org 716 week 5 article review

Jul 19th, 2016
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University of Phoenix
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it is systems thinking article review

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Running head: IT MANAGEMENT ISSUES: A REVIEWIT Management Issues: A ReviewUniversity of Phoenix1IT MANAGEMENT ISSUES: A REVIEW2IT Management issues: A ReviewThe Luftman, et al. (2012) information technology/information systems (IT/IS) researchaddresses the major influence and global nature of IT/IS to the organization and the importanceof considering both local and global factors in IT/IS management. The research is focused ondefining both the similarities and differences of IT management structures for organizations fromfour regions: the United States, Europe, Asia, and Latin America. The research indicates that thebottom line or return on investment (ROI) with its focus on the shareholder, as defined byrational systems theory (Webber, Goussak, & Ser, 2013) and transaction cost theory (Klemm,1984) still drive the structure of IT/IS departments and corporate management for the samplepopulation that spanned four continents. The article concludes that cost reduction continues to bea top concern for corporate leadership, but not for IT/IS management.DiscussionCompanies in the United States, Europe, Asia, and Latin America are approaching a postrecession outlook and IT/IS cost reduction is no longer a top management issue. The focus nowis on how these information systems can best support the company in reducing overhead andincreasing production (Luftman, et al., 2012). The authors are of the opinion that IT/IS spendingfor corporations is on the increas

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