March 5, 2007

"DIAGNOSING SYSTEMS PROBLEMS"

Okay, you've run your program debugger repetitively and everything checks out fine. But for some unknown reason, the whole system is inoperable. Both the software and data base design looks fine, but you are going stark-raving mad trying to locate the problem. Have you considered that it might not be a flaw in the design of the software or data base at all? That perhaps the problem resides in the overall system architecture, or possibly its just you?

In many cases, diagnosing a problem is more painful than correcting it. Whereas I have reviewed basic testing principles in the past (see; No. 41 - "Testing 1, 2, 3..." - Sept 12, 2005), here, I want to discuss some tips for diagnosing problems.

THREE TIPS

1. Walk through the system and check the man/machine interfaces.

Years ago, we were contracted by a large manufacturing company in the northeast who was having trouble implementing their new shop-floor control system. The system was state-of-the-art in terms of programming and DBMS technology. But they simply couldn't get it to work no matter what they tried. Frustrated, the company hired us to see if we could find the problem. Instead of studying source code, as the development staff had done, we began by mapping the overall system architecture.

I've described the "PRIDE" Standard System Structure Concept on more than one occasion, but in a nutshell, a system can be drawn as a four-tiered hierarchy representing a product structure. Whereas a product structure consists of four levels representing products, assemblies, subassemblies, and operations, "PRIDE" likewise decomposes the system into:

LEVEL 1 - SYSTEM
LEVEL 2 - SUB-SYSTEM (Business Processes)
LEVEL 3 - PROCEDURES (Administrative and Computer)
LEVEL 4 - OPERATIONAL STEPS (for Administrative Procedures) and PROGRAMS (for Computer Procedures)

This universally applicable approach for defining the system architecture makes a convenient road map for walking through all aspects of the system and validating its integrity. Such hierarchy diagrams can either be produced from IRM Repositories or from some simple graphic tools. In our consulting assignment though, we simply sketched it out using paper and pencil. Basically, we walked through the system, sampled work and looked for man/machine interfaces. Inevitably, we came upon a sub-system whereby the computer displayed errors in the shop-floor requiring attention by the foreman. The foreman was to take the corrective action and respond to the computer. There was only one problem with this: nobody had told the foreman about any of this. We then wrote a simple Administrative Procedure for the foreman who took the necessary actions and the system operated correctly thereafter ("miraculously" as our client said).

This brings up an important point: systems will fail more for the lack of administrative procedures than for well programmed computer procedures. Although the manufacturing company had produced some rather elegant software, they had completely overlooked the man/machine interface. Again, the "PRIDE" Standard System Structure Concept had provided the necessary road map, but because the client didn't appreciate the need for such a top-down blueprinting technique, they had no idea where everything was.

2. Work backwards.

When diagnosing business processes, procedures and programs, there is a natural inclination to go from start to end in diagnosing a problem. Sometimes you can find a hiccup using this approach, other times you cannot. Instead, try working backwards from end to start, from output to input. Again, map the design using a flowchart or some other graphical technique. If processing involves considerable decisions, draw a decision tree or table. Such graphics are invaluable for validating design logic.

3. Have a second pair of eyes look over your work.

As we become imbued in the mechanics of a design, too often the obvious becomes less obvious to us. Here, another set of eyes can readily see a problem we have overlooked. This is particularly beneficial in shops operating in accordance with certain design standards. Uniform design practices makes it easier to spot anomalies than without such standards.

Where the second person comes from is also important. If the person comes from your work group and is familiar with your style of design, he/she may very well be able to spot a problem. Then again, maybe not. Perhaps the problem will be invisible to them as well. In this case, you might want to consult a neutral third person with a fresh perspective on the problem. This can either be a person from within the company or possibly an outside consultant.

CONCLUSION

Graphic aids, such as flowcharts and diagrams, are helpful for diagnosing a problem but also remember to challenge the graphic. Its not uncommon for graphics not to match what is happening in fact. A good IRM Repository is also invaluable for substantiating designs. The design is either properly recorded in the IRM Repository or it is not. Further, such a tool provides the means to study the relationship of information resources (aka "impact analysis") which may reveal unknown components affecting a design.

More importantly, the idea of maintaining a system architecture (as implemented by the "PRIDE" Standard System Structure Concept) provides the needed road map to find your way through a system regardless of its complexity. Many programmers view such charts as frivolous primarily because they are only concerned with their small piece of the puzzle and are unconcerned about the total picture. But for those of you who need to see the total picture, the system architecture is the logical first step for diagnosing problems.

For more information on the "PRIDE" Standard System Structure Concept, see: http://www.phmainstreet.com/mba/pride/is.htm

OUR BRYCE'S LAW OF THE WEEK therefore is... "Without a road map, you might be driving in circles."

"PRIDE" METHODOLOGIES FOR IRM

Friends, the "PRIDE" Methodologies for Information Resource Management (IRM) is a common sense solution for Enterprise Engineering, Systems Engineering, Data Base Engineering, and Project Management. The methodologies include defined work breakdown structures, deliverables, and review points that promote quality and the production of industrial-strength information systems. Building information resources is a science, not an art form. Our methodologies clearly explain the concepts that govern them, which remarkably, is derived from engineering/manufacturing practices. Now you can get these acclaimed methodologies for free at our corporate web site at: http://www.phmainstreet.com/mba/pride/

MY "PET PEEVE OF THE WEEK" IS "NEEDLESS COMPLEXITY"

I recently bought a new car and took it on a trip with my wife. During this time, an Arctic blast of cold air pushed down from Canada and, naturally, we wanted to turn on the heat. Our car is probably no different than most cars today in that we have the latest computerized weather controls to suit the individual needs of both the driver and the passenger. But while driving on the Interstate, I had a heck of a time trying to figure out how to turn on the heat. After awhile we finally figured it out but I thought back to an old 1964 Plymouth Valiant we had years ago which had a simple bar on the heater which you could push from hot to cold and it worked quite well. No, it didn't accommodate the needs of the individual passengers, but it did a remarkably good job maintaining the temperature in the car. Frankly, I wish we had something like it again.

