Strategic information technology planning and audit exercises for business organizations

Strategic Information Technology Plan

Oesterlen Services for Youth is an organization that helps troubled youth in Ohio. It consists of a counseling center and a foster care placement program, as well as residential services for both male and female youth for intensive care cases. In order for Oesterlen to continue to help as many youth as possible, it has to be up-to-date on its technology. To that end, it has set some goals for its computers from both a software and hardware standpoint. The current M.T.I. goals for the organization are to consolidate the servers and applications as much as possible. By partnering with others, Oesterlen will be better able to fulfill its mission of helping youth. The alliance between Qbase, ADP online, and the merger of a sizeable competitor will enable Oesterlen the ability to serve the clients better while maintaining the delicate balance between the mission goals and the operation of a successful business. The products and services that Qbase will be providing include datacenter space, a wireless connection from the datacenter to the main campus, a virtual environment which will house the new servers, and applications which will be a consolidation of the current configuration. Oesterlen must consider the social, political, financial, legal, and other aspects of the changes it wishes to make, in order to ensure it is making the right decisions for its long-term future.

Strategic Information Technology Plan

Introduction

Oesterlen Services for Youth is an organization that helps troubled youth in Ohio. It consists of a counseling center and a foster care placement program, as well as residential services for both male and female youth for intensive care cases (Oesterlen, 2012). Oesterlen's mission statement is "on behalf of the church, in witness to Christ, this agency's mission is to serve troubled or potentially troubled children and youth from infancy through transition into adulthood, with those significant to them, working toward their mental, social, physical and spiritual well-being" (Oesterlen.org, 2012). In order for Oesterlen to continue to help as many youth as possible, it has to be up-to-date on its technology. To that end, it has set some goals for its computers from both a software and hardware standpoint. The current M.T.I. goals for the organization are to consolidate the servers and applications as much as possible. Applications have been added to the systems over time, and they require a re-evaluation of services and infrastructure in order to plan for future implementation of other applications and services (Oesterlen, 2012).

In the near future, Oesterlen desires to evaluate the current implementation of the servers and the applications and services operating on each of those servers. Currently three servers are in place for file sharing and email, and there is another server for applications such as WSUS, ADP, and TrendMicro. A major component to this project is that Oesterlen wishes to consolidate the current servers from the data room and also move them to a virtual environment located in a datacenter. By virtualizing the systems into one consolidated piece of hardware, the infrastructure will be much cleaner and not as subject to adverse conditions as it is now. The servers are currently located in the basement of the administration building, which has a number of environmental issues such as temperature fluctuation during weather events, as well as damp and often dirty air. The cost of upgrading the room is more than the organization desires to spend, whereas consolidating the systems into a datacenter is much more cost effective. By consolidating the servers and moving them to a datacenter, the cost of operating the systems will be drastically reduced. Generally, consolidation of technology is a good move for leadership and for protection of said technology, provided the consolidation is handled correctly (Haviland, 2004; White & Bruton, 2011).

Maintenance costs will reduce as well as the cost of cooling and maintaining the data room onsite. In completing this project, more funds will be freed to concentrate on the actual mission of the organization which is the treatment of troubled youth. The M.T.I. goals fit into the financial responsibility of Oesterlen because it enables the organization the ability to efficiently use the funds for what is necessary and required by the state to track behavioral health records. Donors appreciate this level of stewardship because it shows that the money they contribute is being utilized for the purposes for which they originally donated it.

The Company's Development

Oesterlen utilizes word of mouth and direct agency relationships to advertise and gain new clients. They are also the only agency in the region that offers the type of services that are available at Oesterlen. The direct competitors are located at least 100 or more miles away which allows the organization a guaranteed section of the market share. Technological developments are understood by the Director of Operations by the contracted Computer Consultant firm explaining the various aspects of needs plus the equipment and strategies or M.T.I. Of the plan for future projects. As the technological needs grow, the Director of Operations tasks the consulting firm with developing solutions for the desired outcome such as consolidating the servers into a datacenter and moving certain applications into the cloud.

