). Section 404 of the Act requires that corporations have good financial controls, especially IT-related controls. In modern times, because most organizations store much of their financial information in IT systems, and many can go out of business if IT systems are not available 24x7 every day of the year, business continuity/disaster recovery measures must be effective and must be regularly audited in order to comply with the Sarbanes Oxley Act. Another compliance requirement of Sarbanes Oxley, commonly referred to as SOX, is that CEOs must sign off on the accuracy and currency of financial reports released to the general public. Because most all financial reporting these days is generated out of the IT department, CEOs in turn usually require their CIOs to sign off on the same documents.
A common reaction I see many CIOs making to this requirement is to extend their delegation for liability. By this I mean that CIOs will not sign off on financial reporting until the application managers responsible for these systems have first signed off on them. In some instances the application managers do not sign off until the support managers responsible for the maintenance and functionality of the applications have signed off on them. This is not necessarily a bad thing in that it facilitates communication, cooperation and accountability; these are traits that SOX intended to foster.
The effects of SOX are not limited to the United States. In July 2006 I was a plenary speaker at the conference for Information Security of South Africa (ISSA) in Johannesburg, South Africa. The conference offered several presentations from speakers around the world, especially Europe and South Africa. One of the things that stood out to me was that several of the speakers commented of the effects of SOX on their IT governance strategies. Apparently, they felt the idea of executive accountability was good enough to apply to any company, within or outside of the United States.
In Part One of this two-part series on IT Governance and Disaster Recovery I described some of the events in recent years that resulted in legislation that directly affects IT management. One of the most significant pieces of legislation passed was the Sarbanes Oxley Act of 2002. I discusses its impacts on IT organizations in general and on IT managers, especially Chief Information Officers, in particular. In Part Two I present additional legislation recently enacted that affects IT governance and the IT managers held accountable for its compliance.