This got me thinking about how we like to make life more complicated than it really needs to be. A cell phone is a good example of this. In addition to placing and receiving phone calls, you can now send and receive text messages, e-mails, take photos, listen to your favorite podcast (mine I hope), watch videos, and generally surf the Net. Pretty sophisticated right? Well, maybe. I would wager you that the majority of people out there with cell phones only use a fraction of the services provided. Why? Because they appear to be way too complicated to use.

Not long ago, my wife had to switch cell phones. To do so, it was necessary to move the chip out of the old phone and put it into the new phone. Despite the instructions, which claimed this was a simple procedure to perform, we had a devil of a time getting the chip out of the device. My 19 year old son happened to come home just as we were about to give up and just popped it out in no time at all.

This brings up a point, the sophistication of our technology is primarily aimed at our youth, not for those of us in our middle age or older. As an example, I remember comedian Jay Leno tell the story of when he bought his father a remote control for his television set. He came back to visit his father about a month later, but couldn't find the remote. His father said he kept it in a drawer so that it wouldn't accidentally "go off" and start a fire. Jay said, "Dad, this isn't a phaser; you don't have to lock it up."

I question why we are making things so complicated, be it a cell phone, a remote control, a television, a camera, or whatever. Heck, I even heard of a refrigerator that is now Internet enabled. These advanced features may be nice but they are worthless if nobody knows how to use them. Just remember, most of these devices are designed by computer programmers who live in a world of technical complexity and haven't a clue how to make something "user friendly." If you want to blame someone for the needless complexity in our lives, blame the programmers. Better yet, blame guys like Bill Gates who foster a culture of complexity.

One last note, I remember years ago Bill Cosby talked about an old Philco radio he used to listen to as a kid. He said there were 52 knobs on the radio, but only two actually worked: the on/off volume switch and the station selector. The other knobs were replacements in case you lost the other two knobs. So much for complexity.

Such is my Pet Peeve of the Week.

eBOOK: THE BRYCE IS RIGHT!

Folks, be sure to check out our eBook entitled, "The Bryce is Right! Empowering Managers in today's Corporate Culture." This is a frank and candid description of the state of the art in management and includes essays on the problems in management today, along with some pragmatic advice on how to deal with them. Basically, this is a condensed course in management. As such, it is suited for managers, either those aspiring to become a manager or for those who need a refresher course. It will also be of interest to young people entering the work force, and is excellent for college curriculums.

Charles Cole of Lyndhurst, OH, said it is a "Very interesting book. Good work! It reminds me of some of the early works I read by W. Edwards Deming. Too bad the American corporate gurus of his day didn't pay him heed."

And Wolf Hager of Fort Myers, FL, says it is "A very impressive publication which requires careful reading and reminds me somewhat of Peter Drucker."

The price is just $20 plus tax. For more information on our book or to order on-line, see:

http://www.phmainstreet.com/mba/bryce1.htm

We have also produced a new one-day training program of the same name. For more information on both the eBook and course, please visit our web site at:

http://www.phmainstreet.com/mba/bryce1.htm

While there, look for our MS PowerPoint presentation describing both the book and the training program.

AND FINALLY...

I received an e-mail from Judy Thurman in New Jersey who wrote me regarding last week's essay, "Our Growing Dependency of Mass Mediocrity."

Judy writes:

"Gee, you're awfully hard on Microsoft. Are their products really that bad?"

Thanks Judy for your note,

I guess its all in the eye of the beholder. But consider this, if Microsoft products were really that great, why would people even entertain the idea of using things like the Linux operating system or the Mac? In fact, usage of these products are on the upswing even though Microsoft commands the lion's share of the business. Why? Because people are becoming frustrated and disgruntled with MS products. The educated consumer wants reliablitiy, performance, and ease of use; the uneducated consumer doesn't care and behaves like lemmings. And when you think about it, can you really blame Microsoft who is a master of manipulating mindshare (or is it brainwashing?).

Again, thanks for your e-mail. Keep those cards and letters coming.

MBA is an international management consulting firm specializing in Information Resource Management. We offer training, consulting, and writing services in the areas of Enterprise Engineering, Systems Engineering, Data Base Engineering, Project Management, Methodologies and Repositories. For information, call us at 727/786-4567. For a complete listing of my essays, see the "PRIDE" Special Subject Bulletins section of our corporate web site.

Our corporate web page is at:

http://phmainstreet.com/mba/

Management Visions is a presentation of M. Bryce & Associates, a division of M&JB Investment Company of Palm Harbor, Florida, USA. The program is produced on a weekly basis and updated on Sundays. It is available in versions for RealPlayer, Microsoft Media Player, and MP3 suitable for Podcasting. See our web site for details. You'll find our broadcast listed in several Podcast and Internet Search engines, as well as Apples' iTunes.

If you have any questions or would like to be placed on our e-mailing list to receive notification of future broadcasts, please e-mail it to timb001@phmainstreet.com

For a copy of past broadcasts, please contact me directly.

We accept MP3 files with your voice for possible inclusion in the broadcast.

There is no charge for adding a link to "Management Visions" on your web page, for details and HTML code, see the "Management Visions" web site.

Management Visions accepts advertising. For rates, please contact yours truly directly.

Copyright © 2007 by M&JB Investment Company of Palm Harbor, Florida, USA. All rights reserved. "PRIDE" is the registered trademark of M&JB Investment Company.

This is Tim Bryce reporting.

Since 1971: "Software for the finest computer - the Mind."

END

February 26, 2007

"OUR GROWING DEPENDENCY ON MASS MEDIOCRITY"

Have you ever been looking through a mega-hardware store/garden shop and not been able to find precisely what you are looking for? Instead, you settle for something else which you take home, try it, and regret having purchased it. Instead of returning it though, you think it is not worth your time and throw it in the garbage. Not only is the exact merchandise not available, merchants even go so far as to make the item difficult to return in order to discourage you from doing so. Even if you do, there is a penalty fee associated with it. You're stuck and you learn to live with it.

There is a growing trend to accept second class workmanship. For example, it is no longer a surprise to us if something doesn't work properly or is late in delivery. Instead of finding it intolerable, we simply accept it. And this is the mindset most businesses are hoping for.