Contributing to the entrepreneurship of Oesterlen are the Directors. Specifically related to technology would be the Director of Operations who oversees the computer network and technologies instrumented at the organization. Using his leadership he is tasked with being the entrepreneur of the organization and solving the big picture issues of how to maintain the computer network and where technology can be utilized to fix an issue such as installing cameras in strategic areas for court cases. One of the major projects he managed was deciding on and planning for the replacement of the phone system with a voice over IP system. Together with the consulting firm he plans for the technological future of Oesterlen by presenting to them the problem or desired outcome and then through planning and the M.T.I. process they provide a solution to what is presented. Having one person to plan and oversee technology is generally more beneficial than having more than one person, because disagreements can often arise (Kelly, 2010; Kleiman, 2010).

The Stakeholders of the Company

In this instance the stakeholders are the Ohio counties that send youth to be evaluated and treated by the organization. The stakeholders are not so much interested in the monetary stake as they are in the mental health dividends that are received by their investment. Each county that contracts with Oesterlen sends them to be evaluated by therapists and then if necessary admitted into the residential program for intensive care treatment billed to the county or to Medicaid. In other cases, Oesterlen employs social workers who manage family situations and evaluate whether the state should remove the child from an abusive and unstable home to be relocated in foster care. "Many families in Clark County experience chronic social, medical, and/or emotional difficulties which, if not successfully addressed, could lead to serious family breakdown. Support Service staff operates as part of the Wraparound Team, coordinating support services with other treatment providers to help families become more self-sufficient" (Oesterlen, 2012).

Responsible Actions and the Bottom Line

Oesterlen is socially responsible for its clients because the treatment they provide will aid in the community from which the client originated. The community defined is the family unit, the school the troubled youth attends, or other community organization that brought the youth to this point needing mental health treatment. How this affects the bottom line is that when treatment fails or when incidents occur within the institution, court cases may ensue causing lawsuits to which Oesterlen may be found liable. This affects the bottom line when the lawsuits result in monetary loss.

Innovation and Reputation

In order to improve its reputation, Oesterlen has implemented a camera recording system that captures all incidents that occur within the institution where clients are located. In the event of an incident where a youth 'acts out' or is injured or a staff member's actions are called into question, the camera system will reveal exactly what happened at the time of the incident. That information can be burned to a DVD for evidence in a court case. Another implementation that Oesterlen has employed for keeping their reputation positive is by documenting all incidents, and all levels of care in written text which is stored on the server in a word document. Documentation is a vital part of healthcare and is needed in order to prove that a certain level of care was indeed performed and the regimen followed by staff at any facility providing care (White & Bruton, 2011).

Training is a further way that Oesterlen has utilized to be reputable. All training sessions are recorded and then uploaded to a media server for distribution to staff who were not able attend the live training; they are then given an online quiz to test their comprehension of the training video. The ability to use online training has leveraged the power of the internet and technology to enable the workers who have erratic schedules to be trained with minimal impact on the trainers. The trainers only have to conduct the training once to be replayed in an online forum. This innovative approach is a key to success in saving time and money in a difficult economy (Manfred & de Vries, 2003; White & Bruton, 2011).

Marketing the Company's Services

Customer markets are those surrounding counties that could benefit from the services Oesterlen provides. The marketing and relations coordinator reaches out to these prospective customers so that the counties will provide Oesterlen with clients to treat or place into foster care. Training is a large part of what Oesterlen provides its employees. Mandated by the State of Ohio, training enables the staff to effectively deal with situations so that all parties involved in any incident, be they staff or client, are safe upon the conclusion of the incident. Sustainability is important because by the success of Oesterlen's programs, more youth can be treated. Just as any business needs to be profitable to maintain operations, so too does Oesterlen. As a non-profit organization, the main purpose is to treat troubled youth, however, in doing so, payables are generated during the normal operation such as pay role, utilities, consumables, etc. The following table shows the critical success factors and rationales that are addressed by the company.

Critical Success Factor (CSF) for Delivery Scheduling Program

Rationale

Key Performance Indicator (KPI)

Who is Responsible?

