Ethical and Social Issues Surrounding Information Technology MBA

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Ethical and Social Issues Surrounding Information Technology MBA 8120 – Week 4 10/7/2020 @,

Ethical and Social Issues Surrounding Information Technology MBA 8120 – Week 4 10/7/2020 @, V. C. Storey, C. Stucke, 2006 1

Course Overview Security Corporate Strategy Ethics/ Privacy IS Strategy and Plan Internal Systems Development

Course Overview Security Corporate Strategy Ethics/ Privacy IS Strategy and Plan Internal Systems Development Internal Systems Operations Implementation Outsourced Systems Development Outsourced Systems Operations Infrastructure 10/7/2020 @, V. C. Storey, C. Stucke, 2006 2

Objectives Identify ethical, privacy, and social issues involved in the introduction of new technology

Objectives Identify ethical, privacy, and social issues involved in the introduction of new technology ¡ Understand intellectual property, copyright, and patent issues related to software development ¡ Identify the societal impacts of information systems on business and social activities ¡ 10/7/2020 @, V. C. Storey, C. Stucke, 2006 3

Personal Information Privacy Concerns ¡ Case examples? ¡Personal experiences? ¡Impact? 10/7/2020 @, V. C.

Personal Information Privacy Concerns ¡ Case examples? ¡Personal experiences? ¡Impact? 10/7/2020 @, V. C. Storey, C. Stucke, 2006 4

What Privacy? Consumer files lost Data spills abound! $10, 000 fine 10/7/2020 @, V.

What Privacy? Consumer files lost Data spills abound! $10, 000 fine 10/7/2020 @, V. C. Storey, C. Stucke, 2006 5

Outline ¡ Ethics l l ¡ Social Issues in Information Systems l l l

Outline ¡ Ethics l l ¡ Social Issues in Information Systems l l l ¡ 10/7/2020 What is it? Options Privacy Intellectual Property Rights Accountability, Liability, and Control System Quality of Life Management Challenges and Considerations @, V. C. Storey, C. Stucke, 2006 6

Ethics “The principles of right and wrong that individuals, acting as free moral agents,

Ethics “The principles of right and wrong that individuals, acting as free moral agents, use to make choices to guide their behavior. ” Laudon & Laudon, 2006 ¡ Ethical dilemma two opposing courses of action l both support worthwhile causes l Why concerned with ethics and information technology? 10/7/2020 @, V. C. Storey, C. Stucke, 2006 7

Ethics Standards of conduct & moral behavior people expected to follow ¡ Personal versus

Ethics Standards of conduct & moral behavior people expected to follow ¡ Personal versus business l l ¡ Ethical versus Legal behavior l l ¡ Personal ethics– actions in private life Business ethics – actions in business Ethical behavior – expected actions Legal behavior – required actions Action l l Legal but not ethical Ethical but not legal Source: J. Senn 2004 10/7/2020 @, V. C. Storey, C. Stucke, 2006 8

Ethics: Guidelines for Technology Use 10/7/2020 @, V. C. Storey, C. Stucke, 2006 9

Ethics: Guidelines for Technology Use 10/7/2020 @, V. C. Storey, C. Stucke, 2006 9

Technology Trends Raise Ethical Issues IMPACT TREND ¡ Computing power continues to increase ¡

Technology Trends Raise Ethical Issues IMPACT TREND ¡ Computing power continues to increase ¡ ¡ Declining data storage costs Data mining advances ¡ Networking advances ¡ ¡ Depend on information systems for critical operations Maintain detailed databases on individuals Analyze data to develop detailed profiles Copy data from one location to another; access from remote locations Laudon & Laudon, 2006 10/7/2020 @, V. C. Storey, C. Stucke, 2006 10

Impact of Ethics (or lack thereof)? Events ¡ Enron ¡ World. Com & more

Impact of Ethics (or lack thereof)? Events ¡ Enron ¡ World. Com & more ¡ Andersen ¡ White-Collar Crime: Who Does Time? ¡ Sarbanes-Oxley http: //www. cbsnews. com/stories/2006/01/27/business/main 1245052. shtm l http: //seattletimes. nwsource. com/html/businesstechnology/2002768929_e nronothers 29. html (out of business) http: //news. bbc. co. uk/1/hi/business/2147095. stm http: //www. businessweek. com/magazine/content/06_06/b 3970083. htm l 10/7/2020 http: //www. aicpa. org/sarbanes/index. asp Designed to protect us from Enron and World. Com type events http: //www. accountingweb. com/cgibin/item. cgi? id=101713&d=815&h=817&f=816&dateformat=%25 B%20%25 e, %2 0%25 Y @, V. C. Storey, C. Stucke, 2006 11