Understand this, it is the middle class that fuels a country's economy. It is the middle class that purchases the products and services en masse. As such, the middle class is the impetus for mass production. By carefully manipulating the wants, desires and purchasing attitudes of the middle class, merchants and manufacturers can maximize their profit margins. They also know it is not necessary to sell a high quality product (which adds to costs) but, instead, simply offers what the public will accept.

Years ago, when we purchased something, we expected it to be durable and work according to expectations. We no longer think this way. This is why manufacturers carefully build in planned obsolescence into their products. They don't want you to buy it once, they want you to buy it over and over again.

STATE OF THE ART?

I laugh when I hear people bragging they have the latest from Microsoft. They honestly believe it is the best that money can buy. But is it really? Let me give you an example. Back in the 1990's, IBM introduced its OS/2 operating system for the PC platform. Frankly, OS/2 was years ahead of itself. Not only did it have a fine Graphical User Interface (with a true object oriented desktop), it also included preemptive multitasking, crash protection, a vastly superior file management system, multimedia, Internet access, Java support, etc., etc. Microsoft, on the other hand, offered Windows 3.x which provided a simple Graphical User Interface for DOS (which most people were using at the time). Over time, enhancements were added and the product was superseded by newer versions entitled Windows 95/NT/98/ME/2000/XP and now Vista, all at ever-escalating prices.

Whereas consumers perceived OS/2 as a radical departure from their DOS environment, Windows appeared less threatening and affordable. In reality, people have paid Microsoft more than quadruple for Windows than what they would have paid IBM for OS/2. But Microsoft's forte is in marketing where they carefully spoon-fed their product to the public in smaller mouthfuls and captured the "mindshare" of the middle class. Even when Windows started hiccupping errors, people were taught that this was to be expected from a high tech product. And people accepted it. Today, OS/2 is all but forgotten and Windows dominates the PC world.

Microsoft has used similar tactics in marketing products that compete with Lotus, Real, Turbotax, and Adobe. Basically, their initial offering can be described as primitive at best but it is sold for next to nothing (thereby setting the hook for the consumer). They then issue subsequent releases of the product at ever-increasing prices until they dominate the market. I would wager you that Microsoft's research and development budget (against gross sales) percentage-wise is vastly lower than their competitors. No, their forte is shrewd marketing to the middle class and controlling its "mindshare." Windows, therefore, is an excellent example of a product tailored to the middle class. It is not necessarily state of the art, it is what the general public perceives as state of the art.

As an aside, to this day, I still prefer the reliability and performance of my OS/2 machines over Windows.

We see similar instances of manipulating the public in other areas as well, from everything from cell phones to automobiles. Foreign manufacturers have taken notice as well. Whereas Japanese and German cars were once considered a joke, they now dominate the industry.

We also see this same phenomenon in the information systems of our companies. System hiccups are commonplace, as are project cost and schedule overruns. So much so, that the end user community hasn't just lost confidence in the IT development staff, they expect such problems to occur.

A lot of this can be blamed on the decline of craftsmanship over the years, but more importantly, the consumer has been conditioned to accept screw-ups.

For example,

• People ACCEPT inferior workmanship; we no longer have high expectations.
• People ACCEPT delays and cost overruns.
• People EXPECT products not to have a long life cycle.
• People ACCEPT shoddy service (heck, we'll even tip people for bad service).

In other words, the intolerable is now tolerable and business is counting on the middle class accepting mediocrity. Is it that we no longer know how to make durable goods anymore or do we not want to?

CONCLUSION

As we should all know by now, business caters to the middle class. And they spend a ton of money on research to know precisely what the public wants and how they perceive things. More importantly, they have subliminally brainwashed the public's perceptions over the years whereby our search for excellence has been supplanted by the acceptance of mediocrity. Consider this, we now live in an age of electronic communications (cell phones, faxes, the Internet), but does anyone take the time to express their outrage? Far less than you might think.

Like it or not, we are being conditioned to accept mediocrity and are becoming more dependent on it each passing day. It seems the more high-tech we go, the more problems we encounter, and the lower our expectations get.

I guess misery loves company.

OUR BRYCE'S LAW OF THE WEEK therefore is... "The state of the art is whatever Microsoft says it is."

"PRIDE" METHODOLOGIES FOR IRM

Friends, the "PRIDE" Methodologies for Information Resource Management (IRM) is a common sense solution for Enterprise Engineering, Systems Engineering, Data Base Engineering, and Project Management. The methodologies include defined work breakdown structures, deliverables, and review points that promote quality and the production of industrial-strength information systems. Building information resources is a science, not an art form. Our methodologies clearly explain the concepts that govern them, which remarkably, is derived from engineering/manufacturing practices. Now you can get these acclaimed methodologies for free at our corporate web site at: http://www.phmainstreet.com/mba/pride/

MY "PET PEEVE OF THE WEEK" IS "TIPPING"

I started going to Japan on business in the late 1970's. When I first started going there I noticed a lot of cultural differences than the United States. For example, I saw beer and whiskey vending machines right next to Coke and Pepsi machines. Kids don't bother the alcohol related machines as they might cause their family to lose face. Another custom I observed was tipping for service, or should I say the lack thereof. When you visit Japan, you simply don't tip anyone, be it a bell man, a waiter or a taxi driver. Nonetheless, you get excellent service. You would be amazed how clean taxi drivers keep their cabs, not for tips but to get more business, which I consider rather smart.

I think we treat tipping rather badly in this country, a horrible custom we picked up from the French. A lot of people seem to forget that a tip is a reward for good service and pay a standard rate regardless of the service rendered. For example, how many times have you seen people pay a generous tip even when the service was bad? Probably more than you care to imagine.

I also find it interesting to see how much we tip. Back in the 1960's, 10% was considered the normal rate, then it was 12%, then 15% for many years, but now people readily reward a 20% tip which I personally consider inflationary. To me that is like paying for a family of five when only four people are served.

I don't mind paying a generous tip for good service, if it is indeed good service, but I normally give just 15% for average service. My friends think I'm being cheap. I think I'm just being honest with the server.