Financial Responsibility

Efficient use of funds and donations for the express use in treatment of clients

Evaluation of key expenditures to verify that each is absolutely necessary for the end result

Operations manager

Customer Markets

Marketing to surrounding counties will increase the amount of clients treated by Oesterlen

Number of clients treated per month

Marketing and relations coordinator

Training

Trained and well organized staff is a requirement by the state mandates and contributes to safety

Number of incidents and number of incidents resolved positively to those resolved with a negative result

Training manager

Sustainability

Sustainable income so that operations and treatment can continue

Therapist evaluation and conclusive data on successful treatment

Heads of residential and treatment services

Gaining Demand for its Product/Service

Oesterlen can gain favorability for the demand of its product by developing a system of metrics that would measure the success rate of a child from beginning the program to the end of the program. By knowing this information, managers can easily present a tangible set of success data that proves that the organization's method provides an effective treatment. Measures that would be included might be the evaluation at the beginning of the treatment for a baseline, and then an incremental evaluation would be performed to measure progress at a prescribed increment. Finally, an exit evaluation would be performed to measure overall success of the treatment for that child.

The factors that could speed the adoption of Oesterlen's program would be having an adequate referral base. Currently Oesterlen advertises to a small degree to the surrounding counties by word of mouth and by flyer. If they were to advertise using the statistical data mentioned, then a better argument could be used to utilize Oesterlen's services. Effective communication plus accurate and substantive information is one of the keys to drawing in new prospective clients (Kotter & Cohen, 2002; MacKenzie & Wajcman, 1999).

The factors that could block success of an innovative process implemented at Oesterlen would be a result of how safe it is for the children. New ideology in the child psychology realm is primarily formed at a much higher level than within the confines of the agency's walls. Mostly these are done at the state and collegiate levels where like-minded child psychologists formulate new treatments that have been studied and then approved by state boards of mental health. The only innovation that can be done at the agency level is how to implement the treatments within the confines of the law and state mandates. Innovation at the implementation level can be blocked by cost and lack of training.

Competition for the Company

The likelihood of a strong competitive response in this line of business is low because it is part of a niche of treatment. Not many facilities are available that offer the kind of treatment Oesterlen does, and once the counties realize that the services are available they use them as a resource. The sustainability of potential competitive advantage is based on the amount of referrals and counties that have knowledge of Oesterlen's services. Oesterlen is considered a member of a niche category for the type of services they provide. Few agencies offer residential treatment and therapy for the clients as well as foster care placement and social services under one roof. This kind of versatility allows Oesterlen to provide services more quickly and efficiently in-house rather than involving multiple agencies. Standards within Oesterlen are mandated by the State of Ohio. Within those standards is the opportunity to create agency standards such as standardized software, hardware and procedures.

As an agency, there are many costs that factor in a smooth operation. Maintenance of systems such as HVAC and plumbing, cost of utilities, software purchases, computer hardware purchases and repair, software and database maintenance contracts are a few of the many cost factors that Oesterlen has to consider for the bottom line. The resources that are available for Oesterlen to commercialize are child psychology, residential intensive therapy, child placement and foster care services, and social services. The costs to consider in having an organization such as this are that it takes significant time, resources, relationships, and physical space to sustain the agency and keep it cohesive.

The novelty of this agency is that all of these services are located under the auspices of one agency that shares the risk and liability among the whole organization. Further, the agency can pull resources from each of the departments in order to strengthen the over-all program. Because this agency is considered a not-for-profit organization, Oesterlen can leverage opportunities to reduce the cost of purchasing software and equipment. For example, TechSoup offers organizations like this one the opportunity to purchase software for a significant fraction of the price.

The Mission, Vision, and Training

Oesterlen has a clearly articulated mission, but its vision is not articulated on the website. However, one could conjecture that it might be to enable youth the opportunity to have quality behavioral health and treatment services throughout the State of Ohio. The vision set by Oesterlen is attainable and has been proven by the number of youth served over the last fifty years. Team members share information fully within the confines of HIPAA compliance. HIPAA mandates that only those who need to know should know the information about a patient.

A large part of Oesterlen's culture is to provide in-service training sessions to each of the employees. In these training sessions, Oesterlen's ideology, mission, vision and government mandates are reinforced so that the team is cohesive in the ideals expressed by the board of directors. In order to work in this industry, one must possess a certain amount of passion for troubled youth. Those who do not share the vision of Oesterlen usually do not last long under employment.

Largely, the board of directors and therapists create the treatment methods that are approved by the State of Ohio. Those who work directly with youth provide feedback so that the directors and therapists can change treatment methods accordingly. Management is open to new ideas so long as they fall within the confines of State Mandates and other rigid standards that are already in place. Team members are able to make suggestions, however, the ultimate decision about treatment is held by the directors and therapists. A level of trust exists between the peers within the group.

