Chapter 10 - Centralized versus Decentralized - IT's About Business Flashcards
What is decentralized IT?
It is an organizational structure in which daily operations and decision making responsibilities are delegated to the respective business units. Think of the CEO taking a backseat, and the main manager for each department provides information on how it should be.
What is centralized IT?
It is an organization structure where the hardware and software decisions were made by leadership within the company. Think of the CEO telling the entire company how to work.
What are the advantages of centralized IT departments?
1) Increased purchasing power
2) Improved information flow among IT members
3) Overview of the enterprises technical infrastructure.
4) Organizational standardization and structure
5) Reduced costs and streamlined maintenance.
6) Can easily comply with industry regulations.
What are the advantages of decentralized IT departments?
1) They can choose and configure IT resources to match their specific business needs.
2) It creates greater organization redundancy and a more resilient IT infrastructure. If one server goes down, it will not affect all allowing for server backup.
3) Less bureaucracy allows an organization to respond more quickly to the IT trends.
What is the role of the cloud in a centralized and decentralized IT department?
Cloud computing solutions enable organizations to build and deliver a unique customer experience much faster than centralized structures do. Essentially the cloud cancels out the advantages of the centralized department, making the decentralized more appealing.
What is the hybrid IT system?
The hybrid IT system will provide the benefit of both structures. It will provide the overarching benefits of security, compliance, and API with the centralized system. However it will allow departments to make purchases that suit their needs if it aligns with the standards. This will ultimately support, not control the different technological decisions.
How does the cloud cancel the lower hardware costs by keeping all servers and networking equipment in one place advantage offered by the centralized system?
Cloud based solutions provide most of the functions provided by local servers and mainframes.
How does the cloud reduce the advantage of lower maintenance costs provided by centralized departments?
A cloud based solution does not need maintenance on separate sites.
How does the cloud cancel the advantages provided by the centralized department regarding regulation?
Cloud based solutions already comply with the relvant regulations