I remember Jack Benny, the famous comedian, had a problem with tipping years ago. Jack's persona in public was that of being cheap (he perferred the word "thrifty") and, as such, he would have to over-tip to overcome his public persona. I would use the term "penurious" but I don't think anyone would know what I'm talking about.

I know of a consultant in Toronto who probably taught me the best lesson in tipping. When we would go out to a restaurant, we would sit down and before we even got started he would present the waiter with a $10 bill and would say, "This will either be half of your tip or all of it, it all depends on you." Needless to say, we were afforded excellent service and the waiter got a generous tip. I thought this was rather smart and drove home the point of the necessity of earning the tip through good service. My consultant friend said by using this approach, he has never had bad service.

I also find it interesting how other service related workers now expect a tip, particularly at Christmas time. This includes newspaper delivery people, garbage men, and postal workers. As you may recall, I have had difficulty getting mail from our local letter carrier. As far as I'm concerned, I'm going to treat him like the Japanese. I don't reward for lousy service.

Such is my Pet Peeve of the Week.

eBOOK: THE BRYCE IS RIGHT!

Folks, be sure to check out our eBook entitled, "The Bryce is Right! Empowering Managers in today's Corporate Culture." This is a frank and candid description of the state of the art in management and includes essays on the problems in management today, along with some pragmatic advice on how to deal with them. Basically, this is a condensed course in management. As such, it is suited for managers, either those aspiring to become a manager or for those who need a refresher course. It will also be of interest to young people entering the work force, and is excellent for college curriculums.

Charles Cole of Lyndhurst, OH, said it is a "Very interesting book. Good work! It reminds me of some of the early works I read by W. Edwards Deming. Too bad the American corporate gurus of his day didn't pay him heed."

And Wolf Hager of Fort Myers, FL, says it is "A very impressive publication which requires careful reading and reminds me somewhat of Peter Drucker."

The price is just $20 plus tax. For more information on our book or to order on-line, see:

http://www.phmainstreet.com/mba/bryce1.htm

We have also produced a new one-day training program of the same name. For more information on both the eBook and course, please visit our web site at:

http://www.phmainstreet.com/mba/bryce1.htm

While there, look for our MS PowerPoint presentation describing both the book and the training program.

AND FINALLY...

I received an e-mail from Hugh Connell in Montana who wrote me regarding last week's essay, "Enterprise Decomposition."

Hugh writes:

"I found your essay to be interesting in terms of developing a stable model of a business. How else can this be used?"

Thanks Hugh for your note,

If you can layout a stable model of a business, there is no reason why you cannot establish comparable logical models of systems and data bases. It is only the physical implementation of systems and data bases that need adjusting. For example, back in the 1980's one of our "PRIDE" users (a large Fortune 500 electronic conglomerate) bought into our logical/physical concept and decided to put it to the test. Working from their corporate offices, they designed a complete Payroll System which they wanted to implement as the corporate standard across all of their divisions and subsidiaries. They completed the system with a recommended programming solution they wrote themselves (no packages were used) which I believe was an IBM MVS solution using COBOL. However, they recognized early on this implementation wouldn't work across the board in the company. Consequently, they gave the system specifications to all of their divisions who would then program it themselves in-house. The project turned out to be a major success and the company ended up with multiple implementations of the same system under IBM MVS, VM, Honeywell GCOS, UNIVAC Exec, HP MPE, DEC VAX/VMS, and Prime; all working harmoniously together. Other "PRIDE" users experienced similar successes, particularly in Japan.

All of this drives home the point that systems are logical in nature, and that programming is physical. If systems are designed properly, there is no reason they shouldn't behave identically on whatever computer platform you come up with. Better yet, it allows us to easily migrate our systems from one configuration to another.

The logical model is stable; it will only change if the business changes (due to mergers, acquisitions, diversification, new products/services, etc.). The physical model is much more dynamic, and is ultimately driven by changes in technology. The physical model is certainly not irrelevant, but I believe we have become too bound to it. A logical model represents independence of our physical environment, thus permitting mobility and portability to new physical environments. If done properly, new physical models can be implemented less painfully than they are today. In fact, a good logical model expedites the implementation of the physical model.

As I mentioned in the essay, whereas the logical is a rather stable model, the physical is dynamic and can be implemented many different ways. The logical models also deal with a finite number of resources, not infinite. For example, in the Enterprise Decomposition Model, there are probably no more than 50 business functions in any given enterprise. Some might argue over the exact number, but the point is, there is not a inordinate number of resources in the logical models. Imagine if these models were all properly documented; it could then be reused over and over again.

Assuming my argument is correct, it would be in a consulting company's best interest to develop standard logical models of businesses (templates) in order to implement new business strategies. For example, let's assume they had a standard logical model for a bank. They could reuse the template in many different banks and offer different physical implementations based on the latest technology of the day. Such templates would add to their credibility by demonstrating to the customer they understand their business. It would also give them a road map of what they need to implement.

Now let's imagine developing a library of such templates for different businesses. Wow! Talk about leverage.

Again, thanks for your e-mail. Keep those cards and letters coming.

MBA is an international management consulting firm specializing in Information Resource Management. We offer training, consulting, and writing services in the areas of Enterprise Engineering, Systems Engineering, Data Base Engineering, Project Management, Methodologies and Repositories. For information, call us at 727/786-4567. For a complete listing of my essays, see the "PRIDE" Special Subject Bulletins section of our corporate web site.

Our corporate web page is at:

http://phmainstreet.com/mba/

Management Visions is a presentation of M. Bryce & Associates, a division of M&JB Investment Company of Palm Harbor, Florida, USA. The program is produced on a weekly basis and updated on Sundays. It is available in versions for RealPlayer, Microsoft Media Player, and MP3 suitable for Podcasting. See our web site for details. You'll find our broadcast listed in several Podcast and Internet Search engines, as well as Apples' iTunes.

If you have any questions or would like to be placed on our e-mailing list to receive notification of future broadcasts, please e-mail it to timb001@phmainstreet.com

For a copy of past broadcasts, please contact me directly.

We accept MP3 files with your voice for possible inclusion in the broadcast.

There is no charge for adding a link to "Management Visions" on your web page, for details and HTML code, see the "Management Visions" web site.

Management Visions accepts advertising. For rates, please contact yours truly directly.