Non. Obvious Relationship Awareness (NORA) “Watch” Lists See http: //www. eweek. com/article 2/0, 1895,

Non. Obvious Relationship Awareness (NORA) “Watch” Lists See http: //www. eweek. com/article 2/0, 1895, 1567700, 00. asp 10/7/2020 @, V. C. Storey, C. Stucke, 2006 12

Outline ¡ Ethics l l ¡ Social Issues in Information Systems l l l

Outline ¡ Ethics l l ¡ Social Issues in Information Systems l l l ¡ 10/7/2020 What is it? Options Privacy Intellectual Property Rights Accountability, Liability, and Control System Quality of Life Management Challenges and Considerations @, V. C. Storey, C. Stucke, 2006 13

Privacy ¡ The right to be let alone ¡ Fair Information Practices (FIP) l

Privacy ¡ The right to be let alone ¡ Fair Information Practices (FIP) l l l Notice/Awareness: consumers should have notice of an organization's online information practices Choice/consent: consumers should have a choice about the use and dissemination of information they reveal, usually through an opt-in or opt-out mechanism Access/Participation: consumers should have access to the information businesses collect about them to help ensure accuracy and completeness Integrity/Security: consumers should have the personal information collected about them adequately secured from outside parties and from corruption of the data Enforcement/redress: consumers should have a way to ensure that businesses and organizations comply with these core privacy principles either through external regulation (audits) or certification programs 10/7/2020 @, V. C. Storey, C. Stucke, 2006 14

Data Privacy Self-determination of when and what personal information is communicated to others (balanced

Data Privacy Self-determination of when and what personal information is communicated to others (balanced with society’s right to know) 10/7/2020 @, V. C. Storey, C. Stucke, 2006 15

Internet Challenges to Privacy ¡ Cookies – files stored on computer that save information

Internet Challenges to Privacy ¡ Cookies – files stored on computer that save information and track visits to a website. ¡ Web Bugs – graphic files embedded in email and web pages to monitor visitors ¡ Spyware – applications secretly installed on computer to report user activities on Internet 10/7/2020 @, V. C. Storey, C. Stucke, 2006 16

Intellectual Property Rights Intangible property created by individuals or corporations 10/7/2020 @, V. C.

Intellectual Property Rights Intangible property created by individuals or corporations 10/7/2020 @, V. C. Storey, C. Stucke, 2006 17

Types ¡ Trade Secret l l ¡ Copyright l l ¡ Novel ideas not

Types ¡ Trade Secret l l ¡ Copyright l l ¡ Novel ideas not in public domain. Employees sign nondisclosure agreement Prevents copying Does not protect underlying ideas Patent l l 10/7/2020 Exclusive monopoly for 20 years Idea must be disclosed publicly @, V. C. Storey, C. Stucke, 2006 18

Digital Millennium Copyright Act (DMCA) ¡ World Intellectual Property Organization treaty 1998 ¡ Illegal

Digital Millennium Copyright Act (DMCA) ¡ World Intellectual Property Organization treaty 1998 ¡ Illegal to circumvent technologybased protections of copyrighted materials. ¡ ISPs required to take down sites of copyright infringers once notified. 10/7/2020 @, V. C. Storey, C. Stucke, 2006 19

Who owns the pieces? Anatomy of a Web page Laudon & Laudon, 2006 10/7/2020

Who owns the pieces? Anatomy of a Web page Laudon & Laudon, 2006 10/7/2020 @, V. C. Storey, C. Stucke, 2006 20

Crime and Abuse l Computer ¡ Crime illegal acts through the use of computer

Crime and Abuse l Computer ¡ Crime illegal acts through the use of computer or against a computer system l Stealing files l Crippling computers l Altering records l Computer ¡unethical 10/7/2020 Abuse acts involving a computer @, V. C. Storey, C. Stucke, 2006 21

Types of Computer Crime ¡ ¡ ¡ Spamming – Marketers send out unsolicited mass-email

Types of Computer Crime ¡ ¡ ¡ Spamming – Marketers send out unsolicited mass-email to unwilling recipients Hacking – Exploiting weaknesses in security to gain access to machines and data Jamming – Denial of service, tie up resources to make them unavailable Worms/viruses – Malicious software that spreads and may be destructive Sniffing – Placing software for electronic eavesdropping Spoofing – fraudulent misrepresentation of identity See Computer Crime Cases 10/7/2020 @, V. C. Storey, C. Stucke, 2006 22

Social Issues: Quality of Life ¡ Balancing Power l l Decentralized computing Decentralized decision-making?