At times trust is challenged interdepartmentally. Within each department is a leader who offers guidance and suggestion for the actions within the department. This is important to keep the group together and on task. The managers monitor the actions of team members by having them document each activity, issue and treatment implemented to the client/patient. For the most part, each member of the team is committed to excellence because in order to effectively treat the patients, the staff must adhere to strict guidance, failure to do so, would be dangerous for staff and other patients.

Operations Systems and Structures

Physical maintenance at Oesterlen can be a challenge, as there are five buildings, each with utilities and various maintenance issues. Each of the buildings have infrastructure which needs to be maintained, such as water systems, electrical systems, network infrastructure and phones. Being able to share one staff to maintain the physical systems would be the most cost effective. However, it may not be the most efficient. Facilities management incorporates the many buildings on campus and their operation, as well as those who are in charge of the respective areas and how they most efficiently run. While these may be separate, the facilities managers will need to meet to keep a consistent set of records.

The financial department is one of the most important. They help to monitor the financial responsibility of each department as well as ensure that accurate records are kept. In order to keep accurate records in an alignment, the financial departments of each will need to work together or that one may take dominance over the other. Departmental administration ensures that the departments are running at peak efficiency and in alignment with the mission and vision of Oesterlen. It is likely that the two buildings have their own mission, vision and values because they represent two halves of the same organization. Managers and the combined board members will need to construct and merge the statements into a cohesive set of mission, vision and values.

Electric service is a campus-wide concern. When electrical systems are down, everyone is effected and aware of the outage. Ensuring that it is up is important as an operational system. Electrical bills will need to be merged into one bill or sent to the correct financial department. Water Service is also an important system to keep running and to keep clean. If these systems are down, multiple issues could occur including sanitary as well as food preparation. EPA standards and health department standards may be different in each of the locations. Future projects and planning are important to help keep current systems running, but to also build new and improved systems and buildings that have the capacity for current and future needs. Combined, the two organizations will likely have future projects come to light, and those should be considered in order to better the organization.

Management of Technology and Innovation

Server systems are important to ensure that records are kept for each of the clients, to house any software that is required, and to provide security, user, and equipment management as well as log tracking. The two areas likely have their own independent systems. A plan to merge the two systems should be explored and completed. Electronic Health Records are a vital system that is a government mandate required to operate. These records are kept to verify that appropriate and necessary treatment was given to each client. Because both areas likely have an EHR system in place, managers must decide which system will suit the needs of both areas and then choose it, decommissioning the other.

Computer Infrastructure incorporates the internet connection, switches, servers, and the workstations. These components work together to offer the necessary services required by all employees to complete their assigned tasks. Infrastructures between the two areas will need to be connected via VPN tunnel or leased line connection. Further migratory steps will also be necessary to merge the two systems. Future database and record tracking are important to consider as technologies change and systems evolve as well as new legislation.

Email is a system that effects the entire organization and is necessary for efficient communication throughout the entire campus. The two areas have two email systems; these will need to be combined into one system for a more cohesive view. Having two email systems could be confusing and difficult to manage. The phone system is a vital part of emergency communication as well as efficient inter-campus communication. The two areas likely have independent phone systems. One should be chosen and the other removed so that calls can be routed between the sites with no issue.

Smart phones have enabled managers to quickly access their email, calendar and contacts while they roam around campus. The managers are not necessarily tied to their office, so having mobile email is an important aspect of their operation. It is likely that the two areas have separate cell providers and choosing one provider will save money. Door security is also important for the safety of the clients. While this facility is not a prison, the clients are locked inside to keep them contained and safe. The door security system is an automated system featuring RFID technology tied to a server, this gives managers maximum control over who is able to enter the facility. Each of the newly acquired employees will need to be given access to facilities as needed.

Competition Mergers

The alliance between Qbase, ADP online, and the merger of a sizeable competitor will enable Oesterlen the ability to serve the clients better while maintaining the delicate balance between the mission goals and the operation of a successful business. The products and services that Qbase will be providing include datacenter space, a wireless connection from the datacenter to the main campus, a virtual environment which will house the new servers, and applications which will be a consolidation of the current configuration.