Copyright © 2007 by M&JB Investment Company of Palm Harbor, Florida, USA. All rights reserved. "PRIDE" is the registered trademark of M&JB Investment Company.

This is Tim Bryce reporting.

Since 1971: "Software for the finest computer - the Mind."

END

February 19, 2007

"ENTERPRISE DECOMPOSITION"

There has been a lot published recently about "Enterprise Architecture" and "Information Architecture." I can't say I buy into these theories completely, but it is encouraging to see people trying to get a more global perspective on their company's business and information needs. Where I think they are weak is in the area of truly understanding the nature of information and how it serves the business. We've discussed the properties of information in past essays and I think we will need to revisit it again in the near future; in the meantime, be sure to see:

No. 4 - "Defining Information Requirements" - Dec 27, 2004

No. 29 - "Using Information Strategically" - June 20, 2005

To summarize, we use a simple concept:

INFORMATION = DATA + PROCESSING

This concept makes a distinction between information and data which a lot of people erroneously treat as synonymous. Under the "PRIDE" approach, information is "produced" (it is not stored) and "consumed" by the enterprise (as represented by end-users). On the other hand, data is stored and reused as required. This is a subtle but important delineation. If we buy into this argument that information is a consumable commodity, it is important to understand the consumer. In other words, we must understand the inherent nature of the business in order to properly serve it. This is one reason why, in 1988, we introduced the "PRIDE"-Enterprise Engineering Methodology (EEM) and invented a universally applicable technique called "Enterprise Decomposition" which provides a convenient way to logically model an enterprise.

THE LOGICAL ENTERPRISE

As I've mentioned in the past, there are logical and physical dimensions to information resources; see:

No. 73 - "Logical vs. Physical Design: Do You Know the Difference?" - May 1, 2006

And as mentioned in the bulletin, people tend to understand the physical aspects better than the logical probably because it is more tangible. For example, people understand the physical structure of an enterprise better than the logical. The physical structure can be exemplified by an organization chart depicting reporting relationships. This is fine for describing administrative relationships, but paints a muddy picture in terms of the fundamental duties and responsibilities of the enterprise. The purpose of a logical model, therefore, is to provide a clear and concise description of the enterprise.

Let's begin by understanding the basic characteristics of an enterprise:

An enterprise is a self-contained unit -

An enterprise is able to produce or receive income, administer resources, and produce a product or service. All enterprises produce some form of product or service. Although a product is a tangible commodity that is easily understood, a service is highly intangible and may consist of such things as accounting, legal advice, banking, social work, government regulation, labor, etc. Like a product, a service is a billable or measurable commodity. The sale of products and services implies that an enterprise has clients it serves, whether they are a typical customer, the citizens within a government area, or the membership of a social organization. Some enterprises, such as insurance companies and banks, offer both services and products.

This leads to the idea that there is a simple and universal model for all enterprises:

UNIVERSAL ENTERPRISE MODEL

One area of the enterprise is concerned with producing income, which is typically the goal of a marketing function. Without financial income, all other work will quickly cease.

Another area of an enterprise administers resources, including human, financial, material, equipment and information resources. This includes the areas of accounting, finance, personnel, materials, and information resource management.

The last area of the company is concerned with producing a product and/or service. This represents the outcome of the enterprise and includes such things as manufacturing, consulting, training, or some other form of service, such as legal advice and accounting.

The boundaries of an enterprise can be typically defined by the set of "books" used for accounting purposes. These books, supported by a chart of accounts, describes how money is received and allocated through debits and credits. Ultimately, it defines the scope of the enterprise.

Perhaps the ultimate test for an enterprise is whether it can be spun off and made a separate operating unit. For example, a division within an automotive conglomerate could be considered an enterprise.

An enterprise has a structure, both logically and physically -

Each enterprise has a physical structure that reflects the organization in terms of human and machine resources. It also has a logical structure which reflects the organization of the underlying business functions. Functions are used to define the fundamental duties and responsibilities of the enterprise. Positions are used to define the physical positions or jobs implementing the functions. Resources, both human and machine, are used to implement positions. These resources have specific skills and proficiencies which qualify them for the work to be performed.

Understanding Functions

In order to fulfill the mission of the enterprise, certain functions must be performed. These functions define WHAT work must be performed and WHY. When organized into a hierarchy, functions represent the logical structure of the enterprise. A function, therefore, is defined as a logical grouping of one or more responsibilities for carrying out a specific portion of the mission of the enterprise.

Functions represent bodies of actions and decisions required to perform the duties and responsibilities of such things as marketing, accounting, manufacturing, sales, customer service, shipping, receiving, inventory, finance, product development, etc. Since they are logical constructs, functions are relatively static. They will only change if the mission or nature of the enterprise changes, such as venturing into new business endeavors. Enterprises with common missions will have similar logical structures. For example, all life insurance companies are logically the same, all electric utilities are the same, automotive manufacturing, banking, etc. They will only differ if the products and/or services differ.

Functions exhibit the following characteristics:

A. Functions rely on other functions to form a whole -

An enterprise will consist of several functions which delineate specific areas of responsibility. Each function will rely on the other functions in order for the enterprise to operate effectively. For example, without an income producing function, such as sales, most companies will quickly go out of business regardless of how well the other functions are performing.

B. Functions denote the three basic levels of activity in an enterprise (policy, control and operations) -

Functions are organized into a hierarchy which denotes the types of actions and/or decisions involved. Policy functions refer to executive decisions where policy is made and objectives are formulated. Control functions relate to middle management actions and decisions to monitor day-to-day affairs and assure that executive decisions are met. Operational functions involve the routine activities or work of the enterprise. These three levels can be charted as a hierarchy showing superior/subordinate/lateral functional relationships.