Social Issues: Quality of Life ¡ Balancing Power l l Decentralized computing Decentralized decision-making? ¡ Increased Response Time ¡ Speed of competition increased l Organizations less stable Blurred Work/Family Boundaries ¡ Dependence and Vulnerability l 10/7/2020 @, V. C. Storey, C. Stucke, 2006 23

Quality of Life ¡ Employment Changes l l ¡ Equity and Access l ¡

Quality of Life ¡ Employment Changes l l ¡ Equity and Access l ¡ Nature of jobs have changed Difficult to re-skill some segments of population for new jobs Digital Divide – haves vs. have-nots Health Risks l l 10/7/2020 Repetitive Stress Injuries Carpel Tunnel Syndrome Computer Vision Syndrome Technostress @, V. C. Storey, C. Stucke, 2006 24

Outline ¡ Ethics l l ¡ Social Issues in Information Systems l l l

Outline ¡ Ethics l l ¡ Social Issues in Information Systems l l l ¡ 10/7/2020 What is it? Options Privacy Intellectual Property Rights Accountability, Liability, and Control System Quality of Life Management Challenges and Considerations @, V. C. Storey, C. Stucke, 2006 25

Clear Ethics Policies ¡ Consideration of information systems when creating ethics policies l Does

Clear Ethics Policies ¡ Consideration of information systems when creating ethics policies l Does technology creates new issues? l Examples? 10/7/2020 @, V. C. Storey, C. Stucke, 2006 26

Costs of Non-Work Related Internet Access ¡ What are they? l l ¡ Concerns:

Costs of Non-Work Related Internet Access ¡ What are they? l l ¡ Concerns: l l 10/7/2020 Lost employee time Consumption of valuable bandwidth Firm’s reputation, legal responsibilities Loss of trade secrets. Reduction of network performance Lost revenue / overcharge to clients for personal time @, V. C. Storey, C. Stucke, 2006 27

What are Employers Doing? Monitor e-mail and personal use of Internet ¡ Create policy

What are Employers Doing? Monitor e-mail and personal use of Internet ¡ Create policy regarding Internet usage to protect against employee lawsuits ¡ l l Explicit ground rules in easily understood language Who has what rights and under what circumstances. Vague terminology cannot be applied fairly. Zero tolerance vs. modified usage policy options. 10/7/2020 @, V. C. Storey, C. Stucke, 2006 28

Discussion Accountability, Liability, and Control When information systems fail, who is responsible? ¡ In

Discussion Accountability, Liability, and Control When information systems fail, who is responsible? ¡ In eyes of law, software products are like books ¡ Should ISP’s be responsible for content transmitted through their service? ¡ 10/7/2020 @, V. C. Storey, C. Stucke, 2006 29

Additional Resources ¡ AICPA/CICA Privacy Framework http: //www. aicpa. org/innovation/baas/ewp/privacy_framework. asp ¡ Deloitte &

Additional Resources ¡ AICPA/CICA Privacy Framework http: //www. aicpa. org/innovation/baas/ewp/privacy_framework. asp ¡ Deloitte & Touche Privacy Primer http: //www. fei. org/chapter/Colorado/files/Priv. Traning. ppt ¡ Internet Privacy from NCSU http: //digitalenterprise. org/privacy. html ¡ ¡ More Deloitte http: //www. deloitte. com/dtt/section_node/0, 1042, sid%25 3 D 57115, 00. html http: //accounting. smartpros. com/x 43515. xml And many more…. . 10/7/2020 @, V. C. Storey, C. Stucke, 2006 30

Summary ¡ Ethics and Information Systems ¡ Social Issues in the Digital Firm ¡

Summary ¡ Ethics and Information Systems ¡ Social Issues in the Digital Firm ¡ Management Challenges Complex issue! 10/7/2020 @, V. C. Storey, C. Stucke, 2006 31