The servers that Oesterlen will house in the datacenter will operate more reliably because of a more reliable power source provided by sophisticated uninterruptable power supplies coupled with the use of a generator. Within the datacenter is a controlled environmental system which keeps the temperature and humidity at a constant level so that the equipment stored there operates more reliably. With the use of the datacenter, the value added is a more reliable platform from which the servers can reside in order to provide consistent access to business critical applications.

ADP will provide an online system for the accountants at Oesterlen to access. This system will be an effort to consolidate systems further cutting costs of needing hardware to house certain applications. The service that ADP provides will be housed in ADP's datacenters and on the platforms they provide. Backups will be the responsibility of ADP. Other options have been explored to acquire the software and technology resources; however by consulting with Qbase and ADP, the chosen options are the best ones to achieve the desired result.

By merging with a local competitor Oesterlen will gain a significant amount of clients from surrounding and even far reaching counties within Ohio. With this merger the talent pool will widen with the addition of therapists and case workers who reside in areas closer to the youth's hometown. Other options have been explored other than merging with a local competitor, such as sustaining a cooperative between competitors, however this was not possible because of the current leadership within the organizations.

Data Center Implementation

To implement the datacenter, ADP and new merger aspects, adequate due process will be necessary to plan each step of the project. The datacenter project involves the purchase of servers, migration of data and the installation of software. To minimize the impact to Oesterlen users, most of the migration will need to happen outside of business hours however, the setup and installation of the new domain, email and virtual infrastructure can be done without impacting Oesterlen's normal operations. The ADP migration will involve exporting current data from the onsite server and then uploading it to the web service that ADP provides.

This can also be done with minimal impact to Oesterlen users during normal business operations. Adequate training will be provided by ADP representatives. The merger of the two organizations will be a complex fusion of technologies and users within the Oesterlen infrastructure. Virtual Private Network tunnels to remote locations as well as data infusion, user setup and integration of email addresses into the Oesterlen network will be necessary in order to fully merge the two infrastructures. The table below addresses some of the alternatives that could have also been implemented.

Alternatives vs. Decided Action

Alternative

Decided Action

Server hosted at Datacenter or local

$0, however could be subjected to environmental issues causing downtime.

Hosted at datacenter: $30 per U. per month.

ADP Payroll hosted or local installation

Local installation: Initial cost of setup $300 plus the cost of having additional hardware with maintenance.

Hosted solution: $100 per month.

Competition merger or cooperative

Cooperative: Cost would be virtually nothing, however the ability to pass clients to each other according to geographical location would provide a steady stream of business for both organizations.

Merger: Cost is undetermined at this point, however a large sum of capital will be necessary. The addition of talent resources will be worth the investment.

The implementation of these technologies and organizational culture changes coupled with proper planning will spur the quick and efficient completion of the separate projects. The datacenter solution will provide a more reliable platform while also consolidating the entire infrastructure at the same time. The ADP migration to a web service will help to cut costs while eliminate the need for separate hardware. The merger of Oesterlen and the local competition will enable the two organizations to serve a wider area of troubled youths while sharing each other's resources as one cohesive unit. Together, all of these changes will be a positive progression from which the organization as a whole has migrated. Changes in technology can be stressful for organizations, but those that are planned out correctly can also be highly beneficial in the long run (MacKenzie & Wajcman, 1999; Monsma, 1986; White & Bruton, 2011)

Key Areas of Future Development

There are several areas that Oesterlen must consider when it comes to development within the company. These are economic, political-legal, social-cultural, and technological. The technological issues Oesterlen is facing have already been discussed and how these are to be addressed has been presented. The partnerships Oesterlen will have with others will be a good way to ensure that technological advances continue and a lack of proper technology does not hold the company back when it comes to helping the youth in the community who need them most. But technology is not the only area that Oesterlen has to consider with its plans. It is also very important that other areas are examined and that the facility is handling them properly to help the maximum number of youth.

Economically, the plans that Oesterlen has are feasible. There was no reason for the facility to spend copious amounts of money on redoing the area where the servers were stored and making upgrades to existing materials when the facility could, instead, relocate those servers and have input and assistance from other companies. From a financial standpoint and a leadership and management standpoint, that makes much more sense. Since the facility realized that early on in the discussion of what to do about its aging servers and their location, Oesterlen was able to make the appropriate decisions and changes in order to provide the most value and the lowest cost. That, in turn, allowed Oesterlen to help the largest number of youth in the community, because that money was not being spent on other pursuits that would improve technology at the facility.