THE LOGICAL ENTERPRISE
Defines the business of the Enterprise

THE LOGICAL STRUCTURE REPRESENTS A STATIC VIEW OF THE ENTERPRISE; IT WILL ONLY CHANGE IF THE BUSINESS MISSION CHANGES ENTERPRISES WITH COMMON BUSINESS MISSIONS WILL HAVE SIMILAR LOGICAL STRUCTURES

Information corresponds to the three levels. Policy information is used to establish the direction or policy for the enterprise. It includes such things as trend analysis, forecasts, profit and loss, etc. Control information is used to control operational activities and assure that policy decisions are implemented. Typical applications include production control, inventory control, accounts receivables, accounts payable, customer complaint analysis, error notification, progress/status reporting, etc. Operational information is used to perform the normal day-to-day operations of the enterprise, such as shipping, manufacturing, receiving, billing, payroll, processing customer orders/requests, etc.

There is not necessarily a one-for-one relationship between business functions and information requirements. One business function may have multiple information requirements, and one information requirement may affect many business functions.

The benefits from structuring the enterprise using logical functions are that it provides a guideline for establishing a chart of accounts for accounting purposes and can also provide the means to establish "profit centers" in the enterprise.

SAMPLE ENTERPRISE MODEL

C. Functions deal with objects and require information -

Each function has at least one "object" it must deal with or manage. Objects represent facts and events required to operate and manage an enterprise. They may be as tangible as a product, employee or part, or as intangible as a transaction, an order, a shipment, a debit or credit. In order to effectively manage these objects, functions require specific information about these objects in order to fulfill their mission. No single function has a monopoly on an object; they may be shared by many functions.

D. Functions communicate through information systems -

Information flows between functions and is the cement holding the enterprise together. Systems, with their inputs, outputs, files and processes represent the means by which functions interact with each other. They represent the vehicle by which duties and responsibilities are discharged.

CONCLUSION

It has been our experience over the years that all enterprises conform to this logical model as defined by Enterprise Decomposition. Such a model raises the consciousness of the enterprise in terms of its true nature. To illustrate, years ago we were contracted to study a jewelry manufacturer in the U.S. Midwest. By studying their company in this manner, we discovered their true business was more in the purchasing and sale of gold as opposed to jewelry manufacturing. This revelation was an eye-opener for all involved.

The logical model is useful for determining the tactical needs of information internally within an enterprise, but to determine the strategic needs for information, it is necessary to develop similar models for customers, vendors, or any other external enterprise affecting our business. The more we know about these external entities, the better we can devise strategic systems to serve them.

I have heard pundits in the industry say they want to "model information." Interestingly, I cannot seem to get them to clearly articulate this concept, nor do I believe is it feasible to do so. Model a business? Yes. Model systems? Certainly. Model data bases? Of course. But model information? Hardly. Again, information is a consumable commodity. We can identify the need for it by studying the business model; We can demonstrate how it is implemented via outputs and the systems and data base models; but I fail to see how we "model" information. To me, this is all reminiscent of the arguments back in the 1980's over "Information Engineering," a subject where the authors didn't grasp the nature of information or engineering, but it sold a heck of a lot of books.

For more information on "PRIDE"-EEM, see:
http://www.phmainstreet.com/mba/pride/ee.htm

OUR BRYCE'S LAW OF THE WEEK therefore is... "Enterprises with identical missions will also be identical in terms of logical structure."

"PRIDE" METHODOLOGIES FOR IRM

Friends, the "PRIDE" Methodologies for Information Resource Management (IRM) is a common sense solution for Enterprise Engineering, Systems Engineering, Data Base Engineering, and Project Management. The methodologies include defined work breakdown structures, deliverables, and review points that promote quality and the production of industrial-strength information systems. Building information resources is a science, not an art form. Our methodologies clearly explain the concepts that govern them, which remarkably, is derived from engineering/manufacturing practices. Now you can get these acclaimed methodologies for free at our corporate web site at: http://www.phmainstreet.com/mba/pride/

MY "PET PEEVE OF THE WEEK" IS "HOMEOWNER ASSOCIATIONS"

I have served on several board of directors over the years for a variety of nonprofit organizations, but I don't think I can find a more thankless job than serving on a board of directors for a Home Owners Association (HOA). I served my HOA a few years ago as Vice President, and then President. I got involved because the Association was screwed up financially and its governing docs required considerable update. During my year as President I was able to turn the Association around, from operating in the red to operating in the black without having to raise dues. Further, we able to make sweeping changes to our governing docs and made the board more accountable for their fiduciary responsibilities. Basically, I made the trains run on time.

Despite all of my efforts, there were those in the neighborhood who wanted to run me out of town on a rail. I think the problem here is that I see nonprofit organizations as no different than a commercial enterprise and should be treated as such. Others do not share this view and think it should be run as some sort of "feel-good" club. Its not. I don't care what the nature of the association is, a nonprofit organization is a legal entity that has responsibilities to its constituents. Not surprisingly, the officers of organizations such as Home Owner Associations are often well meaning volunteers with some time on their hands, but haven't got a clue as to how to run a business.

Believe it or not, some people get involved just to gain a title and establish some sort of notoriety. I remember one pompous Past President of our Association who loved to attend neighborhood cocktail parties, shake everyone's hand and say, "Hi, I'm President of the HOA." I found this amusing as this was the same clown who almost bankrupted the Association.

Then you have the problem of the cranky retirees who have nothing better to do than complain about the slightest thing, such as a blade of grass out of place. Instead of offering assistance to help out in some capacity, they would rather sit on the sidelines and bitch.

Like I said, I've been involved with a lot of nonprofit organizations over the years, many of which exhibit the same characteristics. But I would have to say that Home Owner Associations are perhaps the worst, which I affectionately refer to as "Snakepits."

Such is my Pet Peeve of the Week.

eBOOK: THE BRYCE IS RIGHT!

Folks, be sure to check out our eBook entitled, "The Bryce is Right! Empowering Managers in today's Corporate Culture." This is a frank and candid description of the state of the art in management and includes essays on the problems in management today, along with some pragmatic advice on how to deal with them. Basically, this is a condensed course in management. As such, it is suited for managers, either those aspiring to become a manager or for those who need a refresher course. It will also be of interest to young people entering the work force, and is excellent for college curriculums.

Charles Cole of Lyndhurst, OH, said it is a "Very interesting book. Good work! It reminds me of some of the early works I read by W. Edwards Deming. Too bad the American corporate gurus of his day didn't pay him heed."

And Wolf Hager of Fort Myers, FL, says it is "A very impressive publication which requires careful reading and reminds me somewhat of Peter Drucker."

