IMT Custom Machine Company Case Study
IMT Custom Machine Company Case Study
The main advantages of implementing a Linux-based system included its cost-effectiveness, as it did not require investment in new hardware; portability, with the ability to run on multiple machines; and ease of installation and maintenance. Furthermore, Linux is known for its stability and reliability, with less frequent rebooting needed compared to other systems .
Adopting a Linux-based solution is more feasible than centralizing computing resources because it offers flexibility, reduces hardware costs, and enhances integration without substantial software procurement costs. However, although centralization could streamline processes by integrating systems directly, its high expenses and risk of failure make it less practical. The Linux solution’s potential outsourcing risks must be mitigated by stringent cybersecurity measures .
Organizational communication at IMT Custom Machine Company, INC. was hampered by lack of system integration between Chicago and Fort Wayne facilities and ineffective information sharing via LAN. This impacted coordination between departments, contributing to production decline. Recommendations included switching to a WAN for robust inter-departmental connectivity and addressing the disconnect between ES and MIS .
Hiring new staff was necessary because the current team lacked knowledge in distributed computing, essential for adopting improved workstation computing or a Linux-based system. However, this introduces challenges such as increased recruitment and training costs, potential cultural integration issues, and the need for effective change management to ensure smooth transition without disrupting existing workflows .
Transitioning from a LAN to a WAN was seen as beneficial for IMT Custom Machine Company, INC. because a WAN enhances communication efficiency across geographical regions, thus connecting workstations more effectively. This change was expected to overcome issues of connectivity and data integration that were hampering productivity due to the limitations of a LAN .
June Page, despite her lack of experience in information systems, intended to address IMT Custom Machine Company's issues by leveraging her ability to identify problems and implement necessary changes. She tasked senior engineer Charles Browning with investigating these problems and proposing solutions, demonstrating her strategic approach to utilize the expertise within the company to drive improvements .
Charles Browning proposed four solutions: 1) Centralizing and eliminating existing workstations, though costly if new software failed; 2) Enhancing workstation computing, which required new staff skilled in distributed computing; 3) Implementing a Linux-based system with data hosted off-site, risking sensitive data exposure; 4) Continuing the 'wait and watch' policy, which could hinder long-term business sustainability if the information system did not evolve .
Continuing the 'wait and watch' policy risks stagnation in the company's information system, potentially leading to competitive disadvantage as technological advancements are missed. While it offers a cautious approach, this strategy can hinder the company's responsiveness to changing market demands and prevent necessary innovation, further impacting production negatively as observed from past experiences .
IMT Custom Machine Company, INC. faced significant organizational challenges, notably the lack of coordination between the engineering system (ES) and management information system (MIS), as well as inadequate connectivity between their plants in Chicago and Fort Wayne. These issues, coupled with reliance on a localized LAN rather than a more robust WAN, led to performance inefficiencies. Moreover, there was no backup for system failures, which meant manual processes were cumbersome and error-prone. Collectively, these problems contributed to a decline in production during this period .
Outsourcing sensitive company data to a third-party data hosting company, as suggested with the Linux system implementation, poses significant security risks. It involves placing confidential information outside the company's direct control, increasing exposure to potential data breaches and security threats. The company would have to rely on the external provider's security measures, and any lapse could compromise sensitive data, affecting business operations and stakeholder trust .