The price is just $20 plus tax. For more information on our book or to order on-line, see:

http://www.phmainstreet.com/mba/bryce1.htm

We have also produced a new one-day training program of the same name. For more information on both the eBook and course, please visit our web site at:

http://www.phmainstreet.com/mba/bryce1.htm

While there, look for our MS PowerPoint presentation describing both the book and the training program.

AND FINALLY...

I received an e-mail from Bernie DeMarco in Chicago, IL who wrote me regarding last week's essay, "IRM: Putting all the Pieces Together."

Bernie writes:

"I was surprised about your comments on Information Resource Management. I thought IRM was passe."

Thanks Bernie for your note,

Passe? Well in this age of Agile Methodologies and power programming tools, you might think so. But IRM is an important management concept for controlling all of the resources needed to satisfy the information requirements of an enterprise. It requires a much more global perspective than what most people in IT currently have. As such, it is not for everyone. But it should begin with top management who will only adopt it as a management strategy if they appreciate the value of information in the running of their business. This is most definitely not the same as establishing a value on our physical technology resources. For example, executives in Japan are just now waking up in terms of the role information plays in competing on a global basis and are more inclined to accept the concept of IRM. But passe? Hardly.

Again, thanks for your e-mail. Keep those cards and letters coming.

MBA is an international management consulting firm specializing in Information Resource Management. We offer training, consulting, and writing services in the areas of Enterprise Engineering, Systems Engineering, Data Base Engineering, Project Management, Methodologies and Repositories. For information, call us at 727/786-4567. For a complete listing of my essays, see the "PRIDE" Special Subject Bulletins section of our corporate web site.

Our corporate web page is at:

http://phmainstreet.com/mba/

Management Visions is a presentation of M. Bryce & Associates, a division of M&JB Investment Company of Palm Harbor, Florida, USA. The program is produced on a weekly basis and updated on Sundays. It is available in versions for RealPlayer, Microsoft Media Player, and MP3 suitable for Podcasting. See our web site for details. You'll find our broadcast listed in several Podcast and Internet Search engines, as well as Apples' iTunes.

If you have any questions or would like to be placed on our e-mailing list to receive notification of future broadcasts, please e-mail it to timb001@phmainstreet.com

For a copy of past broadcasts, please contact me directly.

We accept MP3 files with your voice for possible inclusion in the broadcast.

There is no charge for adding a link to "Management Visions" on your web page, for details and HTML code, see the "Management Visions" web site.

Management Visions accepts advertising. For rates, please contact yours truly directly.

Copyright © 2007 by M&JB Investment Company of Palm Harbor, Florida, USA. All rights reserved. "PRIDE" is the registered trademark of M&JB Investment Company.

This is Tim Bryce reporting.

Since 1971: "Software for the finest computer - the Mind."

END

February 12, 2007

"IRM: PUTTING ALL THE PIECES TOGETHER"

Years ago I was visiting a large manufacturing company headquartered in Connecticut where I was making a presentation on our "PRIDE" Methodologies for IRM. I thought I had a done a pretty good job of explaining the basic concept of Information Resource Management, but the IT Director was having a problem comprehending it. He said, "Tim, what I'm looking for is the ability to know where all of our plants and offices are throughout the Atlantic seaboard, what their systems are, and the data they use." Then, elevating his hand over his head like an airplane, he continued, "I want a view of the enterprise from 50,000 feet."

I told him he had just succinctly described the concept of IRM and I have been using this expression ever since. (I also got the contract shortly thereafter). IRM is the global view of an enterprise's information resources, including its business, systems, and data components. I have described this concept in-depth in past essays, see:

No. 12 - "Understanding the IRM/MRP Analogy" - February 21, 2005

TYING IT ALL TOGETHER

What concerns me lately is how the industry seems to have developed distinctly separate approaches for such things as:

• Enterprise Resource Planning (ERP)
• Information Architecture
• Business Process Reengineering (BPR)
• Agile/Extreme Programming
• Object Oriented Programming (OOP)
• Data Mining
• Enterprise Architecture
• Project Management
• Service Oriented Architecture (SOA)
• Data Base Design
• Programmer Workbenches
• Business Rules
• Process Management
• Quality Assurance
• DBMS
• SDLC/Waterfall Methods

All have developed their own unique market niche complete with conferences, books, magazines, and self-proclaimed gurus. All are segregated into separate fiefdoms with little, if any, interfaces between any of them. It seems strange to me they do not work together harmoniously in a cohesive manner. Frankly, we tend to make things more complicated than they need to be.

I tend to believe this is caused because the industry takes a rather myopic view of things. Basically, all of these efforts started out as rather simple ideas which have been refined and marketed as the panacea du jour. I am reminded of IBM's efforts in the 1980's with AD/Cycle who made a futile attempt to develop an integrated development environment. The reason for it's failure was primarily due to the lack of cooperation between the participating vendors to agree upon standards for developing a unified environment. And frankly, as competitors, it was not in their best interest to do so. To do so might impact their competitive advantage. Interestingly, AD/Cycle and most of the vendors who participated in the project have moved on, but the problem of an integrated environment has not.

Unlike the IT Director mentioned earlier, very few people want to see the "big picture." Instead, people in the industry have evolved into taking a tool-oriented approach for solving problems. In other words, the only problems seemingly worth addressing are those that can be conquered by the tools they are currently using. Anything outside of their scope is considered irrelevant and "someone else's problem." This is like having an orchestra without a maestro; all of the instruments play well but not in a concerted manner (and believe me, this is not a concert we would pay to see).

The objective of any CIO or IT Director is to create a homogeneous development environment as opposed to the heterogeneous environment just described. Doing so allows the staff to row on the same oar and not in opposing directions.

So, what is the common bond? Another new tool or technique? Hardly. Instead a very simple concept: Information Resource Management. IRM is more about management than it is about technology. In fact, it is a philosophy of management; a way of thinking, a management approach (not tool-oriented) to design and control resources to satisfy the information requirements of an enterprise. Ultimately, it represents organization, discipline and accountability. Like the comment about "50,000 feet," IRM requires a new perspective, one derived from the fundamentals of manufacturing and engineering. It begins with a belief that a system is a product that can be engineered and manufactured like any other product. If you can buy into this belief, than synchronizing all of the disciplines is not only feasible, it is highly likely.

CONCLUSION

In this industry, we tend to worry about the wrong things. This is like rearranging the deck chairs on the Titanic. Instead, we should take a more global perspective on the problem, organize ourselves accordingly and conquer it. To do so does not require the use of any particular tool or technique. Instead, we have to climb up upon the mountain, look down, and chart a course of action. This is what Information Resource Management is all about. Its not about mastering a specific instrument, its about orchestration. But this can only happen if we define and standardize our concepts and terminology and turn IRM from an art to a science. Together, we can create a symphony.

OUR BRYCE'S LAW OF THE WEEK therefore is... "IRM is the view of the enterprise from 50,000 feet."

"PRIDE" METHODOLOGIES FOR IRM

Friends, the "PRIDE" Methodologies for Information Resource Management (IRM) is a common sense solution for Enterprise Engineering, Systems Engineering, Data Base Engineering, and Project Management. The methodologies include defined work breakdown structures, deliverables, and review points that promote quality and the production of industrial-strength information systems. Building information resources is a science, not an art form. Our methodologies clearly explain the concepts that govern them, which remarkably, is derived from engineering/manufacturing practices. Now you can get these acclaimed methodologies for free at our corporate web site at: http://www.phmainstreet.com/mba/pride/

MY "PET PEEVE OF THE WEEK" IS "DEFRAGMENTATION"

Something that has irritated Windows users for a long time is its defragmentation utility. To the ordinary user, the concept of defragging a hard drive is a very nebulous concept. In a nutshell, defragmentation is the process or reorganizing and rewriting files so that they occupy one large continuous area on your hard disk rather than several smaller areas. Basically, the theory is to improve performance (which never seems to actually happen).

But my question is why does the operating system allow data to be written inconsistently on the hard drive at all? Sounds like a pretty flimsy file management system to me. Back in the days of IBM's OS/2 operating system, we never worried about such things. In fact I still have a few machines in my office still using OS/2 for the last fifteen years and I have never had to defrag their hard drives. When I mention this to my friends, they look at me incredulously as they believed everyone had to defrag their hard drives. No, Virginia, they don't.

So, here we go again with another release of a Microsoft operating system and I have to ask why defragmentation is still in Windows. The user should not have to worry about such nonsense, either the operating system can efficiently read and write to the hard drive or it can't. Instead of "state of the art" maybe we should call Windows "state of confusion."

Such is my Pet Peeve of the Week.

eBOOK: THE BRYCE IS RIGHT!

Folks, be sure to check out our eBook entitled, "The Bryce is Right! Empowering Managers in today's Corporate Culture." This is a frank and candid description of the state of the art in management and includes essays on the problems in management today, along with some pragmatic advice on how to deal with them. Basically, this is a condensed course in management. As such, it is suited for managers, either those aspiring to become a manager or for those who need a refresher course. It will also be of interest to young people entering the work force, and is excellent for college curriculums.

Charles Cole of Lyndhurst, OH, said it is a "Very interesting book. Good work! It reminds me of some of the early works I read by W. Edwards Deming. Too bad the American corporate gurus of his day didn't pay him heed."

And Wolf Hager of Fort Myers, FL, says it is "A very impressive publication which requires careful reading and reminds me somewhat of Peter Drucker."

The price is just $20 plus tax. For more information on our book or to order on-line, see:

http://www.phmainstreet.com/mba/bryce1.htm

We have also produced a new one-day training program of the same name. For more information on both the eBook and course, please visit our web site at:

http://www.phmainstreet.com/mba/bryce1.htm

While there, look for our MS PowerPoint presentation describing both the book and the training program.

AND FINALLY...

I received an e-mail from AC Kemper in Athens, OH who wrote me regarding last week's Pet Peeve, "Systems Development Priorities."

AC writes:

"Wow, you say programming should only take up about 15% of the development process? Try 90% in our shop."

Thanks AC for your note,

Yes, this is the problem I was alluding to in my essay. For example, consider the distribution of job titles in the IT department. How many are systems analysts and how many are programmers (or whatever the title du jour is these days)? This will give you an idea of where your company's priorities lie. It is not uncommon to see a 7:1 ratio of programmers to analysts (if not higher). To my way of thinking, it should be reversed. But to make this happen, you have to ask what is management's perspective on development. Do they see it as an art or a science? Is the staff treated as unbridled free spirits allowed to do their own thing or as disciplined professionals? Your answer will say a lot about your company's perspective on systems and its development practices.

Again, thanks for your e-mail. Keep those cards and letters coming.

MBA is an international management consulting firm specializing in Information Resource Management. We offer training, consulting, and writing services in the areas of Enterprise Engineering, Systems Engineering, Data Base Engineering, Project Management, Methodologies and Repositories. For information, call us at 727/786-4567. For a complete listing of my essays, see the "PRIDE" Special Subject Bulletins section of our corporate web site.

Our corporate web page is at:

http://phmainstreet.com/mba/

Management Visions is a presentation of M. Bryce & Associates, a division of M&JB Investment Company of Palm Harbor, Florida, USA. The program is produced on a weekly basis and updated on Sundays. It is available in versions for RealPlayer, Microsoft Media Player, and MP3 suitable for Podcasting. See our web site for details. You'll find our broadcast listed in several Podcast and Internet Search engines, as well as Apples' iTunes.

If you have any questions or would like to be placed on our e-mailing list to receive notification of future broadcasts, please e-mail it to timb001@phmainstreet.com

For a copy of past broadcasts, please contact me directly.

We accept MP3 files with your voice for possible inclusion in the broadcast.

There is no charge for adding a link to "Management Visions" on your web page, for details and HTML code, see the "Management Visions" web site.

Management Visions accepts advertising. For rates, please contact yours truly directly.

Copyright © 2007 by M&JB Investment Company of Palm Harbor, Florida, USA. All rights reserved. "PRIDE" is the registered trademark of M&JB Investment Company.

This is Tim Bryce reporting.

Since 1971: "Software for the finest computer - the Mind."

END